Tracking Marketing ROI with Clover
Marketing Promos & Clover
Clover makes it easy for you to integrate marketing campaigns into your point of sale. Most companies rely on several different advertising channels to enhance their brand awareness, increase traffic in-store, and generate transaction. Effectively using your marketing budget for the promotions that have the best ROI (return on investment) will allow you to grow your business faster.
This guide will share you how to use Clover in two ways:
- Calculate ROI from Marketing Promotions: Automatically calculate the amount of revenue and the quantity of transactions for each marketing promotion that you run. You can use this information to understand each campaign's return on investment.
- A/B Test Marketing Promotions: Savvy marketers will then be able to leverage data from Clover to try different forms of marketing so that you can decide how to best allocate your marketing spend.
Most companies invest a considerable amount of money and resources on advertising. At the end of this guide, you'll be able to see how each of your promotions are performing so that you can better allocate your marketing budget.
How to Use Clover to Track Marketing ROI
Step one: add PROMO codes to your offers
Using promo codes in your marketing campaigns allows you to create a direct link between a particular promo and the amount of revenue or transactions that are generated by the campaign.
- Add at least one promo code for every marketing campaign.
- Use additional promo codes for different types of creative, targeting, or geographies
You can then use Clover to track the use of those promo codes and determine which marketing efforts are working the best.
Step two: Setting up promo codes
The next step is to install the free Discounts App from Clover's App Store. The app was created by Clover so that you can add and manage discounts that can be applied to a specific item or an entire transaction. Then take the following steps:
- Open the Discounts App
- Locate the green + button and tap it
Name your discount with the title of the marketing promotion.
Choose whether the discount is a percentage or a fixed dollar off
- Enter the dollar or percentage of the discount
- Click the checkbox labeled "Enabled" so that it's ready to be used.
- Tap save.
Be sure to use a naming convention when setting up your discounts. We like to use a combination of the marketing channel and the name of the offer. For Example:
Postcards | 2018 Super Bowl Promo
Postcards | "We Haven't Seen you Campaign"
Email | Try our New Menu Items
This makes it easier to remember the channel and the creative used.
Step Three: Applying promo codes
You want to make sure that the promo code is entered into Clover every single time someone responds to your promotion. Luckily Clover has made it easy to apply promo codes to a transaction:
- Create a new order and add items to the transaction.
- Locate and tap the button circled in purple adjacent to the order's title.
- Tap the Add Order Discount button in the dropdown box.
- Click the button that corresponds with the customer's promo code and it will automatically be applied to the order.
We recommend that you remove codes that are expired so that it's easy to locate each active marketing promotion. Avoid using the custom discount buttons because they prevent you from tracking the marketing campaign that generated the transaction.
Step Four: Reporting & attribution
Navigate to Clover's Reporting Site so that you can see how your marketing promotions are performing. Using the free Reporting App from Clover's App Store will allow you to easily see the data from your marketing campaigns.
- Open the Reporting App
- Select the "Discounts" tab
- Adjust the date range to view reports from the desired time period
- Scroll to view the details:
- Discount names
- Number of orders discounted with that discount
- Total discounted (revenue)
- Number of orders discounted with that discount on the item level
- Amount that was discounted for a particular discount on the item level
- Total amount discounted for a particular discount
Please note, displays and reporting will have slight variations depending on which Clover device you choose to view the reports (Clover Station, Clover Mobile, Clover Mini, Web Dashboard, Clover Flex). The information above is based on the Web Dashboard.
Step Five: Calculating ROI (Return on Investment)
The reporting outlined in Step 4 will allow businesses to see which marketing campaigns are performing best based on the number of orders placed with a particular Discount/Promotion.
To perform a quick ROI calculation, follow the steps below:
- Take the number of orders from a specific promotion and multiply by the Average Order Value (AOV) from the same time period to get the total revenue generated from that promotion.
- Take the total revenue generated and subtract the cost of the marketing campaign.
Example: Petey's Pizza hired Cardigent to send 10,000 targeted post cards with a discount code for "10% off one order". The cost to send 10,000 targeted post cards was = $1,900
At the end of the month, a total of 500 orders were placed with the "10% off" discount code and the AOV (average order value) for the month was $30.
To calculate the ROI from Petey's "10% off" marketing campaign:
1. $30 x 500 "10% off" orders = $15,000
AOV * # of orders = Revenue
2. Revenue - Costs = ROI
$15,000 - $1,900 = $13,100
In the example above, Petey's saw a $13,100 ROI from their "10% off" Cardigent campaign. They can compare this with additional campaigns to gauge effectiveness.
Step six: a/b testing campaigns
Often times business owners and marketers want to see if changing a particular variable (ex: comparing 10% off vs. $3 off) will have an impact on a campaigns effectiveness. This is known as A/B Testing. To A/B test discount codes using your clover system, simply follow the steps 1-3 above for two separate discounts.
To see which variation is more effective, compare the promotions by viewing Clover's reporting outlined in Step 4
Getting more help with clover
You can learn more about tracking ROI with clover by visiting their help section on discounts and coupons or by speaking to a member of Cardigent's Customer Success team.