Behind every successful digital marketing strategy are 4 key activities that all businesses must focus on.

No matter the industry, market, niche these apply to all businesses. Doesn’t matter if you are B2C or B2B you have these 4 key activities

If you’re missing or lacking or deficient in any of these 4 areas, then your marketing will fail. It’s really that simple.

That leads us to a key concept that applies to business.

Digital Marketing is a lot like assembling a number of building blocks. In fact today a common term that is used is being a T-Marketer. 

Digital marketing consists of a number of building blocks working together one to build your business. These blocks include SEO, Content, Email, Paid Media, Video, Social Media.

The block of Paid Media can be further split into Google, Facebook, LinkedIn, YouTube, Twitter Ads.

But there’s one critical ingredient.

With marketing, you need to know how all the blocks combine. You need to have the finished picture to see where and how the different pieces will eventually fit together! 

We are going to bring all the key pieces together for you.

Here we will show you the 4 key activities of a proven successful digital marketing strategy so you can see how all of the marketing options available fit together to create a successful marketing plan.

First, The Basics

Before we dive into the framework, I need to highlight how digital marketing actually works. 

You probably know the formula for building a business created by Jay Abraham:

No Customers x Ave Sale x No Transactions

Now all of your business activities, especially marketing, should be aimed at increasing one of these components. 

If you break it all down to the individual pieces, then digital marketing follows a very basic formula:

(Revenue) = (Website Traffic) x (Conversion Rate) x (Customer Value)

In other words, revenue from digital marketing is directly proportional to how many people visit your website, how many of those people convert into customers, and how much those customers are worth to your business.

Or to put it another way, there are 3 ways to increase your revenue from digital marketing:

• increase your traffic, 
• increase your conversion rate, 
• and/or increase your customer value.

It’s important to remember that your revenue will be zero if any one of those 3 variables is zero. 

That’s just basic maths. It doesn’t matter if you drive millions of visitors to your website if your conversion rate is zero. You’ll still end up with zero revenue!

Now that you understand this formula, it’s time to cover the 4 Key Activiites of Digital Marketing Success. 

These are the 4 key activities every business must continually try to improve to compete online.

1. Website Traffic

The first key is website traffic. 

Obviously, if you don’t get any traffic to your website, then you’re not going to be very successful with digital marketing. If you’re just getting started, then this is where you need to focus.

Think of website traffic like fuel.

You need a constant supply of “fuel” or else your marketing will come to a screeching halt.

Now traffic can be earned with either paid or free activities. This is where your advertising or SEO activities come in.

The key here though is targeted traffic. You need to be attracting people who will use your service, or people whose problems you can solve.

Traffic for traffic sake is not a feasible option for your business. You need to have traffic that represents your ideal client.

2. Website Conversions

As shown above all the traffic in the world does nothing for your business unless you can actually convert it into leads and sales.

For established businesses that already have a steady stream of visitors, improving website conversion is likely the biggest leverage point to increase sales.

Here’s a quick example to highlight this point…

If your website gets 1,000 visits per month and of those visitors 5 of them convert into sales. 

That’s a 0.5% conversion rate. What happens if you can increase your conversion rate to 1%?

You’ll double your sales with the same traffic you’re already getting to your site! 

That means you would double your sales with no more investment in traffic tactics like advertising, SEO, social media, etc.

An important part to think of here though is not everyone who comes to your site for the first, second or even third time will become a customer.

This is where you need to offer lead magnets to secure their email address so you can use email marketing to build value and a relationship 

3. Customer Value

Customer value is often the X-factor in digital marketing, yet many businesses ignore it. 

Let’s use an example so you can see how your customer value plays a role in your marketing.

If your conversion rate is 0.5% and your average customer value is $100. 

That means, on average one visitor to your website is worth $0.50.

That also means you can not afford to pay more than $0.50 to drive a visitor to your website. If you pay more than 50 cents, then you’ll lose money.

What happens if one of your competitors has the same conversion rate, but a slightly higher customer value of $150? 

Well, this competitor can afford to pay $0.75 and will inevitably be able to buy more traffic than you. 

Even though the competitor may have the same offer, a similar website, and the same conversion rate, they’ll dominate the market due to their higher customer value.

The businesses that can afford to pay more to get the right traffic will dominate their market. 

Options for increasing your customer value include raising your prices, offering recurring/monthly offerings rather than just one-time purchases, and offering additional complementary products/services after the sale (upsells and cross-sells).

This is why having a backend system is so important to building your business 

This will literally make or break your business. And most business owners ignore it. Having a successful backend system will literally skyrocket your business.

A big part of this is nurturing your current customers. 

Your biggest marketing expense will be your lead generation, trying to attract new clients.

Doing business with people who have already purchased from you is the key. 

4. Tracking and Reporting

The final core is tracking and reporting. 

Without proper tracking in place, then you’ll be flying blind with very little hope to improve the other 3 key activities of your digital marketing strategy.

Think of tracking like the dashboard of your car. Could you imagine driving if you didn’t have a speedometer or a fuel gauge? 

That would be pretty stressful because you wouldn’t know if you needed to slow down or speed up. 

Plus, you would likely run out of fuel with no warning signs.

Proper tacking will guide your marketing decisions by telling you exactly where you need to focus.

This is where your reporting is very important to let you know where your traffic is coming from, what visitors do when they visit your site and how they respond to various activities.

By combining all these together you will have a very sturdy and responsive digital marketing strategy.

Business is a numbers game. You need to know your numbers and not just numbers for the sake of it.

Know the critical numbers for your business, not just the KPIs.

KPIs tell you the result of your actions such as profit, gross margin, conversions rate.

Your critical numbers are those that have a direct impact on your business such as phone calls, email numbers, follow ups, upsells, referrals. These are very important.

Having an understanding of these 4 key activities and working them daily will drive the success of your business.