We all struggle with establishing a value for our content. This is one way to identify that value and use it to justify additional marketing dollars. This example looks at e-newsletters and how to identify an active subscriber. I will be presenting a more complete version of this concept at ASAE's Membership, Marketing and Communications conference this summer.

1. Establishing an ROI
Gregory Wright
American Institute of CPAs
Member Communications Manager
@G_J_W
gwright@aicpa.org

4. What is the value of a subscriber?
How do I track product purchases?
What is engagement?
Which metrics are best?
What does all this mean?

5. 3 things you need
e-Newsletter
Product tracking
Math
Ad
Ads
Annual revenue figures you will
need:
1. Ad sales
2. Product sales

6. Track product purchase conversion rate
Append a code to product URL
• IBM Digital Analytics (Coremetrics)
• Google Analytics
• Ecommerce platform
http://www.cpa2biz.com/AST/Main/CPA2BIZ_Primary/AuditAttest/Au
ditPreprationandPlanning/PRDOVR~PC-APARAI/PC-APARAI.jsp
http://www.cpa2biz.com/AST/Main/CPA2BIZ_Primary/AuditAttest/Au
ditPreprationandPlanning/PRDOVR~PC-APARAI/PC-APARAI.jsp
?cm_mmc_o=2V-1KCjC5A_kbgzfbBECjCnivSiNCjC-V-q-G

7. Let’s do some math
1. Total your revenue
2. Divide by number of
subscribers
3. Equals the Value of a
Subscriber
$500,000 (external ad sales)
+ $200,000 (product sales)
= $700,000 (total revenue)
/ 400,000 (subscribers)
= $1.75 (value of a subscriber)

9. User who actively
subscribes to e-newsletter
• IS NOT auto opt in/ passive
user
• IS actively engaged with e-
newsletter
• IS more likely to purchase
product / click an ad

10. How do you define engagement?
Open rate
Click-through rate
Product purchase conversion rate
More math:
0.30 (open rate)
X 400,000 (subscribers)
= 120,000 (active subscribers)
$700,000 (total revenue)
/ 120,000
= $5.83 (value of an active
subscriber)
3.33x higher than
$1.75 (value of a subscriber)

11. What can I do with this?
Cost per active subscriber acquisition
PPC/CPA ads
Marketing campaign
• Direct mail
• Trial campaigns
• Banner ads in other newsletters
Apply to other communications
• Facebook
• LinkedIn
• Twitter