S.M.A.R.T. Goals 101
As Q1 comes to a close and Q2 nears, 2022 might not be what you imagined it would be for your business.
Well, heads up. Q2 will pass just as quickly as Q1 did.
Still want to reach, even surpass the objectives you set at the beginning of the year?
Use S.M.A.R.T. goals.
You might be asking: What are S.M.A.R.T. goals?
Whether you know it or not, your business partners are using S.M.A.R.T. goals. Your competitors too.
The S.M.A.R.T. model is a widespread method for developing efficient objectives for a results-driven marketing strategy.
S.M.A.R.T. stands for: Specific, Measurable, Achievable, Relevant, and Time-bound.
That’s because to have a S.M.A.R.T. goal, the goal needs to be specific, measurable, achievable, relevant, and time-bound.
Let’s walk through each piece…
Step 1: Specific Objective
Find a specific, defined objective.
It can’t be as broad as “increased conversions” or “brand awareness”. Those are concepts.
You’ll want a clear and specific objective that pertains to one of your key performance indicators (KPIs).
Here’s one: Let’s say you feel like you are spending too much on your paid search advertising.
You’re not getting enough bang for your buck, and you want to get more return for your spend.
A specific objective you could set would be to increase your return on advertising spend (ROAS) for your company’s paid search channel.
Step 2: Measurable Objective
Now that you have a specific objective, let’s put some numbers to it to turn it into a measurable objective.
First, you want to ask yourself:
What is the current ROAS for your paid search channel?
Let’s say your current ROAS is 2:1.
This means you’re spending $1000 a month on PPC advertising and getting $2000 dollars total back in sales revenue from that channel.
Next, analyze any data you have to leverage to understand why you’re in the current position that you’re in.
In the case of PPC, this includes traffic, cost per click (CPC), keyword volume, etc.
After analyzing the facts, set a measurable objective.
A measurable objective would be to increase your return on ad spend from 2:1 to 5:1 for your company’s paid search channel.
Step 3: Achievable Objective
You have a tangible, measurable objective. You want to go from 2:1 to 5:1 ROAS.
Now, you want to make sure this objective is achievable.
This is an objective that is achievable with the suitable skills, resources, and constraints to achieve it.
To figure out if you can achieve this goal, check your resources.
Ask yourself: What is the allocated budget that I currently have for this? How much time can my team work on this?
To make more, sometimes you have to spend more. That includes money and time.
You can increase your budget from $1000/month to $2000/month in advertising spend. You increase hours from 15 to 30 hours a month spent on this effort.
Then, analyze the constraints that could get in the way of your goals.
What are the keywords you are targeting? Does their cost-per-click fit into your updated budget?
An achievable objective would be to increase your return on ad spend from 2:1 to 5:1 for your company’s paid search channel by doubling your monthly budget and time.
Step 4: Relevant Objective
Before you commit, ask yourself if this is a relevant objective.
A relevant objective is an objective that is an added value within the context it is set, aligned with strategies and higher goals.
Does the effort and resources you are putting into this objective seem worthwhile?
Does it fit into your other efforts? Do the time and resources you’re putting into your paid search channel fit alongside your email, Amazon, and affiliate channel efforts?
Does your team have what it takes to take this on? Or will you outsource to an agency with expertise in paid search?
A relevant objective would be to increase your return on ad spend from 2:1 to 5:1 for your company’s paid search channel by doubling your monthly budget and time and hiring an agency with PPC expertise.
Step 5: Time-Bound Objective
A time-bound objective is an objective that can be achieved within a set timeframe.
Once you’ve solidified whether your objective is relevant, set a clearly defined, incremental time frame where you can reach this objective.
If you’re trying to get from a ROAS of 2:1 to 5:1, set up milestones.
- Month 1: Increase ROAS from 2:1 to 3:1
- Month 2: Increase ROAS from 3:1 to 4:1
- Month 3: Increase ROAS from 4:1 to 5:1
Great job! You now have a time-bound objective of 3 months to increase your ROAS from 2:1 to 5:1.
Your completed S.M.A.R.T. goal is to increase your return on ad spend from 2:1 to 5:1 for your company’s paid search channel in three months by doubling your monthly budget and time and hiring an agency with PPC expertise.
Need a partner to bounce your S.M.A.R.T. goals off of to enhance your digital marketing ecosystem?
Drop us a line here to see if we can help you reach your objectives in the S.M.A.R.T.-est way.