19 ways to improve small business marketing ROI

Author: Leanne Knowles

8-10 min read

Marketing costs can be a big drain on your budget if your marketing is not delivering. Plenty of very smart people running really great small businesses, spending 6 figures on their annual marketing budget, and seeing little or no return on that money.

Those business owners were working with digital agencies, who were really great at what they do at a technical level, but there was no meaningful strategy underpinning all that great activity. And they weren’t effectively measuring return on investment (ROI).

Here’s a list of 19 ways to improve marketing return on investment, as a handy reference to get you moving towards stronger results.

The list can be categorised into three parts:

1. Sales and marketing strategies
2. Business level strategies
3. Campaign strategies

You know how vital your marketing investment is to business success, and there are plenty levers you can use to improve your ROI, depending on the circumstances of your business.

PART 1 - Sales & marketing strategies

A successful sales and marketing strategy starts with clear goals, expressed in a simple format and kept on hand for reference.

1.  Segment your buyer groups

Remember, when you market to everyone, you market to no one.

Market segmentation and targeting niche customer groups improve ROI by focusing efforts on high-potential audiences. This allows you to tailor marketing messages to specific needs, preferences, and pain points. This precision ensures resources are spent on the most profitable segments.

Ask yourself and your team the question - how can you avoid competing head on in crowded markets, with bigger and better resourced competitors? Who in the market place has a need that your business can uniquely solve, better than anyone else - profitably and sustainably?  This group must be your focus.

2.  Power up the product offer

Build out extraordinary value product offers to capture the attention of your audience - by packaging extra services and complementary products that are not costly to you.  Spell out this value with an amazing price to differentiate you from others in the market.

Select your most exciting, most distinctive and most profitable product to be the hero of your marketing campaigns. This is the product or service that is in demand but not easily pinched by wannabe copycats. 

3.  Sharpen the message

People are busy and distracted with lots of moving parts in their lives. They need a clear and simple message that tells them how you can help them better than anyone else – to solve that burning need that they have.  Select a low risk call to action to get the conversation going.

4.  Measure your real marketing return

Set a marketing budget, and measure the return on your investment in each campaign.  Keep it simple.  This might seem like a no-brainer, but many businesses do not have a strong test and measure program in place, and end up wasting a lot of time and money.

5.  Marketing metrics

When you define and measure your marketing metrics, a small businesses can optimise return on investment. Key metrics should include number of leads, conversion rates, customer acquisition cost, and lifetime value, guiding data-driven decisions.

Decide which metrics will give you the information you need.  Use these to drive your marketing activities and to measure ROI. Start with a benchmark position, and then aim to increase on that by 5-10% or more with each campaign.

PART 2 - Business level strategies

Business strategies are the supporting tools, team and tactics you will bring together to support your sales and marketing activities.

6.  Strategy before tactics

A clear strategy will tie your marketing tactics together, tell a story that connects emotionally with your audience, and amplify the power of your investment, for a greater return. By setting clear goals, tracking performance, and adjusting tactics, small businesses can optimise campaigns, boost conversions, and ultimately achieve more with less marketing spend.

7.  Branding

Does your brand need a refresh?  Is it consistent across your business? Do you need to extend your branding into other areas to support your new campaigns?

Strong branding improves marketing ROI by creating a memorable, trustworthy identity that resonates with customers. Consistent messaging, visual elements, and the right tone of voice will help attract loyal followers, increase recognition, and differentiate the business from competitors. Effective branding builds emotional connections, leading to higher customer retention, advocacy, and more impactful marketing efforts.

8.  Website

How will your campaigns drive traffic to your website? What landing pages and content will be required to support sales?  Is it easy to purchase, or is there ‘friction’ in the customer journey that needs to be smoothed out?

A well-designed website boosts marketing ROI by acting as a central hub for brand messaging, product offerings, and customer engagement. It increases visibility, drives organic traffic, and supports lead generation. Optimising for user experience, conversion, and SEO ensures higher conversion rates, ultimately improving the effectiveness of marketing efforts.

9.  Stakeholder relations

Who else in your stakeholder groups need to know about your campaign offerings. Who can support your objectives, and how?  Do you have organisations in your network that are delivering complementary products or services to the same customer group? Can you incentivise them to grant you access?

10.  Sales & marketing people

Do you have the right people on the bus to achieve your objectives?  Who needs training in what area?  Is the team ready to respond to enquiries? What expert help do you need from an agency?  Which agency?

Bringing in the right sales and marketing pros who actually know their stuff is a game-changer for your ROI. These experts cut through the fluff, optimise your campaigns, and sharpen your messaging. Get the right talent on your team, and watch your marketing efforts turn into real, sustainable profits.

11.  Automation

How much of those time consuming manual tasks could be automated? Do you have the software and digital tools that you need?  Is the tech fully integrated and efficient?  If not, what is required?

Implementing the right automation and digital systems streamlines operations, improves customer experience, and frees up resources. Tailoring these tools to your business needs enhances efficiency, personalisation, and scalability. By automating repetitive tasks and optimising touch points, small businesses can drive higher customer satisfaction, lower costs, and maximise marketing ROI.

12.  New product development

Are you regularly reviewing your product range against the changes in the competitive environment? New product development boosts marketing ROI by diversifying offerings and addressing customer needs. Introducing innovative products can create excitement, attract new customers, and increase repeat business. By aligning new products with market trends and customer feedback, small businesses can enhance brand loyalty and drive higher sales, maximising their marketing impact.

13.  Pricing Strategy

Is your pricing strategy consistent with your brand positioning? A smart pricing strategy maximises marketing ROI by aligning product value with customer expectations. By optimising pricing, small businesses can attract the right audience, increase conversion rates, and improve profitability. Offering tiered pricing, discounts, or bundling enhances perceived value, driving more sales without sacrificing brand integrity.

PART 3 - Campaign strategies

You only need one great campaign to reach the right people in the right place, and with the right message. Having said that, you can choose to create as many different campaigns as your budget, resources and skills will allow, providing each one is strategically planned and well executed,

14.  Clarify the sales sweet spot

Before every campaign, take the time to clarify your sales sweet spot. This is the key to unlocking maximum marketing ROI. It’s all about finding that perfect intersection—your product, the right customer group, the best marketing channel, and a message that stands out. Nail it, and you’ll see higher conversions, less wasted spend, and a far more effective strategy.

15.  Profile building & lead generation

Strategies that build your brand profile and awareness will help to drive marketing return on investment by creating recognition and trust. A strong brand will also attracts leads, while digital marketing funnels will qualify prospects into your pipeline.

Traditional marketing tactics such as live events, trade shows and speaking engagements are still as potent as ever, particularly when leveraged with the latest online platforms and tools.  Use this mix to build profile and generate qualified new leads.

16.  Prospect nurture

The Buying Cycle differs for customer groups, products and services, and individual organisations. It is important to gain an understanding about the normal buying cycle of each customer group, and set up a nurture program to build a relationship, build trust and exchange more information, as the prospect moves through the Customer Journey.

When each person becomes ready to purchase, you have a strong background of Know-Like-Trust to covert the conversation to sale.  Email, phone and face-2-face meetings are normal tools for this stage.

17.  Customer nurture & sales conversion

Once a customer has purchases in your system, it’s important to maintain strong two way communication, ask for feedback, and continue to learn more about them.  Seek new opportunities to serve them with the same or alternative products and services on a regular or ad hoc basis.

18.  Customer retention

Delivering a great buyer experience helps to retain your customers, so they keep coming back for more. Stronger onboarding and ongoing support boost customer retention, creating more opportunities for upselling and cross-selling.

When customers feel valued and supported, they’re more likely to trust your other products or services. This drives repeat business and increases customer lifetime value, ultimately improving marketing ROI without additional customer acquisition costs.

19.  Testimonials & referrals

Testimonials and referrals are the ultimate opportunity for happy customers to introduce new warm prospects into the mix.  New buyers need to see the third party endorsement of testimonials and positive reviews, to help them feel confident about choosing you over someone else.  Develop a strategy to ask for testimonials, after you know your customer is happy.

What you can expect

Implementing strategies like smart pricing, targeted product development, strong branding, and clear market segmentation can significantly improve your marketing ROI by maximising customer engagement, optimising spend, and boosting conversions. Without these strategies, you risk wasting resources on ineffective campaigns, losing market relevance, and failing to build strong customer relationships, leading to missed growth opportunities and a weaker bottom line.

About Leanne Knowles

Connect with Leanne on LinkedIn

Leanne Knowles isn’t your average business strategist—she’s a former skydiving pro who built and sold two adventure sport businesses before 34. In 2000, she launched Headswitch to help low-tech small businesses scale with clever, tech-driven strategies. With years of experience and research under her belt, Leanne cuts through the noise, sharing her insights via online training, coaching, and the FreedomROI Newsletter. Her methods helped her grow her own business without the usual stress—just smart, sustainable success.