Want To Know How To Determine The ROI Of A Testimonial Video?
Before we dive into it, it’s important to know that there are a few BIG reasons why testimonial videos aren’t collected and used as much as they should be.
1) Business owners are unsure of the impact the videos will have.
2) Most don’t know the monetary value of a video.
3) Most don’t know how to determine that value and impact.
But what if you knew these things and how to figure them out?
And what if it’s pretty simple to do?
Well, if you do, then you could figure out the return on investment of collecting and using them.
And let’s just say, depending on your business and how you use them…
They could be worth six figures or more over time for your business.
In fact, I have many clients who have testimonial videos that have been worth this type of $$$.
All of that being said…
How do you determine the ROI of a testimonial video?
There are a bunch of steps involved in the process.
And I want to share three of them with you here (and in the video).
1) Before anything, you have to know what to track. Or what are the key performance indicators (KPIs) that you want to know?
Do you want your videos to increase sales?
Do you want them to enhance your brand’s awareness?
It could be a number of things, but pick one to start.
Once you do that, you have something to track.
Without having something to track, you’ll have no idea what the video is going to do for you.
2) Once you have your KPIs (depending on what they are), you’ll need a way to track them.
One of the most important tools you could have is Google Analytics.
It’s free software that you can set up on your website that tracks pretty much everything.
If you don’t know what it is or how to set it up, just find someone on Fiverr to set it up for you.
Another tool that will be important is the platform you choose to host your videos on.
YouTube is fine, but it can be limiting with some metrics that have to be tracked.
So you’ll want to look into other hosting platforms.
The first one to consider is Vimeo.
Vimeo has a free account but also has low-cost premium accounts. I like Vimeo a lot. It’s not that expensive, and it’s simple to use.
The second hosting account you could use is Wistia.
The second hosting account you could use is Wistia. Wistia also has a free account, but it’s very limited. Their premium options have all sorts of bells and whistles, and you can pretty much track anything with them. The downside is that their storage and bandwidth limits are not that great. If you need more, you’re going to pay a lot for it.
The third video hosting account is Voomly.
Voomly was created for marketers, by marketers. It has all the tracking info you need, their higher-level plans are cheaper than Wistia, and it has a few other cool features like interactive video.
A quick note. If you’re going to use your videos on social media and you want to track any of your KPIs, the only way to do it is to use the analytics provided by the social media platforms.
The video hosting platforms mentioned above (Vimeo, Wistia, and Voomly) only work when hosting videos on your own sites.
Finally
Once you have your KPIs and tracking software set up, the third step is…
How to determine the monetary value of a single testimonial video.
And let’s be honest, this is what most business owners want to know but are not sure how to do it.
There are quite a few ways to do this and all sorts of formulas to figure it out.
But now you don’t have to know any of those.
This is where AI and ChatGPT come to the rescue.
All you have to do is copy and paste the prompt you see below into ChatGPT, and it’ll give you a basic understanding of the value of what one testimonial video could be worth to you.
===== Copy and paste this prompt below====
Please determine the value of a testimonial video based on the information provided below.
Number of products/units/services sold before testimonial video: (enter your amount here)
Number of products/units/services sold after testimonial video: (enter your amount here)
Value of one product/unit/service: (enter the price of the product/unit/service)
============
If you don’t want to do that or don’t have access to ChatGPT, you can simply use our calculators to figure it out.
So if you know your KPIs, have the tools set up to track them, and know the monetary value of a testimonial video, then you now have the basic foundation of knowing the impact your testimonial videos will have.
That being said, there are a few more steps to determine the TRUE ROI of a testimonial video.
And if you’d like to know those steps, click on the image or button below to access the guide that will walk you through the entire process.
Once you know the real ROI of testimonial videos, you’ll never look at them as an afterthought again.
