Determining the Real Investments of Marketing Campaign Process Automation

As we outlined in our recent blog series on automation, implementing a successful marketing campaign automation strategy can have an enormous impact on your business’s bottom line. But in order to fully benefit from the investment, you need to have a game plan in place — one that takes the business side of automation into account fully and comprehensively before any tech solutions are put into practice. It also means calculating return on investment (ROI) in a detailed and nuanced way as you move forward, looking at long-term gains from multiple perspectives based on where your company is in its automation journey.

Calculating Total Cost of Ownership

One of the biggest mistakes a business can make is to start investing in automation technology without a thorough understanding of all the expenditures necessary for a successful automation journey. 
 

TCO is the sum of all costs related to your automation tech stack — not just what you pay to have the technology installed and integrated into your marketing platform. In addition to upfront IT fees for licensing, procurement, and implementation, it includes ongoing operational costs for things like content production, platform maintenance, upgrades, and IT security. 

Creating a scalable foundation and ensuring a healthy ROI requires calculating total cost of ownership (TCO) at the very start.

TCO also considers costs incurred to weave automation into the fabric of a company, from recruiting a center of excellence to evangelize the cause internally to upskilling and reskilling teams. In addition, it involves looking at an organization’s technology maturity to determine if they have the capability to build in-house or if they will need to invest in outsourcing.

Best Practices for Process Discovery

Another strategy essential for the proper evaluation of automation processes is the development and utilization of process discovery metrics. In addition to helping you determine which processes are best served by automation, process discovery gives you the opportunity to identify and prioritize the processes that provide the best return on investment.

Here at Theorem, we did this by creating a process intake form that would calculate the success of an automation task based on values assigned to specific rating criteria. We divided these rating questions into three relevant sections — People & Processes, Business, and System & Data — so we could determine which processes were the strongest from both technological and business perspectives. Once all data was entered and analyzed, we used the output to determine if a process should be automated or optimized.

Download full infographic here.

Defining Organizational ROI Over Time

Few companies see the cost benefits of automation within the first year or two of implementation. Savings are mostly internal, derived solely from the investments made in technology and processes. ROI calculation, therefore, is purely cost-driven at this point, as automation is applied only to internal back-office projects.

But as a business grows and moves toward automating external, market-facing projects (i.e. front-office automation), its leaders can begin to evaluate their internal processes to determine if they can be used to achieve economies of scale. For example, if a business can expand and use their processes across multiple customers and clients, that’s when they’ll start to see incremental ROI. Ideally, this should happen within the second or third year.

Download full infographic here.

Once this foundational incremental ROI is established, it can be built upon over the next two to three years. As more automation processes are applied to front-office, market-facing projects, they can also be packaged and sold to outside companies as a service to generate revenue.

To Sum It All Up

Getting a full and comprehensive view of the financial impact automation will have on your organization is a complex and multidimensional process. In most cases, it requires a thorough TCO analysis before any practices are put into place, as well as the creation of an organized process discovery system to identify and eliminate tasks that are not well-served by automation. 
 

It also involves looking at automation ROI from several different perspectives and defining organizational ROI expectations on a one to five-year horizon. This deep analysis is necessary to accurately identify the real investments of your campaign process automation.

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    Meto

    Meto

    Meto is a tech-based nonprofit intent on making access to quality higher education a reality for all students. We have a special focus on creating scholarships for low-income students.


    In 2018, Meto was founded to connect African students with university opportunities. Along the way, we have learned that all students can benefit from our innovative model, wherein universities make the first move and invite good-fit students to apply. So, in 2023, we opened our platform to students across the globe.

    website: https://meto-intl.org/

              Nikhil Badlani Foundation

              The Mission of the Nikhil Badlani Foundation (the “Foundation”) is to enhance the lives of underserved children in West Orange, NJ and neighboring communities through music lessons, scholarships, and traffic safety education for all.

              Since the Foundation was established in 2011, Theorem has consistently been an annual sponsor of and team participant in the STOP for Nikhil 5K Run/3K Walk. This event intends to raise traffic safety awareness and to serve as a way to remembervbgfc ≈ and honor those who have been killed or seriously injured in traffic accidents. We recognize the importance of raising awareness and road safety amongst teenagers and parents alike, especially in the local communities of our Chatham, New Jersey office. Learn more about the Nikhil Badlani Foundation at nikhilbadlanifoundation.org

              Diversity and Inclusion

              Theorem actively aids in the ongoing fight against systemic racism and discrimination, realizing the importance of ongoing discussions surrounding diversity and inclusion.

              By contributing to organizations such as Black Girls Code and the Anti-Racism fund, we aim to be a fundamental supporter of diversity in the workplace and beyond. These organizations specifically speak to Theorem’s role as a leading voice in the technology innovation space and we avidly support their missions. The vision of Black Girls Code is to empower girls of color, ages 7-17 to become innovators in STEM fields and encourages them to be the builders of their own futures. The Anti-Racism Fund serves as a response to the inequities experienced by the African-American community. It provides monetary support to a dynamic portfolio of curated organizations as a way to inject and enable social change.

              Feeding America

              Feeding America is the largest charity working to end hunger in the United States. By partnering with local food banks, food pantries and other community food programs, Feeding America looks to advance change across the country and ensure equitable access to nutritious food.

              As a long-standing contributor and sponsor of Feeding America, we deeply believe in their vision of an America without hunger. The need for and importance of organizations like Feeding America has has become more and more prevalent as communities face more hardships as a result of the pandemic and the current economy. Theorem is dedicated to its continued contributions to Feeding America to do our part to empower and strengthen our communities. Learn more about Feeding America at www.feedingamerica.org

              Grameen America

              Grameen America is dedicated to helping entrepreneurial women who live in poverty build businesses to enable financial stability mobility.

              Since their founding in the United States in 2008, Theorem has supported Grameen America’s mission, which seeks to build upon the legacy of Presidential Medal of Freedom, Congressional Gold Medal and Nobel Peace Prize winner Muhammad Yunus. Through financial contributions and event participation, Theorem has contributed to Grameen America’s cause. As an immigrant entrepreneur himself, our CEO Jay Kulkarni is especially eager to support the organization’s mission of aiding underserved communities. Learn more about Grameen America at www.grameenamerica.org

              Vision Spring

              VisionSpring is making the wonder of clear vision possible for all by helping provide affordable and quality eyeglasses to those in need. For many, lack of access to affordable eyeglasses leads to loss of employment or less educational opportunities.

              VisionSpring partners with organizations who join them in their mission of supporting livelihood initiatives, enhancing potential for all. Learn more about Vision Spring at https://visionspring.org Theorem has consistently partnered with VisionSpring to organize free events, such as eye check-ups, across multiple villages in the Mysuru, India region, impacting over 3,000 rural residents. We stand with VisionSpring in their mission to increase accessibility to quality eyewear and eye care.

              Covenant House

              Covenant House provides housing and supportive services to youth facing homelessness, helping young people transform their lives.

              For more than 5+ years, Theorem has supported Covenant House with corporate sponsorships, leading career-building workshops at their Newark, NJ shelter facility and participation in the organization’s fund raising Sleep Outs. Covenant House utilizes these Sleep Outs to raise funds and help shine a light on the injustice of youth homelessness, inspiring communities to step up and protect the vulnerable. We are proud to support Covenant House’s programs, which are designed to empower young people to overcome and rise above adversity, today and in the future. Learn more about Covenant House at www.covenanthouse.org

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