Small Business Marketing: Using UTM Codes

In today's fast-paced digital landscape, marketing is not just an option—it's a necessity for the survival and growth of any small business. With a myriad of strategies, platforms, and tools at your disposal, it can be overwhelming to determine which ones will truly make an impact. This is where understanding the power of UTM codes becomes essential.

In this blog post, we'll demystify UTM codes, exploring what they are, why they're important, and how you can leverage them to optimize your marketing efforts and gain actionable insights into your campaigns. Whether you're a seasoned marketer or just starting out, these practical tips will help you use UTM codes effectively to track the success of your digital marketing initiatives and drive your business forward.

WHAT ARE UTM CODES?

UTM codes are essential tools in your digital marketing toolkit, allowing you to gather critical insights into the performance of your campaigns. These codes are tags you can add to the end of a URL to track where your traffic is coming from and how users are interacting with your content. When you add UTM codes to your emails, social media posts, and ad links, you're essentially creating a roadmap that tells you exactly how effective each element of your campaign is. By analyzing this data, you can determine which strategies are working, which need tweaking, and where to allocate your resources for the best return on investment. By the way, UTM stands for Urchin Tracking Module. Yes, really! Onwards.

But what exactly do UTM codes track? These tags can help you monitor various elements of your campaign, including the source of the traffic (such as Instagram or Facebook), the type of campaign (like ads or newsletters), and even the specific content that was clicked (whether it's a particular image or a link in the header). UTM stands for Urchin Tracking Module, a nod to the original software that developed this tracking method. Though the name may sound a bit quirky, the benefits of using UTM codes are anything but.

To see UTM codes in action, let’s walk through an example. Imagine you're running a fall awareness campaign on Instagram, featuring an ad with an image of a scenic road. You want to track how this specific ad performs, so you create a UTM-coded URL that will capture all the relevant data.

The URL of my website is:

https://www.rightbrainlovesleft.com/

If I were to use it on an ad during a fall awareness campaign on Instagram with an image of a road, this would be an example of the URL I would use:

https://www.rightbrainlovesleft.com/?utm_source=Instagram&utm_medium=Ad&utm_campaign=Fall+Awareness&utm_term=marketing+management&utm_content=road

See the difference? Both take you to the same place, but one gives you strategic information to let you know where your traffic came from. If you look at that second one, you’ll see ‘Instagram’, ‘Fall Awareness’, and ‘Road’ in the URL address. These are parameters I custom-set.

What are parameters? URL links with UTM codes can track five basic ones:

Source: The specific traffic referrer (i.e., website, publication)

Medium: The campaign type (i.e., ads, newsletters)

Campaign: The campaign name your URL link is tracking (in the example above, it was the Fall Awareness campaign)

Term: Target keywords in paid search campaign ads (if applicable)

Content: The specific content clicked on (for instance, the header or footer link or a particular image if you are a/b testing two images) 

BENEFITS OF UTM CODES FOR SMALL BUSINESSES

Using UTM codes offers several benefits for small businesses:

1. Improved Tracking: You can track each marketing campaign individually and identify which ones are the most effective. This helps you make necessary adjustments for better results.

2. Greater Insights: By tracking the sources of your visitors, UTM codes provide valuable insights into their interests and behavior. This information helps you tailor your marketing efforts.

3. Effective Use of Your Marketing Budget: With UTM codes, you can invest more in successful campaigns and reduce spending on underperforming ones.

 CREATE YOUR OWN UTM CODES

Creating UTM codes is a quick and simple process. If you use Google Analytics with your website, the best one to use is also provided by Google. Just follow these steps:

1. Choose the URL you want to track, like a landing page for a campaign.

2. Go to Google's Campaign URL Builder.

3. Enter the URL and provide the relevant information to identify the campaign. Tip: Make sure you slide the version from UA to GA4 on the left-hand menu.

4. Click "Generate URL" to get a unique tracking URL.

5. Copy and paste the generated URL into your campaign without making any changes.

Another platform is Bitly, a URL-shortening service that also provides basic analytics. When you create shortened links with UTM parameters using Bitly, you can track the performance of those links in the "Clicks" section of your Bitly account.

TIPS ON CREATING AND USING UTM CODES

Here are some tips to help you use UTM codes effectively:

1. Use Specific Parameters: It's important to provide accurate and consistent information for each UTM parameter you fill out. Make sure to use descriptive labels that clearly identify the campaign, source referrer, marketing medium, etc. This will help you track and analyze your marketing efforts more effectively.

2. Assign Unique UTM Codes: By using different codes for each campaign or ad group, you can track them separately and make better improvements.

3. Keep Track: To prevent confusion and ensure organization, develop a consistent naming convention for your UTM codes and keep a spreadsheet, if need be. Doing so lets you have a clear record of your UTM codes and can easily reference them for future campaigns or analysis.

HOW UTM CODES HELP

You could use UTM codes on your social media bios, social media posts, newsletters, guest blog posts you write, and when answering questions in online forums and communities. You can also provide influencers custom UTM codes to track how well their campaigns are doing for you.

As an example, let’s look at how UTM codes can assist your small business in tracking the effectiveness of a paid social campaign.

In a social media ad campaign, you promote your services or products on Facebook and Instagram to reach your target audience. UTM codes help you identify which social media platform generates the most conversions.

If you're running ads on Facebook, the campaign source parameter would be "Facebook". Similarly, if you advertise on Instagram, the campaign source parameter would be "Instagram". This parameter allows you to differentiate between the platforms and helps you understand which drives the most conversions.

Next, the campaign name parameter helps you label and identify your specific ad campaign on social media. It can be related to the theme or objective of your campaign. If you're running a campaign to promote a new product launch, you might name the campaign "New Product Launch Campaign". (I would recommend being more specific, but this is just an example.) By including this parameter in your UTM code, you can easily track and analyze the performance of your different campaigns across social media platforms.

When you combine these parameters with your UTM codes, each social media platform and campaign will have its unique tracking URL. If you're running ads on Facebook for a campaign named "Summer Sale", you would include "Facebook" as the campaign source parameter and "Summer Sale Campaign" as the campaign name parameter. This allows you to track the conversions generated specifically from the Facebook platform and the Summer Sale campaign.

The results help you allocate your resources and budget strategically, focusing more on the platforms that deliver the best results.

MEASURE YOUR SUCCESS WITH GOOGLE ANALYTICS

There are several key analytics features that you can track using UTM codes. You can find these in your ‘All Campaigns’ report.

1. Click-Through Rates: Measure how effective your marketing campaign is by tracking the number of link clicks.

2. Average Time Spent on Website: Evaluate visitor engagement with your content by tracking how long they stay on your website.

3. Bounce Rate: Assess the percentage of visitors who leave after viewing only one page. This helps you understand if your content is engaging enough to keep visitors on your site.

4. Conversion Rate: The visitors who took action on your website, such as making a purchase or filling out a form. Tracking this helps you measure the success of your marketing efforts.

Following the practical tips in this guide, you can easily set up and use UTM codes to improve your marketing efforts and achieve greater returns. Start using UTM codes today and unlock the potential for success in your small business marketing! Any questions? Email me anytime.