--- title: The Value of Inbound Marketing Explained in 4 Easy Steps description: Discover and realize the value of an investment in Inbound Marketing. image: https://blog.interamark.com/hubfs/IMK-website-upgrade/blogs/Here%20Here%20Top%203%20tips%20for%20increasing%20traction%20with%20compelling%20content/InboundMktgExplained-FunnelSample-Featured-300-175.png --- [Skip to the main content.](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#main-content) [![logo-update-1](https://blog.interamark.com/hs-fs/hubfs/logo-update-1.png?width=400&height=108&name=logo-update-1.png "logo-update-1")](http://Interamark.com) [![logo-minimal-footer1](https://blog.interamark.com/hs-fs/hubfs/logo-minimal-footer1.png?width=330&height=90&name=logo-minimal-footer1.png "logo-minimal-footer1")](http://Interamark.com) - SERVICES - [MARKETING SERVICES](https://www.interamark.com/content-creative-services) - [SOLUTIONS](https://www.interamark.com/marketing-solutions) - [PORTFOLIO](https://www.interamark.com/portfolio-of-marketing-deliverables) - FOCUS AREAS - [MANUFACTURING](https://www.interamark.com/digital-marketing-for-manufacturers) - [MANAGED SERVICES](https://www.interamark.com/marketing-for-managed-services-providers) - [ABOUT](https://www.interamark.com/about-interamark-your-marketing-solutions-partner) - [BLOG](https://blog.interamark.com) - [INTERAMARK BLOG](https://blog.interamark.com/) - [CONTACT](https://www.interamark.com/contact-us) Search Toggle Menu Search Toggle Menu - SERVICES - [MARKETING SERVICES](https://www.interamark.com/content-creative-services) - [SOLUTIONS](https://www.interamark.com/marketing-solutions) - [PORTFOLIO](https://www.interamark.com/portfolio-of-marketing-deliverables) - FOCUS AREAS - [MANUFACTURING](https://www.interamark.com/digital-marketing-for-manufacturers) - [MANAGED SERVICES](https://www.interamark.com/marketing-for-managed-services-providers) - [ABOUT](https://www.interamark.com/about-interamark-your-marketing-solutions-partner) - [BLOG](https://blog.interamark.com) - [INTERAMARK BLOG](https://blog.interamark.com/) - [CONTACT](https://www.interamark.com/contact-us) - Example Link - Example Link - Example Link [Facebook](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) [Instagram](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) [Linkedin](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) [X](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) [YouTube](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) [Medium](https://blog.interamark.com/the-value-of-inbound-marketing-explained-in-4-easy-steps#0) 1 min read # The Value of Inbound Marketing Explained in 4 Easy Steps [Reza Almaneih](https://blog.interamark.com/author/reza-almaneih) : May 30, 2014 3:01:00 PM ![The Value of Inbound Marketing Explained in 4 Easy Steps](https://blog.interamark.com/hubfs/IMK-website-upgrade/blogs/Here%20Here%20Top%203%20tips%20for%20increasing%20traction%20with%20compelling%20content/InboundMktgExplained-FunnelSample-Featured-300-175.png) You may have heard about Inbound Marketing, but want to know if it’s right for you. The short answer is yes, of course! But, what does that really mean? What is the value, or ROI, to your company of implementing an inbound marketing strategy? To help our clients “monetize” their investment, and fully understand the benefits to them, we’ve developed a 4 step process to help gain insight into the value that inbound marketing can bring to your organization. The first step? Determine the life-time value of a customer. This equates to the total average profitably over the lifetime of the customer. This key data point helps you understand the business results of the strategies and tactics implemented. The second step is to identify what you are currently spending on marketing to gain each new customer or Marketing Cost of Customer Acquisition (Marketing COCA). This is accomplished by obtaining the fully loaded annual salaries of your marketing team, annual spend by your marketing team, and number of customers acquired annually. Marketing COCA’s above $5,000 are good initial indications that Inbound Marketing can work for you. The third step is analyzing your website funnel. This is done by first capturing the total site traffic, lead conversion and sales conversion for a given month. From this you can calculate the lead conversion rate (leads/traffic) and sales conversion rate (sales/leads). Finally you can compare the rates to the industry averages of 1-3% for lead conversion and 2-10% for customer conversion. Conversion rates under industry averages are another good indication that Inbound Marketing can be good for your business. ![InboundMktgExplained-FunnelImage](https://blog.interamark.com/hs-fs/file-917278556-png/images/Blog_Images/InteramarkSalesFunnels_SalesFunnel1-D2.png?width=604&height=413&name=InteramarkSalesFunnels_SalesFunnel1-D2.png "InboundMktgExplained-FunnelImage") The fourth and final step is taking the number of new customers gained by reaching the industry benchmarks, and multiplying it by the Lifetime value of the customer. This value will provide an estimate for the monthly increase in life-time value of customers. If this increase is at or above your current business goals, more than likely Inbound Marketing can work for you. [![Contact Us Marketing Consultant Inbound Marketing](https://no-cache.hubspot.com/cta/default/287445/efc70e8d-798a-4d79-8b2a-70f821069492.png)](https://cta-redirect.hubspot.com/cta/redirect/287445/efc70e8d-798a-4d79-8b2a-70f821069492)   - [Tweet](https://twitter.com/share) [![Inbound Marketing and Hubspot: A Perfect Marriage That Just Got Better](https://blog.interamark.com/hubfs/IMK-website-upgrade/blogs/Inbound%20Marketing%20and%20Hubspot%20A%20Perfect%20Marriage%20That%20Just%20Got%20Better/HubSpot-Workflow-Tool-Gains-New-Branching-Capabilities-Featured-300-175.png)](https://blog.interamark.com/inbound-marketing-and-hubspot-the-perfect-marriage-that-just-got-better) #### [Inbound Marketing and Hubspot: A Perfect Marriage That Just Got Better](https://blog.interamark.com/inbound-marketing-and-hubspot-the-perfect-marriage-that-just-got-better) [Reza Almaneih](https://blog.interamark.com/author/reza-almaneih) : Sep 19, 2014 11:22:00 AM This week I was in Boston for Hubspot's annual Inbound convention. The conference had over 10,000 attendees and tons of groundbreaking speakers,... [Inbound Marketing](https://blog.interamark.com/topic/inbound-marketing) [Read More](https://blog.interamark.com/inbound-marketing-and-hubspot-the-perfect-marriage-that-just-got-better) [![Inbound Marketing Creates More Knowledgeable Prospects](https://blog.interamark.com/hubfs/IMK-website-upgrade/blogs/INBOUND%20MARKETING%20CREATES%20MORE%20KNOWLEDGEABLE%20PROSPECTS/ChartInbound-Featured-300-175.png)](https://blog.interamark.com/inbound-methods-create-more-knowledgeable-prospects) #### [Inbound Marketing Creates More Knowledgeable Prospects](https://blog.interamark.com/inbound-methods-create-more-knowledgeable-prospects) ![Picture of Hunter Hays](https://blog.interamark.com/hs-fs/hubfs/hunter-profilepp-green-square.png?width=30&name=hunter-profilepp-green-square.png) [Hunter Hays](https://blog.interamark.com/author/hunter-hays) : Jan 12, 2015 2:53:40 PM Our partner, HubSpot, surveyed over 3500 marketing and sales professionals to determine the impact inbound marketing had on their businesses. We... [Read More](https://blog.interamark.com/inbound-methods-create-more-knowledgeable-prospects) [![Power Up Your Points-Apply Inbound Methods to Outbound Presentations](https://blog.interamark.com/hs-fs/file-1797827869-jpg/E_Blogs/Blog_Images/Power-Up-Your-Points-Apply-Inbound-Methods-to-Outbound-Presentations.jpg)](https://blog.interamark.com/inbound-marketing-collateral-development-presentations) 1 min read #### [Power Up Your Points-Apply Inbound Methods to Outbound Presentations](https://blog.interamark.com/inbound-marketing-collateral-development-presentations) [Reza Almaneih](https://blog.interamark.com/author/reza-almaneih) : Oct 7, 2014 12:19:00 PM The Sky's the Limit Chances are, if you're reading this blog you're a recognized pro in an enterprise marketing department. No question about it -... [Read More](https://blog.interamark.com/inbound-marketing-collateral-development-presentations) ##### Top Pages Top Pages - [Home](https://www.interamark.com/home) - [Blog](https://blog.interamark.com) - [Solutions](https://www.interamark.com/marketing-solutions) - [Services](https://www.interamark.com/content-creative-services) - [Contact](https://www.interamark.com/contact-us) ##### Manufacturing Manufacturing - [Manufacturing](https://www.interamark.com/digital-marketing-for-manufacturers) - [Managed Services Providers](https://www.interamark.com/marketing-for-managed-services-providers) ##### Our Work Our Work - [Inbound Marketing](https://www.interamark.com/portfolio-of-marketing-deliverables#inbound) - [Branding](https://www.interamark.com/portfolio-of-marketing-deliverables#branding) - [Presentations](https://www.interamark.com/portfolio-of-marketing-deliverables#presentations) ##### Title Goes Here Title Goes Here Interamark provides complete marketing services for small and medium-sized companies. 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