ROI is maybe the most important part of any social media campaign. A lot of people are under the impression that it takes a “viral” campaign or tweet to garner wide-reaching attention. Of course any brand would be thrilled to achieve that kind of success but the reality is that very few campaigns are designed with that result in mind, rather happening upon it by accident.
When trying to identify the success of a social campaign or its ROI one should step back for a moment and clearly define their goals. These goals commonly referred to as “key performance indicators” or KPI should be identified as well as defining what a conversion is equal to. Is all the assignable value assigned to the conversion? Should there be tangible and intangibles factored in?
Many of the positive benefits of a good social media presence can be difficult to quantify but others, such as increased web traffic and blog views are more easily measured. Over the course of the last three years the number of marketers using a revenue-per-customer metric on social media fell from 17 percent to only 9 percent.
Despite the opinion of many, social media should not be used as a tool for hard sales messaging. Rather, brands should utilize these platforms for their ability to build community and make connections with their audiences. This is the key to identifying an ROI that can be measured. Here is the advice of social media experts: “speak to your audience in a way that makes them want to go to your website to consume and trigger your definable goals.”
Measuring your return on social media investment is possible if you narrow your scope and keep pre-defined goals in mind.