When companies invest in something, it's natural to want to quantify the results of the venture; in order to determine whether the campaign is worthwhile or not, we must consider what is known as an
ROI – a
return on investment. For clearly plotted out investments, such as search engine optimization or pay-per-click ad campaigns, the ROI can be measured quite accurately. But with newer marketing campaigns, such as those done through social media, we find ourselves in a gray area when it comes to measuring ROI.
Social media marketing can be fantastically rewarding; and while it is sustained by personable interaction, it also requires structured strategies and outlined objectives.
In July 2008, social media blog Mashable posted a wonderful blog about
How to Measure Social Media ROI for Business. It explored the ways you can measure the ROI if social media marketing campaigns both qualitatively and quantitatively. Here's a run through for both sides:
Measure Social Media Marketing ROI Qualitatively
Define WHAT you want to measure- do you want to see an increase in conversations about your brand? More brand exposure and enhanced reputation?
You cannot tack a number onto these elements – essentially, you're measuring your affect on and popularity among your target audience. Once you decide what you want to measure, monitor it closely, like a scientific experiment. Are these areas seeing an improvement as a result of your social media marketing?
Here are some questions to keep in mind:
- There are conversations about our brand or industry on Twitter and other social platforms. Are we taking part in these conversations?
- What are people saying about us, and what are people saying about our competition?
- Is there a way we can enhance the relationships with the people talking about us?
- Are we partaking in an engaging conversation, rather than simply talking at our target audience?
Measure Social Media Marketing ROI Quantitatively
The metric here revolve around site traffic, page rank in the SERPs, sales, and membership – all elements that can be expressed numerically.
Free services provided by AideRSS, Google Analytics, Feedburner, and Xinu monitor and archive statistical information about your site traffic, total unique clicks, keyword success rates and more.
These figured represent quantitative content you can use to measure your social media marketing campaign ROI in a more black and white sense.
Contact us today to
learn more about social media marketing campaigns and measuring social media ROI.