SOCIAL MEDIA….. what’s it all about? How will it drive ROI and growth for my business?
Why is everyone telling me I should be everywhere… Twitter, Instagram.. Facebook, posting all day long??
If you have been asking yourself these questions, the following article is SO worth a read!!
There seems to be an expectation that all businesses should have social presence whether it be for customer engagement, brand awareness or acquiring new customers.
Yet how does one fit that in when you are managing a business, making sales and looking after your customers? It can take a lot of time… yet what does it deliver?
Whenever you invest time or resources into some element of your business, you should always be looking to measure that activity and understand what your return on investment (ROI) is.
The same goes for social media – it is key to define what you are trying to get out of your presence.
Let’s take a look at how you can figure out your ROI and prioritise your time..
- Define the purpose of social media for your brand
What are your objectives? Is it brand awareness, brand engagement or are you looking to get more leads and convert new customers?
Determine your WHY.
Brands like Ben and Jerry and Innocent use social for more than just pushing products – they use it to interact with their customers, grow loyalty, get engagement.
Ensuring an awesome customer service with significantly contribute to your ROI.
There are also many brands who are making significant ROI through running targeted ads to get more customers.
Many are using social for all of the above.
- Set Actionable goals
Know what your objectives are and define those goals with KPIs.
These can vary but some common ones for social campaigns are as follows ..
- Email list sign up
- Contact form enquires
- Lead generation
- Facebook Likes
- Make your goals campaign specific and track the results
Rather than look at the big picture of your social presence, social goals should be campaign-specific. This is a critical aspect of measuring ROI that so many marketers miss.
A campaign is a planned “effort” with set goals and a measurable outcome. For example, any brand running a paid Facebook campaign should know whether or not their ads paid off. Facebook data analytics is extremely detailed so you can analyse your campaign effectiveness easily.
Tracking any campaign is vital and google analytics can be a huge help also providing significant detail across all campaigns.
- Track your social media expenses
In order to figure out whether you’re getting a positive or negative ROI for social media campaigns, you’ll also have to measure how much you’re spending. That spend doesn’t just encompass money, though. Here’s what should be included in your ROI calculations.
- Include the amount of hours spent by you or your team to set things up
- Did you get a landing page written by a professional copywriter? Or maybe you outsourced status updates. These costs are easy to overlook but they certainly count. If you’re writing such copy yourself, that’s going to count toward your time investment.
- Social media tools:
- Different tools can cost money so these need to be included
- Ad costs:
- If you’re running a Promoted Tweet, Facebook Ad or boosting a Facebook post, add in that cost as well. This is fairly easy to track as you set up your ad budget.
- Determine your ROI and what is adding value to your business
You can figure out the specific ROI for each social network by segmenting your earnings and costs per social channel. After looking at the numbers, you’ll be able to decide which social platforms are doing the best for your company and then build and develop those further.
For any social networks or campaigns that are bringing in a negative ROI, you can either try to adjust by spending less or fine-tune your campaigns.
Social media has an increasingly important role to play in business which is not to be ignored. That said, it is really important to ensure that whatever activities you are spending time and money on are delivering for your business. It’s vital that businesses define and measure their social ROI.
Are you finding it easy to measure your ROI ? Are you getting the results you want with your social activities?
Get in touch if you want to have a chat about whether you are making the most of social media. Contact us for a free social media strategy call.