Is measuring ROI from social media that valuable?
- Establish what your engagement strategies do for your business at present e.g. is it driving new traffic to your website, an increase in online or offline sales and/or keeping existing customers coming back – are these strategies working? An increase in the number of likes, shares, retweets, fans & repins do not qualify as the usual KPI measures and do not equal true engagement. Top quality engagement is turning those activities into sales.
- Work intuitively to engage your community (your audience) & understand their goals, as they are likely to not be in line with your business goals.
- Invest in tools that can track engagement impact that use brand mentions; follower & fan growth (impressions); click through rates to mention a few.
- Once the tracking tools are in place, an in-depth understanding of the metrics is required to fully understand all interactions available. One cannot view any single social media channel of a company in isolation to determine ROI. All components need to be taken into consideration. Richard Mullins, Director at Acceleration, says “marketers who are serious about social media need to start thinking about data architectures and analytics tools. It is a complex and specialist field…the value can be immense“.
The truth is, as there are in fact plenty of ways we can gain insights into ROI from social media, through various platforms– we will NEVER be able to account for every single tweet, share & like. The social media world out there is far too large & intertwined that ROI cannot be measured for every activity as they happen.