Measuring ROI for Social Media Marketing

Although many UK marketers are still struggling with how to successfully measure their ROI on social media marketing investments, most realize the importance of having a success metric in mind.  Without setting a benchmark, it is impossible to determine your ROI.

eMarketer.com, a digital intelligence firm, has a free report entitled Seven Guidelines for Achieving ROI from Social Media that outlines how to achieve success with social media marketing programs. Here’s a summary:

1.  Set clear and defined marketing goals (generate more website traffic, opt ins, leads, etc.) and identify the social measurements that support those goals.

2.  Create a logical framework for your measurements and metrics (exposure, engagement, outcome).

3.  Since social media is about fostering relationships, take a long-term approach – treat your social media marketing as an ongoing commitment, not a campaign.

4.  Don’t be afraid to use “soft” metrics that can be directly linked to your marketing goals.

5.  Determine how much a customer who opts in to your database is worth to you.

6. Don’t overlook the value of cost savings that can result from ongoing social interactions that provide insights and information.

7. Use technology to create the capability to measure your customer’s complete digital footprint, in real time.