Practical tips to measure the success of your social media strategy 

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Practical tips
to measure the success
of your social media strategy
Friday, October 12, 12

About me
• Director, Digital Marketing and
Communications, Inova Health System

• Nationally recognized expert in
marketing ROI

• External Advisory Board Member,
Mayo Clinic Center for Social Media

• Marketing/communications consultant
for more than 200 business
www.christopherboyer.com
My Twitter handle: @chrisboyer
Conference hashtag: #ragansocmed


Traditional channels aren’t working

http://www.blueglass.com/infographics/inbound-marketing-rising-infographic/


I feel sorry for traditional media
• Badthe news in-the NYT is at least a day old”
“All
timing

• Very expensive -
$114,174

• Not personal -
• Broadcast
4


Social media is a
key part of our lives


But is that true for businesses?


Social media: a deﬁnition(?!?)
"A group of Internet-based applications that build on the
ideological and technological foundations of Web 2.0, and
that allow the creation and exchange of user-generated
content."

- Andreas Kaplan & Michael Haenlin


Social media: a deﬁnition(?!?)
"A group of Internet-based applications that build on the
ideological and technological foundations of
Web 2.0, and that allow the creation and exchange of
user-generated content."

- Andreas Kaplan & Michael Haenlin


How I deﬁne social media

• Transparency
• Credibility
• Relevancy
• Trust
• “Communities of Interest”


Social media shouldn’t
force us to be transparent.

We should.


Building credibility
• Being authentic
• Understanding the various social mediums
• Give it time
• Add creativity and originality
• Take risks
• Don’t be afraid to fail

http://youtu.be/FdgO3cEYYTw


The cornerstone


Continuum of “I-Don’t-Care”

Don’t Care Care somewhat
Care deeply
(not engaged) (kinda engaged)

g Opi nions
Sharin
esearching
R
iscovering
D


Social media provides relevant
messages at the right time
Facebook
Pinterest
Forums
Twitter Flickr
SMM
UStream Yelp!
Digg
SlideShare LinkedIn Local Angie’s List
Wordpress Tumblr Listings
Microsites g Op inions
Foursquare Google+ S harin
YouTube esearching
R
Blogs
iscovering
D


“The desire to be part of a group that
shares, cooperates, or acts in concert is a
basic human instinct.” - Clay Shirky


Social networks are
how we connect.

Communities of interest are
why we connect.


Multiple uses for social media
• Customer service/service recovery
• Patient education
• Real-time market research
• Influencer engagement
• Crisis management
• Brand protection/equity
• Word-of-mouth marketing

Social media has
changed everything


Not that it’s the panacea...

http://wtfqrcodes.com


Our guiding principles:
As communicators, we should strive to:
• Provide access to the best, up-to-date
information about our organization

• Promote our strengths and differences
• Develop strong relationships with our community
• Be ﬁscally sound with our efforts


But how do we know
we’re doing this


"To measure is
Importance of measurement:
to know."

“If you can not
measure it,
you can not
improve it.”

Lord William Thompson Kelvin


Doing more...with less
• Consumers/employees are ahead of us
• Bosses expect more
• Budgets are tightening
• 24x7 information cycle
• There’s not enough time
• There’s not enough training


The new communications equation:

Forced to do more with less

People don’t care (or pay attention)

Traditional channels don’t work well

We have to do things better (social media).

And we have to measure to improve!


Some social media measurements

• Fans/followers/friends
• Likes/favorites
• Clicks
• Comments
• Positive ratings/sentiment
• Subscriptions
• Impressions
• Other?
100 ways to measure:
http://bit.ly/100ways


Behaviorial metrics:
• Increased number of followers
• Shares and RT’s
• Click through’s
• Comments


Attitudinal metrics:

• Sentiment/perception
• Positive comments
• Measuring attribution
• Anecdotal feedback


Financial measurements:

• Revenue
• Customer acquisition
• ROI


Which brings me
to pants

Contrary to popular belief,
there is ROI in everything

...including social media.


Why does the
discussion of social
media ROI sometimes
make me feel like this?

37


Is social media ROI truly “ROI”?
• Return on Results (ROR)
• Return on Opportunity (ROO)
• Return on Engagement (ROE)
• Likes Accumulated from Facebook Followers (LAFF)
• Time We Invest in Twitter Spam (TWITS)


ROI should always be tied to $$$
“Social Media ROI reﬂects any other marketing-related ROI:
the net ﬁnancial revenue to the organization from the effort,
after having accounted for the effort's costs.

FI-NAN-CIAL
money
dough
bottom line
coin
or, as I like to call it,
ROI”

- Chris Bevolo @intervalchris


ROI = (ﬁnancial gain/savings - cost)
cost


Why should we measure ROI?
• Only 27% of exec’s believe social media is strategic priority
- Jive Social Business Index Survey

• 59% of marketers use social media 6 hours or more/week
- Social Media Marketing Industry Report

• If you don’t measure, don’t worry: your successor will
- Chris Boyer


1
Proﬁtable services
Proﬁtable revenue

Three ways
to measure
ROI


Driving growth through social media
• Use social media to lead to other marketing:
• Websites
• Seminars
• Downloads

• Use tools to measure attribution

• Lead social media fans to convert
• Opt-in or provide information

• Measure your results


Promoting weight loss services
• Identify Facebook audience interested in losing weight

• Create ads promoting weight loss solutions
• Direct ads to landing page that offers options to patients
• $479 monthly spend


The results (24 month period):

• 2081 clicks/month

• 512 seminar registrations

• 23% seminar registration/surgery conversion rate

• Average $3,000 contribution margin from surgery

• $353,280 margin originated from campaign


Calculating ROI

ROI = (gain - cost)/cost

Gain: $353,280
Cost: $479 x 24 = $11,496

ROI = (353,280 - 11,496)/(11,496) =
29.73 or ~30/1


Wait a second...
you didn’t tell me there was
going to be any math!


2 Lower costs
Improve results


Lowering marketing &
communication costs
• Compliment (or replace) traditional with low-cost
social media

• Train others to assist with your social media efforts

• Encourage patients to tell/spread their story

• Measure the money or time you save


Replacing a newsletter with a blog


ROI through cost savings

Higher engagement, too!
• 14,000 page views/mo
• 5 pages/visit
• 3:52 avg time on page


How do we
measure this?!?!?


What is the
lifetime value
of a customer?


To Facebook, we’re worth
~$81 apiece

Your friends are worth $.62

Your proﬁle page is worth $1800

But what’s a Facebook fan worth to us?


Using social media to increase
satisfaction & loyalty
• Provide relevant information to “non-patients”

• Build wellness programs to increase relevance

• Patient education and compliance

• When measuring ROI, think correlation vs. causation


Using social media to promote wellness

• 7,300 registrants

• 575 Facebook followers

• 5,000 updated CRM records (2,300 entirely new records)

• 500 cross-promoted into other eNewsletter programs


Revenue through wellness program

• 2,650 participants enrolled in ﬁtness events
(ROI: $22 x 2,650 = $58,300)

• Life-to-date utilization (contribution margin):

• “New” patient CM: ~$110,000

• “Former” patient CM: ~$370,000

• Total CM: ~$480,000

Correlated vs. Causal ROI


Impressing your
executives...


Practical tips to measure the success of your social media strategy

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