1. Social Media, Meet ROI
How To Measure Social Media Benefits and
Increase Conversion
Angie Schottmuller - @aschottmuller
SES Chicago - Nov 13, 2012
#SESCHI #socialproof

2. About Unbounce
Angie Schottmuller | Chief of Conversion Marketing | angie@unbounce.com

3. YOUR MISSION:
1. Quantify social media benefits
2. Use social media to grow sales
Angie Schottmuller | @aschottmuller

4. Social Media Benefits"
QUANTIFIED
< GEEK ALERT >
The mathematical formulas in this presentation may cause
extreme jubilation. Prepare to quantify.

5. Social Media Advertising Value
IMPRESSIONS, TRAFFIC, ARTICLES, PHOTOS, VIDEOS...
What would it cost to
achieve the same, if you
had to pay for it?
Angie Schottmuller | @aschottmuller

6. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Advertising Value - Social Mentions
_____(#) brand/product social mentions
X _____ (CPI) equivalent display ad costs
______________________________________
= $ Display Ad Impression Value
CPM, or cost per 1,000 impressions, could also be used.
Angie Schottmuller | @aschottmuller

7. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Advertising Value - Social Web Traffic
_____(#) social referral clicks to website
X $_____ (CPC) equivalent social ad costs
______________________________________
= $ Social Ad Value
Angie Schottmuller | @aschottmuller

8. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Advertising Value - Search Web Traffic
_____(#) search referral clicks to website
X $_____ (PPC) equivalent search ad costs
_______________________________________
= $ Search Ad Value
Angie Schottmuller | @aschottmuller

9. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Social SEO Improved Search Rank
( _____% new CTR − _____% old CTR)
/ _____% old organic search CTR
X _____(#) monthly organic search impressions
__________________________________________
= Additional Organic Search Referrals
Rank #
CTR
Rank #
CTR
Optify's Study on Organic Search 1
36.4%
4
7.9%
Click-Through Rates (CTR):
2
12.5%
5
6.1%
http://bit.ly/organicctroptifystudy
3
9.5%
6
4.1%
Angie Schottmuller | @aschottmuller

10. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Ad Value - Social Influencer Mentions
_____(#) social influencers
X _____(#) average social network reach
X _____(#) notable online brand mentions
X $_____ paid spokesman endorsement cost
/ _____(#) ad network reach or volume
___________________________________
= $ Paid Endorsement Value
Tip: Tier endorsement values by social influencer levels.
Angie Schottmuller | @aschottmuller

11. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Ad Value - Social PR Mentions
_____(#) event-related online mentions
X $_____ equivalent press event cost
/ _____(#) avg. mentions from press event
______________________________________
= $ Press Event PR Value
Angie Schottmuller | @aschottmuller

12. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Content Value - UGC Articles
_____(#) brand-focused online articles
X $_____ equivalent content creation cost
______________________________________
= $ Article Value
Tip: Tier costs by content quality (e.g. length, sentiment,
images, uniqueness) and/or Domain Authority levels.
Angie Schottmuller | @aschottmuller

13. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Content Value - UGC Photos
_____(#) user-generated brand photos
X _____% photo shoot quality
X $_____ equivalent photo shoot total costs
/ _____(#) photos from average photo shoot
_______________________________________
= $ Photography Value
HUGE!
Angie Schottmuller | @aschottmuller

14. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Content Value - UGC Videos
_____(#) user-generated brand videos
X _____% brand-produced video quality
X $_____ equiv. brand-produced video cost
_______________________________________
= $ Video Value
HUGE!
Be sure to include resource time, equipment rental, shoot
fee (e.g. location), and editing for video production costs.
Angie Schottmuller | @aschottmuller

15. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Research Value - Social Insights
_____(#) brand online insights/comments
X _____% focus group insight quality
X $_____ equivalent focus group cost
/ _____(#) insights from average focus group
________________________________________
= $ Focus Group Value
HUGE!
Angie Schottmuller | @aschottmuller

16. SOCIAL MEDIA BENEFITS CALCULATION - REDUCE COSTS
Support Value - Online Self-Service
_____(#) weekly support calls per topic
X _____% calls likely solved by self-service
X $_____ average support phone call cost
_______________________________________
= $ Call Support Value
Angie Schottmuller | @aschottmuller

17. SOCIAL MEDIA BENEFITS CALCULATION - GROW SALES
Sales Value - Social Leads
_____(#) qualified social leads identified
X _____% lead-to-customer conversion rate
X $_____ average order value (AOV)
________________________________________
= $ Lead Sales Value (Single Purchase)
Angie Schottmuller | @aschottmuller

18. SOCIAL MEDIA BENEFITS CALCULATION - GROW SALES
Sales Value - Social Leads
_____(#) qualified social leads identified
X _____% lead-to-customer conversion rate
X $_____ customer lifetime value (LTV)
________________________________________
= $ New Customer Sales (Lifetime Value)
How To Calculate LTV: http://bit.ly/calculateltv
Angie Schottmuller | @aschottmuller

19. SOCIAL MEDIA BENEFITS CALCULATION - GROW SALES
Sales Value - Social-Aided Conversion
( _____% new CR − _____% old CR)
/ _____% old conversion rate (CR)
X $_____ average product sales value
___________________________________
= Increased Sales Value
HUGE!
Ex: Increased conversion from using
social proof like reviews, testimonies, etc.
Angie Schottmuller | @aschottmuller

20. Cost-Benefit Analysis
§ SM Labor
§ Awareness
§ Tools & Software
§ Web Traffic
§ Opportunity Costs
§ Advertising
§ IT Labor
§ Lead Generation
§ Training
§ Sales
§ Risk
§ Conversion
§ Customer Retention
§ Loyalty
§ Advocacy
§ Content (Images/Video)
COST
§ Satisfaction
§ Market Research
BENEFIT
Angie Schottmuller | @aschottmuller

21. The only outcomes that matter...
GROW REDUCE
REVENUE
COSTS
IMPROVE
SATISFACTION
Reference: Jim Sterne's book, "Social Media Metrics"

22. Use Social Media to"
GROW SALES

23. Social Media Action Plan
1. Assess Current State
2. Map Strategic Plan (Cascade Business Goals)
3. Define SMART Goals w/ KPI Metrics
4. Inventory Tactics
5. Perform Tactic Competitive SWOT Analysis
6. Perform Tactic Cost-Benefit Analysis (CBA)
7. Select Best Tactics for Goal
8. Implement
9. Review & Analyze
10. Test & Optimize

24. Assessment
§ Current State
§ Metrics Collection
AWARENESS
§ Competitive Analysis
CONSIDERATION
Ask:
CONVERSION
Ø What's currently being done?
Ø What's working?
LOYALTY
Ø What funnel stages need the ADVOCACY
most help?
Angie Schottmuller | @aschottmuller

25. Strategic Plan Mapping Process
1. Determine Scope
WHO?
2. Gather Business Goals
3. Define Mission/Purpose
WHY?
4. Cascade/Set Goals
5. Define KPIs
WHAT?
6. Choose Tactics
7. Define Metrics
HOW?
Angie Schottmuller | @aschottmuller

26. Social Media Strategy Funnel
Angie Schottmuller | @aschottmuller

27. Strategic Planning Map (Template)
MISSION! GOALS! TACTICS!
WHY ARE WE WHAT DO WE WANT HOW WILL WE ACHIEVE
DOING THIS?
TO ACCOMPLISH?
OUR GOALS?
A
ü <Metric>
<TACTIC>
ü <Metric>
<GOAL>
<MISSION>
<TACTIC>
ü <Metric>
KPI:
ü <Metric>
B
ü <Metric>
<TACTIC>
ü <Metric>
<SCOPE> Goals:
<GOAL>
ü <Metric>
ü <dept goal>
A
<TACTIC>
ü <Metric>
KPI:
ü <dept goal>
B
C
ü <Metric>
<TACTIC>
ü <Metric>
ü <dept goal>
C
<GOAL>
ü <Metric>
ü <dept goal>
D
<TACTIC>
ü <Metric>
KPI:
http://bit.ly/somostratplan
Angie Schottmuller | @aschottmuller

28. Social Media Strategic Planning Map
MARKETING SCOPE EXAMPLE:
MISSION! GOALS! TACTICS!
WHY ARE WE WHAT DO WE WANT HOW WILL WE ACHIEVE
DOING THIS?
TO ACCOMPLISH?
OUR GOALS?
?
To build and
engage an army Increase YOY
of advocates sales by 10%
?
that in turn help
to build, KPI Metric:
position, and $ sales in 2013
?
reconcile the
brand.
?
Angie Schottmuller | @aschottmuller

29. How do we increase sales?

30. Sales Funnel Opportunities
ü Boost Awareness
AWARENESS
ü Increase Market Share
ü Generate Leads
CONSIDERATION
ü Acquire New Customers
CONVERSION
ü Retain Customers
LOYALTY
ü Optimize Conversion
ADVOCACY
ü Boost Average Order Value
Angie Schottmuller | @aschottmuller

31. Conversion Rate =
The % of users that complete a
presented action.

32. What can social media bring to
the conversion table?
§ Trust
§ Content
§ Real-Time Response
§ Personalized Content
§ Reduced Steps (Social Integration)

33. Different Types of Social Media...
§ Social Networks
§ Expert Q&A
§ Blogging
§ Review Sites
§ Microblogging
§ On-Site Reviews
§ Bookmarking
§ User-Generated Content (UGC)
§ Media Sharing
§ Social Sign-on
§ Social Listening
§ Star-Ratings
§ Social Curation
§ "Most Helpful" Ratings
§ Discussion Forums
§ Live Help
§ Crowdfunding
§ Geosocial Sites (e.g. Foursquare)
§ Social Ads
§ sCRM
§ Streaming Content
§ Wiki
§ Social Gaming
§ Social Commerce
Angie Schottmuller | @aschottmuller

34. Social Tools to
Boost Conversion
§ Ratings - Stars / "Most Helpful"
§ Social Share Counts
§ Testimonials
§ Reviews (Sites, On-Site, Geosocial)
§ User-Generated Content (UGC)
§ Social Sign-on
§ Social Integration
Angie Schottmuller | @aschottmuller

35. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Star Ratings
Tip: Leverage Schema.org microdata (Aggregate Rating) for
reviews to get rich snippets in search results!

36. "Less than 10% of
reviews are 2 stars
or less."
- Bazaarvoice, Jun 2012 (across over 2,000 clients)

37. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Social Share Counts
Strategically
position quantified
social proof near
the call-to-action
button and/or
page/product title.

38. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Social Share Counts
Only display share
counts for social buttons
that regularly
"quantify attention."
Alternative:

39. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Testimonials
A testimony is
simply a 30-
second summary
of a case study.
Radian6 and MarketMotive
effectively use video and
audio for testimonials.

40. RETHINK TESTIMONIALS...
Image source: http://j.mp/rethinktestimonials

41. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Basecamp.com:
Testimonials
Great
testimonial use
on homepage.
Social proof is
everywhere!

42. Good Testimonials Include:
§ Use of "I" (customer's view)
§ Customer/persona info
§ Problem/challenge info
§ Solution/satisfaction specifics

43. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Product Reviews
L.L.Bean Review:
Persona Details!

44. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Product Reviews
J.Jill Review:
Badges for Personas!

45. "68% of consumers trust
reviews more when they
see both good and bad
scores."
- Revoo Research Report, Jan 2012 - http://j.mp/badreviewscro67

46. "30% of consumers
suspect censorship or
faked reviews when they
don’t see anything
negative."
- Revoo Research Report, Jan 2012 - http://j.mp/badreviewscro67

47. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Product Reviews
Altrec.com - Review Summary:
Altrec's review template includes sub-
ratings by benefits -- aiding speedy review
submission as well as UX and SEO!

48. "Shoppers who seek out
bad reviews convert 67%
more than average
consumers."
- Revoo Research Report, Jan 2012 - http://j.mp/badreviewscro67

49. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Product Reviews
OnlineShoes.com - Review Summary:

50. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Facebook Comments (Widget)
ThinkGeek.com:

51. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
User-Shared Photos
ThinkGeek.com Action Shots:

52. "The more product action
shots a customer sees...
the higher the order
value."
- ThinkGeek.com, Nov 2012

53. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Live Help
IconDirect.com displays actual employees by live chat!

54. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Live Help
Gemvara features Live Chat on checkout page:

55. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Expert Q&A
SKECHERS: (Nov 7, 2012)
§ 32% conversion increase for products.
§ 80% open rate of answer notification email.
§ 51% conversion rate from answer notification email.
§ Reduced bounce rates
§ Decreased customer support requests
§ Resulted in removal of real-time chat (reducing costs)
§ Assisted ability to rank on Google page 1 for "shoes"

56. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Q&A and Review Combos
Site visitors engaging w/ ratings, reviews, or Q&A:
§ Urban Decay (May 2012)
§ 237% increase in conversion
§ 230% increase in AOV
§ Chico’s White House Black Market (Jan 2012)
§ 200% increase in conversion
§ 300% increase in revenue per visitor
§ 250% increase in AOV

57. SOCIAL MEDIA TACTICS TO BOOST CONVERSION
Social to Real World
Connections
HUGE!
Engage social influencers in
the physical world to reap
amazing social and word-of-
mouth PR benefits!
Cheers to @HyattChicago for
going out of their way this
weekend to connect with me
in real life!
Angie Schottmuller | @aschottmuller

58. Action Plan
1. Assessment - Analyze current state, include SWOT
2. Strategy - Map out social media plan by scope
3. Pitch - Present top ideas to IMF
4. Prep - Secure resources, budget, tools, training, etc.
5. Implement - Execute the plan (Abort if necessary)
6. Review - Analyze activity & ROI using multiple metrics
7. Optimize - Gather insights and improve for the sequel
Angie Schottmuller | @aschottmuller

59. Only " It's time for
20% of
YOU to lead
the way.
marketers measure
social media ROI.
- eMarketer, 7 Guidelines of Achieving Social Media ROI, Feb 2010

60. Key Takeaways
§ Measure your social media costs and benefits
§ Leverage your social interactions for conversion
§ Engage your audience for content
§ Negative reviews add value
§ Test the impact of social media/proof
Angie Schottmuller | @aschottmuller

61. "The impossible can
become possible,"
"
IF... YOU'RE...
AWESOME!"
- Rhino [Disney's Movie, Bolt]

63. Not sure if social
media impacts
conversion?
TEST IT!

64. MISSION: Apply these tips, test social proof for
conversion, and share this presentation so your
social media plans don't self-destruct!