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How to measure ROI (Return On Investment) for social media


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How to measure ROI (Return On Investment) for social media

  1. 1. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  2. 2. Define what is your Business Goal You can have one major goal or multiple goals depending on your business issues. MARKETING •  Increase traffic to your site •  Improve brand positioning (have more people talk about the brand) •  Reach a new customer segment •  Set a new marketing message (new positioning, new marketing campaign) •  Set a communication media with customers
  3. 3. Define what is your Business GoalPRODUCT•  Gather customer feedback aboutproducts•  Set up user testing•  Build a customer service•  Launch customer surveys•  Do market research andcompetition analysis
  4. 4. Define what is your Business GoalSALES•  Increase customer satisfaction•  Increase number of recurringsales•  Increase lead generation•  Open a new sales channel•  Reach a new customer segment
  5. 5. Define what is your Business GoalCORPORATE•  Hire talents•  Increase employee retention•  Improve internal knowledgesharing•  Increase internal communication
  6. 6. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  7. 7. Know who your customers areSegment precisely your customers as this is the beginning ofsuccessful ROI with Social Media. Because you will know yourcustomer, you will be able to set up the most appropriate campaign andtarget the most relevant media.
  8. 8. Know who your customers are•  Socio-demographics data•  Usages (psychological data)•  Communication channels•  Expectations in term of sales andmessages•  How do they perceive ads•  What are their social graphs (howdo they link to each other)•  Purchasing decision cycle•  Who do they partner with
  9. 9. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  10. 10. Define the right campaign•  Define the messages•  Define the tone•  Define the formats (video, ads…)•  Define the degree of virality(some formats will be moreappropriate than others for a pureviral campaing)•  Pick the partners you want towork with•  Define your budget•  Define your timeline
  11. 11. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  12. 12. Select the right media for youNot all the Social Media will be successful for you ! And one of thelast thing you want to is be like everybody…
  13. 13. Select the right media for you - ExamplesYou want to launch a new fashionproduct targeting 20-35 years oldwomen. Your business goal is toposition the marketing message andtrigger the first sales…which socialmedia could you select ?•  Blogs•  YouTube•  Viral campaign on Facebook with a socialgame•  Twitter contests for the product on yourcurrent corporate account…
  14. 14. Select the right media for you - ExamplesYou offer a BtoB product targeting bigcorporations and you want to increasecustomer satisfaction and generatemore sales with your installed base…which social media could you select ?•  Webinars•  Forums for tips•  Online advisory boards•  Virtual fairs where customers can meetand talk to each others•  Slideshare to present new products…
  15. 15. Select the right media for you - ExamplesYou acquired a new companyand you want to spread themessage that you now have newoffers in your porfolio… whichsocial media could you select ?•  Blogs•  Twitter•  Slideshare•  Wikipedia…
  16. 16. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  17. 17. Allocate the right resourcesSocial Media require resources to create the content and keep yourcommunities active.
  18. 18. Allocate the right resources•  Think thoroughly to build a team to dealwith social media•  Social Media does not happen by magic,it requires people who know what they aretalking about and not only social mediausers•  Identify internally who are already thebest people to talk about your companyand set up a pod gathering these people•  Work with partners who can leverageyour brand and others who can createvaluable content
  19. 19. © COPYRIGHT PUTTIN’ OUT, LLC. 2011
  20. 20. Measure the resultsYes ROI exists for Social Media ! Depending on your business goalyou can assess if you reached your target. Different measures will beused.
  21. 21. Measure the resultsTRAFFIC•  Number of views•  Number of unique visitors•  Number of returning visitors•  Drop rate•  Location of the users•  Time spent on the site…
  22. 22. Measure the resultsBRANDING•  Number of external links•  Number of conversationsabout the brand•  Quality of the conversations•  Number of active users in thecommunity…
  23. 23. Measure the resultsCUSTOMERSATISFACTION•  Recurring sales•  Number of customers willingto talk in your favor inconferences for example•  Number of user feedbacks fornew products generation andproduct testing•  New revenues generated on anew segment…
  24. 24. Measure the resultsINTERNAL PROCESSES•  Number of qualified candidatesyou reached•  Employees turnover•  Employees satisfaction (do asurvey to know about it)•  Increase in productivity(timelines met, conflictsdecreased…)…
  25. 25. More information? 770.654.1552