The ROI of Social Media Monitoring

1,816 views

Published on

Marshall Sponder (Webmetricsguru.com) explains how to extract ROI from social media data. From his presentation at Monitoring Social Media Boston, 5th Oct 2010.

Published in: Business
1 Comment
2 Likes
Statistics
Notes
No Downloads
Views
Total views
1,816
On SlideShare
0
From Embeds
0
Number of Embeds
121
Actions
Shares
0
Downloads
36
Comments
1
Likes
2
Embeds 0
No embeds

No notes for slide

The ROI of Social Media Monitoring

  1. 1. Measuring Social Media’s Return on Investment (ROI)<br />Marshall Sponder<br />
  2. 2. Many tried to figure out how to measure Social Media ROI including Altimeter Group and Web Analytics Demystified <br />http://www.web-strategist.com/blog/2010/04/22/altimeter-report-social-marketing-analytics-with-web-analytics-demystified/<br />
  3. 3. Define your business goals and tactics - then define your measurement goals and tactics<br />Your Vision (idea)<br />Business Goal (s) <br />Aligned Business <br />And Measurement <br />Goals <br />Measurement Goal (s) <br />Business Tactics<br />Campaign Tactics<br />Measurement Tactics<br />The data you get back from your measurement tactics will confirm or deny your business goals and force you to re-adjust, as needed.<br />
  4. 4. Try it out for real measure Social Media ROI of a popular NYC Restaurant Chain, Havana Central<br />
  5. 5. Is a Tweet worth over a $100 dollars if it happens in a NYC restaurant?<br />Average Opentable Reservation = 3.6 people<br />Average Reservation yields $186.00<br />Average meal costs $51.66 cents<br />EST Value of a tweet = $51.66 x 2 <br />
  6. 6. Is a Tweet worth over a $100 dollars if it happens in a NYC restaurant?<br />Give the customer a drink in real time right after they tweet about being at the restaurant. <br />
  7. 7. Is a Tweet worth over a $100 dollars if it happens in a NYC restaurant?Maybe … if she comes back again – but she didn’t (and tweet about it) - need Social CRM to engage customers ongoing<br />
  8. 8. Start from the beginning – first decide on your business goals then decide your measurement goals<br />How much traffic from Facebook and Twitter should my restaurant be getting?<br />Compete.com Traffic Dashboard, July 2010 for Industry Category: Entertainment Guide: Restaurants and Dining<br />
  9. 9. It’s easier to capture “diagnostic” information but much harder to gather insight from it and most of the time it does not align well, or at all. <br />..and much of your data is “ultraviolet”<br />
  10. 10. You could start by figuring out what data you can overlay<br />But there’s not much you can merge because there’s often no common key all the records share. <br />
  11. 11. We’re only capturing a fraction of the data we need to measure Social Media ROI<br />
  12. 12. Here’s all the data we have and all we are missing<br />
  13. 13. Start by finding Solutions to Bridge the Gaps such as Point of Sale systems that connect with Foursquare coupons<br />http://www.slideshare.net/bdionline/tasti-d-lite-presentation<br />
  14. 14. Examine every campaign you run and examine how you could capture the data<br />But you might need consulting help because it is impossible to come up with solutions when you do not know they exist; need experienced firms to partner with that can implement solutions. <br />
  15. 15. Once you have the data you need you can plug them into a formula<br />Is this query too general or is it too specific?<br />?<br />?<br />But you may not understand the best way to construct the formula for your business and measurement goals. <br />
  16. 16. Summary<br />Most businesses, esp. SMB’s are not yet ready to fully implement the data audit methodology. <br />Once you perform a Data Audit you will learn how to capture data not immediately seen or considered and relate it back to a Social Media effort by linking your measurement strategy and goals with your business strategy and goals.<br />You may need to work on a periodic basis with web developers, programmers, product and sales teams to enable tracking of certain actions as well as assigning meaning to those actions.<br />
  17. 17. Questions & Answers<br />Marshall Sponder<br />www.Webmetricsguru.com<br />now.seo@gmail.com<br />@webmetricsguru<br />READ MY WHITEPAPER ON SOCIAL MEDIA ROI <br />http://www.scribd.com/doc/38176762/Tracking-Social-Media-ROI-using-Spectrum-Analytics<br />

×