An approach to enable brands to create an ROI framework for all of their social media activity

1. *
Social Media ROI Framework

2. * Key brand challenge in regards to
social media: proving ROI
 According to recent surveys by both the IAB (UK, March 2012) and the
Economist Intelligence Unit (US/Can, Q1 2012)
 This is preventing the correct level of investment in terms of budget
and resources, and appropriate prioritisation of social media amongst
senior management teams

3. * Key planning issue: setting multiple
measureable KPIs
 Social media’s ability to facilitate the exchange of information and
build stronger, deeper relationships ensures it can be used by multiple
teams within an organisation (marketing, customer service,
operations, R&D etc…)
 However, clear business-focused objectives and KPIs are rarely
defined for, and integrated across, all teams

4. * Key planning issue: setting targets
 Many organisations’ social media
programs create significant
amounts of data
 However, often this data does
not relate to agreed business
KPIs
 And, as such, meaningful targets
for activities are rarely set
An example:
 Organisations begin activities The agreement between Burberry and Salesforce was one
of the biggest enterprise social media announcements of
and hope that meaningful 2011.
metrics and results will follow – However, even this agreement seemed based on a ‘launch
and learn’ philosophy with Burberry CTO John Douglas saying,
this approach cannot be “We've got Chatter, and I’m saying 'just turn it on'. What's the
worst thing that can happen?"
sustained

5. * Solution:
Social media ROI framework
 RMM has developed an ROI framework for social media that can be
applied to any organisation’s objectives, current measurement
methodologies and social media activities
 For each business objective, the framework defines a social strategy,
social KPI, method of measurement (dependent on budget), overall
target for social media activity and individual targets for specific
activities
 This framework can be applied to every activity an organisation
performs, which contains a social media element

6. * Examples taken from recent
client frameworks
 For an FS brand, the framework details objectives, KPIs and targets for
the use of social media to manage and prevent crises.
 For a property development organisation, the framework detailed
objectives, KPIs and targets for the use of social media to recruit
graduates

7. * The development process
 Client background research: to ascertain objectives, activities,
measurement methodology and results to date.
– This will typically involve interviews with appropriate stakeholders
 Framework development: to define objectives, KPIs and
measurement methodologies for each business team’s social media
activities
 Market-place research: to inform development of specific targets
 Target setting workshop: using all available, relevant data sources
 Application to current activity roadmap: to set KPIs, measurement
methodology and targets for current activities
 Ad hoc consultancy: to set KPIs, measurement methodology and
targets for new social media activities

8. *
Iain MacMillan
RMM
iain@rmmlondon.com
+44 207 193 4556