In the age of Web 2.0, it no longer come a surprise that a lot of businesses are taking advantage of social media nowadays. It also makes perfect sense because this is where most people spend majority of their time. But does it really work?
Measuring Social Media Marketing’s ROI
Facebook marketing company Pagemodo recently conducted a research, revealing how much faith businesses put in their social media marketing. As a result, they came up with an infographic, examining whether brands can find a measurable return on investment in social networks.
According to the infographic, 64% of businesses that invest in social media marketing are positive that it will eventually produce a measurable ROI, while 6% of them believe that it is unlikely. In relation, majority of the brands measure the success of their campaign through “number of linking as friends, followers and likes.” It is also composed of other social media-related actions such as sharing, re-tweeting, increase in sales that can be attributed to social media and more.
How Businesses Measure their Social Media Campaign’s Success
Although measuring the success of a particular online marketing campaign is important, there’s no concrete method of doing it in social media marketing. Nevertheless, some businesses were able to find a way on how they can track their campaign’s performance.
Measuring by Social Networks:
Because each social network has its own strengths, businesses measure the success of their campaign on each website separately and evaluate which helps the meet their goals the most.
Social media is a great tool to drive traffic to a business’s website. But what brands really want is conversion. Businesses can measure the success of their social media campaign by analyzing which networks brings in the most visitors that turns into customers.
Another way for businesses to measure the social media ROI is to monitor how much time it takes for their social media lead to become part of the sales cycle.
Social Media Traffic:
Social media is used to expand brand awareness, that’s why businesses also measure the success of their campaign through the traffic and leads that they get from social networks. By knowing which type of content gets the most visitors, they are able to tailor their campaign based on which draws the most attention.
It appears that traffic, leads and conversion rates are the only measurable component of social media marketing as of the moment. Regardless, it provides businesses with better idea on how their campaign is driving sales and revenue.