Social media in today’s context edges ahead or holds a place corresponding to print and broadcast media. It has turned into an essential marketing channel for businesses. As such, social media now should also be analysed for ROI as other traditional channels are on costs incurred. Social media ROI needs to contribute to businesses’ bottom line.
To ensure that social media investment campaign meets desired results, businesses and individuals need to track how social is influencing every interaction one has with her/his clients.
Few of the steps that can be adopted to measure ROI of Social Media Campaigns-
- Set Social Media goals that support business objectives – If you have set a specific number of leads you’re trying to attain a quarter, set the number of leads you want to specifically be driven by social media. If one of your goals is to increase landing page conversion by 10%, ensure that you’re tracking the conversion rate of people who land on the page through social channels. Audit your existing social media performance to establish baseline targets, and then set appropriate goals for improvement. Key examples of social media metrics to track include:
- Site traffic
- Leads generated
- Sign-ups and conversions
- Revenue generated
It’s important for social data to be relevant to stakeholders within your organization, not just social media practitioners. Tying social media to the big picture by linking it to organizational and departmental goals will help you achieve that.
- Select Social Media Analytics Tools to Measure Your ROI – Once one has established your social media goals, she/he will need to identify and implement the tools and processes required to measure the ROI on your social media. This may involve adding tracking codes to URLs, building custom landing pages, and more. Here are few tools to use –
Here are some to consider:
Google Analytics: Track website traffic, on-site conversions, and sign-ups originating from social media campaigns.
Salesforce: Add Salesforce tracking codes to the links you share on social networks. When paired with marketing automation software like Marketo, you’ll be able to track sales leads back to specific campaigns or social messages.
- Track and determine Social Media ROI – Once goals have been set and social media analytics have been chosen, it’s time to actually track your social media ROI. The ability to track should be built into everything you do on social media, so you’re never left scrambling to try and prove the success of a campaign. Creating analytics templates will allow one to track desired metrics without having to build out custom reports for each campaign. These reports will also present the data in an easily digestible way, allowing you to simply and effectively share your ROI on social media with higher ups in the organization. Also, one needs to check multiple social media metrics frequently, often daily, to ensure that your social media goals are being met. The lifecycle of social media campaigns is often very short, so you need to stay on top of the data as it happens. Choose a timeframe that works, and stick to it. One can often have reports sent to your email inbox on specific days of the week so you don’t have to even remember to pull reports yourself.
- Adjust and Improve – Once one has identified what works and what doesn’t work on social, it’s time to adjust your strategy. The point of tracking your social media ROI isn’t just to prove your social campaigns are valuable, it’s to increase their value over time.
Due to the short life cycle of social media campaigns, a failing campaign should be changed and improved as soon as possible. Social media is never static. To meet your social media ROI goals, you’ll need to constantly update and adapt your strategy taking into account the analytics data you’re tracking.