Original Date Posted: Jul 17, 2012
By Allie Blankinship
It’s a very tough prospect. In a survey from the Creative Group, marketing executives were asked about the toughest challenge for the agency/firm in relation to social media initiatives. Options ranged from finding the budget to finding the appropriate staff for the initiatives.
Four in 10 executives took a different answer, easily doubling any other answer – “measuring or defining return on investment.” The report clearly places a tangible number to the dynamic of social media ROI (return on investment).
Without question, social media ROI can be a powerful set of statistics to behold. Another important factor to watch for in your business plan is your ROI in email marketing. A great example of this is found withJangoMail email marketing. With a bevy of reporting and analytics features – including opens, clicks, geo tracking, Google Analytics, time-based reports, unsubscribes, and much more – JangoMail email marketing contains powerful tools for measuring ROI on email campaigns.
Measuring Social Media ROI
An interesting infographic from InvetHelp takes a look at measuring ROI on Twitter and Facebook. Some interesting statistics are found on the infographic, such as how Facebook-based ROI is measured by marketers:
- Lead Generation
- Social Mention
- Website Traffic
Imagine having the preceding items quantified. Being able to measure each item for an individual campaign, the company would then be able to observe how a discount, giveaway, or a different marketing-based campaign works versus another.
How could this happen on Twitter, Facebook, Pinterest, and other social media networks? According to AJ Kumar of Social Fresh, the answer is found with Google Analytics. Kumar then gives a detailed, five-step process to harnessing Google Analytics for a particular social media campaign:
- Establish a measurable goal
- Set up Google Analytics goals
- Create Custom Segments for social media traffic sources
- Measure conversions across traffic sources
- Evaluate social media revenue compared to investment
Following these steps can help you measure social media ROI. Along with built-in features on social media sites (i.e. “people reached” and “new Likes” on Facebook), these custom-developed measurements can bring versatility to social media campaigns. Google Analytics certainly represents a helpful tool to this end.
Bringing It All Together
Balancing your marketing campaigns across the board is vital. While social media ROI is incredibly difficult, carrying this out successfully would mean a great deal less, if other marketing efforts cannot be measured accurately.
How will the company/firm measure email campaigns? How will this be compared with social media ROI, as well as other marketing efforts across the Internet?
Indeed, there needs to be consistency. All of these online tools need to mesh together, so that ROI can be compared and contrasted from the sources used – social media, email, and others included.
An important consideration is also found in balance. Aim to coordinate social media ROI with email marketing campaigns, and any other marketing campaigns that are launched. These campaigns can be measured and compared, bringing a high level of functionality to the company or firm.
About The Author
Allie is a freelance writer and consulting analyst who is fascinated by business and finance. In her free time, she is teaching herself to code.