e-marketing
How to measure Social Media ROI? (Part 1)
Marketing campaigns can sometimes become very expensive. For this reason, it is important to calculate if the campaign brings you customers or new sales and if you’re making any money out of it. This is standard for traditional media in most businesses. However, when it comes to social media, most don’t calculate the return on investment (ROI) of their efforts.
I think the biggest reason businesses don’t track their efforts is because of the lack of tools and standardized metrics. Here are some ideas of what can be used to get meaningful results.
First, you need to set objectives. It is unlikely that you would want to put money into something that wouldn’t be profitable. The goal could be revenue (sales), new members, exposure, etc. What is important to know is how much money a new member or a published article will bring your company.
For example, let’s say an average member who found your website on a social media website spent $10 on your products, you can extrapolate the ROI by calculating how much money needs to be spent to acquire one member based on previous campaigns. Then just make sure it’s profitable!
To be continued…
eMarketing Strategist
Tags: e-marketing, ROI, Social Media
