managing and measuring roi on social media

RETURN ON INFLUENCE:

THE

SOCIAL

MEDIA

ROI

MAIN LINE -> SOCIAL MEDIA IS NOT FREE

1. IT TAKES PEOPLE

2. IT TAKES TECHNOLOGY

3. IT TAKES TIME

… ALL OF WHICH ARE LIMITED RESOURCES. YES! THEY ARE :)

Okay dude. I’m going to take a chance

on this social media thing you are talking about ,

it better make good businesssense! OK?

Yes Sir! #1: It will result in a cost reduction.

Maybe in customer service?

Reason #2:It will generate more revenue.

It will give you more transactions, more net new customers,

more customer loyalty,etc.

Ok! Let me figure out what program I have to cut down

to fund Social Media program.

Remember that our bonusesare on the line.

Okay, Sexy!This Social Media thing is ON.

You know we shrank our traditional media budget by 10%

and our outbound call budget by 25%.Now we can afford a team of social media

Ninja’s. Dude give me a hell yeah?

Yupiee!!!I have a job!!!

Dude, we are Facebook WOW!!!

Let’s start engaging!!!

I told my friends to check out our

corporate blog.

ONE MONTH LATER…

Cool.

Oh on facebook! my! We have lots of new

visitors to our website!And 2 new applications

What about ourTwitter?

Neat, we even have comments on the blog!

I Feel Like I'm On Top of the World

THREE MONTHS LATER…

OK.

Guys! Our Google Analytics are through the roof! Our social mentions

are wicked good!We have liftoff with Social Media!

Measuring social mediaain’t that tough!

SIX MONTHS LATER…

Anything?Increase in sales? Has our customer service improved?

Nope.

Nothing.

What kind of mood is The Brand Manager in today?

Not good.He just told me that he doesn’t care how many

new visitors the website gets, or how manyImpressions we have, unless it means we’re

selling more stuff.

But why?Our website is getting

mad hits, Facebook page has more than 60K likes!

And we have 6,000 followerson Twitter now!

Dude. I’m sorry your Social Media program

Isn’t generating revenue for me. We need to allocate

resources where we canmake money.

It’s just business. You know!

Damn.This social media

measurementstuff isn’t working.

We need to starttying this stuff to actualbusiness performance

Where should I start from?Let’s see…

At the beginning?

I need proof thatwhat we’re doing

is actually working.

START WITH PROOF OF CONCEPT

7% YOY GROWTH

IS SOMETHING HAPPENING HERE?

1.) ‘XXX'CREATES SOCIAL

MEDIA PROPERTIES

7.)'XXX' STARTS TWEETING

9.)FACEBOOK ADS PROMOTING

NEW PRODUCT/SERVICES

5.)TWEETUP/ FB EVENTS

6.)BLOGPOST

8.)SOCIAL MEDIA WORKSHOP

4.) PRESS RELEASE

3.)PARTICIPATION & ENGAGEMENTWITH THE FANS

2.)CONTEST ONFACEBOOK PAGE

10.)UPLOAD NEW TVC ON YOUTUBE

IS SOMETHING HAPPENING HERE?

IS SOMETHING HAPPENING HERE?

MEASURE –HOW WAS THIS

GROUP INFLUENCED?

Groovy!Let’s figure out

what.

We overlaid all of our Timelines and noticed that since our social

Media activities began, everyone

seems to love us.

The latest numbers indicatethat our YoY sales $ are up 60%.

Our individual transactions have doubled,as have our transacting customers.

Something’s working!

How longwill all this

analysis take?

It’s all a processof elimination, really.

Isolating patterns, quantifying deltas,proving ad-hocs…

Then allwe have to do is

figure out what the cost savings and revenue gains

are, and plug them into the equation.

Oh wow.This R.O.I. thing

wasn’t at all aboutmeasuring media,impressions and

eyeballs!

Dudes, we are ON THIS!!!

Let’s start engagin’!!!

I’ll start crafting somewicked blog posts.

Finally, someone with somereal metrics for me to sink my teeth into!

Good job, Sparky! You done good!

So I guess Social Mediais going to stick around a little while

longer after all, isn’t it?

Yes sir.Looks like our budget

is safe for now.

OLD MONK for Everyone!

THANK YOU

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