What starts with hello, can grow into a trusted relationship and result in revenue …
… but how to measure it?
Here are three resources that provide insight into social media ROI:
- The Social Media ROI Cookbook, from Altimeter
This slideshare offers 6 different methodologies for measuring the results of your social campaigns.
I find it strangely reassuring that even large companies with lots of resources still struggle with finding a consistent way to measure ROI, and “anecdotes” is the leading method.
All 6 approaches are listed below, and more detailed descriptions are available here.2. FREE E-Book: 166 Case Studies That Prove Social Media Marketing ROI
If you follow Rob Petersen, you’ve undoubtedly seen his blog posts with social media case studies that prove ROI. Now, he’s compiled them into an e-book.
The great thing about this book, aside from the obvious abundance of evidence that proves social media value, is as a source for creative inspiration.
His examples cut across every business type and size, so you are likely to find a business similar to your own. It’s a great read. (and available free on his blog).
3. Avinash Kaushik’s Blog: Occam’s Razor
No discussion of social media ROI would be complete without mentioning Avinash Kaushik, Google guru and author of the blog Occams Razor.
His many useful posts tell you which metrics are right for which circumstance. Two of my favorites are here and here … challenging reads, but a good way to start thinking about the metrics that matter.
Now that every click can be measured, social media marketers will increasingly be asked to solve the ROI puzzle.
It’s still early in the game … technology continues to emerge … but these social media ROI case studies and resources are a good starting point.
But in the end, I tend to agree with Avinash Kaushik, who says that “you don’t participate in social media to only drive business outcomes”. True … the value of relationships and other intangibles like customer insight and word of mouth are impossible to measure.
Still, showing economic value, even if it doesn’t capture the entire benefit, will result in better decisions and a higher level of confidence in the value of your efforts, not to mention growing budgets:)
What’s your feeling about the social media ROI question?