Marketing managers want tools for measuring social media ROI but the answer may be found in recognizing patterns, reporting on results and establishing closed-loop business models.
Tools can measure quantities but interpreting patterns may be your best bet in substantiating your efforts. In his four part series on measuring social media, J. Michael Roach at Kimbermedia summarizes ways to obtain information/analytics on social media interactions. He covers Facebook (Insights), Twitter (www.twentyfeet.com), LinkedIn (Page analytics) and Google (Google analytics). Obtaining and understanding the data requires monitoring and evaluation. He writes “…notice how different types of content will generate more interest than others.”
In his recent post, 5 Ways to Measure Results of B2B Social Media, Jeffrey L. Cohen expresses the importance of measuring and reporting on social media results. He says it determines success and shows value. I would add another reason: show where improvement can be made. He advocates measuring followers, conversions, leads & sales, cost savings and ROI to get a clear picture.
Giselle Abramovich celebrates the arrival of social media ROI. She cites the Link Like Love platform introduced by American Express. The platform is described as a closed-loop business model. Cardmembers can sync their cards with Foursquare, Twitter and Facebook to get deals and offers from partner companies. Accounts are credited after purchases. The purchase can be tracked to the channel it came from.
In order to measure social media ROI marketers need to understand the strength and weakness of metrics, how to report results, and look at the advantages and disadvantages of the business model. What content is generating leads? How many subscriptions have been added? What platforms have the highest conversions? It takes more than numbers to understand the dynamic of social media and its return on investment.
Do you have a plan or process for measuring social media beyond ROI?
