06 Oct The Benefit of Knowing Your Social Media ROI
The Meaning of ROI
What does ROI mean? It’s short for Return on Investment. It seems to be a continuous conversation today, but why is it so important to marketing? Measuring a company’s ROI is not very easy. Measuring it depends on what your brands’ goals are, and if they involve more brand awareness or one of several other possibilities. Once you know what is important to the company you can then determine a way to measure success.
The Complex Nature of Social Media ROI
ROI does equal impact, but how and why it impacts a company varies from group to group. When working in social media it is obvious whether or not you are doing your job. Although understanding the return on investment around social marketing is actually incredibly frustrating. 52% of a group of surveyed marketing professionals found that figuring out ROI with social media was their largest frustration. The return on investment with social platforms is based on site visits because of the number of accounts, additional purchases, engagement with your brand, and growth in other numbers within the company. If none of those numbers are changing, then your company will probably not see your job as relevant or necessary for long. If these numbers are changing the company will start to see their return on their investment.
Why do you need to use social platforms?
Social platforms are where employees can learn how people are perceiving your brand. It is a great inside look that you will not find anywhere else. Social media can be used to improve your ROI by just listening to those who are following and talking about your brand.
The Requirements to See ROI
Money and time are a necessity to make this type of marketing see a return on investment. First, having the manpower is essential and having the planning resources. Investing in social ads and bringing in video resources that are necessary is incredibly important as well. In order to keep and maintain a social budget, you will need to be able to show where the money is coming from and how it is coming in through social media. In the next year, 20.9% of marketing budgets are expected to only be dedicated to social media.
Being Successful with ROI
Are you only seeing one area of the business grow from your social media efforts? If so then this is not a complete success. It’s a start, but in the end, you need to see multiple areas of the company grow and on a re-occurring basis. Once you reach this goal it will not be a goal that will maintain on its own but will be something you have to continually strive for. Setting benchmarks and knowing what numbers you need to see at the end of the month is incredibly important. Showing that you are helping and improving multiple parts of the company will show the return on investment in your department.
The Importance of Social Platforms and ROI
Why is the return on investment around social media important? It is incredibly important because it provides insights into the markets we need to be engaging in multiple ways. It has the potential to grow and expand businesses if utilized correctly. Companies have to think that their dollar is being spent wisely, and just raising one area of the company with social platforms will not spell out success.
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Ingrid Gee, Internet Marketing Consultant. Blue Dress® Marketing, an Internet Marketing Company headquartered in Knoxville, TN. Internet Marketing Developed, Implemented and Managed to Full Circle! Organic Internet Search Engine Guru. Turn Key Internet Optimization Programs Placing You Everywhere and Anywhere You Need to Be Online®