Measuring Social Media ROI

What’s ROI?

ROI

Sales funnelThe AIDA Model

Metrics for the sales funnel

Most of us are measuring the wrong stuff

Measure “hard” objectives

• Increase awareness among target audience by 15%

• Increase revenue by $5M

• Drive 100 downloads of brochure

• Encourage 10,000 adults to quit smoking

Examples

Measuring Cost effectiveness of tactics

Use a result-focused measurement framework

KPIs vs diagnostic metrics

How we measure

Incorporate measurement at every stage

Always-on cross media tracking

Some Insights

• “By starting earlier and using social media to spread the word about the new product, we’re really reducing the amount of traditional advertising we have to spend.” - Jim Farley, Ford CMO

• Four out of five consumers said they would be more inclined to buy a brand more often in the future after being exposed to a brand’s social media presence – AIB Research

• After seeing a friend’s social signal (like, re-tweet, comment), 7% of his/her acquaintances will consider the brand in conversation, and 42% of his/her close friends will want to buy - Rotterdam School of Management white paper

Thank You