What is the ROI of social media? That’s the million-dollar question that every marketer and brand manager would like to answer, every boss wants to see the result ROI from their social media campaign.
Social media ROI is a mystery to most marketers, and the pros who are measuring it all have their own theories and practices. It challenges many folks in the social media space. Not because social marketers aren’t able to, it’s just so difficult to assign cause and effect to a very organic and often unclear activity.
Instead of presenting a formula or product for how to solve for social media ROI, there is something happening that can be measured.
Altimeter offers a great model on how to approach social measurement: Top-Down and Bottom-Up.
In terms of measuring the revenue impact of social media, there is no universal recipe. Since social media measurement is still nascent and organizations are still experimenting with approaches, Altimeter found that the most advanced companies consider the following four factors to determine the appropriate measurement mix:
- Business: the nature and structure of the business
- Product: the nature and type of products or services offered
- Media: type of media being used /li>
- Customer: the nature and type of customer(s)
Check out below this timely and lovely presentation in detail. It tackles issues most organizations suffer from.