How to Measure Social Media ROI
As one of the top digital marketing channels for businesses, social media is a critical component in your company’s success. Here’s how to engage your network, drive collaboration, stay up-to-date, and share best practices.
Every business should be able to calculate their social media return on investment. By tracking ROI, it shows the monetary value of your social media campaigns. You can double down by using marketing methods that work and avoid ones that dont. Social media is a crucial part to anyone’s marketing strategy if your goal is to drive brand awareness.
Here’s how you can measure your social media ROI and improve your content.
What is Social Media ROI?
When you’re looking to increase your social media ROI, it’s important to know how to calculate the value of your activities.
The calculation is simple: (return – investment made) / investment made X 100 = social media ROI.
If your ROI value is more than 0 percent, it means you’re making money from your campaigns. If it is anything below that, then you are losing money.
ROI calculation depends on your goals and objectives as an organization. Different organizations will have different objectives. There are many social media goals you can choose from. It all depends on your core objective, which could be:
- New followers
- Click-through rates
- Completed lead generation forms
Metrics Used to Measure Social Media ROI
Your social media strategy is the backbone of your business. Without it, you’re just flailing around in the dark, hoping that things work out.
And they won’t. It’s time to get a plan in place.
- Engagement – This metric is measured by the level of people interacting with your content and brand. A recent study shows that over one third of executives that create content are using engagement as a way to measure their contents performance. Clicks, likes, shares and brand mentions are all part of tracking engagement for you social media channels.
- Reach- This metric is measured on views and interactions with your company on social media. Reach can be harder to measure than engagement because it only factors how many people saw your post.
- Leads – This metric is generated by social media, and it’s important to know which channels provide the most leads and what content drives those leads. The best way to achieve ROI with leads is by linking your campaigns to your activity.
- Conversions – This metric uses UTM parameters on the links within your posts so you can track clicks by each campaign and platform.
When you have all four of these metrics implemented correctly, it will drive ROI to your business.
Best Way to Track ROI
Once you have your plan laid out and you know which targets you are hitting it is time to set up a system for tracking your ROI. There are so many different types of platforms on the market that do a variety of things for you. The simplest way to do this is by using Google Analytics and setting up goals and event tracking.
Google Analytics is a simple tool to use and their help page provides their users with a step-by-step guide on how to use their program. Most importantly, Onimod Global is a Google partner. Google Partners are online marketing companies, trusted and recognized for exceling with Google’s products.
As more customers use social media to browse, connect and purchase, marketers need to know how social media continuously evolves. No matter what your ROI percentage is, there is always room for improvement. Some last key things to remember are:
- Understand your audience – make sure you know who is interacting with you and how you can provide them with content that will engage them.
- Think outside the box – quality not quantity, take time to create interesting and engaging content for your audience.
- Test and Optimize – fine tune your organic social posts by using new imagery, keywords and headlines.
At Onimod Global, our goal is to help you align your content marketing efforts to real business results. Our data-driven content strategies make it easy to understand your audience’s needs, where your competition is winning, and areas where you have an opportunity to lead your industry.
As a Chicago-based, in-house marketing team, we are your partner experts for specific marketing verticals or some nice balance in between. We excel in customer service and will teach you the most relevant and up-to-date digital marketing skills.
Have questions about creating your online presence and need help strategizing? Contact us here today.