A Quick Guide to Measuring Your ROI for Social Media Campaigns
For businesses, social media spending is increasing in leaps and bounds and a number of companies are getting brilliant results by hiring a premier digital marketing agency. With lots of metrics available for gauging the social media performance of your business in terms of retweets, followers, fans and shares, referral traffic, purchases and other parameters, it would be good to understand what exactly you are getting out of your social media investment.
One of the major challenges about measuring social media ROI is that no common denominator exists. Given this, here are some powerful guidelines to measuring the effectiveness of social media marketing.
Finding out the key performance indicators (KPIs)
Do you aim to build brand awareness or driving revenue is your major goal? This question might seem insignificant, but the differentiation will determine your definition of social media success. If your aim is to generate sales, you must connect your conversion goals with a dollar value, in order to better understand how your social media campaigns are affecting your bottom line. You can seek the assistance of a digital marketing agency for identifying the KPIs.
The meaning of brand awareness may vary from person to person. Consult with all your stakeholders and decide upon a single brand awareness goal.
Synchronizing business objectives with social media goals
You must break down your ultimate big goal into smaller portions in order to have a meaningful and measurable social media campaign. When you are measuring in terms of revenue, your social media goals can be free trials, customer signups or product purchases. Again, if you are tracking brand awareness, followers, brand mentions or impressions can be the probable social media goals.
Bringing in Google Analytics for conversion tracking
The better informed you are about audience behavior, the more effectively you will be able to retain and convert them. In fact, with the right approach and due assistance from the best digital marketing agency in Sydney, you can measure every single goal. Google Analytics comes of great help, as it helps you establish goals you can track, and you can also monitor the frequency with which visitors are completing your defined actions.
Assigning values to KPIs
An expert team of an established digital marketing agency in Sydney can help you set up goals as well as effectively gauge the monetary value of the same. You may consider methods such as:
- Measuring the average purchase occurring through the website
- Gauging the earnings per customer on an average
- Calculating the expenses if you use PPC ads for obtaining similar social media results
Benchmarking against competition
Comparing your social media initiatives with that of your competitors can help you identify areas of opportunity. You can find out things like the most successful platforms or the number of posts published by your competitors per day.
Do not be disheartened, if you find your brand not attaining substantial results against your competitors. Work consistently in association with a result-oriented digital marketing agency and your social media ROI will definitely improve.