A lot of brands and businesses invest in social media marketing only to receive half the returns of what they invested. There can be a number of reasons for failure and pinpointing the causes can be difficult. To understand what’s working and what isn’t, measuring your social media ROI becomes important. What it does is, helps you dedicate your time and effort in techniques that are actually working for your brand.
Here’s how to measure your social media ROI as suggested by a digital marketing agency in gurgaon.
The first step for any social media marketing agency is defining set objectives for its social media. Do this to stay on track while also keeping in mind that the goals should be realistic, achievable, quantifiable and specific to your social media campaigns. Once you have that decided you know what you are looking to measure and that figure will help you decide how to propel the campaign success further.
Measuring the Right Metrics
Like, shares and mentions all work but the problem with them is that they are just surface metrics. For a digital marketing services company it only clarifies the engagement that it received but does not really point out how many of those engagements are actually acting on the desired action. These metrics are thus called vanity metrics. What you actually should be studying is brand awareness, customer experience, conversion rates and more.
A web marketing agency would track its investments to measure whether its investments are going uphill or downhill. This includes tracking your man-hours, cost of content creation, cost of social media tools and the ad costs. Once you have a final figure you will have a standard for comparison. How you can make that easier is by using the following formula – earning-costs x 100/costs. Use this formula for all your social media platforms and it would help you decide what’s working for the brand and which platform works best to gain traction and conversions.
There are a number of tools that can help you measure ROI with ease.
- Google Analytics: It measures website conversions and how much traffic you are gaining from your social media.
- Kissmetrics: It helps you monitor ROI on all your platforms.
- Customer Lifetime Value Calculator: This tool helps you see how much will a lead cost and whether its worth it or not.
- Social Media Listening Tools: It helps track your brand and product mentions.
- Set quantifiable and achievable objectives so you know how to measure your ROI.
- Measure metrics like conversions, brand awareness etc. as compared to likes and shares.
- Track how much you invest so as to set a standard for comparison.
- Use ROI related tools to analyze easily what is working for your social media.