>>> SOCIAL MEDIA MARKETING ROI CHEATSHEET 40 WAYS TO MEASURE YOUR SOCIAL MEDIA ROI. we inspire people to take action

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1 >>> SOCIAL MEDIA MARKETING ROI CHEATSHEET 40 WAYS TO MEASURE YOUR SOCIAL MEDIA ROI we inspire people to take action

2 OBJECTIVE KPI METRIC + REVENUE SALES LEADS CUSTOMERS WEBSITE CONVERSIONS - COSTS STAFF TIME ADVERTISING CONTENT + CUSTOMER SATISFACTION / INSIGHTS + BRAND RECOGNITION / SENTIMENT QUESTIONS AUDIENCE DATA SURVEY RESPONSES CUSTOMER GENERATED CONTENT REACH ENGAGEMENT CONTEST ENTRIES TRAFFIC NEW MARKET ACCESS SHARE OF VOICE SENTIMENT COMPETITOR ANALYSIS $ sales % conversion rate # qualified leads # new customers # repeat customers # new markets accessed $ one-time value of new customer $ lifetime value of new customer # newsletter signups # time spent on specific page # queries / forms submitted # hours spent $ personnel cost # hours / $ saved using social media tools $ estimated advertising value of reach $ estimated advertising value of traffic # views vs estimated cpi / cpm # items of user generated content # questions answered by brand # questions addressed by community # reach demographics # geolocation check-ins # responses received # insights / comments generated # images / videos uploaded / tagged # stories, comments, posts provided # new likes / lost likes # social mentions # twitter reach # retweets / replies / favourites / mentions / repins / comments # people talking about this # entries # social traffic referrals # time spent on website # social mentions by target demographic # website visits by target demographic # social mentions by target influencers # social mentions vs competitor # positive / negative mentions # likes / followers / engagement 2

3 >>> 40 WAYS TO CALCULATE ROI ON SOCIAL MEDIA Calculating social media return on investment (ROI) can be tricky and it is not realistic to track every possible metric for every marketing campaign. We provide a range of ROI metrics, so you can choose a few to suit each campaign. TO GET THE MOST FROM THIS RESOURCE, WE SUGGEST YOU: 1. Set the main goal for your campaign or tactic 2. Align a KPI (key performance indicator) with that goal 3. Select a metric(s) to assess KPI SET OBJECTIVES ESTABLISH KPIs ALIGN METRICS IMPLEMENT CAMPAIGN MEASURE RESULTS COMPARE 3

4 >>> EXAMPLES OF ROI CALCULATIONS HERE IS AN EXAMPLE OF HOW TO CALCULATE A SAMPLE ROI METRIC FROM EACH OF THE OBJECTIVE CATEGORIES: >>> INCREASE REVENUE E.G. $ SALES For example, you run a Facebook advertising campaign to sell tickets to an activity event you are running. OBJECTIVE Increase revenue by selling [specified number of] tickets to existing and new fans. KPI Sales / revenue METRIC $ and % sales vs advertising spend Before setting up your ads, you need to set up a custom landing page or unique tracking code on your website, so that you can differentiate sales from this specific ad from sales from other sources. CALCULATE YOUR RETURN ON INVESTMENT AS A PERCENTAGE OR DOLLAR AMOUNT; PERCENTAGE IS USEFUL FOR COMPARING CAM- PAIGNS. ROI PERCENTAGE IS GAIN LESS COST, DIVIDED BY COST: FORMULA [(gain cost) / cost] * 100 = ROI e.g. You make $4,000 ticket sales from $1,000 Facebook advertising: [($4,000 - $1000) / $1000] * 100 = 300% ROI >>> REDUCE COSTS E.G. $ ESTIMATED ADVERTISING VALUE OF REACH The value of reach that you have achieved through organic (non-paid) social media marketing activity may be calculated by estimating the equivalent cost of display advertising impressions, which equates to return on investment on time spent. OBJECTIVE Save money by reaching potential customers via organic social media marketing activity KPI Savings in advertising spend METRIC $ Estimated advertising value of reach FORMULA # social mentions x estimated CPI (cost per impression)= equivalent advertising value e.g. You get 1,000 social mentions from a marketing tactic. From your experience, you assign an estimated cost of $0.07 per impression (CPI): 1,000 x $0.07 = $70 equivalent value 4

5 >>> EXAMPLES OF ROI CALCULATIONS HERE IS AN EXAMPLE OF HOW TO CALCULATE A SAMPLE ROI METRIC FROM EACH OF THE OBJECTIVE CATEGORIES: >>> IMPROVE CUSTOMER SATISFACTION / INSIGHTS E.G. # IMAGES UPLOADED / TAGGED Encouraging customers to share brand-related images is a great way to build and engage a community, increase brand awareness and gain images for future use (with permission). This may be achieved by encouraging cross-platform image sharing using a specified hashtag, through contests and advertising. OBJECTIVE Gain and disseminate images of happy customers enjoying your product KPI Number of images generated, reach of generated images METRIC # tagged images uploaded to all social media platforms Additional metrics in this case could include # social mentions, $ advertising value of reach or $ estimated cost of professional photography. CASE STUDY #TruckeeMoments, a successful user-generated campaign created by Out & About Marketing >>> INCREASE BRAND RECOGNITION / SENTIMENT E.G. WEBSITE VISITS BY TARGET DEMOGRAPHIC To measure the effectiveness of a social media marketing campaign in attracting a specific new market, you can track the traffic of this demographic to your website. Create a landing page customized to your target region, language or customer and track social referrals to this page using Google Analytics. OBJECTIVE Attract # [specific number] of [specific demographic] to your website KPI Increased website visits and brand awareness in target region / demographic METRIC # Social referrals to customized landing page used in campaign In Google Analytics, go to Acquisition > Social > Landing Pages and under Secondary Dimension select Social Network. This will show you the number of visits to this page referred by each social network. >>> START TODAY! PICK JUST ONE METRIC FROM THE TABLE AND START MEASURING IT RIGHT NOW, WHILE IT IS FRONT OF MIND. 5

6 >>> OUT AND ABOUT SERVICES Out&About Marketing is a strategically integrated digital communications agency specializing in effective storytelling and word of mouth marketing. We accomplish this through strategy, digital marketing, content creation, creativity, cross-platform campaigns, social media marketing, influencer outreach, analytics, online advertising and hard work. Strategic Marketing Content Marketing Creative Campaigns Social Media Marketing Online Advertising Website & Marketing 6

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