Five Steps to Measuring Your Social Media ROI


Even though social media spending is projected to account for 16% of the digital ad market by 2017, how many of us really understand what we’re getting out of it? There’s no shortage of metrics to gauge performance — you could measure in terms of fans, followers, retweets and shares. Others look to referral traffic from social media platforms. Still others quantify success from purchases made from social media referrals.

The fundamental problem with social media marketing is that there is no common denominator to measure its ROI. Because of this, the effectiveness of social media has been measured haphazardly at best, and not at all in some cases.

Research firm TrustRadius recently found that demonstrating ROI is the number one challenge among marketers, with 60% naming this as one of their top three challenges. So how do you tackle this challenge?

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