The Quick And Easy Way To Calculate The Return On Investment From Social Media
How do you evaluate the efficacy of your social media efforts? How can you turn retweets and facebook likes into a profit? Advertising on social media platforms is now standard practise …
How do you evaluate the efficacy of your social media efforts? How can you turn retweets and facebook likes into a profit?
Advertising on social media platforms is now standard practise for companies of all sizes and in all fields. It’s regularly listed as a top digital marketing tactic, but how can you tell whether it’s actually producing results for you? How can you calculate the return on investment (ROI) from social media activity such as comments and likes?
Learn how to calculate the return on investment of your social media efforts by reading this post.
You should track your social media return on investment because…
You are spending time, money, and effort on your social media marketing plan, just as you would on any other kind of advertising. It’s only reasonable to wonder if your efforts are actually paying off.
Measuring your social media performance helps you understand what you’re doing well or wrong and what you can do in the future to truly attain your objectives. This is not to imply that you should abandon social media if you’re not seeing a clear return on investment.
Calculating a return on your social media investment means doing more than counting dollars and cents; it means optimising and bettering your approach based on what you’ve learned from your social media efforts. In addition, it will show you where your efforts are producing the best returns so you can focus your efforts there.
One should begin with their goals.
Knowing your end goal(s) can help you choose the right metrics to track in order to calculate your return on investment.
Your business objectives will help guide the development of your social media objectives. Focus for a month on increasing your social media traffic by 20%, but it isn’t sustainable in the long run, so you’ll need to revise your goals as you go along. As an alternative, you may find that Twitter generates significantly more traffic than other social networks, prompting you to shift your approach to place greater emphasis on Twitter.
Set Key Performance Indicators
Next, you’ll want to choose the metrics you’ll be monitoring and measuring to determine whether or not you’ve succeeded in reaching your social media goals.
If you can’t quantify a target, you should come up with something else to aim at instead.
If increasing social media traffic is an objective, then tracking both social media and website hits is essential.
Tracking the success of your efforts to convert social media website visitors into leads is essential.
Increased brand recognition may be achieved by focusing on your audience’s participation and the number of people that are following you.
Initiate metric tracking
Now that you have a clear idea of your goals and the indicators you should be monitoring, you can begin doing so.
When it comes to monitoring the efficacy of your social media efforts, one of the best tools you can utilise is Google Analytics, and it won’t cost you a dime.
One apparent one is to monitor your website’s traffic.
The actual conversions, or what your (social media) visitors are doing on your site, may be monitored in great detail.
You’ll be able to monitor the number of people from your social media channels that sign up for your newsletter, make a purchase, schedule an appointment, and so on by customising up to 20 conversion objectives here.
You may assign a monetary value to each objective in Google Analytics, which will make it easy to monitor the return on investment (ROI) of your social media efforts.
Make a marketing plan based on facts.
Measuring the return on investment for social media marketing in the digital realm is challenging. That’s why we advise you to talk through your marketing plan with a pro on a free 1-on-1 conversation. During your private session, we’ll help you pinpoint the specific obstacles and openings in your digital marketing strategy that will have the most impact on your company’s growth.
Monitoring Your Social Media Activity
The number of clicks each post received may be seen in your social media statistics (like Facebook Insights).
That’s important data, but it may not tell you much about how people are engaging with your social media posts. You can see which articles were the most popular, but it tells you nothing about how long people spent on your site or what they looked at. This approach also makes it harder to understand the performance of specific social networks.
It takes more than just looking at your social media statistics and some Google statistics data to determine the value of your social media efforts. This is the path to take if you want to get the most out of your analytics (and get true readings of your results):
Establish your goals for using social media: establish your goals before proceeding.
Determine the Key Performance Indicators (KPIs) that will be used to evaluate your success in reaching your goals.
Begin keeping tabs!
Make use of analytics to learn not just if your investment is paying off, but also what you can do to improve your social media performance. Get in touch with us today to learn more.