August 28, 2018 Shock Media Studio

Social Marketers: Time to Redefine ROI

Do you constantly check how many people have clicked on your FB ads?

Do you then compare the numbers with those who went ahead to buy your product?

STOP!

This obsession is not worth your time.

Different Game, Different Rules

Focusing on sales alone might work for an offline business but social media marketing is a whole different ball game!

Did you know that the #1 struggle for social marketers is to define the return on investment or ROI? They simply don’t know which measure to use as a base to monitor the success of their brand!

ROI in marketing is commonly focused on the direct attribution to sales i.e. how an FB campaign is driving people to the checkout page.

However, this doesn’t reflect what social marketers are usually aiming for. The infographic below shows social marketers goals ranked from top to bottom based on a recent survey.

The #1 goal for social marketers is to increase brand awareness, NOT to generate sales (that’s the fourth priority). This is followed by increasing community engagement and web traffic.

The common thread that the top 3 goals have is that they involve active interaction with the consumers. The more people who know your brand, the higher the chance your product or service will be purchased. Makes sense, right?

Therefore, looking only at the number of people who buy your product or service–the typical base for ROI–is not an effective way to measure brand awareness. It just doesn’t work that way in the realm of social media because there’s a lot more going on before consumers decide to buy your product.

Content That Converts

In reality, social’s true value isn’t in direct attribution, it’s in the awareness and consideration stages of the funnel. This is where the right kind of content is key to attracting your target audience.

Be it regular posts or FB ads, most marketers put every effort into content creation–rightly so. However, instead of monitoring the performances of those posts or ads, they measure the sales generated at the end instead.

And that’s a mistake.

Do you now see the contradiction?

You’ve put so much effort on the first stage of the funnel but you don’t measure the performance at that stage.

Wouldn’t it be more reasonable if the performance of your content or ad acts as a measure of ROI? Measuring sales has its significance, yes, but it shouldn’t be the primary measure of ROI.

By looking at how your posts are doing in terms of engagement with your audience, you can then know how effective those posts are in converting your audience into consumers, which would then reflect on the sales of your product.

If there’s little engagement on your post, it’s most likely that you won’t get a lot of sales from it. You’d know then that you need to create content that converts.

So instead of measuring your brand’s success through the generation of sales, perhaps you should consider measuring the performance of your content. Regardless of how well (or not) the sales are, if you’re not connecting your consumers to your brand, then sales can’t be guaranteed in the long run.

By focusing on content performance, you can gauge what kind of content actually works for your target market.

So don’t worry about sales–just focus on how well your content is doing in leading your audience to the checkout page!

 

INCREASED CONSIDERATION + EXPANDED AWARENESS = HIGH ROI

 

“But how do I measure my brand’s social performance?”

Lucky for you, we offer free consultation where we’ll guide you towards redefining your brand’s ROI!

Fill in the form below and we’ll get in touch with you soon!

Tagged: , , , , ,

Leave us a Message!

That’s right, you have taken the 1st step in getting ahead of your competition by leaving us a message here. One of our team members will have a coffee chat with you and walk through the options so that you get the right step in moving forward to win!