Taking the Ruler Out on Profit

How Marketers Measure the Return on Social Media Investment

The infographic entitled “Facebook and Twitter ROI” says:

  • 73% of CEOs think marketers lack business credibility and are not the business growth generators they should be; and,
  • 77% of CEOs think marketers don’t talk about what really matters in business: SALES.

The first assertion is, in my opinion, untrue and denotes lack of knowledge about a marketer’s responsibilities. A marketer’s primary duties are (1) to find out what goods and services consumers want, and (2) to promote that a particular business will have the answer to the general population’s needs. The bottom line, then, is that marketers are concerned about the growth of a business. Without marketing professionals to study the product qualities people are looking for, a business would lose against its competitors and close down.

Sales is not the main concern of marketers; it is their end goal. A sale will not happen if customers fail to see how a business’s commodity is useful for their purposes. Marketers effective in their work know how to connect with customers. They study how to properly persuade people to buy a product or service without alienating them with over-promotion.  This would, of course, make marketers talk more about how and why customer so-and-so liked Item X and not Item Y.

As we can see from the graph above, marketers first pay attention to getting a large number of Twitter followers and/or Facebook fans. Having a large following or fan base is beneficial to spreading the word on a business’s products and services. Once you release news about your latest offering, these people can act as your mouthpieces. They will quickly announce about the upcoming goods you may soon provide. They will call their family, friends, and acquaintances and bring them to see how your new products will come up to scratch.

Website traffic will soon follow a Facebook or Twitter page if it has enough content to engage attention and interest. A fully functioning website should be aesthetically appealing with short and informative content to entice fans and followers to call your place of business. The website should also have at least five to seven pictures that collectively show off a good business image. This would help customers remember your business better and encourage them to either call or visit your shop to look around.

How do you get your followers and fans talking and generating social mentions? According to Alicia Ranch-Traille, what you can do are:

  • Put up a Q&A tab where your customers or would-be customers can ask about their concerns and get timely, detailed, and easy-to-understand replies.
  • Respond back to tweets, messages, and wall posts. If you don’t answer back, customers will think you an uncaring entrepreneur and lose interest in doing business with you.
  • Encourage positive video feedback about your products. YouTube is populated with videos about product reviews. Offer freebies for customers with satisfactory experience with your commodities.
  • Create online forums where you can connect more with your customers and other people interested about your products. Aside from building strong relationships, this technique may establish a firm online presence for you too.
  • Have a page on Facebook? Put up some pictures of your products and persuade customers to leave comments about them. Acknowledge raves and address rants equally to ensure a professional business image.
  • Enter your business in Google Places. Put your business on the map and ask satisfied customers to leave reviews on your business listing. This would pull up your rankings and help you foster a positive reputation.
  • Quizzes, contests, and scavenger hunts can get people talking about your products as well as your website. These activities generate more talk and draw additional attention to your business.

Social mentions trigger lead generation that can help turn people passing by your store’s physical location and web pages into customers. The more popular you are, the more chances you have in getting almost every member of the community to come to your store and be customers for life.

So, come one, come all. Try making a business page on Facebook and Twitter. Still not convinced it will be a good investment? Here’s proof:

How about that? Think of the possibilities of reaping such bountiful rewards like Jimmy Choo, Edible Arrangements, and other businesses experiencing success in social marketing!