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RETURN ON INFLUENCE:
THE
SOCIAL
MEDIA
ROI
MAIN LINE -> SOCIAL MEDIA IS NOT FREE
1. IT TAKES PEOPLE
2. IT TAKES TECHNOLOGY
3. IT TAKES TIME
… ALL OF WHICH ARE LIMITED RESOURCES. YES! THEY ARE :)
Okay dude.
  I’m going to take a chance
on this social media thing you
      are talking about ,
it better make good business
          sense! OK?
Yes Sir!
#1: It will result in a cost reduction.
    Maybe in customer service?




                 Reason #2:
      It will generate more revenue.
   It will give you more transactions,
         more net new customers,
          more customer loyalty,
                    etc.
Ok! Let me figure out what
program I have to cut down
   to fund Social Media
          program.
Remember that our bonuses
       are on the line.
Managing and Measuring ROI on Social Media
Okay, Sexy!
                                  This Social Media thing is ON.




You know we shrank our traditional media
              budget by 10%
  and our outbound call budget by 25%.
Now we can afford a team of social media
    Ninja’s. Dude give me a hell yeah?
Yupiee!!!
I have a job!!!
I told my friends to
                      check out our
                     corporate blog.




     Dude, we are
  Facebook WOW!!!
Let’s start engaging!!!
ONE MONTH LATER…




               Cool.
Oh on facebook! my! We have                      Neat, we even have
          lots of new                          comments on the blog!
   visitors to our website!
   And 2 new applications




                              What about our
                                Twitter?
I Feel Like I'm On Top
of the World
THREE MONTHS LATER…


                      OK.
Guys! Our Google Analytics
     are through the roof!
      Our social mentions
       are wicked good!
We have liftoff with Social Media!
Measuring social media
  ain’t that tough!
SIX MONTHS LATER…

                             Anything?
            Nope.        Increase in sales?
                         Has our customer
                         service improved?
              Nothing.
What kind of mood is
                 The Brand Manager in today?




                   Not good.
He just told me that he doesn’t care how many
 new visitors the website gets, or how many
 Impressions we have, unless it means we’re
              selling more stuff.
Dude. I’m sorry
                                 your Social Media program
                              Isn’t generating revenue for me.
          But why?                   We need to allocate
   Our website is getting          resources where we can
mad hits, Facebook page has             make money.
   more than 60K likes!
And we have 6,000 followers
     on Twitter now!




                                 It’s just business.
                                      You know!
Damn.
 This social media
  measurement
stuff isn’t working.
                           We need to start
                       tying this stuff to actual
                        business performance




                              Where should
                               I start from?
                                 Let’s see…
                            At the beginning?
Managing and Measuring ROI on Social Media
Managing and Measuring ROI on Social Media
I need proof that
 what we’re doing
is actually working.




                START WITH PROOF OF CONCEPT
Managing and Measuring ROI on Social Media
IS SOMETHING HAPPENING HERE?




    7% YOY GROWTH
1.) ‘XXX'CREATES            5.)TWEETUP/ FB              9.)FACEBOOK ADS
       SOCIAL                    EVENTS                     PROMOTING
MEDIA PROPERTIES                                       NEW PRODUCT/SERVICES


             2.)CONTEST ON
             FACEBOOK PAGE        3.)PARTICIPATION &
                                     ENGAGEMENT              8.)SOCIAL MEDIA
                                     WITH THE FANS              WORKSHOP

 7.)'XXX' STARTS TWEETING




     4.) PRESS RELEASE           6.)BLOGPOST           10.)UPLOAD NEW TVC ON
                                                              YOUTUBE
IS SOMETHING HAPPENING HERE?
IS SOMETHING HAPPENING HERE?
MEASURE –
HOW WAS THIS
    GROUP
 INFLUENCED?
We overlaid all of our
                                            Timelines and noticed
                                             that since our social
                                            Media activities began,
                                                   everyone
                                              seems to love us.




                                                Groovy!
       The latest numbers indicate          Let’s figure out
     that our YoY sales $ are up 60%.            what.
Our individual transactions have doubled,
   as have our transacting customers.
          Something’s working!
How long                                        Oh wow.
     will all this                                 This R.O.I. thing
    analysis take?                                wasn’t at all about
                                                  measuring media,
                                                   impressions and
                                                      eyeballs!




   It’s all a process
of elimination, really.
 Isolating patterns,
 quantifying deltas,
  proving ad-hocs…
                                Then all
                           we have to do is
                       figure out what the cost
                      savings and revenue gains
                          are, and plug them
                          into the equation.
I’ll start crafting some
                       wicked blog posts.




    Dudes, we are
      ON THIS!!!
Let’s start engagin’!!!
Finally, someone with some
real metrics for me to sink my teeth into!
   Good job, Sparky! You done good!
So I guess Social Media
is going to stick around a little while
       longer after all, isn’t it?




                                                  Yes sir.
                                          Looks like our budget
                                             is safe for now.
OLD MONK for
  Everyone!
Managing and Measuring ROI on Social Media
THANK YOU


ALL IMAGES ON THIS PRESENTATION ARE COPYRIGHT © 2002 - 2010 NBC, AND ARE THE
EXCLUSIVE PROPERTY OF NBC (UNLESS OTHERWISE INDICATED). ALL RIGHTS RESERVED.

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Managing and Measuring ROI on Social Media

  • 2. MAIN LINE -> SOCIAL MEDIA IS NOT FREE
  • 3. 1. IT TAKES PEOPLE
  • 4. 2. IT TAKES TECHNOLOGY
  • 5. 3. IT TAKES TIME
  • 6. … ALL OF WHICH ARE LIMITED RESOURCES. YES! THEY ARE :)
  • 7. Okay dude. I’m going to take a chance on this social media thing you are talking about , it better make good business sense! OK?
  • 8. Yes Sir! #1: It will result in a cost reduction. Maybe in customer service? Reason #2: It will generate more revenue. It will give you more transactions, more net new customers, more customer loyalty, etc.
  • 9. Ok! Let me figure out what program I have to cut down to fund Social Media program. Remember that our bonuses are on the line.
  • 11. Okay, Sexy! This Social Media thing is ON. You know we shrank our traditional media budget by 10% and our outbound call budget by 25%. Now we can afford a team of social media Ninja’s. Dude give me a hell yeah?
  • 13. I told my friends to check out our corporate blog. Dude, we are Facebook WOW!!! Let’s start engaging!!!
  • 15. Oh on facebook! my! We have Neat, we even have lots of new comments on the blog! visitors to our website! And 2 new applications What about our Twitter?
  • 16. I Feel Like I'm On Top of the World
  • 18. Guys! Our Google Analytics are through the roof! Our social mentions are wicked good! We have liftoff with Social Media!
  • 19. Measuring social media ain’t that tough!
  • 20. SIX MONTHS LATER… Anything? Nope. Increase in sales? Has our customer service improved? Nothing.
  • 21. What kind of mood is The Brand Manager in today? Not good. He just told me that he doesn’t care how many new visitors the website gets, or how many Impressions we have, unless it means we’re selling more stuff.
  • 22. Dude. I’m sorry your Social Media program Isn’t generating revenue for me. But why? We need to allocate Our website is getting resources where we can mad hits, Facebook page has make money. more than 60K likes! And we have 6,000 followers on Twitter now! It’s just business. You know!
  • 23. Damn. This social media measurement stuff isn’t working. We need to start tying this stuff to actual business performance Where should I start from? Let’s see… At the beginning?
  • 26. I need proof that what we’re doing is actually working. START WITH PROOF OF CONCEPT
  • 28. IS SOMETHING HAPPENING HERE? 7% YOY GROWTH
  • 29. 1.) ‘XXX'CREATES 5.)TWEETUP/ FB 9.)FACEBOOK ADS SOCIAL EVENTS PROMOTING MEDIA PROPERTIES NEW PRODUCT/SERVICES 2.)CONTEST ON FACEBOOK PAGE 3.)PARTICIPATION & ENGAGEMENT 8.)SOCIAL MEDIA WITH THE FANS WORKSHOP 7.)'XXX' STARTS TWEETING 4.) PRESS RELEASE 6.)BLOGPOST 10.)UPLOAD NEW TVC ON YOUTUBE
  • 32. MEASURE – HOW WAS THIS GROUP INFLUENCED?
  • 33. We overlaid all of our Timelines and noticed that since our social Media activities began, everyone seems to love us. Groovy! The latest numbers indicate Let’s figure out that our YoY sales $ are up 60%. what. Our individual transactions have doubled, as have our transacting customers. Something’s working!
  • 34. How long Oh wow. will all this This R.O.I. thing analysis take? wasn’t at all about measuring media, impressions and eyeballs! It’s all a process of elimination, really. Isolating patterns, quantifying deltas, proving ad-hocs… Then all we have to do is figure out what the cost savings and revenue gains are, and plug them into the equation.
  • 35. I’ll start crafting some wicked blog posts. Dudes, we are ON THIS!!! Let’s start engagin’!!!
  • 36. Finally, someone with some real metrics for me to sink my teeth into! Good job, Sparky! You done good!
  • 37. So I guess Social Media is going to stick around a little while longer after all, isn’t it? Yes sir. Looks like our budget is safe for now.
  • 38. OLD MONK for Everyone!
  • 40. THANK YOU ALL IMAGES ON THIS PRESENTATION ARE COPYRIGHT © 2002 - 2010 NBC, AND ARE THE EXCLUSIVE PROPERTY OF NBC (UNLESS OTHERWISE INDICATED). ALL RIGHTS RESERVED.