1. How to Measure the ROI of
a Social Media Campaign
Brought to you by
Jamie Turner
Author, “How to Make Money with Social Media”
Chief Content Officer, The 60 Second Marketer
2. Jamie Turner
• Chief Content Officer of the 60
Second Marketer, the Online
Magazine for BKV Digital and Direct
Response
• Has helped AT&T, CNN, The Coca-
Cola Company and Cartoon Network
grow sales and revenues with new
and innovative marketing programs
• Profiled in the world’s best-selling
advertising and promotions textbook
• Co-author of “How to Make Money
with Social Media,” reviewed as “the
best social media book available.”
3. Jamie Turner
• You can contact Jamie Turner for
consulting and speaking engagements at
Jamie.Turner@60SecondMarketer.com
• You can buy his book by clicking here:
Barnes & Noble, Borders or Amazon
4. The Gartner Hype Cycle
The Gartner Hype CycleSocial Media
is Here.
5. First the Bad News
If you’re going to avoid the Great Social Media
Crash of 2011, you’re going to have to know ...
Math
16. Evolution of Marketing
Agency Power Company Power Retailer Power Customer Power
Madison Avenue Research Companies Finance Public
1950s to 1970s 1980s 1990s 2000s
Creative Strategy Value Reputation
Source: Reshma Shah, Ph.D., Emory University
19. Social Media Use by 18-29 Near Saturation.
65+ is Fastest-Growing Segment
0
23
45
68
90
Sept., 2005 May, 2008 Nov., 2008 Apr., 2009 Dec., 2009 May, 2010
U.S. Internet Users Who Use Social Network Sites, by Age, 2005-2010
18-29 30-49 50-64 65+
Source: Pew Internet & American Life Project, “Older Adults and Social Media,” Aug., 27th, 2010
22. Social Media Business Models
Branding: Use social media as a branding tool to build awareness and
connect with customers
23. Social Media Business Models
E-Commerce: Drive prospects to an e-commerce landing page and convert
those prospects to customers
24. Social Media Business Models
Research: Use social media as a research tool to generate customer input
and feedback
25. Social Media Business Models
Customer Retention: Use social media as a customer retention tool to reduce
churn
26. E-Newsletter
60 Second
Marketer Website YouTube
Channel
Speeches
Events
Blog Postings
Online Seminars
and Webinars
eBooks
Twitter
Forums
Mobile Media Books
Social Media Case Study
28. Social Media Business Models
Lead Generation: Drive leads to a website and re-market to those leads,
ultimately converting them to customers
E-Newsletter
Website
YouTube Videos
Speeches
Events
Blog Postings
Webinars
eBooks
Twitter
Forums
Mobile Media Book
Your Company
31. Social Media Overview
LinkedIn is a Trade Show -- a slightly more formal place to meet
other business professionals and connect with them primarily for
business purposes
Facebook is a Pub -- an informal place to talk casually with
people and get to know people on a more personal basis
YouTube is Times Square on New Year’s Eve -- a place
where it’s hard to break through, but if you do, a lot of people
will see you
MySpace is like Woodstock -- wild, crazy and perfect for
the younger generation or cause-oriented marketing
Twitter is like a Cocktail Party -- it’s an energetic place where
there are many conversations going on at once
32. Social Media Overview
1. Blogs
2. Bookmarking and tagging
3. Content aggregation
4. Crowdsourcing and voting
5. Discussion boards and forums
6. Events and meetups
7. Photosharing
8. Podcasting
9. Presentation sharing
10. Ratings and reviews
11. Virtual worlds
12. Widgets
13. Wikis
14. Email marketing
Source: Mashable
37. How to Make Money with Social Media. Now available everywhere.
How Not to Run a Social Media
Campaign
1. Don’t upload your corporate
YouTube video and claim you
have a “social media campaign”
2. Don’t sit on the sidelines
3. Don’t downplay the importance
of social media
4. Don’t think you can do social
media in 10 minutes a day
5. Don’t think social media is just
about YouTube, Facebook and
Twitter
6. Don’t assume social media can’t
be measured
Source: http://60secondmarketer.com/blog
38. How Not to Run a Social Media
Campaign
7. Don’t forget that social media is
about mobile media, too
8. Don’t think that social media is
like traditional marketing
9. Don’t believe the hype. Social
media is one of many tools in the
marketer’s toolbox
10. Don’t think that you can run a
social media campaign in a silo.
It’s about engaging across many
platforms
40. Four Steps to Making Money with Social
Media
• Step #1: Build awareness
• Step #2: Drive prospects to
your website, blog, LinkedIn
group, Facebook page, e-
Newsletter or YouTube channel
• Step #3: Build trust and
increase demand
• Step #4: Cash their checks
41. Goals, Strategies and Tactics
• Your goal is your final destination. It’s the ultimate objective of your
efforts
• A strategy is the approach you’ll take in an effort to achieve your
goals
• A tactic is the tool you’ll use as part of your strategic approach
42. Goals, Strategies and Tactics
The Coca-Cola Company (Large)
• Goal: To increase demand for
their soft drink among users
and non-users throughout the
globe
• Strategy: To position Coca-Cola
as the classic, authentic and
genuine original
• Tactics: To use TV, radio, point-
of-purchase, mobile media and
social media to constantly
remind people that a refreshing
Coke is usually just a few steps
away
43. Goals, Strategies and Tactics
Tony’s Italian Restaurants (Medium)
• Goal: To encourage members of
the local community to visit all
the Tony’s locations more
frequently
• Strategy: To provide special
offers to customers who
frequent Tony’s more than once
a month
• Tactics: To use social media,
including Foursquare and
Gowalla, to distribute rewards to
frequent diners
Tony’s
Italian
Restaurant
44. Goals, Strategies and Tactics
Jane’s Interior Design (Small)
• Goal: To generate more leads
for her business
• Strategy: To position Jane as
the local authority on interior
design
• Tactics: To use Twitter, LinkedIn,
YouTube and Facebook to drive
people to Jane’s website where
they can download tips on
interior design and to capture
those leads so they can be re-
marketed to in the future
45. Goals, Strategies and Tactics
• The goal for my social media campaign is (e.g., to generate
leads, to create buzz, to drive traffic to my website, etc.)
• The strategy I’m going to use to accomplish my goal is (e.g., to
offer a discount to people who sign up for my e-newsletter, to
offer a helpful white paper to people who download it from my
website, to provide reward coupons to people who read my blog,
etc.)
• The tactics I’m going to use as part of my strategic approach
are (e.g., blog, e-newsletter, website, LinkedIn, Twitter, Facebook,
YouTube, mobile media, etc.)
47. How to Make Money with Social Media. Now available everywhere.
Three Categories of Measurement
Quantitative Qualitative ROI
48. Another Shameless Plug
• Called the “best social media
book” by three independent
reviewers
• Packed with tips, tools and
techniques
• Click the links below to take a
peek inside
50. How to Make Money with Social Media. Now available everywhere.
Quantitative: Traffic
51. How to Make Money with Social Media. Now available everywhere.
Quantitative: Traffic
52. How to Make Money with Social Media. Now available everywhere.
Quantitative: Traffic
53. How to Make Money with Social Media. Now available everywhere.
Quantitative: Online Chatter
54. How to Make Money with Social Media. Now available everywhere.
Quantitative: Online Chatter
55. How to Make Money with Social Media. Now available everywhere.
Quantitative: Breadth of Engagement
56. How to Make Money with Social Media. Now available everywhere.
Quantitative: Leads Generated
E-Newsletter
60 Second
Marketer Website
YouTube Videos
Speeches
Events
Blog Postings
Online Seminars
and Webinars
eBooks
Twitter
Forums
:60 Online
University Blog
:60 Online
University Articles
57. How to Make Money with Social Media. Now available everywhere.
Quantitative: Organic Search Rankings
58. How to Make Money with Social Media. Now available everywhere.
Quantitative: Depth of Engagement
59. How to Make Money with Social Media. Now available everywhere.
Quantitative: Depth of Engagement
60. How to Make Money with Social Media. Now available everywhere.
Other Quantitative Metrics
1. Inbound links
2. Social bookmarks
3. Likes on Facebook
4. E-book downloads
5. Ratings
6. Participation in polls
7. Contest entries
8. New e-newsletter subscribers
9. E-newsletter unsubscribers
10. Bounce rate
70. How to Make Money with Social Media. Now available everywhere.
ROI: Customer Retention
It costs 3 to 5 times as much to get a
new customer as it does to retain an
existing customer.
By keeping customers engaged,
involved and active with your brand,
you’ll be preventing them from
changing their loyalty.
60SecondMarketer.com -> Videos -> Branding
71. How to Make Money with Social Media. Now available everywhere.
ROI: Customer Retention
72. How to Make Money with Social Media. Now available everywhere.
ROI: Conversion
73. How to Make Money with Social Media. Now available everywhere.
ROI: Profits
74. Calculating Customer Lifetime Value
The revenue generated by a customer
during his or her lifetime with your brand.
CLV for Scott’s Lawn Care:
$80 per month x 12 months x 3.0 years
CLV = $2,880
Allowable Cost Per Sale:
$2,880 x 10% = $288
75. Calculating Customer Lifetime Value
Scott’s Direct Mail:
200 pieces x 0.5% = 1 new customer
$1.44 per piece x 200 = $288
Allowable Cost Per Sale = $288
1 customer for every $288 spent
Scott’s Annual Direct Mail Spend:
$2.8 million = 2 million pieces x 0.5% =
10,000 new customers per year
76. Calculating Customer Lifetime Value
Testing Direct Mail vs. Social Media
$2.8 million x 10% = $280,000 to test a social media
campaign
Social media campaign costs:
Labor: $140,000
Production: $100,000
Miscellaneous: $ 40,000
Total: $ 280,000
Social media success:
$280,000 spent in direct mail = 1,000 new customers
$280,000 spent in social media = ?
79. How People Engage with Mobile
• Short Message Service (SMS)
• Mobile Web Sites
• Mobile Ads
• Bluetooth Marketing
• Location Sharing
• QR Codes
• Mobile Apps
80. QR Codes
• Smithsonian Museum
• Real Estate Agents
• Restaurants
• In-Store Promotions
• Instruction Manuals
• Events
82. 10 Step Action Plan to Set Up and
Manage a Social Media Campaign
83. Social Media Action Plan
1. Competitive Assessment: What are your competitors doing in
this space already? What can you borrow from them?
2. Internal Situation Analysis: How much awareness is there of
social media within your company? Is there an understanding that
it can be measured and create a positive ROI?
3. Major Objectives: What are you trying to accomplish with your
social media campaign?
4. Consumer Thought Process: What is the typical sales cycle for
your product? How much trust do you need to build before you
can make a sale? (Hint: The more expensive the product, the more
trust needs to be built.)
5. Key Strategies: What approach are you going to take in order to
have a successful program?
84. Social Media Action Plan
6. Brand Essence: What is your brand essence and how are you
going to communicate that using Social Media?
7. Positioning: How is your brand currently positioned in the
marketplace? Where do you want it to be positioned as a result of
your social media campaign?
8. Essential Message: What is the essential take-away you want
customers and prospects to have after engaging with your brand
via Social Media?
9. Tactical Plan Overview: Which Social Media platforms are you
going to use for your program? Which tools are you going to use
to measure the success of your program?
10.Executional Roadmap: What are your SMART Goals for this
plan? How are you going to be held accountable for them?
85. Questions
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bookstores, too).
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