Did you know that 63% of marketers struggle to measure the ROI of their social media efforts? Are you one of them?
Then you are at the right place!
The key metrics that are to be used by every marketer to measure social media ROI are meticulously discussed here.
Why do we need key metrics to measure social media ROI?
In a recent survey, it was found that people spend approx., 3 hours and 53 minutes online (social media) every day. 89% of social media marketers agree that social search is more important than other search engine searches for selling a product. That is the very reason for us to measure the Return On Investment(ROI) in social media, as it has tremendous potential in widening your target audience, social media sales funnel and profits to the businessmen.
We may lose track of ROI in social media if we don’t follow the proper social media metrics to measure ROI.
Social Media Metrics to Measure Social Media ROI
Social media marketers build AdWords campaigns to rank for important search keywords, which will measure the clicks, traffic, and leads. But at the end of the day, if the ad costs outweigh the impact of the ad, then that is bad for ROI. Let’s see about the major social media metrics now.
1) Develop a Budget for Ads
Developing a budget for Ads is a dire responsibility of a marketer to get positive ROI (positive ROI means Ad cost is less than the impact of an ad, meaning it is profit for the company).
Knowing when and where the cost spent makes more sense is crucial for ROI. Develop the Ad budget based on these factors:
Total campaign budget and duration – For how long the ad will run and what is the total budget for it?
Daily Ad budget – How much do you wish to spend for a day?
Short-term ads – Targeted campaigns for specific events or promotions (e.g., flash sales, holiday sales)
Long-term ads – Ongoing campaigns focused on brand awareness and lead generation
New ads for different seasons, for different needs, as the company evolves and branches are needed for a company. These points have to be taken into consideration as well. Ads may include branded influencer content, ads in social media posts & stories. Ads are not for all companies. Some products cost much less than the average sales price for the economies to work.
2) Perseverance is the key
Many marketers feel that they don’t get tons of profit in the first week after their ad campaign.
Ads are not the shortcut to profit! It takes incremental feedback and steps to gain profit. When the historical data is analyzed, it will give insights of:
Which content performed better in social media?
Which social media performed better for the brand?
Where are your ads lagging?
Which content performed better?
Which social media strategy is the most efficient? And such.
With these insights, proceed with optimistic feedback to gain audience, and widen your social media sales funnel.
3) Upsurge the Right Message
Ads will perform better if the right content is up-surged in an encapsulated campaign that is better developed.
What is the right message?
Promotion of a brand? No. The right message is always a great content. Ads with great content that would help someone is a well-crafted ad that will earn profits.
Susan Chang, Director of Drop Box, Social Media says, “Social media is never short of metrics to run”, which means there are many different metrics to measure ROI. And some of those Social Media metrics might include,
- Audience Growth Rate
- Social Media Impressions
- Social Media Conversion Rate
- Social Media Engagement Rate
- Customer Response Rate
- Influencer Campaign Metrics
- Traffic to the Brand’s Website
Each brand has a different set of metrics that works well for them and they need to stick to them. Never stop analyzing a new metric. “In the future, new social media metrics might give more profit as the company evolves”, says Susan Chang, Director of DropBox, Social media.
4) Evaluate a paid campaign’s impact on Marketing Qualified Leads (MQLs)
To measure the ROI of a paid campaign, you will need to measure the leads and customers you converted because of your Ad. Intent-based marketing is done by targeting a smaller group of potential leads, to get positive ROI instead of getting negative results by targeting a bigger audience.
Laura Grass, G2’s Senior Marketing Manager, Enterprise and ABM says, ” Investments are made worth it when the higher conversion rates and higher ACV on paid social campaigns occur as a result of intent-based marketing.”
With all these ROI tools ready at hand, the title “The best social media platforms for marketing in 2023″ goes to Instagram, as 23% of marketers believe that Instagram offers the highest potential to grow their audience in 2023. And is expected to increase even more in the present year of 2024. Now is the perfect time to learn about this.
Instagram content strategy
When is the best time to post on Instagram?
How does the Instagram algorithm work?
The data-driven results for all these questions can be provided by Social Media Analytics Tools like,
- Instagram Analytics Tool
- Sprout Social
- Buffer
- Sendible
- Post Planner
Instagram analytics tools are highly effective.
The Instagram analytic tool analyzes historical data about the Instagram profile and gives valuable information on
- Demographics: information about your followers like age, gender, location, language, and interests.
- Total number of interactions and growth of followers: number of likes, shares, and not just the followers count
- Reach and impressions: How many unique accounts see your content and how many times is it displayed?
- Content performance – includes post and story insights.
- Follower Activity: When are your followers online, and when (day or time) do they engage the most?
- Hashtag performance: Which hashtag has a high reach?
- Brand mentions: How do people mention your brand in comments, captions, and stories?
- Traffic to your website: measuring brand visibility and the number of clicks to your profile (potential leads)
- Sales or revenue that can be associated with the Instagram profile.These data-driven results are given by free Instagram analytic tools. The paid tools offer even more in-depth insights like,
- Competitor Analysis
- Influencer Analytics
- Sentiment Analytics
- Conversion Tracking and such.While choosing the Instagram analytic tool, consider the budget, ease of use, needs, and platforms as the different tools are suitable for different businesses.
Conclusion
Don’t let social media ROI be a mystery! Unleash the power of metrics and watch your engagement soar like a trending hashtag. Remember, valuable content is the key that unlocks positive ROI – so ditch the sales pitches and focus on building connections. With the right tools and data, your brand can become a social media superstar.One can conclude that by using all these social media metrics potentially, social media ROI can be drastically improved leading to a tremendous increase in your business.
Even if you have a negative ROI, we, Neoma Media will put an end to it by analyzing your social media accounts scrupulously and leaving no stone unturned. Your Positive ROI is right around the corner!
