We get asked a lot what the ROI (Return On Investment) is with social media. The timeless goal of many businesses getting into social media marketing for the first time is that they want to create a direct ROI as a result of these marketing efforts. We are deeply sorry to inform you that this simply isn’t possible. There are certainly methods to measure “click-through” rate on Facebook ads for example, however this does not touch even closely on the real grasp that social media holds in the marketing world.
Social media is geared primarily towards expansion, which in turn increases your brand exposure in a way that was literally impossible before. With a network of only a few hundred followers, you can in fact receive exposure to thousands of other users that may not know who or what you are, which is wherein the magic lies. The mastery of social media campaigns is dependent on interactions, which in turn advertises your business. For instance, every time a person interacts with some material of yours, whether it be commenting on a blog, RT’ing your Tweet, or Liking your Facebook post, the person interacting with your materials is exposing your brand to everybody in their own network, as the interaction is publicly displayed on this person’s profile.
Now, let’s say that this person has 500 friends on Facebook (we’ll stick to using Facebook as an example since it’s the most popular and dominant social network). By their single interaction with your material, not only has your internal network been exposed to said material, but the person interacting has just nicely placed your material in plain sight for an additional 500 people. Imagine to what advantage this will place your business if 10 people interact with this material. Sticking to an assumed number of 500 friends, this would equate to potential exposure to 5,000 people…not bad for one post. Start doing this daily and getting repeated interactions, which increases your exposure….you get the idea.
THIS, ladies and gents, is your ROI. So smarten up, and sign up for social media, not only because we know what we’re talking about, but we know how to get everybody else talking about you.
image courtesy of http://www.geograph.org.uk/photo/956353