Whether you call it social media, new media, social marketing or another moniker, the big question remains the same – how do you measure its value? We’ve been able to measure value from day one of jumping into the social marketing world here at PerkettPR, and now we’re thrilled to be helping clients to do the same. Reality Digital and Litle & Co are both featured in a series of articles on Computerworld today regarding the value and ROI they’ve seen with their social media efforts.
In “One Company’s ROI Tally for Social Media,” Reality Digital’s CEO Cynthia Francis says calculating return on investment starts with understanding what you want to accomplish. She includes a breakdown of investment vs return, including:
- Total investment for social media programs (including technology costs and PR agency hours): roughly $3,000 per month
- Total sales leads generated in April, May and June: 72
- Average sales leads per month: 24
- Average cost per sales lead: $125
- Lead conversion to sales opportunities: 11.1%
- Lead conversion to closed deals: 1.4%
In “What’s your Twitter ROI? How to measure social media payoff,” our client John Stevens, director of corporate content and communications at Litle & Co., says the company has seen “six-figure revenue come in because of the connections made through social media.” He discusses the need for firm ROI figures and future decisions around using public sites such as Twitter or building proprietary systems.
What’s your return been on social media investments to-date? Do you expect the ROI to increase, decrease or remain the same in the next 6-12 months? How are you using social media in your business? CMOs and marketers, what kind of help you do plan to enlist for PR, social marketing and advertising in the next year? Please take our survey – it’s only two questions and we’d love to hear from you. Thanks!