Marketers are spending a significant amount of time and effort on social media marketing, but sometimes it can be tricky determining the return on investment of online interaction.
Because it's important to know if followers or fans are actually investing in a product or service, companies need to be able to see how their work is paying off in the social networking atmosphere. Here are three ways to begin measuring social media ROI:
Businesses should be promoting content on social media platforms, but clients should be sharing brand information, as well. Clickz points out that company Facebook pages have a "talking about this" number that informs marketers how well their information is being received.
Engagement shows a company how many followers or fans are actually engaging with company content and consider it a valuable source of information. It's important to know if social media marketing tactics are compelling readers to interact and driving purchases, which determines social marketing strategies in the future. Clickz suggests using the EdgeRank Facebook algorithm to figure out engagement rates.
Companies can measure page traffic from social media posts, blogs and tweets, just like Google Analytics measures ad traffic. Pay attention to leads generated from social networking interaction.