I've seen a few small businesses who are still hesitant to jump into social media because they don't see the value in it or they're not sure how to use it. Luckily for those who need to be educated on social media, Constant Contact has Social Media Quickstarter. But for those who need numbers to back up the need for social media, you'll want to check out How to Estimate Your Social Media ROI.
While the article also focuses on a ROI for consumer insights and customer support, I thought the Community would most likely be interested on the social media ROI for sales.
There's a 3 step process that the author has developed to help with your ROI.
Set a Goal - I'd like to have better sales next quarter.
Define Your Social Media ROI - How many sales came from my social media campaign?
Define Hard Dollars - How much money did I make from my social media campaign?
The 3rd step is a little hard to define, but the post has some methods to help make it clearer. For instance, have a coupon that is only offered in your social media campaign. This way you'll know that anyone who used that coupon visited your page. Other options include using analytic software to track where your customers came from. If they visited your Facebook page and then visited your website to purchase an item, you can attribute that purchase to your social media campaign.
The post is a great read and may convince those on the fence with social media that they should take the plunge. I'd love to hear what the Community has to say about this post! Will this method work for your business? Is it a good model? Do you have a better way to gauge your social media ROI? Let us know!
If you find my post helpful, and it answers your question, please mark it as an "Accepted Solution"