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Measuring the of Social Media ROI

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@andigrahambsd bigseadesign.com Andi Graham, CMO & Managing Partner

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What’s the of Your Mother? ROI Gary Vaynerchuck

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•Storytelling & personality •Credibility & expertise •Values & culture •Loyalty & retention Brace Yourself. It’s Not All About ROI

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| Truth | We still have to prove the value of social media. • 88% of marketing professionals can’t accurately measure the effectiveness of social • 52% percent said that dealing with social media ROI was their biggest frustration

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Start easy stuff with the

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Fans & Followers Blog Post Views Likes Comments Email Subscribers Vanity Metrics

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| Truth | Your likes are worthless (almost). • Brands organically reach only 6% of fans, down 12% from this past October. • 11.2% of those users are fake anyway

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Move on good stuff to the

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| ROI | (Return - Investment) / Investment

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Return Metrics Number of transactions Number of customers Number of new customers Revenue Profit

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Conversion Metrics Visitors Leads Conversions Engagement Satisfaction http://bsea.co/social-kpis

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Very Basic Valuation | Example | 1000 visits to landing page 100 email subscriptions 10 purchases $1000 total sales Average Transaction Amount Lead (MOFU) or Conversion Lead (TOFU) or Conversion Revenue $100 $10 $1 $1000

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1. Determine your investment 2.Determine (& track) relevant conversions 3.Back it up to your return

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Determine your investment | 1 |

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Time + Tools + Advertising | Example | $26 Hourly Cost 8.5 Total Hoursx = 12 Months $500 Tools Annual / $221 Monthly Cost = $41.67 Monthly Cost $547.67 Monthly Investment $285.00 Ad Spend + +

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| ROI | (Return - Investment) / Investment ( ????? - $547.67) / $547.67

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Determine relevant conversions | 2 |

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Conversion Metrics Reach Traffic Leads Customers Conversion Rate Conversion Funnel

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Conversion Goals Follow on Instagram View video Visited landing page Time spent on page Subscribe to blog Download PDF Sign up for newsletter Filled out contact form Online purchase

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Business Objectives •Increase total casual bowlers on weeknights •Increase party reservations •Increase total league bowlers Pin Chasers Bowling Centers | Case Study |

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Conversions to Track • Visit “weeknight” landing pages • Completion of “Reserve a Lane” form on a weeknight • Games played on a weeknight Pin Chasers Bowling Centers | Case Study |

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Conversions to Track Pin Chasers Bowling Centers | Case Study | • Landing page visits • Form completions • Customers

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Tools we use • Google Analytics • HubSpot • Bit.ly • WordPress Gravity Forms Pin Chasers Bowling Centers | Case Study |

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Pin Chasers Bowling Centers | Case Study | Tracking metrics (HubSpot) Landing page visits & Form completions

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Pin Chasers Bowling Centers | Case Study | Customers • Has to come directly from the client (closed-loop reporting)

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Back up into the value | 3 |

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$20 200 Customers $4000 Total Sales Average Customer Value per customer visit | Case Study | Pin Chasers Bowling Centers

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Return Metrics Number of transactions Number of customers Number of new customers Revenue Profit

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Conversions to Track Pin Chasers Bowling Centers | Case Study | • Landing page visits • Form completions • Customers • 4522 visits • 670 form completions • 627 customers

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Pin Chasers Bowling Centers | Case Study | • 4522 visits • 670 form completions • 627 customers $20 per customer visit • 627 x $20 = $12,540 
 93.5% conversion rate • $12,540 / 670 = $18.72 • $12,540 / 4522 = $2.77

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Pin Chasers Bowling Centers | Case Study | • Visits: $2.77 • Form Completions: $18.72 $20 per customer visit Value for Our Metrics!

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| But wait! | These numbers aren’t just social media! • All landing page visits • All form submissions • All customers

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Pin Chasers Bowling Centers | Case Study | Track it to Social Media

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Pin Chasers Bowling Centers | Case Study | Return from Social Media 762 Visits $2.77 per visit x $2,110.74

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| ROI | (Return - Investment) / Investment ($2110.74 - $547.67) / $547.67 285.4% Return on Investment

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| If you want to neatly measure social media ROI, give your customers and fans a clear assignment with tracked clicks and post-click landing pages and forms. |

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Make it easier! Use bit.ly and UTM links to create links used specific links for each channel Run promotions that are specific to each channel only (discounts, contests, etc)
 (Self Contained Social Media ROI) Use trackable activities on all links you post on social media (calls-to-action or forms).

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Remember! Keep the framework simple (at first). Using averages and making assumptions is okay! Google Analytics is awesome. Don’t underestimate Lifetime Value. Start tracking changes to tracking methods or major marketing activities in Analytics now. Don’t panic.

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| A word of caution | Don’t stop experimenting.

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Let’s hear some questions!

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Thanks!