Social Media ROI
You may have heard of the term Return on Investment (ROI) in your many encounters with your financial advisor, corporate annual reports and many more. The ROI that you are familiar with is a means of measuring the efficiency of investment which is expressed in percentage form. Recently, there has been a new buzz word in the social media community also known as the ROI. However, this social media ROI stands for Return on Influence.
Fundamentally, the new social media ROI measures the degree of impact of engagements that occur via the social media. Today, most businesses or individual would own a personal social media network, whether it is Facebook or Twitter, for the purpose of social networking. The aim of these social media network, more often than not, is to act as a means of promoting a certain product, service, and even celebrities. Before the term Return on Influence was coined, social media’s impact towards the community was still measured in terms of Return on Investment. Now, the Return on Influence can easily be tracked by monitoring the increases or decreases in the number of Facebook fans or Twitter Followers. You can stay on step ahead of the game and buy real Twitter followers or other social media booting services form us to to raise your social media ROI.
Why measure rate of influence?
It is important to measure Return on Influence because ultimately the higher Return on Influence would translate into higher Return on Investment in the long run. In the process of establishing your social media network, you would have to spend a certain amount of capital in building and maintaining your network e.g. $1,000. Once the word of your product or service goes out via the social network you have established, you will generate sales. If you generated $2,000 in sales that means you would have achieved Return on Investment of 100%.
Should customers find that your product or service are of high quality and reasonably priced; they will turn into your advocates. Customers will become a fan of your Facebook page. They will share the link of your social network to other friends and family members. They may also promote and recommend your social media site on their own personal websites and blogs. Return on Influence measures how many customers turn into your advocates. If you discovered that out of your 200 new fans; only 10 of them shared your page or posted a good comment on your page; this shows that your Return on Influence is low and improvements have to be made on your level and frequency of engagement with your social network community.
There are several areas you can focus on when you wish to improve your social media ROI. First, maintaining communication with members of your social network community is very crucial. You should always reply comments and respond to queries efficiently. Besides that, you must also ensure that the content of your social media is attractive to your target audience. No one likes outdated and irrelevant content.