30
MEASURING SOCIAL MEDIA ROI ANIL BATRA @ANILBATRA HTTP://WWW.ANILBATRA.COM [email protected]

ProductCamp Seattle 2014 Presentation: Anil Batra

  • Upload
    pmcnw

  • View
    272

  • Download
    0

Embed Size (px)

Citation preview

MEASURING SOCIAL MEDIA ROI

ANIL BATRA @ANILBATRA

HTTP://WWW.ANILBATRA.COM

[email protected]

AGENDA

• WHAT IS ROI

• SOCIAL ROI

• FANS AND FOLLOWERS

• DEFINING GOALS AND KPIS

• MEASURING TOOLS

• REPORTING

• CALCULATION OF “FINANCIAL ROI”

WHAT IS ROI

[Incremental Revenue ($) * Contribution Margin

(%) - Marketing Spending ($)] /

Marketing Spending ($)

GETTING TO ROI • PURE FINANCIAL METRICS

• SALES LEVELS

• REVENUE PER CUSTOMER

• PROFITS PER CUSTOMER

• CUSTOMER RETENTION COSTS

MARKETERS ARE REALIZING THAT SOCIAL MEDIA IS NOT ALL ABOUT DIRECT

IMPACT ON SALES AND PROFIT.

SOCIAL ROI

• LETS THINK

• WHAT IS THE PURPOSE OF SOCIAL?

• RAISING AWARENESS

• CREATING COMMUNITY

• DRIVING TRAFFIC

• LOWERING SUPPORT COST

• DRIVING NON-SELLING CONVERSIONS

• SELLING

WHAT ARE MARKETERS MEASURING

• HTTP://WWW.FORBES.COM/SITES/CHRISTINEMOORMAN/2013/05/21/MEASURING-

SOCIAL-MEDIA-ROI-COMPANIES-EMPHASIZE-VOICE-METRICS/

FANS AND FOLLOWERS?

• FANS AND FOLLOWERS DO MATTER

• THEY ARE THE BASE

• ACQUIRE RIGHT KIND OF FANS AND FOLLOWERS

• DON’T STOP AT JUST COUNTING THEM

• TIE THEM TO BUSINESS GOALS

MEASURING SOCIAL MEDIA

• DEFINE YOUR SOCIAL MEDIA MARKETING GOALS

• DEFINE THE METRICS AND KPIS TO MEASURE THOSE GOALS

• IDENTIFY THE RIGHT TOOLS

• MEASURE “ROI” IN TERMS OF THOSE GOALS

• PROVIDE INSIGHTS THAT MOVES THE BUSINESS FORWARD

• COMBINE QUALITATIVE DATA WITH QUANTITATIVE DATA

• COMPARE TO COMPETITORS

• COMPARE TO BENCHMARKS

METRICS V/S KPIS

• KPI = KEY PERFORMANCE INDICATORS

• ALL KPIS ARE METRICS BUT NOT ALL METRICS ARE KPIS

KPI

• ECHOES ORGANIZATIONAL GOALS

• IS AGREED UPON BY STAKEHOLDERS

• PROVIDES CONTEXT

• CREATES MEANING ON ALL ORGANIZATIONAL LEVELS

• IS BASED ON LEGITIMATE DATA

• IS EASY TO UNDERSTAND

• LEADS TO ACTION

MORE ON KPIS

ANOTHER WAY TO UNDERSTAND KPIS IS THAT THEY

ARE THE METRICS THAT MAKE PEOPLE FREAK OUT

WHEN THEY GO IN THE REVERSE DIRECTION FROM

THE EXPECTED AND CALL FOR IMMEDIATE

ACTIONS.

EXAMPLE GOALS AND KPIS

• CREATE ONLINE COMMUNITY FOR DIVERSITY RECRUITING

• TWITTER FOLLOWERS (% CHANGE)

• TWITTER MENTIONS (@MENTIONS + HASHTAGS)/FOLLOWER

• INTERACTION RATE (@REPLIES + RETWEETS)/FOLLOWERS

MEASURING TOOLS

• SOCIAL MEDIA LISTENING TOOLS

• PLATFORM SPECIFIC TOOLS

• DATA AGGREGATORS

• WEB ANALYTICS TOOLS

SOCIAL MEDIA LISTENING

• TOOLS

• VISIBLE TECHNOLOGY

• RADIAN6

• MEASURES

• QUALITATIVE - PROVIDES CONTEXT

• CONVERSATION VOLUME (BRAND, COMPETITOR, PRODUCT, CAMPAIGN)

• TURNING QUALITATIVE INTO QUANTITATIVE

• SENTIMENT

SOCIAL MEDIA METRICS

• SOMETHING MARKETERS MEASURE BUT ARE NOT VERY USEFUL

• CONVERSATION VOLUME

• SENTIMENT – POSITIVE V/S NEGATIVE

• UNDERSTAND ACTUAL CONVERSATION

• UNDERSTAND CONTEXT

• COMBINE ALL DATA TO UNDERSTAND THE COMPLETE PICTURE

PLATFORM SPECIFIC TOOLS

• TOOLS

• FACEBOOK INSIGHTS

• TWITTER ANALYTICS

• LINKED IN ANALYTICS

• MANY MORE

• MEASURES

• FAN GROWTH

• SOCIAL SHARING

• ENGAGEMENT

• CONTENT EFFECTIVENESS

• GENERALLY QUANTITATIVE BUT CAN PROVIDE QUALITATIVE DATA

DATA AGGREGATORS

• TOOLS

• SIMPLY MEASURED

• QUNITLY

• MEASURES

• AGGREGATE DATA FROM DIFFERENT PLATFORM

• PROVIDE BOTH QUANTITATIVE AND QUALITATIVE DATA

• COMPETITIVE GROWTH AND ENGAGEMENT

WEB ANALYTICS TOOLS

• TOOLS

• GOOGLE ANALYTICS

• OMNITURE

• WEBTRENDS

• MEASURES

• CLICK THROUGH

• ONSITE BEHAVIOR

• SOCIAL SHARING

• ONSITE CONVERSIONS

EXAMPLE • B2B COMPANY

• NO DIRECT SALE (SALES CYCLE ARE LONG)

• GOAL

• BUILD A COMMUNITY TO CREATE BUZZ FOR THE COMPANY AND PRODUCTS

• KPIS

• FANS/FOLLOWERS GROWTH

• ENGAGEMENT RATE

Engagement Analysis

ENGAGEMENT RATE DISTRIBUTION

• Wed. around 1 PM shows high interaction rates

• Wed. at the beginning and end of the work day also shows relatively high interaction rates

• Monday and Friday evening posts are also showing high interaction rates

• We will continue to monitor for few more weeks to determine the best post days and times.

INSIGHTS

*Chart is b not the time comments, shares, likes occurred

COMPETITOR 1 SNAPSHOT

COMPETITOR 1

• 200 Tweets per week

• 25+ Blog posts per day – posted on Twitter

• Occasional Forum Chat: Influencer answers questions

• Minimal other content or updates/engagement questions

• 1 eBooks were advertised via 6 tweets

• Approximately 50% of the blog posts are written by influencers /

business leaders

Competitve Analysis

• Competitor 1 is using a blog post and volume heavy strategy to drive both social

engagement and SEO. Their blog posts are covering wide variety of subjects

which have started to appear on page one of Google Searches for various

relevant keywords.

• Blog post are receiving 25+ comments on an average and generating additional

tweets. Consideration should be given to replicate their strategy of engaging

influencers and business thought leaders to generate content and blog posts.

INSIGHTS

Week of: Sept. 4 - Sept. 10

Total Mentions

Total Traffic

Started Quote Process

Completed Quote Process

Converted via Phone

Leads to 3rd Parties

* CR = Conversion Rate

4,715

VOLUME SHARE SENTIMENT

4,438

MentionsShare of

Voice

4,301 4,834

Sentiment

4,615 4,539 4,614

Site

Visits

Facebook

Fans

Twitter

Followers

4,715

Registrations

4,520 4,715 4,296

Site Facebook Klout Leads Lead CRCommunity

CR

KPIs

263

297 139 275 301 303148

267

223 142 194

313 269 220

267 271 218 125

296 247 218 249 236 244 188 318 282 144 214 257

308 139 257 214 137 121 308 233 167139

229 137 240 159

148

255

317 225 171 174 285 190 155 164 183

192 180 242 221 215 201

Sales

255 183 174 124

230 295 196

4,500 4,205

139

SALESREACH ENGAGEMENT LEADS

4,977 4,659

SOCIAL MEDIA DASHBAORD00. KPI SUMMARY

01. Web Metrics

55%

Phone Conversion Rate

Δ WoW - 62%

Total Conversions

Δ WoW - 0%

Analysis Conversion rate is within our goal but we are not diving much traffic and hence the total conversions are in red zone. The biggest issues seems to be the offline referals that we were getting from the branches. We need to further investigate what is going on there.

All of a sudden we are seing increased activity from facebook users. It suggest that our social media efforts are working but we need further investigation. The best campaign we had so far was a banner ad on MSN. It not only drive 2 times more visits than any other campaign but also resulted in a a hightest conversion rate of 60%

7%

Dec. 2011

0

200

400

600

800

1000

1200

1400

Sept 25Sept 18Sept 11Sept 4Aug 28Aug 21Aug 14

# Total Topic ConversationsConversations

# Total Topic Conversations

Toal Conversation

Share of Voice

Share of Voice

% Conversations for competitors x, y, and z

Outside Our Walls

# Total Topic Conversations

Positive

Negative

Neutral

# of Total Topic Conversations

Positive

Negative

Neutral

659 600 -9% 4,045

45% 11%

55% 89% 62% 1

659 676 3% 4,075

461.3 473.2 3% 2,853

65.9 67.6 3% 408

131.8 135.2 3% 815

10% 10% 0% 1,400

20% 20% 0% 1,275

YTD Δ WoW

Week

Prior

Last

Week

Last

Week

Week

Prior Δ WoW YTD

Last

Week

Week

Prior Δ WoW YTD

-75% 4,292

1200 676 -44% 5,960

70% 70% 0% 1,400

01. VOLUME

02. SHARE OF VOICE

03. SENTIMENT

0

200

400

600

800

1000

1200

1400

Sept 25Sept 18Sept 11Sept 4Aug 28Aug 21Aug 14

# Total Topic Conversations

70%

10%

20%

# Total Sentiment

Positive Negative Neutral

30%

30%

41%

Sentiment

Positive Negative Neutral

Observations: Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

Observations: Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

Observations: Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight Key insight here. Key insight here. Key insight here. Key insight here. Key insight here. Key Insight

0%

20%

40%

60%

80%

100%

Sept 25Sept 18Sept 11Sept 4Aug 28Aug 21Aug 14

Pearson Share of VoiceKey Ev entKey

Ev ent

ROI

• WE SET THE BASELINE

• COMPARED AGAINST COMPETITORS

• CREATED PROJECTIONS

• COMPARED AGAINST PROJECTIONS

IF YOU REALLY WANT PURE FINANCIAL METRICS

• DIRECT CONVERSIONS

• INDICATORS THAT LEAD TO CONVERSIONS

• DOWNLOADS

• EVENT SIGNUPS

• REGISTRATIONS

• EARNED VALUE – AD EXPOSURE

DIRECT CONVERSION

• TAG SOCIAL MEDIA LINK WITH WEB ANALYTICS CAMPAIGN IDENTIFIER

• HTTP://WWW.ANILBATRA.COM?UTM_CAMPAIGN=CHICAGO4&UTM_SOURC

E=TWITTER&UTM_MEDIUM=MORNINGTWEET

• ENABLE ECOMMERCE TRACKING IN WEB ANALYTICS TOOLS

• CALCULATE ROI BASED ON COST AND REVENUE

COST OF SOCIAL MEDIA • STAFF

• STRATEGIST

• CONTENT WRITERS

• COMMUNITY MANAGERS

• ANALYSTS

• CREATIVE

• ADVERTISING

• COST OF RUNNING ADS ON THE PLATFORMS

• AGENCY COST

• YOU MIGHT OUTSOURCE SOME OF THESE

• TOOLS

• SITE ANALYTICS

• SOCIAL LISTENING

INDICATORS THAT LEAD TO CONVERSIONS

• DOWNLOADS, EVENT SIGNUPS, REGISTRATIONS

• JUST LIKE DIRECT CONVERSIONS – TAG THEM WITH WEB ANALYTICS

• ASSIGN A VALUE FOR EACH INDICATOR BASED ON HISTORICAL DATA

• EXAMPLE: ASSUME

• ONE PERSON OUT OF EVERY 100 REGISTRATIONS BECOMES A CUSTOMER

• EVERY CUSTOMER HAS VALUE OF $500

• WHICH MEAN EVERY REGISTRATION IS WORTH $5 - (1/100)*500

AD EXPOSURE

• CALCULATE IN TERMS OF AD EXPOSURE

• FIND OUT HOW MUCH MONEY WILL PAY TO GET 1000 EXPOSURES?

• CALCULATE SOCIAL MEDIA EXPOSURES

• EXAMPLE:

• COST TO GET 1,000 AD EXPOSURES $20.

• YOUR SOCIAL MEDIA MESSAGE GOT 100,000 EXPOSURES

• VALUE OF YOUR SOCIAL MEDIA EFFORT – (20/1000)*100,000 = 2,000

QUESTIONS?

ANIL BATRA

@ANILBATRA

HTTP://WWW.ANILBATRA.COM

[email protected]