This is the presentation from the online keynote I did for Social Media Tools Week. The presentation addresses what ROI is and isn't, the social business process, the business and technology challenges for enterprise companies, and requirements for enterprise companies that want to get involved in the social business space.
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1. Social Media ROI Process, Challenges and Requirements Jacob
Morgan Chess Media Group November 18, 2009
2. Risk of Ignoring Risk of Ignoring 3. Return on Influence 4.
What is ROI? Gain from Investment Cost of Investment Cost of
Investment ROI = Financial 5. Sales is Not ROI
Making $3M is not ROI
Especially if it cost $4M to make the $3M
You can have positive sales and negative ROI
Have to take into account investment and return
6. Types of ROIMake money Save money
Save on research costs
Save on time spent, which translates to dollars
Save on technology or business costs
Save on product development costs
Increase number of customers
Increase how much people spend
Increase how often people spend
Increase customer
retention
7. The ROI Number
Meaningless without context
Must understand variables that affect ROI
Presence on social networks
Amount of activity
Type of campaigns
Tells you:
What works, what doesnt
Where should you be putting your money
8. What is Impact?
Clicks
Impressions
Page views
Comments
Re-tweets
Size of network
Non-Financial 9. Lord Kelvin
W hen you can measure what you are speaking about, and express
it in numbers, you know something about it; but when you cannot
measure it, when you cannot express it in numbers, your knowledge
is of a meager and unsatisfactory kind: it may be the beginning of
knowledge, but you have scarcely, in your thoughts, advanced to the
state of science."
10. Take a Deep Breath Relax 11. Build a Foundation Stop trying
to build this Without starting with this Or you get this 12.
Breaking and Building
Have to break things down in order to build them up again
properly
New platform, new game, new way of doing things
Dont justify lack of measurement with old marketing
methodologies
13. Short Term vs Long Term
1-3 month + campaigns
Fragmented measurement
No framework in place
Scrambling to show results
Campaign is over, launch another
Only look at short term results
1 year + strategy
Integrated measurement
ROI and measurement framework
Results are clear across campaigns
Can keep launching campaigns based off of measurement
Look at short term and long term results
14. Measurement Foundation 15. The Social Business Process 16.
Business Challenges
Corporate culture
Customer information
Sales data
Customer research
Managing expectations
Time frame, budget, capabilities
Department fragmentation
Semantics
What is ROI?
17. Technology Challenges
Customer tracking
Social networks and over time
Data and analytics
Managed by multiple parties
How do you get all the data and make analytics/data platforms
talk to each other?