So much social media, so little ROI. That’s the idea behind a variety of tools that try to measure the ROI of social campaigns, such as a new social marketing optimization platform from Source Metrics.
Started in 2008, Source Metrics focuses on the metrics of leads, sales, click-throughs and conversions, presented in real-time by property. The aim, the Ottawa-based company said, is to answer the question "what works and how well?" Source Metrics had previously provided analytics and marketing campaign management tools, which are now included in the new platform, and it joins other social media management platforms, including HootSuite, Alinean, Google’s Wildfire Interactive and Salesforce’s Buddy Media.
Targeted at advertisers, digital agencies, PR agencies and chief marketing officers, the Source Metrics platform enables marketing campaigns to be adjusted as metrics indicate. Users can publish, promote, monitor and analyze their social marketing efforts across channels, including Facebook, Twitter, YouTube, LinkedIn, blogs and email campaigns.
In Source Metrics, ROI is measured through such end results as online revenue or inducing people to respond to a call-to-action, such as a download or a signup.
Brand mentions are ranked by reach and categorized by sentiment, so that the platform user can engage with the commenter. Various social channels are tracked for growth, engagement and performance, allowing a marketer to see trends at a glance. The platform’s API can be utilized for integrating the data with in-house applications.
Social Metrics Campaigns/Reporting
CEO and co-founder Scott Lake, the co-founder and former CEO of create-your-own-ecommerce site Shopify.com, noted in a statement that there is no shortage of social media monitoring services. "But what do brands do with the data?” he asked.
Is Revenue All?
He said that Source Metrics’ solution is to provide “visibility into social marketing activity, and then take it one step further with real-time intelligence that shows how campaigns are performing,” coupled with the capacity to take action. Source Metric’s solution is one of a series of efforts to help businesses determine which parts, if any, of their social media marketing budgets are worthwhile.
A recent report from the Altimeter Group surveyed approaches to determining social media ROI. The report, called the "Social Media ROI Cookbook", noted that only 30 percent of brands consider themselves effective in connecting their social media campaigns to revenue. Fifty-six percent said the disconnect was because they were not able to tie social media to business outcomes, 39 percent pointed to a lack of analytics expertise or resources, and 38 percent blamed poor tools.
But ROI, measured as revenue generated, “isn’t everything” when measuring the value of social media, the report said. The vast majority of respondents — 84 percent — said the primary business impact of social media marketing was creating “insight that helped us meet customer experience goals.” In other words, boosting the brand can be a separate and more important goal than enlarging the bank account.