We all have asked that question: How can we measure the effectiveness of Social Media?
This topic is one of the most important for companies hiring social media experts because revenues from Social media should justify the expenses of hiring. How do companies calculate the numbers since social media is a platform mostly for customer engagement and relationship building?
Before creating a social media campaign (opening Twitter account, Facebook account, creating company’s blog) you should define the desired outcome and goal of the campaign. It could be both qualitative and quantitative. For example: increase number of sales leads, increase traffic to the website, customer engagement, number of followers, higher quality of customer service. If the campaign resulted in cost reduction of hiring new customer service staff, because customers use twitter account as a point of contact, this should be accounted for.
Based on the goals setting, the company can monitor changes and progress every week. And refine its goals and objectives.
However, increased sales are not the only benefit of social media. Building a strong relationships with community and potential customers is the most important benefit. Companies should look at it as a long-term investment, the results of increased sales will increase over time with the use of the right social media platforms.