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Measuring Social Media ROI Still Allusive

Last updated 6 years ago

Does your business invest lots of time and effort into a social media advertising campaign?  If so, how do you measure your ROI on your social media advertising campaign?  Do you base it on financial numbers or your fans’ actions? 

In a survey entitled, “CMO Survey,” Duke University’s Fuqua School of Business and the American Marketing Association studied how companies evaluate their social media advertising campaigns.  Here are the findings:

1) Businesses are investing more of their marketing budget into social media advertising and this investment will increase in the future:

2) Companies tend to measure their ROI on social media advertising campaigns through non-financial metrics, such as page views, number of friends/followers, and so forth:

Without a doubt, many businesses are realizing the importance of social media advertising.  Although social media outreach can be time consuming, you should not disregard its significance to your business.    Search engines also judge your online reputation to rank your website organically, which has a direct correlation to your social media efforts.  With a strong community of fans and followers, you will increase brand awareness and probably your bottom line. 

Would you prefer to outsource your social media marketing?  ReachCast is ReachLocal's award winning solution for business owners who wish to outsource their web presence optimization (Search Engine Optimization, Social Media and Reputation Management rolled into one) to trained experts in the field of Internet Marketing.

Do you judge your social media advertising campaign effectiveness through financial measures or non-financial measures, or both?  Why?  Share your feedback in a comment!

About Alan Moore: Alan is an Internet Marketing Consultant with ReachLocal Baltimore.  His mission is to help you increase your revenues and decrease unproductive advertising expenses through proven, online marketing strategies.  He manages over $1.4 million in yearly marketing budgets and has worked with local businesses, agencies and the US government.  Give him a call at (877)655-3438 to schedule a free consultation.

To read more about the “CMO Survey,” go to


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