ROI: Measurable Outcomes for Marketing Campaigns

Skipping back a couple chapters in Groundswell, Chapter 7 focuses on the value of energised customers. A company that can successfully energize their customers will reap the benefits of loyalty and consumer praise. Energising is done through responding to customer concerns or comments in a way that meets their expectations. This creates positive buzz surrounding the company. No marketing campaign can compare to the positive opinion of a friend or family member when it comes to closing a sale. Testimonials from people your customers trust will spread the word much faster, reinforce the key benefits and be more believable than a “pretty face” on TV! as a reuslt, this is a great way to generate ROI.

Marketers can track ROI using a large number of criteria since the online environment is rapidly expanding. During my research, I read an article posted in Forbs magazine. This led me to an image that depicts five main ways ROI can be measured. These five criteria include; “followers/fans on social media sites, website traffic, social mention, lead generation and sales” – for more inflation view How to determine Facebook and Twitter ROI: (ROI image)

Followers/Fans: One way to generate ROI is through energized customers. Previously this was difficult to track, however, social media sites have allowed companies to see how energizing (word of mouth marketing) creates revenue using customer satisfaction surveys. This process is called the Net Promoter Score. Asking open ended questions such as “How likely is it that you would recommend us or recommend against us to a friend or colleague?” can help a company with internal tracking and predicting future benchmarks (Net Promoter Score, 2009).

In my research, I was surprised to see that many people are sceptical of this approach. It would appear that because this scale uses generic customer satisfaction questions, errors are more likely to occur. Two of these errors include “Fails to Predict Loyalty Behaviors” as well as “Doesn’t Accurately Differentiate Promoters and Detractors” (Net Promoter Score, 2009). However, if best practices are followed, NPS can be valuable. For example, Jimmy Choo saw a “33% increase in sneaker sales” thanks to a successful Twitter campaign (ROI image).


Social Mention: Energizing customers is also applicable to social mention. Word of mouth marketing has always been effective, but social media has provided customers with a much larger platform to express their opinions. ROI can be tracked here by linking customer’s online conversations to the timing of a purchase. For example, “70% of law firms maintain blogs” and “40% of law firms say these efforts led to more clients”(ROI Image). These stats can be tracked through referral rates and customer comments.


Website Traffic & Sales: Assessing return on social media investment, involves collecting metrics that help assess if social media is aiding or inhibiting a company’s image/sales. This can be tracked through “click through rates” and online purchases. These are figures that hosting website providers track for clients to prove online success rates, prime viewing times, primary demographics and more. All of these factors can then be reviewed to help narrow down social techographies. This adds value to future marketing campaigns, fine tune company strategy and ensuring funds are well spent. For example, “Edible Arrangements ran a Facebook promotion which resulted in double digit sales figures”, likely because they were targeting the “right” audience (ROI image).


Additional Resources:

Forbes: Beyond ROI: The Need to Improve Social Media Integration: by Rhonda Hurwitz

Secrets 166 social media ROI case studies reveal: by Rob Petersen


Net Promoter Score. (2009). The Listening Post. Retrieved November 27, 2012 from.

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