SOCIAL MEDIA METRICS Chapter 10 Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 1-10

Chapter Objectives  Discuss the functions of metrics in social media marketing  Explain the steps of the DATA approach to measurement  Describe the characteristics of commonly used social media metrics continued Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 2-10

Chapter Objectives - Continued  Explain how to calculate social media ROI  Assess the costs and benefits of social media marketing programs  Describe methods to track social media marketing results Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 3-10

What Matters is Measured  In many ways, social media marketing mimics online advertising in terms of the viable metrics available to measure how effective these messages are. Advertisers can measure  Reach - the number of people exposed to the message  Frequency - the average number of times someone is exposed  Site stickiness - the ability of a site to draw repeat visits and to keep people on a site  Relative pull - a comparison of how well different creative executions generate a response of creative advertising  Clickthroughs - the number of people exposed to an online ad or link who actually click on it  Sales conversions - the number of people who click through who go on to purchase the product  Viewthroughs - the number of people who are exposed and do not click through, but who later visit the brand’s website Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 4-10

What Matters is Measured  A First Date or a Marriage?  Simply counting the quantity of interactions consumers have with a brand doesn’t tell us much about the quality of these touchpoints. We need to know the degree of engagement people feel during and after the interaction, and how these exposures influenced their feelings about the brand.  Key performance indicators (KPIs) are those metrics that are tied to organizational objectives. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 5-10

What Matters is Measured  A Review  Measurements within a defined context are metrics.  Measurements require context to provide useful feedback.  Metrics that are tied to objectives are key performance indicators.  Objectives must be well-defined before we can identify key performance indicators. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 7-10

What Matters is Measured Campaign Timelines and Metrics It is important to remember that the metrics we use may shift as a campaign progresses. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 8-10

The Evaluation and Measurement Process: DATA  The measurement plan is organized according to a four-step process known as the DATA approach. 1. Define: Define the results that the program is designed to promote. 2. Assess: Assess the costs of the program and the potential value of the results. 3. Track: Track the actual results and link those results to the program. 4. Adjust: Adjust the program based on results to optimize future outcomes. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 9-10

The DATA Approach  Define. Define the results that the program is designed to promote.  The first task is to define just what we want to occur and what we need to measure.  SMART Objectives:  Specific  Measurable  Appropriate  Realistic  Time-oriented Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall

The DATA Approach  Define - continued  Metrics – the specific standard of measurement used to measure the objective Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 12-10

The DATA Approach  Define - continued  A Social Media Marketing Metrics Matrix  Activity metrics measure the actions the organization takes relative to social media  Interaction metrics focus on how the target market engages with the social media platform and activities  Return metrics focus on outcomes Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 13-10

The DATA Approach  Define - continued  Some other approaches to measuring return  Return on impressions model  Return on social media impact model  Return on target influence model  Return on earned media model Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 14-10

The DATA Approach  Assess. Assess the costs of the program and the potential value of the results.  Costs that have to be considered:  Opportunity cost – What else could employees have done if they were not spending time contributing to the brand’s social media activity?  Speed of response – It can be difficult to quantify the value of speed  Message control – Brands accept a risk that the brand’s message will be shared or manipulated in ways that the brand would rather not have happen. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 15-10

The DATA Approach  Track. Track the actual results and link those results to the program.  The tracking step in the DATA process involves the following components:  Identify tracking mechanisms  Establish baseline comparisons  Create activity timelines  Develop transaction data  Measure transaction precursors  Overlay timelines and look for patterns Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 16-10

The DATA Approach  Track - continued  The three approaches to tracking: 1. Forward tracking – tracking mechanisms are developed prior to launching the campaign 2. Coincident tracking – tracking that begins during the campaign 3. Reverse tracking – tracking that is conducted after the campaign is concluded Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 17-10

The DATA Approach  Track - continued  Baseline – a metric that allows a marketer to compare its performance on some dimension to others things such as how competitors are doing or how its own efforts fluctuate over time  Measurement Maps – display the types of branded messages produced and distributed and invitations for consumer engagement with the brand and online location for these materials Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 18-10

The DATA Approach  Adjust. Adjust the program based on results to optimize the outcome on future programs. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 21-10

The Evaluation and Measurement Process  Simple Ways to Start Measuring  Content consumption: Who is interacting with and consuming the brand-generated and consumer-generated content?  Content augmentation: Who is adding to or changing your content by continuing the conversation with response posts?  Content sharing: At what rate are those exposed to the brand messages sharing the content with others using Share tools?  Content loyalty: How many consumers have subscribed to branded content with RSS feeds or by registering for site access?  Content conversations: Who is discussing the brand?  Content engagement: Is the number of friends to brand profiles growing? Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 22-10

Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 23-10