(Image: sharapova tennis return 0874 by *etoile on Flickr)
The next time you are asked about the ROI of social media, I’d like you to try something. Ask the person asking you that question what type of return is valuable to them. If the “R” they are measuring is revenue, ask what contributes to revenue. Which products are they trying to sell? Who are their sales people calling on? What information would help them better understand the client and the marketplace? Then show how social media can introduce those products to people who care about them, or can start a conversation that engages those people. If sales depends on the perception of the company, or involves knowing information that the competition does not, show how social media can change perceptions and unearth important, actionable insights.
If the person asking you this question does not measure return as revenue, but rather looks at some other metric: placed stories in PR, the ability to recruit talented employees, as a means to retain employees, as a way of engaging existing clients, then demonstrate how social media can achieve these benefits.
The ROI of social media starts by defining return.
After the return is defined, then connect the best social media tools to achieve it.
Here are a few relevant articles on this topic:
How to Measure Social Media ROI for Business
