A recent study conducted by the Internet Advertising Bureau has shown that four out of five consumers are more likely to buy a brand after interacting with it in social media. Moreover, 83% of the respondents said that they would be more than happy to try a new brand after being exposed to it via a social media channel.
The uplift in sentiment for each brand was measured as Heinz 22%, Kettle 17% and Twinings 19 per cent, allowing the IAB to estimate that for every £1 spent on social media as much as £3.34 could be generated. Kristin Brewe, the IAB's director of marketing & communications said: "The IAB study shows that, when trying to create deeper emotional connections with consumers, social media is an essential channel for brands. This isn't surprising since social media is the only channel where it's possible for brands and consumers to have meaningful two-way conversations, making the strength of connections that much stronger."
Being active and engaging on social media is not a business choice but rather an imperative necessity, and has become a strategic business element over the last few years- especially since penetration of smartphones has completely altered the way users interact with brands and make buying decisions.
Nowadays most marketers know that there is high ROI associated with social media investments. However, quantifying ROI would justify expanding upon social media marketing budget still poses a challenge for most marketers. The IAB survey assigns a value to social media investments. According to survey findings, for each £1 spent on social, £3.34 are generated. In order to maximize revenue generated through social media, marketers should optimize the content published in each different social channel and make sure to be interesting, and engage in conversations with their customers.
Here are our optimization suggestions:
1. Understand the difference among various social platforms and adjust activity accordingly. For example, twitter posts should be to-the-point and include links to content or the company website and hashtags to increase visibility. On Facebook or Google+ the abundance of space makes engaging pictures and visual content the optimal way to interact. On LinkedIn, on the other hand, providing with advice and relevant information on industry-relevant groups can enhance visibility and win over customers.
2. Track your social efforts to be able to quantify social ROI. You should always track the URL to make sure that you know which campaigns are driving desired traffic. Especially, if you are rolling out campaigns in various social media channels, efficient tracking will allow you to realize which channels are the most effective for your brand and be able to make more educated decisions in the future. You will be surprised by how many companies do not implement appropriate tracing methods.
