Tuesday, February 9, 2010

Measuring Return on Social Investment

Social media has won over marketers with the promise of connecting brands with consumers on a deeper, wider level. But now that many companies have gone beyond the experimental stages of social marketing, they are focusing on justifying the dollar and time expenditures involved.

According to a survey by Mzinga and Babson Executive Education, less than one in five marketers measured their social media ROI in 2009.

“Marketers believe that measuring true ROI for social media is difficult,” said Geoff Ramsey, eMarketer CEO and author of the Insight Brief “Seven Guidelines for Achieving ROI from Social Media.” “There are so many metrics available that it is difficult to choose which ones are the most important. In addition, marketers do not start with clear objectives for using social media.”

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