Return On Investment (ROI) for social media marketing
These are the findings of a survey among 80 UK senior marketers undertaken by researchers Opinion Matters on behalf of the Internet Advertising Bureau’s (IAB) Social Media Council (SCM).
The study found that social media played a key role in the marketing campaigns of a mere 22% of companies, although a further 20% indicated that it currently played some role in most of their activities. Another 23.5% said that they tended to use such services on an ad hoc basis, while 27% of respondents had undertaken trials.
Although about a third planned to allocate between six and 20% of their digital marketing budgets to social media over the year compared with only 14% last year, 7% said that they had not touched such technology at all.
The main challenge in the social media context, according to almost three quarters of respondents, was in proving that it could generate a ROI. Another 64% said that measuring value was a problem, while 57% felt that they needed more education on how best to use such offerings.
It would differ from organisation to organisation as to whether they should set up a new dedicated team or re-skill staff but keep them in individual departments. But it was important to clarify current strengths wherever they were located and map them to requirements, not least in order to establish skills gaps so that expertise could be hired in from outside, he added.
Among those organisations currently using social media, meanwhile, the most popular application was as a tool to help boost brand awareness (77%). Three quarters had used such services to drive engagement or for advocacy purposes, while 60% had employed them to undertake market research. About half had also used the technology to try and increase product sales.
Twitter and social media monitoring tools were the most popular offerings, however, with just over half of brands citing them as very important. Other appealing services included Facebook (47%) and own branded communities (39%), but 27% of respondents were unaware of what such terms as crowd sourcing actually meant.
