How to Determine the ROI on Your Social Media Investment

As a business owner, you likely consider ROIs daily. And that’s especially true in the current economy, where everyone wants to see their dollars go just a little further than before. But what about your investment in your social media campaigns? How can you accurately measure their impact on your company and brand?

Unlike other metrics, social media doesn’t follow a clear cost-in vs. cost-out value. With approximately 43% of Gen Z and 49% of Millennials reporting to have purchased directly from social media platforms, it’s safe to say there’s value there. But unless you know what to look for, you might be missing out on the actual value for your business.

Here are some ways to ensure you’re getting the greatest return on your social media investment.

Define Your Purpose- To maximize social media presence, first, determine what you hope to gain. For some, it’s more followers. For others, it could be increased product sales or greater web traffic. Once you’ve narrowed your focus, you’ll be able to tailor content into that niche, allowing you optimal reach and exposure (and, hopefully, profits!).

Set Realistic Goals- It’s easy to look at a successful, thriving social media page and want yours to emulate that quickly. But like everything else in life, a good following isn't developed overnight. By taking time to cultivate an organic network of followers vested in your company or brand, you’re more likely to achieve the results you’re seeking. Set goals for growth, but be flexible in your approach and willing to make changes as needed.

Track Your Progress- Examine analytics for your accounts every month. Doing so shows what followers respond to, allowing you to develop specifically tailored content. Some brands thrive on videos and reels, while others see more success with photography. You won’t know unless you look at the data, so stay up-to-date on the progress of your channels.

Adjust as Necessary- Social media trends are changing all the time. Staying fresh and relevant requires planning and diligence, but also offers the most value from marketing campaigns. Follow similar industry accounts for inspiration, and don’t be afraid to take risks!

Have you tried a live video yet? Maybe you want to create a poll or develop a more cohesive color scheme. Your best post may be the one you haven’t created yet, so get creative and watch the likes roll in.

A solid social media platform is a must-have for today’s business owners. If you’re not advocating for your company and brand, someone else is out there reaching your potential customers instead- and no one wants that! Here at Officially Social, we work closely with clients to develop the most effective strategies that provide the greatest return on investment. Questions about how we can help? Email Alison@OfficiallySocial.com anytime.