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Social Media Measurement
The Why’s and How To’s
@eyelonaIlona Olayan
www.socialstrategy1.com
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Evolution of Online Marketing
Experimentation• Value: Web as a
promotional vehicle• Primary Goals: Trial of
a new media concept, gain eyeballs, build brand and drive awareness
• Measurements: Cost per impression
• Marketing tactics:– Branding – buttons,
banners– Email – newsletters,
list rentals
Relationship• Value: Web as a relationship
management platform• Primary Goals: Engaging
prospects and customers outside of their website
• Secondary Goals: Lead generation, drive traffic, thought leadership and branding
• Measurements: Cost of sales, customer retention, brand penetration, measurement from interaction/direct results stage
• Marketing tactics:– Video communities– Two-way ads– Messaging connections using
trigger marketing– Successful tactics from direct
results stage
Direct Results• Value: Web as a direct
results platform• Primary Goals: Drive
traffic and lead generation• Secondary Goals: Thought
leadership and branding• Measurements: CPL, CPC,
brand measurements confirmed through surveys
• Marketing tactics:– Search ads– Lead gen – white papers,
webcasts– Branding – microsites– Email – list rentals
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Consider…• Social networks and blogs are the 4th most popular
activity…ahead of personal email
• 82.5 million people created online content in the US
alone in 2008 – 116 million this year and growing
– 71 million on social networks
– 21 million posted blogs
– 15 million uploaded videos
– 11 million participated in virtual worlds
• Yelp! had 38 million unique visitors in August and
12 million reviews to date
• 87% trust peer recommendationsSource: eMarketer
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Fiduciary Responsibility• Social media strategy because it touches every facet
of your business
– Your company’s success or failure will be largely
dependent on your social media success.
• So what are the steps that companies need to take in social media? There are 4 primary ones:
1. Listen: What is being said about us?
2. Learn: After listening you can then join and contribute to
the conversation
3. React: This means what are you doing about it what is
being said? Are you improving your product or service
based on this feedback?
4. Sell: All of the first three steps contribute to your
ultimate goal of selling more!
• According to McKinsey (April 2010):– “The rewards of pursuing excellence in word-of-mouth
are huge, and it can deliver a significant competitive edge few other marketing approaches can match”
– “It’s the most disruptive factor in marketing”
– “Marketing-induced consumer-to-consumer word of mouth generates more than twice the sales of paid advertising”
• When McKinsey weighs in, your know you’re talking about a topic that has C-Suite attention
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The Power of Word of Mouth
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Who is Watching Those Mentions For Your Brand and What Can You Do With
It?• Using Human Intelligence to ‘make sense of the noise’
– Gauge relevant sentiment
– Develop online business strategy
– Establish FAQs to address underlying online sentiment
– Execute implementation strategy
– Engage with audience using FAQs as general guidelines• Proactive – with coupons, incentives and promotions
• Reactive - by selectively responding to sentiment with fact
• Escalate comments which can lead to sales or marketing opportunities (i.e. leads, testimonials, legal)
• Identify similar online communities for business benefit and proactively participate
– Analyze and discuss important metrics acquired through systems like Social Strategy1
– Make recommendations to adjust strategy based on sentimentDon’t Miss the Opportunity to Connect with Buyers!
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Social Media for Lead Generation
Dunkin Donuts Online Success
• Maintain 80% fewer Facebook and Twitter followers than Starbucks
• Dunkin’ Donuts fans 35% more likely to recommend the brand (Starbucks lack of personal connection, superiority of taste, shareholder value)
• Online Marketing Approach is “turn real people into online celebrities”
• Contest – Customer submitted pics of themselves drinking iced coffee in
the winter matched with in store discount
• Results– 140 submissions generated 3.9 million product plugs
through posts and status updates– Next online only contest drew 290,674 submissions and now
an annual event
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Gap’s Real Monetization Story
• Resulted in 440,000 purchases equating to $11 million in sales.
• With a national TV campaign, what’s the likelihood they would have gotten nearly 500,000 paying buyers in the store?
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Monitor Conversations about Your Brand and Competitors
• Proven value of monitoring conversations and responding to leads
• 8th Continent monitored mentions of Silk brand soy milk, one of their competitors, and offered trial coupons to users
• One tweeter received a coupon after tweeting about her bad experience with Silk chocolate soy milk –redeemed that week.
• Coupons distributed via social media resulted in 39% redemption rate, versus the 0.7% redemption of hard copy coupons
• During coupon promotions they saw huge spikes in their fan base and a lot of pass along
Measurement
• Revenue– Revenue is one form of the metrics we use to
measure
– While much of social media is free, we do know the cost of engagement as it relates to:
• Employees
• Time
• Equipment
• Opportunity cost (what they’re not focusing on or accomplishing while engaging in social media).
– Tying those costs to the results will reveal a formula for assessing the “I” in investment.
What’s the Cost of Doing Nothing?
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Do You Really Want to Take That Risk?
“In 2011 there will be an estimated 3 billion people using the
Internet to communicate, collaborate
and link with other like-minded folks.”
- Tom Hayes | Jump Point
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Contact Information
• Ilona Olayan | Director, Marketing and Sales Support | Social Strategy1
• www.socialstrategy1.com
• [email protected] • Twitter:@eyelona & @sstrategy1