While most marketing channels have standardized methods for calculating ROI or value, other channels, like social media, can be harder to quantify. We compiled this report to help you better understand how social media delivers on real business objectives, and how to get the most value, and highest ROI, from your social marketing efforts.
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According to a series of recent studies, “earned media,” which is the unpaid publicity created by users about your brand, is the unique benefit of social media marketing. It delivers incredibly high value to brands because it is based on a trusted recommendation between friends, and social marketing makes it possible for your brand to seed the creation of this media...at scale.
In fact, a recent study conducted by Facebook and ComScore determined that exposure to earned media had significant positive impact on purchasing behavior:
• Starbucks fans and friends of fans demonstrated a 38% lift in purchase behavior within 4 weeks of exposure to earned media
• Target fans and friends of fans were 19% more likely to purchase in Target in the four weeks following exposure
The facts are simple: the more earned media your brand generates through engaging with fans and followers in social media, the higher your ROI will be. Within this paper, we discuss the three- phase social media cycle for brands. We’ll focus on how to unlock the potential of earned media, extended reach, and higher conversions in social. We’ll also review the unique approaches six brands have taken to reaching a common outcome of positive ROI in social.
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