Businesses have operated online more than ever before. The costs of marketing online can be high, so it is important to think of ways to maximize spending. Businesses should look into measuring ROI for their overall marketing mix to know what works best.
What is ROI?
According to Harvard Business Review, marketing ROI measures the return on investment from the amount a company spends on marketing. By looking at the ROI, businesses can determine what justifies their marketing spend and what extra costs go toward campaigns.
ROI can be used in traditional marketing efforts like advertising on search engines; however, social media has become an easier way for businesses to gauge ROI without spending too much. Your marketing team can determine what metrics work best for your company by analyzing engagement.
What Can Social Media ROI Do For Your Business
Social media ROI can be intimidating for any business if they are unsure what to measure. There are many elements to engagement on social media that can be seen as more important than the other.
Ask these four questions about these core metrics when measuring for ROI:
- Audience reach: are you reaching your target demographic for your content?
- Audience engagement: how many people are interacting with your content?
- Audience growth rate: how fast does your audience grow?
- Conversion rate: are the people viewing your content taking the desired action?
Businesses can measure social media engagement successfully in different ways. For example, companies can look at a high number of ‘likes’ on a post and think that makes for successful engagement. However, if those likes are not creating further engagement on product websites, it may not be seen as successful.
How Can Businesses Measure Social Media ROI?
It is important to balance what engagement a business strives for when determining ROI.
Each company is different in operating, especially in the construction industry. Most people are not actively seeking construction brand social media pages unless they are about to research a potential project.
Businesses should decide what image they want their social media brand to be. Some companies can inspire consumers on future projects, or it could be marketing products by presenting a video tutorial.
Think about utilizing all elements of social media platforms. Instagram allows companies to make their accounts into business accounts. This makes it easier for marketers to look at the numbers of engagement.
Marketers behind an Instagram business account can get real-time insights to track account performance using real-time data. Marketing teams can answer the four core metrics mentioned above by taking advantage of Instagram’s work.
How Can Businesses Increase Their Social Media ROI?
After determining what metrics need more improvement, your business’s marketing team can start planning ways to increase social media ROI. This can be in more interactive media, like making a post that baits potential consumers to comment or respond.
Allow your marketing team to interact with these potential consumers to make your brand seem more inviting. Open up direct messaging on social media apps to create conversation. Suggest products during conversations to bring them back to the business. These product suggestions could lead to purchases and increased social media ROI.
Being up-to-date with social media can greatly benefit your business. Your business will benefit without breaking the bank by learning more about social media ROI and methods to increase ROI. At GreenHouse Digital + PR, we are focused on strategizing and taking advantage of these social media methods for construction companies. If you are looking for support for your social media and digital marketing efforts, contact our team of marketing specialists today!