How to measure the influence and conversion of social media

Wed 12 May 2010 08:34, Stijn De Meyere

How to measure the influence and conversion of social media

Below is a YouTube movie that is not really new but it’s still very relevant and explains well how to measure social media. Amy Martin of Digital Royalty offers an effective way to measure the impact of social media on a brand’s popularity. She shares a propriety method and formula for measuring a brand’s online Return on Influence. Conversion of social media is reduced to three key metrics.

According to Martin, there are two key aspects when you intend to measure your social media efforts, which are quite obvious. First, establish your KPIs (key performance indicators) and second, ensure consistent efforts to measure these KPIs.

There are three key parameters when one talks about social media measurement: volume, engagement and conversion.

The KPIs in the “Volume” category are number of fans and followers, tweet per minute, trending topics or anything that reflects your brand’s reach online.

Conversion in social media: click-through, leads generated and sales

In the “engagement” category, you may include all that reflects your brand’s popularity or engagement with online users.

It will include re-tweets, subscribers, sentiments, time spent by people on your brand, comments posted by them on facebook etc.

The metrics in the “conversion” category includes everything that depicts the actual activity or action of your customers online.

So, the KPIs in this case will be click through rates, leads generated, sales etc. So, choose your KPIs in each of these categories and track them on a regular basis.

Return on Influence: cold metrics and warm metrics

She next moves to sharing the formula, called the return on influence (ROI). It comprises two specific metrics- cold and warm.

In Cold metrics, the formula is Reach multiplied by Frequency, Divided by Time Spent. This is indicative of the online buyers’ engagement with your brand. The warm analytics include all those intangible metrics which are hard to measure. It includes sentiments, size and eco-system.

Sentiments metrics here means the affinity towards a brand- the emotions people have with a brand.

You can watch the video below. What conversion metrics do you use regarding social media marketing?

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