Does Social Media Marketing Have An ROI?

ROI or no ROI – that is the question when it comes to social media marketing. After all, nobody wants to spend time or resources on marketing campaigns if they bear no fruit.

Social media marketing has been touted as one of the most effective and economical ways to boost a brand, build a target following, generate leads, and be competitive.

But does social media live up to its hype? The obvious way to find out is to check the ROI, but social media marketing return is harder to calculate than you might think.

The Absence of ROI in Social Media Marketing

When done correctly, social media marketing absolutely delivers an ROI. But it’s usually not one you can measure on a piece of paper.

Because of this, many businesses are hesitant to involve themselves with social media. They don’t see the value because they can’t determine a hard figure of its worthwhileness.

While there is no direct ROI when it comes to creating a dialogue with prospects and customers, you should notice an impact in other areas of your business.

Social media can play a significant role in:

  • Growing your audience
  • Generating leads
  • Attracting new customers
  • Gaining referrals
  • Building brand loyalty
  • Increasing repeat business
  • Adding testimonials
  • Remaining in the minds of consumers

Marketing professionals explain that people need to hear your message at least seven times before they’ll be ready to buy from you (called the “Rule of Seven”). Through social media, you can reach potential customers seven times in a single day! You do this by posting blogs, images, videos or other content, reading comments, commenting on their comments, and interacting with customers and prospects on a daily basis.

PRO TIP: Not good at creating images for social media posts? Does Photoshop perplex you? Try one of my favorite design tools called Canva. Use Canva’s drag-and-drop feature and professional layouts to design consistently stunning graphics. It’s FREE!

As you do this, people will move down your sales funnel. Since you’re involved and communicating with your audience on a regular basis, you will find that in the long run social media outperforms many other types of marketing initiatives.

Social media plays a huge part in driving your Word of Mouth marketing. Word of Mouth marketing is so valuable for your company because it’s personal to your customer. If a customer likes you, they can share your content with their friends and followers across all the different platforms.

When you’re active on social media you are communicating with your customers, nurturing those relationships, and building trust. Over time, you will find that you have grown a loyal following.

Also, keep in mind that your target audience is likely on social media in some capacity. If you’re not there, they will certainly find your competitors. That’s the reality.

Your Business Needs Social Media to Survive

Just having a website is no longer enough for a business. In this digital age, marketing initiatives must take advantage of social media sites like Instagram, Facebook, LinkedIn, and Twitter in order to show they’re up-to-date with their audience’s needs.

PRO TIP: You might be thinking you don’t have any time to devote to social media. If this is the case, hire a marketing agency with expertise in social media to handle this for you. You’ll get the best results by having someone already skilled in social media marketing to promote your business.

With social media you are in contact with your target market, interacting with them by reading and responding to what they post. You get to know them and, more importantly, they get to know you.

When you’re front-and-center before your customers, they’ll be more inclined to buy from you when they need your products and/or services. Effective social media marketing not only keeps your brand in front of potential customers, it also gives you a chance to offer them promotions or incentives on a regular basis.

How to Achieve the Best Results with Social Media Marketing

Keep in mind it’s not enough to simply recognize the benefits of social media. If you want your efforts to be effective, you must also recognize the unique benefits of each platform.

For example, by following the appropriate hashtags on Instagram and Twitter, you can find people interested in the products and or/services you are selling. Sharing blog posts on Twitter or Facebook can drive traffic to your website.

It’s a whole lot easier (and less expensive) to start using social media early in the game than it is to try and catch up with the competition, especially if they’re already marketing themselves on social media.

The good news is that even though some sites like Facebook have been around for over a decade, it’s never too late to get started. Imagine this, in six months, you’ll be glad you started today.

It’s not an overnight success story, but it does deliver results.

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