Social Media Marketing ROI: 6 Ways To Scale Your Social Media Fast

social-media-roi-400x400The social media marketing ROI infographics shared in this post answer a question that many people have asking recently.

The question everyone has been asking can social media produce real ROI?

The bold answer is yes social media can produce real ROI and yes it does.

It then gives a few examples and dives into six steps that you can use to measure social media ROI.

Here are those steps and my thoughts about them.

1. Set Your Conversion Goals

The infographic shows many different conversion goals, like watching a video, sharing on social media, etc.

However there are two conversion goals that I recommend you focus on.

The first is converting leads (capturing contact information), and the second is making sales (selling a product or service).

2. Track Conversions

For tracking conversions I recommend you implement Google analytics tracking code into your site.

Once this code is implemented you will be able to see which social media platforms are sending you the most traffic and more importantly which platforms are sending you the most traffic that converts.

3. Assign Monetary Value to Each Conversion

The infographic suggests either using historical data or guesstimating.

My recommendation is to use data to drive decisions about how to invest your time and resources on social media, rather than guesstimating.

By dividing your total amount of profit by your total number of visitors you can determine your average earnings per visitor.

Once you know how much you earn per visitor you will be more motivated than ever to increase your social media traffic.

With this knowledge you will also know how much you can afford to spend per visitor to acquire new traffic and still turn a profit.

The average lifetime value per visitor is another metric you should consider when contemplating how much to invest into increasing conversions.

4. Measure Total Benefits By Channel

Determine how many leads and sales each social media channel is responsible for.

If you know you your average earnings per visitor you can multiply the traffic you get by your earnings per visitor to calculate your earnings per social media channel.

5. Determine Your Costs

Multiply the cost of hourly labor by the total hours invested into each social media channel to determine the cost of each social media channel.

6. Analyze and Improve

Use the social media ROI equation below to determine the percentage return on your investment costs.


Social Media Marketing ROI Infographic

Check out the social media marketing ROI infographic below and you will see a snazzier version of the information above.


The ROI of Social Media Marketing Infographic

Since we’re on the subject of social media ROI here’s an infographic on how different companies are dealing with the challenge of maximizing their ROI with social media.

This infographic from MDG deals with the social objectives, benefits and factors that affect the success of social media marketing.


What Determines a Good ROI?

Whenever your ROI is positive that is a good thing. A positive marketing ROI is when for every dollar you spend you get more than one dollar in return.

An example of a great ROI is $15.82 for every $1 spent. This feat was achieved by IBM, according to a recent report by Nucleus Research.


According to the report IBM was able to help their clients achieve this marketing ROI “by taking advantage of IBM’s investments in cloud and integration, enabling new lines of business, and delivering productivity gains through marketing automation.”


The Infographics above make it clear that social media marketing ROI can help you seriously beef up your bottom line.

For more powerful social media insights check out my Facebook tips blog fbAdvance and my Twitter tips and tools blog TwitterToolsBook.


Do you calculate ROI? What do you do to increase your social media ROI?

Let me know with a comment below.

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4 Responses to Social Media Marketing ROI: 6 Ways To Scale Your Social Media Fast

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  1. 10 Brilliant Ways to Boost Your Marketing ROI Fast - Marketing Strategy HQ - June 28, 2016

    […] shocking truth is that often ROI is often not even calculated, as the infographic below about social media marketing ROI […]

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