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Wots…Uh, The Deal With B2B Social Media Measurement

  
  
  
  
  

This is a post that should lead to a series of questions; questions you should be asking yourself if you have any responsibility for the social media strategy within your company. Whether you're executing on that strategy yourself, have staff to do it, or have outsourced to an agency, there is certainly no lack of social data you're receiving. The problem is that it's mostly quantitative about activity and gives you very little insight. Having thousands of followers on Twitter or fans on Facebook may make us feel good, but it's fairly meaningless if we don't know what the impact of these numbers are on the business.

While we've thankfully evolved away from the notions that social media in not measurable, the pendulum is in danger of swinging too far in the other direction. In other words, too many B2B marketers are being asked to show the direct impact that social media efforts are having on revenue. We continue to advocate that focusing too much on this direct impact goal is misguided; better to focus on the impact that social media is having on the seeding and creation of demand. Many organizations are doing this by tracking the change in response rates when social media is part of the tactic mix, but it's key to discover how it can raise conversion rates at other points in the demand creation waterfall.

And this leads to the questions. Are you using social media for activities beyond the top of the funnel, such as pipeline acceleration or sales enablement? Even if you're not applying social media to these initiatives, are you even tracking these types of activities regardless? Do you know your optimal tactical mix throughout the waterfall? Do you even have any impact beyond the handoff to sales? Without insight into what you do currently (as well as historically), it won't be possible to gauge the impact that social media marketing has on activities beyond the top (or even before the top) of the funnel. 

If you're already asking these questions, you're on the path to gain the most insightful measurements of your social media marketing activities. And bonus points if you got the Pink Floyd reference in this post's title.

Comments

You raise an important point, Jonathan, that not every social media activity should be correlated directly to a financial impact, and thus will not have a measurable ROI. I like Olivier Blanchard's approach that talks about financial and non-financial impacts of social media. You should have both, and you need to measure both, but not all will be measured in dollars and cents. 
 
We use social media mostly to raise awareness, elevate our brand, participate in discussions and establish thought leadership. This can not be measured in dollars directly. However, our sales team does use Twitter to engage with possible prospects. That's a lot more tactical and much easier measured. 
 
Cheers! 
 
- Maria Ogneva, Biz360 
@themaria @biz360
Posted @ Monday, April 12, 2010 1:54 PM by Maria Ogneva
Thanks for the comment Maria. You're right, the way that different functions use social media, thus the way success is measured, is a consideration.
Posted @ Tuesday, April 13, 2010 6:08 PM by Jonathan Block
I would also add that social media enables your to extend your reach and broaden your funnel which can be measured as part of your ongoing inbound marketing efforts. It's important for marketers to track and understand which social media channels are providing the biggest bang and worth the investment in resources in the first place. Then these efforts should be tied to effective lead nurturing efforts where these inbound leads can be (and should be) cultivated to grow your pipeline and converted opportunities- all important and trackable metrics.
Posted @ Sunday, April 18, 2010 11:28 AM by Parker Trewin
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