Altimeter Group released a free report on how top brands are implementing and successfully measuring their social media ROI. The report, “Social Media ROI Cookbook,” aims to identify and describe the most effective “recipes” for measuring the revenue impact of social media that they have seen adopted (to date). Of note in their findings:
- Only 30% of brands they surveyed consider themselves to be “effective” or “extremely effective” at connecting social media to revenue.
- The top three challenges: Inability to tie social media to business outcomes (56%); Lack of analytics expertise and/or resources (39%); Poor tools (38%).
- While revenue is important, it isn’t everything. 84% of survey respondents reported that the primary business impact of social media was not revenue generation, but “insight that helped us meet customer experience goals.”
The report goes beyond the findings in their data to offer six primary top-down and bottom-up approaches and developed three case studies that illustrate how to measure the impact of social media on revenue.