One of the biggest challenges for marketers is to generate return of investment figures for either their clients or their Management. Inbound Marketing ROI can be difficult to establish for a number of reasons including:
- Marketing Activities done in isolation
- Objective metrics created without the correct focus
- Buyer Personas are not clearly established
- Adequate resource is not allocated appropriately
There are typically 4 key areas to cover when looking at how to measure Facebook ROI and the focus will depend on your company's overall marketing objectives. First, lets take a look at examples of where clear ROI can be measured:
Starting with some of the 'Top of the funnel’ metrics, it is good to build up the awareness of your brand, your content and your value. Whilst many of the metrics associated with ‘reach’ are perhaps seen as ‘fluffy’, they do provide a good indication of how your content is resonating on Facebook.
Reach represents the number of people who have seen content related to your Facebook page and the type of reach can be either Organic (without Facebook Advertising) or of course Paid Reach.
Facebook reach is not the same as the number of Facebook fans you have - it refers to anyone who has seen a post of yours on your own page or as a promoted post or as a shared post from their friends (a type of viral reach).
Looking into your reach metrics can help you determine
- Post Reach
- Like Comments & Shares
- Hide, Report as Spam, and Unlikes
- Total Reach
Whilst these types of metrics don't go as far conversions they do provide an insight into how the content you are creating for Facebook is received by your audience. The reach reports will show organic and paid results and give you a good indication as to which content is worth promoting further and of course if you have particular days when unlikes occur you can dig deeper to understand what activity may have led to this result.
Traffic is good but not just any old traffic! It is always nice to see graphs going the right direction and if the content you are producing is relevant to your target audience then there is a good chance you are going to attract the right type of people back to your website.
As you will hear us say all the time - content is key to your social media marketing success. Beyond reach and other high level brand awareness goals, it is important to have a strategy that entices a targeted audience to visit your website, spend time there and follow a conversion path aligned with your success metrics.
Identifying referral traffic from Facebook to your website is straight forward - you can do this from within Google Analytics and also have the option to report on your results from many social media management software tools such as Sproutsocial, Hubspot or Hootsuite to name a few.
Your business wants leads, your sales team want leads , I’m guessing everyone wants some leads, right?
Well if you have said yes, then there are typically a whole host of ways to capture leads from different types of campaigns outlined below. Keeping track of lead generation is a great way to measure Facebook ROI.
- eBook downloads
- webinar registrations
- software trials
- competition entries
- newsletter sign-ups
- enquiry form submissions
Facebook can help you generate leads through the content you have created in combination with either blog posts with clear Call To Actions to a landing page on your website or indeed from within Facebook by utilising a Facebook application designed to capture leads without the user leaving the platform.
If you have referral traffic from Facebook to your website and your goal is to get users reading your blog post and click through to a related landing page to download a resource you are providing or to register for an event, then track the results by creating a Conversion Goal in Google Analytics. If you are creating a Facebook application as a more direct route to lead capture then you could use the likes of Page Modo http://www.pagemodo.com/ .
How do you track customers that were originally sourced from Facebook marketing activity? Well, this will be dependant on the type of business you are and what journey a prospect goes through before making a purchase / signing a contract.
You may be an commerce company and your sales are completed online with little to no interaction with a sales team. In this case you will simply want to track the sales taking place on your website which were originally sourced from Facebook. If you are a B2B organisation and you track your sales activity from your CRM system then you may want to link your lead generation / nurturing activity with the pipeline activity to show where the opportunity was sourced from.
For more tips and advice on Facebook Marketing Strategy download our eBook: How To Generate Leads With Facebook. Or if you're thinking of setting up a company page for your business, find out how to do exactly that (and a whole lot more) in our Essential Guide to Your Facebook Company Page.