One of the questions we need to consider as we begin to contemplate integrating social media effectively into a direct sales company is the concept of social media marketing’s return on investment (ROI). I’ve already touched on this briefly, and certainly believe we need more conversation, and even debate, on the topic. I think that a lot more needs to be said on how we measure the value of social media ROI in the direct selling industry. We need to consider how social media marketing can influence:
- customer satisfaction
- brand recognition
- increased web traffic
- increase in online/offline sales
- distributor satisfaction/loyalty
- increases in distributor base due to social media training/tools
Have I missed anything? What do you think are other things we need to take into account when determining social media ROI for the direct selling / direct sales industry?
There is a GREAT deal of discussion about social media marketing ROI on the web. A Google search will provide you with a lot of great reading on the subject. However, here are some links that I particularly like:
A Quick and Dirty Guide to Setting Up Social Media Monitoring: http://www.socialmediaexplorer.com/2009/02/18/a-quick-n-dirty-guide-to-setting-up-social-media-monitoring/ If you’re going to be measuring ROI, you need data. Here is one way to get it. It’s a beginner’s article, but if you’re looking for a place to begin, there are some great tips here.
Twitter Drives Traffic, Sales: A Case Study: http://radar.oreilly.com/2009/02/twitter-drives-traffic-sales-a.html Do you want to see how some big companies are realizing, in 1 case, a 7 figure return on investment? Here’s a great article that explains some of how they do it.
How to Measure Social Media ROI for Business: http://mashable.com/2008/07/31/measuring-social-media-roi-for-business/ Really good info here on how to begin to craft the metrics that matter, along with some valuable links to tools you can use.
Why Big Brands Struggle with Social Media: http://mashable.com/2009/02/20/big-brands-social-media/ This article discusses how to think about social media from a corporate perspective…where it fits among traditional advertising, PR, etc, and how to implement it effectively.
I’m curious…are you considering using social media marketing in your direct selling business? What are the returns that you’re looking for? What would convince you that social media marketing is relevant to your business? Looking forward to the conversation!