The topic of ROI is not a new one but it remains to be a stumbling block for most in the Social Media Marketing field. The problem isn’t that an ROI can’t be derived, the challenge is, most are using old ways & thinking to get to that ROI place in an environment that requires you to think differently. Using old practices does not help you get there because the rules have shifted yet once again.
I got into it with a few people on Twitter over the weekend, @CreativeWisdom @kriscolvin, @mackcollier, @thebrandbuilder and @virtualcfo. We bantered back and forth sharing our views, recognizing we could get there with similar but slightly different metrics. My conversation started with Kris & Mack, we actually started with the Quantity vs Quality of Twitter Followers topic and then we moved onto the ROI question. Then Olivier jumped in along with Leah & Scot. There is a distinct difference between ROI & Impact according to Olivier Blanchard (@thebrandbuilder), his definition is interesting and reasonable I think. He states, eyeballs are not ROI, Impact is not ROI, ROI can’t be calculated with an equation. In one of Olivier’s video’s I was able to relate to him because of my 15 years in Radio & Television, he uses F.R.Y. (Frequency, Reach, Yield) as a way to get to an ROI.
Scot Justice made this statement, “You can capture cost of Social Media by implementing a procedure where every prospect is asked about a blog then Calculate SM$ per impression then ROI”. That is an old school way of tracking and has some merit, we used a similar system in Radio to track campaigns, I would like to hear Kris & Olivier’s perspective on his theory. Talk about a hot topic with some very talented and passionate people, this would make a great panel on Owen Greaves LIVE! (I’m working on it).
I do recommend you visit each one’s website or Blog and see what they are doing and how they are doing it, contact them and ask the questions, I’ve listed them for you:
2.) Kris Colvin
3.) Scot Justice
4.) Mack Collier
5.) Leah Dossey
No they all aren’t Marketers in the traditional form but they do need to understand how obtain a form of ROI. There are many that claim Social Media Expert Status, many think they have a clear understanding of what an ROI is, in my opinion they aren’t and they don’t get ROI.
I’m certain this topic will never really go away because many will have an opinion, many will claim they have the secret formula, the list that do is very, very short. I love this kind of dialogue so I’ll keep bringing it.
After spending a couple hours downtown in my community today I was just vibrating with the thought, ” These poor business owners”. What do us Social Media Geeks see that traditional business owners don’t? I felt like standing on a box and screamming STOP IT! Stop what your doing and look up…pull your head out of that dark warm part of your anatomy and pay attention! It’s like a tidal wave is coming and these traditional business owners are looking the other way as if it wasn’t there. Is there something wrong with me, am I speaking to a brick wall, am I just crying wolf?
I couldn’t wait to get back to my office and write to you, it’s like venting I think but I’m wondering what it will take before everyone starts to actually pay attention. I look at how many people in Canada actually have Twitter accounts and I’m hard pressed to find many, with only 34 million people in the country you would think there are more than a few paying attention. I’m in Western Canada, ok Bristish Columbia, I live in a suburb east of Vancouver called Abbotsford. There’s not much out here if you are an executive like me, you have to commute to the bigger cities to find work, but that’s a problem too! Resume’s…do they even work anymore? Even these online job banks rarely work…why…because traditional thinkers don’t look there, they do look for referrals though.
Even the local Chamber of Commerce is looking the other way, they want traditional businesses (bricks & mortar) to buy memberships and insurance packages. My only chance is to try and influence through my online show, Owen Greaves LIVE! maybe. Maybe, just maybe, I can reach them and maybe you can help me. If you are a person who believe’s passionately our way of doing business is changing and care enough to get the message out, then contact me and I’ll invite you to share on my show. That’s the only way to get in front of them and get them to listen…on the Internet and that’s where I’m setting up shop, not downtown in a building. Thanks for reading and listening I guess, we will talk about this on Monday’s alot at 2PM EST / 11AM Pacific on Owen Greaves LIVE! Join me won’t you?