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For brands, social media shows returns but measurement hurdles remain e marketer
1. 5/1/12 For Brands, Social Media Shows Returns but Measurement Hurdles Remain ‑ eMarketer
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For Brands, Social Media Shows Returns but
Measurement Hurdles Remain
MAY 1, 2012
Executives see improvements in marketing and sales
efforts, and market share gains as a result of well
planned campaigns
Csuite executives are increasingly convinced
of the benefits of engaging with their
customers on social media platforms. A
February 2012 survey of 329 senior executives in North America by
management and digital consulting firm PulsePoint Group and the
Economist Intelligence Unit found that the vast majority of companies
who had invested in social media saw a positive shift in their bottom line
as a result.
Executives who said their companies had established an extensive social
media presence reported a return on investment that was more than
four times that of companies with little or no social network engagement
activity.
The benefits of social media were especially pronounced in a few select
areas. Fully 84% of executives polled said that social media campaigns
had increased the effectiveness of marketing and sales efforts, while
81% said a social media presence had helped their companies increase
market share.
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2. 5/1/12 For Brands, Social Media Shows Returns but Measurement Hurdles Remain ‑ eMarketer
2/3www.emarketer.com/Article.aspx?id=1009011&R=1009011
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Companies should use social media to create spaces for consumers to
have meaningful conversations with employees and other stakeholders.
Almost seven in 10 respondents said they had seen a spike in their sales
by letting customers talk about their brands on social media platforms,
even if some of that dialogue was negative. This kind of approach builds
trust and credibility with consumers, potentially transforming them into
brand advocates whose value is immense, if difficult to measure.
Despite these positive signs for social media campaigns, assessments of
their effectiveness remain largely subjective. Almost half of executives
said that the major impediment to social media campaigns was the lack
of a standardized metric that can measure a return on investment.
While measuring followers and Facebook “likes” provides marketers with
a hard number, no one yet knows how those numbers translate into a
quantifiable return for brands.
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Check out today’s other articles, “Online Travel Shoppers Respond Best
to Intuitive Ecommerce Experiences” and “Latin American Web Users
Highly Engaged.”
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