Methodology for validating software metrics
) and Marketing-minded people who are using lousy measures of success ("I got 158,632 Fans! No more embarrassing your brand on Twitter, Facebook, Google Plus, You Tube. What matters is everything that happens after you post / tweet / participate! My real "reach" it turns out is not 57k, it is 6.3 mil!
If you do a Promoted Tweet or Facebook Like campaign or whatever Google decides to come up with then you want to measure resulting Conversation, Amplification and Applause (of course only if you did not stink at your campaign). Social media presents and incredible opportunity to rethink what it means to connect with and influence customers. When I'd written this blog post it was not possible to measure the metrics that I'd created here.Now, not only can I tell my CEO what the small amount of direct value added to the business is, I can also report to her/him exactly which channels are contributing how much.You can't be in every social channel that pops up.For tactical reporting of your direct response social media campaigns, the metrics you'll use will be the ones I've recommended for all other advertising channels (paid search, display, affiliate, whatever). The enchanting temptresses that are Clicks and Impressions and Avg. Small price to pay for communicating the actual impact of social media to your management right? Got a favorite super lame or super awesome social media metric? Here's that picture, applied to SM DR campaigns: Value Per Acquisition. Sheet 1 is the dashboard itself, with instructions. That's reassuring to your social graph, and it is great for me because your endorsement makes this post stand out over others and I get a relevant visitor/customer. Your selfless social media contribution comes back to assist you in driving valuable business outcomes. For Twitter, sadly I could not find it anywhere (inside Twitter or other tools). Do you use a tool that will allow us to measure Applause Rate? ) you are going to have to quantify the economic value created via social media. But some of it can be and it is your job, nay duty (! It is not very hard, just takes a little patience and imagination.
You don't participate in social media to only drive business outcomes. If that is your primary objective you are going to suck at it (and the above metrics will reflect very efficiently how much you suck). A small percent of the people in your company / brand's social graph will come to your main digital outpost (usually your company website) and choose to do business with you. And you know what you can do with macro and micro conversions? On all social media channels: Social media participation, done right, adds value to the company's bottom-line. And here is the incredible, amazing, magical thing.
The impact on the data side of the ecosystem is that massive amounts of data is being generated and much of what goes for measurement in "social media tools" is profoundly sub optimal (I'm being polite). We can measure if what we are saying connects to them (in near real time! And unlike all others, this channel has the word social in it! If you follow my advice and post something "incredible, relevant, of value" to your audience then they can allow you to break free of the limitations of your network and spread your word around to a more massive audience! I have, as of today, 57k followers on Twitter and around 12k on Google Plus. Even if every single person who follows me reads every single thing I write, I can at most reach 57k people on Twitter.
We have IT-minded people engaging in massive data puking (one report with 30 metrics anyone? I want to propose a framework you can use to measure success using metrics that matter for one simple reason: They actually measure if you are participating in the channel in an optimal fashion. Use data to incentivise our companies to do the right thing by measuring what matters, what makes this channel so unique. well there are so many horrible ones to choose from. But the size of my second level network (the unique people who follow the people who follow me) is 6.3 mil.
If you are engaging in direct response advertising on social media channels then the fourth metric, Economic Value delivered, comes into play from a strategic perspective. You need to forget what has worked in the past (and that is why this is so incredibly hard to do. But now there is a very good, still in alpha, tool that allows you to measure the metrics recommended in this post. Here's a sample of what the report looks like… Is there a benefit / outcome / facet that I missed in my measurement framework?
It covers both the immediate value (revenue via macro conversions) and the longer term value (economic value via micro conversions). The biggest brands in the world embarrass themselves every day on social media). In presenting new metrics for you to measure, what I'm really trying to do is provide a very small assistance in helping you think differently. As I had stressed above, currently if you want to report these metrics exactly as defined above and from ALL the social channels mentioned then you have to do so manually. Play with it, and get just the data you need to make smarter decisions when it comes to social media. How do you measure the success of your social media efforts today? Please share your feedback, critique, suggestions, and cool tools to measure these four metrics, via comments.
All My is a early prototype of data from Google and provides three of the four metrics recommended in this blog post: It is missing Economic Value.