The truth is that in this modern day of digital business, the question of whether or not social media followers are legitimate business assets is a popular one. No longer derided as no more than vanity metrics, the size and influence of platforms on deserves a deeper dive. The virtual auditing of a brand, far more in depth and complicated than follower tallies, is what ultimately helps determine whether people will consider leaders in this industry. Tapping into how to properly analyze this digital fingerprint is essential for any company looking to succeed in a hyper-connected society.
What is a business asset in the digital world?
The traditional business asset was concrete property, machinery, inventory. Goodwill, patents and trademarks comprised intangible assets. Growth of the internet and social media has, transformed the terrain. At first glance, social media followers might appear ephemeral, only another number on a screen. And yet, if seen from a strategic perspective, they are an audience, a community and a source of potential revenue.
Look at the benefits they bring: brand evangelists that will speak positively about your company in various forms, easy access to customer service and feedback, a captive audience for marketing programs, and a well of useful market intelligence. Although a specific number of followers isn’t a guarantee of sales, it indicates reach and potential influence. The lawyers are even starting to recognize this, with a few court cases surfacing around the ownership of social media accounts and their followers, whether in the event of an employee leaving or business being sold. This indicates a percolating acknowledgment that these digital ties have real economic worth, which tend to be tied to the goodwill and brand equity they foster. So, having a big and invested and on-topic followership can absolutely be counted as an asset when it comes to valuing a company and its strategic capabilities.
Beyond the Stats: The Depth of Social Connection
Creativa Images/Shutterstock.com
Although the number of followers can be one of the first indicators of reach, when it comes to the value of a social media presence, it’s certainly not the only, or even most important metric to consider. The real asset is in getting engagement right. A million silent followers who never engage with your content are worth a lot less than a hundred thousand engaged subscribers who regularly like, comment, share and ultimately purchase your product.
Engagement metrics, including likes, shares, comments, and saves, gives marketers a sense of how on-trend a brand’s content is with its followers. A high ERG says the content is creating dialogue, community and connection. Shares, especially, increase organic reach, transforming followers into brand evangelists.
Measuring ROI of Social Media Initiatives
In order to really determine whether or not followers on social media belong in the business ledger, it’s necessary to determine the return on investment (ROI) for one’s social media endeavors. This is going beyond the verticals of “brand awareness” and getting into some ‘show them the return’ territory. Determining social media ROI is matching your social media efforts with something towards a real business goal – such as foot traffic, leads, or sales.
One of the known methods is to monitor such conversions that occurred as a direct result of the social media channel(s). This may include tracking of website visits and purchases driven by social traffic using UTM parameters. By attaching a monetary value to these different actions, such as a lead created or customer obtained, a business can measure the financial return. I.e. if social media leads consistently contribute a significant amount of qualified leads that convert into a paying customer then you cannot argue that you’re not winning from your social media audience and engaging on social media. In addition to sales, social media can drive customer lifetime value (CLV) through customer loyalty and repeat sales. By utilising this approach to track these metrics systematically and comparing them against the resources (time, content creation costs and advertising spend) companies invest in social media marketing, they will begin to understand the real economic value and Evaluating Online Presence (and consequently, of their social networks) bring to the bottom line.
A Comprehensive Vision of Analyzing Your Online Presence
Kaspars Grinvalds/Shutterstock.com
Presentation of a Web Presence When we look at someone’s (or some organization’s) concept of “social media presence” and the like, it is not limited to social media; we’re also taking into account their online web footprint. Taking a 360-degree approach to WOM Using a variety of different measures and metrics gives a much fuller picture of a brand’s EPOV and, therefore, its visibility, reputation and performance online. This encompasses its website, SEO performance, online reputation and other digital marketing activities.
Last, but not least, the convergence of the social, site, email and paid strategy show an integrated, cohesive approach to the Web. When analyzed in conjunction, businesses can see where they’re strong, where they’re weak, and ultimately what the right strategy for growing an online business looks like one that leverages a company’s digital assets and positions them for long-term success.
Why You Need to Be Online Strategically
In the end, when properly leveraged and cultivated, social media followers are a business asset after all. Raw followers give us entrance into reach, but its real impact can be measured in how many of these followers are really engaged how many viewers become community members. A business’s digital presence isn’t a nice-to-have it’s the cornerstone of the business itself, whatever that business may be driving perceptions of the brand, relationships with customers, attraction of new customers, and the bottom line.
Evaluating Online Presence needs a multi-dimensional look- it is not simply about numbers, not only about the % increase, but understanding how social media can be ROI-focused, on how all the various social media components can be welded together into a powerful integrated digital footprint. Underpinned by a focus on impactful conversation, the use of data analytics to monitor functioning and the need for a consistent message across all online channels, companies can ensure they are not only participating in the digital world, but instead leveraging it to drive a measurable and meaningful contribution to their bottom line and long term standing in a modern competitive world. It’s not just a communications tool, it’s a value-creating space.
