According to a report by San Mateo, California-based Altimeter Group, only 30% of brands surveyed consider themselves to be “effective” or “extremely effective” at measuring the impact that their social media strategies have on the revenue that their companies bring in. Fifty-six percent of marketers claimed that their biggest hurdle is the inability to tie social media to business outcomes. Thirty-nine percent cited a lack of analytics expertise or resources, and 38% cited poor social media tools. Moreover, 84% of survey respondents reported that the primary business impact of social media isn’t revenue generation, but rather insights that help them improve the customer experience.
We respectfully disagree. Social ‘followers’ have a tangible value. Social can generate sales. Social, like no other media, encourages referral that brings in new prospects and customers. The measures are there.
Currently, social media typically runs in the 8 – 12% range of major marketer budgets. However, CMOSurvey forecasts that percentage to increase to more than 21% of total budgets in the next 5 years. While social is their choice for most ‘engaging media,’ CMOs also report social is poorly integrated into the overall marketing effort. GRM’s approach is to apply fundamentals of target research and brand content development to solve this dilemma.
There’s no denying the power of social media. But with the holiday season approaching, retailers MUST utilize smart email marketing to maximize the success of year-end sales.
According to McKinsey & Company
, “e-mail remains a significantly more effective way to acquire customers than social media—nearly 40 times that of Facebook and Twitter combined. That’s because 91% of all US consumers still use e-mail daily,
and the rate at which e-mails prompt purchases is not only estimated to be at least three times that of social media, but the average order value is also 17% higher.”
Not only that, but be careful where you direct your customers who DO click through. Always link them directly to the item or a custom landing page that focuses on the collection you’re promoting. Not only will it decrease frustration, but it will increase conversion rate by 25%.
Time to get planning.