Are We There Yet: How To Recognize When Social Media Marketing Is Working For You

Clearly the staggering numbers of users logging into Facebook, Twitter and various other social networking sites (around 250 million daily and over 405 million registered and active) creates a virtually untapped marketing gold mine for small businesses. Unfortunately, because this new method of communication is still so young, there are still a lot of unknowns… the largest one for small businesses being: how to accurately measure what social media marketing is doing to improve your business.

The most efficient way to begin to measure social media ROI is to begin measuring engagement and retention. Engagement is the first—and probably most exciting—indicator of your social media success. Seeing people comment, request and “retweet” your material (or just take an interest in what’s going on with your page) not only shows you what’s working, it’s also indicative of what content to add or change. For example, a large reason for this particular blog entry (besides the fact that it’s a popular topic in public relations) is a Miamore Communications’ reader’s question on the subject in our last post. What I’m doing is both gauging what matters to Miamore’s audience, and showing that reader that her interest is important enough to us that we’re striving to provide relevant feedback. This sort of engagement and communication is the very POINT of social media, so to achieve the ROI you seek—don’t miss these opportunities where available. Which leads to my next topic… customer/subscriber retention.

See, once you have content that brings people in, your next—and more important task—is keeping them interested in what you have to say. You’ll know you’re on the right track when you start to see a positive trend in the number of CONSISTENT followers/commentators. Unlike traditional marketing, advertising and PR, social media is fundamentally built on conversation. And conversation is built on two emotions: varying levels of satisfaction, and various levels of dissatisfaction. This is the most basic way to plan and measure social media marketing strategy. (Note, while we’d all like to be discussed favorably, be aware of the opportunity that lies even in negative social media publicity—i.e. a bad product review. This affords you a chance to disprove any negative comment and, most importantly, show in the public arena your commitment to service and your customers’ needs/concerns).

In sum, social media success is not about numbers, but about communicating and engaging. Seeking hard numbers, or direct sales, to measure social media ROI will only leave you behind. Because the success of social media marketing isn’t all that much unlike measuring ROI for public relations, advertising or other marketing initiatives. In essence, it is measured by the recognition that comes back to you. Will that lead to sales? Of course. Can you gauge social media by dollar measurements? Not at all.

Think, for example, of the millions spent in television advertising; an equally difficult medium to measure ROI. The big indicators of “success” are not only spikes in sales immediately after the launch of an ad but, equally important, resulting water cooler conversation that keeps a brand front of mind (“Did you see the Budweiser commercial last night?!”) The same standards should be applied to your social media outlets—keeping in mind that the rule of thumb for social or any marketing strategy is patience. Plan to invest at least 6 months to give it time to breathe and grow.

A New Perspective

For almost a year now, readers have frequented this blog to learn about PR and social media best practices from Miamore Communications and its founder Carrie Soucy. Being a new team member at Miamore, I read through the blog posts and found myself hard pressed to discover a topic that wasn't already covered, or a new perspective to add to an already dynamic conversation. Honestly, in my frustration, I became distracted and wandered off to those very tools we’ve discuss here: Facebook and Twitter. That's when it hit me: I may be relatively new to PR and Miamore, but I’m a consumer who KNOWS Facebook and Twitter. Carrie regularly bridges the gap between you (the business owner) and me (the consumer/"social media shark"). So what better way to start my new relationship with Miamore Communications and you readers than by laying out my fundamental insight and perspective.

Me, I represent the 20-somethings out there; The Gen Y group. What may surprise you: my priorities are less phones, mp3's, and liquor; than apparel, accessories, vacations and items that have more than a simple monetary value. The basis of my Facebook/Twitter/social media usage? To be more "in touch" with those I may or may not see frequently, and to solidify relationships… be they with actual friends, or with brands I patronize.

Everyone has a website these days. And any business at all savvy has a Facebook. Many businesses have that presence to reach me (or, rather, those in my demographic). Yet, despite their presence, they continue to struggle to figure out how to connect with me and my peers. So, what is the magic formula? Not really magic… First, we need to feel some sense of exclusivity; otherwise its not worth the clutter on my page. With the same fervor I check my phone for tagged photos of my weekend with friends, I should be running to your page for advance material (i.e. pics of new merchandise, release/event dates, contests /promotions etc.) that hasn't yet hit your website. Or better still, exclusive promotions to those who “fan” your page… those loyal customers such as myself.

I can't tell you how many tickets I've won, or chance meetings I've had with some of my favorite celebrities all afforded me by simply following a Facebook or Twitter feed. And, in each instance, it has made me a more die-hard fan.

The point: this may be a digital age, but people never lose that primal need for a sense of belonging. So, to businesses out there: if I can offer one fundamental insight into reaching Gen Y… it is this: capitalize on that need and make me (or “us”) feel a part of the team. YOUR team. The more genuine you make this feel, the more I'll fall in love with your brand. In sum: think of social media as the key to my heart… and the hearts of everyone in my generation… a generation that holds the future of your brand in its hands.

Social Media isn't just for kids... but so what if it was?

I had the honor and privilege of speaking to a group of dynamic, enthusiastic retailers on Saturday morning at the RJO conference program in Savannah, Ga. I came to Savannah armed with all my tips on implementing a social media marketing strategy for business, along with a whole chunk of demographic data to disprove any of the common "but Facebook is for kids" questions and objectives. I was thrilled that attendees spoke with me afterwards, telling me they were inspired to amp up their social networking efforts.

I, meanwhile, left Georgia enlightened by the comment of one retailer who shared her own experience...

This retail jeweler said she had initially joined Facebook out of curiosity, wondering why her college-aged children were so enthusiastic about it. (And, okay, as parents everywhere can relate: maybe to keep an eye on them!) Flash forward a few years and those college kids are now professionals. So, where does that leave her? In short: with a slew of fans in their 20s... all beginning their careers, getting married, and experiencing all those life changes that call for jewelry. And, guess who they feel connected with and loyal to? You got it... this retailer who has been in their (Facebook) world all along.

I loved this simple example, albeit coincidental, of thinking outside the box and investing in long-term growth. Small businesses are often so consumed by the present and making this year's numbers, that we don't think long-term in our marketing strategies. But, as this example proves, when you look at any new marketing idea (and especially in the realm of social media, where who knows what is right around the corner), remember it pays off to consider tomorrow... not just today.

PR and ROI: what is the dollar value of a reputation?

Being a small business owner, I clearly understand the value and necessity of "ROI" measurement. When we invest in something, we want to understand the returns on what we spend. While that is a simple concept to explain and understand, as a public relations agency, ROI measurement is a source of unending frustration and argument. I've conducted extensive research on PR ROI, discussed it with various colleagues, and (sometimes amusingly) scrolled through pages and pages of arguments among PR pros on online public relations discussion boards... forever in search of a clear way to scientifically measure something that is, at essence, an art. The ever-elusive prey: a firm measurement of ROI for a public relations (or social media) campaign.

Unlike advertising (with its simple "I pay x and I see x" ROI measurement), public relations--especially in the social media age--is entirely not scientific. We craft a message; we communicate a message to influence-makers; and we push that message out via social networking. In essence, we put a brand message in the public's mind. We lay the groundwork and ripen the fruit for plucking when it's time for the sale. But, with much of public relations being a subconscious impact... while incredibly powerful, it is equally incredibly difficult to ascertain. And nearly impossible to attach a dollar value to. We try, by measuring returns versus goals or, at a most basic level, monetarily converting the space allocated to an editorial placement into the cost for that ad space in a particular media. Both, however, fall short.

As humans in the 21st Century, we receive so many messages via so many mediums, how does one break down the value of each? For instance... I drive a Saab. I've never owned or driven a Mercedes. I've never (to my recollection) even been a passenger in one. Thus, Mercedes as a vehicle is entirely out of my personal experience. Yet, if a friend shopping for a luxury vehicle asked me to recommend a brand, Mercedes would be one of the first I would mention. Why? Their advertisements? Their editorial mentions? Their sponsorships like New York Fashion Week? How can I possibly measure?! And, if my recommendation resulted in the sale of a Mercedes, how would Mercedes' PR or ad agency monetarily measure that PR ROI?

Obviously, Miamore Communications works on a much smaller scale than Mercedes. And, yet, is the brand recognition we create for our clients, within their target markets, any less valuable to the clients themselves? Absolutely not. Is it just as difficult to measure? Absolutely!

Interestingly, as I pondered and researched public relations/social media ROI this week, I had two clients enjoy the power of Miamore's efforts. First, Lori Carr, CEO of long-time Miamore client Tomgirl Tours, was at an event and heard a stranger say "I LOVE Tomgirl Tours!" Second, a Miamore intern overheard a random conversation about how exciting it was that Providence was holding a fashion week this spring. Neither Tomgirl Tours nor StyleWeek Providence has invested a penny in advertising. In both cases, those enthusiastic word-of-mouth recommendations seemingly resulted entirely from effective PR messaging. So, my question: what is the dollar value on that??

While businesses ask for detailed measurement of ROI, and Miamore Communications (along with every other PR agency out there) scrambles to find some way to report success monetarily... I look at these two examples, scratch my head and wonder: how can one possibly determine a dollar value--or a scientific formula to calculate the monetary value--for a strong reputation and positive word of mouth?

Miamore's Week In Review: Dec. 19, 2009

As a small-business owner myself, I understand: there is barely enough time in the day to address day-to-day biz activities and crises, much less keep up on the latest news on marketing and PR. So, Miamore has decided to start boiling down, each week, the most important updates upscale businesses need know about in the areas of public relations, social media marketing, branding, and the luxury & lifestyle sectors. Here's the first of our weekly summaries:

SOCIAL MEDIA

• In my “past life” as a magazine editor, my favorite art director used to say (in regard to photography): if I find it on Google, it is mine! As the number of bloggers and web activity grows, however, this isn’t necessarily the case anymore. While the usage of images isn’t generally policed very well, there are still rules and laws regarding your use of images for your blog. It’s a little like the speed limit or (for you fellow Rhodies) the new texting-while-driving laws: you might not get caught if you break the rules, but you take a risk if you do. Here is a must-read outline of how to keep your blogging on the up-and-up.
• If your company is social marketing savvy, this is a bit basic. But for those still dabbling (and wondering why/if they should) in social networking it is an excellent read.
• For newbies and experts alike: This outline includes everything (and we mean everything!) you need to know about using Facebook effectively to promote your business.

PUBLIC RELATIONS

• We would like to hug the writer of this article. If you are considering venturing into public relations with Miamore or any agency, please read this for the low-down on how to “Be a Good PR Client” (could also be titled: How to Make your PR Agency Succeed in Growing Your Business)
• Hopefully you don’t have to worry about “crisis” PR, but in case you do, here’s a very good read on how (and why!) you must be prepared.

LUXURY

• Here is the best and latest update on how big-name luxury retailers are handling (and a bit on how they are faring) this holiday season
• For the jewelry people out there, here’s a little glimmer of hope about fine jewelry trending stronger for the season.
• This is a MUST-READ for luxury brands even considering discounting. Best quote:

"Once you start discounting, or accepting deals, there's no way of getting back up," he says. "In down times, there's the impression that the simplest thing to do is discount. But when confidence returns, the consumer's going to wonder why you want to charge $48 when just a few years back you'd sell for $30. You're effectively telling people that your product was too expensive to begin with."

• For those in the travel sector, the luxury (leisure travel) market is staging a comeback, according to this AFP report, but only for true quality. Best quote:

"The bling has gone. It's all about the quality of the experience and the feeling of space."

FROM MIAMORE COMMUNICATIONS

• Time's a-ticking for this one-of-a-kind holiday gift certificate: Speaking of luxury and travel, you officially have 6 days left to purchase gift certificates that will give the special women on your list the upscale adventure travel experience of their lifetimes. Your purchase will not only be the most memorable gift you’ve ever given her, it will also support one of four charitable organizations (at no cost to you). More here.
• Music expresses (and aims to raise funding to support) the universal challenge of caring for our aging loved ones: Almost everyone has had to face the difficult moment when they realize the passage of time has taken place, and that they must take over the role of caretaker for those who cared for them. As such, we all understand the challenges of caring for our elderly loved ones. A new initiative, Life in the Years, is raising funds to support a national program for elderly foster care, through sales of a beautiful compilation CD set that features 30+ of the world’s finest musicians, from the famous Natalie Merchant to Rhode Island’s own Sue Brescia.
• StyleWeek Providence adds to agenda: This week, StyleWeek Providence added the legendary Betsey Johnson to the list of designers who are showing during Providence, RI's first annual weeklong celebration of fashion and design in June, 2010. The roster is nearly full with phenomenal established and up-and-coming fashion, accessory and jewelry designers, but a few spots are still available. Contact us if you’d like to be considered!

On a Mission...

What is your mission statement?

That simple question is the very first I ask of clients and prospects. Because, from that answer springs all PR, marketing (and, ultimately) sales strategies. And yet, so many small businesses reply to that question with one (or a mix) of three responses:

1.) An uncomfortable squirm

2.) A lengthy monologue starting somewhere around "well, when I was 12..."

3.) A quick: "to sell my stuff"

We understand that business owners are not necessarily writers (and we work with clients to help clarify that message), but if they can't succinctly describe who they are, what they do and why, then how can clients relate to them? More: how can the business, or its PR agency, craft a message that the media and public will understand?

Many business consultants recommend that mission statements be no more than a paragraph. I, on the other hand, take that further: you should be able to summarize it in a sentence (2 at the most). It should describe what you do, why you do it and how you do it... without getting into nitty gritty details. This isn't easy... even for professional writers (as my old journalism school professors said so correctly: it's a whole lot easier to write long than to write short), but it is a necessity. From your mission statement springs your brand and image... including tagline, creative materials, PR message, marketing initiatives and advertising plans. While every business owner knows this in theory, many small creative firms find it difficult to execute.

As an example/case study, I'll use Miamore Communications. At Miamore, our mission is:

To utilize the press, social networking tools and promotions to introduce, inform and educate the public about goods and services provided by small businesses in the luxury lifestyle category, thereby assisting those firms in reaching sales goals and growth.

From that mission comes:

• Our tagline: "spreading the word about life's finer things"
• Our various services: public relations, social media marketing, brand development, creative services and special event planning.
• Our marketing focus: small businesses in the luxury and lifestyle categories
• Our media targets: editors and bloggers in lifestyle beats
• Our social media outreach for ourselves: groups, fans and followers in the above areas
• Our social media outreach for our clients: consumers who dialogue about upscale and lifestyle goods and services.

If we were to say our mission is "to sell PR services", everything else would be similarly vague and ineffective... who would be our target client? Our target press contacts? We would be aiming our efforts in a million directions and spreading ourselves thin on all.

So, as you look forward to 2010 and business plans for the year, please take a look at your mission statement (or develop a succinct one). Once you have that down, you'll be surprised how much simpler everything else will come.

Help Us, Help You (Make 2010 a Success)

I’m stating the obvious when I say it has been a… Challenging… year for small businesses in the lifestyle category (even moreso for those focused on luxury goods and services). So, as 2009 winds down (48 days until the New Year!), most remain wary about marketing plans for 2010. I hear many, in fact, saying they aren’t only “wary”, but actually taking a wait-and-see approach.

While that is natural and understandable on a personal level (as a small business owner, I completely relate); on a business level, it ranges from foolish to suicide. Unless you anticipate the possibility of shutting your business in Q1 2010, I hope you have in place (or are developing), a MARCOM strategy to keep your company front of mind for your customers and potentials. Granted, I advise a cautious approach in developing that plan (you can always add elements), winging it is never a good option and, as research shows (see here and here, for example), those who market during a down economy—scary though it may be—are the ones who benefit when things turn around. And, rest assured, they will turn around.

So, I ask… What is your MARCOM plan?

1. Will you advertise? If so, where is the best place for you to invest those dollars? Do you know? Or will you (*shudder*) follow the advice of the commission-based sales rep (and they all are) that does the best job of wooing you in 2010?
2. Will you invest in marketing opportunities like shows or events? If so, have you conducted market research to determine which are the best venues for your niche?
3. Will you have a public relations outreach in 2010? If so, what is your plan? Who is your target? Do you have a press list? What will you have to promote? And how will you promote it? (Also, given too many conversations I’ve recently had: do you understand the definition of public relations and how it differs from advertising?)
4. Do you have a social media plan? How will you best utilize those tools? Do you understand how to use social networking to grow your business? Who will you delegate to handle that for your business? And how much of an investment are you going to make (time and money) into this, the fastest growing method of marketing?

These are questions that businesses can not leave to chance, circumstance, or the most charming salesperson who comes along in 2010. These are answers that need to be determined this month (or next, at the latest).

I understand the predicament of not wanting to “commit” when the first half of 2010 is such an unknown… but I also can’t stress enough the need for planning and strategy (no matter how bare-bones). So, Miamore Communications is offering special 2010 MARCOM strategy and planning sessions to small businesses. Let us sit down with you; analyze your budget, target market and goals; and assist you in creating a 12-month outline that is achievable in within your means, not your dreams. While corporate agencies focus on number-crunching, as a boutique firm, Miamore Communications is not just flexible, but I’m also a huge believer in paying it forward. And, let’s face it, if you are a small business, either in our same geographic market (New England), or within our niche—lifestyle and luxury—the long-term success of your company = our long-term success of mine.

So let’s collaborate to make 2010 successful for both of us. Email us or give us a call anytime at 401-315-5979.