Some view social media as just another channel without considering its differences over other media. Some look at it as a “new innovative” method to reduce cost and gain efficiencies.
Old minds apply old methods to measuring ROI from conversations. Sometimes the quest for results blinds you from the obvious. Innovation tends to created from the outsidde in rather than the inside out.
Throw Out The Old
Note the graphic above from EMarketer recent research. The overriding quest by the best in class is aimed at “Establishing methods for engaging consumers in online conversations”. W. Edwards Deming used to ask the CEO’s of the Fortune 500 “By What Methods?” as he pushed their minds to think about “how” results are created rather than simply looking a results as the predominate measure.
Since social media has attracted the masses everyone seems to be trying everything to get the consumers attention. So we ask “what subject, topic or means, regardless of brand, gets the most attention?” The frank and direct answer is money!
What individual or business does not want to earn more money? What “friend” would not appreciate a friend giving them knowledge as to how to save or gain more money? The marketplace of conversations is driven and attracted to the most powerful influence ever, in and outside of any market, money! Don’t believe it? Think again. What gets any markets attention most? Revenue growth, efficiency, innovation, cost reductions, jobs,economic indicators etc. etc. Money! Get it now?
Show Me The Money?
The old paradigm of marketing and advertising has created $1.5 trillion in annual spending globally. The old mindset thinks gaining 2% – 3% return on those expenditures is “acceptable, normal and an industry standard of performance”. Here is the definition of acceptable: : barely satisfactory or adequate performances varied from excellent to acceptable. Get it?
Now the question is “by what method” could the marketing and advertising industry get and increased return on their methods?. The answer is fairly simply while the execution is fairly complex. Enable the consumer to have your ad budget and apply the budget to a purchase. If they don’t make a purchase you don’t pay for anything. Thus a 100% return on investment.
Sound impossible? It’s not, so stay tuned for the release of a brand new method of engaging consumers online and getting a much higher return on that engagement. Throw out everything else your thinking about and adopt innovation which usually rest outside any of your past experiences and thinking. If you think the context of this post is impossible and just some hype, think again or continue doing what you’ve always done and get what you always got. The currency of a conversation is now enabled to produce a higher ROI than every before.
Want to know how? What say you?