Social Media

ROI
Dorian Benkoil
May 14, 2011
@dbenk

Saturday, May 14, 2011

 What We’ll Cover
From a Publisher’s Perspective
➡ROI: What does it mean?
➡Benefits and Costs
- Revenue
- Doing the Math
- Less direct benefits
➡Pointers in making it better

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Saturday, May 14, 2011

 ROI?
• Does the benefit justify the cost?
Monitoring
➡
➡ Calculating

$
➡ Understanding
• Less obvious
Benefits
➡
➡ Costs
➡ What are they?
• Pointers
• Real-World
Examples
➡
➡ Tools

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 Traffic

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 The Clickthrough

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 The Measurement

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 Breaking it Down

Facebook: 32,979 x 1.96 = 64,329 pageviews

Twitter: 2,503 x 2.13 = 5,331 pageviews

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 What’s a Pageview Worth?
• RPM
# Ad Placements per page
➡
➡ CPM per placement
➡ Total placements
➡ Other revenue
- eCommerce
- events
- etc.
➡ Average Sell Through Per Placement
(percentage)

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 $20 CPM
$25 CPM
$5 eCPM

$50 total
X 80% of pages
X100% sellthrough

$40 average RPM

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 The Value
Every 1,000 pageviews = $40

Facebook
64,329 pageviews / 1,000 = 64.329
64.329 * $40 = $2,585.55

Twitter
5,331 pageviews / 1,000 = 5.331
5.331 * $40 = $213.26

Direct
169,806 Pageviews X x 50% = 17,643 pageviews
17,643 pageviews / 1,000 = 17.643
17.643 * $40 = $705.71

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 The Total

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 The Profit or Loss
Expenses
Staff

60 hours * $25/hour = $1,500

Tools = $100
$1,600

Profit
on social media:
$3,504 - $1,600 =$1,905

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 Really?

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 What’s Working....

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 Facebook’s 40%

MediaShift’s share
• 3,482 / 686,662 = .51%
• Let’s assume 10x =
5.51%

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 Without PBS Facebook

• $428.35 - $1,600 = ($1,171.65)

That’s loss of $1,171.65 on a direct clickthrough
basis.

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 What’s Wrong with That Picture?

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 Lifetime Value
• 42% Repeat Visits
• 4,185*.42 = 1,758
More pageviews
than counted
above.

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 How Else to Get Traffic?
• Advertising - likely costs even more
• SEO - there are limits
• Sure, but how much of that traffic is worthwhile
• Guerilla marketing and PR

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 Does Staff Really Cost That Much?

Reporters, Editors, Executives, others integrate it

into their workdays.

Staff costs may be minimal.

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 Other Benefits
• SEO
• Others help: Tweet, Retweet
• It helps your “brand”
• You have to be there. Everyone else is.
• ➡
It’s great CRM
Outreach
➡ Understanding
➡ Develop Community - links to others
• You can monetize it
• It’s another way to get information out
• ➡
It’s a great information gathering tool
Reporting - tips, trends, info (every reporter needs it)
➡ Who’s reading and how
➡ What’s working and not?
➡ Other social media
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 How to Maximize Them

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 Information - Twitter

• Bit.ly
http://to.pbs.org/jE0SEo+
➡

• Twitter Counter

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 Information - Facebook

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 It Can Be Automated
• “Share This”
• Social Oomph
• Auto Tweeter
• Within Facebook
• Measured Voice
• Social Flow
• Tweetdeck plugins
• Hootsuite
• Co-Tweet
• Radian6

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 The Network Effect
It’s Additive Over Time

If you get a percentage of followers and fans who

interact with you clickthrough when you Tweet a link,
the absolute number of clickthroughs will grow over
time.

Your effectiveness per Tweet or Facebook post

increases as your cost stays constant.

Revenue rises as expense stays constant.

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 Tips & Force Multipliers
• ➡
Learn what works
Wording - headlines? More clever? Quotations? Controversy?
➡ Time of day
➡ Spacing
➡ Your own Bit.ly handle
➡ Volume
➡ Twitter vs. Facebook
➡ Other social media
• ➡
Technology
automation - but not spam
➡ bookmarklets
• ➡
Repeats
times of day
➡ language
➡ calling out different aspects of story
• ➡
Add to conversation. Don’t just push yours out.
Add value - tips, links
➡ Have personality
➡ Show appreciation
➡ Engender trust and gratitude
➡ Learn the lingo and customs
➡ Let people know when you Tweet something they did “@” them
• ➡
More advanced
Get your own Bit.ly handle?
➡ Web analytics tags?
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 Then Watch the ROI Grow

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 “Attract, Engage, Activate”
Training, Strategy and Social Media Solutions

For Publishers and Brands

Dorian Benkoil
@dbenk

Dorian@TeemingMedia.com

646/368-1000

Saturday, May 14, 2011