Analysis of ROI from young campaign using only social media tools Facebook and Twitter. Why would you want to measure ROI (and ignore the other benefits of social media campaigns)? Probably because there's someone asking you to do it. With all the controversy about analysis of retention, participation, brand recognition, conversation, etc., here are some logically arrived at numbers old-school management types will understand. Also, notice the fan growth jumps by an order of magnitude once a community manager gets involved.

1. ROI on a Young Social Media Program What Facebook and Twitter are doing for a company’s new Social Media program so far Janine A. Southard November 12, 2008

3. Growth of Facebook fans since Community Manager involvement

5. Monthly Facebook impressions Month Ending Facebook fans New Facebook fans Total new impressions of Page* Total new views of OUR NAME** Total unique FB Page impressions*** Total free advertising of our name**** 7/19/2008 158 0 8/19/2008 225 67 335 3,350 3,373 3,575 9/19/2008 464 239 1,195 11,950 11,996 12,414 10/19/2008 1023 559 2,795 27,950 28,052 28,973 11/19/2008 2000 977 4,885 48,850 49,050 50,850 * Total non-fan views: Assume for every 5 people who see the Facebook page, 1 signs up. Total non-fan views, then = 5*(new fans) ** Total non-fan views of OUR NAME: assume that 1 person views our page for every 10 people who see that a friend has joined us. Then, non-fan views of OUR NAME alone = 10*(total non-fan views of Page) *** Total FB Page impressions = total non-fan impressions + (0.1)(current fans) <-- chose 10% of current fans because all will get a message to their homepage, but we only get about 100 unique visitors daily **** total free advertising is all sitings of our name from the page. Includes all non-fan views + all fans (since all fans get a notice of an update, and I make at least two per week)

7. Weekly twitter fan growth

10. Weighting conventions so that items can be compared against each other Impressions category relative weight in terms of Facebook name recognition Twitter follower 3 Facebook fans 90 Twitter name recognition (@ replies) 10 Facebook name recognitions 10 Facebook fans 10 Facebook page reviews 30 Facebook page views 3 Facebook name recognitions 3 Facebook name recognition 1 Facebook name recognition 1

11. Monthly weighted impressions Month of Twitter followers twitter name recognitions Facebook fans Facebook page views Facebook name recognition Weighted Impressions (in terms of Facebook name recognitions)* Weighted Impressions (in terms of Facebook page views)** 7/19/08 0 0 158 4,123 39,806 52,792 17,597 8/19/08 0 0 225 4,193 39,904 55,040 18,347 9/19/08 0 0 464 4,435 40,174 62,964 20,988 10/19/08 170 3378 1023 4,997 40,763 123,727 41,242 11/19/2008 170 3378 2000 49,050 50850 251,230 83,743 * summation of weight of twitter followers: twitter followers x 50 weight of twitter name recognition: twitter name recs x 10 weight of Facebook fan: Facebook fans x 30 weight of Facebook page view: Facebook page views x 3 Facebook name recognition (accounting for page views already counted): Facebook name recognition - Facebook page views ** prior summation divided by 3 11/19/2008 line: forecasted from 11/12

12. Monthly Weighted impressions (campaign reflected 8/15 – 11/1)

13. BENEFITS IN TERMS OF US$

14. ROI – valuation of impressions Month of Weighted Impressions (in terms of Facebook name recognitions) Value of single ad impression* Social Media ROI as Ad impression Minimum value of a Google Click** Social Media ROI as targeted ad 7/19/08 52791.6 0.005 $263.96 $0.01 $527.92 8/19/08 55039.8 0.005 $275.20 $0.01 $550.40 9/19/08 62964 0.005 $314.82 $0.01 $629.64 10/19/08 123727 0.005 $618.64 $0.01 $1,237.27 Forecast: November 19, 2008 251230 0.005 $1,256.15 $0.01 $2,512.30 * Value of single ad impression taken from what company in question currently pays in Ad Impressions ** Social Media impressions are like highly targeted ads, such as Google SEM ads. Minimum value of a Google Click taken from Google's cost-per-click figure 11/12/08