Social Marketing The Roi

1. Social Marketing: This ROI is Too Good to be True! March 25th, 2009

2. Today’s Topics Branded Online Community Measurement Kathy Warren, VP Account Planning, Powered Results of the 2008 ROI Benchmark Study for Social Marketing Programs Bill Harvey, President, TRA Global Social Media: Why it Makes Sense and How I Prove it to Myself Brian Halligan, Co-Founder and CEO, HubSpot

3. Branded Online Community Measurement Kathy Warren, VP Account Planning, Powered

6. Purchase consideration

7. Loyalty

8. Advocacy

9. InsightLong-term persistent strategy

10. Three keys to branded online community success (and ability to measure) Start with the audience segment & desired outcomes in mind, not ‘the message’ – it’s all about them Give before you get - engage based on mutual INTERESTS first Category second Brand/products (not just the latter) Listen and show that you heard X

11. Segment value drives critical mass & substantiates expansion High Pro Content UGC Research Contribution Low time community brand

12. Evolution from tactical to strategic planning Business Outcomes & Actionable Insight Reporting

13. Social Marketing Transactional & Strategic ROI Brand.com E-mail marketing Paid Media Viral/WOM Total Visits 50% Engage (in content & conversations) Online Transactions *Source: Averages across Powered communities CY2008

14. Cumulative ROI of Social Marketing Branded communities are persistent and drive ongoing return. Based on typical results from Powered programs – results will vary by brand , benchmarks are established during 6-mo pilot. *Online transactions are dependent on client tracking via web analytics. All other measures are tracked by Powered.

15. Managing to actionable KPIs – through behavioral & primary research data

16. Results of the 2008 ROI Benchmark Study for Social Marketing Programs Bill Harvey, President TRA Global

17. About This Study Purpose of This Study Equip the marketing community with the best information from which to create the most effective marketing programs in the immediate future. Study Methodology Self-reported consumer data collected via surveys Surveys were collected approximately 6-8 weeks into experience Midpoint values were used in analyzing responses regarding amount spent on purchases of relevant products Sample Size = 112,183 completed surveys

18. 2008 ROI Results For 2008, Powered social marketing programs yielded a 60:1 ROI, a 10% increase from 2006. The results would indicate that the longer the program is sustained, the higher the ROI achieved.

19. 2008 ROI Comparison by Marketing Program The Powered approach for social marketing programs has consistently outperformed the DMA and MMA ROI estimates for all of direct marketing and non-CPG mass media advertising for the past 3 years NCM has conducted this study. Direct Marketing Association (DMA) 2005 Economic Impact Study, Peter A. Johnson, PH.D., pjohnson@the-dma.org. MMA: “Finding The Other Half” by Erwin Ephron and Gerry Pollak, Ephron On Media website archive.

20. 2008 Supplementary Findings

21. Implications for Marketers Give in order to get Utilize a “soft sell” approach to marketing communications – inform, educate and help consumers Provide the social marketing and Web experiences your customers value Shift thinking away from short-term social media campaigns to long-term social marketing programs

22. Social Media: Why It Makes Sense & How I Prove It To Myself Twitter.com/bhalligan

23. Page 18 Slide 18 of

24. Page 19 Page 19

25. Page 20 Social Media Visitors

26. Slide 21 of Social Media Visitor Analysis Visitors Prospects Leads Opps Cust

27. Page 22 Social Media “Reach” Page 22

28. Page 23 Thank you………..twitter.com/bhalligan Page 23

30. Facebook: Kathy Warren

31. E-mail: kathy.warren@powered.com

33. www.hubspot.com