Social media – a tool that can make a significant difference in business, and has become essentially vital in the digital times we currently live in. However, seven out of 10 businesses don’t measure their return on investment when it comes to social media.
Of the 31% that do measure, 58% did so by asking their customers and 60% monitoring their responses on social media.
The 2020 Yellow Business Social Media Report also found that 21% of businesses had no strategy at all on driving traffic to their social media sites, whilst 21% reverted to advertising in traditional media to drive traffic to their social media sites.
“It’s a little worrying that so few measured their return on investment,” explains Sensis’ Chief Product and Customer Experience Officer, Kynan Hayes.
“Social media has a massive audience – 18 million active users in Australia – so every dollar you spend should be accounted for.”
“This is backed up by 63% of businesses saying they believe their social media spend will lead to an increase in sales over the next 12 months with 9% saying they expect sales to be up between 21% and 50%,” Mr Hayes continues.
According to Hootsuite’s Digital 2020 Report, social media ad spend in Australia in 2019 was $2.38 billion, “so there’s a lot of competition”.
Mr Hayes said there is still a propensity for businesses to manage their social media inhouse, with 80% doing this. “What I thought was interesting is that more than half (55%) said the business owner/manager had responsibility for social media and just 20% the marketing department.
“Only 8% of businesses said they outsourced their social media with 13% using the IT department!”