This document discusses metrics for measuring return on investment (ROI) in social media. It notes that the average Facebook user is a fan of 37 pages and likes 36 posts per month compared to a brand's average of 7 posts. Return on engagement (ROE) is an alternative metric to ROI for social media. It also provides examples of companies like KLM that have achieved a high ROI through engaged customer service on social platforms.

1. ROI in Social media
27. 10. 2012, Harvard Business School

2. Highlights
Clients
150
people
Marketer visits
www.socialbakers.com
1000 clients

3. Users on Facebook
1 BILLION USERS
Facebook 130 BILLION USER CONNECTIONS
37 BILLION FAN CONNECTIONS
40
34.6 36.7
35
30 32.1
Liked pages
25
26.0
20
17.2
15
12.4
10
5
4,5
0
Oct2009 Apr2009 Oct2010 Apr2010 Oct2011 Apr2011 Oct2012
Average user on Facebook is a fan of 37 pages!

4. Social is changing all the time
Brands
1 Billion users Platforms are changing
are changing are changing
= increasing “noise”

5. Return on Engagement
ROE = Return On Engagement
ROI

6. KLM

7. Socially Devoted – Customer service
How many Questions have been answered?

8. Average Number of Brand Pages Posts
36 posts per month vs. 7 posts per month

9. Average Liked Pages per User
40
34.6 36.7
35
30 32.1
Liked pages
25
26.0
20
17.2
15
12.4
10
5
4,5
0
Oct2009 Apr2009 Oct2010 Apr2010 Oct2011 Apr2011 Oct2012

10. Top METRICS in Social media

11. jan@socialbakers.com
@janrezab