Presentation I gave at Podcamp Boston 4. Still needs some work, but the general idea is there. Please feel free to share, remix, distribute, contact, etc!

1. Forget ROI A Theory on Social Media and How To Swing It Justin Whitaker Shogun, MicroNiche Consulting

2. Social media is online content created by people using highly accessible and scalable publishing technologies.

3. Social media is a shift in how people discover, read and share news, information and content. -Wikipedia

7. Engagement Measures?

8. Return on Investment ?

9. Return on Assets ?

10. Wait, Return on Assets ?

11. Engagement Measures ! = $

12. ROI = ( Gain on Investment – Cost of Investment)/Cost of Investment

13. ROI = How efficiently capital is used

14. ROI= Assumes discrete project/ milestone

15. ROI= Assumes attributable revenue

16. Social Media is not a campaign

17. Social Media may not generate attributable revenue.

18. (Engagement-Costs)/Costs != ROI

19. (At least not to corporate decision makers .)

20. ROI is the wrong tool.

21. ROA = Net Income / Total Assets

22. ROA = Efficiency of Asset Usage

23. But, isn’t Social Media an investment ?

24. Social Media is a time investment.

25. Social Media is a cultural investment.

26. Social Media is an expense .

27. Social Media = - Net Income

28. Social Media = + Brand Value (Recognition/$)

29. Social Media can influence the perception and value of your brand.

30. Social Media = + Customer List (Community Engagement)

31. Social Media allows me to efficiently increase # of engaged customers.

32. More engaged = more value .

33. Via Social Media you can generate measurable deltas in two key intangible assets .

34. Intangible assets are balance sheet items.

35. (In Case You Were Wondering .)

36. Business 101: + Net Income /Total Assets

37. + Differentiation = + Net Income

38. + Engaged customers = + Net Income

39. Business 102: + Net Income/ + Total Assets

40. + Differentiation = + value to Brand

41. + Engaged customers = + Value of Customer List

42. Successful Companies Have High ROAs.

43. Social Media can help you swing it.

44. ?

45. Contact: Justin Whitaker MicroNiche Consulting Twitter: Justinmwhitaker Email: [email_address]