Though I'm not saying making close friends through social media addresses "the ROI question," it definitely speaks to the value question. Olivier Blanchard, Trey Pennington, and Scott Gould
The social media return on investment question will never be answered to the satisfaction of those pursuing an answer. Though there is an answer, it will forever be unsatisfying for those who demand a formula.
While I write the post to support such an outrageous claim, let me share with you some of the days’ tweets to get your creative juices flowing in this direction. I’m eager to hear what you think, too.
For the record, YES social media ROI can be measured.
http://twitter.com/treypennington/status/5021836583
Social media ROI? Friend says to me, “What’s the fuss? Use the same metrics you’ve been using for the rest of your marketing!” Good point.
http://twitter.com/treypennington/status/5021863114
Social media is media. Measure Social Media ROI the same way you’ve been measuring ROI for other media.
http://twitter.com/treypennington/status/5017712338
One reason why SMROI is troublesome: it’s the first time folks have started measuring media. Otherwise, they’d have the answer.
The HUGE opportunity for social media is not immediately MONEY. It is an opportunity to reassess PRESUPPOSITIONS!
http://twitter.com/treypennington/status/5021850108
DESIRE comes first and THEN the rational explanation. Executives do not WANT to do social media, thus the SMROI smokescreen. (We’ll have to address the question they ask and then help them discover the real question.)
Asking “what’s the ROI for SM” works better as smoke screen than key to meaningful discovery.
“What’s the ROI of social media” is not the best question for unlocking the opportunity inherent in the media.
David Meerman Scott @dmscott Makes a great case for the SMROI “smokescreen” in World Wide Rave. Worth the read.
Definition of terms is essential for SMROI discussion. HUGE difference between VALUE and PROFIT.
Please get this distinction: “What’s the ROI of SM?” is a vastly different question than “What’s social media worth?”
People START talking about ROI then move into a VALUE discussion almost immediate. NOT the same question.
Bottom line, we pretend to be, and want to be, rational beings. We’re a robust mixture of ration & emotion.
ROI is ROI. It is objective. Value, on the other hand, is subjective.
Consider Mother Theresa. Did she CREATE VALUE? Did she create profit?
Not sure when I’ll finish the post supporting my outrageous claim. It’s a rather fun post: at issue are such cool terms such as presuppositions, metaphysics, epistemology, ethics, and maybe even thought and language. Though we hardly ever talk about it, our assumptions about the nature of reality, man, knowledge, what’s right, and our symbols for conveying thought DETERMINE our behavior more than our rational choices. (See, I told you metaphysics and our anthropological construct matter.)
The “economic man” has been the dominating construct for a very long time. Social media gives us an opportunity to reassess that assumption. This is going to be a fun ride.
