Taking the Guesswork Out of Social Media Marketing
The most common social media pricing options are cost per click (CPC) and cost per thousand (CPM). With CPC, you can limit your ROI risk exposure by capping your spend. Unfortunately, the cost of this tactic is program scale and momentum. For CPM campaigns, the scale of the program can be extensive, but there's no guarantee of program ROI. Knowing your exact audience demographics, the context you want to target them within and the timing is critical to stacking the CPM pricing model in your favor.
The current industry buzzword is “programmatic” buying of media. Some social media sites are becoming the best providers of data (e.g., gender, age, etc.) with which to execute this direct response-inspired media buying tactic. Many marketers know exactly what they're willing to pay per click when it comes to keyword strategy. You can test social media with the same approach, enabling you to know exactly what CPC or CPM price you're willing to pay for any given impression.
Once you’ve figured out all of the above, you can then focus on your creative strategy. Serving up the wrong or limited creative can be disastrous. It’s important to work with someone who understands creative beyond banners and search terms. Social is a different animal and its users are there with a different attitude. It’s vital to understand their frame of mind in this social environment and where your creative will fit in the conversion funnel. Because social tends to be more middle- and top-of-funnel activity, you must seduce them down the funnel with information and value that makes it worth their while.
Taking the guesswork out of social media marketing can go a long way in eliminating risks. Doing the necessary homework in advance can make your small step into social a giant leap in ROI.