It’s no secret that small businesses need social media. The increasingly mobile social media experience sees customers researching, shopping, and sharing, and startups are joining the conversation — but not always with the right small business analytics to make the most of their marketing spend.
Chris Vollmer of Booz and Company’s global media and entertainment practice says that startups and established names are focusing on content development, community management, and real-time analytics as they engage with Facebook, Twitter, and YouTube, writes Mashable’s Christine Erickson. And while this 3-prong approach is effective in building lasting relationships with customers, Vollmer touts small business analytics as the key to maximizing impact for expansion companies with limited media budgets.
Booz and Company breaks analytics into 4 levels of expertise:
- Level 1: Reach – Marketers track the number of subscribers and visitors, and understand the context in which their brand is discussed.
- Level 2: Engagement – Marketers analyze what drives participation and look for patterns in likes and shares.
- Level 3: Advocacy – Marketers find and promote user behaviors linked with brand commitment, including intent to share and comment.
- Level 4: Return on Investment – Marketers achieve business objectives based on social media analytics, including purchase intent and lead generation.
According to a social media impact study by Booz and Company and Buddy Media, only 40% of companies have social metrics to track ROI-focused KPIs. Most companies are stuck on levels 1, 2, or 3.
Compelling content is still key to social media success. Karen Premo, Booz and Company’s Principal, says that ads aren’t “something people really want to talk about or forward to friends.” The startups and expansion-stage companies that produce engaging content will get the social data needed for insightful small business analytics — and a healthier bottom line.