In a post on Search Engine Watch that summed up the study’s findings, Stefan Tornquist, Econsultancy’s US Research Director, made the following comments:

“Despite the current hype surrounding social media, social network adoption and its influence on e-commerce is far from maturity. More than a third of consumers (37%) do not use a social networking site, while those who have recently become a ‘fan’ or ‘friend’ of a company or brand online are still in the minority. Although a variety of media are competing for consumer attention, email continues to be the desired channel for many types of commercial communication.”

The study stresses that emails need to be relevant and timely, but as long as marketers don’t make pests of themselves, it seems that most customers are more than happy to invite them into their inboxes.

But that doesn’t mean that marketers can afford to ignore social media, either. Even if 37% of consumers don’t use social networking sites, that means that 63% of consumers DO use these sites, and more are joining all the time. Plus, social media offers an unparalleled opportunity to foster word-of-mouth, as status updates, posts and videos can quickly go viral.

As they try to grab a piece of the thought leadership pie, some marketers and social media professionals are ignoring the fact that email and social media are not necessarily mortal enemies. They can play nice. You don’t have to choose one or the other. For example, why not let your customers share the offers you send them via social media? Or use social media’s viral nature to help build a killer email list?

Fortunately, most marketers understand this. In fact, a recent study by e-Marketer showed that two-thirds of marketers have begun integrating social media with their email marketing efforts.

We’re all about bringing the social media revolution to direct marketing, but at the same time, what we do is only part of a comprehensive social media strategy. There are lots of other ways to use social media to market your business, everything from providing customer service through social media channels to setting up a company Twitter account and tweeting clever quips and helpful information. But how do you measure the ROI of all of that engagement? Hopefully this list of social media ROI resources from industry experts will provide some insight:

Brian Solis: ROI: How to Measure Return on Investment in Social Media

Written at the beginning of the year and still timely, this post from Brian Solis is a lengthy but worthwhile read for marketers struggling to quantify the value of their social media efforts.

Augie Ray/Forrester Research: The ROI of Social Media Marketing: More than Dollars and Cents

In this post, Augie Ray of Forrester Research outlines how to measure the value of social media from 4 different perspectives for a more complete picture.

Garry Przyklenk, Search Engine Watch: SMART Social Media ROI: Show me the Money!

Garry Przyklenk offers a simple, step-by-step guide to calculating social media ROI.

Almost everyone in the social media sphere loves Erik Qualman, and this video is one of the reasons why. The sequel to the hugely popular “Social Media Revolution,” “Social Media ROI” is packed with statistics showing how companies that have used social media successfully are measuring its impact on their bottom lines.

Feel free to share your thoughts and any additional resources in the comments!

I can almost hear you thinking “Wait a minute…this is news?” These problems are not new, of course. Ever since companies began to incorporate social media into their marketing mix there has been a debate about whether it was even possible to measure the ROI of social media and if so, how one would go about it.  However, there is a pretty clear consensus about which metrics NOT to use: numbers of friends and followers mean almost nothing.  One follower who is willing to engage with your company and spread the word about you to his or her own followers is worth a thousand followers who never tweet or post about your brand.  When it comes to marketing, engaged followers are the only followers that count.

Unfortunately, the study (available here) found that 65.5% of marketers surveyed were tracking an increase/decrease of friends and followers. 59.5% measured traffic coming in from social sites, while 39% tracked mentions of the company. Only 35.7% were tracking new leads, and only 28.5% were tracking sales.

The good news is that more and more marketers are recognizing the advantages of incorporating social sharing into their email campaigns, with 59.1% allowing customers to share offers with their networks.

In the report, eROI notes the importance of tracking and measuring all social media initiatives:

No matter how small they start, marketers should start tracking and measuring their social media efforts (currently one-fifth of respondents said they don’t track anything).

At Dukky, we also believe that it’s important both to incorporate social media into your marketing mix and to track its impact. That’s why we make it easy to create direct marketing campaigns that use social media to amplify your company’s message, raise awareness and help you get to know your customers a little bit better. Plus, our detailed, real-time analytics leave no room for doubt when it comes to social media’s impact on the ROI of your campaign.

How is your company measuring the ROI of its social media marketing efforts? Does social media seem to be paying off for you? Let us know in the comments!

Now, as MediaPost’s George Simpson has noted, it seems that social media may have provided us with yet another way to deprive TV advertisers of our attention. The conclusion of Lost, for example, spawned 437,613 tweets, and the number of tweets sent spiked during every commercial break.  Simpson observes:

This probably gives a little heartburn to the media buyers who bought time on the finale (probably at a premium, since the ratings were expected to be high — if you can call under 14 million viewers high any more). Moreover, only about 200,000 viewers watched the big ending from start to finish. Most were too busy thumbing their cell phones to look up at the commercials.

Simpson doesn’t understand why anyone would want to tweet about “Lost” to begin with, but of  course if you paid any attention to the show at all (or had friends who did), you know that half the fun was trying to decode Lost’s sprawling, incomprehensible mythology, an activity best undertaken with a group of other like-minded fans. Twitter provided Lost geeks with the opportunity to discuss the show with an entire Twitterverse of fellow fans during commercial breaks, inadvertently depriving media buyers of their eyeballs.

There is a lesson to be learned here: Certain traditional marketing  tactics are becoming less and less powerful as consumers become better and better at screening them out.

Used wisely, social media gives you an opportunity to create an experience that’s more interactive and draws your customers in without annoying them. It can also be a great place to harness the power of word of mouth. People appreciate getting recommendations from their family, friends and other social networking connections, so these have more power than all but the catchiest TV jingle.

While there are very few companies that can get by on social media alone, integrating it into your existing marketing mix gives you a powerful tool to help you connect with your customers- especially the ones who head for Twitter when the commercials start!

The results of a new Harris poll released last week show that consumers have been using social media to broadcast their opinions, both positive and negative, about the brands they are familiar with. Adweek notes that 34% of the people surveyed said that they use social media to “rant or rave about a company, brand or product.”

Fortunately for marketers and PR folks, social media aficionados seem to be about as equally inclined to use social media to praise brands they like as they are to use them to vent about brands they dislike. No doubt you’ve heard the saying “a happy customer tells one friend, an unhappy customer tells everybody?” That old adage doesn’t seem to be quite as true when it comes to social media, at least not if the customers themselves are to be believed.

Adweek reports that an almost equal number of consumers (23%) use social media to plug brands that they like as use it to vent about brands they don’t like (26%).  No doubt you can think of at least a few instances where social media was used to punish a brand on a scale that would have been all but impossible without social media (United Breaks Guitars, anyone? Or how about Nestle?), so it’s reassuring to see proof that consumers are also willing to use their newfound power to reward brands that make a positive impression on them.

Another interesting nugget from the poll: 45% of respondents said that opinions from their social media connections influence their purchasing decisions. As you might expect, younger respondents gave greater weight to opinions encountered through social media: 50% of respondents age 18 to 34 found them to exert “a great deal” or “a fair amount” influence.” For respondents 55 and older, only 37% said that social media was influential.

Statistics like these demonstrate why it is vital to get people saying good things about your company on social media. At Dukky, we understand how important it is to generate positive word of mouth, which is why our platform encourages customers to share your offer on social networking sites like Facebook and Twitter. We also track the responses to those shares, so you can identify your biggest brand advocates and reward them accordingly.

What steps are you taking to encourage positive conversations about your brand?

Good ideas can come in all shapes and forms; they can be well thought out and meticulously sculpted, or hectically thrown together on a whim and a good feeling. Just ask Matt Harding, the creator and star of the Internet video sensation “Where the Hell is Matt” as well as several other creative videos. Matt’s video’s take him all over the world where he may display some questionable dance moves, but presents them in locations that are so strikingly beautiful and unique that no one really seems to care. Matt’s dance moves took him to all corners of the earth and include locations such as Paris, Buenos Aires, Istanbul, Seoul, and Kuwait. According to Matt, since the start of his Journey back in 2003, he has since been to all 7 continents, visited 55 countries, received a sponsorship from Stride Gum and been hired by Visa to star in their upcoming Travel Happy campaign.

Matt started filming videos of himself doing his now famous dance, when one of his travel buddies told him to do the dance on camera. When the comedic potential of Matt’s dancing was discovered, it was decided that more dancing shots should be filmed, and eventually a short film was compiled. His second film “Where the Hell is Matt (2006)” garnered a much larger response, as it featured him dancing at 36 famous landmarks all over the world, and was able to spread around the internet thanks to the arrival of video sharing network Youtube. To date that video has accumulated more than 15,000,000 views.

However, it was what Matt decided to do on his third and most successful video that is the reason for this article. Now with the status of Internet celebrity, and with the secure backing of an enthusiastic sponsor, Matt reached out to his fans with the help of his website. He asked his fans that would like to have their country visited and be featured dancing in his next video, to email him with their location and a time to meet. The results that followed are not only staggering but moving on an emotional level as well. In “Where the Hell is Matt (2008)” Matt visited an amazing 69 locations, and filmed himself dancing with thousands of people all over the world. With the addition of his tactic to include local people dancing in the video, Matt’s third film’s views skyrocketed to 29,000,000.

Matt had the wisdom to realize that what he was offering, a fun and lighthearted video of a lone man dancing all over the world, had much more reach and appeal if he included not just himself but hundreds of others who love to dance. Using the power of the Internet and the amazing ability for people to connect on social networks, Matt reached out to those who loved his video and gave them the opportunity to join in on the fun. Matt’s video shows in the most touching of ways that people love to interact and to be a part of something. With the inclusion of more people in his video to not only make the film more interesting, but also to have the film shared exponentially across the web by those who participated, the third installment of “Where the Hell is Matt” saw its total number of views double when compared to the 2006 film.

The same thing is being done in the business world every day, as the ever growing power and reach of social media allows businesses to connect with their customers like never before. If anything Matt has shown the business world that if you can create a product that people want and find interesting, and give them a way to share it and even participate in it, than your end result will always be greater than if you chose to go at it alone. So before you start your next marketing campaign or update your business scheme for the next financial quarter, remember Matt’s advice, and get as many of your customers and fans involved as possible.

Article Resources:

Matt’s Website

Image Source

An open letter to direct marketers…

There are those who say that direct marketing is dying. It is being replaced with a new “unmarketing” philosophy embraced by consumers and forward thinking companies. There will be no room in the future for the tactics that used to motivate people to respond to corporate messages.

The opposing viewpoint is that social media is a fad that will disappear like pet rocks and the Macarena. This group argues that most of the people tweeting, linking, and nudging are kids with nothing better to do. Before long, we’ll be back to normal.

Which side is right?

Neither. To paraphrase Mark Twain, “The report of direct marketing’s death has been greatly exaggerated.” If you dig deep into the stories you’ll find that most of the people calling for a memorial service don’t understand direct marketing. And they definitely don’t know how to use it to grow a company.

Direct marketing works. Whether it is catalogs, postcards, letters, or email, it generates revenue. And, any tactic that delivers a return on investment will be used. When someone tells you that your marketing is dying, you know better because you see the results every day.

Social media works, too. It’s different from direct marketing, but every bit as effective because it humanizes companies. Customers get to know the people behind the products and promotions. It creates a connection that won’t be broken by lower prices. It makes your company more attractive to your competitors’ customers.

What happens if you ignore social media?

If you think that I’m going to say it’s the end of your world, you’re wrong. It’s not (at least not today.) But, it is the start down a slippery slope because social media is here to stay. The platforms may change, but the concept and ability to really connect with your customers won’t.

Ignoring social media will put you behind any existing competitors who are embracing the channel. Even worse, it allows new companies to build relationships with your customers, charming them away from you.

Social media is the venue that changes the world’s marketplace into corner stores.

Imagine that your company has a store in a small town. A new fellow comes into town and introduces himself to everyone. He attends functions with a smile and helping hand. He seems to be everywhere; chatting with your neighbors, leading fundraisers, and offering information. Everything seems harmless enough, helpful even, until he announces that he is opening a store as your competitor. He has clearly established credibility and your revenues will suffer.

The same thing will happen to the business you are managing today if you fail to join the social media world. People who are in it now are looking for opportunities. You will provide them one.

You have an advantage, if you choose to use it.

You know direct marketing. You know how to plan a campaign, test variables, and measure the results. Social media marketing isn’t that different. It requires a different tone and focus, but it still needs planning, testing, and measuring.

The combination of direct marketing and social media is what we have been seeking for so many years. We wanted the ability to connect with our customers, learn from them, and provide exceptional service. The new platforms provide the tools to do just that with customers around the world. It is hard for me to imagine why everyone in the direct marketing industry isn’t jumping for joy.

Instead of elation, there is a lot of explaining why social media doesn’t work.

“My customers aren’t involved in the social media scene.” (Have you looked at the demographics lately? You may be surprised.)

“I don’t know what to do. “ (Let someone teach you. There are plenty of us around who understand social media and a few who understand how to make it work with direct marketing.)

“It takes too much time.” (In the beginning, it is time consuming but it is manageable. When you are established, it saves time and money because you can resolve issues quickly and economically.)

“I don’t see a return.” (You will. It takes time to build relationships. Once established, your customers’ lifetime value increases.)

Social media matters to you whether you accept it or not. It has the potential to move your company to new levels up or down. You choose.

Choose wisely.

Note: If you aren’t sure where to start or you’re not seeing progress with your current social media strategy, check out my new guide “Social Media 4 Direct Marketers“.

According eMarketer’s report,“Social Network Demographics and Usage,” 57.5% of Internet users will use a social networking site on at least a  monthly basis this year.  That’s 120 million people-how many do you think are your customers?

I Friended Your Mom on Facebook

If your customers aren’t already using social networking sites, they will be soon. According to eMarketer’s study, the number of people who use social networking sites is expected to explode over the next few years.  By 2014, two-thirds of all Internet users will use social networking sites.

The demographics of these social networks are changing, too. They are no longer just for kids and young adults. Older adults and even senior citizens have stopped shaking their heads about “kids these days” and have come to join the party on Facebook and Twitter.

Debra Aho Williamson, the author of the report, explained the changing demographics on Facebook in a little bit more detail:

“Teens and young adults are old news,” said Ms. Williamson. “This year, 60% of Internet users ages 35 to 44 and one-half of those in the 45-to-54 age group will use social networks at least once a month. Women, especially moms, are still driving much of the growth.”

Social Networking Sites Influence Purchasing Behavior

Social networking sites are more than just baby pictures and Farmville. They are also places where people go for information, especially about products and services. Case in point: today, my Facebook newsfeed contained a post from my little sis seeking resort/hotel suggestions for our upcoming family vacation, and a post from an old friend wanting to know where to buy patent pumps. Each post generated at least 2 recommendations from friends.

This anecdote reflects what Jones Lang LaSalle found in their report, “Get Connected — How to Harness the Power of Digital Media.” According to their research, 92% of consumers research products and services online before they buy.

In a post on the Chain Store Age website, Jones Lang LaSalle Retail’s VP of marketing, Beth Faulkner, explained one of the key takeaways from the report:

“Social media allows buzz and viral growth so if we reach our audience with the right messages, product information and offers, we can drive traffic to our malls and stores but also have a two-way conversation with our shoppers. Through this we can discover what they want, listen to their feedback and then improve our products and services.”

At Dukky, we couldn’t agree more-and using social networks to create buzz will become even more important as increasing numbers of consumers flock to social networking sites.

By Brice Sanderford | May 26, 2010

I talk a lot about social media marketing: tips, how-tos, etc. But a new and increasingly interesting field of social media marketing is taking place off-line, in the real world.

So, I’ve been doing some research on the topic, and here’s what I’m finding out:

Tracking social media hits is really challenging. A great deal of the resistance of businesses, in particular, to starting social media marketing is because it’s hard to prove the ROI. What I mean by that is, “If I have a facebook page, how many tickets will I sell?” It’s hard to prove, because of the ripple effect of social media. If I send out an invitation to a show, I know who that invitation goes to. But any one of those folks could pass it on to their friends, or their friends’ friends, and so the people who actually show up at my theatre may be the 3rd or 4th generation (or more) of that invitation.

This is part of the reason why I love social media so much, but it does make it difficult to track where people are coming from.

Using social media offline can help to track where people are coming from. For example, a couple of weeks ago, I saw an ice cream place on Twitter post a tweet that said they would be offering a 1/2 price discount on ice cream for the first 10 minutes after the Canucks scored a goal. So, if the Canucks score a goal, and someone comes in and asks for 1/2 price ice cream, you know that person is on your Twitter feed.

Another reason why social media marketing offline is starting to catch on is because of the prevalence of smart phones. Nearly everyone I know has an IPhone or a Blackberry these days. If you see a sign like this, for example:

You can immediately go to your smartphone, go on the internet or to your Facebook app, and “like” this business. And people “like” to get exclusive social media offers–which for the business is a win-win, because it offers an option to track where that business came from.

Our smartphones also make it really easy for us to offer immediate reviews. A while ago, when I went to buy a futon, and drove across town to find the store closed, even though I was there within the opening hours clearly posted, I immediately twittered the #fail. The opposite is true for positive reviews: great meals, extra special service, etc.

Online relationships lead to real-life meetings

Last week, I published my very first e-newsletter. In it, I talked about the experience I had at Northern Voice. Briefly, I argued that social media is not killing face-to-face relationships, but, in fact, strengthening them. You see, we get to know people online, and when we meet them in real life, it’s less awkward, and we already know things about each other, so it’s easier to find something to talk about. Many of these online relationships are leading to real-life meetings, or Tweetups. That’s when a bunch of folks who all follow each other on Twitter, and have something in common, meet in real life for coffee or a drink.

Stay tuned… I’m working on a post with tips about how to use social media marketing offline.