Last week I attended an event on social media measurement and ROI as part of Social Media Week London. There were a lot of issues flying about such as ‘the meaning of ROI’, ‘campaign objectives or strategic objectives’. And some interesting perspectives from the panel on all of these topics and some discussions with the crowd. However one of the more important points discussed  was the use and relevance of objective setting. It was refreshing to take a step back and remember that with all this emphasis on objectives and direct results that we don’t forget that engaging in social media will usually help in ways that you never intended and objective setting can sometimes narrow your focus.

I have personally been working on evaluating some of our 2009 social media engagements, showing how this engagement met the initial objectives that were laid out as the foundations for undertaking the projects. After sifting through a lot of analytics, community data, and online buzz monitoring there were some really good results. The nicer part of this however was looking at some of the data and seeing the impact that a campaign had, that you would never have intended or expected it to.

A community that we have recently launched was set up with a view to strengthen the brand among a younger target audience, become an authority in its category and drive insight through the business. The campaign is doing very well in meeting these objectives, but we have also noticed that we have driven a lot of questions from people abroad and have been able to help international customers feel closer to the business and given them the ability to ask questions that they are restricted in asking due to the lack of stores in their country.

This is one of many examples that I have come across of social media adding value to a business that was never originally forecast or planned. I agree strongly that to make engagement a success and not open your company up to unwanted activity then you have to have clear objectives but make sure that your measurement is not as focussed as your objectives because you will miss out on value that you never intended.

The last post of our guide to Getting Started in Social Media looked at measurements and how brands should be ruthless about ROI. This presentation from Oliver Blanchard is a great introduction to social media ROI and how you should conceive of it and then measure it. It’s also quite amusing in parts and so is Required Reading this week at FreshNetworks

For me the most insightful part of the presentation is the distinction between a non-financial ROI and a financial one. Blanchard’s model is that you get the non-financial ROI before you get measurable financial return. They are part of a continuum – your investment leads to something that will have a non-financial impact first and then a financial one. This is a model that really rings true in our experience of building online communities. Financial ROI can take time to achieve, but good planning and strategy should start to give you non-financial ROI relatively quickly. Brands often need to have this trajectory reinforced – just because you don’t have any hard financial return yet does not mean it isn’t just round the corner. It probably is if you persist with your efforts.

Over the last ten days we have shared our thoughts on four steps any brand should do when they are getting started in social media. The aim is to give any brand who is looking to use social media (or indeed to use it better) a framework to work through, some ideas and also a lot of questions and decisions that will need to be made. As I say in a recent article in the Independent: “The biggest mistakes companies make, are implementing a tool-based, as opposed to people-based, strategy”.

The four posts in the guide are below. Many of these posts raise as many questions as they offer answers and getting your use of social media right is not easy. But they should provide a useful framework for any brand looking to get started in social media. And if you need some help with this you can always give us a call!

The FreshNetworks Guide to Getting Started in Social Media

• Part One:  Do you know what people are saying about you? Buzz tracking, social media monitoring, the power of understanding who is talking about you where and why, and some great free tools for any brand to use
• Part Two: What do you want to achieve? Working out your brand’s aims and objectives (and making these measurable) is the single most important factor in a successful social media strategy. Do this before you think about technology.
• Part Three: Have a go and experiment with social media Once you have clear objectives that are measurable it’s time to get going. Try things out and experiment, but make sure you do them where you know you will have the greatest chance of achieving these aims and engaging the people you want to engage.
• Part Four: Track and evaluate the success you are having When you are using social media tools it is essential that you are measuring and tracking your performance against these aims. Measurement is critical and assessing the benefit you are having will help you to refine and improve your strategy overall.

For any brand getting started in social media, the most important thing is to be able to show the impact you are having. To be able to evaluate and assess what is working and what isn’t having the results that you might expect. To show the return on investment that your efforts are having and how this compares to other methods.

There is a lot of talk about social media measurement and it is true that in isolation it is difficult to know where to start. But for businesses with a clear social media strategy, it is actually much easier than many people think. We stressed earlier in this guide to Getting Started in Social Media the importance of thinking about the reasons you are using social media before you jump in to use any tools or to engage people. We talked though a process to define clear and measurable business objectives and aims for your use of social media. It is important that you make these both clear and measurable. Typical objectives that a brand might consider include – acquisition of new customers, retention of existing ones, number of new insights or ideas into the business, or number of customer problems solved. These are just some of the objectives that brands may have for using online communities and social media, and all of them are measurable. At the simplest level they either save money for a brand or they generate revenue.

In the online communities that we manage at FreshNetworks a lot of time is spent defining the objectives and then working out first what metrics should be measured against these, and then monitoring and reporting on these to make sure we understand how the community is performing. It is important to establish a set of metrics that you can measure to assess how you are performing against your aims. In many cases you will want to measure a mix of things for each aim, but overall you should be able to show and prove what impact you are having.

Example: If you want to use social media as an efficient way of resolving customer queries, for example, you probably want to measure the number of unique customer problems you have on the site, the number of problems that are solved by other members of the community. You can then put an equivalent cost that it would have taken to service these queries through other channels and measure the actual reduction in, for example, call centre costs that you witness over time. This is what Dell did, and this is how Dell managed to work out that one member of its customer support community saved them $1m a year in support costs. That’s real ROI.

So the final stage to getting started in social media is to make sure you are ruthless about measuring what you are doing. It’s the only way you will know what works (and what doesn’t) and prove the impact you are having with social media. To do this you need to have clear objectives and these need to be measurable. Then you can measure the actual impact you are having on business aims. The actual benefit your social media strategy is bringing to your brand.

You can read the full guide here: Getting Started in Social Media

I’ve loved putting together a series on debunking community management as part of FreshNetwork’s commitment to promoting best practice and sharing knowledge. The hardest part, of course, was boiling such a huge subject down into just five blogs. And they ended up behemoths…

So to help any time-poor, interest-rich readers out there, here is a summary of the key points from the series:

Introduction to community management

The what, who and why of community management. It’s a strange job to explain, and a challenge to do well. The way you splice your day depends largely on the community set-up, size and specific-goals, but there are general rules that cross all communities.

• Respect your members
• Retain good, safe boundaries and rules
• Be fair
• Don’t allow yourself to appear provoked (even when a member is driving you potty)
• Listen to the group, and the individuals within it
• Balance the needs of the individual with the needs of the group
• Keep records of everything

Read the full blog post

Champions, active users and trolls

We looked at who is using your community and how they are using it. The 90-9-1 principle has been a trusted favourite of community people for over a decade, but it’s looking increasingly dusty as new forms of micro-activity (such as rating, thumbs ups etc) come in and blur the edges between readers and editors.

We talked about that precious core of users that behave wonderfully, use the features, have the community’s best interests at heart and help keep it thriving and healthy: community champions. But what really came across in the comments is how not to underestimate the ‘lurkers’, as they are hugely important to the success of your community – especially if the number of page views is a KPI for your site.

Respect your ‘readers’ as well as your top contributors!

The toxic team, bores and trolls also got an airing. As delightful as it would be, it’s nigh on impossible to bring together a group of people without at least a handful of them behaving in a way you find aggressive, unpleasant or just really annoying…

Read the full blog post

Growth of a community

So you’ve got your community, now what? How do you know if it’s healthy? In fact, what do you consider to be a healthy community? If one of the core aims of your community is a vibrant and colourful debating space, the number of posts and replies plus the subjects being debated will be far more important than the number of overall members, for example.

How do you judge the health of your community, what should you measure? We talked about the importance of thinking about this way before you build anything. It should be central to your plans and your ongoing strategy.

But now you have your community, how to keep it vibrant, how do you recruit new members. Do you even want to actively recruit new members? Is it more important to you to increase engagement with the members you currently have?

We drew some top-line hints:

• Think open questions, talking points
• Keep it simple
• There’s more to engagement than posts
• Trust your own interests and be authentic
• Careful with current affairs

Read the full blog post

Moderation and safety

What are the risks to your company or name, health and happiness? How can you spot risks, and help eradicate them? What are the options for moderation, and the potential drawbacks of each type? You pre-moderate all content, and be sure of the quality of everything you let through, but this will create a very different (almost certainly slower and lesser used) beast to a post-moderated community, which in turn will behave differently to a reactively-moderated community where more of the control and responsibility is shared with the members.

The right moderation entirely depends on the community and its context, so we pulled together some thinking points to help your decision-making:

• Who is the community aimed at?
• Is it particularly at risk of malicious posting?
• Does your membership feel comfortable with self-regulation?
• Do you have the resources to pre-moderate quickly enough or will messages take too long to go live?
• Is the subject matter particularly legally-sensitive?
• Are children or vulnerable people going to be using it?
• Is there a high chance of defamation e.g. a celeb gossip community?
• How much control do you need rather than want?

But what about when the community doesn’t police itself very well, or show the restraint necessary to stay out of trouble?

In 2007, Mumsnet.com, an online community started and managed by a group of mums in North London, paid author Gina Ford a five-figure sum to settle a libel claim.

Gina Ford, a well-known figure in the baby book market, advocates strict, routine-based methods that some members of the Mumsnet community took exception to and allegedly defamatory comments were posted.

A legal fight ensued, with Justine Roberts, Mumsnet’s founder telling the press the site’s 15,000 daily comments were “impossible to monitor unless you have eyes and ears everywhere”.

Read the full blog post

Community metrics

Metrics are vital. Understanding the who, what, where, why and how many of your online community is vital. Understanding if you’re doing your company some good (or bad), is vital. Setting KPIs is vital and knowing whether you’re hitting them, is vital. Metrics are vital.

But which metrics are vital to you and your community? And how do you learn from these and share them with the wider organisation?

We spoke to various community managers, all of whom had a different favourite metric. And we also introduced some thinking about newsletters and external communications. In many ways, we argued, this is a more fragile relationship:

Mainly because unlike communicating within your community, where members have chosen to come to the space you have provided, here you are pushing your content into their domain. Their private space.

If you do it badly, intrusively, it could result not just in an unsubscribe from the mailing list, but a reaction on or an exodus from the community.

Put simply: You need to be as certain as possible how best to use newsletters. You need to know what works. And what doesn’t.

You need to measure everything that you do and be able to learn from it, because if you don’t, the health of your community is on the line.

Read the full blog post