Large Consumer Companies' Social Media ROI, October 2013 [CHART]
Measuring social media’s return on investment (ROI) continues to plague marketers. While most research on the topic tends to focus on the proportion of marketers who can effectively track social ROI or the proportion seeing positive ROI, a new study from Tata Consulting Services (TCS) goes a step further, examining the share of large consumer companies that have not only measured the value of social media, but have also found it to date to be less than their investment. Good and bad news follow.
The bad news is that 18% of global respondents – from companies with average revenues of $15.6 billion – have measured social’s value and are seeing a negative ROI. That figure actually becomes more pronounced when factoring out the 44% of respondents who aren’t yet measuring social’s value. In effect, of the 56% of respondents who have measured social’s value, roughly one-third said the ROI is negative. Read the rest at MarketingCharts.