Where’s the money in that? Social Media ROI for B2Bs

Posted by Russ Gallant on 28 July 2010 | 1 Comments

A client recently asked for help demonstrating ROI for their B2B business. Senior management just wasn't sold on the value of social media if it could not be mapped back to leads and ultimately, sales.

This question comes up often with many of our clients in the B2B space. While you can map social media back to ROI through the use of analytics and a good understanding of your revenue stream and cost of acquisition, we prefer to take a slightly more holistic approach.

People power.

Social media for B2B is really "P2P" - people to people. When you are selling your brand's products, be they goods or services, they are sold based on your relationship with that person, your connection. Social Media is a vehicle for creating, expanding and nurturing those connections.

Most B2B sales are based at least in part upon establishing expertise in an industry. If you sell glassware to laboratories, you aim to establish your brand as an expert in lab glassware. Social Media becomes a vehicle for demonstrating that expertise through the social interactions and connections you make.

They're talking about you.

Brands can successfully use Social Media to become "human" again. Your customers are individual professionals within the organizations you do business with, and their decisions are influenced by their relationships with peers and colleagues. Positive word of mouth is the currency here, your customers and prospects are asking other professionals in their industry which brands they should consider, and the past purchasers of your brand are voicing their experiences in the space. These conversations take place daily, at trade shows, professional conferences, online and offline. Many of these conversations are happening through the use of social media, forever catalogued on the Internet, waiting for the next potential buyer to discover.

These conversations inside social media are the exchange of ideas and concepts with other professionals, discussing industry challenges and breaking developments. They are asking each other for recommendations and experiences on products and services, and they are talking about these experiences with their peers. Shouldn't your brand be more actively engaged in these conversations?

Marketing your expertise.

Not so fast though! In order to be successful in social media your brand must go beyond the "hey look at me" approach to social media and instead make a more value-added effort to involve your brand in these conversations. Valuable content and information is what conversations are built upon. You can demonstrate your thought-leadership through blogs instead of whitepapers, becoming more transparent, accessible and relatable in the process. Or you can supplement product demos with online video, allowing prospects to access and understand your product on their own terms and at their own convenience. You should also inventory your knowledgebase and identify any opportunities to share that content and expertise to the professional community in ways that not only enrich the relationship but also provide a great demonstration of industry expertise and accessibility.

Becoming buzz-worthy.

Buzz, the positive word-of-mouth generated by professionals in your industry, is a powerful success metric. Everyday people respond to results - tangible results, like "this car gets better mileage than that car." Or intangible results, like "this car will make me look more successful than that car." Professional people are looking for results that impact their business performance in a positive way. While your brand may be able to deliver on the results you promise, social media can actually help you over-deliver on the individual professional's expectations for your brand and service - and that is a powerful thing.

Exceeding expectations turns customers into advocates, and advocates have influence. Every advocate you create increases your chances of obtaining good buzz, and being recognized for your expertise. These advocates share their positive experience with their peers and promote your brand to others seeking the same services, both offline and online.

The elements of good social media strategy lie in mapping the activities back to your brand's performance metrics and overall business strategy. How you recognize success and what you hope to achieve. New tools for measurement are being developed everyday, but the conversation about your brand hasn't stopped to wait for new tools to arrive, it goes on with or without your involvement. Are you ready to join the conversation?

How are you utilizing Social Media for your brand? Have you had a difficult time understanding its impact on your business and measuring ROI? Leave a comment below or drop us a note at info@garfieldgroup.com. We'd love to talk about your challenges in B2B marketing and work with you on a formula for success.

 

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