Metric description and application:

Impact & Value represent the ultimate outcome of a social media effort. The Impact & Value of a campaign is defined by and dependent on the goals of the program and the organization.  It is often confused with the term ROI (Return on Investment). While ROI might be one outcome, it is far from the only impact or value that can be attributed to social media.

 

Status:

Approved June 2013

Open for comment until Dec 31, 2013

Adopted and published Jan 2014

 

Version, date, and author(s):

Version 1.0

Provided for public comment June 1, 2013

Authors: Phillip Sheldrake, David Geddes, Katie Paine, and other members of the #SMMstandards Conclave

 

Standards or guidelines:

Standards

 

Metric type:

Outcome depending on the program’s objectives

 

Detailed description:

This is the actual standard, and must include full description of how to use this metrics

 

-Impact: The effect of a social media campaign, program, or effort on the target audience.

 

-Value: The importance, worth, or usefulness of something. Value may be described in financial terms (see ROI below). Value may be described in non-financial terms, for example in business performance management (BPM) terms.  Value can be short-term or long-term. It may be expressed in any number of ways including a comparative cost savings, shortened sales cycle, increased customer retention, or renewals, to name a few. 

 

-ROI: Return on Investment. A financial performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments. To calculate ROI, the benefit (return) of an investment is divided by the cost of the investment; the result is expressed as a percentage or a ratio.

 

-Any measure of Impact & Value must be tied to the goals and objectives for your organization, brand or program.

 

-Assessing the value and impact of a campaign is a complex process, with numerous variables that must be accounted for and included in any calculation. Variables need to be weighted appropriately and should be based on customer research data. It cannot be reduced to a simple formula that applies equally to all organizations. Value is contingent on strategy.