More than eight in 10 (81%) CMOs expect to link up to 10% of their annual revenues to their social media investment in 2010, up from just 44% in 2009, according to a survey on social measurability conducted by Bazaarvoice and The CMO Club.
The survey, which was fielded among members of The CMO Club with both domestic and global P&L responsibility, found that social media measurement will become universal in 2010 as top-level marketing executives continue to invest more in social media and focus their social initiatives on driving revenue.
At the same time, social marketing metrics that focus solely on web goals (traffic, page views, fans) will begin to be supplanted by metrics like conversion, revenue, and average order value that track to the bottom line.
Key study findings:
“While 2009 may have been a trial run for many brands and social media, in 2010, CMOs expect social initiatives to directly impact their bottom lines, without exception,” said BazaarVoice CMO Sam Decker. “While not all brands know how to measure direct results, they strive to focus on business-generating impacts, rather than sheer volume of social interactions.”
Decker foresees more and more brands focusing their social initiatives on driving commerce and tying it directtly to their bottom line.
About the survey: The survey was conducted among 133 CMOs in September 2009. Industries included software/hardware (17%), finance/insurance (9%), travel/hospitality (9%), media/publishing (9%), consumer goods (8%), and retail (7.5%), among others. Annual revenues of CMO companies ranged from $6 to $50 million (25%), $51 to $999 million (42%), and more than $1 billion (23%).
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