25 Jul CMOs View on Social Media Measurement
Social media measurement has been a hot topic for many years. A recent study by Nielsen shows that, according to Chief Marketing Officers, there are still a lot of questions that need to be answered. Let’s take a closer look at how CMOs view digital channels and measurement and where they are anticipating growth in terms of ad spend.
Ranking Digital Media Channels
The Nielsen study had CMOs rank digital channels in terms of importance. Social media came in at the top of digital channels with 79% of CMOs ranking social media extremely or very important. This ranking puts social media as slightly ahead of search. Social and search also appear at the top in terms of effectiveness, according to CMOs.
This is in line with the trends we are seeing and where budgets are heading, especially in the B2C space. Social media has a leg up on many other digital channels in terms of the paid targeting, audience insights and reporting capabilities. Those qualities are winning more investments in terms of time and money in the digital space.
Social Media Measurement & Digital Spending
The study also reports that 82% of CMOs expect digital spending to increase by 49% over the next 12 months. With this increase, there are still some missing pieces when it comes to digital measurement. Those missing pieces come in the form of data and analysis. CMOs feel that they are lacking quality data and are wanting better insight into what the numbers actually mean in terms of the business value. Almost 80% plan on increasing their investment in analytics and attribution within the year.
It is important to make sure you are measuring metrics that matter to your overall business objectives. We have seen social channels releasing new tools and metrics to account for conversions. Metrics to consider, depending on your business, include website traffic, offline and online conversion and leads.
If you need help revamping your reporting, we would be happy to help show the value of your efforts through your social media measurement.