Sometimes calculating a tangible return for social media investment isn’t as simple as it seems, especially when analyzing the return across different media channels. A report from Addshoppers provides insight into how ROI can vary greatly across different social networks, which sites generate most revenue per share and which drive the most traffic.
When it comes to the question of the effectiveness of social media marketing, it does provide an increase in order value compared with other methods. Users who come from social networks, as well as those who share, had an average order value of $126.12, compared with non-social users, who spent $116.55 on average: That’s a difference of 8.2 percent.
On average, a share itself is worth $2.56, but the rates vary widely across industries and social networks. Email generated the greatest value in 2014, with shares worth $12.41. The next-highest value came from Google+, which saw $5.62 per share. Twitter was third with $1.03 per share. Facebook and Pinterest shares are worth less than $1 each, while “other” networks generated $3.64 per share, likely due to their niche appeal.
These other networks like Wanelo, Tumblr, LinkedIn and Polyvore may not be worth your time when considering the percentage of revenue they generate on the whole. Wanelo performed best with just 0.94 percent, followed by Tumblr’s 0.42 percent, Linkedin’s 0.23 percent and Polyvore’s 0.16 percent.
Additionally, these other networks may all drive similar traffic when it comes to clicks per share — compare Facebook’s 1.10 clicks to StumbleUpon’s 0.98 per share — but these platforms aren’t as popular, so they’ll end up driving less traffic overall, and possibly proving a lower ROI.
Still, smaller social networks are better when it comes to niche marketing. Pinterest may only be the third-most-popular site, with 9.87 percent of market share, and third when considering which sites drive revenue, but it can yield high returns for niches markets. For instance, the average order value from a home and garden share on Pinterest is $232.73 — almost double the industrywide average.
When considering which sites to including your marketing campaigns, it’s obvious that you’d market on the sites with the widest user bases. But a focused marketing campaign can often result a much higher ROI. Visit the tool from Addshoppers to see a table of data that updates monthly, so your marketing campaign can generate the greatest return possible.