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Frequently asked questions

How to Measure the ROI of Social Media Marketing?

As a social marketer, one needs to measure the value, social media brings value to an organization. But often, Social ROI can be tricky to prove. Social media ROI is also key to building and refining your social marketing strategy and it shows how much value is generated with social media engagement & investments, what’s working, and what’s not.

Social ROI is usually a sum of money, but it can also be a non-monetary value such as comments or newsletter signups. It depends entirely on your objectives.

Specifically, how you can calculate Social ROI depends entirely on your business objectives such as brand awareness, revenue, customer satisfaction, etc.

Here’s a simple formula for how to calculate ROI for social media.

Profit / investment (people hours, ad budget, etc.) X 100 = social media ROI (in %)


Profit – the money you’ve earned from your social media marketing efforts

Investment – the total cost of your social media marketing efforts

This formula can be easily applied to calculate the monetary profit from Social media, but things get more complicated when you want to calculate intangible results such as social media mentions or ebook downloads.

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