Posts tagged ‘ROI’
Too many times we see businesses haphazardly throw random campaigns at the wall to see what sticks. One member of the marketing team is “trying out” a few Facebook ads while a colleague is independently “testing” a viral program on Twitter. I continue seeing articles written about “Twitter done right” and “viral marketing success stories” and not once has there been any mention of ROI or CPA. There are too many marketers patting themselves on the back for simply creating buzz. When did it become acceptable to spend money to get people talking about your giveaway but not your unique selling proposition?
Lisa Barone shared a story earlier this week about a contest giveaway run by a company called Moonfruit celebrating their 10th anniversary. The numbers were quite high – more than 200,000 posts per week. Adam Ostrow over at Mashable wrote, “Not surprisingly, this promotion is working. #moonfruit is Twitter’s top trending topic today, beating out the likes of Michael Jackson, #iranelection, and Wimbledon-related tweets.”
This promotion is working? How are these people measuring success? Can you imagine approaching your boss and saying, “I’d like to spend $10K+ and use countless company resources so we can be ‘bigger than Michael Jackson’ for a week” on Twitter. When asked for your ROI estimate you smile wryly and say, “Zero, BUT, hundreds of thousands of people who will never become customers will be talking about the Macbooks we’re giving away”.
This is the equivalent of a restaurant spending $10k for a big neon sign that says, “restrooms open to the public”.