22 June 2014
The Business of Social Media and Making the ROI Case
No. It appears the strategy was lacking in functionality and thus the $200,000 was not a true profit. Cost may have played a part in not obtaining the profit margin expected along with not clearly identifying goals and objectives.
Danny Brown said there is true cost associated with implementing a social media adventure. You will want the following at the following cost; a social media strategist for ten hours per week and at one hundred dollars per hour, that $1,000 per week, $52,000. If you hire a community manager for minimum of thirty hours per week, it will cost sixty dollars per hours, $93,600. You may need a Micro-site build, $15,000 (if not using existing platforms). And then there is a mobile application for $20,000-$150,000. And there is a continuous ongoing moderation and measurement using third party specialist at $30,000-$80.000 a year. The total cost per annual operation could be as high as $390,000. So, in short, you must have a great product in order to have a return on investment.
If I shipped 100,000 defective parts from my business, I would use the same social media used to sell the product to immediately have a massive recall of the defective product. The cost would be absorbed by the company by either offering a refund or an exchange. The cost of a good reputation is priceless. Whereas, if I let it blow over without action, I may lose the customer base and the floor fall out of the business. I would also offer a public apology on the used social media, so that the customer would know I operate a sincere and honest business. 1
Short Answer Paper Week Three
Business intelligence (BI) is a broad category of applications and technologies for gathering, storing, analyzing, and providing access to data to help enterprise users make better business decisions. Because it does not only interprets organization’s raw data...
Cited: Brown, Danny. "The Real Cost of Social Media and Other Myths Image." The Real Cost of
Social Media. Genesis, 18 Jan. 2010. Web. 22 June 2014.
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