Social Media Advertising Budget Calculator
Thank you for your interest in our ad budget calculator. Answer the following questions for us to provide you the most accurate estimate we can. Remember that these are just estimates. If you are interested in getting a deeper analysis please feel free to contact us to schedule a no obligation consultation.
Frequently asked
questions
What does social media ROI mean?
It is a common misconception that social media ROI is a measure of the direct monetary value of social media marketing. But the reality is quite different. Social media ROI is a measure of the value of marketing efforts compared to the cost of those marketing efforts. In other words, it is a measure of the return on the investment in marketing efforts.
Social media ROI is a measure of whether a particular marketing effort was a success or a failure. To determine social media ROI, you need to calculate the social media ROI metric. The formula for calculating social media ROI is as follows:
- Social Media ROI = (Gain from social media efforts – Cost of social media efforts) / Cost of social media efforts
- For example, if a business spent $100 on a social media marketing campaign, and the business generated $500 in revenue, the business would have a social media ROI of $400.
Social media marketing ROI is another common misconception. Social media marketing ROI is not the same as social media ROI. Social media marketing ROI is not a measure of the direct monetary value of social media marketing. Rather, it is a measure of the value of marketing efforts compared to the cost of those marketing efforts.
How do you calculate ROI on social media?
First, let’s talk about what ROI means. ROI stands for Return on Investment. It’s a measurement of the effectiveness of an investment. Here’s an example. Let’s say you spend $500 on a Facebook ad. It gets 500 clicks. It costs you $1.00 per click to do this. In this scenario, your ROI would be 500 clicks at a cost of $500. Your ROI is 500 clicks at a cost of $500, which equals 1:1. For a different example, let’s say you spend $500 on a Facebook ad. It gets 1,000 clicks. It costs you $0.50 per click to do this. In this example, your ROI would be 1,000 clicks at a cost of $500. Your ROI is 1,000 clicks at a cost of $500, which equals 2:1. I’m not saying it’s always that simple. You might get 1,000 clicks for $0.50, but only 100 people buy your product. So, it’s not a good ROI. That’s why we want to calculate ROI on social media.
It’s important to know what you’re getting out of your social media campaign. The best way to calculate ROI on social media is to first convert your social media numbers into numbers that you can use to compare against your actual results. For example, let’s say you had 3,000 social media followers. And, let’s say that, as a result of your social media campaign, you sold $50,000 of your products. If you had no social media followers, you wouldn’t have sold $50,000 in products. So, 3,000 is the baseline number. Now, let’s say that, in the past, your sales were $40,000. So, in 2012, you sold $40,000 with no social media. In 2016, you sold $50,000. So, you sold $10,000 more. The ratio of these numbers is 3,000/50,000. So, your ROI is 3,000/50,000. 3,000/50,000 is 0.06, which is 6%. This is not a bad ROI. In this scenario, you have 3,000 social media followers. In this scenario, you give them something valuable. In this scenario, they’re not just following you. You have a relationship with them.
In order to calculate your ROI on social media, you need to figure out what your baseline number is. You can then compare that baseline number to your actual sales numbers. You can then use that comparison to calculate your ROI. Here’s the other thing that you need to know about ROI on social media. Let’s say that, in this scenario, you had 200 social media followers. And, let’s say that, as a result of your social media campaign, you sold $20,000 of your products. If you had no social media followers, you wouldn’t have sold $20,000 in products. So, 200 is the baseline number. Now, let’s say that, in the past, your sales were $0. So, in 2012, you sold $0 with no social media. In 2016, you sold $20,000. So, you sold $20,000 more. The ratio of these numbers is 200/20,000. So, your ROI is 200/20,000. 200/20,000 is 0.1, which is 10%.
What are good social media engagement rates?
When it comes to social media engagement, you need to be mindful of your target audience. Social media engagement is dynamic and it’s one aspect of social media marketing that you want to keep an eye on. Because of this, it may be beneficial to monitor your social media engagement rate on a weekly basis. This way, if engagement is low, you can make the necessary changes to improve it. The great thing about social media engagement is that if you monitor it on a regular basis, you’ll be able to determine what works and what doesn’t. This way, you’ll be able to tweak your strategy to receive better results. With that being said, here are some general engagement rates that you should keep in mind.
Facebook Engagement Rate
The average Facebook engagement rate is .07. This means that for every 100 people who see your post, seven of them will engage with it. If your engagement rate is this low, you need to make some changes to improve it.
Twitter Engagement Rate
Twitter engagement rates are a little bit lower than Facebook engagement rates. The average Twitter engagement rate is .025. If your Twitter engagement rate is this low, it may be time to make some changes to your strategy.
Instagram Engagement Rate
Instagram engagement rates are a little bit higher than Facebook and Twitter engagement rates. The average Instagram engagement rate is .11. If your Instagram engagement rate is this high, you may not need to make any changes. However, if your Instagram engagement rate is lower than this, you may want to make some changes to your strategy.