Sure, it makes sense for most businesses to follow their customers into the world of social media. But before doing so, they must have a firm grasp on how to measure the ROI of those ventures.

For organizations, social media can serve as a private media channel that allows corporate control of the messaging. Social networks provide an excellent vehicle for pushing out content that supports marketers’ objectives, while social sites are great for spreading viral campaigns and word-of-mouth programs. Many companies are using social networks to recruit and invite prospects to Webcasts and live events, both of which are easily tracked by assigning unique URLs and codes.

There is little out-of-pocket cost associated with social media, aside from personnel costs. Even small firms can start a blog with shareware, and there is no cost to post a page or group on Facebook or LinkedIn.

But while the setup costs are low, a marketer needs to assign dedicated resources to manage the process and create and maintain the content. Someone in the organization needs to own the social media function for it to work successfully.

Get the full story chiefmarketer.com