Today our very own CEO, Sonja Ceri, was featured in the Courier Mail commenting on how much is a social media post worth to a business. The full article can be read here http://goo.gl/p4RYdg
To understand the whole thought process behind Sonja’s calculations and what she really thinks a social media post is worth, check what she wrote yesterday to the Courier Mail.
Gold Coast, 5th January 2016
- Regarding Sharapova’s recent Instagram post at the King Arthur café.
There are many ways to calculate the worth of Sharapova’s post. The questions to be asked are:
- What is it worth for brand recognition
- What is it worth in creating revenue
- What is it worth in acquiring new followers on social media?
As we don’t have insights of what the post has actually achieved in terms of clicks-throughs to the café’s website, views of their social media accounts, how many followers have been gained and ultimately how many enquiries / bookings the café has now achieved, it’s impossible for us to fully judge the impact of Sharapova’s visit.
However, if the café has been tagged in the post (either with their Facebook page / Instagram account or geo-tagged) the celebrity post could have generated a real buzz for the café. As it was not, the post will simply disappear within the fast-paced world of social media.
The King Arthur café also missed the massive opportunity to jump on the social media buzz the photo might have created for them by re-posting and acknowledging the celebrity post about their business. I mean seriously, there is a celebrity in your venue generating 66.3k likes and the café doesn’t even notice? Someone needs to seriously help them with their social media monitoring and management.
Usually, it would be impossible for a local café to reach so many people in this short amount of time, we have put together a benchmark based on our own client base to highlight what it would cost to generate the same amount of impressions / reach / engagement for the King Arthur Café, if they ran an advertising campaign via Facebook & Instagram:
- CPM (Cost-per-1,000 Impression) = on average $4 / 1,000 impressions in hospitality for our clients
- Cost-per-1,000 People Reached = on average $9 / 1,000 impression in hospitality for our clients
- Cost-per-Engagement = between $0.01-$0.4 depending on many factors (brand loyalty, content / offer, location, etc) in hospitality for our clients
On average branded posts across social networks achieve an engagement rate of less than 0.1% unless boosted or sponsored via a targeted advert. Posts from or with celebrities reach a higher engagement rate as their posts have a higher trust than the usual CPC (Cost-per-Click) campaigns – that’s the beauty of influencer marketing.
Speaking of influencer marketing, some brands and companies with a bigger marketing budget spent $400-$2,000 per celebrity or influencer on Instagram posts alone. Saying that, these brands and companies will have a strategy in place that will lead to website clicks and conversions, lead generation and ultimately sales.
- Regarding Victoria Azarenka’s recent post on Facebook:
Victoria’s post is a lifestyle shot at a Brisbane landmark. Again, there is no hashtag or geo-tag to show it is Kangaroo point. The audience responding to her happy shot is international but they would have no clue where the picture has been taken. Obviously, Victoria is in Brisbane for the Brisbane Internationals but who would guess that she’s ‘YOLO #happy’ at Kangaroo point?
So the big question is: What is this image worth and to whom?
It would have been a great opportunity for local businesses to jump on the buzz the celebrity created with her 21,000+ likes, 257 comments and over 100 shares. But all commentary comes from fans welcoming her to the city (and some of them reference the geo location).
In my opinion, without the relevant geo-tag or hashtag, the post is not worth much to local businesses, neither to the city.