What’s the point of paying thousands of dollars to the influencers and not getting any benefits? That’s why you should learn the practices of measuring ROI from the influencer’s marketing practices. It comes by subtracting the costs you incurred during such influencer collaboration from the revenue you earned through their campaign!
If this is as positive as you have expected, your efforts are going in the right direction.
But if that influencer marketing isn’t benefiting you by any means, let’s take a look at how you can measure and improve your overall ROI from this influencer marketing.
Why Do We Take Influencer’s Marketing for Our Store?
There are multiple reasons why we collaborate with influencers to enhance our social media store growth.
This is because we want to increase our conversions, sales, engagements and brand awareness.
These influencers can help you a lot in achieving your goals.
But sometimes, we are not sure whether we are spending such an amount of money on the right influencers.
That’s because we don’t really know what type of benefits we are getting from such collaboration.
We do understand that influencer marketing can have a Ftw Lot of good impacts on our online store growth.
But how do we measure such benefits? Is ROI all about making more money? Or are there other metrics involved? Let’s take a look!
Measuring The Right ROI of Influencer Marketing For Your Store
You should understand that Return on Investment for influencer marketing doesn’t only come in the form of making more money by selling more products.
There are other key performance indicators involved. So, just as we are here to measure the right value of ROI, we’ll do it as follows:
Measuring ROI In the Form of Revenue
First things first, all our goals are aligned with making more revenue, so we’ll measure ROI with respect to making more revenue.
Take a pen and paper and write down the costs you have incurred for all collaborations with the influencers.
Once the cost is determined, you need to measure how much money you have made recently.
This should be the calculated amount after you have patterned with the influencers.
Once you have the revenue and costs incurred with the current influencer marketing campaign, calculate it.
Do it by negating the costs from revenue. This will help you determine whether the revenue is bigger than the costs incurred.
Or the costs are more than the revenue. By multiplying the answer by 100, you can also get this answer in Percentage.
So, if it’s a positive answer, you have done great from that influencer marketing. But if it’s a negative answer, that means the ROI didn’t come good.
And you have to work more on polishing your influencer’s marketing campaign!
Measure Followers Growth
Remember the point where I said ROI isn’t about making more money?
It is about several things. Now, imagine yourself as a Twitch Game player, and you want to increase the followers on your Twitch Channel.
You can calculate your ROI after you have partnered with the influencers in the form of gaining more followers.
This applies the same to the social media storekeepers. If those current influencer marketing efforts have brought more followers to your store page, you have a positive ROI. And if there is no significant growth in the followers, rethink what you have done wrong.
Measuring Engagement To Measure ROI
Digital marketers also highlight better engagement as a good aspect of performing ROI.
Check out the engagement status of your Social Media Store from the last couple of months since you have collaborated with influencers.
If there is a betterment in the engagement, it means you have invested your money in the right direction.
But if there is no significant change, that means you haven’t gained a better ROI with those influencer marketing efforts.
Think About Brand Awareness
One of the crucial factors in taking the influencer’s help is getting more brand awareness for your Social media store.
The unique purpose of asking those performing influencers to promote your social media store is to reach your store message to more people.
So, measure ROI by measuring how much brand awareness your social media store has gained recently.
This should be aligned with the practices or the budget you have spent for influencer marketing.
Don’t forget to ask people how they hear about your brand when they make a purchase or ask a query.
Check Out The Influencer’s Social Media Demographics
Yes, you can directly ask the influencers how their recent post for your brand has performed.
A specific social media platform provides these account holders with an analytic tool.
Just like the one you can see on Instagram. It tells the influencers about the post reach, the number of engagements, shares and time spent on such posts.
So, you can measure your ROI by finding the post analytics from your influencers with whom you have collaborated in the past.
Keep sustainable practices to measure the right ROI in case you are spending money for your social store wealth. This ROI has a lot of measuring tactics. But some of the most famous ones are explained in this post. Hence, take help from these factors and measure the exact Return on Investment for your Social Media Store. This will help you decide what to do next!