Social Media business has increased rapidly in the last couple of years. Despite this rapid growth some C-Suite members of organizations are still not on board with social business efforts. In a Study Research by MIT Sloan Management Review and Deloitte, CFOs showed that they see social business less important than CEOs.
In the article “Can You Measure the ROI of Your Social Media Marketing” we read how it is hard for some managers to see effectively the return on investment of social business because it has to be measured in differently from traditional ways of measuring ROI. This becomes more evident in this study as it shows how CFOs are still having problems seeing the real ROI of social media. CFOs are more incline to accept social business or new technology when it has past the innovation stage and it is in a mature stage. Despite the acceptance from many CFOs there are few that do see the potential and are trying to implement social media business in the organization and are trying to find ways in which it will help the organizations workflow.
According to the study the value in social business is in marketing & customer service, innovation, operations, and leadership. Social Media in these sectors can help the company in many different ways, by improving operations, increasing brand awareness and promoting leadership among other things. To help capture the value in social media companies should start with a long term vision, not necessarily expecting immediate results. They should assess the current use of social media and which tools would be best for the company. By supporting adoption and by measuring the results companies should be able to start seeing the ROI in social media. Much research has been done and studies show that in order to be able to measure the ROI on social media it has to be measured in different ways. The question still remains, how soon will CFOs start adopting the social media realizing its importance and begin to understand that ROI has to be looked at in different ways when it comes to social media?