Marketers are investing a lot of money in social media (and even more effort and resources).  However it is very hard to create a direct link between expenditures and ROI....even when you evaluate the return in a broader context of customer relationship marketing (CRM). 

As I meet with brand marketers around the country, it is clear that they believe social media is hear to stay and will play an increasing role in their marketing programs.  However, as the expenditures and effort increase, there is an increasing need to measure the return to the business.

When viewed as a part of the bigger customer relationship management lense (CRM), social media delivers both short and long term value.  It is a key part of an integrated marketing strategy.  Therefore, it just makes sense that the evaluation of success is both qualitative and quantitative. 

It is my perspective that the value of social media extends well beyond traditional promotional efforts into the areas of customer service, reputation management, customer relationship marketing and management, organizational commitment and digital strategy.  If this isn't integrated marketing, I'm not sure what is!

In a recent report by Forrester, Augie Ray recommends a balanced scorecard approach to social media ROI that integrates both the short and long term objectives along both financial and non-financial criteria.  I agree completely.

Without a robust an comprehensive ROI process, marketers will not be able to make informed decisions of the value of this increasingly important channel.