RSS feed Get our RSS feed

News by Topic

BizReport : Social Marketing : June 21, 2011

E-Trade CMO doesn't agonize over social media ROI

Many marketers agonize over how to measure the success of social media campaigns, worried they can't justify budgets to their CEOs. But one CMO doesn't waste time worrying about such things.

by Helen Leggatt

A recent report from The Fournaise Marketing Group found that many CEOs see marketers more as cost centers than assets, thanks to their inability to adequately track and report the business effectiveness of their marketing activities.

And CEOs are somewhat dubious about new marketing trends that marketers jump on, including social media. Why? Because according to three-quarters of CEOs, marketers can rarely demonstrate just how those new tools will generate more business, let alone provide measurements of effectiveness.

However, as Direct Marketing News reports, there's one EVP and CMO who openly admits that he's not too worried about the metrics surrounding social media campaigns.

Speaking at the DMA's "All For One Summit" in New York, Nicholas Utton, EVP and CMO of E-Trade, said he had asked many an expert how to measure the success of social strategies.

Instead, Utton says he prefers to measure the success of social media by looking at the daily count of new accounts created, attrition rates, and how many customers they cross-sell.

Referring specifically to E-Trade's "Talking Baby" campaign in which a toddler dishes out financial advice, Utton said, "We don't sit and agonize over the ROI" and added that "We see that 3.5 million people shared it. The word got out...And the hope is that a subset of those consumers will come back and sign up for E-Trade".

Tags: campaign metrics, marketing budget, marketing strategy, social media, social networking

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.