How to Measure the ROI of Your Social Media Marketing

It’s the question every business owner eventually asks: Is social media actually making me money? While likes and followers are nice, what really matters is ROI — return on investment.

In this post, we’ll walk you through how to measure the ROI of your social media marketing efforts, and why it’s not just about sales, but long-term brand growth too.

1. Define What “Return” Means to Your Business

Before diving into the data, it’s important to clarify what “return” actually looks like for your brand. Not every business is chasing the same goal — and that’s okay. Some might want direct sales through Instagram, while others focus on generating leads or increasing brand awareness.

Social media can help achieve a range of outcomes, such as lead generation, email sign-ups, website traffic, or even long-term customer loyalty. For example, a local wellness studio might care more about class bookings, whereas a B2B consultancy may prioritise qualified LinkedIn enquiries.

Think of ROI in terms of your SMART goals — Specific, Measurable, Achievable, Relevant, and Time-bound. Once you’ve defined what success means, it becomes much easier to track whether your efforts are actually delivering. 2. Track the Right Metrics

Not all metrics are created equal. Here's a breakdown of what to track depending on your goals:

Objective	Key Metrics
Brand Awareness	Reach, Impressions, Follower Growth
Engagement	Likes, Comments, Shares, Saves
Lead Generation	Click-Through Rate (CTR), Landing Page Conversions
Sales	Website Purchases, Conversion Value, Enquiries

Use tools like:

• Meta Business Suite (for Facebook/Instagram)

• LinkedIn Analytics

• Google Analytics (track social referrals)

• UTM parameters (for link tracking)

Here’s a simple formula to measure your return on investment:

ROI (%) = (Net Profit from Social Media ÷ Social Media Costs) × 100

Let’s say:

• You spent R3,000 on ads and R7,000 on content creation and management (a total investment of R10,000)

• You earned R28,000 in trackable sales from your campaigns

Then:

ROI = [(R28,000 - R10,000) ÷ R10,000] × 100 = 180%

This means for every R1 you invested, you made R2.80 back — not a bad return.

💬 At Orbit Marketing, we make ROI tracking easy by setting up proper tools like UTM links, pixel tracking, and conversion goals — so you always know what’s working.

4. Consider the Intangibles

Not every benefit of social media is easily measured in pounds and pence — but that doesn’t make it any less valuable. Social media is often the first place someone hears about your brand, engages with your tone of voice, or builds trust with your values.

For instance, consistent community engagement strengthens brand loyalty, even if it doesn’t lead to an instant sale. You might also notice improved perception, positive sentiment in your DMs and comments, or more branded search traffic on Google.

These “soft” outcomes — like community trust, increased brand visibility, or better customer support response — all contribute to your broader marketing success, even if they don’t show up directly in ROI spreadsheets.

5. Use Reports to Guide Your Strategy

Regular reporting isn’t just about proving performance — it’s how you get better. Whether monthly or quarterly, your reports should tell you what’s working, what’s not, and where to focus next.

Look out for trends in top-performing content, areas of weak engagement, or shifts in audience behaviour. For example, maybe your audience engages more with carousels than reels, or perhaps engagement spikes on Tuesdays at 10am. These are the clues that help you refine and evolve your content approach.

At Orbit, we don’t just provide raw numbers. We deliver insights — backed by data and paired with expert recommendations — so that every post, campaign, and strategy moves you forward with purpose. Final Thoughts

Measuring social media ROI isn’t just possible — it’s essential. Whether you’re managing it yourself or working with an agency, having clear goals, accurate tracking, and consistent reviews is the key to success.

📈 Need help making sense of your results — or getting better ones? Book a free social media consultation with Orbit Marketing, and let’s turn your content into conversions.