Social Media Marketing Guide: How To Optimize ROI

October 1, 2018 by in category Online Marketing tagged as with 0 and 0
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Organic traffic on social media platforms is rapidly declining each year. The hard fact is, investing on paid social media advertising is no longer a luxury, but a necessity of social media marketing. Yet, social media marketing is far from being dead, and we can certainly have an effective strategy combining paid and organic approaches.

However, social media advertising can be really expensive if you are not careful, and so in this guide, we will discuss four key steps of ensuring a high ROI on your social media advertising.

Let us begin with the first one.

1. Choosing The Right Platform

Different businesses and/or industries will work better with a certain social media platform(s), and the same thing can also be said for social media advertising. So, it is very important to pick the right platform(s) that will work best with your business.

For example, obviously LinkedIn will work better for a B2B businesses, while Instagram and Facebook are generally better for B2C companies. Twitter can work with both, although nowadays Twitter advertising works better for the B2B environment.

It is also important to consider the fact that each platform offers many different advertising options with various prices, targeting features, and other differences.

With those points being said, Facebook is generally the most popular and powerful platform in social media advertising. There are over 4 million advertisers on Facebook taking advantage of its huge user base and versatile targeting features. Twitter, linkedIn, and Instagram are also great options, and these big four should be your first choices.

Here are a few considerations when choosing your social media platform:

  • In most cases, Facebook and Instagram are your best bet if you are a B2C business, while LinkedIn and Twitter are better for B2B companies.
  • Linkedin is excellent for lead generation purposes, although it’s not too effective in driving conversions
  • YouTube with its video contents is arguably the best platform if you are aiming for engagements.
  • Twitter is a great platform for short-term gains, both for getting leads and conversions
  • Facebook is generally the most well-rounded platform with a very powerful targeting feature

2. Specify Your Goals

Social media advertisements can be really expensive if you are not careful. So, to make sure we can make the most of our money, we should determine clear advertising goals.

The process of determining proper goals can be really simple or overly complicated. To ensure you are establishing the right goals, understanding the concept of buyer’s journey or marketing funnel might help you.

The idea is, our advertisement initiatives should enhance the different stages of the marketing funnel. So, although there can be virtually unlimited possibilities of advertising goals, we can narrow it down to just three big groups:


Here, your advertising goal is to increase the chance of conversion, and your target should be those who already show interests of purchase.


There are two main approaches here: increasing traffic so that more people are aware of your business, and improving your brand image and online presence.


The widest part of the marketing funnel. Here, you can push advertising for your contents to provide more information to the audience. A simple ad designed solely to sell your product can also be placed in this category. The main goal here is to increase interests to your product or service.

You can focus on one or more stages of the marketing funnel for your advertising goal. Different advertising goals will require different approaches and designs. So, determining proper goal(s) is a very important step.

3. Targeting

Since, as we have mentioned, social media advertising can be really expensive, targeting the right audience will be your main way to maximize cost-efficiency.

Targeting the proper audience with the highest chance of conversions will get you more results, and so you can make sure your money is well spent.

The main idea behind targeting is quite simple: you target an audience similar to your previous campaigns that have shown results. Yet, what if this is your very first campaign? You can start by analyzing your competitors’ audience, and so you must do your competitive analysis homework.

Most, if not all major social media platforms offer targeting features to reach your ideal audience. Facebook offers the most versatile options, where you can target custom and lookalike audiences. In LinkedIn, we have the feature to target matched audiences. Twitter also has a similar feature called “tailored audiences”.

In general, your targeting should be based off the goals we have decided on step 2 to ensure cost-efficiency. The targeting options provided can be extremely detailed, and they might confuse you at first. Yet, the more specific your targeting is, the higher the chance of a csuccesful campaign.


Here are a few guides that might help you:

An in-depth Facebook Ad targeting guide by Advertisemint

A guide about Facebook and Instagram targeting by Marketingprofs

Another guide by Adespresso about Facebook targeting

4. Track, Analyze, Update

To maximize cost-efficiency and ROI of your social media advertising, you will need to track your progress at all times. Analyze the right metrics according to your goals, and test various ad creatives. Stale and overused creatives won’t be too effective, so you will always need to refresh and alter them.


Here are the key areas to focus on:

Ad Copy

Have you used the most optimized copy possible? Measure user responses, and alter your copy when it’s necessary

Ad Creative

You can use A/B test to test various ad creatives. Even the smallest design changes can make the most difference.

Landing Page

Your landing page should be optimized for conversion. Measure your bounce rate, and if it’s too high, you will need to optimize it.

End Words

Although social media advertising can be costly, we can still get a high ROI by following the above steps. Social media advertising is a very powerful way to generate traffic and leads in a fairly short-term basis.

Unless there will be a drastic revolution or a game-changing platform, organic traffic on social media will continue to decline, and we will need to learn on how to get the most of our paid social media marketing.

Although the social media marketing environment has arguably changed, it doesn’t mean we can’t also adapt.

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