Social metrics are lying to you. Here is how I calculate the actual financial value of an audience.

I see many social media managers focusing on reach and engagement. While those are great for top-of-funnel, they don't help when you have to justify a budget to a CEO or a client.

Lately, I’ve been working on a framework to calculate the Annual Value per Lead. Instead of looking at followers, I look at:

Conversion Rate (from social to a lead/email)

Sales Conversion (from lead to customer)

Average Order Value

When you show a client that 1,000 targeted followers are potentially worth $15k/year based on these variables, the conversation about fees changes completely. It's not 'content creation' anymore, it's 'asset management'.

How are you guys reporting ROI to your clients? Do you use a specific formula to translate likes into potential revenue?

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