Greenlight has announced it is rolling out a pay for performance social media model. The concept will be part of the independent marketing agency’s Social Media Optimisation service. It means billing will be based solely on the delivery of actual results.
Before the model is put in place for a client, Greenlight undertakes forensic analysis to determine the real value social media holds for the brand. The agency measures, analyses and tests the monetary value of consumer actions such as Facebook likes, Twitter retweets, G+ replies and more.
Once the initial background research has been completed, Greenlight is able to construct a commercial model for the brand. The agency says that the model can then form the foundation for any future social media activities the brand is involved in.
Social media is starting to yield results for Greenlight’s clients. Spirits retailer, Master of Malt, recruited the agency to increase revenue through search and social. Inside six months online conversations about the brand were up by 10,000, which bolstered commensurate online revenue by 540% in one year.
Greenlight’s not the first to use pay for performance in social media, though. Digital Animal’s ‘fandistribution’ model allows advertisers to spread awareness based on word of mouth. There’s also Hotels WithMe, which lets consumers share their holiday accommodation booking process with friends.
Andreas Pouros, Greenlight’s Chief Operating Officer, feels his agency goes a step further than Digital Animal’s methodology. “We differ in that we’re a digital marketing agency so we take a view from a higher vantage point,” he said. “We need to understand not just the direct commercial impact of social activities like fan distribution but also the indirect commercial and brand value of social media.”