This is a question we usually get with clients. Is social media marketing cost effective ? And we usually tell them the facts. We aren't the type of company that will say what you want to hear just to close another deal. Honestly, social media marketing is not as cost effective as you might think - but doubly so, it is not as expensive as the numbers will show.
The exciting part about social media marketing is that you have billions of people concentrated on some few platform on the internet and there is data to narrow down to the simplest figures. That is why companies will want to do social media marketing, but the work is much more than setting up a business page and posting a few updates every now and then.
With social media marketing, we all (businesses and social media marketers) have to understand that people are rarely on social media for anything rather than connection. You can not compel them to buy from you, recommend you or even like your business.
While paying certain amounts can get you certain numbers of people who see your work, that is the easy part. The way social media works is around being identifiable with people. This means you can't be awesome for two days of the week and then leave the other five to take care of themselves. This goes even further to the extent of holding up you good customer relation ship across all networks and most especially in person.
If a restaurant is marketing good food, it is best to have that good food and service so that the converted customers are the ones who go ahead to promote the restaurant to their friends. A business posting a plate of food is not as effective as someone who posts the same out of appreciation.
So, you can see how social media adverting is not cheap because it requires for businesses and brand to work hard and put in extra hours to make sure they are true to their word. It is like preparing for a first date. A lot more work goes into preparation than is usually observed and that is the same way social media marketing can be misinterpreted for cost effective.
But again, this is what businesses are started for, to serve customers to the very best of their abilities and to continually improve. They have to be ready to rise to the challenge and that is how it can seem to be cost effective. Getting you customers is usually what marketing does, keeping them and satisfying them is part of the core business aims.
In the end, social media marketing's biggest selling point is it helps businesses and brands gain recognition and improve their work in order to serve their customers better, to the extent beyond the businesses' initial imagination. And for that alone, social media marketing is cost effective.