As a marketer, the pressure to demonstrate the Return on Investment (ROI) of social media efforts is significant. Paid campaigns offer measurable results and direct targeting, but it is fundamental not to overlook the long-term value of organic reach via employees—also known as Employee Advocacy. This organic reach is not a cost category, but a multiplier of credibility and reach. The impact of this reach is fundamentally important for a balanced strategy.

This article addresses the measurability of Employee Advocacy and demonstrates why the impact of messages shared by employees is an indispensable link in a balanced social media strategy.

Why Employee Organic Reach Is Essential

Social media algorithms often limit the organic reach of corporate pages to a very small percentage of followers, in some cases only 2 to 5%. This is the primary reason why paid advertising has surged.

Posts shared through employees' personal networks generally experience a higher degree of trust, credibility, and visibility than corporate messages. Employees are authentic sources, resulting in higher engagement rates and more qualitative clicks. This leads to a number of fundamental advantages that influence the ROI:

• Higher Reach and Visibility: The collective networks of employees are often larger than the number of followers of the company page, resulting in significantly greater potential reach. This reach is 'free' and grows as more employees participate.

• Enhanced Credibility: Organic content is perceived by users as more credible than paid advertisements. The authenticity of an employee sharing content translates into greater brand trust.

• Measurable Cost Savings: The most direct way to measure the ROI of Employee Advocacy is through the Equivalent Media Value (EMV). This quantifies what it would cost to generate the same reach, clicks, or engagement through paid advertisements.

Measuring Employee Advocacy Using Key Performance Indicators

Measuring the impact of employees goes beyond the simple summation of likes and shares. The focus must be on Key Performance Indicators (KPIs) that directly contribute to business objectives.

1. Key Performance Indicators for Social Media Impact

To gain insight into the performance of shared content, the following key figures are important:

• Reach and Impressions: Monitor the increase in impressions and the total reach achieved through employee networks.

• Engagement Rates: Measure reactions (likes, shares, comments) to the shared content. This is a direct indicator of content relevance.

• Click Quality (CTR): A higher Click-Through-Rate (CTR) on content shared by employees indicates higher engagement and more relevant traffic.

2. The Equivalent Media Value (EMV)

The EMV is the core of the financial ROI calculation.

By multiplying the number of clicks from the Employee Advocacy program by the usual CPC in the sector, the exact amount of advertising budget saved can be determined.

3. Bottom-Line Performance Indicators

In the long run, ROI revolves around the impact on revenue and recruitment. Lead source tracking tools in CRM systems are indispensable here.

• Lead Generation: Track the number of leads and the value in the sales pipeline that can be directly attributed to content shared by employees.

• Recruitment Costs: Successful Employee Advocacy programs can lead to 20 to 30% lower costs per hire and up to 33% faster time-to-hire. Employees are effective recruiters.

A successful social media strategy adopts a balanced approach: paid campaigns for direct targeting and quick results, and organic Employee Advocacy for building long-term credibility and generating high-quality traffic.

The value of employee organic reach is measurable through savings in advertising costs (EMV) and the impact on recruitment and lead generation. By applying these key performance indicators, marketers can demonstrate in a sober, factual manner that leveraging their own organization on social media is not a 'nice-to-have' but a fundamental and strategic investment.

Do you want to discover how Soworker can help your organization get more out of employees’ networks? Schedule a free demo and experience the power of employee advocacy.