December 2010

Social Media in the

Marketing Mix:
Debra Aho Williamson Budgeting for 2011
dwilliamson@emarketer.com
Report Contributor
Tracy Tang

Executive Summary: In 2011, four out of five US businesses with 100 or more employees will use
social media marketing. That’s a dramatic change from 2008 when just 42% of companies marketed via
social media. As consumer usage of social media continues to increase in the US and around the world,
marketers have transitioned from cautious engagement to full deployment.
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Social media spending is also increasing, as marketers move

US Companies Using Social Media Tools for Marketing
Purposes, 2008-2012 beyond experimenting to include it in all their marketing planning.
% of total The companies leading the way with social media are giving it a
88% place at the table next to—and sometimes in place of—traditional
80% media such as TV and print. These marketers are also integrating
73%
social media initiatives and budgets into brand marketing,
customer relationship management and communications.
58%
Although spending is rising, the ROI challenge remains and
42% is a heightened concern for 2011. After a few years in the
spotlight, social media needs to prove it can help increase sales.
Otherwise, spending increases may be curtailed.

Key Questions

2008 2009 2010 2011 2012 Q What percentage of companies use social media for marketing?

Note: includes companies with 100+ employees

Q How are marketers budgeting for social media?
Source: eMarketer, Nov 1, 2010
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Q Are social media marketing budgets growing?
For additional information on this chart, see the Endnotes section. Q What are the obstacles to future spending growth?
Q How are General Motors, Intel and PepsiCo budgeting for
social media in 2011?

Digital Intelligence Copyright ©2010 eMarketer, Inc. All rights reserved.

The eMarketer View
Social media is no longer an add-on for
marketers; it’s been integrated into everything
they do. Marketers that have spent the past few
years ramping up their internal social media
marketing infrastructure—and their presence
on sites such as Facebook and Twitter—will take
social media to new heights in 2011. And as they
do, they will evolve the way they market across
all media, not just online.
Usage of social media marketing tools will continue
to grow. eMarketer forecasts that in 2011, 80% of companies
with 100 or more employees will use social media tools for
marketing, up from 73% in 2010 and nearly double the usage
rate in 2008.
Social media will spread in many directions. Social
media is becoming part of marketing efforts not only on the
web but also in mobile, print and TV. For example, Ford Motor
Co. devoted a quarter of its total ad budget to online media in
2010, and the automaker is making social media a centerpiece
in many of its marketing campaigns. It decided not to advertise
in the 2011 Super Bowl, instead putting the funds toward
additional social media marketing.
Social media will challenge other channels for
budget—and win. Given the lingering effects of the
recession, most marketers are not raising marketing spending
significantly in 2011, if at all. This means that social media
dollars are not coming from new marketing funds but from
money that was previously allocated to other channels.
All the consumer packaged goods (CPG) companies surveyed
by the Grocery Manufacturers Association in 2010 said they
would increase social media spending over the next three
years, and none said they would decrease it. However, a
significant percentage thought their allocations for traditional
paid media and promotions would decline.
Some industries still lag behind. While many consumer
marketers and business marketers are already deeply
engaged, heavy industrial firms and small businesses will
remain on a slower adoption pace. Some business-to-business
(B2B) industries have a longer sales cycle or a product type
that makes social media a less natural fit. And many small
businesses do not have a web presence, let alone a budget for
social media.
Social Media in the Marketing Mix
Although spending will increase, creating a budget
line for social media will be a challenge. Surveys
indicate that marketers spend 4% to 11% of their online
marketing budgets on social media. This wide divergence is
indicative of how social media marketing budgets are spread
across multiple departments and groups, and that some types
of companies and industries are more advanced than others.
Although businesses might strive to set aside a predetermined
percentage of marketing funds for social media, establishing
a centralized social media marketing budget may not be a
realistic long-term goal.
Having a social media department may not be
enough. Leading-edge companies will not be content
to manage social media via a single department. Instead,
they will look to spread such initiatives across marketing,
communications, customer relations and sales groups.
GM, for example, is working on ways to move social strategy
into the individual automobile brand groups.
“The brands are now baking social into
their overall marketing budget. So, if you’re
launching a vehicle, you just increase the
amount of money that goes into the vehicle
launch program in order to accommodate
social tactics.” —Christopher Barger, global director
of social media at General Motors, in an interview with
eMarketer, October 2010
These changes will bring acute growing pains. In
the early days of social media, various corporate departments
battled to control budget and execution, leading to turf wars
and misaligned marketing efforts. While the concept of a
centralized social media department has solved some of those
issues, it has not rectified all of them. The fundamental idea of
social media is that it is about communication and engagement,
both of which affect all business functions and departments.
Measuring ROI will be more critical than ever.
Although the need for ROI is not new, it will reach its strongest
point to date in 2011. Some companies are expanding budgets
for social media marketing based on gut feelings or to keep up
with competitors—not because they have been successful.
The true measure of results will be the effect on sales, not the
number of likes, passalongs or retweets.
2
What Percentage of Marketers Use At the high end, 86% of B2B marketers and 82% of consumer
Social Media? marketers surveyed by digital marketing agency White Horse said
they had some level of activity in social media. However, 45% of
the B2B marketers and 26% of the business-to-consumer (B2C)
It is well known that social media marketing marketers indicated they had only a “basic social media presence.”
has exploded over the past few years. But even
Comparative Estimates: US Companies Using Social
as recently as 2009, it was still considered an Media Tools for Marketing Purposes, 2008-2012
% of total
experiment by many marketers, something they 2008 2009 2010 2011 2012
threw a few extra dollars toward when they wanted White Horse, May 2010* - - 86.0% - -
White Horse, May 2010** - - 82.0% - -
to add a conversational twist to their marketing. Digital Brand Expressions, June 2010 - - 78.0% - -
Panda Security, Sep 2010 - - 77.5% - -
That is all changing. More businesses than ever are using
Alterian, Aug 2010 - - 74.8% - -
social media tools to market to their customers.
eMarketer, Nov 2010 42.0% 58.0% 73.0% 80.0% 88.0%
eMarketer projects that four out of five US companies with 100 King Fish Media, HubSpot and - - 72.0% - -
Junta42, Aug 2010
or more employees will use social media tools for marketing
PRWeek and MS&L Group, Sep 2010 - 63.0% 71.0% - -
in 2011. By 2012, eMarketer expects that 88% will adopt one Pivot Conference, Aug 2010 - - 63.0% - -
or more forms of social media for marketing (including online Chief Marketer, April 2010 - 34.3% 58.3% - -
communities, brand pages, blogging, social games, ratings and University of Massachusetts 77.0% 91.0% - - -
Dartmouth Center for Marketing
reviews and more). Research, Nov 2009
eROI and eMarketing + Commerce - 69.0% - - -
US Companies Using Social Media Tools for Marketing (eM+C), Feb 2010
Purposes, 2008-2012 Equation Research, Aug 2009 - 59.0% - - -
% of total
Unica, March 2010 - 58.0% - - -
88%
Note: *B2B marketers; **B2C marketers
80% Source: eMarketer, Nov 2010; various, as noted, 2009 & 2010
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For additional information on this chart, see the Endnotes section.

58%

The increase in usage of social media marketing stems from

42%
2008 2009 2010 2011
Note: includes companies with 100+ employees
Source: eMarketer, Nov 1, 2010
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For additional information on this chart, see the Endnotes section.
eMarketer analyzed results from a dozen third-party surveys
as background to develop its social media usage forecast. At
the low end, 58% of marketers surveyed by Chief Marketer
magazine in April 2010 said they used “offsite” social media
such as Facebook or LinkedIn. That question wording may
have skewed the responses lower, since a certain percentage
of marketers have social features on their own websites.
several trends:
Q Rising consumer social media usage. Worldwide, 61% of
frequent internet users have a social network profile, up from
45% in 2008, UM (formerly Universal McCann) reported. TNS
reported that in September 2010 internet users worldwide
2012 spent more time per week with social media than with
email—an average of 4.6 hours vs. 4.4 for email.
Q Facebook’s mass audience. It has more than 500 million
active users worldwide. In the US it reached 148.4 million
unique visitors in September 2010, according to comScore—
making it the fourth-largest web property in the US.
Q Promotional firepower. The main reason consumers
engage with brands in social environments is that they hope
to get special discounts, coupons or offers. When McDonald’s
announced the short-term return of its cult favorite McRib
sandwich in November 2010, it generated twice the number
of positive posts as negative ones on Twitter and Facebook,
according to an analysis by Crimson Hexagon. An ad
campaign on Twitter generated even more discussion.

Social Media in the Marketing Mix 3

As cautious marketers have joined the early adopters, On the other end of the scale, education and communications
the percentage of companies using social media for industry firms were highly likely to already use social media.
marketing is still climbing. Chief Marketer’s survey showed a The percentage of those types of firms that were not planning
24-percentage-point increase in usage of social media venues to use it was in the single digits.
such as Facebook or LinkedIn, from 34.3% in 2009 to 58.3%
Social Media Use by Companies Worldwide, by Industry,
in 2010. Meanwhile a survey by PRWeek and MS&L Group,
July 2010
conducted among chief marketing officers, VPs of marketing % of respondents
and marketing directors, found an 8-percentage-point Education
increase between 2009 and 2010, from 63% to 71%. 72% 17% 6%

Communications
“We’re seeing social move from an 71% 16% 9%

experimental or campaign-based approach Services

to something more ongoing. A year or 66% 21% 11%

two ago, someone would have an extra Retail/wholesale

64% 21% 12%
$100,000 they would want to put toward
Financial services
extending a promotion on Facebook. Now,
50% 25% 22%
many marketers have set up internal
Health/life sciences
departments for social. Brands are realizing 48% 24% 26%
it takes an ongoing investment to create Manufacturing
an ongoing dialogue with their customers.” 45% 19% 32%
—Kevin Barenblat, CEO of Context Optional, in an Government
interview with eMarketer, October 2010 44% 24% 27%

Energy/utilities
Not every industry is adopting social media at the same rate. In 32% 25% 41%

a worldwide survey by SAS and Harvard Business Review, the Currently using Planning to use Not currently using,
companies that were least likely to be using social media were no plans to use

in the energy-utility, government and manufacturing industries. Note: numbers may not add up to 100% due to rounding
Source: SAS and Harvard Business Review, "The New Conversation: Taking
Social Media from Talk to Action," Oct 27, 2010
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Small businesses are also slower to adopt social media, in part

because many of them lack a strong web presence to begin
with. American Express OPEN found in September 2010 that
61% of small-business owners did not use social media to
market their business.
Another way to look at the relative importance of social media
is to compare its usage to other types of online marketing.

Among online marketers, social media usage is

approaching that of email marketing.

Social Media in the Marketing Mix 4

Lyris, a provider of email software, found in a June 2010 survey What Are Marketers Budgeting for
that 97% of respondents used email marketing and 82% used Social Media?
social media marketing. In this survey, more marketers used
social media than used search marketing, a telling statistic.
As companies take a more serious approach to
Marketing Tactics Used by US Online Marketers, June planning and executing social media marketing
2010
% of respondents initiatives, spending is rising.
Email marketing 97%
A worldwide survey of marketers by Maxymiser, a provider of
Company website 96% website personalization tools, found that social media ranked
Social media marketing 82% third among areas marketers planned to focus their online
SEO 79% marketing budget in 2011, after search and their own website.
(Social media was tied as a priority with converting traffic.)
Search engine marketing (SEM) 72%

Direct mail marketing 65% The takeaway is that social media is top of mind not only
when it comes to usage but also spending.
Banner/other online ads 65%

Events/trade shows 59% Focus of Online Marketing Budget in 2011

Webinars 37%
% of senior-level marketers worldwide

22% Emailing to mobile devices/SMS Search/keywords 51.1%

Note: n=847 Website creation/optimization 47.6%

Source: Lyris, Inc. survey, provided to eMarketer, Sep 1, 2010
Converting traffic 38.3%
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Social media 38.3%
Chief Marketer magazine also found that social media has moved Website personalization/targeting 34.8%
ahead of search as a marketing tactic. Marketers were more likely
Online video 27.3%
to use email, but 58.3% marketed via Facebook, LinkedIn or another
Mobile 22.9%
social media outlet. Just under half (49.7%) engaged in search engine
optimization. Twitter was used by 39.3% of respondents. Banner ads 22.5%

14.5% Behavioral advertising

Interactive Marketing Tactics Used by US Marketers,
March 2010 Rich media 12.3%
% of respondents 9.7% Podcasts/webcasts
Email marketing 8.4% No budget
74.7%
Note: n=227
Email newsletters Source: Maxymiser survey, provided to eMarketer, Sep 23, 2010
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Offsite social media (e.g., Facebook, LinkedIn)
58.3% According to several independent studies, spending on social
SEO media continues to rise. In 2009, between 53% and 78% of
49.7% companies were planning to increase budgets, depending on
Display ads on Websites the study. And in surveys conducted in 2010, between 42%
44.9% and 75% expected increases.
Twitter updates
39.3%
Paid search ads
31.3%
Corporate blog(s)
30.9%
Webinars
27.7%
Viral or word-of-mouth campaigns
26.3%

Note: n=500
Source: Chief Marketer, "2010 Interactive Survey," April 1, 2010
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Social Media in the Marketing Mix 5

The wide variety of responses is reflective of how the Social media marketing in the US has had a few years’ head
respondents were recruited and when the surveys were start over other countries. But regions worldwide are catching
conducted. For example, King Fish Media’s two studies used up and showing even more likelihood of increasing spending.
social media to help recruit participants, likely yielding a higher Econsultancy, in a survey conducted primarily among UK and
percentage rate. A study by Forrester Research that was European marketers, found that 83% planned to increase their
published in 2009 was actually conducted in late 2008, before social media marketing spending in 2010, comparable to the
social media became a truly widespread phenomenon. 86% in 2009. That compares with 57% of US respondents to an
Econsultancy survey in 2010.
Comparative Estimates: US Companies that Plan to
Increase Spending on Social Media Marketing, Change in Social Media Marketing Spending in the
2009 & 2010 Next Year, 2009 & 2010
% of respondents % of companies* worldwide**
2009 2010 0%
2009
King Fish Media, HubSpot and Junta42, Aug 2010 - 75%
86% 13%
Econsultancy and Search Engine Marketing - 57%
Professional Organization (SEMPO), March 2010 2010
Ad-ology, March 2010 - 42% 83% 16% 1%

King Fish Media, HubSpot, Junta42 and 78% -

Increase Stay the same Decrease
Upshot Institute, Oct 2009
Unisfair, Sep 2009 75% - Note: n=343 (2009) and n=332 (2010); numbers may not add up to 100%
due to rounding; *client-side; **UK (72%), other Europe (10%), North
Millward Brown, April 2009 64% - America (8%) and other (10%)
MarketingSherpa, Jan 2010 56% - Source: Econsultancy, "Social Media and Online PR Report 2010"
sponsored by bigmouthmedia, provided to eMarketer, Sep 29, 2010
Forrester Research, March 2009 53% -
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For additional information on this chart, see the Endnotes section.
Notably, the two King Fish surveys showed planned spending
increases in both 2009 and 2010. (These were not tracking
studies and the respondents were not the same in both years.)
A July 2010 survey by Pivot found that among marketers
already using social media, 87% planned to increase their
social media budgets either significantly (56%) or somewhat
(31%) in the next 12 months. Moreover, companies that were
not engaged with social media expected to ramp up their
efforts: Nearly half of the noninvestors said they would start
investing in the coming year.
Social Media’s Effect on Other Marketing Spending
If marketers are increasing their spending on social media,
does that mean overall budgets are expanding? Or are they
shifting funds from other areas?
As businesses head into 2011, the evidence is growing that
spending on social media is rising, but other marketing
spending is falling. The lingering effects of the recession have
kept marketing budgets flat overall for many companies, and
so they must decide where to put funds.
For many companies, the shift toward social media means
a reduction in spending on traditional forms of marketing.

Timeframe When US Marketers Plan to Invest in

Social Media Marketing, July 2010
% of respondents

Don't know/
does not In the next
apply 6 months
9% 23%
Do not currently
plan to invest
29% In 6 months
to 1 year
In more 23%
than 1 year
16%

Note: among respondents who currently do not invest in social

media marketing
Source: Pivot Conference, "Marketers' Current and Future Use of Social
Media" conducted by Extra Mile Audience Research, Aug 24, 2010
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Social Media in the Marketing Mix 6

CPG marketers surveyed by the Grocery Manufacturers Among B2B marketers surveyed by MarketingSherpa in August
Association and Booz & Company in August 2010 all expected 2010, 69% said they were increasing spending on social media.
increases in social media spending over the next three On the opposite end of the spectrum, these B2B marketers were
years. None thought allocations would decrease. However, far less likely to raise spending on direct mail, trade shows or
41% thought print media spending would decline and 28% print advertising—and significant percentages of respondents
expected decreases in TV spending. Promotional spending— were planning to decrease spending in those marketing channels.
on trade promotions especially—was also expected to decline.
Change in Investment for Select Marketing Tactics
Expected Change* in Advertising/Promotion Spending According to US B2B Marketers, Aug 2010
According to US CPG Manufacturers, by Channel, Aug % of respondents
2010 Website design, management and optimization
% of respondents 69% 5% 25%
Increase Increase Decrease Decrease
5%+ 0%-5% 0%-5% 5%+ Social media
69% 4% 27%
Shopper marketing 55% 28% - -
Social media 52% 41% - - Virtual events/webinars
Internet brand advertising 41% 45% - - 60% 6% 34%
Mobile marketing 38% 45% 3% - Search engine optimization (SEO)
Paid search 24% 34% 10% - 60% 5% 35%
Owned media 24% 34% 3% -
Email marketing
Print media 14% 7% 24% 17%
59% 6% 35%
Other paid media 7% 24% 17% 7%
TV 7% 17% 14% 14% Paid search (PPC)
Consumer promotions 3% 28% 10% 3% 49% 11% 40%

Trade promotions - 10% 24% 7% Public relations

Note: n=29; numbers may not add up to 100% due to exclusion of neutral 40% 11% 50%
responses; *in the next 3 years
Source: Grocery Manufacturers Association (GMA) and Booz & Company, Telemarketing
"Shopper Marketing 4.0: Building Scalable Playbooks That Drive Results," 32% 13% 54%
Nov 9, 2010
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24% 28% 48%

Tradeshows
22% 30% 48%

Print advertising
15% 39% 47%

Increasing investment Decreasing investment No change

Note: n=935
Source: MarketingSherpa, "B2B Marketing Benchmark Survey 2010,"
Oct 19, 2010
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Social Media in the Marketing Mix 7

Social Media in the Online Marketing Budget Moreover, while social media is being adopted at a rapid rate
among businesses of all sizes, it has still been only a few
Surveys that ask marketers to estimate how much budget
years since companies started to think about creating a social
they allocate to social media have disparate responses. On
media marketing practice or program. Altimeter Group, in a
the high end, MarketingSherpa found that the marketers it
November 2010 report about the role of the corporate social
surveyed devoted an average of 11% of their 2009 online
media strategist, noted that 62% of the companies it surveyed
marketing budgets to social media. But Econsultancy, in a
had had a social media program for two years or less.
survey conducted among email marketers, found that social
media represented just 4% of 2010 online marketing budgets. Even so, there is an upward trend in budget allocation for
social media. In studies done by Hospitality eBusiness
Comparative Estimates: Percent of Online Marketing Strategies and ITZ Belden (among hoteliers and small
Budget Allocated to Social Media According to US
Companies, 2008-2010 businesses, respectively), percentage allocations increased 2
2008 2009 2010 or 3 points year over year.
Hospitality eBusiness Strategies (HeBS)*, 3% 6% 8%
March 2010
Social Media in the Total Marketing Budget
ITZ Belden and American Press Institute (API)**, - 5% 7%
Sep 2010 Pulling back to look at social media as a portion of total
Econsultancy and Adestra***, - - 4%
March 2010
marketing spending, there is somewhat greater convergence
MarketingSherpa, Feb 2010 - 11% - in survey data, but there are also some puzzling discrepancies.
Note: *hoteliers worldwide; data for 2008 & 2009 are actual, 2010 is The Direct Marketing Association and COLLOQUY, in a July
projected; includes Web 2.0 functionality; **SMBs; ***email marketers
worldwide 2010 survey, reported that 43% of marketers devoted between
Source: various, as noted, 2010
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1% and 5% of their marketing budgets to social media.
121697 However, 24% said they did not know the percentage and just
For additional information on this chart, see the Endnotes section. 26% said spending was 6% or more.

Pivot found that of the companies that do invest in social Percent of Marketing Budget Allocated to Social
media, half (51%) dedicated less than 10% of their online Media According to US Marketers, July 2010
% of respondents
marketing budget (including staffing) toward social media.
None 7%
Proportion of Online Marketing Budget* Spent on
Social Media Marketing According to US Marketers, 1% 17%
July 2010 2%-3% 10%
% of respondents
4%-5% 16%
<10% 51%
6%-10% 11%
11%-20% 23%
11%-20% 8%
21%-40% 9%
21%-50% 6%
4% 41%-60%
1% 51%-100%
13% Don't know/does not apply
Don't know 24%
Note: among respondents who invest in social media marketing; *includes
money spent on staff to manage efforts Note: n=369
Source: Pivot Conference, "Marketers' Current and Future Use of Social Source: Direct Marketing Association (DMA) and COLLOQUY, "Deploying
Media" conducted by Extra Mile Audience Research, Aug 24, 2010 Social Media to Cultivate Customer Loyalty: A Benchmarking Study,"
provided to eMarketer, Aug 27, 2010
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The challenge in benchmarking spending is that marketers

do not necessarily have a single budget line-item for social
media. Nor do they necessarily fund social media endeavors
out of their online marketing budgets. As a point of comparison,
MarketingSherpa found in 2009 that only 53% of email
marketers had a line item for email in their marketing budget.
Given email’s long history as a marketing channel, the relative
lack of a unique budget line for social media is not so surprising.

Social Media in the Marketing Mix 8

Forbes Insights, in an April 2010 study, found that social media Moreover, respondents expected sizable increases. In the
accounted for 4% of marketing budgets, while traditional August 2010 survey, they thought 9.9% of marketing budget
media took 25% of spending. However, Forbes separated out would be dedicated to social media in the next 12 months.
digital ad spending from social media marketing spending in Within five years, these executives said spending would
its survey. Some marketers consider the money they spend increase to 17.7% of total marketing budgets.
on paid advertising in social media to be part of their overall
Percent of Marketing Budget Spent on Social Media
social media marketing spending.
According to US Marketers, Aug 2009, Feb 2010 & Aug
2010
Marketing Budget Allocation According to US % of total
Marketing Executives, April 2010
% of budget Current marketing budget spending on social media
3.5%
Social media Mobile/SMS/apps
POS/in-store 4% 2% 5.6%
7% 5.9%
Traditional Marketing budget spending on social media in the next 12
advertising (print, months
Public broadcast, etc.)
relations 6.1%
25%
11% 9.9%
9.9%
Digital** Direct
15% 20% Marketing budget spending on social media in the next 5 years
13.7%
Experiential*
16% 17.7%
17.7%
Notes: *primarily events; **any ads delivered online, includes both online
display ads (pop-ups) and search engine (SEM, SEO) Aug 2009 Feb 2010 Aug 2010
Source: Forbes Insights, "The New Rules of Engagement: CMOs Determine Source: Duke University's Fuqua School of Business, "The CMO Survey"
Their Marketing Mix," June 16, 2010 commissioned by the American Marketing Association (AMA), Aug 30, 2010
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Depending on the size of the business, allocations vary as
well. Shop.org asked retailers in a March 2010 survey to
estimate spending on social media and paid search. While
retailers of all sizes reported spending similar percentages of
their marketing budget on search, the largest retailers (over
$100 million in annual revenues) put just 1% of their marketing
budget toward social, while the smallest (under $10 million in
annual revenues) devoted 5% to it.
B2C companies marketing products (as opposed to services)
expected to see the largest increases in budgets. Duke’s study
found that such marketers allocated 7.4% of their marketing
budgets to social in August 2010 and believed allocations
would rise to 12.4% in 12 months and 22.6% within five years.

Percent of Marketing Budget Spent on Search and

Social Media by US Online Retailers, by Company
Size*, March 2010
Paid Social Total
search media marketing
budget
<$10 million 37% 5% $600,000
$10 million-$100 million 38% 2% $3,200,000
$100+ million 39% 1% $11,000,000
Note: *annual revenues
Source: Shop.org, "The State of Retailing Online 2010: Marketing, Social
Commerce, and Mobile" conducted by Forrester Research as cited by
Multichannel Merchant, July 13, 2010
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Research by Duke University’s Fuqua School of Business

provides more clarity, along with historical comparisons. In
studies done in August 2009, February 2010 and August 2010,
the percentage of marketing budgets that chief marketing
officers and other top marketing executives said they devoted
to social media rose from 3.5% to 5.6% to 5.9%.

Social Media in the Marketing Mix 9

B2B firms marketing products expected budgets to change at a How Much Marketers Are Spending
slower rate, rising from 5.4% in August 2010 to 15.4% five years later.
In some business sectors, the thinking still holds that social
Social Media Marketing Spending by US B2B and B2C media is free, or nearly free. Although earned media—the
Marketers, Aug 2009, Feb 2010 & Aug 2010 value that companies get when their marketing messages
% of total marketing budget spread virally—is indeed free publicity, there is almost always
Aug Feb Aug a cost associated with it, whether it be staffing, creative
2009 2010 2010
development or monitoring the results.
Current social media spending
B2B—product 2.5% 3.4% 5.4% Econsultancy, in a study primarily of UK marketers, found
B2B—services 3.9% 6.5% 5.8%
that 28% spent nothing on social media and 33% spent less
B2C—product 5.3% 6.7% 7.4%
than £5,000 (about $7,800). Just 17% had a budget of £25,000
B2C—services 2.9% 6.9% 5.7%
Overall 3.5% 5.6% 5.9% (about $39,000) or more.
Social media spending in the next 12 months
B2B—product 4.5% 7.4% 8.9%
Annual Social Media Marketing Spending, Sep 2010
% of companies* worldwide**
B2B—services 6.5% 11.0% 10.1%
B2C—product 7.5% 11.6% 12.4% £0
B2C—services 8.8% 10.7% 9.8% 28%
Overall 6.1% 9.9% 9.9% <£5K
Social media spending in the next 5 years 33%
B2B—product 12.6% 15.3% 15.4%
£5K-£10K
B2B—services 13.5% 18.9% 17.9% 11%
B2C—product 15.0% 18.9% 22.6%
£10K-£25K
B2C—services 15.4% 18.5% 18.0%
11%
Overall 13.7% 17.7% 17.7%
Source: Duke University's Fuqua School of Business, "The CMO Survey" £25K-£50K
commissioned by the American Marketing Association (AMA), Aug 30, 2010 7%
119316 www.eMarketer.com £50K-£100K
119316
5%
Can social media grow to one-fifth of marketing budgets?
£100K-£500K
In some ways, survey results like Duke’s represent wishful 4%
thinking and optimism. Of course, there is no way to tell £500K-£1 million
exactly how social media marketing budgets will grow in 1%
five years. That said, in August 2009, marketers expected to £1 million+
devote 6.1% of marketing budgets to social in the next 12 0%
months. That compares very closely to the 5.9% figure cited by Note: n=345; *client-side; **UK (72%), other Europe (10%), North America
respondents in August 2010. (8%) and other (10%)
Source: Econsultancy, "Social Media and Online PR Report 2010"
sponsored by bigmouthmedia, provided to eMarketer, Sep 29, 2010
However, it seems a substantial leap for marketers to expect
120271 www.eMarketer.com
that social media will grow from 5.9% of budgets in August 2010 120271

to 9.9% a year later. Even more telling, there was no change

between the February 2010 and August 2010 surveys regarding
what marketers expected to occur 12 months later. That may be
a sign of expectations coming more in line with reality.
In sum, marketers increased spending in 2009 and 2010, and
spending increases will continue in 2011. But that is only part
of the picture. The next logical questions are:
Q How much are they currently spending?
Q What will drive future spending?

Social Media in the Marketing Mix 10

In a worldwide survey by SEOmoz, a search marketing Marketers using social media primarily for customer
company, more than half of the 9,000 respondents said their acquisition had a lower average budget—$30,000 in 2010, up
budget for outsourced social media marketing was zero. Only 114% from 2009 spending of $14,000. And brand-awareness
2.9% said they spent more than $5,000 per month. budgets for social media increased the least, rising 89% from
$28,000 in 2009 to $53,000 in 2010.
Average Monthly Budget for Social Media
Outsourcing/Consulting According to Marketers Average Social Media Marketing Spending Among
Worldwide, May 2010 US Marketers, by Objective, 2008-2010
% of respondents thousands
$0 Customer growth/loyalty
52.7% $6
$1-$100 $30
8.0% $88
$100-$500 Customer acquisition
6.1% $6
$500-$1K $14
4.7% $30
$1K-$2.5K Brand awareness
3.1% $5
$2.5K-$5K $28
2.2% $53
$5K-$10K 2008 2009 2010
1.3%
Note: n=269; figures include respondents who said they spent nothing
$10K-$25K Source: Direct Marketing Association (DMA) and COLLOQUY, "Deploying
0.7% Social Media to Cultivate Customer Loyalty: A Benchmarking Study,"
provided to eMarketer, Aug 27, 2010
$25K-$50K 119462 www.eMarketer.com
0.3% 119462

$50K+ Altimeter, which surveyed 140 social media strategists at

0.6% major businesses for its report on the corporate social media
Not sure strategist function, found a much higher spending rate.
20.3%
One-third of respondents indicated that their company was
Note: n=9,234 spending between $100,000 and $500,000 in 2010, and 23%
Source: SEOmoz, "SEO Industry Survey 2010," Nov 3, 2010
121844 www.eMarketer.com
had a budget of $500,000 or more. These companies can be
121844
considered among the leading adopters of social media.
However, even as businesses strive to tap the power of
referrals and viral marketing, they are also realizing that social Social Media Marketing Budget According to Social
Strategists Worldwide, Q2 2010
media can be resource-intensive, and that some kinds of % of respondents
social media marketing require greater expenditures.
<$10K 15%
The Direct Marketing Association and COLLOQUY found that
$10K-$50K 13%
marketers whose primary objective was to use social media for
$50K-$100K 15%
customer growth or loyalty expected to spend an average of
$88,000 in 2010, up 193% from 2009 spending levels of $30,000. $100K-$500K 34%

8% $500K-$1 million

9% $1 million-$5 million

6% $5+ million

Note: n=140 social strategists at multinational companies with 1,000+

employees; numbers may not add up to 100% due to rounding
Source: Altimeter Group, "Career Path of the Corporate Social Strategist,"
Nov 10, 2010
121820 www.eMarketer.com
121820

Social Media in the Marketing Mix 11

Who Manages the Social Media Budget
While it has become fashionable among marketers to have
one person or a small team act as the lead social media
strategist, few have a dedicated social media department—
just 4% of companies surveyed by PRWeek and MS&L.
It is more common for companies to manage social media
through a hybrid group combining advertising and PR, the
model in place for 30% of PRWeek survey respondents.
However, in a sign of a shift, 30% said the PR department
In Altimeter’s report about social media strategists, 6% of
the executives interviewed said their company had a social
media or social strategy group. It was far more common for
companies to manage social media via marketing (41% of
respondents) or corporate communications (30%).
Department that Social Media Program Reports to
According to Social Strategists Worldwide, Q2 2010
% of respondents
Marketing 41%

managed social media, but only 20% thought that PR would Corporate communications 30%
manage social media in the future. Web/digital 11%

Department that Will Manage Current vs. Future 6% Social media/social strategy
Social Media Activities, June 2010 1% Product management
% of US marketers
1% Customer service/support
By a hybrid department that combines advertising and
PR/communications Other 10%
30%
Note: n=140 social strategists at multinational companies with 1,000+
32% employees; numbers may not add up to 100% due to rounding
Source: Altimeter Group, "Career Path of the Corporate Social Strategist,"
PR/communications Nov 10, 2010
30% 121819 www.eMarketer.com
20% 121819

Advertising Likewise, 92% of respondents to the Pivot survey said that

22% their marketing department was involved in managing social
21% media initiatives, while public relations played a role for 57% of
Digital/IT respondents’ companies. (The survey sample included a heavy
8%
mix of people in marketing roles.)
9%
Separate social media group
Companies will likely struggle in 2011 to determine how
4%
best to manage social media marketing. A separate group
11%
may not be the best strategy, as it could have the effect
Other of siloing social media marketing instead of integrating it.
7%
8%

Now Future
Note: n=262; numbers may not add up to 100% due to rounding;
respondents were asked "Which of the following best describes where
social media activities are primarily managed within your company now
and where they will be managed in the future?"
Source: PRWeek and MS&LGroup, "Social Media Survey 2010," Sep 8, 2010
119487 www.eMarketer.com
119487

The primary change that respondents expected was the

migration to a separate social media group: 11% thought such
an entity would manage activities.

Social Media in the Marketing Mix 12

Integration is a key challenge for marketers. While respondents What Will Drive Future Spending?
to a September 2010 Econsultancy survey were likely to have
at least some unity between social media and marketing or PR,
The ROI question is still not completely answered
that was not the case for other core business functions such as
customer service, sales, CRM or product development. for social media, even as marketers commit
Integration of Social Media Activity with Other
to increasing budgets. This is a critical issue to
Business Functions, Sep 2010 resolve. Some marketers are spending based on
% of companies* worldwide**
Marketing
gut instinct, or a desire to be seen as cutting-edge.
33% 52% 16% But those reasons won’t satisfy chief marketing
PR and communications
27% 52% 20%
officers focused on results.
Customer service The September 2010 survey by Econsultancy found nearly half
10% 39% 51%
of companies worldwide still said “the jury is out” on the value of
Sales social media for their firm. This group still felt they were not able
7% 48% 44%
to measure the return on their social media investment—even to
CRM/customer data put a value on it relative to their other marketing activities.
6% 31% 63%

Product development/innovation Value Gained from Social Media Investment, Sep 2010
5% 32% 63% % of companies* worldwide**
Greater return or value than
Human resources
from other marketing activity
2% 24% 74% 15%
Similar return or value than from
other marketing activity
Well integrated Some integration No integration
20%
Note: n=338; numbers may not add up to 100% due to rounding; *client-side;
**UK (72%), other Europe (10%), North America (8%) and other (10%)
Source: Econsultancy, "Social Media and Online PR Report 2010"
sponsored by bigmouthmedia, provided to eMarketer, Sep 29, 2010
120276 www.eMarketer.com
120276 Not able to measure—
the jury is out
47%
“As social media has become more and
more integrated across various disciplines
in Nokia, there is not one single budget just
Absolutely no value—
for that within marketing. While a couple of a waste of time
Less value than from
other marketing activity
years ago I may have carved out a separate 1% 17%

line item for supplemental social media Note: n=347; *client-side; **UK (72%), other Europe (10%), North America
(8%) and other (10%)
activities, it is now quite integrated.” Source: Econsultancy, "Social Media and Online PR Report 2010"
sponsored by bigmouthmedia, provided to eMarketer, Sep 29, 2010
—Laurie Armstrong, director of communications at Nokia 120274 www.eMarketer.com
North America, in PRWeek, September 2010 120274

Social Media in the Marketing Mix 13

SAS and the Harvard Business Review found that the top three Marketer Spotlight:
challenges associated with social media were understanding PepsiCo Americas Beverages
how it could affect one’s business, measuring its effectiveness,
and linking social media to company financials or ROI.

Social Media Challenges Faced by Companies Shiv Singh

Worldwide, July 2010
% of respondents Head of Digital
PepsiCo Americas Beverages
Understanding the potential of social media to make a difference
in your business
41% For Shiv Singh, a pioneering social media expert and head of
Measuring the effectiveness of social media activities digital at PepsiCo Americas Beverages, social media is a part
40%
of every marketing effort—whether it’s the Pepsi Refresh
Linking social media activities to an impact on company
financials and/or ROI
Project or the Dewmocracy effort for Mountain Dew. As a
31% result, social media is fully integrated with digital marketing
Improving your ability to fully utilize social media within the campaigns for the beverage division’s brands, which include
organization Pepsi products as well as Propel waters, Lipton bottled teas
28%
and Aquafina water.
Getting people across the organization to see the value of social
media activities Singh spoke with eMarketer about how PepsiCo Americas
25%
Beverages manages social media spending and battling the
Educating your staff on how to use social media
perception that social media is free media.
22%
Integrating social media analytics into your broader company eMarketer: Does social media have a separate budget?
analytics
19% Shiv Singh: It’s a cornerstone of digital. It’s not separated out.
Leveraging social media insights across your organization What really drives spending is marketing objectives, and what
16% programs and what ideas you want to execute against. For
Systemizing sharing of social media insights so they are quickly some brands, everything social seems a natural fit.
addressed by relevant department
15% eMarketer: How do you manage social media marketing
Responding to findings from social media (i.e., quickly efforts for your brands?
resolving/addressing an issue raised via social media)
15% Singh: There’s a certain level of spending, or activation
Capturing/analyzing online conversations about your brand of social, that we do [all the time]. I think of it as daily
products/services engagement through our Facebook presence, through Twitter,
14%
through developing social voices for our brands. Then, outside
Finding qualified staff who can work on social media activities
of that, we look at what type of consumer engagement
13%
we hope to accomplish online—such as transactional or
Note: respondents were asked to choose the three most pressing emotional engagement.
challenges
Source: SAS and Harvard Business Review, "The New Conversation: Taking
Social Media from Talk to Action," Oct 27, 2010 For a specific target audience, where are we going to have the
121437 www.eMarketer.com opportunity for that kind of engagement? That invariably leads
121437
us to some social platforms. We’re not marketing for social
Measuring ROI will be more important than ever in 2011 media’s sake. We’re marketing to build awareness and loyalty
in determining the future of social media spending. The for our beverages—and sales.
strategists surveyed by Altimeter said it was their key internal
objective for 2011. They recognize that now is the time to eMarketer: How do you battle the perception that social
prove out the success of social media marketing beyond soft media is free media?
metrics such as “likes” or retweets. Putting a dollar value on Singh: My brand marketers are welcome to try doing it the free
social interactions will help keep the budget wheels turning. way, but invariably, 999 out of 1,000 times, it fails. When it comes
to social engagement, it’s often not just a conversation on a wall
or a Twitter feed, but it’s something deeper and more meaningful.
It’s definitely not free. Digital, in general, may be cheaper than
traditional marketing, but digital creates unique opportunities of
an interactive nature that traditional media cannot.

Social Media in the Marketing Mix 14

Marketer Spotlight: General Motors
Christopher Barger
Global Director of Social Media
GM
For the past few years, General Motors has managed its
efforts on Facebook, Twitter, blogs, online video and other
social media activities from within its communications group.
In 2011, GM will be moving social media marketing into
its brand groups. The goal is to make both budgeting and
executing social media an integral part of overall marketing
planning, rather than an add-on to an existing plan.
Christopher Barger, global director of social media at GM, spoke
with eMarketer about the challenges of this transition and how
GM allots budget for social media within digital marketing.
eMarketer: How are you budgeting for social media
marketing in 2011?
Christopher Barger: Until now, social media has been led
and budgeted out of communications rather than marketing.
We are in the middle of social becoming part of marketing.
That means there will be a bucket [of funds] for Chevrolet
for the year. There’ll be a certain bucket for Volt; there’ll be a
certain bucket for Cadillac. And so on.
The brand communication teams and the brand marketing
teams have never budgeted their own line items [for social
media marketing]. It’s all come out of [my budget]. What’s
happening is that marketing rightfully is becoming more
involved in the planning and the budgeting piece, and also the
strategic side of it.
That means the brands are now baking social into their overall
marketing budget.
It’s incorporated into all the programs. So, if you’re launching a
vehicle, you just increase the amount of money that goes into
the vehicle launch program in order to accommodate social
tactics as well.
eMarketer: That’s going to happen with other marketers, and
GM may be ahead of the curve in getting the social integrated
into the marketing budget.
Barger: It’s been a long time in coming, so I know we finally
have the right structure in place, and the right mix of skill sets
and the disciplines that are involved.
Social Media in the Marketing Mix
But frankly, one of the things that I wish I could do over, if we
were starting over again, is that we’ve been picking off [social
media marketing] opportunities as they occurred to us. You
know, South by Southwest is coming up, or ComiCon is going
on, and gosh, wouldn’t it be great if we could get a Camaro
down there? We’ve been ticking those off one by one as we
see them.
Now, by getting the marketing teams more involved, we can
say, these are the vehicles that are specifically being launched.
These are the specific things that we’re trying to accomplish
with our audiences that we’re trying to reach. Now, we can
start thinking about a social strategy that is more in line with
the rest of the strategy for marketing, rather than picking off
opportunities piecemeal and hoping that they fit.
eMarketer: How much of a marketer’s online marketing
budget do you think should go toward social media?
Barger: Companies have begun to grasp the need to move
a significant portion of their marketing budget to digital. But
I don’t think that nuance between digital and social is fully
comprehended by everyone yet.
It’s impossible to do one well without the other. I would
argue that online advertising and online marketing have their
place but can very well be supplemented by campaigns of
engagement with social networks. If you’re doing nothing but
talking within the social networks, and it’s not tying back to
your other online marketing, it’s probably not as effective as it
could be.
There are other people in the GM organization who will
probably have different opinions, but I’d probably want to try
to go as evenly split as possible: Half of the effort you put in,
both from a financial resource and a time resource standpoint,
ought to be spent engaging in the networks and then trying
to figure out how to physically get people into your product or
experiencing your product. The other half ought to be making
them aware of your product, and continuing to go where the
audience goes, to do standard digital marketing.
The full interview with Christopher Barger of GM is
available on eMarketer’s website.
15
Marketer Spotlight: Intel eMarketer: Does that mean that budgets are expanding?
Malone: Yes, it would be an expansion and a more defined
social media budget to support scaling, more interesting and
Kathleen Malone dynamic social content and our enablement goals. We’re
backing this up with internal processes. We’ll be driving
Social Media Strategist
collaboration across teams to create more synergy across our
Intel
efforts and more fully realize the potential of the social graph.

In early 2009, Intel created its Social Media Center of eMarketer: Other marketers are making a similar transition—
Excellence to manage the semiconductor company’s growing from experimenting with social media to incorporating it into
presence in the social realm. all of their marketing. How has Intel managed that transition?

Following a strategy it dubbed GROW (grassroots experimentation, Malone: We have a great model that we’ve coined that really
results testing, operationalizing infrastructure, and widespread illustrates our adoption of social media at Intel. It’s called GROW.
adoption) Intel has carved a path from experimentation to Our path started off very grassroots in an organic,
integration. As it looks forward to 2011, Intel, like other major unstructured, open-sky sort of approach, led by some
marketers, is focused on scaling its social media activities in the US passionate early pioneers. Then we started looking at results.
and internationally. This is also where we got our governance and guidelines put
Kathleen Malone, senior manager and social media strategist in place.
at Intel, spoke with eMarketer about the company’s budgeting 2009 and 2010 have been more about operationalizing what
process for social media, how the Social Media Center of we do in social media and putting the infrastructure in place.
Excellence operates, and the challenge of ensuring that staff As we move into 2011, we are really focused on the scaling
resources are allocated appropriately. opportunity, but also making sure that while we are doing that
eMarketer: How does Intel budget for social media marketing? we are being very strategic about how we use social media. I
think we need to use it at the right time and place.
Kathleen Malone: So far, we have been pretty entrepreneurial
about the way that we’ve funded social media. It really follows The full interview with Kathleen Malone of Intel is
the organic growth of social media at Intel. Advertising on social available on eMarketer’s website.
network sites gets funded out of the paid-media budget. Content
creation typically comes out of our creative development funding.
The Social Media Center of Excellence has been focused on
funding the training, tools and infrastructure support we require
to engage in social media. We’ll continue to expand this relatively
new budget line item in 2011.
eMarketer: Will you change how you are budgeting for social
media next year?
Malone: Yes. It’s really exciting. Intel has been an early adopter
in social media, but we haven’t funded it as well as many of us
would like. We like to remind management and stakeholders
that social media is not free. We don’t want to tap into our
paid-media budget. We want to separate those two while
driving deeper integration between paid and social media.
We anticipate new funding in 2011 in three areas: expanding
tools, infrastructure and analytics, because we need to expand
our ability to measure and drive insight; social network site
development; and campaign activation—how we foster
the bigger idea that potentially scales the social graph and
geographies, increases fans and adds value and engagement
to our communities.
We’d like to scale social media [globally] in 2011. We’re hoping
that we secure budget to move funding into this area.

Social Media in the Marketing Mix 16

Conclusions Endnotes
Major companies will expand social media marketing Endnote numbers correspond to the unique
in 2011. Businesses as diverse as GM, Intel and PepsiCo
are all scaling and diversifying their efforts. Even though they
six-digit identifier in the lower left corner of each
are still working toward solid measurement of ROI, they are chart. The charts from the report are repeated
resolved to push ahead.
before their respective endnotes.
As spending increases, other marketing channels may
lose budget. Total marketing budgets in general are not
121697
increasing, so social media spending must come from other
types of marketing. Early indications are that offline media and Comparative Estimates: Percent of Online Marketing
promotions may be hit first. Budget Allocated to Social Media According to US
Companies, 2008-2010
Creating a separate budget for social media may 2008 2009 2010
not be effective. The most common way to handle social Hospitality eBusiness Strategies (HeBS)*, 3% 6% 8%
media is to spread it across teams. Only a small percentage March 2010
ITZ Belden and American Press Institute (API)**, - 5% 7%
of businesses have a separate social media group. The risk Sep 2010
of spreading it out is that instead of fostering communication Econsultancy and Adestra***, - - 4%
and interaction across business departments, it may just March 2010

create a new silo instead. MarketingSherpa, Feb 2010 - 11% -

Future spending increases are tied to ROI. Although
marketers are committed to using social media, they are still
making some decisions based on gut instinct rather than metrics.
The social media ROI debate is ripe for resolution in 2011.
Note: *hoteliers worldwide; data for 2008 & 2009 are actual, 2010 is
projected; includes Web 2.0 functionality; **SMBs; ***email marketers
worldwide
Source: various, as noted, 2010
121697 www.eMarketer.com
121697
Citation: Econsultancy and Adestra, “Email Marketing
Industry Census 2010,” provided to eMarketer, March 10, 2010;
Hospitality eBusiness Strategies (HeBS) as cited in company
blog, March 10, 2010; ITZ Belden and American Press Institute
(API), “Small and Medium Business (SMB) Advertiser Surveys:
September 2010,” provided to eMarketer, Sep 30, 2010;
MarketingSherpa, “MarketingSherpa Social Media Marketing
Benchmark Survey,” Feb 9, 2010

Social Media in the Marketing Mix 17

121698 121699

Comparative Estimates: US Companies that Plan to US Companies Using Social Media Tools for Marketing
Increase Spending on Social Media Marketing, Purposes, 2008-2012
2009 & 2010 % of total
% of respondents 88%
2009 2010 80%
King Fish Media, HubSpot and Junta42, Aug 2010 - 75% 73%
Econsultancy and Search Engine Marketing - 57%
Professional Organization (SEMPO), March 2010 58%
Ad-ology, March 2010 - 42%
King Fish Media, HubSpot, Junta42 and 78% - 42%
Upshot Institute, Oct 2009
Unisfair, Sep 2009 75% -
Millward Brown, April 2009 64% -
MarketingSherpa, Jan 2010 56% -
Forrester Research, March 2009 53% -
Source: various, as noted, 2009 & 2010
121698 www.eMarketer.com 2008 2009 2010 2011 2012
121698
Note: includes companies with 100+ employees
Extended Note: Ad-ology data includes companies with Source: eMarketer, Nov 1, 2010
121699 www.eMarketer.com
annual revenues of at least $2 million and includes social 121699
media, viral and word-of-mouth (blogs, internet communities).
Extended Note: Data includes use of any of the proprietary
Econsultancy and Search Engine Marketing Professional
public-facing social media tools for marketing purposes,
Organization (SEMPO) data is an eMarketer calculation and
including blogs, microblogging, photo- and video-sharing,
includes client-side marketers in North America. Forrester data
podcasting, ratings and reviews, social games, social
includes companies with 250+ employees. MarketingSherpa
networks, virtual worlds, widgets and applications, wikis, etc.
data is an eMarketer calculation. Millward Brown data includes
client and agency executive-level marketers.
Citation: Ad-ology, “Attitudes on Agencies,” provided to
eMarketer, March 3, 2010; Econsultancy and Search Engine
Marketing Professional Organization (SEMPO), “State of
Search Engine Marketing 2010,” provided to eMarketer,
March 25, 2010; Forrester Research, “Q4 2008 Global Social
Media Planning Online Survey” as cited by ReadWriteWeb,
March 16, 2009; King Fish Media, HubSpot and Junta42,
“2010 Social Media Usage, Attitudes and Measurability: What
Do Marketers Think?,” Aug 11, 2010; King Fish Media, “2009
Survey on Marketing, Media and Measurement” co-sponsored
by HubSpot, Junta42 and Upshot Institute, Oct 14, 2009;
MarketingSherpa, “2010 Social Media Marketing Benchmark
Report” as cited in press release, Jan 4, 2010; Millward Brown
as cited in press release, April 27, 2009; Unisfair, provided to
eMarketer, Sep 14, 2009

Social Media in the Marketing Mix 18

121700

Comparative Estimates: US Companies Using Social

Media Tools for Marketing Purposes, 2008-2012
% of total
2008 2009 2010 2011 2012
White Horse, May 2010* - - 86.0% - -
White Horse, May 2010** - - 82.0% - -
Digital Brand Expressions, June 2010 - - 78.0% - -
Panda Security, Sep 2010 - - 77.5% - -
Alterian, Aug 2010 - - 74.8% - -
eMarketer, Nov 2010 42.0% 58.0% 73.0% 80.0% 88.0%
King Fish Media, HubSpot and - - 72.0% - -
Junta42, Aug 2010
PRWeek and MS&L Group, Sep 2010 - 63.0% 71.0% - -
Pivot Conference, Aug 2010 - - 63.0% - -
Chief Marketer, April 2010 - 34.3% 58.3% - -
University of Massachusetts 77.0% 91.0% - - -
Dartmouth Center for Marketing
Research, Nov 2009
eROI and eMarketing + Commerce - 69.0% - - -
(eM+C), Feb 2010
Equation Research, Aug 2009 - 59.0% - - -
Unica, March 2010 - 58.0% - - -
Note: *B2B marketers; **B2C marketers
Source: eMarketer, Nov 2010; various, as noted, 2009 & 2010
121700 www.eMarketer.com
121700

Extended Note: Alterian data includes those who were

“extremely” and “somewhat engaged.” eMarketer data
includes companies with 100+ employees. eROI and
eMarketing + Commerce (eM+C) respondents are mostly
US-based. Panda Security data includes companies with
15-1,000 employees. Unica data is for North America;
University of Massachusetts Dartmouth Center for Marketing
Research data includes Inc. 500 companies.
Citation: Alterian “Engaging Times Summit,” Aug 24, 2010;
Chief Marketer, “2010 Interactive Survey,” April 1, 2010; Digital
Brand Expressions, “Social Media Without a Parachute,”
provided to eMarketer, June 21, 2010; Equation Research,
“2009 Marketing Industry Trends Report,” Aug 18, 2009; eROI
and eMarketing + Commerce (eM+C), “Online Marketing
Trends: What Worked in 2009 and What to Expect in 2010,”
provided to eMarketer, Feb 1, 2010; King Fish Media,
HubSpot and Junta42, “2010 Social Media Usage, Attitudes
and Measurability: What Do Marketers Think?,” Aug 11,
2010; Panda Security, “1st Annual Social Media Risk Index
for Small to Medium Sized Businesses,” Sep 14, 2010; Pivot
Conference, “Marketers’ Current and Future Use of Social
Media” conducted by Extra Mile Audience Research, Aug
24, 2010; PRWeek and MS&LGroup, “Social Media Survey
2010;” eMarketer calculations, Sep 8, 2010; Unica, “The State
of Marketing 2010” conducted by Salloway & Associates,
provided to eMarketer, March 10, 2010; University of
Massachusetts Dartmouth Center for Marketing Research,
“Social Media in the 2009 Inc. 500: New Tools & New Trends,”
Nov 17, 2009; White Horse, “B2B Marketing Goes Social,” May
18, 2010

Social Media in the Marketing Mix 19

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