Social Data Analytics for Enhancing the Collaborative Economy
Focusing on the data-driven analytics and its effects on paid services providers can potentially reverse-engineer break-even rates, expected Return on Investment (ROI), and performance timelines. Traditional centralised social networking analytics and metrics can estimate the expected number of customers using well-established vendor-specific revenue assurance tools. They include a systematic approach of incorporating social, environmental, economic, and other values into standard decision-making processes. The challenge appears when the decentralised social media stakeholders come into the game. Then they need to find unified metrics to measure the achievement of social impact relying on three primary performance indicators: appropriateness, efficiency and effectiveness. This paper presents the idea of adding social collaboration term to increase impact within the industry and the effectiveness of tactics and strategies among multiple people, groups or departments. The decision-making process related to the revenues will thus benefit from this newly defined metric called Return on Collaboration (ROC). Measuring the ROC provides users with real-time cost per engagement analyses, allowing them to define their specific business application success indicators. The traditional ROI calculates the gain or loss of a given investment. On the other hand, ROC measures the "improvement" resulting from a monetary expenditure in collaboration and the innovative ROC model facilitates user collaboration and revenue growth. As a result, providers can assess the effect of social media services and technologies.