It’s a fair question. Many Australian small and medium enterprises (SMEs) find themselves posting on social media simply because it feels like ‘what you’re supposed to do’. But is it actually contributing to profitability, or is it a time sink? We see this a lot, and the answer isn’t a simple yes or no. It hinges on whether your social media activity is strategically aligned with your broader marketing objectives and, crucially, whether you’re measuring the right things.

The biggest mistake we observe is treating social media as a broadcast channel. Simply posting updates about your products or services rarely drives significant return. Instead, think of social media as a sophisticated customer relationship management (CRM) tool – a place to build relationships, understand your audience, and nurture leads. This shift in perspective is fundamental.

Here are a few key insights to consider:

• Audience Alignment: Are you on the platforms *your* customers actually use? Spending time on TikTok when your target demographic is primarily on Facebook is a wasted effort. We recommend detailed audience research to pinpoint where your ideal customer spends their time online.
• Conversion Pathways: Social media rarely delivers immediate sales. It’s more often a top-of-funnel activity, building awareness and driving traffic to your website or physical store. You need clear conversion pathways – how does a social media interaction translate into a lead, and then a sale?
• Attribution Modelling: Understanding which social media activities contribute to revenue is vital. Don’t just look at ‘likes’ and ‘shares’. We advocate for using UTM parameters in your links to track website traffic originating from specific social campaigns. This allows you to accurately attribute conversions.
• Content Pillars & Value Exchange: Consistently providing valuable content – solving problems, offering insights, entertaining – builds trust and authority. This isn’t about constant self-promotion; it’s about establishing yourself as a resource.

Looking ahead, the increasing sophistication of social media advertising platforms means targeted reach will become even more precise. In 2026 and beyond, businesses that haven’t invested in understanding their customer data and refining their targeting strategies will be left behind. However, even the best advertising won’t work without a solid organic foundation built on genuine engagement.

Ultimately, social media *can* be worth it, but only if it’s approached strategically and measured effectively. If you’re unsure where to start, we recommend conducting a social media audit to assess your current performance and identify areas for improvement. A clear plan, focused on delivering value and tracking results, is the key to unlocking a positive return on investment.