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Present Value of Social Commerce    |  June 15, 2010 
 |  Comments  Using the Net Present Value formula, you can show
your CFO the value of consumer-generated content on your site.
How much is your customer-generated content worth?  Social
commerce measures the impact of social interactions on your
brand, bottom-line sales, and business success. One great way to
assign a true monetary value to your brand's user-generated
content (UGC) - like reviews, customer forums, and ask-and-
answer entries - is to measure its net present value (NPV).  NPV
is a metric widely-used in the financial world, and the
management at your company (especially the CFO) will appreciate
seeing the value of your social media program. NPV is commonly
calculated as the profit your company gains from an investment
is equal to sum of that investment's impact over time. When the
NPV number is positive, financial teams will usually decide to
make the investment; when the number is ne