By Madalina Iacob

Social networks and communities are becoming increasingly important in driving traffic on websites, transforming journalists into small entrepreneurs who are forced to market themselves. Advertisers, on the other hand, are tapping into these informal networks, hoping a targeted message will have a greater impact on consumers.

Recent research shows that almost two-thirds of chief marketing officers are increasing their 2010 social media budgets. One of the plans is to use Twitter to help boost sales. “In 2010, CMOs expect social initiatives to directly impact their bottom lines, without exception,” according to MediaPost.com.

The biggest challenge however is to determine what metrics do you use to quantify the results on these virtual, amorphous communities.

That brings to mind the old ad industry truism: “I know half my advertising dollars are wasted…I just don’t know which half.”