Demystifying Facebook as a Direct Response Channel - Lee Griffin TBG Digital

1. TBG Digital 2011
Demystifying Facebook
(As a direct response channel)

2. > The challenge
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3. > A quick intro
(Youve heard of it, right?)
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4. > From this(2004)
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5. > To this
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6. > You cant ignore it embrace it!
1,700,000,000
700,000,000
190,000,000
160,000,000
100,000,000
Internet users
Facebook users
Twitter users
Blogs
LinkedIn users
TBG Digital 2011
7. > Its local too
UK
> 40m online population
> 30m on Facebook
> 14m visit for 25 mins daily
> 5m aged 35 to 45
> 52% female
700m users
Real Life
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12. Why is Facebook important
to us as a direct seller?
13. > Listen, learn and engage
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> Where do I start?
Footfall
Transactions
Market Share
Insight
Loyalty
Viral
Global
Efficiency
14. >People influence people
Engagement creates your social network where friends meet and talk to you and each other about you
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15. > The new word of mouth
.
1.6X
lift in brand recall
VS
2X lift in message awareness
4X
lift in purchase intent
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16. > Laser-guided targeting
Structured
Unstructured
Activities
Interests
Music
TV
Movies
Books
Groups
Applications
Connections
Location
Age/Birthday
Gender
Education
Workplace
Relationship
Sexual Preference
Language
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17. > The volumes are there
Gaming 1,000 1,500bingo players a month
Telecoms1,000 4,500mobile contracts a month
Retail 8,000 12,000sales a month AOV 65
Finance22,000credit card applications a month
Travel5,500internal flights a month (USA)
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18. > Everyones doing it
Contracts, Handsets and free SIMs
Clothing e-commerce
Chrome browser installs
New customers
Credit Card Accounts
Spend = from 250k to 850k a month
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19. > Hows it done?
2006 to 2010 = Premium ads and Microsofts Banners
2007 to 2009 = Premium ads and self-serve (manually)
2009 to 2011 = Marketplace ads via API
> Exclusivelyreach your audience
> Match Product, Promotion, Price and Place to individuals
> Collect relevant fans
> Fan conversion, social selling
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20. > Targeting

Open matrix

21. Test and Learn 22. Advanced segmentation 23. A blue print for performancePoker
Top Gear
Manchester
Single
HBO
Male
28-29
29-30
30-31
32-33
33-34
34-35
35-36
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24. > Cost vs. Volume?
2.
Age: 30-36
Gender: Male
Geo: NW
k/w: Poker, HBO, Top Gear
1.
Age: 32-34
Gender: Male
Geo: Manchester
k/w: Poker
3.
Age: 22-40
Gender: Male
Geo: UK
Monthly e.g.
200 players @ 90
150 players @ 115
75 players @ 140
= 425 players @ 108 average
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25. > Optical Express
26. > Advert API - ONE Media Manager

One Uses Facebooks Advert API (alpha)

27. Facilitates Multi Variant testing = Micro-targeting at scale 28. Saves time and builds efficiencies 29. 2 billion ads per day in 65 markets 30. Consistently top 10 Facebook spender, globally. TBG Digital 2011
31. Is it sustainable?
Whats next?
32. > 2011 - Social by design
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33. > Whats Social by design?
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34. > Whats Social by design?
Dont think about how you can fit social media into your business
Think about how your business can fit into social media
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35. >Some brands already started playing...
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36. > 3 key aims
Build = Collect relevant fans
Amplify = Viral & Earned media
Engage = Fan conversion & social selling
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37. > 3 key aims
Amplify = Provide a great platform
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38. >Acquire relevant fans using their shared info
Location
Age/Birthday
Gender
Education
Workplace
Relationship
Sexual Preference
Language
Activities
Interests
Music
TV
Movies
Books
Groups
Applications
Connections
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39. > Some simple guidelines
> The fan gate
> A good reason to become a fan
> Exclusive Facebook offers & content
> Sensible user journey
> Keep it simple
> Content is King
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40. > Case Study: Fan Acquisition Virtual Coke
Objective:

Generate 1,457 Fans at $3.75.

Approach:

Offering virtual coke gifts

Results:

14M impressions

41. 19,338 fans 42. Cost Per Fan of $0.28.Performance

1227% ahead ofvolume target!

43. 93% below CPF target!Fan Acceleration
Final CPF was 93% Below Target!
44. > Case Study Insight
Adding Incentive Resulted in a 24% Lower CPF!
45. > Find and grow Brand Advocates
Campaign objectives

Acquire fans using the Entrance campaign

Approach

Thousands of highly targeted ads, aimed at users with a high Social profile

46. Males between 18-36 yrs. 47. Sponsored Story ads to increase reach and create Brand Advocates.Results

250M impressions

48. 112,000fans 49. Advanced profile targeting andSponsored Storiesreduced total CPF to 550% below target. TBG Digital 2011
50. > Find and grow Brand Advocates
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51. > 3 key aims
Amplify = Viral & earned media
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52. >Create a platform where friends meet
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53. > Case Study: Viral
Objective:

Generate Fans at $3.75.

Approach:

Use and compare sponsored story like ad format versus traditional adformat

Results

37M impressions

54. 51,278 fans 55. Cost Per Fan of $0.29.Performance

1282% above volume target!

56. 92% below CPF target!Fan Volumes Were 1282% Above Target!
57. > Case Study Insight
Sponsored Stories CPF 31% better than Standard Format
58. > 3 key aims
Amplify = Viral & earned media
Engage= Fan conversion & social selling
TBG Digital 2011
59. >Value of a Facebook fan
> On average, fans spend an additional $71.84 on products for which they are a fan, compared to those who are not fans.
> Fans are 28% more likely than non-fans to continue using the brand.
> Fans are 41% more likely than non-fans to recommend a fanned product to their friends.
Source: SocialTRAC, Value of a Facebook Fan. 2010 Syncapse Corp. www.syncapse.com
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60. >Fan Conversion & Social Selling
Social wish lists
Allow your fans to create a social gift list.
Facebook shop
Shop within Facebook. Promote top-selling items, and learn from user comments.
Gift vouchers
Select your amount, select your Facebook friend and pay. Easy! Redeem online or in shop.
Check in and reward
Increase footfall. Reward fans for checking-in into your store, or taking friends along.
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61. >Walmart - listening to customers
LISTEN
LEARN
ENGAGE
ASK
Deliver the deal if its popular among customers
Does this deal appeal to you?
Number of Likes determines if the deal will become a reality
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62. >ASOS bring the shop to your audience
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63. >Sainsburys Exclusive Facebook offer
> Drive Facebook ad traffic to offer in custom tab
15 off 75 shop for new users
> CPA dropped from 400% above target to 60% below target
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64. >Victorias Secret - Gift vouchers
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65. >Babies R Us - Gift list / wedding pool
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66. >Convert fans offline
A new way to connect with customers
Reward customers when they check in on Facebook

Generate in-store traffic

67. Generate buzz among friends online 68. Build loyalty TBG Digital 2011
Conversion rate for people who actually walk into a store is 20% for retailers and 40%-60% for electronics.
.
20%
60%
Source: Businessweek, August 2010
TBG Digital 2011
See whos checked in nearby
And tell your friends where you are and who youre with
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Conversion rate for people who actually walk into a store is 20% for retailers and 40%-60% for electronics.
.
20%
60%
Source: Businessweek, August 2010
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72. >Individual: check in to claim deal
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73. >Charity: check in and well donate
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74. >Digital loyalty card: collect and claim
Starlight bar & grill
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75. >Social: tag friends with you
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76. > Whats the plan?
Planned roadmap of engagement
Shops
Gift vouchers
Give away promo
Competition
Celebrity Page
Deals & Places
Deals & places
Poll
Win
Video
Celebrity
Poll
Brand
Wall posts
Seasonal promo
Christmas
Brand
Sale
Charity
Brand
Win
Christmas
Social ads
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77. Still not sure?
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78. >Its only just begun
Decca Records rejected the Beatles in 1962 with the comment:
"Guitar groups are on the way out
Social Media has only just started
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79. > About TBG
> One of three Facebook alpha Advertising API Partners; Launched ONE Media Manager in 2009 - a Facebook-specific bid management platform
> One of the largest purchasers of Facebook Marketplace inventory in the world with more than 2 billion daily impressions at peak
> 60 specialists in London working exclusively on Facebook campaigns
> Currently running campaigns for nearly 90 clients in 40 countries
> Global coverage - offices located in:
> London
> Paris
> Amsterdam
> Hamburg
> New York
> San Francisco
> Chicago
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80. > Some Clients
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81. > Need some help?
Lee Griffin [email protected]
Siebren Roorda [email protected]
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