Email & Social mEdia: The Untold Story - Fishbowl marketing … · Email & Social mEdia: The UnTold STory 6 Behind The SoCial media nUmBerS ConSuMerS: Email may have the upper hand

Email & Social mEdia:The Untold Story

1Email & Social mEdia: The UnTold STory

This ominous passage appeared in The Wall Street Journal on October

12, 2009. The article entitled “Why Email No Longer Rules...” is the most

notorious prophecy of email’s imminent demise.

However, The Journal was not the first, nor the last, to take up this

position. A Google search for “email is dead” returns more than two-

million results. Yet, years later, email continues to flourish and has

retained its place as the top online activity in America. Which begs the

question, why does the media think email is destined to fall at the feet of

social media?

email has had a good run as king of communicators. But its reign is over.

“-The Wall Street Journal


In part, the online buzz machine continues to pit these massive

communication tools against one another to drive readership. Others

interpret the mound of available research and conclude the findings

points to email’s looming extinction. But, the truth is email and social

media are not at war. They are simply different mediums, each with

unique strengths and weaknesses. And like all marketing mediums, they

have proven more powerful when used together.

ConTenTSConTinUed relevanCe of email . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Behind The SoCial media nUmBerS . . . . . . . . . . . . . . . . . . . . . . . . 6

email & SoCial ToGeTher . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12


ConTinUed relevanCe of email

The glitz and glamour may have faded from the inbox, but email

remains the dominant form of online communication. Social media touts

massive growth numbers on networks like Facebook (750 million users)

and Twitter (200 million users). Yet, those figures pale in comparison to

email’s 2.9 billion accounts. Ninety-four percent of the 200+ million U.S.

internet users send and receive email, 87% daily.[1]

Last year, this 40-year-old technology outpaced social networks in terms

of growth. Adding 480 million accounts, to Facebook’s 250 million and

Twitter’s 100 million. Even content sharing, the most social of online

activities, is dominated by email. Used to share information by 82% of

internet users, versus Facebook’s 49% and Twitter’s 4%.[2]

social media users are actually more likely to be heavy email users“

-Merkle, ‘View from the Social Inbox’


An unexpected boon to email’s continued success is the mobile web.

Of the 120+ million smartphone users in the U.S., some 78% access

email via their device, 63% daily.[3] Accounting for a 41.6% timeshare.

Social networking comes in a distant second, with a 10.5% timeshare. [4]

Already, an estimated 20% of retail email was viewed on a mobile device

last year. Impressive numbers in a market expected to double by 2016.

People preferpromotionalemails than

social interaction

Preferred methodof communication

respondents(U.S.)

Promotinal emails

Postal mail

64%25%

Comapny’s website

TV 21%11%Don’t want communications

Social media websites 10%8%Mobile phone text messages

Radio

5%3%

Other

2%

%

WITH A COMPANY

WHEN ITCOMES TOCOMMUNICATION

[ ]

People preferpromotionalemails than

social interaction

Preferred methodof communication

respondents(U.S.)

Promotional emails

Postal mail

64%25%

Comapny’s website

TV 21%11%Don’t want communications

Social media websites 10%8%Mobile phone text messages

Radio

5%3%

Other

2%

%

WITH A COMPANY

WHEN ITCOMES TOCOMMUNICATION

[ ]


Ironically, studies have shown that social media users are actually more

likely to be heavy email users than the average online American. Forty-

two percent check their inbox 4 or more times daily, compared to just

27% of those who do not use the top social networking sites.[5]

For marketers, email continues to be the manner in which online

consumers prefer to communicate with businesses. Ninety-three percent

have opted-in to receive messages from a brand.[6] Sixty-four percent

prefer to receive promotions via email above any other channel, eight-

times that of social media.[7] In fact, 75% of daily social media users said

that email is the best way for companies to communicate with them.

And 49% of Twitter users said they made an online purchase because

of an email, compared to 33% of all email users. Most importantly,

email continues to drives an unmatched return on investment. The

Direct Marketing Association estimates that every dollar spent on email

marketing drives $42 in revenue.


Behind The SoCial media nUmBerS

ConSuMerS:

Email may have the upper hand when it comes to communicating with

customers, but social media is not to be ignored. By the end of this year

63.7% of Americans will be using social networks on a regular basis.

Already, social media consumes the largest share of online time, at

22.7%[8]. Yet, to truly succeed on these networks, it’s necessary to look

beyond the flashy stats that are currently grabbing headlines.

Today, there are over 400 sites that fit the social media description. But

to understand the story behind the numbers, this section needs go no

further than the category leader, Facebook.

650million users

900million pages, events & groups

85%of all social media activity

770billion page views per month

Facebook's growth, in just a few years, is nothing short of staggering

30pieces of shared content

BIL

LIO

N

60% 39% 20%

Facebook's users age groups

UNDER 30YEARS OLD 30-49

YEARS OLD50-64YEARS OLD

Female presence is stronger than counterparts by10%


Facebook’s growth, in just a few years, is nothing short of staggering. The

network recently topped 750 million registered users. There are over 900

million pages, groups, and events. More than 30 billion pieces of content

are shared each and every day, generating 770 billion page views per

month. It currently accounts for 90% of all social media activity[9], and

25% of all pageviews in the United States.[10]

The usage metrics are equally impressive. Fifty percent of Facebook’s

population visits the network on a daily basis. An average user will

visit the network 40 times per month and spend over 15 hours on-site.

Even the demographics appear favorable for marketers. The 18 to 34 set

makes up just over 50% of users, with the coveted 35 to 54 market close

to 30%. In addition, women have a 10% stronger presence than their

male counterparts.[8]

650million users

900million pages, events & groups

85%of all social media activity

770billion page views per month

Facebook's growth, in just a few years, is nothing short of staggering

30pieces of shared content

BIL

LIO

N

60% 39% 20%

Facebook's users age groups

UNDER 30YEARS OLD 30-49

YEARS OLD50-64YEARS OLD

Female presence is stronger than counterparts by10%


While totals and average metrics are valuable, it is important to

understand addressable market and user activity. The factors that

ultimately drive social media performance for restaurants. Of that 750

million users, fewer than 25% reside in the U.S. Further, American users

are not equally distributed. The top 10 U.S. states represent nearly 55%

of the country’s total Facebook population. California, Texas and New

York all have over 10 million members on the high end, while another

15 states have below one million users on the low end. These population

segments are further concentrated around major metropolitans.[11]

The demographic and usage figures are also a bit cloudy. It is true that

the average age of a Facebook user is in the mid thirties. Yet, in the U.S.

that number is closer to 25. Overall network usage is further skewed

toward the younger cohort. For 60% of online users under 30, a typical

day includes social media. Compared to 39% for those 30-49 and 20% for

those 50-64. Users under 29 are more apt to access the site via mobile

device, share more content and have more friends.

Facebook Profile Activity By Age

Friends

Teens

20’s

30’s 40’s 50’s

Wall Posts

Teens

20’s

30’s40’s

50’s


Not to mention that Pareto’s Principle is alive and well on Facebook.

Eighty-seven percent of daily activity is generated by just 27% of the

user base. (A metric even more skewed on Twitter, with 50% of tweets

reported to be generated by just .05% of the members. Which translates

to 70 million daily tweets from a pool of only 20,000 users[12]). Gender

too plays a role in activity. Though both average 130 friends, women

receive 55% more wall posts than their male counterparts. And of those

130 friends, both genders communicate with just 4-7 connections on a

regular basis.

facebook twitter

87% 50%

activity is generated by 27% of the user base

activity is generated by0.5% of members

55% 70MILLION

of women receive more wall posts than males

daily tweets from a pool of 20,000

5%People comminicate with 4-7 friends oon facebook daily.130 friends is average for men and women


BuSIneSS uSerS:

On the business side, brands are struggling to master the Facebook page.

While 64% of those on Facebook have “liked” a brand,[13] the average

“like” count per page is below 700. Even a mega brand like McDonalds is

having difficulty tapping its consumer base. Its current “likes” comprise

less than 1% of its estimated customers (just .0046% following on

Twitter). In fact, only seven restaurant brands have more than 1 million

connections on Facebook. [14] In contrast, within Fishbowl’s client roster

alone, ten brands have guest email databases exceeding that mark.

Facebook pages in general are a work in progress. The average user

follows 9 pages. Yet, of those that “like” a page, 96% never return. Just

one in every two hundred page comments come from the page itself.

who

“lik

e” a

pag

e do

n’t r

etur

n to

it

fans

don

’t se

e st

atus

upd

ates

Facebook pages in general are a work in progress. The average user follows 9 pages. Yet, of those that "like" a page, 96% never return. Just one in every two hundred page comments come from the page itself. The other 199 come from fans' interactions in the newsfeed. Further complicating matters, the average Facebook page ranks quite low in the newsfeed algorithm. Which translates to between 50% and 70% of a brand's fans not regularly seeing status updates. Another 38% of users that "like" a brand's page, manually hide ongoing page updates. [15]

96%

50%

38%

The averageFacebook user follows 9 pages

“like

” pag

es h

ide

ongo

ing

upda

tes

fans

who

“lik

e” a

pag

e ne

ver r

etur

n


The other 199 come from fans’ interactions in the newsfeed. Further

complicating matters, the average Facebook page ranks quite low in

the newsfeed algorithm. Which translates to 84% of a brand’s fans not

regularly seeing status updates. Another 38% of users that “like” a

brand’s page, manually hide ongoing page updates.[9]

A few key dynamics may be at the root of these page challenges. For

96% of users, Facebook is still considered a private place reserved for

personal interactions. Of those that do interact with brands, some 77%

are first looking for incentives. Which helps to explain why 75% of fans

have been driven to follow a brand by advertising, versus fewer than

50% that have sought out a business page.[15] Further, those incentives

are not necessarily driving new sales, as 84% of page “Likes” come from

a brand’s existing customers.

Despite the slow start, the future of business pages on Facebook still

appears bright. Fifty-one percent of Facebook fans say they are more

likely to purchase products from brands they “Like.” Another 60% are

more likely to recommend the brand to others. Forty-two percent have

“liked” a brand for the sole purpose of showing their brand support

to other members. Not to mention, a negative stigma is beginning to

develop towards companies that are not social media savvy.


email & SoCial ToGeTherMarketing departments across the restaurant industry are having the

same board room debate. “Should we invest more money in email or shift

to social media?” The smart ones will split the pot. The two technologies

have a great deal in common, so it’s quite easy to understand why they

are butting heads in the budget. But, it is their differences that make

them such strong partners. When used in concert, email and social

media create a powerful customer experience, beyond that which either

can produce on its own.

BeTTer GueST ACQuISTIon:

Email is the undisputed leader when it comes to communicating with

existing guest. Its efficiency is unmatched, returning over $40 for each

dollar spent. Yet, email is not without its limitations. The channel does

not offer an effective means for identifying and acquiring new guests.

email & social media create a powerful customer experience“

-Scott Shaw, Ceo Fishbowl


The nearly one billion social network users, on the other hand, offer

a target-rich environment for discovering and capturing prospective

customers. Sites like Facebook provide the functionality to target users

by proximity, demographics and even interests. They also supply the

technology to develop sign-up forms, offer special incentives and manage

exclusive events. Couple these traits with social media’s inherently viral

nature, and the result is a powerful prospect engine for restaurants.

DeePer CuSToMer reLATIonSHIPS

Effective online marketing hinges on relevance. Relevance requires a

deep understanding of more than just guest demographics. Preferences,

opinions and behaviors are much more valuable data points. Using

email and social media in tandem can provide a complete picture of

database members.

Simply extending the number of communication channels can help to

improve marketing performance. In a connected society, where close

to 75% now multi-task while watching TV[3], it is a challenge to create

marketing that breaks through. Consumers do not neatly differentiate

between email and social media like your marketing plan does. They

jump back and forth effortlessly, across multiple devices, using the

solutions interchangeably. The ability to strategically message across

multiple opt-in channels, like email, Facebook and Twitter, improves

the chances of achieving that relevance.


More PoWerFuL CAMPAIGnS

For those ready to purchase, an email is all it takes to close a sale. Which

explains why most email marketing is transactional, chock full of coupons

and other high-value promotions. But what about those customers that

need some convincing? How do you launch a new menu item, promote

special events or simply achieve top-of-mind through the inbox?

Traditionally, the answer has been pay an agency to develop a complex

landing page. However, social media now fills many of the gaps in

email’s functionality. Show off hi-res food shots, stream video and audio

content, manage events, and even “gamify” promotions. Unlike expensive

landing pages, social media achieves all of this in an environment that

is inherently viral.

CoMPLeTe AuDIenCe oWnerSHIP

Social media is a tool. Email, on the other hand, is an asset. In the swelling

sea of social networks, multiplying devices and evermore fragmented

audiences, a restaurant’s guest database is an increasingly valuable

commodity. It enables a wholly-owned, private advertising network,

comprised of the most responsive and valuable customers.

Facebook is the 800-pound social gorilla. But no matter the number of

fans, a Facebook page is still governed by Mark Zuckerberg and his crew.

A restaurant’s following is always just a policy change away from being

rendered useless. Plus, history shows that internet leaders can come and

go without warning (just ask MySpace). In the end, driving followers to

an email database actually safeguards social investments.

how we help yoUr reSTaUranT:Fishbowl has helped our restaurant clients opt in nearly 80 million

guests. Our technology, managed services, and creative resources

currently serve 250 chains and 40,000 restaurant locations.

FISHBoWL enTerPrISe eMAIL

Fishbowl Enterprise Email includes features that are tightly integrated

with today’s most popular social networks. Social Sharing Buttons make

it easy for guests to share your restaurant’s offers and promotions across

Facebook and Twitter. Our Social Follow buttons help to establish your

restaurant’s social media presence, extending your guest relationships.

These features integrate with Fishbowl’s exclusive Local Store Marketing

solution, dynamically inserting the social information from each

customer’s preferred location into email messages.

FISHBoWL GueST ACQuISITIon

Fishbowl Guest Acquisition uses online advertising channels to seek out

and capture prospects, specifically targeted for your restaurant. Across

social networks, we target by demographic traits, behaviors and even

relationships. Reach the friends and family of your existing customers

and target your competitors’ social connections. Best of all, the service

is entirely pay-for-performance. You pay nothing for impressions, just a

low, fixed fee for each email address added to your database.

For more information...

visit Fishbowl.com or call 800.836.2818

referenCeS[1] (http://www.brafton.com/news/mobile-and-social-users-ready-made-email-marketing-

recipients-800432805)

[2] http://blog.cmbinfo.com/email-and-facebook-dominate-social-sharing/

[3] (http://www.brafton.com/news/mobile-and-social-users-ready-made-email-marketing- recipients-800432805 )(http://digitaldaily.allthingsd.com/20110121/upwardly-mobile-e-mail-usage/),

[4] (Chart: Nielsen Co. - U.S. Mobile Internet Time by Category)

[5]- Merkle, ‘View from the Social Inbox’ http://www.kikabink.com/news/social-media-users-love-their- email-too/

[6] http://blog.deliverability.com/2011/03/what-binds-email-facebook-and-twitter-users-all-of-them- hate-spam.html

[7] http://www.foreseeresults.com/news-events/press-releases/social-media-do-results-justify- investment-u.s.-2011-foresee.shtml

8] http://www.digitalbuzzblog.com/facebook-statistics-facts-figures-for-2010/

http://facebookflow.com/amazing-facebook-statistics/

[9] http://www.socialtechnologyreview.com/articles/50-facebook-stats-every-marketer-should-know

[10] http://www.onlinemarketing-trends.com/2011/03/facebook-accounts-for-25-internet.html

[11] http://5.mshcdn.com/wp-content/uploads/2010/12/fb-relationships-full.jpg

http://www.socialbakers.com/united-states-facebook-statistics/

[12] http://www.huffingtonpost.com/2011/03/28/twitter-study-statistics_n_841666.html

[13] Hubspot Inbound Marketing Presentation

[14] http://spaceagencynotes.blogspot.com/2010/09/why-social-media-is-not-in-c-suite-of.html

http://www.socialbakers.com/facebook-pages/brands/tag/retail_food/?interval=last-2-weeks#chart- intervals

[15] http://www.slideshare.net/lautierc/ddb-opinionway-facebookenglishshortversion

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Email & Social mEdia: The Untold Story - Fishbowl marketing … · Email & Social mEdia: The UnTold STory 6 Behind The SoCial media nUmBerS ConSuMerS: Email may have the upper hand