Why Facebook will become the centre of your marketing strategy and what you can do about it

Why Facebook will become the centre of your marketing strategy

And what you can do about it

Jamie Riddell CEO Digital Tomorrow Today

@jamieriddell

Global Facebook

687 million global users (end of June 2011)No other social network is CLOSE!

National Facebook

Facebook is ranked 2nd in the UK most popular sites:

• 1. Google (33.9 million) • 2. Facebook• 3. MSN/WindowsLive/Bing (26.2 million) • 4. BBC• 5. Yahoo!• 6. YouTube• 7. Amazon• 8. Microsoft• 9. eBay• 10. Wikipedia

Source: Neilson June 2011

Local Facebook

• 60,000 people in Ipswich (+18 km radius) • 51,280 people in Colchester (only) • 3,700 in Stowmarket • 122,360 in Norwich

That Facebook Drop

• 687 Million Users!! • A small drop is not the beginning the end, but

the start of mainstream maturity • Expect measurements of dwell time, stickiness

and horizontal integration to be the future metrics

• Just like Microsoft, Yahoo & Google before them…

How Facebook will Directly Affect your marketing

• In this section we review how your current online marketing activity will be affected directly by Facebook

• The subsequent session will deal with how Facebook will indirectly affect your marketing

Facebook Impacts as a marketing platform • Facebook’s size of audience means we need to be

there

• The continued success and growth of Facebook [in part] comes from its ability to offer a wide basket of marketing solutions

• Combining audience size with opportunity and the power of social recommendation makes Facebook an attractive marketing opportunity

Media Spend Grabs Attention

• Ad Spend on Facebook grows 280% in one year

• 31 % of all US Ad Impressions appeared on Facebook

• Next biggest was Yahoo with 10.1%

• Major brands & small businesses now harnessing Facebook for advertising

The Power of Social Recommendation

• Facebook was early to adopt social advocacy as a core part of its marketing offering

• Brands that have a presence on FB will benefit from higher response rates when coupled with social advocacy

Your Display Advertising• Display advertising can work for both brand

awareness and profitable response campaigns

• Facebook opportunities combine these options with the social advocacy and targeting options

• New solutions are being rolled out to boost display with other Facebook attributes

• This latest unit ‘Conversations’ allows brands to instigate conversations which boost engagement with the brand and sharing with friends

Your Customer Retention (CRM)

• CRM is more than just sending emails • Facebook covers both angles:

– ‘Fan’ Pages allow brands to connect with their audience and interact by engaging, sharing and rewarding their fans

– Facebook Message Center will start to impact ‘traditional’ email campaigns

Your email address will be defined by your vanity urlwww.facebook.com/messages

[email protected]

Your Customer Engagement

• Fan Pages can keep your customers engaged

• Facebook Groups offer the opportunity for creation of consumer pools

• These could be used to discussed one aspect of a business that is not relevant to the majority of fan page followers

• These could be VIP’s or special groups for new product development

• A group is more about collaboration than ‘broadcasting’

• Bing Facebook tie up was the first to bring social flavored search results

• Looking for a new mac? The search results will be flavoured with personal recommendation

• If you sell macs, ensure people are ‘favouriting’ your site or Fan Page

• Bing search results will also start to appear in Facebook

Your E-Commerce

• Hello F-Commerce

• Using solutions such as Wishpot, Payvment & BigCommerce are helping small businesses sell directly on Facebook

• These tools also offer the opportunity for social sharing and discounts

• All offer Credit Card and Paypal Methods of Payment

F-Commerce Stats• The The top 3 brands on Facebook (by fans) all sell directly on

Facebook - Coca-Cola (24m), Starbucks (20m) and Disney (19m)

• f-store conversion rates are on a par with web-stores at 2-4% (avg. 3.4%, according to Forrester/Shop.org)

• Facebook users spend 1.5x more online that other Internet users

• Facebook users now spend 1/3 of their online time on Facebook.

• 17% of Facebook users who say simply having the ability to ‘Like’ a brand makes them more likely to buy

Facebook Credits• Credits are coming

• The ability to buy virtual and real goods on Facebook with their own currency

• Massive potential to offer another convenient method of

purchasing

• Potential to offer credits are rewards for engagement, sharing or more

• The ability to buy credits over the counter opens up the younger and lower demographic audiences for online purchasing

Your Mobile Strategy

“There are more than 200 million active users [40 percent] currently accessing Facebook

through their mobile devices.

People that use Facebook on their mobile devices are twice as active on Facebook as non-

mobile users.”

Facebook, January 2011

Mobile Updates

Facebook Mobile

• Facebook, Google, Maps & Weather apps are the most popular downloads in the USA

• Facebook access on mobiles also grows to impact check ins through Facebook Places

Facebook Places & Deals

• Places offers the consumer an ability to check in and share their location

• Offers brands the ability to:– ‘Own’ their location – Understand more about their visitors– Offer social promotions and incentives

Mobile & F-Commerce

• In two years time I expect to pay for my coffee through my phone

• This could be a combination of:

– NFC enabled ‘phone– F-Commerce & Credits

• Its already happening with Hyves in Holland

Your Offline Strategy

• Let your customers know you are on Facebook

• Don’t just add the sticker

• Give them the link

• Tell them what benefits they could have by following you on Facebook

• www.facebook.com/digitaltommorrowtoday

Future: In Game Branding

• For example, IAMPLAYR football game offers ‘real’ rewards for the virtual game and real brands in the game.

NB – it’s still in private Beta but we can get you an invite

Facebook impacts the wider industry

Bing Facebook

• Bing are working to broaden the Facebook integration of search results

Your Own Site

• Facebook can now improve your own site

• Facebook Badges for connection

• Facebook Comments • Facebook Insights

Google +1

• The Facebook Like ‘Killer’ – same principle• + 1 allows Google users to ‘vote up’ their favourite

site, page which then impacts your search results • In time this will also impact quality scores & how

much you will pay for AdWords

Liking becomes a standard measurement

Google + • Circles – share content with various groups of friends, such as colleagues,

family or classmates. In this way, you can share content relevant to that particular group of contacts.

• Sparks – gather and enjoy content based on your interests and likes. Sparks will collect the content for you based on what you’re interested in, so that you always have a steady stream of content to enjoy and share.

• Hangouts – connect with friends in a new and unique way. Instant Messengers don’t always fit the bill, but Google believes that Hangouts will. Google+ allows for fluid, enjoyable on-screen hangouts with your friends.

• Mobile – Google+ will be fully integrated into your device, utilizing your phones basic functions (GPS, Camera, etc) to create an immersive mobile Google+ experience.

What You can do about it

Embrace It

• Facebook earns its relevance through scale alone

• Look at the opportunities that work for your business and aims

• Try some of the elements on Facebook and off Facebook

• If you have a log in requirement, maybe offer Facebook login as well (not instead of)

• Add Facebook Insights to your site, in addition to other reporting mechanisms

• Ensure your customers can find you wherever they wish to

But not too much!

• Remember ’being on Facebook’ IS NOT a marketing strategy

• Other channels are still available– Twitter – Paid Search – Natural Search – Display Advertising

• They all have a role to play depending on the requirement

• They all work depending on the costs!

Ownership

• If Facebook is where the fish are you need to be fishing there

• BUT the fish move on sometimes – Shall we talk about Bebo, Myspace?

• Mr Zuckerberg owns the fishing rights and can change the rules rapidly

• Work hard to ensure Facebook connections become real connections – mailing lists, contacts, leads – things you can own away from Facebook

WHAT DID I FORGET?

Any Questions?

• Presentation will be available on www.facebook.com/digitaltomorrowtoday www.facebook.com/SuffolkDigital

• Please come and say hi• Please Share !