Stay Relevant on Facebook with Paid Content

© 2015 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.
Organic reach is dead: How to stay relevant on Facebook with paid content
Paul Langtry | Sr. Manager

2
Paul Langtry
Sr. Manager @ Adobe
plangtry@adobe.com
@lotsalax

3
Key Takeaways
Organic alone will not
maintain your brand
presence
1 Strong creative is also
the key to paid content
success
2 Facebook Audience
Insights changes
everything
3

4
Increased engagement alone
cannot overcome
declining organic reach

5
1. What are the Market trends?
2. Have a Plan
3. Levers for Success
4. Let’s Measure!

The Changing Landscape of Social Advertising
6
1.790 Billion
active social media users in 2014*
227.5M
worldwide will use
Twitter in 2014*
1 Billion
worldwide will use Facebook in 2014*
67%
Mobile reach
(February, 2014)*
70%
of Marketers increasing
social ad spend in 2014**
* eMarketer, Global Social Media report 2014; ** Gartner, CMO Spend 2014

Social advertising is quickly becoming mainstream
7
US leads
with45% ad
share
Social ad
share will
reach 15%
Social ad
market will
reach $25B
by 2016
* eMarketer, Global Social Media report 2014

(Millions)
Ad Spend Worldwide by Social Network
8
Facebook
dominates
with 68% in
2014
Social ad
market will
reach $25B
by 2016
Other
* eMarketer, Global Social Media report 2014

Facebook post impressions
ADOBE DIGITAL INDEX | Global Digital Advertising Report Q4 2014
9
Retailers increased marketing
eﬀorts on Facebook during the
holiday season.
The findings:
• Posts: In retail, up 64% YOY; up 31%
QOQ.
• Paid impressions: In retail, up 13% YOY;
up 53%

Growth of Facebook Posts
10
Source: Adobe Q3 Digital Index Report, 2014
A decrease in organic impressions has led to an increase in posts as
marketers look to find a balance between paid and organic posts to
reach their fans and beyond.
Proving ROI now more important than ever.

32%
YOY
100%
DEC
201
3
DEC
201
4
MAR
201
4
JUN
201
4
SEPT
201
4
FACEBOOK AVERAGE ORGANIC POST IMPRESSION GROWTH
Facebook post organic impressions
11
Organic impressions from Facebook posts
continued to drop. However, some post types
did better than others.
The findings:
• Organic impressions from Facebook posts were down
32% YOY.
• Video posts performed the best for organic impressions,
flat YOY.
• Text posts were aﬀected most by algorithm changes,
down 60% YOY.

Facebook post share by post type
12
Links were on the move after
updates from Facebook.
The findings:
• Link share of posts was up 68% YOY.
• Images share of posts was down 15% YOY.
• Videos share of posts was up 52% YOY.

Facebook post interaction rate
13
Post interaction rates increased in
retail and for video and link-
based posts.
The findings:
• Interaction rates for Facebook posts from
retail brands were up 14% YOY.
• Interaction rates for links were up 36% YOY.

4%
2%
Facebook post interaction rate by day
14
Facebook Friday—Highest percent of interaction rates, post impressions, and posts occurred on Friday.
The findings:
• Interaction rates were 15% higher on Friday than any other day of the week.
• Brand post impressions were 18% higher on Friday than any other day of the week.
• Brand posts were 28% higher on Friday than any other day of the week.
• Shares and likes happened on Friday more often than any other day of the week.

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2. Have a Plan
4. Let’s Measure!

Have a plan
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3 | Measure your data. A single source
of truth to measure your performance
1 | Ensure you plan is aligned across the
organization
2 | All teams must have the same
ultimate business goal

Think Business, not Social Goals
17
Social Objective:
• Acquire X number of fans
• Acquire X number of
followers
• Achieve X engagement
Business Objective:
• Drive brand awareness
• Drive preference
• Drive loyalty
• Drive trial
• Drive sales

CONVERSION Brand & Product-Specific Search Keywords
Product Listing Ads (PLA)
Retargeting Lists for Search Ads (RLSA)
Display Retargeting
Product Retargeting
LOYALTY
PROSPECTING Generic Industry Search Keywords
Content Network – Image & Text Ads
Conquesting (Competitor KWs)
Location Targeting
Sponsorships
Premium Display
Private Marketplace
Open Marketplace
Look-a-like Models
3rd Party Behavioral Data
Business Objectives
18
Search DisplayDigital Advertising Channels

LOYALTY Fans
Custom Audiences
CONVERSION Facebook Exchange (FBX)
Custom Audiences – CRM, Website
Right Hand Side - Domain Ad
----------------------------------------
Link Page Post + FB Audience Network
Mobile App Install + FB Audience Network
Offers Page Post; Multi-product ads
Logout Experience (LOX)
Reach & Target Blocks
Local Awareness
---------------------------------------
-
Look-a-like Audiences
Photo Page Post
Video Page Post
PROSPECTING
Business Objectives
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FacebookSocial Advertising

20
2. Have a Plan
4. Let’s Measure!

Understanding the levers that influence Social ROI Success
21
Levers
Placement
Ad FormatTargeting
Optimization

Understanding the levers that influence ROI Success
22
Levers
Placement
Ad FormatTargeting
Optimization

Placement & Ad Format - Facebook
23
1,073
897
402
216
$-
$20
$40
$60
$80
$100
$120
$140
-
200
400
600
800
1,000
1,200
Offer RHS Marketplace Link Post Photo Post - DR
FB Ad Formats
CT Sign Ups CPAAcquisition
Offer Page Post
(News Feed)
Domain ad (Right
Hand Side)
Link Page Post
(News Feed)
Photo Page Post
(News Feed)
Facebook Ad Format / Placements
Best Practices
 Shift placements to the news feeds as the primary
real estate and capture growing mobile inventory
 Using ads in news feed yields 3x conversion rate
compared to Right Hand Side (RHS) Source:
Facebook
 Support with RHS (desktop only) to drive
incremental scale
For an eCommerce client
 65% of acquisitions were from news feed
 Offer Page Post in news feed delivered a CPA that
was 2.6 more cost-effective in driving acquisitions
compared to RHS

24
Levers
Placement
Ad FormatTargeting
Optimization

Leverage data to target more of the right people
25
Past Web
Purchasers
CRM
database
Demo Geo
Interest /
Lifestage
Device
O/S
Your Data Core Audience Data

Facebook Audience Targeting
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Core
Audiences
Leverage native targeting
options with Facebook
Lookalike
Audiences
Find more people like your best
customers
Custom Audience
Tailored Audience
Reach the people you
already know
Custom Audiences

Custom Audiences
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FACEBOOK
Email
Phone #
Website, Mobile
User ID
Existing 1st Party Data Encryption & secure upload Match to Network Users Target ads against segments
* Not available via Facebook Power Editor. Available via Adobe Media Optimizer.

Facebook Audience Insights
28
View trends from:
•People on Facebook (the general Facebook
audience)
•People connected to your Page or event
•People in Custom Audiences you’ve already
created (an audience made up of your current
customers)
 Tap in to Facebook’s vast
wealth of demographic and
psychographic data to craft
you’re campaigns

Case Study – Audience Targeting
29
LEAD GENERATION FOR EDUCATION CLIENT
 Look-a-like audiences generated from custom
audiences compared to core native targeting on
Facebook
to standard Facebook campaigns
 Website Custom audiences compared to core
native targeting on Facebook
to standard Facebook campaigns

30
Levers
Placement
Ad FormatTargeting
Optimization

Summary of Facebook Bid Types
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Bid Type Paying For FB Optimization Goal Best Use Case Guideline
CPM Impressions Impressions
To maximize effective reach of your target audience
Target high value Custom Audience as traffic driver
CPC Clicks Clicks
To drive high volume traffic to website
When no FB conversion pixel on an action is implemented
oCPM Impressions Conversions
When FB conversion pixel is implemented & you want to
show ads to those likely to convert. oCPM Influences
effective reach with DR in mind
CPA Actions Actions To encourage users to take action within your ad e.g. page
like, link clicks, mobile app install, offer claim
TEST & EXPERIMENT DIFFERENT BID STRATEGIES TO REACH THE RIGHT AUDIENCE & DELIVER ON KPI GOALS

Another advantage to Facebook bidding is unique digital identity
32
Sees Facebook
ad on mobile
40%
research
products on
smartphones 2
Purchases
product on
desktop
32%
of mobile-attributed
conversions occur
on desktop 3
Shops in
store
65%
access mobile
while shopping
in-store 1
Research
continues at
home on
tablet
41%
switch devices
to continue a
task 2

33
Facebook
oCPM
Bidding
Adobe
Portfolio
Optimization
Increase
Scale &
Gain
Efficiencies

Optimization – Bid and Budget Best Practice
34
Manage manually with Facebook Power Editor
 Do not change oCPM bid more than 3-4 times a day
 Leave at least 2 hours in between changing bids for Facebook pacing to learn
 Consider impact of budget changes on pacing
Automate with a strategic Facebook Marketing Partner (Adobe)
 Remove suboptimal manual bid and budget decisions, drive efficiencies
 Optimize to best performing targets
 Allow focus on creative and targeting definition

35
RETAIL CUSTOMER
 Increased mobile app installs by 28% while
cutting 25% from the cost of each install

36
FINANCIAL SERVICES CUSTOMER
 Drove 222% more website clicks at 9% lower
CPCs and increased the lead conversion rate by
128%
Website Clicks
CPCs
Conversion Rate
+222%
-9%
+128%

Optimization – Creative Best Practices
37
8x more
Facebook creative sensitivity in news
feed compared to Google AdWords
5 to 10
creative combination
per message to test
Better creative = Better CTR
Results in lower CPC & CPA
(10-30%) More clicks / actions for the
same budget
Mix product
with lifestyle
messages
Promote prices,
special efforts,
discounts in text
Run news feed ads with great creative.
Supplement with RHS ads if necessary for additional frequency

Case Study – Creative Performance & Optimization
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ECOMMERCE CUSTOMER
Top performing creative included a mix of product, lifestyle benefits and motivational messages

39
2. Have a Plan
4. Let’s Measure!

40
Levers
Placement
Ad FormatTargeting
Optimization

Measurement Best Practices – By Objective
41
Brand
building
 Nielson OCR for online reach, XCR with TV
 Nielson BrandEffect for Resonance
Online
Sales
 Network Conversion Pixels, View through lift tests and Cross-device
 Unify digital ads management, tracking and use consistent attribution rules
 Track all activities through a Web analytics platform
In-store
Sales  Datalogix CPG, Marketing Mix Modelling for CPG and Retail
Mobile
Apps  Facebook SDK and 3rd party mobile SDK partner
*

Case Study – Measurement Online Sales
42
EDUCATION CLIENT
Facebook
delivers scale
compared to
other DR
channels
Facebook can
be even more
cost-efficient
than Generic
SEM

Case Study – Measurement for Online Sales
43
ECOMMERCE CLIENT
$0
$5
$10
$15
$20
0
10,000
20,000
30,000
Brand Generic Display & Retargeting Facebook Off Platform
Email Leads CPL
Facebook
delivered
>1600% more
leads vs.
Generic SEM
Facebook
delivered 92%
lower Cost per
leads vs. Brand
SEM
$0
$20
$40
$60
$80
$100
0
5,000
10,000
15,000
Brand Generic Display & RetargetingFacebook Off Platform
SignUps CPA
Facebook
delivered 182%
more acquisitions,
21% lower CPA
vs. Generic SEM
Facebook
delivered scale
even compared
to Display
channels

Case Study – Measurement and Attribution
44
ECOMMERCE CLIENT
FB_Offer
Search_Brand
Display_Retargeting
Display_RON_VT
FB_f_fof_and categories_Custom
Audiences
Search_Generic
Introducer Influencer Closer
Strong
Influencers
Strong Introducer
Strong
Closers
54% of conversIons
involved multiple touch
points
Facebook Offers Page
Post was the strongest
‘closer’ after Brand SEM
Other Facebook
activities played equal
importance in top,
middle & end of funnel

Case Study – Measurement and Attribution
45
ONLINE SERVICES CLIENT
t

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Key Takeaways
Use
1 2
Embrace oCPM
bidding
3Utilize Facebook
Audience Insights to
frame your campaigns
Test Custom Audiences
& Look-a-Likes

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Stay Relevant on Facebook with Paid Content

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