How will Facebook Impact on the General Marketing Mix in 2012?

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Will Ashton, Managing Director, Alchemy Social

Will Ashton, Managing Director, Alchemy Social

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  • Around 35 Billion Hours are spent on FB every month (source: comScore)Nearly 16% of all time spent online is spent on FB (source: Citi Investment)So… 5.6 Billion hours a month is spent on Facebook.
  • Facebook advertising revenue has more than doubled every year since ads were first displayed (Source: eMarketer.com).Average user engagement with ads has increased by 4% over the course of 2011 (Source: Alchemy Social)Step 1: The launch of sponsored stories saw a delayed increase of around 2%.Step 2: The launch of RBO saw another Previous slide: Time spent on the internet continues to increase, proportion of online time spent on Facebook continues to increase. This slide: Business reliance on FB advertising is increasing, user interaction with FB advertising is increasing. The implication is that strong to exponential growth is expected for 2012.
  • Step 1: Outbound marketingStep 2: Very little information on audience before they purchaseStep 3: Very little information on the motives behind choosing a competitorStep 4: Success had no guarantee of continued communicationStep 5: Inbound and responsive marketingStep 6: Engagement phase provides insight into potential consumersStep 7: Interaction provides insight into decision to choose a competitorStep 8: Better targeting means more business for less.Step 9: Permanent link to customer.
  • “…It is the one that is most adaptable to change.” Charles DarwinCase Study Cobone.An example of how by adapting their websites to suit their users expectations (continuity) rather than their own requirements (data collection) ultimately results in more business and a higher willingness to share information and purchase.
  • Step 1: Print. Hit and miss advertising, limited targeting. No way to measure ROI definitively.Step 2: Broadcasting. Almost no targeting. Same issue with ROI measurement. [both 1 and 2 are extremely expensive]Step 3: New and social media. Birth of cost efficient inbound marketing (refer to previous slide.)Step 4: …
  • Step 1:Timeline induces people to share events, likes and other information (from before they joined Facebook) for which there was no medium to convey beforehand.Step 2: More intuitive ways to share interactions with brands eg Check in.Step 3 and 4: All this information can be used to generate sponsored stories (displayed: check-in [Step 5]; page post like [Step 6]; used app [Step 7]; and domain [Step 8]).
  • Step 3: Print sales in 2011 were 45% of what they were in 2006. In response we’ve seen the launch of social, tablet and smart phone newspaper apps.Step 4: Radio and TV have also begun to make the push towards joining the social ecosystem.
  • Facebook’s advertising revenue is expected to increase by 50% in 2012.With traditional forms of media throwing their lot in with social, we expect user interaction levels to increase at an even higher rate than before.The number of total active Facebook users is expected to hit 1 Billion in August this year.With internet TV and social newspapers, the average time spent on Facebook will increase.

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  • 1. VS. ? ? Two Way i 42 Communication? ? 33 F 25 Pro M M More wins with a greater Pro Student The occasional win with no understanding on why way of knowing whose business is lost and who your business you’ve lost or to ? whom. competition.?