BA 319 – StatisticsFinal Presentation By: MajedAlsalhi Osama Hameed Sary Abu Nijem Todd Garey
Introduction In today’s business environment, the ability to prove effectiveness and maximize the return of online marketing efforts at each step of the planning, execution and evaluation process is a necessity, and the ability to benchmark your campaign efforts by reviewing delivery against your goals is crucial. Whether driving traffic to a content website or marketing products and services through the Internet, successful marketers require superior consumer insight to help them design successful marketing strategies, minimize risk and maximize revenue.
Introduction According to ComScore’s Ad Metrix data, social networking sites such as Facebook and Twitter hosted 13.8 billion online advertising impressions in August this year. Over 25% of the advertising market online.
Introduction eMarketer estimates of revenue from 2009 to 2011, expressed in billions of dollars (including year-over-year percentage gain). Facebook's U.S. and international ad sales are the biggest driver of growth. Credit: eMarketer
Introduction Earned media takes center stage. Marketers will look for better ways to manage and measure the impact of earned media. The additional free exposure that a brand gets when consumers talk about a brand online or share information about their interactions with it.
Introduction Social combined with search will yield better results and more ad opportunities. Search will meet social by incorporating real-time content (e.g., tweets from Twitter and status updates from MySpace and Facebook) into search results, adding information from social network friends to search results, and using collective information from other Web users to hone search relevancy. These trends will yield new ad formats—and will raise new red flags for privacy advocates.
Current statistics showing how much those online advertisement are spending on different kind of social network websites.
Social ad networks will expand. Expect more momentum behind advertising that is targeted based on information from social network user profiles.
Introduction Some social networking websites clearly do work, in the sense that they attract significant traffic. Users become dedicated and loyal, working with or playing with the website frequently, and even forming lasting friendships with other user. Advertising in those social network website have a huge impact.
Introduction Hypothesis(es); Does advertising online impact the perception of those products/services on different genders? Social Network Advertising; Annoying or Effective? Will this new trend will catch more attention than the traditional advertisement?
Target Audience College students who have a social networking website Facebook Myspace Twitter
Sampling Plan We collected 8 one-on-one interviews We also collected at least 45 online questionnaires.
Method of Survey Administration Our one-on-one interviews were personal interviews Our online questionnaire was performed by making a survey at surveymonkey.com
Summary of Respondents Online questionnaire asked 8 questions What is your gender? What is your level of education? What is your favorite networking website? How many hours per day do you spend on social networking websites? Do you pay attention to social networking websites? Have you ever clicked on an ad from a social networking website? Have you ever purchased a product/service from an ad on a social networking website? In your opinion, how effective is advertising on a social networking website?
Summary of Respondents One-on-one interviews asked 3 questions Has an advertisement on a social networking website ever caught your attention? If so what was the service/product? Has social media become overly addicting? Why or why not? Do you feel that advertisers take advantage of your demographic information and target their ads appropriately?
Statistics What is your favorite social networking website?
Statistics Have you ever clicked on the advertisement of a service/product on a social networking website?
Statistics Have you ever purchased a service/product from an advertisement that you clicked on?
Statistics How many hours per day do Males spend on social networking websites?
Two Sample Proportion Test HYPOTHESIS TESTS x-value sample 1 - 17 x-value sample 2 - 10 proportion 1 - 54.8% proportion 2 - 90.9% pooled proportion = 0.643 sample size 1 - 31 sample size 2 -11 Males Females std error = 0.168 Does gender effect how often someone pays attention to advertisements on social networking websites? NULL: p >= p2 Gender does NOT effect how often someone pays attention to advertisements on social networking websites ALTERNATIVE: p1<p2 Gender does effect how often someone pays attention to advertisements on social networking websites
Two Sample Proportion Test one-tailed or two tailed? test statistic (obs) = (2.145) critical measure = 1.645 |obs| > critical? Yes p-value = 0.02 a-level = 0.050 p-value < a-level? Yes Reject the NULL, gender does effect how often someone pays attention to advertisements on social networking websites
Questions To Be Answer Does gender has an effect on social media? Does level of education has an impact toward social media? Do certain gender has a favorite networking website? Does advertisements effect gender on the social networking websites? Does gender influence purchasing a service/product from an advertisement on social websites ?
Chart # 1 Level of Education 0 = Female 1 = Male
Regression Analysis Correlation between (Gender & Level of Education)
Regression Analysis Correlation between (Gender & Hours Spent Online on Social Network Websites)
Regression Analysis Correlation between (Gender & Effectiveness of Advertisement on Social Network Sites)
Regression Analysis Correlation between (Gender & If It Influence the Purchase of Products or Service from Social Network Sites)
Conclusion Relevant findings: Social networking websites hosted13.8 billion online advertising impressions in August this year alone Facebook is the leader in advertising, they spent $850 million and accounted for 54% of all advertising among social networking websites Males pay less attention to advertisements than females Individuals can spend up to 10 hours per day on facebook 17 of 45 individuals who have a social networking website, click on an ad
Conclusion Impact of our findings: Our findings prove that social networking websites attract significant traffic Facebook is clearly ahead of the rest of the pack when it comes to social networking website advertising Myspace decreased its advertisement in the U.S. by 23% last year Of the 17 individuals who clicked on an ad from a social networking website, 4 purchased the product of service
Conclusion Suggestions for improving this study: We suggest companies should increase advertising on Facebook and decrease advertising on Myspace Advertisements should be directed more towards females because they are much more likely to pay attention to the ads