Social Network Advertising

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hussein_fazal

Presentation on the current state and future of the Social Network Advertising industry - with a focus on facebook.

Technology

Social Network Advertising Hussein Fazal [email_address] “ In 2008, if you’re not on a social networking site, you’re not on the Internet.” - IAB Platform Status Report, April 2008

Social Networking - Reach of Web population Source: comScore Inc, Worldwide Feb’08, All Locations, Persons 15+ 53.7% 15,794 29,412 Germany 52.0% 17,583 33,813 France 84.3% 18,181 21,567 Canada 76.7% 25,502 33,249 United Kingdom 66.4% 108,248 163,024 United States 65.4% 538,375 823,203 World-Wide Reach Social Networking (‘000) Internet Users (‘000)

Social Networking goes beyond facebook! Source:ValleyWag, June ‘07

[object Object],[object Object],However, facebook is the largest

[object Object],[object Object],Advertising Budgets While social networking reaches 65% of Internet users only 2.5% of online advertising spending is directed to social networks! WHY ?

[object Object],[object Object],[object Object],[object Object],[object Object],WHY? 85% of social media users think that companies should interact with them through this medium – emarketer 40% of users have made a purchase based on advertising found on social networking sites - razorfish

[object Object],[object Object],[object Object],[object Object],[object Object],Advertising with facebook

[object Object],[object Object],Banner advertising w/ facebook

[object Object],[object Object],[object Object],[object Object],Banner advertising on applications

[object Object],[object Object],Sponsored Virtual Gifts ,[object Object]

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Facebook Groups

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Facebook Pages

Facebook Page Example - COKE Coke Page has over 1.2 Million fans! Grown virally from news feed News feed is the holy grail of facebook viral growth!

How do I grow my group/page if I am not Coke? Create a reason for users to become a fan and keep coming back i.e. win prizes by becoming a fan of crest whitestrips Create an area for discussion, not a branded destination Kick off with a banner advertising campaign to build-up initial user base

[object Object],[object Object],[object Object],[object Object],[object Object],Are pages/groups the answer?

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Custom Applications

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Build an application There are over 50k application in the app directory with 140 added per day, so how do I make my app grow?

[object Object],[object Object],Branded App Example - FEDEX

[object Object],Branded App Example - REEBOK

[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],With no budget restrictions, what should I do?

[object Object],Enough about facebook – what about myspace? Until October 12 th when they launched ‘myads’ self serve advertising for budgets between $25 - $25,000 ,[object Object],[object Object],[object Object],[object Object],[object Object]

[object Object],[object Object],[object Object],[object Object],myspace demographics myspace vs facebook

[object Object],[object Object],[object Object],[object Object],[object Object],myspace pages

socialvibe ,[object Object],[object Object]

cyworld ,[object Object],[object Object],[object Object]

[object Object],[object Object],[object Object],[object Object],[object Object],conclusion

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Social Network Advertising

1. Social Network Advertising Hussein Fazal [email_address] “ In 2008, if you’re not on a social networking site, you’re not on the Internet.” - IAB Platform Status Report, April 2008

2. Social Networking - Reach of Web population Source: comScore Inc, Worldwide Feb’08, All Locations, Persons 15+ 53.7% 15,794 29,412 Germany 52.0% 17,583 33,813 France 84.3% 18,181 21,567 Canada 76.7% 25,502 33,249 United Kingdom 66.4% 108,248 163,024 United States 65.4% 538,375 823,203 World-Wide Reach Social Networking (‘000) Internet Users (‘000)

3. Canada - Continuous Growth

4. Social Networking goes beyond facebook! Source:ValleyWag, June ‘07

10.

11.

12.

13.

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15. Facebook Page Example - COKE Coke Page has over 1.2 Million fans! Grown virally from news feed News feed is the holy grail of facebook viral growth!

16. How do I grow my group/page if I am not Coke? Create a reason for users to become a fan and keep coming back i.e. win prizes by becoming a fan of crest whitestrips Create an area for discussion, not a branded destination Kick off with a banner advertising campaign to build-up initial user base

17.

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23.

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25.

26. What else is out there?

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28.

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30. Questions?

Social Network Advertising

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