The future of facebook marketing


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What really drives engagement?
Most brands treat social media like traditional marketing. With crowdsourcing and co-creation, you can make your brand stay top of mind with fans.

Is your brand social?
Learn why some brands get it and have vocal, passionate fans who stay engaged, share content, and tell their friends.

Is your marketing user-centered?
Like user-centered design, this paper will show you how putting customers at the center of your marketing changes everything.

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The future of facebook marketing

  1. 1. Five Reasons WhyCustomer Collaborationis the Future of FacebookMarketingBy Riley GibsonCo-founder & CEO, Napkin Labs -- -- - - © 2012 Napkin Labs, Inc.
  2. 2. page 2Modify Watches consistently engages fans in sharing their ideas, stories, and photos.Overview concluded that less than 1% of fans who entertained or informed (TV, radio, print, “Liked” a page actually engaged with non-social online) or are looking for aFacebook has emerged as the central the brand.1 The real value in Facebook distraction (billboards.) In these contexts,platform for brands to cultivate marketing is to keep brands top of mind interruption marketing is less disruptivecommunities that power real word of and to build user loyalty. This requires rich or even welcome. But in a social setting,mouth, awareness, loyalty, insights, customer engagement over time. interruption marketing is about as welcomeand even innovation. However, the real as a person who talks incessantly aboutopportunity is being missed. Facebook is In order to map the future of Facebook themselves at a cocktail party.designed to be a networking service that marketing, we need to understand theconnects people and empowers sharing and platform’s context. People use Facebook For this reason, social marketing shouldcollaboration. It’s no place for traditional for social interaction, to get updates from be rooted in collaboration and that consistently pushes friends and other things they care about. As This sets the stage for building a passionatemessaging, sweepstakes, and promotions. with any social setting, audiences are less brand community. When users are given responsive to interruption marketing on the tools to co-create with a brand, and withThis paper reveals five reasons why Facebook. In fact, it’s estimated that only each other, they become invested in thecollaboration with consumers on Facebook 16% of brand posts are seen by Facebook community and are transformed into anis the future of marketing. It also covers users. We’ve become adept at blocking army of to make the switch to acollaborative strategy and gives real- User-generated content produces Here are the five reasons whyworld examples of this strategy in 90% higher engagement than collaboration on Facebook is theaction. future of marketing: brand-generated content.The future of Facebook marketing 1. Collaboration gives yourrequires a major shift in thinking. Most marketing messages on Facebook because fans a reason to come backbrands are focused on the acquisition of they disrupt our reason for being there.“Likes” as their success metric. However, Facebook Timeline provides a visual diaryresearch shows that a “Like” alone isn’t Consider traditional media channels. of your brand from its founding to theall that valuable. A recent AdAge study Audiences are generally there to be present, a great way to introduce your1 © 2012 Napkin Labs, Inc.
  3. 3. page 3brand, but not a reason to return to your may still control the message, but customers and build their brands into the future.brand page. This is where collaboration now control the brand’s meaning. Facebook’s size, social and open graphs, andcomes in. By providing a range of tools on sharing tools make it the ideal medium foryour Timeline page that enable the sharing Coca-Cola, consistently ranked one of the this transformation.of ideas, suggestions, photos and stories, world’s top brands and largest traditionalusers become part of the brand experience. advertisers, has noticed that customer Companies that form communities onThey return to see the responses to their stories online far outnumber stories Facebook, gather ideas, and continuallysubmissions and to share their contributions generated by the brand itself. They recently ask for feedback and suggestions willwith friends. announced that by the year 2020, they will undoubtedly power their brands into have phased out traditional marketing in the future and continue to control theirAccording to Facebook’s Best Practices, favor of social engagement marketing. This message.on average, user-generated content (UGC) shift in strategy already has Coke examiningproduces 90% higher engagement than their Share of Conversation (SC) metric 3. Customers embrace andbrand-generated content. To realize the 2 ahead of every other measure of marketing advocate for what they have abenefit of Facebook marketing, it’s critical to success. Coke also projects that they will 3 hand in shapingput fans at the center of your strategy and double unit sales at the same time theyprovide the tools for collaboration. make the shift to social. The internet revolution is disintegrating barriers to entry for a wide range of2. A brand’s meaning is now It’s clear that customer engagement and industries. It has empowered globalization,defined by the sum of its community building need to become top access to capital, and the democratization ofcustomer’s voices priorities. This will require specific online media. It’s also been an ongoing disruptive tools to enable brands to host, catalyze, force to most traditional brands. GilletteSocial media is changing how brands are promote and distribute user-generated had a nearly untouchable business withcreated, sustained, and grown. The brand stories and ideas in order to define their “Razor-Razorblade” model. This modelCoca-Cola collects and shares fan stories on Facebook to promote the brand through the eyes and words of their fans.2 Content 2020: © 2012 Napkin Labs, Inc.
  4. 4. page 4allows them to sell razors at a discount but Collaboration and co-creation go beyond to remain competitive. According to a Mr.the dependent product, razorblade refills, at loyalty and advocacy, they are also effective Youth study, brands ignore 50% of the sociala premium. at building awareness. The sharing of posts about them, yet it’s widely known that traditional brand promotions on social one of the biggest mistakes any brand canRecently, a start-up called DollarShaveClub. networks tends to be low. However, the make is to ignore their customers.6com flipped Gillette’s model on its head. propensity to share user-generated content is much higher. Threadless, This is where your army of advocates“At the heart of customer an online community and comes in. When the brand providescollaboration is the knowledge e-commerce website is an example the forum, customers tend to do most of a company that entered the of the heavy lifting. An example of thisthat people embrace what they mature clothing market and type of collaboration is My Starbuckshave a hand in creating.” leveraged crowdsourcing and Idea. Customers are able to submit ideas, voting to spread awareness. comment, rank, vote and work with eachDSC offers a subscription service that sends As customers submit designs, they are other to make good ideas better andblades to your door at a fraction of the price. naturally incented to share with friends in bubble the best to the top with minimalTheir main marketing channel is social buzz order to gather votes. This approach grew community management required. It’s anthanks to a low cost, quirky YouTube video Threadless from a $1,000 start-up to a engaging social experience for users, and anthat cost a few thousand dollars to produce business doing an estimated $30 million in extremely successful and scalable programbut generated over four million views in its sales within eight years. for Starbucks.first week. 4Lower barriers also mean more competition,which has created a growing focus oncustomer loyalty. Soon, adding customercollaboration and fan engagement tools isgoing to be a competitive requirement forretaining and growing existing customers.At the heart of customer collaborationis the knowledge that people embracewhat they have a hand in creating. Wedon’t have to look far to find examples ofthis phenomenon. The television showAmerican Idol has built a near religiousfollowing around the concept of fan voting. Domino’s Facebook Fan Page calls out “Think Oven” application to gather ideas and feedback from customers.Another example is Domino’s Pizza’s recentturn-around. They created “Think Oven” on 4. Collaboration is a scalable social 5. Crowdsourcing fuels innovationFacebook as a way to hear and reward great model thanks to peer-to-peercustomer ideas. This has resulted in tens communities With the rise of social media, the firstof thousands of engagements and millions reaction from marketers was attempting toof ‘likes’. Future-focused brands like these 5 One-to-one social conversations between a translate traditional media strategies andare not only crowdsourcing their future brand and its consumers usually becomes metrics into the new medium. This hasproducts but also their brand experience. unmanageable as the brand grows. But resulted in the focus on measuring “Likes, not responding isn’t an option if you want Engagements,” and “Impressions.”4 DraftFCB Blog: Napkin Labs Domino’s Think Oven Case Study6 © 2012 Napkin Labs, Inc.
  5. 5. page 5Community building however, broadens the themes and patterns formed by the marketing tactics to Facebook don’t producethe scope of business value. It provides conversations in aggregate usually contain results. Marketers and social mediaa window into the lives of customers and rich insights into unmet needs. strategists are finding they must designenables the brand to keep their finger customer collaboration into the heart ofon the pulse of the market. Humans are More brands are adopting online their Facebook strategy. By providingnatural problem solvers and since the user- collaboration as a medium for product avenues for fans to engage, share stories,base is buying, consuming or interacting insights, yet many exist on destination ideas, and insights, brands are able towith the product daily, they are a goldmine sites instead of platforms like Facebook. cultivate communities that yield benefits inof insights that can drive product or Community managers are finding it to be real-time that also capture valuable user-experience improvement. a struggle to recruit, retain and engage generated content that can be shared and users on these destination sites. So just sponsored by the brand.When brands use Facebook as their as more web traffic is moving to Facebook,collaborative medium, they are able to brand communities are migrating there as Brands will need to evolve their marketinggather ideas and feedback in real-time to well and turning their Facebook pages into strategies from creators of marketinghelp inform brand strategy. New tools crowdsourcing hubs. content to providers of marketing platforms.and apps allow brands to host co-creation By enabling their consumers to share theirprojects designed around problem solving. Conclusion passion and creativity, brands can achieve a growing Facebook fan page that is also aWhile few brands expect their users to Facebook is not just another digital media market research and innovation dynamo.come up with their next big product idea, channel. Attempts to translate traditional ANATOMY OF FACEBOOK CUSTOMER COLLABORATION Brands pose questions, projects, and prompts to spark creativity among fans. Fan generated content becomes the foundation for sponsored stories that promote brand collaboration and community building. FAN Brands collect ideas, feedback, increase community metrics, fan count, and gather Layers of small and more rich insights significant rewards are into their Friends of fans are exposed provided to build loyalty consumers. to open graph actions and and engagement with fans. sponsored stories related to their friend sharing ideas, stories, and content with a brand. © 2012 Napkin Labs, Inc.
  6. 6. page 6ABO U T NAP K IN L A BSNapkin Labs provides a suite of Facebook applications empowering businesses to uncover the passion and creativity of their fans. Our Facebookapplications can be instantly plugged into any Facebook fan page, turning a crowd of faceless ‘likes’ into a community of brand advocates sharingideas, insights, and their stories. For more information visit www.napkinlabs.comABO U T T H E AUTH O RRiley Gibson is the co-founder and CEO of Napkin Labs. Prior to founding Napkin Labs, Riley was a market research and innovation consultant atIntel and The Sterling-Rice Group where he worked with a range of Fortune 500 brands. For more thoughts on tapping online communities forcrowdsourcing, check out the Napkin Labs blog: © 2012 Napkin Labs, Inc.