2017 Q1 Facebook & Instagram Trends(eng)

WISEBIRDS
QUARTERLYREPORT
2017Q1
FACEBOOK
&INSTAGRAM
TRENDS
COPYRIGHT © WISEBIRDS CORP. ALL RIGHTS RESERVED.

INDEX
1
Dynamic Ads
Facebook retargeting ads
to auto-deliver related products
2
’16 Q4 / ’17 Q1
Key Index
3
Media
Key Updates
4
Adwitt Updates

DynamicAds
DynamicAds(DA)isanadproductwhichconstantlydeliversrelatedproductstotargetwhosearchedparticularproductinproductcatalogwithinwebsiteor
app.OncesettingupDAcampaignatthefirststep,campaignautomaticallycreatesanddeliverssingleormultiadsreducingoperator’sresourceliketime-
cost.Especiallyhigh-relateditemscanbeheldasaproductsettoexecutecampaignoncross-devicestopotenttarget.DynamicAdswhicheasilyinduces
actualpurchaseorre-purchasefrompotentorexistingclientsissuitabletoe-commerceorretailindustrytoincreasepurchaserateofvisitorsonwebsite.
About Dynamic Ads
About Dynamic Ads
Addtocart/Sign-up /Purchased /Viewed
Deliver adstotarget withparticular action
within website
Retargeting
Retarget notonlyusers who
searched products onwebsite,
butalsouserswho viewed category
*APIOnly
Search/Viewcategory
Automatically distinguish and createad
withviewed products, which makes
deliveramount products
easily andprecisely
*Donotneedtomakecreatives
Auto-Setting
Exposeadswithcross-device ontoPC,
Mobileandotherdevices utilizing
cookie and Facebook log-ininfo
Cross-Devices
Induce conversion withfiltering bybrand
name, priceand product typetodeliver
high-related products inorder
MaximizedConversion

DynamicAds
Dynamic Adshasconstantly enhancedits featuressinceDAwaslaunchedin2015.Therearevarious changesfromexpansion ofpixel events and
placements tonewproduct;Dynamic AdsforTravel which arecontributedtomaximize DirectSales. Since thenumberofDynamic Adsproductshas
increasedandfunctions hasenhancedsuchaslocation targeting andCanvas, serviceenvironment hasbeenimproved. Advertisers canhave sales
channel whichconnectsbetween online andoffline, ontheotherhand,userscanenjoyshopping regardlessoftime andplace.
Key Updates on Dynamic Ads
Key Updates on Dynamic Ads
Reach Expansion
When someone browses items from one product set
ofitems Advertisers can now cross-sell items from
another category
e.g. Suggest products fromproduct setofrunning
shoestothe client whopurchased product from
product setofrunningcloset
Cross-sell
Advertisers can up-sell aproduct within the same
category as the one aperson viewed that may increase the
profitability tothe advertisers
e.g. Suggest high-profitable luxury bag ofanother
brand tothe client interested inluxury bag inproduct
setA
Up-sell
2016 Q2 2016 Q3 2016 Q42015Q4
Maximize Direct Sales
Retargeting events not only View
Content, Add toCart, Purchase but
also Search Product, view Category
Utilizing inventory of Instagram and
Audience Network
Dynamic Ads specialized with travel
and able toinclude available rooms or
start rating already rolled out 100%
Cards upto30
Expect to increase purchase
intention bydelivering more
products
When user swipes product, five
new products are loaded upto 30
DAfor Retail
Deliver carousel ads to client near bystore through targeting location
to induce to purchase already interested products in the store
Ifaclient doesn’t want tobuy offline, client can save the post to
purchase online later
DynamicAdshasenhanceditself byconstant updates

DynamicAds
Key Index on Dynamic Ads
Dynamic Ads is being magnified as hero product with its usability and intelligence. Furthermore, the efficiency of DR campaign
has proven and increased year after year. Internal cases show increase in ROAS of Dynamic Ads compared to Website Conversion
Ads since Dynamic Ads was executed. Functions of Dynamic Ads will be more enhanced and applied into other products, so
Dynamic Ads is supposed to take larger portion within DR campaign.
Key Index on Dynamic Ads
73% X8 X13
2016 Q1 VS 2017 Q1
Increase In Rate of Budget
2016 Q1 VS 2017 Q1
FacebookDA ROAS Growth
2017 Q1 Dynamic Ads VS Website
Conversion ROAS
Datasource: ’16Q1~’17Q1Execution Data from Wisebirds

INDEX
1
Dynamic Ads
2
’16 Q4 / ’17 Q1
Key Index
3
Media
Key Updates
4
Adwitt Updates
Spending share and efficiency
by objective verse Q4, 2016

Q4/Q1 Key Index
Dominant Shares:
Mobile App Installs / Video Views/ Mobile App Engagement
In Q1, 2017 on Facebook, the spending was high in the order of Mobile App Installs, Video Views, Mobile App Engagement. Compared
to Q4, the ad spending of Mobile App Installs, Mobile App Engagement, Website Conversions and Product Catalog Sales have
increased while Video Views, Website Traffic, Page Likes, Post Engagement have rather reduced.
PAGE LIKES POST ENGAGEMENT VIDEO VIEWS LEAD GENERATION MOBILE APP INSTALLS
MOBILE APP ENGAGEMENT WEBSITE TRAFFIC WEBSITE CONVERSIONS PRODUCT CATALOG SALES
100%
9.33% 17.90% 25.55% 0.1% 18.17% 9.69% 16.0% 1.16%
100%
7.50% 16.08% 0.2% 24.46% 15.52% 10.85% 8.28%
’16 Q4
’17 Q1
2.09%
13.96% 3.15%
Dominant Shares by Objectives
Datasource: ’16Q1~’17Q1Execution Data fromWisebirds
1. Product Catalog Sales :Product Catalog isadocument including title, price andimage information. Ifadvertiser’s mainpurpose istomaximize volume ofsalesofProduct Catalog, choose Product Catalog Salesascampaign objective whoseofficial nameoftheproduct isDynamic Ads

Q4/Q1 Key Index TAGETING
Q4 Q1
Website Conversions
5.78
1.48%
0.39
6.95
1.99%
0.51
CPC CTR CPM
MobileAppEngagement
0.44
1.62%
7.19
0.09
3.04%
2.76
CPC CTR CPM
Page Likes
0.29
0.66
4.09
0.22
0.56
4.08
CPC CPL CPM
Mobile App InstallsMobile App Installs
1.640.66
41%1.78
0.11
6.24%
CPC CPI CVR
Website Traffic
0.26
1.51%
4.0
0.15
2.77%
2.94
CPC CPMCTR
Video Views
0.02
3.2
15.6%
0.01
2.78
14.70%
CPV VTR CPM
Post Engagement
0.03
3.07
9.7%
0.02
2.9010.94%
CPE ETR CPM
ProductCatalogSales
10,227%
0.23
5.02%
16,405%
0.24 4.72%
CPC CTR ROAS
LeadGeneration
4.10
2.46
0.46%
1.30
1.86%
CPC CTR CPL
14.89
*OnlyFacebook PageLikescampaigns applyClicks(All, allclicks within adare),andothercampaigns applyLinkClick
**Campaign Data: 2017.1.1–3.21 allcampaigns byWisebirds (KoreaOnly)
****CVR:Conversion Rate,itrepresents Click/Installation. Itistheconversion ratefromthelinkclicks
****TherearesomegapbetweendataofIndexforQ4,2016and Q1,2017since indexforQ1,2017integrates dataofInstant Articleand Audience Network intoFacebook
‘16 Q4 VS ’17 Q1 Average Efficiency by Objectives (Currency : USD )

Dominant Shares:
Video Views / Website Traffic / Post Engagement
Dominant Shares on Instagram has similar trends with Q4, 2016. In Q1, 2017, the spending was high in the order of Video Views,
Website Traffic, on the other hand, other objective for conversion like Mobile App Installs which is suitable for BR was low. There
were cases of Website Conversion, Mobile App Engagement,Product Catalog Sales whose portions were much slight, so we’d like
share data of major objectives except three above.
POST ENGAGEMENT VIDEO VIEWS WEBSITE TRAFFIC MOBILE APP INSTALLS
100%
13.0% 29.49%
100%
12.96% 49.11% 28.92% 3.68%
’16 Q4
’17 Q1
50.65% 3.86%
Dominant Shares by Objectives
Datasource: ’16Q1~’17Q1Execution Data fromWisebirds

Mobile App Installs
34.53%
39%
CPC CPI CVR
2.38
0.63
0.92
1.82
Website Traffic
1.08
6.27
CPC CTR CPM
0.96%
0.94
4.7
0.50%
Video Views
0.022
CPV VTR CPM
18.3%
0.02
20.01%
4.07
4.04
0.08
5.39
CPE ETR CPM
6.12%
Post Engagement
0.07
8.13
10.3%
Q4 Q1
‘16 Q4 VS ’17 Q1 Average Efficiency by Objectives (Currency : USD )
*OnlyFacebook PageLikescampaigns applyClicks(All, allclicks within adare),andothercampaigns applyLinkClick
**Campaign Data: 2017.1.1–3.21allcampaigns byWisebirds
***CVR:Conversion Rate,itrepresents Click/Installation. Itistheconversion ratefromthelinkclicks

INDEX
1
Dynamic Ads
3
Media
Key Updates
4
Adwitt Updates
2
’16 Q4 / ’17 Q1
Key Index
Facebook and Instagram’s major updates
on Q1, 2017

Media Key Updates
Video Ads on Facebook
As user’s consumption portion of video content is getting larger, Facebook has tried to support various video format. Like Youtube,
there is an short video ad within native video which expands not only video ad inventory but also opportunity to make users meet
video contents. On the other hands, Facebook supports GIF format to give users fun to watch contents reducing advertiser’s
burden for creating contents at the same time.
GIFfor videoadcan auto-play withoutnetworkcondition
Able to deliver the post with GIFlink as ad
Short GIFcreative can play like video and it loops
*Ifthere is no GIFlink, it can becreated onGIPHY, one ofGIFwebsites
https://giphy.com
Insertshortvideoadwithin nativevideo
Only for VIDEO VIEWS objective. Must bewith Newfeed andavailable all options fortargeting
Able to filter apps which are not proper with brand goal byexclusion option2
GIF
In-Stream Video Ad
GIF Animation
1

Media Key Updates
Instagram Story
Now Full-Screen video ads can be delivered on Instagram which enables user to see not only friends’ Stories but also high quality
and attractive brand’s video ads. There are temporary videos or photos with my daily life as Story. With Story, brand can address
their stories briefly but impressively, on the other hand, users can communicate through lively Full-Screen video, not static
images.
Instagram Story Ads
Story Insights on Business Tool
IGStory for 1.5billion DAU
70% ofInstagram users arefollowing brandbusiness accounts and1 out of5 stories has received Direct
Message. For now, Story ads is available with Reach objective and it already rolled-out 100% globally. Its
objectives will beexpanded
Full-Screen adproduct within Story2
1
Airbnb
isusingInstagram Stories tohelpbuild awareness and
buzzaround itslargest product launch todate—Trips
onAirbnb withaseries of15-second videos,.
Efficient campaign managementwith Story Insight
Within Business Tool, able to check out not only engagements ofexisting post
but also Reach, Impression, comments andmessage onStory
Able to create contents orexecute campaign with checking the responds oftarget audience in real-time
*But,insight for Live content isunavailable yet

Media Key Updates
Campaign Management & Targeting
Facebook pursues constant developmentfor various aspects such as not only ad product or format but also algorithm or
targeting option. Recently Automated Rules function is updated to run and manage campaign automatically when putting simple
rule on ad manage reducing operator’s efforts. Furthermore, according to launch of Canvas and Lead Generation, Facebook adds
and enhances its targeting options to be more accurate.
Automated Rules
Page Engagement Custom Audience
Classify userswhoengagedwith page tobecoretarget groupEasily operatecampaign with rules
Able to set condition and action rules bycampaign, adset and ad. Rule execution
frequency, alert and receiver forrule results can beset as well
Even though you don’t manage campaign frequently, designed rules operate campaign
automatically
2
1
classify users who engaged with page into detailed subcategories to use as Custom Audience
• Everyone who engaged with your Page
• People who engaged with any post orad
• People who sent amessage toyour Page
• People who saved your Page orany post
• People who clicked any call-to-action button
• Anyone who visited your Page

Media Key Updates
New Formats on Facebook & Instagram
In this Q1, there is an effort to achieve two goals; to maximize user’s experience and revenue of brand as before. With constant
efforts of Facebook, now Instagram is able to use carousel images up to 10 and Lead Generation which already shows good
performance on Facebook. Furthermore, Facebook is coming up with new product, Collection, composed of strengths of Canvas,
DA and post with album format. Collection lets users enjoy shopping within Facebook App like website.
Carousel Format
Lead Generation Collection Ad Format
Shareimages and videos up to 10 on ador post IG, Lead Generation available
Products with main image/video ascarousel
User can addimages or videos up to10 on organic post and
those areseen by swiping
Carousel Ads can show 2~10 creatives and there are inorder you
want. Ifusing Dynamic Ordering, the most popular content shows
upfirst
2
1 Lead generation was available only onFacebook,
but now IGcan utilize this product
Itwas rolled-out before the end of Feb,2017
Collection suitable with Brand Awareness and DR is located
on the below ofmain image or video and if single product is
clicked, it is landed on designed landing page.(max 50
products)
Users are more likely to directly purchase product when they see
various products than only single product
2
1
*Rolling out globally

Media Key Updates
Other Updates
In addition to big updates, Facebook has improved itself through minor but important updates for users. Facebook has welcomed
new Audience Network partner to expand its volume of reach and revised details such as UX or report environment as the part of
Facebook’s struggling to give users better services.
Enhancement to maximize user’s business performance
New partner for Audience Network, Korea
Bitmango
WhenexecutingcampaignonAudienceNetwork,thereis
Avg.16%increaseinreachratethanNativeonly.Recently,
total9partnersarejoinedinexistingAN
Auto-sound when mobile is on sound
Itneeded to click to turn onvideo before, but now if
mobile sound’s on, it will turn on automatically. It’s
rolling out
Facebook provides Ad Manager for Excel
Ad Manager forExcel is available after downloading
on Microsoft Office Store. Report can becreated with
data ofseveral accounts and also into user’s own
format todownload whenever it needs

INDEX
1
Dynamic Ads
4
Adwitt Updates
2
’16 Q4 / ’17 Q1
Key Index
Facebook and Instagram’s major updates
on Q1, 2017
3
Media
Key Updates
Recent Adwitt updates

New Campaign Type; Brand Awareness
NewCampaign TypeisaddedonAdwitt; BrandAwareness. BrandAwarenesscampaignistoreachouttopeoplewhoaremorelikely topayattention onads.
Asthebelow,choose“Auction” asBuying Type, andthen check“BrandAwareness” asCampaign type.
Adwitt Updates TAGETING
Updateon3/29
*Fornow,DesktopRightColumnisunavailable,butavailabletocreatecampaignwithDBURL
Brand Awareness Campaign Type
NotesforBrandAwarenesscampaigntype
InthecaseofSingleCreative,Ifcheck“AddaLink”option,itenablestoclickalinkonthecreative,butif“AddaLink”isunchecked,creativeismadewithoutlink.AndMultiCreativeisthesameasbefore
Whensettingabid,TherearetwooptionsforOptimizeFor;BrandAwarenessandReach,butonceacampaignstarts,OptionforOptimizationcannotberevised.
1
2

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2017 Q1 Facebook & Instagram Trends(eng)

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2017 Q1 Facebook & Instagram Trends(eng)