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Measuring Success

Helen Crossley
ANZ Measurement and Insights
Three Themes for Today
1. Businesses are spending an
   increasing amount of their
   resources online but measuring
   the impact can be difficult

2. Facebook’s approach to
   measuring business success

3. Four simple ways you can
   measure ROI on Facebook
Measure against business objectives

   Reach                      Brand resonance            Reaction
  Did I reach the right       Did I improve my brand’s   Did I cause a customer
  number of people and        image and change the       to act – to buy a product,
  the right type of people?   attitudes of customers?    sign up for a service or
                                                         make a referral?
Measure against business objectives

   Reach                      Brand resonance            Reaction
  Did I reach the right       Did I improve my brand’s   Did I cause a customer
  number of people and        image and change the       to act – to buy a product,
  the right type of people?   attitudes of customers?    sign up for a service or
                                                         make a referral?
Clicks do not equal sales

           1400%



           900%
   ROI %




           400%



           -100%
                                                                                         Breakeven
                   0.00%            0.10%                  0.20%                 0.30%

                                        Click through rate


Nielsen NetEffect meta analysis: There is no correlation between CTR and ROI%.
3rd Party Methods of Measuring ROI
1. MMM
Measures ROI by analysing fluctuations in your marketing
spend over time.


2. Card Transactions Analysis
Measures a snapshot of uplift in purchases from a particular
geographic or demographic group when you buy targeted
advertising.

3. Multi Touch Attribution Modeling
Uses view tags to measure paths to purchase across the
web then aggregates this into ROI via econometric analysis.
APAC ROI Results
                            Average APAC ROI
     1.20
     1.00
     0.80
     0.60
     0.40
     0.20
       -




                                                             7
Source: Aggregated Nielsen MMM data across 95 APAC studies
Here’s 4 Simple Ways You Can Start Today

                                                             Run Facebook campaigns in
 Custom    Target your customers               Paired        one of two (or more) similar
           securely, measure
 Audiences behavior versus your                Market Test   markets and measure
               control groups                                aggregate sales lift

               Works for: Any advertiser                     Works for: Advertisers
               with a detailed customer                      where conversions observed
               list                                          by geography



               Distribute offers to
 Offers        fans, FoFs, custom              Conversion    Activate a Facebook
                                                             conversion pixel on your site
               audiences, or broader target    Tracking      via Power Editor and track
               audiences. Monitor redemption                 the number of people who
               rates in-store or online with                 take a specific action on
               unique codes per offer or                     your site.
               barcode scanners
                                                             Works for: Direct Response
               Works for: CPG, Retail, QSR                   advertisers (ecomm)
Here’s 4 Simple Ways You Can Start Today

                                                             Run Facebook campaigns in
 Custom    Target your customers               Paired        one of two (or more) similar
           securely, measure
 Audiences behavior versus your                Market Test   markets and measure
               control groups                                aggregate sales lift

               Works for: Any advertiser                     Works for: Advertisers
               with a detailed customer                      where conversions observed
               list                                          by geography



               Distribute offers to
 Offers        fans, FoFs, custom              Conversion    Activate a Facebook
                                                             conversion pixel on your site
               audiences, or broader target    Tracking      via Power Editor and track
               audiences. Monitor redemption                 the number of people who
               rates in-store or online with                 take a specific action on
               unique codes per offer or                     your site.
               barcode scanners
                                                             Works for: Direct Response
               Works for: CPG, Retail, QSR                   advertisers (ecomm)
Here’s 4 Simple Ways You Can Start Today

                                                             Run Facebook campaigns in
 Custom    Target your customers               Paired        one of two (or more) similar
           securely, measure
 Audiences behavior versus your                Market Test   markets and measure
               control groups                                aggregate sales lift

               Works for: Any advertiser                     Works for: Advertisers
               with a detailed customer                      where conversions observed
               list                                          by geography



               Distribute offers to
 Offers        fans, FoFs, custom              Conversion    Activate a Facebook
                                                             conversion pixel on your site
               audiences, or broader target    Tracking      via Power Editor and track
               audiences. Monitor redemption                 the number of people who
               rates in-store or online with                 take a specific action on
               unique codes per offer or                     your site.
               barcode scanners
                                                             Works for: Direct Response
               Works for: CPG, Retail, QSR                   advertisers (ecomm)
Here’s 4 Simple Ways You Can Start Today

                                                             Run Facebook campaigns in
 Custom    Target your customers               Paired        one of two (or more) similar
           securely, measure
 Audiences behavior versus your                Market Test   markets and measure
               control groups                                aggregate sales lift

               Works for: Any advertiser                     Works for: Advertisers
               with a detailed customer                      where conversions observed
               list                                          by geography



               Distribute offers to
 Offers        fans, FoFs, custom              Conversion    Activate a Facebook
                                                             conversion pixel on your site
               audiences, or broader target    Tracking      via Power Editor and track
               audiences. Monitor redemption                 the number of people who
               rates in-store or online with                 take a specific action on
               unique codes per offer or                     your site.
               barcode scanners
                                                             Works for: Direct Response
               Works for: CPG, Retail, QSR                   advertisers (ecomm)
Here’s 4 Simple Ways You Can Start Today

                                                             Run Facebook campaigns in
 Custom    Target your customers               Paired        one of two (or more) similar
           securely, measure
 Audiences behavior versus your                Market Test   markets and measure
               control groups                                aggregate sales lift

               Works for: Any advertiser                     Works for: Advertisers
               with a detailed customer                      where conversions observed
               list                                          by geography



               Distribute offers to
 Offers        fans, FoFs, custom              Conversion    Activate a Facebook
                                                             conversion pixel on your site
               audiences, or broader target    Tracking      via Power Editor and track
               audiences. Monitor redemption                 the number of people who
               rates in-store or online with                 take a specific action on
               unique codes per offer or                     your site.
               barcode scanners
                                                             Works for: Direct Response
               Works for: CPG, Retail, QSR                   advertisers (ecomm)
Three Themes for Today
1. Businesses are spending an
   increasing amount of their resources
   online but measuring the impact can
   be difficult

2. Facebook’s approach to measuring
   business success

3. Four simple ways you can measure
   ROI on Facebook
Facebook socialbakers sydney_feb13

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Facebook socialbakers sydney_feb13

  • 1. Measuring Success Helen Crossley ANZ Measurement and Insights
  • 2. Three Themes for Today 1. Businesses are spending an increasing amount of their resources online but measuring the impact can be difficult 2. Facebook’s approach to measuring business success 3. Four simple ways you can measure ROI on Facebook
  • 3. Measure against business objectives Reach Brand resonance Reaction Did I reach the right Did I improve my brand’s Did I cause a customer number of people and image and change the to act – to buy a product, the right type of people? attitudes of customers? sign up for a service or make a referral?
  • 4. Measure against business objectives Reach Brand resonance Reaction Did I reach the right Did I improve my brand’s Did I cause a customer number of people and image and change the to act – to buy a product, the right type of people? attitudes of customers? sign up for a service or make a referral?
  • 5. Clicks do not equal sales 1400% 900% ROI % 400% -100% Breakeven 0.00% 0.10% 0.20% 0.30% Click through rate Nielsen NetEffect meta analysis: There is no correlation between CTR and ROI%.
  • 6. 3rd Party Methods of Measuring ROI 1. MMM Measures ROI by analysing fluctuations in your marketing spend over time. 2. Card Transactions Analysis Measures a snapshot of uplift in purchases from a particular geographic or demographic group when you buy targeted advertising. 3. Multi Touch Attribution Modeling Uses view tags to measure paths to purchase across the web then aggregates this into ROI via econometric analysis.
  • 7. APAC ROI Results Average APAC ROI 1.20 1.00 0.80 0.60 0.40 0.20 - 7 Source: Aggregated Nielsen MMM data across 95 APAC studies
  • 8. Here’s 4 Simple Ways You Can Start Today Run Facebook campaigns in Custom Target your customers Paired one of two (or more) similar securely, measure Audiences behavior versus your Market Test markets and measure control groups aggregate sales lift Works for: Any advertiser Works for: Advertisers with a detailed customer where conversions observed list by geography Distribute offers to Offers fans, FoFs, custom Conversion Activate a Facebook conversion pixel on your site audiences, or broader target Tracking via Power Editor and track audiences. Monitor redemption the number of people who rates in-store or online with take a specific action on unique codes per offer or your site. barcode scanners Works for: Direct Response Works for: CPG, Retail, QSR advertisers (ecomm)
  • 9. Here’s 4 Simple Ways You Can Start Today Run Facebook campaigns in Custom Target your customers Paired one of two (or more) similar securely, measure Audiences behavior versus your Market Test markets and measure control groups aggregate sales lift Works for: Any advertiser Works for: Advertisers with a detailed customer where conversions observed list by geography Distribute offers to Offers fans, FoFs, custom Conversion Activate a Facebook conversion pixel on your site audiences, or broader target Tracking via Power Editor and track audiences. Monitor redemption the number of people who rates in-store or online with take a specific action on unique codes per offer or your site. barcode scanners Works for: Direct Response Works for: CPG, Retail, QSR advertisers (ecomm)
  • 10. Here’s 4 Simple Ways You Can Start Today Run Facebook campaigns in Custom Target your customers Paired one of two (or more) similar securely, measure Audiences behavior versus your Market Test markets and measure control groups aggregate sales lift Works for: Any advertiser Works for: Advertisers with a detailed customer where conversions observed list by geography Distribute offers to Offers fans, FoFs, custom Conversion Activate a Facebook conversion pixel on your site audiences, or broader target Tracking via Power Editor and track audiences. Monitor redemption the number of people who rates in-store or online with take a specific action on unique codes per offer or your site. barcode scanners Works for: Direct Response Works for: CPG, Retail, QSR advertisers (ecomm)
  • 11. Here’s 4 Simple Ways You Can Start Today Run Facebook campaigns in Custom Target your customers Paired one of two (or more) similar securely, measure Audiences behavior versus your Market Test markets and measure control groups aggregate sales lift Works for: Any advertiser Works for: Advertisers with a detailed customer where conversions observed list by geography Distribute offers to Offers fans, FoFs, custom Conversion Activate a Facebook conversion pixel on your site audiences, or broader target Tracking via Power Editor and track audiences. Monitor redemption the number of people who rates in-store or online with take a specific action on unique codes per offer or your site. barcode scanners Works for: Direct Response Works for: CPG, Retail, QSR advertisers (ecomm)
  • 12. Here’s 4 Simple Ways You Can Start Today Run Facebook campaigns in Custom Target your customers Paired one of two (or more) similar securely, measure Audiences behavior versus your Market Test markets and measure control groups aggregate sales lift Works for: Any advertiser Works for: Advertisers with a detailed customer where conversions observed list by geography Distribute offers to Offers fans, FoFs, custom Conversion Activate a Facebook conversion pixel on your site audiences, or broader target Tracking via Power Editor and track audiences. Monitor redemption the number of people who rates in-store or online with take a specific action on unique codes per offer or your site. barcode scanners Works for: Direct Response Works for: CPG, Retail, QSR advertisers (ecomm)
  • 13. Three Themes for Today 1. Businesses are spending an increasing amount of their resources online but measuring the impact can be difficult 2. Facebook’s approach to measuring business success 3. Four simple ways you can measure ROI on Facebook

Editor's Notes

  1. We have seen marketers around the world having success and GAIN INSIGHTS when aligning to this philosophy of measuring fb the same way you measure the other media you invest in.There are three broad business objectives that marketers are measuring fb against: REACH, BRAND RESONANCE, REACTION (e.g. read illustrative questions on the slide)I’ll walk you through, for all three of these, how marketers are performing globally when taking this approach and provide some insight into HOW they are going about measuring their fb marketing strategy against these three objectives…The ones that are doing this well are aligned to this philosophy on day 1
  2. We have seen marketers around the world having success and GAIN INSIGHTS when aligning to this philosophy of measuring fb the same way you measure the other media you invest in.There are three broad business objectives that marketers are measuring fb against: REACH, BRAND RESONANCE, REACTION (e.g. read illustrative questions on the slide)I’ll walk you through, for all three of these, how marketers are performing globally when taking this approach and provide some insight into HOW they are going about measuring their fb marketing strategy against these three objectives…The ones that are doing this well are aligned to this philosophy on day 1
  3. And it does not correlate with actual sales. This was discovered in a recent Nielsen study and was quite groundbreaking in the industry given it’s optimization around CTR to drive bottom funnel metrics like sales.The reason is that clicks are low funnel, where as ROI and brand metrics are upper funnel in terms of purchase cycle. For search, it might be good because you do trafficking and navigation and you don’t work to change perceptions – people already made up their mind. Whereas at FB, we’re focused on connections and branding which doesn’t match with this type of metric.
  4. 4 ways to measure reaction for retailers, although ‘view tags’ are only possible for eCommerceELABORATE on each
  5. 4 ways to measure reaction for retailers, although ‘view tags’ are only possible for eCommerceELABORATE on each
  6. 4 ways to measure reaction for retailers, although ‘view tags’ are only possible for eCommerceELABORATE on each
  7. 4 ways to measure reaction for retailers, although ‘view tags’ are only possible for eCommerceELABORATE on each
  8. 4 ways to measure reaction for retailers, although ‘view tags’ are only possible for eCommerceELABORATE on each
  9. Retailers are gathering enormous amounts of data on their customers. They should be using it to dramatically improve customer experiences and improve both top and bottom line business performance.