JetBlue Case Study: Maximizing ROI via FB Advertising


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  • Thanks to All Facebook & the audience.Introduce myself and JoeProvide a brief outline of the presentation… quick abouts on both companies, some perspective on Facebook advertising, details on the JetBlue campaign, Q&A
  • Started at full service digital agencyStarted running campaigns in 2007Re-focused our business to be all Facebook all the time
  • Patrick: quick overview over next 4 slides of the evolution of Facebook
  • Needless to say, it’s a big opportunity for advertisersA quarter of time spent online at FacebookUser base has now grown to more than 750 millionThey seem to be now competing for ad dollars with a number of entities
  • When you look at the user base, it clearly dwarfs other social channelsBut more importantly, the data this week suggested that Facebook use is growing while overall online use is in decline
  • the global nature of Facebook and corresponding advertising is stunning.The USA remains the largest of the Facebook advertising market but it would be naïve of an advertiser to overlook the global nature of the business.Facebook users in more than 200 countries… even the Vatican City has 20 users suggesting that the Pope might be on Facebook
  • the differences between Premium and MarketplaceThe complexity of the Facebook and why services like TBG Digital exist
  • Huge opportunity however it’s a new and challenging channel due to both the volatility of the bidded environment but also addressing a dynamic environment where you have one-to-one communication with your customers and they also have one-to-one interactions with each other.
  • Patrick: Reminder here of why Facebook is powerful for brands. Real time communication/direct access to users/cost effective (in relation to TV Advertising)
  • Patrick: Facebook is a social network, the power of friends recommendation and endorsement
  • Facebook enables unparalleled targeting capabilities25 year old girl in SF vs. 45 year old father of three in Atlanta
  • Patrick: Facebook does work.
  • Patrick: Overview of how users have changed their habits online, what and how they now want to have an online experience
  • Social media is fundamentally changing the way we use the InternetIncreasingly, we areutilising our online and virtual networks to actively seek out trusted referral opportunities – and social is the main enabler of this.Recommendations are INFLUENCING consumer behaviourthe traditional marketing steps towards purchase have now had an extra layer weaved in due to social media.  This has changed from an old, static, on-way flow with a defined beginning and an end, to an unending circle of consumer behaviour and influence:BEGINNING Awareness –> Interest –> Decision –> Action ENDHowever, the Social Web has ushered in a new ‘cycle’ of marketing engagement:Needless to say, we can see that the power of social recommendation ensures that the consumer marketing cycle is now a continuous loop, allowing brands much more access to consumers rather than this typically ending at the point of purchase.
  • Patrick:This probably isn’t true, but it is important for Brands to understand how much they can get out of a ‘fan acquired’, particularly for long term ROI.
  • Joe - overview
  • Joe to complete and run through – background to the Facebook campaign, why did jetBlue decide to market the brand they way they did in this period. What were they trying to achieve in the market?
  • Joe: Please run through these points so audience can understand the specific context in which the campaign was born out of
  • Joe: Joe to run through objectives, explain their reasoning and how they were decided upon
  • Patrick: Explain the approach, the how/what/when and why’s of the campaign
  • Joe: Explain results, say why this is such an achievement; Explain what these results mean to jetBlue
  • Joe: Why is this position so important forjetBlue? What does this mean to the airline’s profile going forwards?
  • Patrick to lead Q&A with a leading question to audience; something like – Does Joe have any regrets about the campaign?
  • JetBlue Case Study: Maximizing ROI via FB Advertising

    1. 1. © TBG Digital 2011<br />Maximising Facebook ROI<br />
    2. 2. > About JetBlue<br /><ul><li>New York based airline founded in 1999
    3. 3. Flying to 69 destinations
    4. 4. Over 500K followers on Facebook
    5. 5. 1.6MM followers on Twitter
    6. 6. Most legroom in coach (1)
    7. 7. 36 channels of DIRECTV for free (2)
    8. 8. First bag flies free
    9. 9. 100+ channels of XM Radio for free
    10. 10. Complimentary brand-name snacks</li></ul>(1) JetBlue offers the most legroom in coach, based on average fleet-wide seat pitch for U.S. airlines.(2) DIRECTV® service is not available on flights outside the continental United States; however, where applicable in-flight movies are offered complimentary on these routes.(3) Baggage weight and size limits apply. <br />© TBG Digital 2011<br />
    11. 11. > About TBG Digital<br /><ul><li>One of three Facebook “alpha” Advertising API partners
    12. 12. Today one of the largest Facebookadvertisers in the world
    13. 13. 110 Staff, specialising in driving ROI on Facebook
    14. 14. Currently running campaigns for nearly 100 Clients in more than 40 Countries
    15. 15. Global coverage - offices located in:
    16. 16. London (HQ)
    17. 17. San Francisco
    18. 18. New York
    19. 19. Chicago
    20. 20. Paris
    21. 21. Hamburg
    22. 22. Manila</li></ul>© TBG Digital 2011<br />
    23. 23. > A quick advertising intro…<br />(You’ve heard of it, right?)<br />© TBG Digital 2011<br />
    24. 24. >Facebook today<br />© TBG Digital 2011<br />
    25. 25. > You can’t ignore it … so embraceit!<br />1,700,000,000<br />750,000,000<br />190,000,000<br />160,000,000<br />100,000,000<br />Internet users<br />Facebook users<br />Twitter users<br />Blogs<br />LinkedIn users<br />© TBG Digital 2011<br />
    26. 26. > Users per country<br />Source:<br />© TBG Digital 2011<br />
    27. 27. >How’s it done? Premium vs Marketplace<br />Premium Ads - Home Page<br />ASU – Marketplace ads<br />BuildBrand awareness<br />Micro targeting<br />Event ad<br />Socialad<br />Event ad<br />Social ad<br />Poll ad<br />Fan Engagement<br />Bidding systemCost per Click<br />Video ad<br />Standard ad<br />New: Sponsored stories!<br />Sampling ad<br />Fan acquisition<br />Reach blocks & Homepage inventory<br />© TBG Digital 2011<br />
    28. 28. > The Advertising Challenge<br />© TBG Digital 2011<br />
    29. 29. Why is Facebook important<br />for a brand?<br />
    30. 30. >Peopleinfluence people<br />.<br />Engagement creates your social network where friends meet and talk to you and each other about you<br />© TBG Digital 2011<br />
    31. 31. > The new word of mouth<br />.<br />1.6X<br />lift in brand recall<br />2X lift in message awareness<br />4X<br />lift in purchase intent<br />© TBG Digital 2011<br />
    32. 32. > Targeting<br /><ul><li>Open matrix
    33. 33. Test and Learn
    34. 34. Advanced segmentation
    35. 35. Ad variants
    36. 36. Micro targeting on scale</li></ul>Poker<br />Top Gear<br />Portland<br />Single<br />HBO<br />Male<br />28-29<br />29-30<br />30-31<br />32-33<br />33-34<br />34-35<br />35-36<br />© TBG Digital 2011<br />
    37. 37. > The volumes are there<br />Telecoms1,000 – 4,500 mobile contracts a month<br />Retail 8,000 – 12,000 sales a month<br />Finance22,000 credit card applications a month<br />Travel 5,500 bookings per month <br />© TBG Digital 2011<br />
    38. 38. What’s next?<br />
    39. 39. > 2011 - Social by design<br />© TBG Digital 2011<br />
    40. 40. > What’s “Social by design”?<br />© TBG Digital 2011<br />
    41. 41. >Fans are assets<br />“Fans are 28% morelikely to continue using the brand”<br />“Fans spend $71.84 more on products for which they are a fan”<br />Quotes from SocialTRAC™, Value of a Facebook Fan<br />© TBG Digital 2011<br />© TBG Digital 2011<br />© TBG Digital 2011<br />
    42. 42. So why did JetBlue look to Facebook?<br />© TBG Digital 2011<br />
    43. 43. >JetBlue Market Analysis<br />The 3 goals JetBlue Had Going Into Every Campaign: <br />Brand - Every campaign is an opportunity to talk about our brand differences and product.<br />Buzz - Innovative campaigns which generate buzz for JetBlue both enhance the brand and get us bonus impressions.<br />Butts in Seats -The end goal of every campaign is naturally to fill our planes.<br />In addition:<br />Geo-targeted - JetBlue did not run national campaigns – we ran focused local campaigns which address different market challenges.<br />© TBG Digital 2011<br />
    44. 44. >JetBlue and Facebook – The Context<br /><ul><li>Marketing campaign themed around jetBlue’s 10th Anniversary “You Above All”
    45. 45. JetBlue and Twitter – ‘First Travel Operator to launch Twitter ad campaign’
    46. 46. Develop Facebook to perform consistently as an eCommerce channel for the Brand
    47. 47. Grow jetBlue’sFacebook fan base with focus on JetBlue’s most competitive markets, specifically Boston, to increase passenger load and provide relevant localised communication, such as new routes, upcoming fare sales and improved airport services</li></ul>© TBG Digital 2011<br />
    48. 48. >Campaign Objectives set for TBG<br />1) Deliver a high volume of direct sales at a profitable CPA with a range of different promotions such as a 24 hour sale. <br />2) Introduce jetBlueto a large Facebook audiencewith the specific goal of increase fans where Jet Blue service centres were located.<br />© TBG Digital 2011<br />
    49. 49. >TBG and JetBlue’s Partnered Approach<br />1) TBG reviewed the results of JetBlue online advertising in other channels including search and display.<br />2) TBG developed a test & learn plan that incorporate multiple Ad variations.<br />2) Leveraging ONE Media Manager, TBG was able to create and deploy 10’s of thousands of ads designed to appeal to various demographic segments.<br />3) On an ongoing basis, TBG then optimized both creative and targeting campaigns based on age, gender and geo market age to create a variety of Facebook Ads that appealed to numerous micro profiles to increase sales to specific destinations.<br />© TBG Digital 2011<br />
    50. 50. >Results for JetBlue – Fan Acquisitions<br />In less than 5 months (May to September) TBG tripledthe number of JetBlue fans to 397,120 fans.<br />From May to September, Boston grew its like base by 16,191 fans, California by 12,652 and New York by 16,241.<br />In September 2010 alone TBG added 38,315 fans, had 119,784 page visitors and had over 530 million Impressions.<br />397,120 fans<br />© TBG Digital 2011<br />
    51. 51. >Results – JetBlue vs. Competitor Airlines<br />Southwest – 914,000 Likes<br />JetBlue – 316,000 Likes<br />United – 150,000 Likes<br />American – 71,500 Likes<br />Virgin America – 67,000 Likes<br />Delta Air + Northwest – 41,000 Likes<br />Continental – 28,000 Likes<br />US Airways – 7,500 Likes<br />Source: Facebook Insights Sept 29th 2010<br />© TBG Digital 2011<br />
    52. 52. Q & A - GO<br />© TBG Digital 2011<br />