This document discusses creating a metrics-driven demand generation program using social media. It shows that consumer time spent on digital media like the web has surpassed television, and introduces social apps and mobile apps as ways to turbocharge engagement. Case studies demonstrate how these channels can increase returns and optimize targeting. The document argues any company can create social apps inexpensively to promote products and drive online sales and engagement.
2. 2011 U.S. Ad Spending vs.
Consumer Time Spent by Media
43%
40%
29%
22% 23%
Ad Spend per Media
16% Time Spent per Media
11%
9%
6%
1%
TV Print Web Radio Mobile
Sources: VSS, Mary Meeker (KPCB), comScore, Alexa, Flurry Analytics
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12. 183% Increase in ARPU in less than Two Months
How effective are my ads in reach?
What is the quality of users from
different countries?
What is my campaign performance
by partner and country tier?
How are my users performing
post install?
www.kontagent.com
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13. Optimizing for Viral Adoption and Revenue Conversion…
Targeting based on cohort analysis and segmentation
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15. Speed A/B Testing
Dramatic increase in valuable users into the game ecosystem
via large scale A/B Testing of ads
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16. Now on to a Multi-Channel Social Chapter
User: Motor Cycle Superstore
Objective: Promote a Black Friday/Cyber Monday
sale using Facebook ads to drive online purchases
Challenge: Cross domain tracking
16
17. Targeted at Fans
Segmented by top
selling
geographies, gender, an
d age ranges
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18. Apps are ideal landing
pages for Facebook ads
www.webtrends.com
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20. Return on ad spend Avg Order Value
$3.58 sold for every $1 on media 1. Email $129.94
2. Social $127.09
Iframe tabs can’t see track the visitor through to
To the 3. Search $124.37
4. None/Organic $111.74
another property, such as a
campaign IDs in the referring 5. Affiliate $109.61
link from an ad or a post. you need a solution
website, 6. Display $104.30
7. Sponsorships $0
that supports cross-domain
Webtrends adapted their tag 8. Contest $0
tracking.
to enable attribution.
Facebook Ad Facebook App Website
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21. The ROI of SAPPS and MAPPS
Cost per engagement
The viral factor
Lifetime value of
engagement
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22. Getting Started
The cost to start a social app is low
Any company can get something up and running!
Cost Time
In-House $68,000 30 Days
Agency $92,000 14 Days
Vendor/Pre-Fab $44,000 8 Days
www.involver.com www.buddymedia.com
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23. The Future is Here
Convergence of content
and advertising
Personalization of SAPPs and
MAPPs based on social and
interest graphs
AI-enabled dynamic
engagement
…delivered to personal
relevance bubbles!
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As analytics has changed how we understand and optimize visitor engagement on websites over the past decade , analytics is now ready to transform how we measure and optimize user engagement over the social Web.
As marketers, we are not spending our marketing dollars where are customers are spending their time!
Over the past few years most brands rushed to social media channels to communicate their marketing messages through this new medium. However, unfortunately they mostly stuck to their traditional, “interrupt driven” marketing approaches instead of taking advantage of new engagement models enabled by social media.
Social media monitoring enablebrands to listen to what customers, prospects and pundits are saying across the social web,and analyze the reach of their marketing campaigns across the various social channels. We now recognize and monitor the growing significance of “Virality”, but there is much debate over how best to measure, optimize and monetize its power.
We are now atyet another fork in the road. We have the opportunity to engage the consumer in entirely new and personalized ways. However, we need to approach social marketing differently and harness its enormous potential for consumer intelligence.
We now possess tremendous information about consumers’ search patterns, engagement patterns, demographics, even social and interest graphs.
Search results and ads we see are already getting personalized, leveraging much of that information to “increase relevance” for the consumer – and to drive conversions.
And, perhaps even more importantly, another trend is emerging. Social channels are enabling an entirely new approach to marketing – one that is all about social engagement and re-invents direct response marketing. Prospects are engaging with your brand on their pcs, ipads and mobile devices all the time. And,they are not engaging with your brand just on your website. On the contrary, the website-centric paradigm of the last two decades is being replaced by an application-centric engagement – and social and mobile apps (SAPPs and MAPPs) are starting to take center stage.
Example: How two auto-dealerships approach customer engagement differently on Facebook. While one employs a traditional marketing and advertising approach, the other turbocharges reach and engagement by incorporating an Angry-Birds like social games and other engaging contenton their brand page. Simple but effective!
Zynga, the company behind Farmville and Fishville, is transforming the online game industry.Zynga is doing so by leveraging analytics to understand what engages their large user base and applying these findings to optimize their marketing campaigns and games for average revenue per user (ARPU).
Social media is adding a new twist to the traditional customer engagement funnel. Engagement is not only increasing conversion rates but also driving viral adoption, driving down user acquisition costs.
Example: Gaia Online – a large online social network - achieved a 183% increase in ARPU in less than two months by applying a methodology similar to the Zynga approach. However, instead of built-in analytics, they leveraged Kontagent, a3rd party analytics platform, to gain similar insights.
Kontagent enabled Gaia Online to optimize their marketing campaigns for ARPU as well as viral adoption by delivering deeper visibility into campaign and ad-level engagement metrics beyond simply install numbers.
LeveragingKontagent, GaiaOnline optimized their marketing campaigns to target users with the highest retention potential through cohort analysis and segmentation.
Gaia Online leveraged large scale A/B testing of in-game offers to creatively optimize game mechanics for ARPU. The freemium model is at play here also - and enables meaningful speed testing, leveraging law of large numbers.
Example: Motorcycle Super Store executed a performance social campaign to drive online purchases, leveraging WebTrends Social.
Studies found that click through rates are 7X higher when you target your fans vs. targeting by interests alone.For this campaign, Motorcycle Superstore (MSS) bought ads that were targeted at their fans. To optimize their campaign MSS, found that more smaller banners had a higher conversion rate than fewer larger banners and have a lower costs per click.They segmented their ads by the states that have the highest order volume,and then again by gender and age. These targeted fans were served ads like similar to the one above and when they clicked, they were taken to an app on their Facebook page that displayed holiday deals.
Facebook apps are iframes that allow brands to create fully customized experiences.In this case Motorcycle Superstore drove the ad clicks to an app instead of directly to their website, because they have found it significantly lowers the bounce rate and increases conversion,as the fans have more context about the deals.Motorcycle Super Store used WebTrendsSocial to build their social application.
From the Facebook apps, visitors are directed to the Motorcycle Superstore ecommerce site, where they can make a purchase.
Standard analytics on the website would have only known that the traffic came from a Facebook app, but would not have known which ad the visitor clicked on prior to the app. In this case Facebook and Webtrends worked together to solve this challenge and, Motorcycle superstore used the cross domain tracking capabilities to follow the user as they went from ad… to app… to site.Powerful Reports can be built around actions, likes, comments, and shares by campaigns and campaign attributes.Motorcycle Superstore had a return on ad spend of about $3.60 in revenue for every dollar they spent on ads.
SAPPs an MAPPs enable brands to target an engage their most valuable user segments. We can now measure and optimize the cost and value of user engagement via SAPPs and MAPPs …not just in single session but through multiple sessions - through the lifetime of the engagement. This is a new way to optimize Life Time Value (LTV)!
There are several options for creating social applications, including building your own using in house developers;using a third party agency,or using the pre-fabapps directly from vendors.