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Milano, 24 ottobre 2012
Rel. Leonardo Bellini

FACEBOOK COMMERCE
RELOADED
CHI VI PARLA...

            Leonardo Bellini, Fondatore di DML
            Consulente marketing digitale e Social Media

            Docente Master Social Media Marketing IULM

            Autore di Fare business con il Web , Lupetti Editore




                   Autore della Guida su
                   Facebook Commerce
DML - Digital Marketing Lab

                Servizi digitali




   Formazione                      Consulenza
DML – Progetti area Education
Prossimi Workshop per DML
Argomenti trattati:


• Facebook Commerce - 24 ottobre 2012
• Social Influence Marketing - 22 novembre 2012
• Social media Metrics - 13 dicembre 2012
• Facebook Promotions - 17 gennaio 2013




     Organizzazione di Corsi, seminari, Workshop sul marketing digitale
Quasi un anno fa…
1 YEAR LATER…




WHAT HAPPENED?
aprile 2012: lancio sperimentale
di FB Offers in Italia
AT EARLY 2012: BAD NEWS…
“But it was like to trying to sell stuff to people
while they are hanging out wth your friends
at the bar”.
[Sucharita Mulpuru, Forrester Research]
Facebook is for socializing not for
selling…
Thousand of digital apps for business over there but not in a social
environment..like Facebook
SOME DATA IN 2011
§  More than 100k
    Businesses using their
    Facebook Pages to do
    ecommerce

§  1,5 Billion $ ecommerce
    transactions completed
    on Facebook
BRANDS ON FACEBOOK COMMERCE
WHY SELLING ON FACEBOOK?
1
  Nearly in 5 minutes online
  is spent on social networks.
               2008                    2009                             2010                      2011

35
                                                                                                           Social Networking

30                                                                                                      Search/Navigation

                                                                                                 Retail
25
                                                                                             Communications (Email/IM)

                                                                                        Other Content




Time Spent on Key Categories Online
Worldwide Hours per Month (Billions)

                             Source: comScore Media Metrix, March 2007 - October 2011
#3      Facebook’s worldwide site rank

        55%                 Facebook’s global penetration


    3   in 4 minutes on social networking sites
        are spent on Facebook


1
in 7 minutes spent online
are spent on Facebook




Ottobre 2011    Source: comScore Media Metrix, October 2011
“IF I HAD TO GUESS
 SOCIAL COMMERCE
IS THE NEXT AREA TO
REALLY BLOW UP”
      MARK ZUCKERBERG
1. FACEBOOK COMMERCE IS WHAT
CUSTOMERS WANT




      MIND THE PERCEPTION GAP
2. FB HELPS MONETIZE YOUR FB
INVESTMENTS
3. FACEBOOK CAN IMPROVE
CUSTOMER PROFITABILITY
4. F-COMMERCE CAN BOOST MKTG
 EFFECTIVENESS

§  FACEBOOK ROI
§  BRAND
    EXPERIENCE
§  BRAND INSIGHT
§  BRAND LOYALTY
§  BRAND ADVOCACY
5. F-COMMERCE CAN BOOST SALES
ON OTHER PLATFORMS
F-COMMERCE ADVANTAGES




§    Setup ease
§    Very Low setup costs
§    Easy to promote your app
§    Easy to advertise, inside Facebook
§    Payment app features, 29 $ per month
SocialCommerceToday.com. March 2012
SO, WHY DID WE WITNESS SO HIGH-PROFILE
FAILURES?
§  There is nothing intrinsically
    wrong with ecommerce on
    Facebook…


The problem was it was done badly
Main Failure reason:

No unique compelling Value proposition for Facebook Commerce

Most F-Stores were only clones of brand Ecommerce site
§    Same 250.000 Item Catalogue
§    Same products
§    Same prices, same promotions
§    Same way of selling, at just 1 click away from
      online Shop
CONVENIENCE MATTERS TO
 PEOPLE




WHY SHOULD I BUY
ON A FACEBOOK STORE?

..IN A SMALLER SPACE
..AT A SLOWER SITE
..WITH NO REAL ADDED VALUE?
HOW TO SELL ON FACEBOOK
YOU NEED A REAL, UNIQUE, TRUE VALUE PROPOSITION
TO BE SUCCESSFUL ON FACEBOOK COMMERCE
COMPELLING VALUE PROPOSITIONS
EXAMPLES
HELPING FACEBOOK USERS TO CLUB TOGETHER
TO GET BETTER DEALS ON GAME UPGRADES
ZYNGA




           ZYNGA VALUE PROPOSITION
HEINZ VALUE PROPOSITION




HELPING HIS FACEBOOK FANS TO SEND WISHES AND
PERSONALIZED CANS OF ITS SOUPS TO HIS FRIENDS
BURBERRY VALUE PROPOSITION




HELPING ITS FACEBOOK FANS LOOK GOOD AND FEEL SPECIAL
OFFERING THEM EARLY VIP ACCESS TO A NEW FRAGRANCE
TICKETMASTER VALUE PROPOSITION




HELPING ITS FACEBOOK FANS TO BUY TICKETS FOR UPCOMING
EVENTS BASED ON THEIR PREFERENCES, LISTENING HABITS &
RECOMMENDATIONS FROM FRIENDS
STAGESIDE PRODUCTIONS LIVE EVENT
            ORGANIZER




HELPING FANS OF MUSIC BANDS EXPERIENCE LIVE CONCERTS
REMOTELY VIA FACEBOOK
USEFUL SERVICES-BASED VALUE PROPOSITION:

1.  SOLVE PROBLEMS SOCIALLY
2.  SOLVE PROBLEMS THAT ARE THEMSELVES SOCIAL




                        Paul Marsden, SocialCommerceToday
SOLVE PROBLEMS SOCIALLY




Social intelligence means smarter shopping
1. SOCIAL UTILITY




TOOLS THAT HELP PEOPLE PROFIT SOCIALLY THROUGH
COOPERATION OR COLLECTIVE ACTION:
GROUP BUYING TO GET VOLUME PRICING
SOCIAL INTELLIGENCE

“ A wise man learns from experience
of the others, a fool by his own”




DISCOVER, EVALUATE AND DECIDE SOCIALLY,
BASED ON SHARED EXPERIENCE
2. SOCIAL BONDING




SOLVING SOCIAL PROBLEMS: HELPING PEOPLE FIND SOLUTIONS
TO THEIR SOCIAL GOALS: LOOKING GOOD IN THE EYES OF OTHERS
THROUGH PRIVILIGED ACCESS TO NEW PRODUCTS
3. SOCIAL STATUS
IN AUGUST 2011 BURBERRY LAUNCHED A POP-UP SAMPLE
TRY-VERTISING STORE ON FACEBOOK


       FUN FIRST SAMPLING INCREASES WOM BUZZ
       AND ROI OF SAMPLING




  HELP PEOPLE SOLVE THE PROBLEM OF STANDING OUT,
  BY HELPING THEM MANAGE THEIR SOCIAL STATUS BY
  EXPRESSING THEMSELVES (EX. FAN FIRST OFFERS)
SOCIAL MINDSET: CONNECTING &
SHARING
PEOPLE ON FACEBOOK HAVE A SOCIAL MINDSET IN MIND:
CONNECTING AND SHARING WITH OTHERS
APPLE RETAIL STRATEGY
      VIRAL CUSTOMER GET CUSTOMER LOOP




PROFITABILITY OF APPLE STORES: 6000 $ /SQ. FOOT
AGAINST AVERAGE 1200$ FOR ELECTRONICS SHOPS
APPLE FIGURES
APPLE BUILD STORES FOR ENTHUSIASTS AND THOSE ONES
BRING IN NEW CUSTOMERS




APPLE REFERRAL VALUE: 4400$ VS AVERAGE 2300 $
17% OF NEW CUSTOMERS ARE BROUGHT BY ESISTING FANS, THE
SUPER FANS
CREATE A SOCIAL HUB FOR SUPERFANS ON A FACEBOOK PAGE




USE FACEBOOK AS A DEDICATED CHANNEL TO NURTURE AND
MONETIZE YOUR SUPER FANS, YOUR LOYAL ADVOCATES
SOCIAL AND COMMERCIAL
SOCIAL
MINDSET
                        COMMERCIAL
                        MINDSET
SOCIAL MINDSET -> SOCIAL UTILITY
COMMERCIAL MINDSET -> ENABLE PURCHASE ON FACEBOOK




 FIRST F-STORES DIDN’T SUPPORT THE SOCIAL MINDSET
THE SEGRET IS ON 3 P’S:
PEOPLE , PRINCIPLES, PRACTICES




  NOT IN TECHNOLOGY…
ROBERT B. CIALDINI

Psychologist and Best selling
Author
Specialist in social psychology and
Sales psychology
Facebook Commerce Reloaded 2012

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Facebook Commerce Reloaded 2012

  • 1. Milano, 24 ottobre 2012 Rel. Leonardo Bellini FACEBOOK COMMERCE RELOADED
  • 2. CHI VI PARLA... Leonardo Bellini, Fondatore di DML Consulente marketing digitale e Social Media Docente Master Social Media Marketing IULM Autore di Fare business con il Web , Lupetti Editore Autore della Guida su Facebook Commerce
  • 3. DML - Digital Marketing Lab Servizi digitali Formazione Consulenza
  • 4. DML – Progetti area Education Prossimi Workshop per DML Argomenti trattati: • Facebook Commerce - 24 ottobre 2012 • Social Influence Marketing - 22 novembre 2012 • Social media Metrics - 13 dicembre 2012 • Facebook Promotions - 17 gennaio 2013 Organizzazione di Corsi, seminari, Workshop sul marketing digitale
  • 7. aprile 2012: lancio sperimentale di FB Offers in Italia
  • 8. AT EARLY 2012: BAD NEWS…
  • 9. “But it was like to trying to sell stuff to people while they are hanging out wth your friends at the bar”. [Sucharita Mulpuru, Forrester Research]
  • 10. Facebook is for socializing not for selling…
  • 11. Thousand of digital apps for business over there but not in a social environment..like Facebook
  • 12. SOME DATA IN 2011 §  More than 100k Businesses using their Facebook Pages to do ecommerce §  1,5 Billion $ ecommerce transactions completed on Facebook
  • 13.
  • 14. BRANDS ON FACEBOOK COMMERCE
  • 15. WHY SELLING ON FACEBOOK?
  • 16. 1 Nearly in 5 minutes online is spent on social networks. 2008 2009 2010 2011 35 Social Networking 30 Search/Navigation Retail 25 Communications (Email/IM) Other Content Time Spent on Key Categories Online Worldwide Hours per Month (Billions) Source: comScore Media Metrix, March 2007 - October 2011
  • 17. #3 Facebook’s worldwide site rank 55% Facebook’s global penetration 3 in 4 minutes on social networking sites are spent on Facebook 1 in 7 minutes spent online are spent on Facebook Ottobre 2011 Source: comScore Media Metrix, October 2011
  • 18. “IF I HAD TO GUESS SOCIAL COMMERCE IS THE NEXT AREA TO REALLY BLOW UP” MARK ZUCKERBERG
  • 19. 1. FACEBOOK COMMERCE IS WHAT CUSTOMERS WANT MIND THE PERCEPTION GAP
  • 20. 2. FB HELPS MONETIZE YOUR FB INVESTMENTS
  • 21. 3. FACEBOOK CAN IMPROVE CUSTOMER PROFITABILITY
  • 22. 4. F-COMMERCE CAN BOOST MKTG EFFECTIVENESS §  FACEBOOK ROI §  BRAND EXPERIENCE §  BRAND INSIGHT §  BRAND LOYALTY §  BRAND ADVOCACY
  • 23. 5. F-COMMERCE CAN BOOST SALES ON OTHER PLATFORMS
  • 24. F-COMMERCE ADVANTAGES §  Setup ease §  Very Low setup costs §  Easy to promote your app §  Easy to advertise, inside Facebook §  Payment app features, 29 $ per month
  • 25.
  • 27. SO, WHY DID WE WITNESS SO HIGH-PROFILE FAILURES?
  • 28. §  There is nothing intrinsically wrong with ecommerce on Facebook… The problem was it was done badly
  • 29. Main Failure reason: No unique compelling Value proposition for Facebook Commerce Most F-Stores were only clones of brand Ecommerce site
  • 30. §  Same 250.000 Item Catalogue §  Same products §  Same prices, same promotions §  Same way of selling, at just 1 click away from online Shop
  • 31. CONVENIENCE MATTERS TO PEOPLE WHY SHOULD I BUY ON A FACEBOOK STORE? ..IN A SMALLER SPACE ..AT A SLOWER SITE ..WITH NO REAL ADDED VALUE?
  • 32. HOW TO SELL ON FACEBOOK
  • 33. YOU NEED A REAL, UNIQUE, TRUE VALUE PROPOSITION TO BE SUCCESSFUL ON FACEBOOK COMMERCE
  • 35. HELPING FACEBOOK USERS TO CLUB TOGETHER TO GET BETTER DEALS ON GAME UPGRADES ZYNGA ZYNGA VALUE PROPOSITION
  • 36. HEINZ VALUE PROPOSITION HELPING HIS FACEBOOK FANS TO SEND WISHES AND PERSONALIZED CANS OF ITS SOUPS TO HIS FRIENDS
  • 37. BURBERRY VALUE PROPOSITION HELPING ITS FACEBOOK FANS LOOK GOOD AND FEEL SPECIAL OFFERING THEM EARLY VIP ACCESS TO A NEW FRAGRANCE
  • 38. TICKETMASTER VALUE PROPOSITION HELPING ITS FACEBOOK FANS TO BUY TICKETS FOR UPCOMING EVENTS BASED ON THEIR PREFERENCES, LISTENING HABITS & RECOMMENDATIONS FROM FRIENDS
  • 39. STAGESIDE PRODUCTIONS LIVE EVENT ORGANIZER HELPING FANS OF MUSIC BANDS EXPERIENCE LIVE CONCERTS REMOTELY VIA FACEBOOK
  • 40. USEFUL SERVICES-BASED VALUE PROPOSITION: 1.  SOLVE PROBLEMS SOCIALLY 2.  SOLVE PROBLEMS THAT ARE THEMSELVES SOCIAL Paul Marsden, SocialCommerceToday
  • 41. SOLVE PROBLEMS SOCIALLY Social intelligence means smarter shopping
  • 42. 1. SOCIAL UTILITY TOOLS THAT HELP PEOPLE PROFIT SOCIALLY THROUGH COOPERATION OR COLLECTIVE ACTION: GROUP BUYING TO GET VOLUME PRICING
  • 43. SOCIAL INTELLIGENCE “ A wise man learns from experience of the others, a fool by his own” DISCOVER, EVALUATE AND DECIDE SOCIALLY, BASED ON SHARED EXPERIENCE
  • 44. 2. SOCIAL BONDING SOLVING SOCIAL PROBLEMS: HELPING PEOPLE FIND SOLUTIONS TO THEIR SOCIAL GOALS: LOOKING GOOD IN THE EYES OF OTHERS THROUGH PRIVILIGED ACCESS TO NEW PRODUCTS
  • 45. 3. SOCIAL STATUS IN AUGUST 2011 BURBERRY LAUNCHED A POP-UP SAMPLE TRY-VERTISING STORE ON FACEBOOK FUN FIRST SAMPLING INCREASES WOM BUZZ AND ROI OF SAMPLING HELP PEOPLE SOLVE THE PROBLEM OF STANDING OUT, BY HELPING THEM MANAGE THEIR SOCIAL STATUS BY EXPRESSING THEMSELVES (EX. FAN FIRST OFFERS)
  • 46. SOCIAL MINDSET: CONNECTING & SHARING PEOPLE ON FACEBOOK HAVE A SOCIAL MINDSET IN MIND: CONNECTING AND SHARING WITH OTHERS
  • 47. APPLE RETAIL STRATEGY VIRAL CUSTOMER GET CUSTOMER LOOP PROFITABILITY OF APPLE STORES: 6000 $ /SQ. FOOT AGAINST AVERAGE 1200$ FOR ELECTRONICS SHOPS
  • 48. APPLE FIGURES APPLE BUILD STORES FOR ENTHUSIASTS AND THOSE ONES BRING IN NEW CUSTOMERS APPLE REFERRAL VALUE: 4400$ VS AVERAGE 2300 $ 17% OF NEW CUSTOMERS ARE BROUGHT BY ESISTING FANS, THE SUPER FANS
  • 49. CREATE A SOCIAL HUB FOR SUPERFANS ON A FACEBOOK PAGE USE FACEBOOK AS A DEDICATED CHANNEL TO NURTURE AND MONETIZE YOUR SUPER FANS, YOUR LOYAL ADVOCATES
  • 51. SOCIAL MINDSET -> SOCIAL UTILITY COMMERCIAL MINDSET -> ENABLE PURCHASE ON FACEBOOK FIRST F-STORES DIDN’T SUPPORT THE SOCIAL MINDSET
  • 52. THE SEGRET IS ON 3 P’S: PEOPLE , PRINCIPLES, PRACTICES NOT IN TECHNOLOGY…
  • 53. ROBERT B. CIALDINI Psychologist and Best selling Author Specialist in social psychology and Sales psychology