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Marketing on   facebook
                                     Varun Papneja
                                       -Brand Development Team




Monday, June 20, 2011                                            1
Agenda

• Prelude

• Why Facebook

• Advertising /Marketing Platforms on Facebook

• Identifying the Opportunities

• Discussion




Monday, June 20, 2011                            2
Prelude




Monday, June 20, 2011   3
•    Initially built for college and university students in 2004.
•    66 Million Users.
•    16,000+ Apps on platform.
•    Time on site: Ave = ~ 20 minutes
•    Facebook now has more than 42 million active users (double the number one year
     ago when it opened up registration and growing at more than 200,000 per day since
     January)


      Launch: Harvard/College Only

                           Open to Public Pages and Social Ads



    2004            2005   2006        2007        2008




Monday, June 20, 2011                                                                4
                                              Application Platform
Why facebook?




Monday, June 20, 2011   5
•    Facebook = 40-50 million | 200% Growth
•    MySpace = 120 million | 72% Growth
•    Facebook would eclipse MySpace in 09’
•    It’s the best platform to advertise with detailed demographics.




                                                                200
                                                                Million




                                   My Space



                                                     Facebook
                                                                       Q4
2002              2003      2004                                       2008?
Monday, June 20, 2011                                                          6
•       Facilitates Customer Acquisition Quickly
•       Low Cost of Client Acquisition
•       Allows Demographic Targeted Marketing
•       Major users constitute of 18-38 age group, this makes it an active, vibrant medium




    Monday, June 20, 2011                                                                    7
Members use Social Networks for Communication
 •   Opinions of friends, peers or acquaintance is the key to sell and it spreads
     through updates and viral marketing.


 See what my friends are up to:                               86%

 Sent a message to someone:                                   79%

 Posted/updated my profile:                                   70%

 Looked at profiles of people I didn’t know:                  65%

 Searched for someone that I used to know:                    59%

 Send a friend/connection request:                            53%

 Listened to music:                                           47%

 Read a blog or journal:                                      51%

 Wrote on someone’s profile page (e.g. wrote on a             55%
 wall, posted a testimonial):
 Watched a video:                                             40%
Base: US online adult social networking site users, Source: North American Technographics Media And Marketing Online
Survey, Q3 2007
News Feed encourages spread of ideas

                           Trend Watch:
                           News Feed
                           Optimization (NFO)




Monday, June 20, 2011                           9
Groups and Communities




Monday, June 20, 2011    10
Inbox: A “new” email




                        Trend Watch:
                        Email is for “old”
                        people




Monday, June 20, 2011                        11
8 FB Marketing Options
Applications
Groups
Paid Groups
Targeted Ads
News Feed Ad Buys
Pages
Beacon
Guerilla
Execute with a Cohesive Strategy
Advertising /Marketing Platforms on Facebook
Opportunities for Marketers
•    Advertising

      – Banner Ads

      – Contextual//NewsFeed/Flyer Ads

      – Social Ads

•    Marketing

      – Facebook Pages and Sponsored Groups

      – Beacon

•    Word of Mouth/Interaction

      – Applications

•    Intelligence

      – Profiles and Network information

      – Public Groups
Monday, June 20, 2011                         14
Banner Ads



             Recently, Microsoft invested
             in Facebook, broadening it’s
             Advertising opportunities
Facebook Flyers give self-service control




Monday, June 20, 2011                  16
Targeted Advertising/FB Social Ads




Monday, June 20, 2011                17
Social Ad




1. Users can “poke” each other with branded viral messages --
combine social actions such as a purchase of a product or review of a
restaurant – with an advertiser’s message.


2. Brands can buy paid ads. (Frequency capped – users will see no
more than two per day). Users ‘dial’ the frequency of the ads.
Facebook Pages-allow brands to gravitate
fans …
Sponsored Groups
•   Group page with customized
    navigation, look & feel
•   Usually includes a significant
    media buy to drive traffic to the
    sponsored group page
      – Display ads and flyers
      – Newsfeed targeting
•   Costs usually in the six figures
    for a three month engagement
•   Note that any company can set
    up a group for free




    Monday, June 20, 2011               20
Beacon
Simply determine which user actions you would like publish to Facebook and add a
few lines of code to your web page. Facebook Beacon actions include purchasing a
product, signing up for a service, adding an item to a wish list, and more. When a user
performs the action, they will be alerted that your website is sending a story to their
profile and have a chance to opt out

Facebook Beacon enables your brand or business to gain access to viral distribution
within Facebook. Stories of a user's engagement with your site may be displayed in his or
her profile and in News Feed. These stories will act as a word-of-mouth promotion for
your business and may be seen by friends who are also likely to be interested in your
product.
                        •   Opportunities
                             – Greater Trust (if done correctly)
                        •   Challenges
                             –   Not Opt-In
                             –   Many Privacy concerns
                             –   Resistance to peer based recommendations
                             –   Brands need to ‘converse’ to get fans
Monday, June 20, 2011                                                                 21
Companies using Beacon
   Blockbuster                                                       Overstock.com
   Chase                                                             (RED) joinred.com
   The Coca-Cola Company                                             Redlight (stay away from adult sites any one of
   Verizon                                                           them can be this redlight company and be telling
   Epicurious.com                                                    your friends about your sex fetishes. Yuck!)
   Flip.com                                                          SeamlessWeb
   Crest Whitestrips (whitestrips.com) Owned by Proctor              Sony Online Entertainment LLC (station.com)
   and Gamble                                                        Sony Pictures
   Dove Cream Oils (Dove.com) Unilever Company                       STA Travel (statravel.com)
   Herbal Essences (herbalessences.com) Clairol Division             The Knot
   owed by Proctor and Gamble                                        TripAdvisor
   NYTIMES.COM                                                       Travel Ticker
   Saturn                                                            TypePad
   AllPosters.com                                                    viagogo
   Bluefly.com                                                       Vox
   CBSSports.com                                                     Yelp
   Dotspotter                                                        WeddingChannel.com
   ExpoTV                                                            Zappos.com
   Gamefly                                                           ebay
   Hotwire                                                           bluefly.com
   Joost                                                             Travelocity
   Kiva                                                              echomusic
   Kongregate                                                        pronto.com
   LiveJournal                                                       citysearch
   Live Nation                                                       Iwon
   Mercantila                                                        Busted Tees
   National Basketball Association                                   College Humor (same company as busted tees)
                                                                     Fandango
                         Red indicates hesitation after BeaconGate

Monday, June 20, 2011                                                                                                   22
Applications
•    Create useful apps that model what friends do naturally – share
     info, experiences, and laughs.
•    Plan out how to make your app viral.
•    Get feedback from users once you launch.




Monday, June 20, 2011                                                  23
Profile /Public Groups
•   The profile must be rich and
it must have right combination
of applications.
•   It must be informative,
speaking about the product, its
features and updates.

•    Groups are created easily
and they are for free, It can
create nice viral marketing for a
product /service.
•    The main framework that a
group thrives on is
communication among members
and getting more members
regularly.
•    Intrigue the members and it
will surely swell the group with
more members.

  Monday, June 20, 2011             24
Identifying The Opportunities…




Monday, June 20, 2011            25
Social Ads
•    The ads can also be shown to users whose friends have recently engaged
     with your Facebook Page or engaged with your website through Facebook
     Beacon. Social Ads are more likely to influence users when they appear
     next to a story about a friend's interaction with your business.




Monday, June 20, 2011                                                         26
Pricing Clicks/Views




Monday, June 20, 2011   27
Facebook Page - Think of it as word-of-mouth marketing, only
completely free and happening online.


•    Every Facebook Page is a unique experience where users can become
     more deeply connected with your business or brand. Users can express
     their support by adding themselves as a fan, writing on your Wall,
     uploading photos, and joining other fans in discussion group

            • When your fans interact with your Facebook Page, the
              actions they take are automatically generated into social
              stories. These stories are published to News Feed, which
              friends may see the next time they log into Facebook




Monday, June 20, 2011                                                       28
Pricing Clicks/Views




Monday, June 20, 2011   29
Facebook Insight-                             Facebook Insights is a free service for all
Facebook Pages and Social Ads.


           Get valuable metrics about your presence and promotion on Facebook.
           With Facebook Insights, you have access to data on activity, fan
           demographics, ad performance, and trends. With this information, you
           are better equipped to improve your custom content on Facebook and
           adjust your ad targeting



•    Facebook's robust database of authentic demographic information provides you
     with a deep understanding of exactly who is engaging with your business and how.
     From the performance of your social ads to the viral distribution rate of stories
     about your business, Facebook Insights helps you learn more about your target
     audience.


                        •Facebook Insights provides the necessary information to improve the
                        content of your Facebook Pages and the performance of your Social Ads.
                        Refine your Social Ad target demographics, budgets and creatives based
                        on Insights data to increase traffic to your Facebook Page or website
Monday, June 20, 2011                                                                       30
Facebook Poll




We will charge your credit card a $1 insertion fee once you click the "Place Order"
button. Your Poll will go live immediately. Upon completion of your Poll, we will charge
your credit card for the responses you receive (up to an additional $25). Because we
charge your credit card at the conclusion of the Poll, we will store your credit card
information with your Facebook account once you place your order, and you will not be
able to remove it until your order is finished.
  Monday, June 20, 2011                                                                    31
Facebook Poll (sample)




Monday, June 20, 2011    32
Facebook platforms-     helps create applications…


 This quiz
 application was
 created by
 times new York




Monday, June 20, 2011                                33
Useful Tips
•    Facebook marketing is about communicating, not advertising – so act appropriately

•    Be a part of the Facebook experience

      – More like content than advertising

•    Tap into the reasons why friends share

•    Listen, learn, and be ready to make mistakes

•    Carefully segment the market for your product, target the right demographics.

•    Keep updating the channels of marketing every 6-monthly,since social networking
     undergoes many radical changes and frequent updates.

•    Facebook is all about communication, groups, communities, pages, application.
     Leverage most out of them.




Monday, June 20, 2011                                                                  34
DISCUSSION…




Monday, June 20, 2011   35

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Facebook Marketing Guide: 8 Options and Opportunities

  • 1. Marketing on facebook Varun Papneja -Brand Development Team Monday, June 20, 2011 1
  • 2. Agenda • Prelude • Why Facebook • Advertising /Marketing Platforms on Facebook • Identifying the Opportunities • Discussion Monday, June 20, 2011 2
  • 4. Initially built for college and university students in 2004. • 66 Million Users. • 16,000+ Apps on platform. • Time on site: Ave = ~ 20 minutes • Facebook now has more than 42 million active users (double the number one year ago when it opened up registration and growing at more than 200,000 per day since January) Launch: Harvard/College Only Open to Public Pages and Social Ads 2004 2005 2006 2007 2008 Monday, June 20, 2011 4 Application Platform
  • 6. Facebook = 40-50 million | 200% Growth • MySpace = 120 million | 72% Growth • Facebook would eclipse MySpace in 09’ • It’s the best platform to advertise with detailed demographics. 200 Million My Space Facebook Q4 2002 2003 2004 2008? Monday, June 20, 2011 6
  • 7. Facilitates Customer Acquisition Quickly • Low Cost of Client Acquisition • Allows Demographic Targeted Marketing • Major users constitute of 18-38 age group, this makes it an active, vibrant medium Monday, June 20, 2011 7
  • 8. Members use Social Networks for Communication • Opinions of friends, peers or acquaintance is the key to sell and it spreads through updates and viral marketing. See what my friends are up to: 86% Sent a message to someone: 79% Posted/updated my profile: 70% Looked at profiles of people I didn’t know: 65% Searched for someone that I used to know: 59% Send a friend/connection request: 53% Listened to music: 47% Read a blog or journal: 51% Wrote on someone’s profile page (e.g. wrote on a 55% wall, posted a testimonial): Watched a video: 40% Base: US online adult social networking site users, Source: North American Technographics Media And Marketing Online Survey, Q3 2007
  • 9. News Feed encourages spread of ideas Trend Watch: News Feed Optimization (NFO) Monday, June 20, 2011 9
  • 10. Groups and Communities Monday, June 20, 2011 10
  • 11. Inbox: A “new” email Trend Watch: Email is for “old” people Monday, June 20, 2011 11
  • 12. 8 FB Marketing Options Applications Groups Paid Groups Targeted Ads News Feed Ad Buys Pages Beacon Guerilla Execute with a Cohesive Strategy
  • 14. Opportunities for Marketers • Advertising – Banner Ads – Contextual//NewsFeed/Flyer Ads – Social Ads • Marketing – Facebook Pages and Sponsored Groups – Beacon • Word of Mouth/Interaction – Applications • Intelligence – Profiles and Network information – Public Groups Monday, June 20, 2011 14
  • 15. Banner Ads Recently, Microsoft invested in Facebook, broadening it’s Advertising opportunities
  • 16. Facebook Flyers give self-service control Monday, June 20, 2011 16
  • 17. Targeted Advertising/FB Social Ads Monday, June 20, 2011 17
  • 18. Social Ad 1. Users can “poke” each other with branded viral messages -- combine social actions such as a purchase of a product or review of a restaurant – with an advertiser’s message. 2. Brands can buy paid ads. (Frequency capped – users will see no more than two per day). Users ‘dial’ the frequency of the ads.
  • 19. Facebook Pages-allow brands to gravitate fans …
  • 20. Sponsored Groups • Group page with customized navigation, look & feel • Usually includes a significant media buy to drive traffic to the sponsored group page – Display ads and flyers – Newsfeed targeting • Costs usually in the six figures for a three month engagement • Note that any company can set up a group for free Monday, June 20, 2011 20
  • 21. Beacon Simply determine which user actions you would like publish to Facebook and add a few lines of code to your web page. Facebook Beacon actions include purchasing a product, signing up for a service, adding an item to a wish list, and more. When a user performs the action, they will be alerted that your website is sending a story to their profile and have a chance to opt out Facebook Beacon enables your brand or business to gain access to viral distribution within Facebook. Stories of a user's engagement with your site may be displayed in his or her profile and in News Feed. These stories will act as a word-of-mouth promotion for your business and may be seen by friends who are also likely to be interested in your product. • Opportunities – Greater Trust (if done correctly) • Challenges – Not Opt-In – Many Privacy concerns – Resistance to peer based recommendations – Brands need to ‘converse’ to get fans Monday, June 20, 2011 21
  • 22. Companies using Beacon Blockbuster Overstock.com Chase (RED) joinred.com The Coca-Cola Company Redlight (stay away from adult sites any one of Verizon them can be this redlight company and be telling Epicurious.com your friends about your sex fetishes. Yuck!) Flip.com SeamlessWeb Crest Whitestrips (whitestrips.com) Owned by Proctor Sony Online Entertainment LLC (station.com) and Gamble Sony Pictures Dove Cream Oils (Dove.com) Unilever Company STA Travel (statravel.com) Herbal Essences (herbalessences.com) Clairol Division The Knot owed by Proctor and Gamble TripAdvisor NYTIMES.COM Travel Ticker Saturn TypePad AllPosters.com viagogo Bluefly.com Vox CBSSports.com Yelp Dotspotter WeddingChannel.com ExpoTV Zappos.com Gamefly ebay Hotwire bluefly.com Joost Travelocity Kiva echomusic Kongregate pronto.com LiveJournal citysearch Live Nation Iwon Mercantila Busted Tees National Basketball Association College Humor (same company as busted tees) Fandango Red indicates hesitation after BeaconGate Monday, June 20, 2011 22
  • 23. Applications • Create useful apps that model what friends do naturally – share info, experiences, and laughs. • Plan out how to make your app viral. • Get feedback from users once you launch. Monday, June 20, 2011 23
  • 24. Profile /Public Groups • The profile must be rich and it must have right combination of applications. • It must be informative, speaking about the product, its features and updates. • Groups are created easily and they are for free, It can create nice viral marketing for a product /service. • The main framework that a group thrives on is communication among members and getting more members regularly. • Intrigue the members and it will surely swell the group with more members. Monday, June 20, 2011 24
  • 26. Social Ads • The ads can also be shown to users whose friends have recently engaged with your Facebook Page or engaged with your website through Facebook Beacon. Social Ads are more likely to influence users when they appear next to a story about a friend's interaction with your business. Monday, June 20, 2011 26
  • 28. Facebook Page - Think of it as word-of-mouth marketing, only completely free and happening online. • Every Facebook Page is a unique experience where users can become more deeply connected with your business or brand. Users can express their support by adding themselves as a fan, writing on your Wall, uploading photos, and joining other fans in discussion group • When your fans interact with your Facebook Page, the actions they take are automatically generated into social stories. These stories are published to News Feed, which friends may see the next time they log into Facebook Monday, June 20, 2011 28
  • 30. Facebook Insight- Facebook Insights is a free service for all Facebook Pages and Social Ads. Get valuable metrics about your presence and promotion on Facebook. With Facebook Insights, you have access to data on activity, fan demographics, ad performance, and trends. With this information, you are better equipped to improve your custom content on Facebook and adjust your ad targeting • Facebook's robust database of authentic demographic information provides you with a deep understanding of exactly who is engaging with your business and how. From the performance of your social ads to the viral distribution rate of stories about your business, Facebook Insights helps you learn more about your target audience. •Facebook Insights provides the necessary information to improve the content of your Facebook Pages and the performance of your Social Ads. Refine your Social Ad target demographics, budgets and creatives based on Insights data to increase traffic to your Facebook Page or website Monday, June 20, 2011 30
  • 31. Facebook Poll We will charge your credit card a $1 insertion fee once you click the "Place Order" button. Your Poll will go live immediately. Upon completion of your Poll, we will charge your credit card for the responses you receive (up to an additional $25). Because we charge your credit card at the conclusion of the Poll, we will store your credit card information with your Facebook account once you place your order, and you will not be able to remove it until your order is finished. Monday, June 20, 2011 31
  • 32. Facebook Poll (sample) Monday, June 20, 2011 32
  • 33. Facebook platforms- helps create applications… This quiz application was created by times new York Monday, June 20, 2011 33
  • 34. Useful Tips • Facebook marketing is about communicating, not advertising – so act appropriately • Be a part of the Facebook experience – More like content than advertising • Tap into the reasons why friends share • Listen, learn, and be ready to make mistakes • Carefully segment the market for your product, target the right demographics. • Keep updating the channels of marketing every 6-monthly,since social networking undergoes many radical changes and frequent updates. • Facebook is all about communication, groups, communities, pages, application. Leverage most out of them. Monday, June 20, 2011 34