SlideShare a Scribd company logo
Social Media Advertising
No more free lunch
Why is there social media advertising?
● Social media platforms are no
longer startups in a garage but
large companies that invest heavily
in people and ICT
● They are publicly-listed companies,
and need to show ROI to
shareholders
● 2015 revenues: Facebook = $17.9bn,
LinkedIn = $2.9bn, Twitter = $2.2bn
● Current market cap: Facebook is
worth $318bn, LinkedIn $15bn and
Twitter $12bn
Why do we advertise on social media?
Huge audience
Social media is now
mainstream, and companies
have to consider advertising on
this platform just as they would
consider advertising on
traditional media.
● FB has 1.59bn
● Instagram has 400m
● Twitter has 320m
● LinkedIn has 100m
*Monthly average users
Audience targeting
● Social media platforms offer
advanced audience targeting
● Not just geographic location or
basic demographics, but also
interests
● LinkedIn offers a professional
audience that can be segmented
for ads
Measurability
● With analytics, advertisers are
able to get up-to-date
information on the performance
of ads, and costs
● Advertisers can track what
users do after clicking on their
links
● Twitter ads allows advertisers
to see what works and what
doesn’t, and make live
changes
Reachpocalypse
● Facebook has been steadily
reducing organic reach since 2012;
bigger pages are harder hit
● Some believe organic reach will
eventually end - FB Zero
● As more businesses join social
media, they don’t just need good
content, but advertising to give
them reach
Advertising types
What is the objective?
Growing followers
Various types of engagement
LinkedIn
Text ads
Sponsored posts
Twitter
Tweet engagements Video views
Twitter
Leads on Twitter Website clicks and conversions App installs and engagement
Facebook
Promoted posts Video views
Facebook
Website clicks and conversions
Facebook
Facebook lead ads
What DUO has done
Huawei Enterprise
Examples of promoted posts
Huawei Enterprise
● Website clicks ad to
drive people to sign up
for the free webinar
● 96k reach, 1k clicks
through to the
registration website at
under R2 CPC
Huawei Enterprise
● Promoted tweets to
drive webinar
registrations
● No engagement
buttons or Twitter
cards at this stage
● More expensive at
R15 CPC
CloudGate
● Website clicks
campaign to send
people to the
CloudGate Shopify
page
● CPC of less than R2
● Lack of integration
means that we could
not track what
happens to people
after they leave
Facebook
Where to from here?
More social media ads
● Increasing use of ad-
blockers forces brands to
turn to social media and
native advertising
Video advertising
● SA mobile video
consumption increased by
42% in 2015 - IAB
● Video to account for 78%
of SA’s internet traffic by
2019 - Cisco VNI
● Africa online video
consumption to increase
by 55% p/a till 2019 -
Ericsson CEO
Hyper-local ads
● Right place, right
time
● Apps that use geo-
location services
CRM-linked advertising
● Integrate customer info
from CRM databases
with social media
targeting to serve ads
based not on online
interests, but actual
purchasing behaviour
Less social media ads?
● Advertising overload; brain
gets trained to ignore ads
● More tech to skip/block
ads
● Subscription model

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