social media and marketing slides

1. Social Media in
Advertsing and
Marketing
Ummer Ahmed, Jemimah Colinet, Erin O’Callaghan, Noah
Guber

2. Key terms:
Marketing- Promoting and selling products and services targeted at a specific market. Research is usually utilized to
focus marketing, which may involve use of advertising and social media marketing.
Advertising- Paid and commercial messages purchased by an advertiser or agency representative to appear within
mainstream traditional or hybrid digital media. Sponsored content or “native advertising” mimics the look and feel of
editorial or news content, but it is sponsored as a single ad or part of a larger ad campaign buy.
Click-through Rates (CTR)- A measure of user clicks on sponsored results.
Cost Per Click (CPC)- A social media alternative advertising measure to the traditional cost per thousand mainstream
method for pricing commercial messages. CPC charges advertisers for every audience user click.

3. Key Terms Continued:
Word of Mouth (WOM)- Personal influence is spread through word of mouth communication. In the past, this was mostly done
face-to-face. Now, CMC allows for mediated WOM through social media communication.
Return on Investment (ROI)- Calculation of a financial gain minus the cost of an investment. ROI is expressed as a percentage
or ratio and is sometimes considered a measure of efficiency.
Cost of Ignoring (COI)- A newer metric developed in response to criticism of the lack of social media ROI; it emphasizes the
need for online engagement.
Buzz- The aggregate social network activity from word, term, phrase or other content. On Twitter, for example, we can track
#BreakingNews buzz on a graph of time (X) and total number of tweets (Y).

4. Key Terms Continued:
Benchmark Data- Use of foundational data within a social media campaign. By benchmarking, a social media entity
may set and track longer-term goals and objectives, as well as effectiveness of tactics.
Hardware- The physical computing equipment, such as a desktop, laptop, tablet or smartphone. We also speak of
components-keyboard, mouse, monitor, router, modem, etc. – as hardware.
Software- Computer code that allows hardware to be used via an operating system, programs and applications.

5. Some Important Facts:
Social media has dramatically impacted the world of advertising and marketing. Companies spending money
on online advertising has grown significantly in recent years and is expected to rise strongly through 2017.
Research companies have also collected some interesting data regarding consumer sentiment toward online
advertising and social media:
- Consumers want to see ads that tell a compelling story, not just try and sell
- The majority of consumers trust user product reviews
- Television commercials are more effective than online advertising

6. Facts Continued:
- Traditionally online advertising activity was measured by a system called, “click-through rates” (CTR).
Social media has enabled consumers to interact further with online advertisements. Consumers are
able to share an ad, comment on ad, or give feedback on an ad. Based on these interactions,
advertisers have since changed the way they measure activity. Now advertisers use a cost per click
(CPC) pricing structure instead of the traditional click through rates (CTR).
- Companies highly value word of mouth marketing (WOM) through social media and have since hired
“brand ambassadors” to monitor online conversation and directly engage with consumers. They are
responsible for assessing consumer awareness, sparking popularity, and gaining followers for the
company.

7. Facts Continued:
- Brand ambassadors and community managers are empowered by companies to actively engage
consumers online when needed. If the conversation online about a company or a product is negative
for some reason then a representative from that company must respond with information or
assistance. Many consumers believe that the failure to engage consumers during a conflict could put
the company at a severe disadvantage. Companies weigh the cost of online engagement by
considering the “return on investment,” (ROI) or the alternative can be the “cost of ignoring” (COI).
- As technology has become more advanced, smartphones are believed to have enhanced interactions
while straining others. Social media has created the more rapid spread of information, but sometimes
that information can be false and it is up to other users online to correct the issue themselves. When
the AP Twitter account was hacked in 2013, social media users had to fact-check with other news
sources in order to determine what was actually correct information.