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Social Marketing: Where Retailers Should Invest Right Now Rob Reed, CIO and Founder MomentFeed
www.shop.org/summit14
www.shop.org/summit14
We See It in the Numbers
Explosive Smartphone Growth
• Smartphone growth has exceeded all projections
‣ 1.2 billion units sold in the US in 2013 - 62% adoption rate • Mobile media consumption is the only growing
media channel ‣ 6% of total in 2010 ‣ 20% of total in 2013 • Local mobile search is a huge opportunity for
brands ‣ 90% of mobile searches lead to action with 50% leading to purchase
2011
2012
2013
Sources: Nielsen/comScore, eMarketer, Search Engine Land
www.shop.org/summit14
The Way People Find you is Changing Local Business Searches • Majority of mobile searches are now application-
250
based ‣ Google and Facebook mobile apps account for 60% of all app local search • In-store purchase decisions are made based on local
pages ‣ 78% of local-mobile business searches result in a purchase
200 150 100 50 0 2012
Sources:
Desktop
2013
2014
2015
2016
Mobile
comScore, “6th Annual 15miles/Neustar Localeze Local Search Usage Study” BIA/Kelsey, “Annual US Local Media Forecast 2011-2016” http://streetfightmag.com/2013/05/03/local-search-is-becoming-a-mobile-experience-with-a-social-layer/
www.shop.org/summit14
Local SEO Matters
88%
Nearly 9 out of 10 consumers conduct local searches on their Smartphones…
50%
of those consumers visited a store within a day of their local search
The top three organic search results on Google get over 61% of the traffic.
www.shop.org/summit14
What’s Happening?
1 in 3
searches on smartphone occur right before consumers visit a store
15%
of in-store activities involve conducting smartphone searches about a product of for price comparison
Consumer behavior before visiting store and while in-store
www.shop.org/summit14
Typical Local SEO Challenges
Channels are managed separately and key linkages are ignored
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Brands Need to Think Like Google
Cross-platform consistency, quality and recency are critical
www.shop.org/summit14
www.shop.org/summit14
Instagram by the Numbers
1.6B
20B
60M Average
Likes Daily
Photos Shared
Photos Per Day
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The Fastest Growing Social Site Instagram Reddit LinkedIn Pinterest Tumblr Quora Google+ Twitter YouTube Facebook myspace
-22.5
-11.25
0
11.25
22.5
33.75
www.shop.org/summit14
The Branded Selfie
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Facebook by the Numbers
Users are spending 2 hours and 42 minutes a day on mobile devices
22% of mobile time spent is on Facebook
1.01 billion Facebook mobile users
Facebook is the perfect starting point for a mobile strategy
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The Expectation is Relevance
72% of Computer/Tablet users
70% of Computer/Tablet users
67% of Smartphone users
61% of Smartphone users
want ads customized to their city/zip code
want ads customized to their immediate surroundings
Consumers Want Ads Customized to Their Location Source: **http://searchenginewatch.com/article/2343577/Google-Local-Searches-Lead-50-of-Mobile-Users-to-Visit-Stores-Study
www.shop.org/summit14
Case Study Driving Revenue Through Localized Facebook Ads
The Solution 19 pilot locations published localized ads targeted to fans and friends of fans closest to each individual location St. Louis, MO
Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory
The Results 650,000 Unique Local Customers Reached Across 19 pilot locations, The Old Spaghetti Factory was able to reach more than 650,000 unique Facebook users that lived near one of their restaurants
Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory
The Results Significantly More Customer Transactions
2187.5
697
0
7,164
-2187.5
Net Gain
-4375 -6562.5
in customer transactions for the Pilot Group
-6,464
-8750
Control Group
Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory
Pilot Group
The Results Higher Post-Easter Sales Recovery 18% 14% 11%
4.7%
7%
higher than 2013
4%
2.4% lower than 2013
0% Pilot Group: Year-Over-Year Increase 2013 Increase
Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory
2014 Increase
Control Group: Year-Over-Year Increase
Success Story Driving ROI at the Point of Sale
Local Reach
Sales Growth
Transactions
ROI
650,000
4.7%
7,164
30x
unique local customers reached
increase in post-Easter sales growth
more customer transactions
on Facebook ad spend
Localized Facebook Advertising The Old Spaghetti Factory used localized Facebook content and targeting in their ads, driving business results in foot traffic and sales
Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory
The Results Clear ROI on Facebook Ad Spend
30x ROI* Spend
Revenue
*The top two positive outliers were removed from the pilot group this ROI analysis Case Study: Driving Revenue Through Localized Facebook Ads The Old Spaghetti Factory