all facebook places_presentations_string v6 6292011
TRANSCRIPT
Greg SterlingSterling Market Intelligence/Opus Research
June 29, 2011
Facebook Places: Deals and Store-Level Marketing
About Me
• Jobs: lawyer, editor, startups, analyst, blogger
• Coverage: search, directories, “social media,” mobile, multi-channel shopping, SMB advertising, etc.
• Twitter: @gsterling
Macro Market Trends
Local
Mobile
Social
New models/social commerce
Unprecedented noise/competition
LocalSocial
Mobile
Local-Mobile-Social All Connected
• Mobile devices a bridge between online and point of sale
• Mobile helps people see importance of local
• Powerful capacity to impact behavior in real time
• Mobiles inherently social, enable immediate “conversations” (pictures, reviews, feedback)
Quick Refresher on Local (Online-Offline)
• 95% of retail transactions happen in stores
• E-Commerce about 4.5% of total retail Q1
• Internet influencing growing % of offline sales
Big and Small Businesses on FB
• According to Goodzer: 38% of “brick and mortar” retailers with websites, in SF and NYC, also have a Facebook presence
• 40% to 70% of SMBs say they have a “presence” on Facebook
• Most of the time a personal profile. Many SMBs don’t know the difference
Facebook Deals: Social Deals
Facebook Deals: Check-in Deals
• Like more traditional coupons, reward presence on premises
• 4 types: individual, friend, loyalty and charity
• Motivate check-ins
• Only available “nearby” on mobile (but promoted on FB or elsewhere)
33% of Facebook Traffic Mobile
67.3%
18.8%
4.4%
4.5%
4.1% 1.0%
PC accessm.facebook.comiPhoneAndroidRIMOther mobile apps
Source: HubSpot analysis of 70,000 Facebook public posts, May 2011
Participation in Deals Programs
Q39: Some companies can alert you to special deals, discounts, products or services tailored to your personal tastes and/or location. In order to offer this level of customization, companies access your location via your phone/mobile device, or use basic information about you, such as your age, gender, and interests. Do you currently participate in any such programs? Source: AT&T Interactive-Nielsen; Local Mobile Searchers (n=1526)
26% of Local-Mobile Users Do Deals
11
1. Coupons
2. Word of Mouth
3. Advertising inserts
4. TV
5. Newspapers
6. In store promotion
7. Direct mail
8. Email
9. Cable TV
10. Internet advertising
Coupons Impact Decisions
“Re holiday advertising, which of the following influences you to shop at a particular store?”
Source: NRF/BIGResearch, 12/08 n=8,860
• Recommendation from a friend — 52%• Location of the business — 10%• A deal — 8%• Familiarity with the owner — 3%• Article or review from a critic — 3%• Online Reviews — 2%• Other — 20%• Don’t know/Refused — 2%
Source: CityGrid survey May, 2010 n=1,006
Deals Trump Reviews
“What is the number one thing that influences you to try a local business?”
Q21: Which of the following are reasons you clicked on advertisements on your mobile device in the past? – “It was…” Source: AT&Ti-Nielsen: All those who ever clicked on advertising (n=865)
Reasons for Responding to Mobile Ads
• 72% of the mobile audience purchases local deals
• 44% purchase local deals at least once a month
• Deal purchasing behavior stays relatively consistent across age groups and gender.
• Those ages 25-44 are most likely to purchase a local deal.
Source: JiWire Q1,2011
Deal Frequency, Demographics
Source: Lightspeed Research, April, 2011 n=3,300
74% of consumer-respondents purchased 4 or fewer deals in the past 12 months. Contrast vs. JiWire data showing much higher frequency
Alternative View of Frequency
Source: JiWire Q1,2011
Deal Sharing Prevalent
Source: Local Offer Network, March 2011
Top Deal Categories (% of Deals)Food & Drink
Beauty, Spa, Massage
Home Products/Services
Fitness & Nutrition
Apparel
Sports & Recreation
Health, Medical & Dental
Kids
Photography
Arts/Entertainment
Combined Other
24%
19%
8%
7%
6%
4%
4%
4%
4%
3%
18%
65% of Deal Buyers Existing Customers?
Frequent customers New customers Infrequent customers Former customers
38%
31%
27%
4%
Source: Foresee Results Q2 2011 (n=22,000)
10.4%
12.5%
77.2%
If you have offered a "daily deal" with a group buying site (i.e., Groupon), would you do it again?
Yes
No
I've never offered a daily deal.
Opus Research, 2/11 n=6875 small businesses
• Yes: 45.5%• No: 54.5%
Rice study: 42% of SMBs who had used group buying (Groupon in particular there) would not repeat
But Would You Do It Again?
Source: Business Insider reader survey, March 2011 n=943
How Real Is ‘Deal Fatigue’?
Case Study Geo-targeted Gordmans Campaign
Veronica D. Stecker Marketing and Media Planner Gordmans, Inc.
Google Places
Facebook Places
CTR And CPC by Industry
Grand Openings
Easter Egg Hunt Campaign
Online Coupons
Memorial Day Posts
Guest Complaints
Dashboarding
