facebook advertising best practices oms feb 2012
TRANSCRIPT
@AaronGoldman @Kenshoo
Like it or Not: The Do's and Don'ts of Facebook
Ads
Aaron GoldmanChief Marketing Officer, Kenshoo
@AaronGoldman
@AaronGoldman @Kenshoo
Like it or Not: The Do's and Don'ts of Facebook
Ads
Aaron GoldmanChief Marketing Officer, Kenshoo
@AaronGoldman
@AaronGoldman @Kenshoo
The 3 Legs of Social Media
↗ Page ↗ App
↗ Likes/fans↗ Share↗ Post↗ Check-in
↗ Web ads↗ Social Ads↗ Sponsored
Stories
@AaronGoldman @Kenshoo
Strategy #1 (On FB): Build > Engage > Amplify
Page or App
Creation
Fan Basewith
Like Ads
Publish to Fans
Targeting Fans of Friends
SponsoredStories $
@AaronGoldman @Kenshoo
Strategy #2 (Off FB): Target > Expand > Convert
$
$
$
$
@AaronGoldman @Kenshoo
Keys to Success
@AaronGoldman @Kenshoo
Facebook has Lots of Ad Inventory
Source: Comscore May 2011
@AaronGoldman @Kenshoo
The Click Conundrum
Source: Webtrends Feb 2011, Kenshoo Social July 2011
People on Facebook Are Busy Connecting, Not Clicking
Average Display CTR0.10 %
Average Facebook CTR0.05 %
@AaronGoldman @Kenshoo
The Impression Issue
@AaronGoldman @Kenshoo
Monitor Social KPIs
Social Impressions
Likes
Fans
Shares
Share of Voice
Connections
Tweets
Retweets
Churn
Follows
AOVMentions
RSVPs
Uniques
CPFVideo Views
Purchases
Revenue
CTRCPC
Conv Rate
Cost
Clicks
Impressions
Revenue/Click Leads
ROI
CPL
CPA
CPM
Downloads
Reach
Social Reach
Engagements
@AaronGoldman @Kenshoo
Manage Social KPIs
@AaronGoldman @Kenshoo
Keys to Success
@AaronGoldman @Kenshoo
Set an Attribution Model to Reflect the True Value of Each Engagement
Keyword 1
Green T-ShirtGreat PricesT-shirt.com
Blue T-ShirtGreat PricesT-shirt.com
Keyword 2
Red T-ShirtXL Size Available
T-shirt.com
Keyword 3
Leverage automated advertising tracking systems to report and act on all consumer touchpoints prior to purchase
@AaronGoldman @Kenshoo
Attribution Models
Linear Ratio
U Shaped
Distribute Evenly
Single Click Only (First or Last)
Set an Attribution Model to Reflect the True Value of Each Engagement
Keyword 1
Green T-ShirtGreat PricesT-shirt.com
Blue T-ShirtGreat PricesT-shirt.com
Keyword 2
Red T-ShirtXL Size Available
T-shirt.com
Keyword 3
5% 10% 25% 60%
@AaronGoldman @Kenshoo
Set an Attribution Model to Reflect the True Value of Each Engagement
Keyword 1
Green T-ShirtGreat PricesT-shirt.com
Blue T-ShirtGreat PricesT-shirt.com
Keyword 2
Red T-ShirtXL Size Available
T-shirt.com
Keyword 3
Attribution Models
Linear Ratio
U Shaped
Distribute Evenly
Single Click Only (First or Last)
40% 40%10% 10%
@AaronGoldman @Kenshoo
Set an Attribution Model to Reflect the True Value of Each Engagement
Keyword 1
Green T-ShirtGreat PricesT-shirt.com
Blue T-ShirtGreat PricesT-shirt.com
Keyword 2
Red T-ShirtXL Size Available
T-shirt.com
Keyword 3
Attribution Models
Linear Ratio
U Shaped
Distribute Evenly
Single Click Only (First or Last)
25% 25%25% 25%
@AaronGoldman @Kenshoo
Set an Attribution Model to Reflect the True Value of Each Engagement
Keyword 1
Green T-ShirtGreat PricesT-shirt.com
Blue T-ShirtGreat PricesT-shirt.com
Keyword 2
Red T-ShirtXL Size Available
T-shirt.com
Keyword 3
Attribution Models
Linear Ratio
U Shaped
Distribute Evenly
Single Click Only (First or Last)
100% 0%0% 0%
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
Last Click Attribution Undervalues FB Performance
Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution
• First Only
• Prefer First
• Distribute Evenly
• U-Shaped
• Prefer Last
• Last Touch
20% 40% 60% 80% 100%
First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch
@AaronGoldman @Kenshoo
1/5 of Facebook-Driven Sales Paths Have Multiple Facebook Ad Clicks
@AaronGoldman @Kenshoo
22.5% of Facebook-Driven Sales Paths Have Facebook and Search Clicks
For 1 retailer, over 1/3 had brand queries in the path to conversion-Consumers discover brand on FB and then search for it by name
@AaronGoldman @Kenshoo
Keys to Success
@AaronGoldman @Kenshoo
Targeting is Tantamount
@AaronGoldman @Kenshoo
Marketplace Ad Formats: On FB
↗ Web Ads ↗ Social Ads
↗ App Use or Share Story ↗ Page Like Story
@AaronGoldman @Kenshoo
Marketplace Ad Formats: Off FB
↗ Web Ads ↗ Social Ads
↗ Sponsored Page Posts (with external link)
↗ Domain Story
@AaronGoldman @Kenshoo
Automatically Create Ad Groups
Creative
x
x
Target Ad Group
=
=
@AaronGoldman @Kenshoo
Dynamically Generate Segments
Full Geographic Targeting and Language Settings
Dynamic Estimated
Reach
@AaronGoldman @Kenshoo
Dynamically Generate Segments
Target by age, gender, relationship
status
@AaronGoldman @Kenshoo
Dynamically Generate Segments
Relate to your audience through likes & interests, education & workplaces
@AaronGoldman @Kenshoo
Dynamically Generate Segments
Reach Friends of Friends
Save Custom Target Settings
@AaronGoldman @Kenshoo
Keys to Success
@AaronGoldman @Kenshoo
High Variable Cost Between Targets
Avg. CPC
Population Size
@AaronGoldman @Kenshoo
Testing Tactics
Segments
Images
Messaging
Scheduling
Bidding
@AaronGoldman @Kenshoo
Save Segments
Segments
@AaronGoldman @Kenshoo
Iterate Images
SegmentsImages
• Background colors• People vs. objects• Animals• Shock and awe
• Use buttons• Image frames• Celebrities• Think outside the box!
@AaronGoldman @Kenshoo
Iterate Images
SegmentsImages
• Background colors• People vs. objects• Animals• Shock and awe
• Use buttons• Image frames• Celebrities• Think outside the box!
@AaronGoldman @Kenshoo
Messaging Matters
Messaging
• Use a Call to Action• Refresh Copy Often• Use Promotional Codes• Don’t Use Standard Search Copy• Personalize Ads• Short and Concise is Best• Or….
@AaronGoldman @Kenshoo
Messaging Matters
Messaging
• Let your fans do the talking for you!• Sponsored Stories drive 300% higher
conversion rates for app installs
Source: Kenshoo Social
@AaronGoldman @Kenshoo
Track Timing
Scheduling
@AaronGoldman @Kenshoo
Track Timing
Scheduling
@AaronGoldman @Kenshoo
Track Timing
Scheduling
@AaronGoldman @Kenshoo
Bid Better
Social
Search
Smaller Social CTR Variance Demands Tighter Bid Algorithms
# o
f Cam
paig
ns
CTR
Bidding
@AaronGoldman @Kenshoo
Bid Better
Social
Search
Smaller Social CTR Variance Demands Tighter Bid Algorithms
# o
f Cam
paig
ns
CTR
Bidding
Leverage custom Facebook bid algorithms to manage campaigns based on your goals
• CPC• CPA
• ROI• Follow FB Suggested Bid
@AaronGoldman @Kenshoo
Will the Circle be Unbroken?
@AaronGoldman @Kenshoo
@AaronGoldman @Kenshoo
@AaronGoldman @Kenshoo
Thank You San Diego, Good Night!
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LinkedIn.com/Company/KenshooPlus.Google.com/u/0/116913360207972147879
Mountain View, we have a problem!