Slide 5-1

IT 361: E-Commerce Systems

Chapter 4

E-commerce Marketing Communication

Social, Mobile & Local Marketing

Readings: Chapter 7

Slide 4-3

Introduction to Social, Mobile, and Local Marketing

Eyeballs -> Conversation

New marketing concepts “conversations” & “engagement” in 2007:– Rapid growth of SN users– Growth of smartphones– Growth of interest in local marketing

Desktop -> Smartphones

Social-mobile-local nexus

Strong ties between consumer use of social networks, mobile devices, and local shopping

Social Marketing

• Traditional online marketing goals– Deliver business message to the most consumers

(impression)

• Social marketing goals (reach + engagement)– Encourage consumers to become fans and engage

and enter conversations– Strengthen brand by increasing share of online

conversation

Social Marketing Players

The Social Marketing Process

Facebook News Feed ads have a click-through rate 44x higher, and a conversion rate 5X higher, than right-side ads

News Feed Ads vs. Sponsored Ads

The goal of Promotion ads is to reach more of a company’s existing audience and some of their friends

Sponsored StoriesBuilt around user activity

The goal of Sponsored Stories to get more users to take the same action that a friend has

Typical Social Marketing Campaign

• Know your customer• Establish Social brand page – Content is King• Use comment and feedback tools to develop fan

comments• Develop a community of users• Encourage brand involvement through video, rich

media, contests• Use display ads for other pages and social search• Display Like button liberally

Measuring Facebook Marketing Results

• Basic metrics:– Fan acquisition metrics– Engagement metrics– Amplification metrics– Community metrics– Brand strength/sales

• Facebook analytics tools– Facebook Page Insights– Social media management systems (HootSuite)– Analytics providers (Google Analytics, Webtrends)

Mobile Marketing

• 90% of retail plans to have mobile marketing campaign

• People look at phones at least 40 times a day.• Mobile marketing formats

– Banner ads, rich media ads, and video ads– Games– E-mail and text messaging– In-store messaging– Quick Response (QR) codes– Couponing

The Growth of Mobile Commerce

$39B15% of retail & travel sales

Mobile Marketing Campaigns

• Mobile Web site• Facebook and Twitter brand pages• Mobile versions of display advertising

campaigns• Ad networks• Interactive content aimed at mobile user• Tools for measuring responses

– Key dimensions follow desktop and social marketing metrics

Local & location-based marketing

• Location-based marketing– Targets messages to users based on location– Marketing of location-based services

• Location-based services– Provide services to users based on location

• Personal navigation• Point-of-interest• Reviews• Friend-finders, family trackers

• Consumers have high likelihood of responding to local ads

Location-Based Marketing Campaigns

• Location-based considerations– Consider action-based, time-restrained offers and

opportunities– Consider target demographic and location-aware mobile

user demographics

• Measuring marketing results– Same measures as mobile and Web marketing– Metrics for measuring unique characteristics

• Reservations• Click-to-call• Friend• Purchase