social media: opportunities and challenges jcg new media
TRANSCRIPT
SOCIAL MEDIA: OPPORTUNITIES AND CHALLENGES
JCG NEW MEDIA
Topics
Introduction Defining social media The Players
Media Opportunities Types of opportunities Early testing
Challenges Summary and Questions
Introduction
What is Social Media? Internet- and mobile-based tools for sharing and
discussing information among human beings.
Activities that integrate Technology Telecommunications Social interaction Building shared experiences
What is it really? A much easier way to blog A more effective way to share It can be insane!
Introduction
Does Anyone Else Find This Ironic?
Introduction
Who are the Major Players? MySpace Facebook LinkedIn Friendster Bebo Orkut SecondLife Flickr Twitter
300 Million Users Approximately 90 million in the U.S. 50% log in daily Fastest growing demographic is 35+ Average user has 130 friends 2 Billion pictures are uploaded to the site
every month What is it really?
A much easier way to blog A more effective way to share
Corporate/Professional Networking 45 Million Professionals
Reaching Out To Other Professionals Maintain, renew contacts
My Space
Bebo
Friendster Loop
Media Opportunities
What are the Primary Media Opportunities? Traditional Ads on Networking Sites Social Currency Profiles on Networking Sites Creating Your Own Network
Traditional Ads
Text or Banner ads served up on pages, usually at the sides, top or bottom Pros
Can be extremely targeted to the content on the page
Can be purchased on a CPC basis Cons
Cannot control other content on the page Sometimes considered to be ‘traditional’
marketing, and not ‘social media marketing’
Facebook Testing
Globe Life Juvenile Insurance Tens of Thousands of Impressions Hundreds of Clicks Tens of Applications Didn’t pay out
Prudential Term Life Strong initial performance Failed to meet financial hurdles
Traditional Ads
Traditional Ads
Traditional Ads
Traditional Ads
Traditional Ads
Social Currency
Creating Virtual Currency Get rewarded for online activities
Sign up for an application/service Play a game
Use the currency to “buy” virtual gifts, services
Virtual Currency = Real Consumer Data Essentially co-registration data Or worse yet “incented” data
Explosive Revenue Growth—For Now
Geico Facebook Page
State Farm Facebook Page
Allstate Facebook—Sort of
Creating a Profile
Companies can join networks as ‘members’ and create profile to represent either the company or a product or service Pros
Direct communication and connection with consumers possible
Cons More about brand identity than selling something
concrete Controlling image becomes full time job
Creating a Network
Building a network of your own which users can join Pros
Direct feedback from and interaction with consumers, like a focus group
Cons Costly technology Staff necessary to manage it How do you measure ROI?
Challenges
Challenges
Cost Per Click Media Not Yet Viable Display advertising has always been
challenging Conversion is very low
Competition from softer offers and brand advertisers drives the CPC price up
Challenges
Trying Very Hard To Monetize The Environment Social currency = “incented offers” Co-Registration
Media Companies/Agencies Trying To Be Relevant Teach you Manage the process Multi-platform management
Summary
