Strategic Social Media Marketing
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1 Strategic Social Media Marketing Get your business or agency started with an ROI-based approach and avoid random acts of marketing
2 Introductions Daniel Burstein Director of Editorial Content Zuzia Soldenhoff-Thorpe Research Manager Tamara Rosenbaum National Account Executive Facebook Todd Lebo, Sr. Director of Content & Business Development
3 Join the conversation on Twitter
4 Today s webinar agenda CMO priorities and perceptions driving ROI 6 steps for getting started with a strategic approach Calculating the ROI of social media marketing
5 Annual research cycle improves marketing know-how Publish research on what is working (and what isn t) for marketers today Benchmark Reports, case studies Identify best practices and formulate practical methodologies Handbooks, Special Reports Teach marketers how to apply best practices and methodologies Summits, certification training, webinars This year s cycle is focused on monetizing social media for ROI
6 The importance of social marketing maturity Three Phases of Social Marketing Maturity Trial Phase Transition Phase Strategic Phase Organization does not have a process or guidelines for performing social marketing. Organization has an informal process with a few guidelines it sporadically performs. Organization has a formal process with thorough guidelines it routinely performs. Chart: 46% of CMOs in transition from the Trial to the Strategic phase Social marketing requires investment in human and other resources Strategic process needed to monetize social media channel and prove ROI
7 CMO priorities and perceptions driving ROI
8
9 Priorities for social media are changing Now it s show me the money" Social channel monetization factors are top-of-mind priorities for CMOs Goal of social channel monetization: Measurable return on investment Strategic phase organizations are 80% more likely than Trial to prioritize ROI Why? Trial phase organizations don t have a process for performing social marketing or measuring ROI
10 AUDIENCE POLL? What is your perception about investing in social marketing for ROI? A) Social marketing is producing a measurable ROI. Let s continue to invest in this tactic. B) Social marketing is a promising tactic that will eventually produce ROI. Let s invest, but do so conservatively. C) Social marketing is unlikely to produce ROI. Why invest more? D) Social marketing is basically free. Let s keep it that way.
11 Perceptions driving social marketing investment If social marketing perceived to produce ROI, investment follows Strategic phase 4x as likely as Trial to produce measurable ROI Why? No process, no proof of ROI, no investment Think social marketing is free? You re destined to get what you pay for!
12 The promise of social marketing ROI a reality When ROI equals a positive %, earning more than costing Average social marketing ROI 95% One-in-four CMOs are doubling their social investment (100% ROI) Overcoming the myth that social marketing ROI isn t measurable
13 Real-life example of social marketing ROI Higher sales in stores and through the website
14 Perceptions driving social marketing investment Key Principle 1. Social media marketing: You value (and earn ROI on) what you pay for
15 Six steps for getting started with a strategic approach
16 ? What is the meaning of strategy and optimization in social marketing? Social Media Strategy: Mapping a plan of action items essential for successful SM management o Goal o Resources o Schedule Social Media Optimization: Methodization of social media activity with the intent of attracting unique visitors to online content* o Marketing and brand building o Knowledge management strategy (product/service development, recruiting, employee engagement and turnover, brand building, customer satisfaction and relations, business development and more). o Fostering a community of the associated site for a healthy business-to-consumer relationship. * Source: Wikipedia
17 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis
18 Identify strengths and weaknesses of major competitors Step 1 Perform competitive analysis Analyze what s working for them: Do they have great following? What do they offer their fans/members? What kind of content gets the most feedback? What s the level of engagement? Try to find an innovative approach that has not been used by any of your competitors: Giveaway/contest
19 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis STEP 2: Determine platform(s)
20 Determine which social media platform(s) to focus on Step 2 Determine platform(s) Identify your audience first: o Segment & profile your target audience o Identify where they hang out o Goal: loyal fans converting to loyal customers o Tailor your content to that specific audience Map out a social media marketing architecture: o SM platforms are a place to communicate with customers, provide them with valuable information- make them feel like comrades sharing similar opinions, interests, passion or profession o Set minutes per day for your SM activity
21 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis STEP 2: Determine platform(s) STEP 3: Set up profile(s)
22 Random acts of marketing Step 3 Set up profile Architecture
23 Hub and spoke framework Step 3 Set up profile Architecture Hub sites for content and conversion Spoke sites for building communities, relationships and engagement Directs traffic flow in and out of hubs Number of sites not important a plan and purpose for every site is
24 Communicate. Express. Engage. Step 3 Set up profile Best practices Express Page owners can feature photos of recent, relevant experiences at the top of the Page Communicate Publish timely messages and announcements to your fans Engage Engage with your Page s News Feed from the Page s point-of-view
25 Use your Page identity to express your brand Step 3 Set up profile Best practices 1. Switch from personal Profile to Page that you manage 2. Use Facebook as Page 3. Start using Facebook as your Brand and toggle back to your Profile anytime
26 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis STEP 2: Determine Platform(s) STEP 3: Set up profile(s) STEP 4: Build the community
27 Four ways to promote your profile Step 4 Build the community Promote your profile 1. Invite friends and family 2. Run PPC ads 3. Promote your profile on other, industry-related profiles, walls, blogs, accounts and pages 4. Create an attractive offer, promotion or contest MECLABS example with Research Partner using Facebook platform)
28 Run PPC ads: Targeting Step 4 Build the community Promote your profile Run PPC ads +71% +48%
29 Run PPC ads: Keywords and status targeting Step 4 Build the community Promote your profile Run PPC ads The same ad targeting different status: 1. Engaged and In Relationship 2. Just Engaged +200% The same ad targeting different status: 1. Engaged and In Relationship 2. Just Engaged +79%
30 Run PPC ads: Testing images Step 4 Build the community Promote your profile Run PPC ads Low CTR +12% +27% Generic ad vs. usage of specific keywords +114%
31 Run PPC ads: Testing various creatives Step 4 Build the community Promote your profile Run PPC ads
32 Run PPC ads: Testing copy Step 4 Build the community Promote your profile Run PPC ads +42%
33 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis STEP 2: Determine platform(s) STEP 3: Set up profile(s) STEP 4: Build the community STEP 5: Engage and grow
34 Turn your community into your brand ambassadors Step 5 Engage and grow Continuous efforts for constant activity Audit existing content Give them value Social media channels as your informal website; interest and entertain! Inject sales-messages every posts/tweets Give reason to visit often, check back, subscribe Interact- respond to their comments, questions, concerns Stimulate discussion
35 Reducing customer service cost (immediate response) Step 5 Engage and grow Engagement examples
36 Fun content, polls, stimulating Likes and comments Step 5 Engage and grow Engagement examples
37 Customers seeking advice amongst other Friends Step 5 Engage and grow Engagement examples
38 Customers expressing product satisfaction Step 5 Engage and grow Engagement examples
39 Triggering Response Step 5 Engage and grow Engagement examples
40 Six steps for getting started with a strategic approach STEP 1: Perform competitive analysis STEP 2: Determine platform(s) STEP 3: Set up profile(s) STEP 4: Build the community STEP 5: Engage and grow STEP 6: Avoid common mistakes
41 Top ten mistakes Step 6 Avoid common mistakes 1. Presence on too many SM platforms 2. Lack on specific strategy and/or plan 3. Too many Fans/Likes 4. Quality vs. quantity 5. Selling too much 6. Not interacting with audience enough 7. Lack of consistency 8. No feedback-based testing 9. Don t expect to monetize SM efforts 10. No LinkedIn presence of the company (and/or no employee profiles)
42 Facebook Case Study: How Flowers built a social business
43 How Flowers built a social business Media 3 1 Relationships Results: 4,000 transactions directly from promotion Business 2 Steps to develop: Publishing and Media build community Social Plugins influence product and marketing decisions Media and Sponsored Stories drive sales
44 Calculating the ROI of social media marketing
45 ROI is a measure of financial value returned on every dollar invested Formula: Return on investment = (Value gained from investment Cost of investment) / Cost of investment Tracking the right metrics for determining the values and costs of social media marketing can be a challenge Around 10% of our social media activity directly translates to bottom-line results, making ROI easy to determine for that portion. However, 90% of the work has to do with people building their reputation online and helping others, so they can effectively promote the brand online. That big chunk of work is impossible to measure in terms of ROI. CMO insight
46 When it comes to calculating social media ROI, some metrics matter more than others Qualitative, non-financial metrics CAN be measured Quantitative, financial metrics SHOULD be measured Financial values are metrics that matter most for calculating and proving ROI Return on engagement, return on innovation, etc. mean nothing to the C-suite
47 Values CMOs can use to calculate the Return Many values can be measured Estimated value of quantitative social media metrics Likes/Fans Followers Estimated value of qualitative social media metrics Sentiment Awareness/voice These metrics useful to monitor audience but not to measure ROI
48 Values CMOs should use to calculate Return Actual sales on e-commerce sites can be tracked to social engagement Most organizations know the estimated value of a qualified lead use it! There are two ways to gain value increasing income and reducing costs Not factoring social media s ability to reduce customer support costs is a missed opportunity Which values can and should you use to calculate social marketing ROI?
49 Costs CMOs are using to calculate Investment Investment side of ROI equals costs associated with social marketing Social falls into two main media categories earned and paid Earned media time-intensive tactic requiring more human resources Paid media cash-intensive tactic requiring fewer human resources
50 The NEW word of mouth: Twice as effective Calculating social media ROI Best practices VS 1.6x lift in brand recall 2x lift in message awareness 4x lift in purchase intent Source: Nielsen Meg Griffing Sloan, Becca Foy, and 14 other friends like Heineken.
51 Social media ad campaign ROI Calculating social media ROI Best practices 5x Increase ROI on media
52 Formula for calculating the ROI of social marketing (Value gained from investment Cost of investment) / Cost of investment = ROI Value Gained Minus Cost Divided by Cost Equals ROI ROI analysis: Social lead gen campaign Value: 500 qualified leads tracked to social at est. value $150/lead = $75k Cost: Staff plus other expense = $15k ($75k - $15k) / $15k = 400% ROI
53 Quick recap 1. Use a social marketing architecture to control flow of traffic to conversion 2. Remember what s driving investment in social marketing programs 3. Calculate ROI and do it in a language the C-Suite understands
54 Questions and Comments from the audience Send us your questions:
55
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