Whitepaper Video Marketing for Restaurants

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1 Video Marketing for Restaurants Restaurants are Using Online Video to Reach More Consumers and Boost Brand Impact

2 Online video is becoming ever more present in consumer life therefore businesses have started adding it to their marketing plans and they are gaining some impressive results. In the restaurant industry, video is providing new ways for businesses to isolate and target local markets and specific demographics, and to advertise in more creative and interactive ways that really engage their customers. Online video in combination with other digital marketing tactics like social media is opening up a new and exciting channel of marketing for restaurants both large and small. The Current Restaurant Market The modern family spends 49% of its food budget in restaurants of all kinds 1 and the restaurant industry is the second biggest private sector employer in North America, accounting for 12.8 million jobs and showing a modest year on year growth 2. There is a very large amount of money being spent in restaurants and takeouts but businesses have to do more to attract their share of the market. Online Video Marketing Online video marketing has become an incredibly powerful tool in the restaurant industry and the marketing world as a whole. This is largely due to the huge presence of YouTube and the concept of viral video. larger reach, and if those who see it then share it with their other friends, the video can reach a huge audience in a very short period of time. Facebook has 845 million active members 5, with around 20% of all internet page views being on the site 6. Facebook users spend on average 20 minutes per visit 7 looking at friends updates and items they have shared and visit at least once a day. Facebook utilizes an algorithm called EdgeRank which enables rich content, videos being the richest to be favored in the newsfeed. There is therefore a huge opportunity for restaurants to get their videos viewed in a social media context. Facebook is the prime content sharing method used, followed by and Twitter: Facebook Leads Sharing YouTube is one of the most highly used services on the internet. 80% of those in the US who have internet access watch YouTube videos 3 and video now makes up for 52% of all web traffic 4. That means there are now more people watching online video than consuming web content in the form of text. For today s web user, this is an extremely popular way of receiving information and marketers should be leveraging this. A video is termed viral when it s shared by those who have seen it. Although some people share via , it is most commonly done via social media platforms like Facebook. When a user shares a video on Facebook, it generates an activity stream on their profile, enabling all of their Facebook friends to see it. The average Facebook user has over 100 friends, so just one share already gives the video a much During a restaurant visit, 24% of people take photos, 14% post photos to their social media profiles, 19% post status updates and 18% check in to the location they are dining. Page 2

3 Online video also has a big impact on search engine results. Search engine optimization (SEO) is the practice of using different techniques to ensure your website gets the best possible ranking when a user performs a Google search on a term relevant to what you do. YouTube videos linking back to your website and tagged with relevant keywords can really boost your restaurant sites ranking, as Google applies a lot of weight to video content in its calculations of site relevance. Additionally, YouTube is now the web s second largest search engine 8, so it is becoming important to get good YouTube search rankings for videos as well as applying SEO techniques just for Google. Have You Ever used Online Video in Your Marketing Efforts? 2010 vs 2011 Restaurants are therefore finding that by producing YouTube videos about their restaurants, menus, staff, and customers and then encouraging sharing via social media campaigns, they are receiving a lot of views, a higher Google ranking, and ultimately, more sales. As people can comment on videos, either on YouTube itself or on sites like Facebook, video marketing also provides an underlying benefit to restaurants. It allows those who see the videos or visit the restaurant to interact, respond, and provide their own views. This is a positive experience for the customer and reinforces the brand relationship, and may also serve as valuable market research, allowing a restaurant to see what people are saying about them. The use of video marketing in business in general has reached what could be termed explosive proportions over the past couple of years, with a huge majority of businesses now using some form of online video in their marketing strategy: Integrating Video on a Restaurant Website Jazzownia Liberalna is a restaurant that uses video on its website to captivate attention. Adding various elements outside of the menu, the owners have gathered a lot of information on the history of jazz and displayed it in a simple interactive timeline. The rest of the website appears fluidly over top of the video. The Wood, a restaurant in the heart of Brussels uses background video to craft a soft atmosphere. This seems to fit well with its woodsy décor. The navigation plays into the rest of the website s structure, tying together the whole experience. When companies who can clearly afford large scale television advertising campaigns adopt the more grass roots approach of low budget YouTube videos, it allows more people to identify with those brands and see them as being in touch with what consumers really care about. Page 3

4 Case Study: How West Cafe Portland Integrated Video & Social Media 9 into their Marketing Mix West Cafe, a small local restaurant in Portland s university district was in a financial position where surviving even another few months was beginning to look impossible. It was at this point that they decided to bring in a marketing expert to re-imagine their strategy. By creating a series of videos, a blog and using Twitter to push some innovative promotions and reach out to people interested in jazz music in support of their weekly jazz nights, West Cafe was able to draw in more business. West Cafe also launched Portland s first ever Twitter coupon. These approaches were backed up in their social media campaign with videos showing what people could expect from the jazz nights, cocktails, and the venue in general, which were shared on the blog and via their social media accounts. Over the period from September to March, during which these campaigns ran, West Cafe saw the following results: At least a 12% increase in sales on the September baseline each month, with as much as a 34% increase seen in February. Unsolicited coverage on local television and in industry press. Website traffic increase of 500%. Top 10 Google search result listing for high volume, relevant keywords like Portland, Cafe and Portland Happy Hour. Case Study: Pizza Hut Used Viral Video to Maintain Brand Awareness 10 Small, local restaurants are not the only ones benefiting from viral video marketing. Large brands also use viral video to encourage top of mind awareness and enforce positive brand impact by providing content that is novel or funny, such as in Pizza Hut s Kicked Out of the Pizza Place campaign. This video had an authentic tone and a comical message, which was solely distributed via YouTube and social media shares and did not tie in to any TV campaign. The video got over half a million views in its first month and was shared on the basis that it was funny and entertaining. While the statistics on how this video transmitted into sales are not available, the intention of this campaign was not to directly convert into sales but to reinforce the Pizza Hut brand to those who saw it, creating a positive association with the Pizza Hut brand and to integrate fun, relatable and innovative marketing. When companies who can clearly afford large scale television advertising campaigns adopt the more grass roots approach of low budget YouTube videos, it allows more people to identify with those brands and see them as being in touch with what consumers really care about. This creates trust and drives business. 80% of those in the US who have internet access watch YouTube videos and video now makes up 52% of all web traffic. Page 4

5 Revealing How Dishes are made With the rise of celebrity chefs, The Food Network and shows like Top Chef, people are now more than ever living vicariously through others who cook. Many restaurants, like The Bristol and Chicago s Piccolo Sogno are posting videos on YouTube and Vimeo of their new dishes being prepared. The idea is to allow people at home to feel more involved and engaged. Posting updates like these on social media does a lot more than just satisfying curiosities the act of reminding customers of their last visit prompts them to want to return and also keeps the restaurant top of mind for customers that have yet to visit but have been planning on doing so. Getting to know the Chefs Many restaurants strive to use video and social media for a tailored, personal experience. It allows customers to instantly feel like regulars when they come into the restaurant. That s why chefs like Joanne Chang of Boston s Myers and Chang and Flour Bakery tweet pictures of their kitchen staff hard at work. How Location-Based Marketing can help you Connect with Customers With location-based apps, customers have the ability to check in to a location via their smartphone and let their friends know where they are. Location-based marketing is so powerful because it is viral by nature and people just love to share what they are doing with their friends, especially when it comes to visiting new restaurants. During a restaurant visit, 24% of people take photos, 14% post photos to their social media profiles, 19% post status updates and 18% check in to the location they are dining. When customers check in to a location they have the option to add a comment, photo or even a video (with the integration of other specialized apps) and this automatically creates an activity feed in their Facebook and Twitter profiles, letting their friends know where they are. They can even tag friends in their check ins, letting others know that these friends are there too. The amount of activity feeds generated multiplies and so does the viral impact. Open Communication between Diners & Chefs Not only do videos and social media let customers view what s behind the employee only door, it gives customers access to the people behind it. It allows chefs to connect with diners before they even walk in the door by creating behind the scenes or dish reveal videos as well as tweeting restaurant specials. When people know, like and trust, they buy videos and social media can help build that relationship. 92% of social media savvy people eat a sit down meal in a restaurant at least once a month Page 5

6 Integrating Video for the Social Media Savvy Set Social media savvy customers are defined as those who are active on one or more of the major social media platforms Facebook, Twitter, LinkedIn and Google+ being the biggest players in terms of networking and interaction, and consumer communities, review sites and apps like Yelp! and Urban Spoon being the most relevant in terms of the restaurant industry 11. Other alternate social platforms that are popular with the social media set, as mentioned previously are the check in, location-based networks, like Foursquare, LocalMind and Facebook Places. It s shown that people who fall into the social media set are substantially bigger consumers of restaurant and takeout products than those who are not yet routinely involved in social media, with 51% determining that restaurant eating is a crucial factor in their lifestyle, compared with 43% of people overall. 92% of social media savvy people eat a sit down meal in a restaurant at least once a month, compared with 84% of the general public 12. This means that online video marketing combined and distributed with a social media marketing campaign, if done in an engaging way, will not only touch more people than a traditional media campaign but will touch those who are most active in the restaurant market. Video Solutions for Web Service Providers Profiles Engaging and unscripted videos that provide clients with the opportunity to deliver a personal message to potential customers in their own style and tone. Ads Either scripted with a professional voiceover or interview-driven to deliver a positive first impression and drive higher conversion. Testimonials Captures customer experiences through authentic, unscripted interviews that build trust and credibility News Compliments traditional PR methods with videos that are journalistic in tone in order to establish credibility and drive media interest. Page 6

7 Appendix: Restaurant Research Notes i. Family restaurant expenditure statistics from: National Restaurant Association ii. iii. iv. Restaurant industry employment statistics from: National Restaurant Association YouTube usage statistics from: 100xTV.com YouTube usage statistics from: 100xTV.com v. Facebook usage statistics from: AnsonAlex.com infographics/facebook-user-statistics-2012-infographic/ vi. vii. viii. ix. Facebook usage statistics from: AnsonAlex.com infographics/facebook-user-statistics-2012-infographic/ Facebook usage statistics from: AnsonAlex.com infographics/facebook-user-statistics-2012-infographic/ YouTube search statistics from: Digital Bard video-seo/ West Cafe case study from: Bonfire Social Media com/social-media-case-study-the-local-restaurant-that-could/ x. Pizza Hut case study from: Marketing Restaurant Online marketingrestaurantonline.com/tag/pizza-hut-funny-video xi. xii. Definitions from: National Restaurant Association pressroom/pressrelease/?id=2039 Social media savvy user restaurant usage statistics from: National Restaurant Association Page 7

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