Slides from All Things Facebook, Athens 2013. Are Facebook ads failing marketers, or are marketers using the wrong goals and measurements to define ROI? For more details see http://econsultancy.com/uk/reports/facebook-marketing-trends-briefing

1. Where’s my
Facebook
ROI?
Matt Owen @AllThingsFacebook2013

2. @Econsultancy
@Lexx2099
Facebook.com/Econsultancy
Econsultancy.com

3. Is Facebook
failing
marketers?

4. In October 2013 the
Forrester Company
released research which
ranked how satisfied senior
marketers were with
various digital advertising
channels.
These figures showed that
many senior marketers
were unsatisfied with the
value Facebook ads
provided.

5. The figures prompted Forrester to pen an open letter to Mark Zuckerberg
expressing these concerns:
“[Facebook] focuses too little on the thing marketers want most:
driving genuine engagement between companies and their
customers.
Your sales materials tease marketers with the promise that you’ll
help them create such connections. But in reality, you rarely do.
Everyone who clicks the like button on a brand’s Facebook page
volunteers to receive that brand’s messages — but on average, you
only show each brand’s posts to 16% of its fans”
While I respect these concerns, I think the problem lies elsewhere...
See http://blogs.forrester.com/nate_elliott/13-10-28-an_open_letter_to_mark_zuckerberg for full details.

6. Are marketers
failing
Facebook?

7. What does
Facebook offer
marketers?

9. *Figures for end 2012. Current figure approx 4.4M
http://www.socialbakers.com/facebook-statistics/greece

10. 1 in every 3 Greeks is on Facebook, so it can connect us with a diverse range of users

11. How much
bigger can
Facebook
get?

12. Much bigger!

14. *2012-2013. Source: http://www.idc.com/getdoc.jsp?containerId=prUS24461213

15. Developing markets account for approx 67% of growth. Territories such as India have already
seen mobile traffic outstrip desktop and trend continues globally. See
http://econsultancy.com/uk/reports/reducing-customer-struggle for more.

16. http://econsultancy.com/uk/blog/63603-facebook-ads-roi-and-conversions-increase-in-q3

17. Leaving…
Or just logged out?
https://medium.com/i-m-h-o/53ea514c9ec0

18. How is your / your clients’ social advertising budget split between the following properties?
http://econsultancy.com/uk/reports/quarterly-digital-intelligence-briefing-managing-and-measuring-social

19. Which types of social advertising do you (or your clients) invest in?

20. http://www.wordstream.com/blog/ws/2013/11/05/twitter-versus-facebook-ad-performance

21. Ad performance varies widely by sector.
=
45% Higher CPC
=
30% higher CTR
40% Lower CPC

22. • Gaming ads require users to
complete a social, in-platform
action
• Alcohol ads require an offplatform action, are of limited
interest.
• No story attached to the ad, just a
purchase.

23. http://econsultancy.com/uk/reports/marketing-budgets

24. Are marketers
(and their ad
models) failing
Facebook?

26. https://www.facebook.com/Econsultancy

27. Shows clicks sources of Bit.ly links posted on Econsultancy Facebook page – social links
move around as people share them, making accurate tracking difficult.

28. We’re thinking
about social the
wrong way

29. What does
‘good’
look like?

30. https://www.facebook.com/corporatebollocks

31. Why does this work? Because everybody likes free things. But it’s no guarantee of
engagement or brand loyalty.

32. Advertising
tactics:
1: Like our page. Which is fine, but again,
that just means you’ve got a bunch of
people who are willing to say ‘yes, I like
my toaster, and free things’ occasionally.
It doesn’t follow that they’re willing to
give you money.

33. Advertising
tactics:
2: Buy something.
Well, I might do, assuming I like what
you sell. But then what happens if I
see that ad while I’m at work, and I’m
more interested in the ad for a social
media management system that is
above it?
Or my sister just got married and
posted a hundred pictures I want to
see?

34. Facebook is cluttered. Users look at the news feed. Sidebar ads
have to contend with genuinely interesting content from friends
and family

35. Which ads
work...
and why?

36. Facebook doesn’t ‘hide’ your ads, but users are distracted – no one sees everything posted.

37. Facebook’s design focuses on news feed content. Focus ad efforts here. Sidebar ads
are for continual brand exposure. NOT for direct responses.

38. Test campaign showing difference in results from sidebar and news feed ads.

39. News feed ads connect to deeper content and carry more interesting, relevant messages.

40. Why do Google
ads work?

41. Google ads rely on need. Facebook ads rely on interest.

43. Building engaging
content,
attributing results

44. Measuring Facebook ads
across multiple
touchpoints shows a
higher return than
last-click alone.

46. How much are we
undervaluing ads?
• First Only (first click receives all credit):
Facebook was undervalued 30%.
• Prefer First (first click gets most credit,
subsequent click get decreasing credit):
Facebook undervalued 20%.
• Divide Equally (credit is shared equally
across all clicks): Facebook undervalued
16%.
• Prefer Last (credit given increases from first
to last – last click gets most credit):
Facebook undervalued 12%
• U-Shaped (first and last clicks get majority
weighting with middle clicks getting less):
Facebook undervalued 15%

47. Last-click measurement

48. Attributed measurement reveals 13X higher returns for period.

49. Think about:
• Content and storytelling
• Multichannel impact and
measurement
• Agile optimization

50. Thank you!
Econsultancy.com