Social Media Advertising Works: Here's Why

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Social Media Advertising
Works: Here's Why
As the amount of social media advertising on the internet
continues to proliferate, so does the number of naysayers
who claim that social media advertising has no effect on
sales, and can even have a negative impact on a brand’s
reputation. Some of these concerns were recently detailed in
a Wall Street Journal article titled “Social Media Fail to Live Up
to Early Marketing Hype.” The piece pointed to a Gallup poll
stating that “consumers are highly adept at tuning out
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brand-related Facebook and Twitter content” and that “these
channels do not motivate prospective customers to
consider trying a brand or recommending a brand to
others.”
This is completely inaccurate. Through our own studies with
research companies such as Datalogix and LoudDoor, we
have seen real-world sales impact after consumers are
exposed to a brand on social media. These results have
ranged from increased brand awareness and elevated brand
perceptions to actual increases in in-store purchases. And
we’re not the only ones seeing the impact. According to a
survey of 2800 marketers conducted by Social Media
Examiner, 92% of respondents indicated that their social
media efforts have generated more exposure for their
businesses, and 80% said that their social media efforts
increased traffic.
While it’s true that the old model of chasing down as many
fans as possible is no longer the way to go, social media
advertising provides brands with a slew of opportunities that
traditional advertising cannot. Here are a few big reasons

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why you can’t afford to dismiss the medium.
Sophisticated Targeting
Half the battle (at least) of effective marketing is making sure
you’re talking to the right people. Platforms such as
Facebook and Twitter provide advertisers with a wealth of
interest-based data that, when used properly, can help
reach a brand’s ideal consumers with relevant, well-informed
content. Now, layer mobile and location data onto that, and
social media targeting becomes even more sophisticated.
Compared with TV and print, the amount of information and
quality of information we have about social media
audiences, from their location and age to their interests and
education, is significantly more detailed and accurate.
Measurability
Brands need to understand what pieces of their marketing
mix are working, and which ones are working the hardest.
There are research partners that can measure the impact of
campaigns on Facebook, Twitter and Tumblr, given a

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minimum investment or volume of impressions. We’ve
deployed studies to track actual sales data of a control
versus exposed (leveraging user IDs) groups to determine if
our campaigns are making an impact on sales. So far, all
these studies have shown incremental lift in sales or trial.
If the goals are more focused on brand perception and
awareness, we measure shifts using pre- and post-campaign
surveys on Facebook. These surveys are relatively
inexpensive and provide quick reads on consumer
perceptions – and can also be used to gather insights on a
brand’s target, which leads to my next point.
Real-time Feedback
Since its inception, social media has been celebrated for
giving brands the ability to have a dialogue with consumers.
And while “engagement” may not be a proven metric of
success, real-time feedback is a highly valuable asset that
allows advertisers to listen to their customers and optimize
accordingly, whether it’s optimizing products and services or
tweaking creative.

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For example, instead of putting together focus groups to
test commercials, how about creating beta videos and
exposing them to an audience online before investing in a TV
campaign? Social channels provide a near real-time
optimization opportunity with the most valuable test group
you can get, because people are experiencing your work in a
comfortable place where they’d normally be consuming
media, rather than some cold research facility miles from
home.
The Power of the Share
It’s easy to get lost in all the social indicators out there, but
the share should be considered as a significant driver of
value. The ability to recommend content is unique to social
media as an advertising channel. Each time someone shares
a brand’s content, it receives an added layer of authenticity
and recommendation, resulting in impressions arguably
more valuable than those driven by the brand.
Still hearing critics saying you can’t prove the ROI of social
media? As one of my clients likes to say, “Social media

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advertising is advertising, and (good) advertising works.”
Original
Article: http://www.socialmediatoday.com/content/social-
media-advertising-works-heres-why
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