DEV meet-up UiPath Document Understanding May 7 2024 Amsterdam
The rise of the social advertiser pivot july 2011
1. !
Report: The Rise of the Social Advertiser
We are entering the beginning of the end of the destination web as we have
known it. Consumers increasingly spend time in social networks and less in their
email inboxes and visiting traditional websites. As such, brands continue to race
to social media sites in the hopes of connecting with consumers when their
attention is focused on conversations relevant to those brands. Part of the
challenge however, is earning the attention of consumers not just once, but also
building a relationship with them over time.
Many brands are, of course, developing a presence within customer networks of
relevance such as Facebook, Twitter, and YouTube. While some are finding
initial success, most are looking for ways to grow the size of their networks and
and the depth and endurance of their engagement. In social media, a new wave
of digital advertising services and products offer brands the ability to reach
beyond their existing communities. Twitter’s Promoted Products suite,
Facebooks contextual, friend-based banners and “Sponsored Stories” program,
and YouTube’s Promoted Videos, for example, help brands extend their reach by
tapping into the social and interest graphs of consumers. The hope is that
businesses can attract attention, find relevance, and build more effective
communities through a more engaging social advertising program.
The Pivot team set out to learn more about the state of social advertising and its
opportunities by conducting an industry survey of 230 brand managers,
executives, and marketing professionals.
Is Social Advertising the Cure for Banner Blindness?
Digital advertising, such as banners and keyword buys, has long provided
businesses with products to generate opportunities for clickthroughs, but these
products are proving ineffective in social networks. In a phenomenon dubbed
“banner blindness,” consumers are learning to ignore many forms of digital
advertising in favor of the desired content within their area of focus. Usability
guru Jakob Nielsen demonstrated through heat maps1 where our eyes are
focused on a website screen. As you can see, consumer attention zeroes in on
text and not the banners around it.
!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
"http://www.useit.com/alertbox/banner-blindness.html!
2. !
On the social web, banner blindness is even more prevalent. In social networks,
content populates the social streams of consumer profiles. If we apply the heat
map model to social streams, we can visualize how attention may mirror the
behavior in traditional web sites. Advertising blindness is a real threat within
social networks, but at the same time, represents a new opportunity to rethink
paid media. Therefore, social networks are creating products and services to
offer brands the ability to earn the attention of the consumers they hope to reach.
3. !
For social advertising, the new opportunity for engagement lies in and around the
new attention dashboard—the social stream.
Facebook offers managed brand and self-service models. Its Ads and Sponsored
Stories sell against interests and people connected to consumers as well as what
consumers say or reveal about themselves. Businesses can buy Ads against
keywords (interests), languages, geographies, and reach. Additionally,
Sponsored Stories turns Page updates, Places check-ins, Likes, and application
activity by consumers into advertisements.
Twitter sells Promoted Products that appear within the line of sight of consumers,
mostly in close proximity to the social stream. However, that will soon change as
Promoted Products are expected to be placed within the social stream itself in
mid-2011.
Twitter’s monetization strategy lies more in the ability to reach interest graphs
rather than social graphs. The difference is that in a social graph, it’s all about
who you know. On the contrary, interest graphs are based on what people share
or what they say.
4. !
Twitter’s advertising products are designed to reach the right people, in real-time,
at the point of attention and intention (P.A.I.). This means that if you search for
keywords, you may see a relevant Promoted vehicle in the results. Soon, when
you Tweet a relevant keyword or follow a particular business, an ad may show up
within the social stream. With Twitter’s Promoted Accounts and Trends products,
paid inventory is located just to the right of the stream, but still within immediate
view and located strategically to areas where consumer attention also focuses.
Twitter is expected to also introduce self-service products for smaller businesses
later in 2011.
As reported, YouTube is the Web’s second largest search engine. YouTube's
Promoted Videos help brands attract customers, viewers and subscribers by
displaying video ads against relevant search results and related video content on
YouTube. This self-service model complements managed brand services on You
Tube that continue to offer traditional digital advertising units such as banners.
Truth in Social Advertising
The Trends in Social Advertising survey was conducted by the Pivot team to
measure the interest in and utilization of social advertising. An invitation to the
online survey was extended to marketers and agency professionals via email,
blogs,Twitter and Facebook. Responses were received between May 18th and
May 26th, 2011.
5. !
Optimism is rife regarding social advertising. Of those businesses that
responded, 60% anticipate that social advertising will be very valuable to them.
Another 32% view social advertising as valuable, regardless of the level of
satisfaction with past efforts.
6. !
Of the respondents in the 2011 Pivot social advertising survey, 85% were either
currently experimenting with social advertising or planned to do so within the next
12 months.
7. !
Businesses appear to find social advertising successful or worthy of investment.
54% are satisfied or very satisfied with their experiences within social advertising
to date.
8. !
The Pivot study learned that the major social platforms dominate social
advertising plans. 93%, 78%, and 61% of those surveyed have already deployed
campaigns on Facebook, Twitter, and YouTube respectively. Within the next 12
months, businesses will explore social advertising programs beyond these
networks to include Foursquare (26%), LinkedIn (21%) and YouTube (20%.)
Despite its popularity in media and on Wall Street, brands aren’t ready to
advertise on Zynga. Only 2% use Zynga, with 49% stating they’ve no plans to so.
However, 13% of respondents do plan to advertise on Zynga within the next 12
months.
9. !
For brands to experiment in social advertising, they must find the available
products make sense to them. Facebook ranks at the top for the services it
offers, with 31% and 38% of surveyed professionals stating that Facebook’s paid
program offerings are excellent and good respectively. YouTube, Twitter,
LinkedIn and Foursquare do not fair as well, however. Marketing professionals,
executives and brand managers state that social advertising products on these
services are mostly just good and fair as opposed to excellent.
10. !
The perceived or realized advantages of social advertising are broadly shared
among survey respondents. 54% strongly agree and another 37% agree that
social advertising is gaining momentum. 51% strongly believe and 39% agree
that social advertising can enhance the investment in other forms of marketing.
Intelligence is the name of the game in social media and 37% and 35% strongly
agree and agree respectively that social advertising provides more information
about prospects and customers than any other form of marketing.
11. !
Objectives for social advertising appeared all over the map in the survey, as
brands evaluate various outcomes. At 17%, a brand using social advertising to
support product introductions or other announcements is the current most
common outcome. 13% are seeking to engage existing customers. Tied at 12%,
deploying social ads to increase the size of the community or drive traffic to
outside destinations. 11% of respondents designed social ads to build brand
awareness.
At the bottom half of the objectives, there was an interesting three-way draw at
9% between selling products, gaining feedback and intelligence, and generating
leads. At the bottom with 4%, businesses tested social ads for shifting sentiment
and generating video views.
12. !
When asked how frequently they integrate social media functionality into their
advertising campaigns, 38% stated always, 34% did so frequently, and another
21% responded sometimes.
13. !
Social advertising is mostly integrated into campaign planning, with 70% stating
that their social advertising planning is done at the same time as the rest of the
campaign. Planning social advertising before or after the broader campaigns
were planned each had 12% response.
14. !
Among the group planning to experiment within the next 12 months, Pivot asked
which methods they consider “social advertising.” An astounding 83% considered
blogging and Tweeting on behalf of a company, product, or brand a form of social
ads. Paid placements through social network advertising inventory followed with
69%.
Responses also included:
Viral videos: 67%
Contests: 64%
Promoted Tweets, Trends: 63%
Social media optimization (SMO) 62%
Tweet/Like to Win: 55%
Paid Tweets and Posts: 49%
Advocacy/Ambassador programs: 43%
Influence programs: 38%
15. !
Among those businesses currently conducting social advertising, a whopping
67% that engage bloggers and influencers to blog and Tweets on behalf of the
company plan to increase this activity. 42% that are seeing success with SMO
view it as an opportunity to increase the reach of the brand. 30% will boost
investments in viral video creation. 27% that currently advertise in social
networks will up their spending and 21% that use Twitter Promoted products
specifically plan to expand experimentation. On the contrary, 30% of businesses
surveyed do not use Twitter’s Promoted products and do not plan to do so. 41%
also do not pay for Tweets and posts and will not invest in this strategy in the
coming future. However, 12% do pay for Tweets and posts and will increase their
spending on this front while 11% use employ this activity now and will keep it the
same.
We were surprised at the low level of advocacy/ambassador programs across
the board. While 20% run these programs and plan to escalate these activities,
only another 10% are managing these initiatives and will keep them as is. But,
8% plan to decrease the investment, 13% do not plan to use, and 10% aren’t
aware of these programs or they do not apply. On the bright side, 25% do not
use them today, but they do plan to host advocacy/ambassador programs.
16. !
If you’ve run a branded social network address in a traditional advertisement,
you’re not alone: 70% of respondents use traditional media to drive engagement
in social advertising.
17. !
Companies see social advertising as a way to encourage user involvement. 58%
seek users to become involved with the brand. Another 16% hope consumers will
endorse products or the company within their social streams.
18. !
Each network boasts its own culture, defined by how people communicate,
discover, and share. As as result, what works in Facebook will differ from what
works in Twitter, and what’s effective in YouTube may prove ineffective in
Facebook. Social advertising will perform as designed within each platform,
forcing an elimination of a “one size fits all” strategy. To that end, 56% are
customizing their campaigns significantly for each platform. 19% claim to only
customize social advertising campaigns for the major platforms and another 17%
only slightly customize the program based on the network.
19. !
In social media, engagement doesn’t operate with an on/off switch. Consumers
are always-on and expect the same from those with whom they connect. 75% of
businesses agree, claiming that social advertising is an ongoing program.
20. !
As we hear so often these days, the beginning of the end of social media 1.0 is
upon us. Experimentation must now give way to measurable business impact. At
the top of the list, of course, is ROI. For social advertisers, the greatest obstacle
they face is demonstrating ROI, with 42% and 44% claiming it is either a
significant or occasional obstacle. Securing budget is next on the list with 34%
and 53% reporting it as a notable or periodic challenge. Getting executive sign-
off follows, although securing budgets and getting approval could be tied to those
social advertising campaigns that can demonstrate business impact.
21. !
Measurement is key to proving the effectiveness of any campaign.
Demonstrating ROI, securing budget, and earning executive sign-off represent
three of the top challenges in adopting social advertising, making measurement
an essential element for expansion and scale. Most frequently, survey
respondents use social media analytics tools to measure social advertising
effectiveness. The list of measurement tools breaks out as follows:
Social Media Analytics: 63%
Monitoring: 43%
Web analytics: 30%
It’s also interesting to note that 16% are not measuring social advertising efforts
currently.
Conclusion
Social advertising is evolving and is forcing creative professionals to think outside
of a box that may not, in fact, yet exist. In its research, Pivot did not find a magic
bullet to replicable success. The guide for best practices in social advertising is
being written as we go. Additionally, the culture of each social network behaves
uniquely and requires a customized approach. This represents both a challenge
22. !
and opportunity for brands as they must invest creativity, purpose, and value into
each initiative to learn what consumers want or what they tune out.
Whether or not social advertising represents the cure for banner blindness
remains to be proven. Based on the results of this report, brands will continue to
experiment to find the best formula for attracting attention and driving desirable
and measurable performance and outcomes. As revealed in the report, ROI is
important for future funding. Additionally, overcoming advertising blindness is
essential to success. Without designing metrics or outcomes into the campaign, it
will be difficult for marketers to prove value to executives. Without designing
personalization and relevance into social advertising programs, it will be difficult
to prove value to consumers.
The future of advertising will be largely influenced by consumer behavior in social
networks. Those brands that listen, measure, and evolve programs as a result,
will push advertising forward—to the benefit of consumers and ultimately the
brand.