Presentation on theme: "E-commerce Marketing & Advertising"— Presentation transcript:
1E-commerce Marketing & Advertising IT 361: E-Commerce SystemsChapter 4E-commerce Marketing & AdvertisingSocial, Mobile & Local MarketingReadings: Chapter 7
2Facebook: Putting Social Marketing to Work Class Discussion 190M users in North America, & 1 B globalFace was the next Google & next Amazon2012, Stock price $38 -> $17.5 “would facebook be able to increase its advertising revenue?” “will social marketing work?”2012 mobile strategies:Ads in users news feedsShift from browsers to apps (8K developer + 25K facebook apps + 20M apps installed everyday)Redesigning facebook apps for mobileApp-install adsIn-app adsAdvantages of in-app ads:not perceived to be disruptive or annoying as new fees adsInconvenience of ads vs. free game2013: 40% access facebook from mobile + mobile ads generated 41% of facebook revenueSuccessful with small businesses (connect with shopping carts + online community + videos + contest)
4Facebook: Putting Social Marketing to Work Class Discussion Important questions:Does facebook marketing & advertising platform really work? how well vs. other techniques?Do Likes turn into sales?Marketing vs. Driving sales?Is it sustainable?Other initiatives: video ads + integrating with instagramResearch about the effectiveness of social marketing5% rank social network as the most important factor for purchasing2-7% influence customers prior to purchase vs , SE, display ads, website.88% of companies use facebook for marketing
5Facebook: Putting Social Marketing to Work Class Discussion Have you ever made a purchase based on something you have read or seen on Facebook? What was the product and what made you interested?What obstacles does Facebook face in monetizing itself as a marketing and advertising platform?Are there other ways for Facebook to make a profit from marketers and advertisers?
6Introduction to Social, Mobile, and Local Marketing Eyeballs -> ConversationNew marketing concepts “conversations” & “engagement” in 2007:Rapid growth of SN usersGrowth of smartphonesGrowth of interest in local marketingDesktop -> SmartphonesSocial-mobile-local nexusStrong ties between consumer use of social networks, mobile devices, and local shopping
9Social Marketing Traditional online marketing goals Deliver business message to the most consumers (impression)Social marketing goals (reach + engagement)Encourage consumers to become fans and engage and enter conversationsStrengthen brand by increasing share of online conversation
13News Feed Ads vs. Sponsored Ads Facebook News Feed ads have a click-through rate 44x higher,and a conversion rate 5X higher, than right-side ads
14The goal of Promotion ads is to reach more of a company’s existing audience and some of their friends
15Sponsored Stories Built around user activity The goal of Sponsored Stories to get more users to take the same action that a friend has
16Typical Social Marketing Campaign Know your customerEstablish Social brand page – Content is KingUse comment and feedback tools to develop fan commentsDevelop a community of usersEncourage brand involvement through video, rich media, contestsUse display ads for other pages and social searchDisplay Like button liberally
18Insight on Technology Fairmont Hotels How do social technologies help identify and attract loyal customers?What are the challenges in measuring the effectiveness of social campaigns?What were the advantages Fairmont Hotels found in using Google Analytics?
19Mobile Marketing 90% of retail plans to have mobile marketing campaign People look at phones at least 40 times a day.Mobile marketing formatsBanner ads, rich media ads, and video adsGamesand text messagingIn-store messagingQuick Response (QR) codesCouponing
23Mobile Marketing Campaigns Mobile Web siteFacebook and Twitter brand pagesMobile versions of display advertising campaignsAd networksInteractive content aimed at mobile userTools for measuring responsesKey dimensions follow desktop and social marketing metrics
24Local & location-based marketing Targets messages to users based on locationMarketing of location-based servicesLocation-based servicesProvide services to users based on locationPersonal navigationPoint-of-interestReviewsFriend-finders, family trackersConsumers have high likelihood of responding to local ads
25Location-Based Marketing Campaigns Location-based considerationsConsider action-based, time-restrained offers and opportunitiesConsider target demographic and location-aware mobile user demographicsMeasuring marketing resultsSame measures as mobile and Web marketingMetrics for measuring unique characteristicsReservationsClick-to-callFriendPurchase