search and social: birds of a feather or different flock? simposium 2012

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1

Search and SocialBirds of a Feather or Different Flock?

Aaron Goldman, CMO, Kenshoo

Agenda

3

Search + Social = 60% of Online Ad Spend

August 2011 “US Interactive Marketing Forecast, 2011 To 2016”

Social Ad Spend Growth Outpacing Search

5

Birds of a Feather

Paid + Organic

Paid + Organic

PPC Auction

PPC Auction

Precise Audience Segmentation

Precise Audience Segmentation

Highly Customized Creative Messaging

Highly Customized Creative Messaging

Continuous Optimization

Continuous Optimization

16

Birds of a Feather

1. PPC Auction

2. Precise Audience Segmentation

3. Highly Customized Creative Messaging

4. Continuous Optimization

17

Different Flock

Consumer Mindset

vs.

Consumer Mindset

Social

Search

Click Rate Distribution Between Paid Social and Search Campaigns

# o

f Cam

paig

ns

CTR

Time Spent

Time Spent

Ad Targeting

Ad Targeting

Ranking Criteria

High Correlation Between CTR and CPC for Retail Advertiser

CTR %

CPC %

Ranking Criteria

Source: SitePosition

Conversions

Conversions

Conversions

Metrics

Purchases

Revenue

CTRCPC

Conv Rate

Cost

Clicks

Impressions

Revenue/Click Leads

ROI

CPL

CPA

CPM

Downloads

Metrics

Social Impressions

Likes

Fans

Shares

Share of Voice

Connections

Tweets

Retweets

Churn

Follows

AOVMentions

RSVPs

Uniques

CPFVideo Views

Purchases

Revenue

CTRCPC

Conv Rate

Cost

Clicks

Impressions

Revenue/Click Leads

ROI

CPL

CPA

CPM

Downloads

Reach

Social Reach

Engagements

31

Different Flock

1. Consumer Mindset

2. Time Spent

3. Ad Targeting

4. Ranking Criteria

5. Conversions

6. Metrics

32

Best Practices

The Marketing Funnel

Awareness

Consideration

Purchase

Intent

Awareness

Consideration

Purchase

Intent

Customer

Repeat

Advocate

Loyal

The Marketing Hourglass

35

Holistic Strategy

Multi Channel

Attribution3rd Party

Integrations

Advanced Search Keyword Tool Dimensions

Custom Bid Algorithms

Reporting Dashboard

Path to Conversion

Keyword Bid Optimization

Support & Training

Intelligent Campaign Automation

Cross-Profile Advanced

SearchCampaign Templates

Hyper-Local Geo Targeting

Budget Management &

Reallocation

Objectives Management

Call Conversion

Optimization

Google Places/Locations Integration

Call Extensions

SMB/Reseller Support

Flexible Reporting

Intelligent Campaign Automation

Path to Conversion Reporting

Social Ads Manager

Segment Templates

Ad Permutations

Custom Targeting Options

Premium Ads Tracking

Support & Training

Multi-Edit, Copy & Paste

FB Specific Algorithms

Scheduled Actions

Intelligent Campaign Automation

44

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

Last Click Attribution Undervalues Facebook Performance

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

45

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

Last Click Attribution Undervalues Facebook Performance

46

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

Last Click Attribution Undervalues Facebook Performance

47

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

Last Click Attribution Undervalues Facebook Performance

48

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

Last Click Attribution Undervalues Facebook Performance

49

Increase in Facebook ROI for Retail Advertiser Based on Revenue Attribution

• First Only

• Prefer First

• Distribute

Evenly

• U-Shaped

• Prefer Last

• Last Touch20% 40% 60% 80% 100%

First Only Prefer First Distribute Evenly U-Shaped Prefer Last Last Touch

Kenshoo: Proprietary & Confidential Information |

Last Click Attribution Undervalues Facebook Performance

Attribution Simulation

Kenshoo Case Study – Search & Social• Top 100 Internet Retailer running direct response

search and social campaigns, both with positive ROI• 20% of all conversion paths showed ad clicks from

more than one channel (search and social)• Over 1/3 had brand queries in the path to conversion• Consumers discover brand on FB and then search for it by name

Logarithmic Distribution of Keywords in Multi-Channel Conversion Paths

51Kenshoo: Proprietary & Confidential Information |

52

Thank You!Aaron.Goldman@Kenshoo.com

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