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Kenshoo: Proprietary & Confidential Information AVOIDING SOCIAL KPI OVERLOAD 28 June 2011

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Page 1: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information

AVOIDING SOCIAL KPI OVERLOAD

28 June 2011

Page 2: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 2

A few Social KPI’s

Social Impressions

Likes

Fans

PurchasesRevenue

Shares

CTRCPC

Conv Rate

Cost

Clicks

Share of Voice

Connections

Tweets Retweets

ChurnFollows

AOV

ImpressionsRevenue/Click Leads

Mentions

RSVPs

UniquesROI

CPL

CPF

CPA

CPM

Video ViewsDownloads

Page 3: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 3

1. CTR & CPC

2. Volume & Performance

3. Attribution

Social KPI’s & Context

Page 4: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 4

CTR & CPC

Page 5: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 5

Facebook has plenty of impressions

Source: Comscore May 2011

Facebook Yahoo! Microsoft -

50,000,000,000

100,000,000,000

150,000,000,000

200,000,000,000

250,000,000,000

300,000,000,000

350,000,000,000

400,000,000,000

Q1 2011 Impressions

Page 6: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 6

The Impression Issue

Marketplace Ads drive

lots of impressions!

You can’t track view-through

conversions with Marketplace Ads

Page 7: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 7

Clicks are hard to come by

Average Display CTR 0.10 %

Average Facebook CTR 0.05 %

Source: Webtrends Feb 2011

Page 8: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 8

CTR correlates directly to CPC

Monday Tuesday Wednesday Thursday Friday Saturday Sunday50.00%

100.00%

150.00%

CTR %CPC %

Source: Kenshoo Social May 2011

Page 9: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 9

TARGETING VOLUME & PERFORMANCE

Page 10: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 10

U.S. Population Distribution by Age

Page 11: Reid Spice - Facebook Marketing KPIs

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Facebook Population Distribution by Age

age 20 23 26 29 32 35 38 41 44 47 50 53 56 59 62

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

Source: Facebook API June 2011

Page 12: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 12

FB Fans of “Justin Bieber” Age Distribution

age 20 23 26 29 32 35 38 41 44 47 50 53 56 59 62

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

Source: Facebook API June 2011

Page 13: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 13

FB Fans of “Opera” Age Distribution

age 20 23 26 29 32 35 38 41 44 47 50 53 56 59 62

0

1000

2000

3000

4000

5000

6000

7000

Source: Facebook API June 2011

Page 14: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 14

So Facebook’s audience skews young…

who cares?

Page 15: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 15

U.S. Income by Age

15-24 25-34 35-44 45-54 55-64 65+ $-

$5,000.00

$10,000.00

$15,000.00

$20,000.00

$25,000.00

$30,000.00

$35,000.00

$40,000.00

Source: U.S. Census 2010

Page 16: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 16

Average Facebook CPC by Age

15-24 25-34 35-44 45-54 55-64 65+ $-

$0.20

$0.40

$0.60

$0.80

$1.00

$1.20

$1.40

$1.60

$1.80

$2.00

Source: Facebook API June 2011

Page 17: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 17

Test different combinations of targets

to maximize volume and ROAS

Page 18: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 18

ATTRIBUTION & FACEBOOK PERFORMANCE

Page 19: Reid Spice - Facebook Marketing KPIs

Set an attribution model to reflect the true value of each engagement

Keyword 1

Green T-ShirtGreat PricesT-shirt.com

Blue T-ShirtGreat PricesT-shirt.com

Keyword 2

Red T-ShirtXL Size Available

T-shirt.com

Keyword 3

19

Most Advertising Tracking Systems report and act on only the last click prior to purchase

Attribution Models

Linear Ratio

U Shaped

Distribute Evenly

Single Click Only (First or Last)

60 %25 %10 %5% 40 %10 %10 %40% 25 %25 %25 %25% 100%0%0%0% (Last Click)

Page 20: Reid Spice - Facebook Marketing KPIs

20Kenshoo: Proprietary & Confidential Information |

Attribution Model Comparison

First Only

Prefer First

Distribute Evenly

U-Shaped

Prefer Last

Last Touch

0% 2% 4% 6% 8% 10% 12% 14%

* Percentage increase in Revenue using different

attribution models: Apparel client, Fall 2010

Page 21: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 21

If you’re using Last Touch, you’re

under-reporting FB Performance

Page 22: Reid Spice - Facebook Marketing KPIs

Kenshoo: Proprietary & Confidential Information | 22

THANK YOUReid Spice, Director of Product Strategy

[email protected]/Social