There’s been a great deal of discussion lately about the interplay between paid, owned, and earned media and the impact it has on Facebook marketing campaigns. In a November post, I addressed strategies for successful integrated social campaigns including a handful of key takeaways for marketers. I thought it might be interesting to follow up that article with some real-life results of how marketers are using those strategies to maximize the impact of their social marketing initiatives.
The Kenshoo Social team recently examined a large sample of campaign data from major online retailers who ran active Facebook marketing programs throughout the holiday season. The results are impressive and provide strong validation for marketers attempting to close the loop between their owned and paid social marketing.
The analysis below takes the previously suggested takeaways and explains how Kenshoo Social’s online retailer clients implemented them to yield significant social media ROI on Facebook.
Develop a strong core of owned assets and fans.
Building on their brands’ organic social presence, online retailers continued to increase their Facebook brand page activity throughout the holiday season, interacting with fans through multiple daily page posts, photo sharing, and other status updates that were displayed in their fans’ desktop and mobile news feeds.
Leverage paid ads to scale your brand’s reach.
In addition to expanding and refining their owned media page post activity to drive higher quantity and quality of interaction, retailers continued to execute fan generation campaigns to extend their fan base and reach. At the same time, retailers increasingly implemented ROI-driven campaigns to drive off-site sales on their websites, generating an average 4.7 times return on ad spend (ROAS) from their holiday Facebook campaigns.
Amplify your owned media with paid social ads and sponsored stories.
Using integrated owned and paid media tracking solutions, retailers were able for the first time to measure and attribute sales and revenue to individual posts on their brand pages. Moreover, the online retailers gained valuable insights into the posts that drove the most online purchases and used this information to identify the best posts to amplify via desktop and mobile Page Post Ads (example below), extending reach and sales to non-fans.
Use a measurement system that enables you to follow the consumer’s path of interaction with each of your owned, earned, and paid assets.
Leveraging integrated tracking and attribution systems as well as the newly created owned media metrics of revenue-per-post (RPP) and revenue-per -click (RPC), social content managers were able to identify the best performing posts and optimize subsequent posts towards revenue goals. Several retailers discovered that their owned media page post activity was generating hundreds of thousands of dollars in revenue that was not previously credited to these initiatives or was disproportionately credited to other media channels.
Attribution errors like these tend to distort multi-channel campaign analysis and can result in erroneous budget allocation and suboptimal overall campaign performance. Paid social media buyers also benefited by selectively amplifying posts based on conversion and revenue data rather than relying simply on engagement metrics such as likes and shares, which do not necessarily correlate to sales.
Optimize by developing owned and paid assets that reinforce each other and drive desired consumer actions.
Throughout the holiday season, Kenshoo Social retailers posted an average 5 to 6 times per day on their Facebook brand pages and generated millions of high-quality visits to their websites that resulted in significant sales and revenue. Of these visits, retailers generally achieved an average order value (AOV) on par with their paid search campaigns along with an average overall conversion rate of 1.75 percent, with conversion rates on some of the most successful posts exceeded a whopping 10 percent! (Interestingly, Page Post Photo Ads tended to generate the highest overall revenue.)
The data in this study demonstrated that up to 40 percent of online retailer organic page posts may result in significant sales and revenue, while the other 60 percent may more successfully generate social engagement such as likes, shares, and comments. Moreover, amplification of the best revenue-generating posts as desktop and mobile news feed Page Post Ads extended sales beyond the retailers’ fan bases and generated up to 5 times revenue lift and 30 times return on investment (ROI).
Each step outlined above plays an essential role in the success of social media marketing campaigns on Facebook. While individual results may vary depending on a variety of factors, the data provides a strong argument for taking an integrated approach to paid and owned social media initiatives.
While social marketing evolves every day, using these takeaways as a model and making decisions based on holistic campaign data will put marketers in the best position to maximize campaign performance for their brands.
- Todd Herrold