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Tagged with metric …

Jul 31 2012
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Digital Marketing, Mobile, Online Advertising

Mobile Ads Drive Sales on Desktops

One of the problems the social media agency will always have with clients is a demonstration of value. The easiest measure is conversions, how many times the ad served by the agency results in a sale. The ultimate problem with this metric, and there are many issues with the metric, is that people are often not making a purchase immediately upon seeing the ads. There are some intervening actions and those cause the conversion metric to fail.

One of those immediate interventions is that people use their mobile devices not as a direct response tool but instead as a storage vehicle. Nielsen has released data that shows 22% of people have made a purchase on their desktop computer after seeing an ad on their mobile device. Only 5% of respondents have actually made the purchase using the smartphone they saw the ad on. The number rises to 8% when tablet replaces smartphone.

The immediate value of mobile devices to the social media marketing agency–its geo-location ability makes target ad delivery possible—is not even appreciated by most mobile users. The age demographic supporting these ads the most is still below 50%. That approval rating drops as the age demographic climbs to those most moneyed and most desired by digital marketers.

It is possible these umbers reflect the nascent technology and are structured by poor mobile advertising. If that possibility is accurate, then we can expect to see the approvals rise as the ads improve. However, the physical limitations of mobile devices will also make them inferior to desktop computers, so the conversion rate of ads will always show a gap. The Michigan SEO company needs to remind clients of this failing and work to establish better metrics for demonstration of value.

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Jun 26 2012
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Facebook, Social Media, Social Network

More Qualitative Study About FaceBook’s ROI

A new study by comScore shows that FaceBook is increasingly important even if that importance is hard to quantify. The study is clear that traditional metrics like click rates are anachronistic and a short sighted way for a brand to measure its FaceBook value. FaceBook’s, and other social networks, are shown by comScore to be important to future conversions, which is difficult to measure.

Starbucks was taken as a experiment and the effects of consumer purchases were measured against consumers that were not exposed to FaceBook as a Starbucks’ branding vehicle. Purchase intent rose by 38% as consumers were repeatedly exposed to Starbuck mentions and posts on FaceBook. FaceBook might not be good about sending people to websites, but it is a fantastic branding vehicle for the long play.

Seeing social networks as a branding vehicle also allows brands to emphasize the best measure. Instead of focusing on moving the customer out of the FaceBook environment, brands ought to instead focus on engagement. Status updates that are calls to action like shares of comments are effective. The study also demonstrates that each engagement is broadcast outwards, whereas a click that exits FaceBook ends when that customer bounces from the brand’s web site.

Most FaceBook users exist solely in their news feed. Venturing to apps or sidebar activities are not the normal pattern of use. Brands need to focus their activities to appear in the news feed. This also means having a large number of fans is irrelevant. Brands need to do things with that fan base. Even something as simple as asking questions is important and helpful to building the brand’s presence.

The study is interesting and illuminating. It also helps the social media agency because the whitepaper detailing the results is free. Using this whitepaper will help the agency condition its efforts for maximum return. It also helps the digital agency convince clients that immediate results are a short term and myopic way to measure effectiveness.

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