big brands & facebook: demographics, case studies & best practices
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Just updated the PPT with demo data from Facebook.TRANSCRIPT
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Big Brands & Facebook: Demographics, Case Studies & Best Practices
Charlene LiVice President & Principal AnalystForrester Research
October 8, 2007
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3Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Theme
Facebook marketing requires communicating,
not advertising
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4Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Agenda
• What are the demographics of Facebook users?
• What are some best practices for brand marketing on Facebook?
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5Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook’s demographics
• 60 million active users projected by end of 2007
» Currently at 44 million active users
» Half of current users return daily
• Facebook also projects that 75% of worldwide users will be outside of college
Source: Facebook
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6Entire contents © 2007 Forrester Research, Inc. All rights reserved.
A drill down of Facebook’s US demographics
• 56.3% female
• 58.4% have some college education
• 14% are non-white
• 34% work as professionals, executives, sales, education, or technical
» 12% are full time students
• 12% have children under 16
Source: Nielsen//NetRatings
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7Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook’s international age distribution
Source: Facebook internal data, September 2007
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8Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook users have “aged” over the past year
20%
35%
8%
36%
21%
23%
11%
45%
Under 18
18-24
25-34
35+
August 2006August 2007
Source: Nielsen//NetRatingsNote: These number differ significantly from Facebook’s internal data, which has 35+ as 6% of all users worldwide in September 2007
Percent of US Facebook users in each age group
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9Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook demographics best practices
• Anticipate that the demographics will change rapidly over the next 12-18 months
• Adjust your marketing plans and plan for flexibility
• Beware of relying on what worked yesterday, especially with fickle college students and newbie 35+ users
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10Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Agenda
• What are the demographics of Facebook users?
• What are some best practices for brand marketing on Facebook?
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11Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Microsoft handles IAB standard ad sales
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12Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Targeting beyond demos
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13Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook’s News Feed Ads insert targeted messages
4-26% CTR for sponsored News Feed stories
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14Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Facebook Flyers give self-service control
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15Entire contents © 2007 Forrester Research, Inc. All rights reserved.
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16Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Theme
Facebook marketing requires communicating,
not advertising
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17Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Sponsored Groups
• Group page with customized navigation, look & feel
• Usually includes a significant media buy to drive traffic to the sponsored group page
» Display ads and flyers
» Newsfeed targeting
• Costs usually in the six figures for a three month engagement
• Note that any company can set up a group for free
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18Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Jeep treats social networks like another channel
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19Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Misses a chance to create a unique community
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20Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Victoria’s Secret also looks like an ad…
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21Entire contents © 2007 Forrester Research, Inc. All rights reserved.
But the community is highly engaged
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22Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Crest White Strips case study
Targeted 20 colleges
Offered free concerts and movie screenings
Live chat facilitate interactions
Measured sales impact at nearby stores
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23Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Ernst & Young engages in a conversation to recruit college students
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24Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Sponsored Groups best practices
• Understand how similar groups meet/don’t meet needs already
• Create a unique experience that
• Enable discussion board, The Wall, photos, etc.
• Read and respond to comments
• Be transparent about your role and perspective
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25Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Why applications on Facebook are different
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26Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Because I know Dave, his review has context
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27Entire contents © 2007 Forrester Research, Inc. All rights reserved.
My colleague Peter Kim shares travel
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28Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Application best practices
• Create useful apps that model what friends do naturally – share info, experiences, and laughs
• Plan out how to make your app viral
• Get feedback from users once you launch
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29Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Recommendations
• Facebook marketing is about communicating, not advertising – so act appropriately
• Be a part of the Facebook experience
» More like content than advertising
• Tap into the reasons why friends share
• Listen, learn, and be ready to make mistakes
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30Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Wal-Mart keeps trying – kudos for effort
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31Entire contents © 2007 Forrester Research, Inc. All rights reserved.
Charlene Li
+1 650/581-3833
www.forrester.com
blogs.forrester.com/charleneli
Thank you