michael lazerow_mashable connect conference
DESCRIPTION
TRANSCRIPT
SOCIAL COMMERCE:HYPE VS. REALITY
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PRESENTED ENTHUSIASTICALLY BY
MICHAEL LAZEROW
CEO, BUDDY MEDIA
THREE BREAKTHROUGH IDEAS THAT WORK TODAY
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WHAT IS SOCIAL COMMERCE?
ECOMMERCE 1.0
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“UTILITARIAN HUNT FOR STAPLES”
-OM MALIK
ECOMMERCE 1.0
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CONVENIENCE.PRICE.SELECTION.
CONVENIENCE
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CONVENIENCE
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PRICE
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SELECTION
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SOCIAL COMMERCE
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“FRICTIONLESS SHOPPING”
SOCIAL COMMERCE
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SOCIAL AND INTEREST GRAPHS DRIVE BUYING DECISIONS
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TALI IS SHOPPING FOR A SUIT FOR HER HUSBAND.
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THE WORLD IS BUILT AROUND PEOPLE.
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THANKS TO FB, THE WEB IS ORGANIZING AROUND PEOPLE.
SEARCH: A BLUNT INSTRUMENT
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IF YOU ONLY HAVE A HAMMER, YOU TEND TO SEE EVERY PROBLEM AS A NAIL.
- ABRAHAM MASLOW, PSYCHOLOGIST
BLACK-HAT SEO EXPERTS
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SOURCE: SEARCHENGINEWATCH.COM
“The popularity of Google’s search engine is still second to none, but Google has been plagued by black hat SEO practices and content farms for a while now … ”
CONTENT FARMS
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- MASHABLE, FEB. 2011.
LAST-CLICK ATTRIBUTION
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Last click attribution ignores 97% of spend driving conversions.- JULY 2010 DATAXU STUDY
SOCIAL
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HUMAN BEHAVIOR, NOT CODE.NOT EASILY SPAMMED.NOT EASILY CONTROLLED.
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IS YOUR BUSINESS BUILT AROUND PEOPLE?
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PHYSIOLOGICAL
SAFETY
LOVE/BELONGING
ESTEEM
SELF-ACTUALIZATION
MASLOW’S HIERARCH OF NEEDS
SOURCE: http://en.wikipedia.org/wiki/File:Maslow%27s_Hierarchy_of_Needs.svg
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PHYSIOLOGICAL
SAFETY
LOVE/BELONGING
ESTEEM
SELF-ACTUALIZATION
MASLOW’S HIERARCH OF NEEDS
SOURCE: http://en.wikipedia.org/wiki/File:Maslow%27s_Hierarchy_of_Needs.svg
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PHYSIOLOGICAL
SAFETY
LOVE/BELONGING
ESTEEM
SELF-ACTUALIZATION
MASLOW’S HIERARCH OF NEEDS
SOURCE: http://en.wikipedia.org/wiki/File:Maslow%27s_Hierarchy_of_Needs.svg
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PEOPLE WANT TO FEEL LOVED AND A SENSE OF BELONGING.
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PEOPLE WANT TO FEEL RESPECTED AND ACCEPTED.
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PEOPLE WANT TO REALIZE THEIR POTENTIAL.
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SHARING HELPS ACHIEVE EACH OF THESE NEEDS.
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IDEA #1
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SOCIAL COMMERCE IS MORE ABOUT COMMERCE THAN SOCIAL.
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HYPE ALERT: SET UP A STOREFRONT ON FACEBOOK.
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DESPITE MANY ATTEMPTS, ECOMMERCE SUCCESS ON FACEBOOK IS LIMITED.
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WHY?
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FACEBOOK USERS ARE NOT ON FACEBOOK TODAY TO SHOP.
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BRING FACEBOOK TO YOUR
COMMERCE RATHER THAN
COMMERCE TO FACEBOOK.
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BRING FACEBOOK TO YOUR
COMMERCE RATHER THAN
COMMERCE TO FACEBOOK.
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REALLY????
EXPRESS.COM HAS LIMITED SHARING WHILE IT HAS A FULL STORE ON FACEBOOK FOR THE 3% WHO SHOP THERE.
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IDEA #2
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YOUR SMALLER, VOCAL CUSTOMERS MAY BE YOUR MOST PROFITABLE CUSTOMERS.
RAISE YOUR HAND IF …
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YOU HAVE SHARING FUNCTIONALITY ON YOUR SITE.
KEEP IT RAISED IF …
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YOU KNOW HOW MUCH REVENUE IS BEING DRIVEN THROUGH SHARING.
KEEP IT RAISED IF …
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YOU KNOW HOW MUCH REVENUE IS BEING DRIVEN BY PRODUCT THROUGH SHARING.
KEEP IT RAISED IF …
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YOU KNOW HOW MUCH REVENUE IS BEING DRIVEN BY CUSTOMER THROUGH SHARING.
MIKE IS SHOPPING FOR A T-SHIRT.
HE FINDS IT AND SHARES IT WITH HIS FRIEND IAN.
by Ian Shafer
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SMALL BUYERS CAN BE BIG SHARERS & SELLERS.
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IDEA #3
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SILOES ARE KILLING SOCIAL COMMERCE.
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PAID OWNED EARNED
LIMITED CREATIVE TESTING
NO LANDING TAB OPTIMIZATION OR MARKET SEGMENTATION
NO VIRAL TUNING
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EARNED
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ELIMINATE THE SILOES
OWNED
PAID
• PAID MEDIA (ADS), OWNED MEDIA (FB PAGES, WEB SITES) & EARNED MEDIA (VIRAL SHARING) MUST WORK TOGETHER TO SUCCEED ON FACEBOOK.
ELIMINATE THE SILOES
CREATIVE OPTIMIZATION LANDING TAB OPTIMIZATION VIRAL TUNING
WHAT CAN YOU DO?
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INTRODUCING SPINBACK
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YESTERDAY BUDDY MEDIA ANNOUNCED THE ACQUISITION OF SPINBACK.
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FIRST SOLUTION THAT MEASURES ROI FOR SOCIAL ON FACEBOOK, AND OFF.
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INTRODUCING EASYSHARETM
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INTRODUCING EASYTRACK ANALYTICSTM
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EASYTRACK ANALYTICSTM
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EASYTRACK ANALYTICSTM
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EASYTRACK ANALYTICSTM
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CASE STUDY: DAILY DEAL CLIENT
+ $4.48 IN NEW SALES PER SHARE+ 3.6 UNIQUE VISITS PER SHARE+ 12.5% CONVERSION RATE VS 2.2% ON AVERAGE
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CASE STUDY: DAILY DEAL CLIENT
WOMEN ON FB IN THEIR 30S FROM THE BOSTON AREA DROVE $6.15 PER SHARE ON AVERAGE.
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THE AVERAGE FACEBOOK SHARE GENERATES $2.10 IN INCREMENTAL SALES.
- AGGREGATE SPINBACK CLIENT DATA
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AVG CONVERSION RATE FOR A FACEBOOK SHARE WAS 10.2%.
- AGGREGATE SPINBACK CLIENT DATA
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THE MOST SHARING FOR INTERNET RETAILERS OCCURS ON WEDNESDAYS, FOLLOWED BY THURSDAYS.
- AGGREGATE SPINBACK CLIENT DATA
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12:13PM - 1:45PM ON WEEKDAYS IS ‘MAGIC HOUR’ FOR RETAILERS.
- AGGREGATE SPINBACK CLIENT DATA
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27-33 YEAR OLD WOMEN ON FACEBOOK ARE THE MOST ACTIVE SHARERS, AND DRIVE THE HIGHEST CONVERSION RATES.
- AGGREGATE SPINBACK CLIENT DATA
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TWITTER DRIVES HIGHEST CTR BUT HAS MUCH LOWER CONVERSION RATES COMPARED TO FACEBOOK AND EMAIL.
- AGGREGATE SPINBACK CLIENT DATA
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MOST "LIKED" BOOK: HARRY POTTERMOST "LIKED" GAMESHOW: FAMILY FEUDMOST "LIKED" GAME/TOY: ZYNGA REWARDVILLEMOST "LIKED" HOUSEHOLD SUPPLIES: TIDEMOST "LIKED" MOVIE: THE HANGOVERMOST "LIKED" MUSICIAN/BAND: THE BEATLES2ND PLACE: LADY GAGAMOST "LIKED" TV SHOW: HOUSE2ND PLACE: GLEE3RD: ELLENMOST "LIKED" TV NETWORK: HGTV
SPINBACK USERS
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“SPINBACK HAS ALLOWED US TO TURN OUR SOCIAL MEDIA STRATEGY INTO MORE THAN JUST ‘CLICKS’, ‘FOLLOWS’ AND ‘TWEETS.’ WE ARE NOW GETTING ACTIONABLE DATA SHOWING US DEMOGRAPHICS, PRODUCT TRENDS AND, MOST IMPORTANTLY, REVENUE TIED TO OUR ACTIVITIES."
- JASON ROUSSOSPRESIDENT & COO OF LIVING DIRECT
