ogilvy on facebook commerce

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commerce Presented by Exclusive Media Partner Powered by Audio Options: Listen to the presentation using your computer speakers or dial in on the phone using the numbers provided in the confirmation e-mail.

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In the latest Wall Street Journal webinar presented by Ogilvy's Social@Ogilvy team, Thomas Crampton, Brian Giesen, and John Stauffer give an in depth look at the newest social trend - Facebook Commerce - and how it can play an integral part in any business strategy.

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Page 1: Ogilvy on Facebook Commerce

commerce

Presented by Exclusive Media Partner Powered by Audio Options: Listen to the presentation using your computer speakers or dial in on the phone using the numbers provided in the confirmation e-mail.

Page 2: Ogilvy on Facebook Commerce

commerce

Speakers

John Stauffer @johnstauffer

Regional Strategy Director Ogilvy | Hong Kong

Thomas Crampton @thomascrampton

Asia-Pacific Director Ogilvy | Hong Kong

Brian Giesen @bdgiesen Regional Director Ogilvy | Sydney

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Questions and Comments

@ogilvyasia!

or!

Page 4: Ogilvy on Facebook Commerce

commerce

What  city  are  you  dialing  in  from?

Quick Poll

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“If I had to guess, social commerce is the next area to

really blow up” -Mark Zuckerberg

Source:  h*p://www.flickr.com/photos/briansolis/2696198607/  

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AGENDA!

What is F Commerce?

Getting Started

The Power of Commerce in

Asia

Case Studies

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commerce

AGENDA!

What is F Commerce?

Getting Started

The Power of Commerce in

Asia

Case Studies

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Expected e-commerce growth by region from 2010-2013 Numbers  in  Billions  

Europe  

13.2%

Rest  of  World  

29.7%

165.8  235.3  

195.2  

283.0  

155.7  

323.1  

55.8  121.7  

h*p://www.internetretailer.com/2011/01/04/global-­‐e-­‐commerce-­‐sales-­‐head-­‐1-­‐trillion-­‐mark  

U.S.A.  

12.4% Asia  

27.5%

572.5  

963.0  

Global  19.4%

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The Web will be involved in 53% of total retail sales by 2014

Source:  Forrester  

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Facebook’s Exponential Reach for Brands

750 million users

Friends of Friends Friends of fans: 60M

Friends Fan Base: 500K

Source: SocialBakers.com

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commerce

Source: Forrester/Shop.org, socialcommercetoday.com

3  68%  

Say they use social networks when shopping

online

The top 3 brands on Facebook sell directly

on the platform

Average Facebook store sees 10% month to month increase in

transactions

10%  

F-Commerce and Social Media

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Source: Forrester/Shop.org, socialcommercetoday.com

25%  

25% of customers connect with brands to

receive discounts

75%  

75% on Facebook have ‘Liked’ a brand page

7-­‐10%  

Cart Values are 7-10% higher via Facebook

F-Commerce and Social Media

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$5  

$9  

$14  

$21  

$30  (US  Billions)  

Source: Forrester, GP Bullhound, Booz & Company Analysis

Social Commerce Market Size

CAGR  =  43%  

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Would  you  purchase  physical  goods  off  of  a  social  networking  site  like    Facebook?  

Quick Poll

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Would you purchase physical goods off of a social networking site like Facebook?

Note: Those not willing to purchase goods largely expressed concerns related to Security and Privacy.

Source: Booz & Company survey

Survey says…

X ✓  

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AGENDA!

What is F Commerce?

Getting Started

The Power of Commerce in

Asia

Case Studies

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Source: Altimeter Group

Commerce

F-Commerce means selling goods or services

using Facebook.

F-Commerce is a driving force behind the

intersection of social networking and

business.

Page 18: Ogilvy on Facebook Commerce

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Source: Altimeter Group

Five Benefits of “Social” Shopping

on Facebook

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Insight Facebook stores on the brand pages of Proctor & Gamble are used as a “live-learning-lab” to help the business understand how consumers interact with their brands and technology in real life, opposed to via artificial surveys and sterile focus groups.

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Brand Experience Increasingly, when asked why they connect with brands on Facebook, consumers say it is to shop and for deals. By adding a store to their Facebook page, a brand improves the experience and delivers at this touch point.

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Loyalty Brands are using F-commerce to drive brand loyalty and increase propensity to repurchase – relative to competitors by offering loyal brand fans a privilege point of purchase.

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Advocacy Using Facebook stores to get products into the hands of the people most likely to recommend them, their fans. By supporting each other via digital technology, consumers create their own loyalty loop with the brand that may promote repurchase.

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Facebook ROI As the central component of any business case, ROI is a financial measure. One way to measure Facebook ROI is to link investment in Facebook to sales. E-commerce enabled Facebook brand pages help make this possible.

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AGENDA!

What is F Commerce?

Getting Started

The Power of Commerce in

Asia

Case Studies

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commerce

Source: Altimeter Group

On  Facebook     With  Facebook  

F-stores Facebook e-commerce stores where shoppers can purchase real goods with real currency without leaving Facebook.

Facebook Credits The mandatory currency used for games and in-app virtual goods. Recently being used for real goods with Deals on Facebook.

Facebook Deals Share experiences as opposed to just discounts. Consumers pay inside Facebook with a credit card, PayPal, or Facebook Credits.

Facebook ads A variety of advertising methods are available depending on how brands want to reach fans (through friends of friends or targeted marketing).

Custom Apps Users can create games, stores, and other engaging features for promotional purposes or to provide uniquely branded experiences to fans.

Facebook Places Local retailers drive in-store traffic by offering special discounts to consumers who check in to their location with Facebook places on their mobile.

Commerce

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F-Stores On  Facebook

BAHN  

Ticket sales and runs

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F-Credits On  Facebook

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F-Deals

Drive sales through exclusive Facebook

Deals

On  Facebook

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F-Ads With  Facebook

Facebook Ads appear as banner ads on the right hand side of the platform. Brands can track the value of a fan arriving on an e-

commerce site from a Facebook ad

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Custom Apps With  Facebook

Create Custom Apps to drive sales

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F-Places With  Facebook

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AGENDA!

What is F Commerce?

Getting Started

The Power of Commerce in

Asia

Case Studies

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F-Commerce Framework

Brand pages must be easy to find and also integrated with other

brand digital assets (e.g. social plug-ins on website)

D I S C O V E R A B L E

Brands should keep exclusive content/ value behind fangate, Visitors must first like the brand page before seeing its content  

Using a content calendar, brands should encourage 2 way

conversations to maximize organic word of mouth on Facebook

E X C L U S I V E E N G A G I N G

Word of mouth generated by engagement will spread content out to the friends-of-friends circle for better discovery and exposure  

CONVERT!  

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- Better brand page name + URL - Social Plugins on official website - Facebook ads - Work with other brand pages - Work with influencers

D I S C O V E R A B L E

-Fans only photos -Fans only contests -Fans only information about brand -Fans only benefits -Fans only offers or discounts to convert sales/ leads

- Conversation calendar - Embrace fans’ comments - Highlight fan-generated content - Ask questions - Be their friends

E X C L U S I V E E N G A G I N G

Word of mouth generated by engagement will spread content out to the friends-of-friends circle for better discovery and exposure  

CONVERT!  

F-Commerce Tactics

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Likes: The Fangate

IKEA Summer Sale! Over 1,000 products as low as 60% off

Source: www.facebook.com/ikeahongkong

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Explore and Adapt

Source: www.facebook.com/marketing

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Show and Tell

DIESELCAM

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Exclusive Content

Source: www.facebook.com/marketing

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Calls to Action

Source: www.facebook.com/marketing

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Sponsored Stories Driving Purchase"

160% lift in brand recall

200% lift in message awareness

400% lift in purchase intent

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F-Commerce Landscape Additional

Key Information

Price Large Business

Small Business

$$   • •

$$$ •

$ • •

$ • •

$ • •

$$ • •

• •

Features

Apps Analytics

• •

• •

Operating Platform

On Facebook

Off Facebook

• •

• •

• •

• •

Facebook Storefront

Customizable Checkout On Facebook

Like/Comment/

Share

• • •

• • •

• •

• •

• •

• • •

• • •

• • •

*  

*Revenue  Share  

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Facebook Measurement Model

• Number of fans for brand pages

• Number of brand mentions on walls

• Number of news updates x fans

• Ad impressions

R E A C H

• Number of discussion topics

• Number of wall posts on brand page

• Number of wall posts

• Number and tone of reviews posted

• Amount of content or offers shared

• Video views

• Click through rates for advertisements

• Number of contest entries

• Number of applications downloaded

• Offline actions driven by coupons or special offers

• Web traffic generated

E N G A G E M E N T A C T I O N

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Presented by Exclusive Media Partner Powered by Audio Options: Listen to the presentation using your computer speakers or dial in on the phone using the numbers provided in the confirmation e-mail.

The  Holmes  Report  Awards  

•  2011:  APAC  Digital  Consultancy  of  the  Year  

IPA  EffecIveness  Awards  

•  2010:  Bronze  award  for  “How  Branding  Generated  Sales,  Even  in  a  Recession”  

Asia  Pacific  PR  Awards  

•  2010:  Best  Use  of  Digital  x  3  

•  2009:  Best  Use  of  Digital  

Asia  MarkeIng  EffecIveness  Awards  

•  2010:  Most  Effec`ve  Public  Rela`ons  

Ogilvy  Professional  Achievement  Awards  

•  2010:  Best  in  Digital  Influence  (Taiwan)  

•  2010:  Best  Specialized  Marke`ng  (Shanghai)  

•  2010:  Best  submission  for  30th  anniversary  compe``on  (Hong  Kong)  

Marke`ng  Magazine  

•  2011  Digital  Agency  of  the  Year  

•  2011  Crea`ve  Agency  of  the  Year  

Click  Awards  

•  2010:  Integrated  Marke`ng  

WPPed  Cream  Awards  

•  2010:  Best  Consumer  Marke`ng  

ITSMA  MarkeIng  Excellence  Awards  

•  2010:  Most  Effec`ve  Public  Rela`ons  (Diamond)  

IBM  Global  Best  PracIce  Awards  

•  2010:  Best  CFO  Case  Study  (Silver)  

•  2010:  Best  Impact  in  Regional  Ac`vity  Using  Social  Media  (Bronze)  

•  2010:  Values  Award  

MicrosoX  MarkeIng  Awards  

•  2010:  Social  Media  Marke`ng  in  Asia  Pacific  

AYcus  Awards  

•  2010  Best  Digital  Influence  Essay  

The Most Awarded Social Media Agency in APAC  

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Thank You!

[email protected] Regional Strategy Director

Ogilvy | Hong Kong

[email protected] Asia-Pacific Director Ogilvy | Hong Kong

[email protected] Regional Director Ogilvy | Sydney