Social Media

Monetization & Measurement Adam Lavelle, Chief Strategy Officer, iCrossing

April 26, 2012

2

moment – (physics): a tendency to produce motion,

esp rotation about a point or axis

What is a moment?

3

Which moments are worth owning?

Advertising

First

Moment

of Truth

Point of Sale

The 3-7 seconds

when you are

staring at the

products on the

shelf

A.G. Lafley,

P&G

Second

Moment

of Truth

Use of Product

When you

experience

the product

A.G. Lafley,

P&G

Exploring

The online

decision-making

moment(s)

Jim Lecinski,,

Google

Third

Moment

of Truth

Advocacy/WOM

What you say to

others about the

product

Pete Blackshaw,

Nestle

4

Source: Forrester

5

Source: Forrester

6

7

Making the moments matter

8

Buying attention alone is not sustainable A

tte

ntio

n

Time

Launch End Launch End

When bought media ‘goes dark’ there is no

conversation between the brand and the audience

9

Bought, earned, owned build value A

tte

ntio

n

Time

Bought

Launc

h

End

Bought

Launch

End

Bought

Launch

End

Earned &

Owned *

* To succeed, earned and owned have to be always-on

10

11

12

13

14

15

(% of total)

January 2012

CTR for ‘social’ email…

Source: GetResponse

2.6%

5.4% 5.0%

9.6%

CTR without sharing CTR with Facebook CTR with Twitter CTR with Linkedin

16

12

8

5

Social log-in Standard log-in Not logged in

(Minutes)

January 2012

Time Spent on Site by Log-in Type

Source: Gigya

17

15.6

12.5 11.6

10.3

5.0

Comments Newsfeed Shares Log-in (site & social) No interaction

(Minutes, after clicking a plug-in)

January 2012

Time Spent on Site by Plug-in Interaction

Source: Gigya

18

Human beings know they are ‘influentials’

73% of young adult women

describe themselves as influential

information sources

Ipsos Mendelsohn /Fleishman Hillard /Hearst, Jan 2012

Millenials Xers Boomers Seniors

I am an influential information source 73% 53% 51% 44%

I regularly influence friends and family to buy or not to buy a

particular product or service 69% 49% 41% 27%

Using social network sites has made it easier for me to decide

on what to buy 61% 46% 36% 29%

Using social network sites to share my shopping and product

experiences make me feel empowered 51% 33% 19% 9%

Women’s marketplace influence self-assessment

19

34% 32%

15%

10% 9%

Would never purchase Do not use Facebook Did not know possible Would purchase Have purchased

Purchasing ‘inside’ social – not so much…

(% of respondents)

December 2011

Product Purchase Intent, via Facebook Retailer Page

Source: Oracle

20

Average revenue per order…

Source: February 2012 by ClearSaleing

Revenue Per Order

All Digital

Channels

Average

Display

Average

Paid Search

Average

Natural

Search

Average

Affiliates

Average

Comparison

Shopping

Average

Email

Average

Social Media

Average

$0.00

$50.0

$100.0

$150.0

$200.0

$250.0

$300.0

21

Is this true?

22

Social media enables targeted marketing responses at

individual touch points along the consumer decision journey.

Source: Expert interviews; McKinsey analysis

1. Monitor Social channels

for trends, insights

2. Respond

to consumers’

comments

3. Amplify current positive

activity/tone

4. Lead changes in sentiment

or behavior

Consider Brand monitoring Crisis

management

Referrals and

recommendations

Brand content

awareness

Evaluate Product launches

Buy Targeted deals,

offers

Experience Customer service Fostering

communities

Customer input

Advocate Brand advocacy

Bond

Ste

ps in the c

onsum

er

decis

ion journ

ey

Thank you McKinsey, for having a chart…

23

Which moments matter, and how

do we make them happen well?

Thank you

Adam Lavelle

Chief Strategy Officer, iCrossing

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