Full study facebook advertising, the social commerce lifeline for small businesses
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Facebook Advertising: The Social Commerce Lifeline for Small Businesses A Snapshot of How Facebook Advertising Converts Digital ‘Hunters’ Into In-Store Buyers www.godigitalmarketing.com
description
G/O Digital, a local, integrated digital marketing solution, released the results of its new study – Facebook Advertising: The Social Commerce Lifeline for Small Businesses. The study, which surveyed 1,000 online and mobile users, proves that Facebook advertising holds significant influence over consumers’ views and engagement with small businesses, including their decision to purchase items in-store.
Transcript of Full study facebook advertising, the social commerce lifeline for small businesses
Facebook Advertising: The Social Commerce Lifeline for Small Businesses
A Snapshot of How Facebook Advertising Converts Digital ‘Hunters’ Into In-Store Buyers
www.godigitalmarketing.com
2Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Table of Contents
Introduction .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Methodology & Objectives . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Major Findings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Survey .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Conclusion .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
About G/O Digital . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Contact Us . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
3Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Introduction (YHU\GD\�FRQVXPHUV�VHH�D�SOHWKRUD�RI�LQIRUPDWLRQ��SRVWV��LPDJHV��YLGHRV��HYHQW�LQYLWHV�DQG�JDPH�DOHUWV�ÀRZ�GRZQ�WKH�WLPHOLQHV�RI�PLOOLRQV�RI�)DFHERRN�XVHUV��:LWK�D�VXUSOXV�RI�FRQWHQW�DW�WKHLU�¿QJHUWLSV��WRGD\¶V�³DOZD\V�RQ��DOZD\V�FRQQHFWHG´�VKRSSHUV�ZDQW�and expect more from the social experience and the ads that live within the walls – and newsfeed – of Facebook. For the majority of small businesses around the country, the world of marketing looks very different from big brands and retailers. With limited budgets, resources and staff to execute their marketing visions, it can oftentimes be daunting and confusing for local/small businesses to tackle their social media marketing, let alone convert engagement with their content on social media sites like Facebook and Twitter into local store sales.
In May 2014, Facebook�UHSRUWHG�WKDW����PLOOLRQ�VPDOO�EXVLQHVVHV�KDYH�DFWLYH�SDJHV�RQ�WKH�VRFLDO�QHWZRUN��7KDW¶V�XS�IURP����million last November. Because competition is so high in this challenged economy and shoppers are far more demanding and impatient, local/small businesses cannot afford to rely solely on organic reach as a measure of success on Facebook. To put it in WKH�ZRUGV�RI�)DFHERRN��³/LNH�79��VHDUFK��QHZVSDSHUV��UDGLR�DQG�YLUWXDOO\�HYHU\�RWKHU�PDUNHWLQJ�SODWIRUP��)DFHERRN�LV�IDU�PRUH�HIIHFWLYH�ZKHQ�EXVLQHVVHV�XVH�SDLG�PHGLD�WR�KHOS�PHHW�WKHLU�JRDOV��<RXU�EXVLQHVV�ZRQ¶W�DOZD\V�DSSHDU�RQ�WKH�¿UVW�SDJH�RI�D�VHDUFK�UHVXOW�XQOHVV�\RX¶UH�SD\LQJ�WR�EH�SDUW�RI�WKDW�VSDFH��6LPLODUO\��SDLG�PHGLD�RQ�)DFHERRN�DOORZV�EXVLQHVVHV�WR�UHDFK�EURDGHU�DXGLHQFHV�PRUH�SUHGLFWDEO\��DQG�ZLWK�PXFK�JUHDWHU�DFFXUDF\�WKDQ�RUJDQLF�FRQWHQW�´ &OHDUO\��)DFHERRN�LV�D�JROGPLQH�IRU�VPDOO�EXVLQHVVHV��%XW�IRU�WKDW�WR�KDSSHQ��VPDOO�EXVLQHVVHV�PXVW�OHW�JR�RI�WKHLU�³'R�,W�<RXUVHOI´�mentality and invest at least a portion of their digital marketing dollars into the right technology, tools and partners to create SUHFLVHO\�WDUJHWHG��UHOHYDQW�DQG�SHUVRQDOL]HG�H[SHULHQFHV�WKDW�WXUQ�GLJLWDO�µKXQWHUV¶�LQWR�OR\DO��UHSHDW�LQ�VWRUH�EX\HUV��� Methodology & Objectives ,Q�RUGHU�WR�JDLQ�LQVLJKW�LQWR�WKH�UROH�)DFHERRN�DGYHUWLVLQJ�SOD\V�LQ�GULYLQJ�LQ�VWRUH�VDOHV�IRU�VPDOO�EXVLQHVVHV��*�2�'LJLWDO�FRQGXFWHG�D�UHVHDUFK�VWXG\�WR�XQGHUVWDQG�KRZ�FRQVXPHUV�LQWHUDFW�ZLWK�VRFLDO�PHGLD�±�HVSHFLDOO\�)DFHERRN���GXULQJ�WKH�UHVHDUFK�DQG�LQ�VWRUH�VWDJHV�RI�WKHLU�VKRSSLQJ�H[SHULHQFH��7KH�VWXG\�ZDV�¿HOGHG�IURP�-XQH����������WKURXJK�-XO\���������ZLWK�������86�DGXOWV�DJHG�������\HDUV�ROG��ZKR�DUH�LQWHUHVWHG�LQ�EX\LQJ�SURGXFWV�DQG�VHUYLFHV�IURP�ORFDO�VPDOO�EXVLQHVVHV�DQG�RZQ�DW�OHDVW�one desktop/laptop computer and a smartphone or tablet.
Like TV, search, newspapers, radio and virtually every other marketing platform, Facebook is far more effective when businesses use paid media to help meet their goals.”
“
4Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
RI�WKH�UHVSRQGHQWV�FLWH�³DGV�WKDW�DUH�WDUJHWHG�EDVHG�RQ�FXUUHQW�ORFDWLRQ´� DV�LQÀXHQFLQJ�WKHP�WR�LQWHUDFW�ZLWK�Facebook ads from a small business.
Restaurants (38 percent) take the lead in the type of business with the highest level of Facebook engagement. Meanwhile, beauty/spa (14 percent) and education/training (14 percent) tie for second place.
of the respondents are more likely to SXUFKDVH�SURGXFWV�RU�VHUYLFHV�LQ�VWRUH�from a small business if there are positive
FXVWRPHU�UHYLHZV�UDWLQJV�RQ�WKH�FRPSDQ\¶V�ZHEVLWH��mobile site or Facebook page.
of respondents believe Facebook offers DUH�PRVW�OLNHO\�WR�LQÀXHQFH�WKHP�WR�PDNH�DQ�LQ�VWRUH�SXUFKDVH�IURP�D�VPDOO
EXVLQHVV��7KLV�LV�LQ�VWDUN�FRQWUDVW�WR�RQO\���SHUFHQW�ZKR�believe photo/video contests will convince them to move from Facebook into a local store.
of respondents believe Facebook is most useful for researching small EXVLQHVVHV�EHIRUH�YLVLWLQJ�LQ�SHUVRQ�
compared to Twitter (11 percent) and Pinterest (12 percent).
Shoppers are digital ‘hunters’ before walking into a small business.
Local relevance trumps privacy in weighing the legitimacy of Facebook advertising.
Facebook advertising ranks differently on the menu of digital priorities for each small business category.
Facebook offers eviscerate photo/video contests in the battle for in-store sales.
Promoted Posts are no match for Facebook Offers in driving digital and mobile engagement.
Facebook advertising is a direct and LQÀXHQWLDO�SLSHOLQH�IRU�ORFDO�FRPPHUFH��
Online and social reputation can make or break the success of small businesses.
Facebook beats Pinterest and Twitter as the most effective social media research channel. In fact...
RI�UHVSRQGHQWV�GR�WKHLU�GLJLWDO�µKXQWLQJ¶�at least once a week before stepping into a physical store. 80%
80%
38%
35%
40%
27%
62%
58%
Major Findings
of the respondents engage with Facebook advertising from a small business at least RQFH�D�ZHHN�EHIRUH�EX\LQJ�DQ�LWHP�LQ�VWRUH�
of respondents believe local deals/offers on Facebook are important in their GHFLVLRQ�WR�SXUFKDVH�DQ�LWHP�LQ�VWRUH�
Local Facebook deals/offers have the SRZHU�WR�¿OO�WKH�FDVK�UHJLVWHU�LPPHGLDWHO\�and consistently.
84%
of respondents believe Facebook offers that can be redeemed in local stores DUH�PRVW�OLNHO\�WR�LQÀXHQFH�WKHP�WR�YLVLW�the website of a local/small business.
believe the same types of Facebook offers will persuade them to visit mobile sites or apps.
5Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Which one of the following social media channels do you find MOST useful to research product/
services before visiting a local/small business?
Other
62%12%
11%
9%6%
Shoppers Are Digital ‘Hunters’ Before Walking Into Local Stores When asked how often consumers use their desktop/laptop, smartphone or tablet to research shopping before visiting a local/small business, overwhelmingly 80 percent of UHVSRQGHQWV�LQGLFDWHG�WKH\�GR�WKHLU�GLJLWDO�µKXQWLQJ¶�DW�OHDVW�once a week and the remaining 20 percent of respondents do so at least twice a month. 7KHVH�¿QGLQJV�UHLQIRUFH�WKH�HYROXWLRQ�RI�VKRSSLQJ��:KDW�ZDV�RQFH�D�YHU\�WDFWLOH�H[SHULHQFH�FHQWHUHG�DURXQG�EULFN�DQG�PRUWDU�VWRUHV�KDV�QRZ�VKLIWHG�WR�WKH�³$JH�RI�WKH�&XVWRPHU�´�where consumers are digitally savvy and empowered to make PRUH�LQIRUPHG��PRUH�HI¿FLHQW�SXUFKDVLQJ�GHFLVLRQV��$V�VXFK��WRGD\¶V�VKRSSHUV�KDYH�PXFK�KLJKHU�H[SHFWDWLRQV�IRU�HYHU\�interaction with a brand – from their website, mobile site and app to their Facebook and Twitter pages.
Facebook Beats Pinterest and Twi"er As Most Effective Research Channel While there has been much debate about whether Facebook, Pinterest or Instagram have more sales value to businesses – large and small – our research found that over half of respondents (62 percent) cite Facebook as the most useful social media network to research products/services before visiting a local/small business. This is in stark contrast to only 12 percent who believe Pinterest is most useful and 11 SHUFHQW�ZKR�¿QG�7ZLWWHU�WR�EH�PRVW�XVHIXO��7KHVH�¿QGLQJV�VKRXOG�VHUYH�DV�D�ZDNH�XS�FDOO�WKDW�)DFHERRN�LV�D�YLWDO�DQG�legitimate channel to connect, engage and convert casual VKRSSHUV�LQWR�OR\DO��UHSHDW�EX\HUV�LQ�VWRUH�
How often do you use your desktop/laptop, smartphone, or tablet to research shopping
before visiting a small/local business?
Several times a day
2-3 times a week
Once a week
Once daily
Twice a month
Once a month or longer
30%
23%14%
13%
10%
10%
6Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Facebook Advertising Is Direct & Influential Pipeline for Local Commerce
:KDW�PDWWHUV�PRVW�WR�ORFDO�VPDOO�EXVLQHVVHV�LV�VDOHV��%XW�LQ�WRGD\¶V�K\SHU�FRQQHFWHG�HQYLURQPHQW��VKRSSHUV�FRQWLQXRXVO\�GR�PRUH�UHVHDUFK�WR�¿QG�WKH�best deals, the best products and the best shopping experience overall. By delivering on these promises across every channel – even on social media – ORFDO�VPDOO�EXVLQHVVHV�VWDQG�WR�EHQH¿W�LQ�WKH�IRUP�RI�LQ�VWRUH�VDOHV�RQ�D�consistent basis. ,Q�IDFW��RXU�UHVHDUFK�IRXQG�WKDW�RYHU�KDOI�RI�WKH�UHVSRQGHQWV�����SHUFHQW��YLVLW�the Facebook page of a local/small business at least once a week before buying DQ�LWHP�LQ�VWRUH��%XW�WKH�YDOXH�RI�)DFHERRN�GRHVQ¶W�VWRS�WKHUH��:KHQ�ZH�DVNHG�consumers to share the frequency with which they engage with Facebook DGYHUWLVLQJ�IURP�D�ORFDO�VPDOO�EXVLQHVV�EHIRUH�EX\LQJ�DQ�LWHP�LQ�VWRUH��WKH�UHVXOWV�ZHUH�MXVW�DV�KLJK�ZLWK����SHUFHQW�VD\LQJ�WKH\�GR�VR�DW�OHDVW�RQFH�D�ZHHN��7KHVH�¿QGLQJV��¿UVW�DQG�IRUHPRVW��UHLQIRUFH�WKDW�IUHTXHQW�YLVLWV�WR�)DFHERRN�SDJHV�LQIRUP��LQÀXHQFH�DQG�UHDVVXUH�VKRSSHUV�DERXW�WKHLU�GHFLVLRQV�prior to stepping into a physical store. ,W�LV�PRUH�FOHDU�WKDQ�HYHU�WKDW�)DFHERRN�LV�PRUH�WKDQ�MXVW�D�VXSHU¿FLDO�VRXUFH�for fun, exciting and cool updates – when approached strategically, it is a OHJLWLPDWH�DQG�YLWDO�FKDQQHO�IRU�LQ�VWRUH�VDOHV�
Several times a day
Once a month
or longer
Once daily
2-3 times a week
Once a week
Twice a month
How often do you visit a local/small business on Facebook before buying an item in-store?
How often do you engage with advertising from a local/small business on Facebook before buying an item in-store?
14%10%
18% 17%14%
27%
13%11%
18%16%
14%
29%
Several times a day
Once a month
or longer
Once daily
2-3 times a week
Once a week
Twice a month
of respondents are visiting Facebook pages at least once a week59% 58% of respondents engage
with Facebook ads at least once a week
Note: Figures may not add to 100, due to rounding.
7Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Online & Social Reputation Can Make or Break In-Store Success6PDOO�EXVLQHVVHV�PXVW�UHDOL]H�WKDW�HYHQ�LI�WKH\�DUHQ¶W�SHUVRQDOO\�DFWLYH�RQOLQH��WKDW�GRHVQ¶W�PHDQ�WKH\�DUHQ¶W�EHLQJ�looked for and talked about online. Essentially, social media ±�DQG�PRUH�VSHFL¿FDOO\��)DFHERRN�±�LV�WKH�������QXPEHU�WKDW�no business asks for and unattended negative reviews can have negative consequences. This is further evidenced by our VWXG\¶V�¿QGLQJV��ZKLFK�VKRZHG�WKDW�QHDUO\�KDOI�����SHUFHQW��RI�respondents care most about reading customer reviews and ratings for small businesses on Facebook. :KLOH�LW�LV�GLI¿FXOW�IRU�VPDOO�EXVLQHVVHV�WR�DYRLG�HYHU�UHFHLYLQJ�a negative review on Facebook, they can and should be proactive and humble in addressing and resolving complaints. By doing so, they will not only cultivate a sense of genuine endearment, respect and trust, but they will also help convert H[LVWLQJ�DQG�IXWXUH�GLJLWDO�µKXQWHUV¶�LQWR�LQ�VWRUH�EX\HUV��$QG�with 80 percent of respondents saying they are more likely to SXUFKDVH�SURGXFWV�RU�VHUYLFHV�LQ�VWRUH�LI�WKHUH�DUH�SRVLWLYH�FXVWRPHU�UHYLHZV�RQ�D�FRPSDQ\¶V�ZHEVLWH��PRELOH�VLWH�RU�Facebook page, businesses must actively manage their online reputation.
Note: Figures may not add to 100, due to rounding.
Number of fans/followers
Number of page ‘Likes’
Customer reviews/ratings
Featured products/services
relevant to your needs
Engaging and
fun content
Which of the following factors do you care
MOST about when engaging with a local/small
business on Facebook?
13% 15%
41%
19%
11%
Would you be more likely to purchase products
or services in-store from a local/small business if
there were positive customer reviews/ratings on the
brand's website, mobile site or Facebook page?
80%
Yes
No20%
8Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Promoted Posts Are No Match for Facebook Offers In Driving Digital & Mobile Engagement $FFRUGLQJ�WR�WKH�*�2�'LJLWDO�VWXG\�����SHUFHQW�RI�UHVSRQGHQWV�EHOLHYH�)DFHERRN�RIIHUV�WKDW�FDQ�EH�UHGHHPHG�LQ�ORFDO�VWRUHV�DUH�PRVW�OLNHO\�WR�LQÀXHQFH�WKHP�WR�YLVLW�WKH�ZHEVLWH�RI�D�ORFDO�VPDOO�EXVLQHVV�DQG����SHUFHQW�EHOLHYH�WKH�VDPH�W\SHV�RI�)DFHERRN�RIIHUV�ZLOO�persuade them to visit mobile sites or apps. 2QH�RI�WKH�PRUH�VXUSULVLQJ�¿QGLQJV�UHYHDOHG�WKDW�6SRQVRUHG�6WRULHV�UDQNHG�VLJQL¿FDQWO\�ORZ�RQ�WKH�OLVW�RI�VRFLDO�PDUNHWLQJ�WDFWLFV�WKDW�DUH�PRVW�OLNHO\�WR�LQÀXHQFH�VKRSSHUV�WR�YLVLW�D�ZHEVLWH����SHUFHQW��DQG�PRELOH�VLWH�RU�DSS����SHUFHQW���7KLV�PD\�DQG�OLNHO\�KDV�WR�GR�ZLWK�WKH�IDFW�WKDW�)DFHERRN�GLVFRQWLQXHG�6SRQVRUHG�6WRULHV�HDUOLHU�WKLV�\HDU��,Q�$SULO�������)DFHERRN�UHOHDVHG�LWV�RI¿FLDO�announcement of this latest advertising change for the purpose of eliminating different types of ads that had the same purpose and making our (Facebook) ads look more consistent.
38%
9%
12%
10%
12%
11%
10%
Which of the following types of Facebook
marketing tactics is MOST LIKELY to
influence you to visit the website of a
local/small business?
Which of the following types of Facebook
marketing tactics is MOST LIKELY to
influence you to visit the mobile site
and app of a local/small business?
Facebook offers that can be redeemed at a local store
Sponsored stories
Promoted posts
Photo/video contests
Photos/videos that encourage you to choose your favorite products,
styles and colors
Sweepstakes, quizzes and polls
Loyalty app promotions
Facebook offers that can be redeemed at a local store
Sponsored stories
Promoted posts
Photo/video contests
Photos/videos that encourage you to choose your favorite products,
styles and colors
Sweepstakes, quizzes and polls
Loyalty app promotions
35%
9%
13%
9%
12%
10%
13%
Note: Figures may not add to 100, due to rounding.Note: Figures may not add to 100, due to rounding.
9Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Facebook Offers Eviscerate Photo/Video Contests in Ba"le for In-Store Sales Efficacy $FFRUGLQJ�WR�WKH�*�2�'LJLWDO�VWXG\�����SHUFHQW�RI�UHVSRQGHQWV�believe Facebook offers that can be redeemed at a local store DUH�PRVW�OLNHO\�WR�LQÀXHQFH�WKHP�WR�PDNH�DQ�LQ�VWRUH�SXUFKDVH�from a local/small business. This is in stark contrast to the PLQLPDO�VZD\�RU�LQÀXHQFH�3URPRWHG�3RVWV�����SHUFHQW��KDYH�RYHU�WKHLU�GHFLVLRQ�WR�PDNH�DQ�LQ�VWRUH�SXUFKDVH��$QG�WR�WRS�LW�off, only nine percent believe photo/video contests will convince them to move from browsing on Facebook into EX\LQJ�DQ�LWHP�LQ�VWRUH�� 7KHVH�¿QGLQJV�DJDLQ�SRLQW�WR�WKH�LPSRUWDQFH�RI�¿UVW�understanding what each consumer segment is doing on each channel and device, how they are interacting with messaging and advertisements, and most importantly, the types of actions they are taking throughout the shopping H[SHULHQFH�±�IURP�RQOLQH�WR�PRELOH�WR�VRFLDO�WR�LQ�VWRUH��2QO\�then will it be possible to determine and deploy an effective Facebook marketing strategy that delivers the types of UHVXOWV�QHHGHG�WR�VXVWDLQ�DQG�JURZ�WKH�EXVLQHVV�ORQJ�WHUP��
Local Deals/Offers Fill Cash Register Immediately & Consistently $FFRUGLQJ�WR�WKH�*�2�'LJLWDO�VWXG\��D�ZKRSSLQJ����SHUFHQW�RI�respondents believe local deals/offers on Facebook weigh KHDYLO\�RQ�WKHLU�GHFLVLRQ�WR�SXUFKDVH�DQ�LWHP�LQ�VWRUH��0RUH�VSHFL¿FDOO\�����SHUFHQW�RI�UHVSRQGHQWV�VDLG�³LW¶V�YHU\�LPSRUWDQW�DQG�,�ZRXOG�EH�OLNHO\�WR�PDNH�DQ�LQ�VWRUH�SXUFKDVH�ZLWKLQ�D�ZHHN�´�$QRWKHU����SHUFHQW�VDLG�³LW¶V�LPSRUWDQW��EXW�,�ZRXOG�FRQWLQXH�WR�UHVHDUFK�RQOLQH�IRU�EHWWHU�SULFHV�GHDOV´�DQG����SHUFHQW�IHHO�³LW¶V�somewhat important.
How much of an impact do local deals/offers on Facebook have on your decision to make a purchase in-store?
25%
34%
25%
16%
It’s very important and I would be likely to make an in-store purchase within a week
It’s important, but I would continue to research online for better prices/deals
It’s somewhat important
It doesn’t influence my decision at all
40%
9% 12% 9% 11% 8% 10%
Facebook offers that can be
redeemed at a local store
Photos/videos that encourage you to choose
your favorite products, styles and colors
Sponsored stories
Promoted posts
Photo/video contests
Photo/video contests
Loyalty app
promotions
Which of the following types of Facebook marketing tactics is MOST LIKELY to influence you to make an in-store purchase from a local/small business?
Note: Figures may not add to 100, due to rounding.
10Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Local Relevance Trumps Privacy In Weighing Legitimacy of Facebook Advertising While Facebook has previously come under scrutiny in UHJDUGV�WR�LWV�SULYDF\�DQG�WUDFNLQJ�SROLFLHV��LW¶V�FOHDU�IURP�RXU�study that local relevance and personalization are of far greater importance in deciding the value and legitimacy of )DFHERRN�DGYHUWLVLQJ��,Q�IDFW��RYHU�RQH�TXDUWHU�RI�UHVSRQGHQWV�����SHUFHQW��FLWHG�³DGV�WKDW�DUH�WDUJHWHG�EDVHG�RQ�FXUUHQW�ORFDWLRQ´�DQG����SHUFHQW�FLWHG�³DGV�WKDW�DUH�WDUJHWHG�EDVHG�RQ�\RXU�SHUVRQDO�LQWHUHVWV�DQG�SDVW�SXUFKDVHV´�DV�PRVW�OLNHO\�WR�LQÀXHQFH�WKHP�WR�interact with Facebook ads from small businesses.
Facebook Advertising Ranks Differently on Menu of Digital Priorities for Each Small Business Category7KH�*�2�'LJLWDO�VWXG\�IRXQG�WKDW�UHVWDXUDQWV�����SHUFHQW��WDNH�the lead as the number one type of business respondents IROORZ�DQG�HQJDJH�ZLWK�PRVW�RQ�)DFHERRN��6PDOO�EXVLQHVVHV�in the beauty/spa (14 percent) and education/training (14 percent) industry tied for second place. For small business owners in the restaurant, beauty/spa, and education/training LQGXVWULHV��WKHVH�¿QGLQJV�VKRXOG�UHLQIRUFH�WKH�LQKHUHQW�SRZHU�and value of curating an active social presence on Facebook. By doing so, they will not only boost customer engagement RQOLQH��EXW�WKH\¶OO�VHH�D�FRQVLVWHQW�ÀRZ�LQ�IRRW�WUDI¿F�WR�ORFDO�stores which will, in turn, translate into sales. 'HVSLWH�WKH�*�2�'LJLWDO�VWXG\�UHYHDOLQJ�WKDW�)DFHERRN�HQJDJHPHQW�OHYHOV�DUH�VLJQL¿FDQWO\�ORZHU�IRU�FDU�GHDOHUVKLSV� ���SHUFHQW��DQG�UHDOWRUV����SHUFHQW���WKHVH�VPDOO�EXVLQHVV�owners should not forego Facebook marketing altogether. Rather, success will come down to modifying their social marketing strategies and expectations.
Which of the following criteria is MOST LIKELY to influence you to interact with a Facebook ad from a local/small business?
Ads that are targeted based on your current location
Ads that are targeted based on your demographics (age, gender)
Ads that are targeted based on your personal interests and past purchases
Ads that are visually bold and interactive
27%
20%36%
17%
Which one of the following types of businesses do you follow/engage with MOST on Facebook?
Restaurants
Beauty & spa
Car dealerships
Realtors
Home services (HVAC, plumbing, roofing)
Medical/dental
Financial services
Education/training
8%7%
9%
14%38%
14%
5%5%
11Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
Conclusion In a recent Business 2 Community blog, social media expert Yasmin Bendror expressed the need for small businesses to have active VRFLDO�PHGLD�SUHVHQFHV�WR�EHWWHU�UHDFK�WKHLU�SRWHQWLDO�FXVWRPHUV�RQOLQH��³,W¶V�REYLRXV�WKDW�VRFLDO�PHGLD�ZLOO�FRQWLQXH�WR�KDYH�D�VLJQL¿FDQW�impact in 2014 on marketers and business owners: They now have the ability to reach out and communicate on a personal level with WKHLU�WDUJHW�DXGLHQFH�RQ�D�GDLO\�EDVLV�´�VKH�VDLG��+RZHYHU��VKH�SRLQWHG�RXW�WKDW�VRFLDO�PHGLD�FDQQRW�DQG�VKRXOG�QRW�RQO\�EH�D�ODVW�PLQXWH�DGGLWLRQ�WR�D�PDUNHWLQJ�SODQ�LI�VPDOO�EXVLQHVVHV�ZDQW�WR�VHH�PHDVXUDEOH�DQG�LPSDFWIXO�UHVXOWV��³%XVLQHVVHV�WKDW�XVH�VRFLDO�PHGLD�DV�SDUW�RI�D�SODQQHG�FRUSRUDWH�DSSURDFK�DUH�����WR���WLPHV�PRUH�OLNHO\�WR�DQWLFLSDWH�UHYHQXH�JURZWK�WKDQ�DG�KRF�XVHUV�´�VKH�VDLG��
With so many consumers constantly turning to Facebook when making purchasing decisions, business owners – especially those in the UHVWDXUDQW��VSD�EHDXW\��DQG�HGXFDWLRQ�LQGXVWULHV���QHHG�WR�FRPH�WR�WHUPV�ZLWK�WKH�IDFW�WKDW�)DFHERRN�LV�D�KLJKO\�LPSRUWDQW�PDUNHWLQJ�WRRO�WKDW�QHHGV�WR�EH�DFWLYHO\�DWWHQGHG�WR��DQG�QRW�MXVW�VRPHWKLQJ�WKH\�FKHFN�LQ�RQ�HYHU\�QRZ�DQG�WKHQ��2ZQHUV�PXVW�UHVSRQG�SURDFWLYHO\�DQG�KRQHVWO\�WR�FXVWRPHU�FRPSODLQWV��SRVW�SHUVRQDOL]HG�DQG�UHOHYDQW�FRQWHQW�DERXW�LQ�VWRUH�SURGXFWV�DQG�SURYLGH�GLVFRXQWV�LI�WKH\�ZDQW�WR�HIIHFWLYHO\�WXUQ�RQOLQH�IDQV�LQWR�OR\DO��UHSHDW�EX\HUV�LQ�VWRUH��
“Businesses that use social media as part of a planned corporate approach are 1.5 to 2 times more likely to anticipate revenue growth than ad hoc users”
- Yasmin Bendror 6RFLDO�0HGLD�([SHUW��%XVLQHVV���&RPPXQLW\
12Facebook Advertising: The Social Commerce Lifeline for Small Businesseswww.godigitalmarketing.com
About G/O Digital 7KH�*�2�'LJLWDO�YLVLRQ��To Transform Local Marketing and #WinLocal. )RU�/RFDO�%XVLQHVVHV��*�2�'LJLWDO��D�*DQQHWW�FRPSDQ\��LV�D�RQH�VWRS�VKRS�IRU�ORFDO�EXVLQHVVHV�ORRNLQJ�WR�connect with consumers through digital marketing, from search to social and everything in between. For 1DWLRQDO�%UDQGV�DQG�$JHQFLHV��*�2�'LJLWDO�GHOLYHUV�ORFDO�GLJLWDO�DFWLYDWLRQ�DW�QDWLRQDO�VFDOH�ZLWK�SXVK�EXWWRQ�VLPSOLFLW\�SRZHUHG�E\�*�2�'LJLWDO�EUDQGV�6KRSORFDO��%/L14�0HGLD��.H\�5LQJ
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Contact UsFor Media Relations/PR, Please Contact: Brook Terran, Account Director %ODVW�35�IRU�*�2�'LJLWDO 7HO���������������� Email: [email protected]
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