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© 2014 Merkle. All Rights Reserved. Confidential
Social Platforms = Direct
Marketing Platforms
© 2014 Merkle. All Rights Reserved. Confidential
Agenda
» The state of social platforms
» Necessary features for scale
» Challenges in adoption
» Results
» How to take advantage of the opportunity
2
© 2014 Merkle. All Rights Reserved. Confidential
Facebook defined the playbook for social media
Paid Media
within the
platform
Off-Platform
Network
Paid Media
to the site or
store
Audience
Scale
Earned
Media
1
2
3
4
5
THEPLAYBOOK
© 2014 Merkle. All Rights Reserved. Confidential
The platforms are evolving quickly
Audience
Scale
Paid Media
within the
platform
Off-Platform
Network
Earned
media
Paid Media
to the site or
store
Size of Opportunity to Drive Sales
1 2 3 4 5
???
© 2014 Merkle. All Rights Reserved. Confidential
Paid media becomes necessary for brands
Organic
Reach
Down to
6%
© 2014 Merkle. All Rights Reserved. Confidential
Necessary features for platform evolution
Platforms must have targeting products, tracking capabilities and innovative formats in
order to be a scalable platform for direct marketing
Targeting products
leveraging the platforms
proprietary 1st party data
and ability to leverage
advertiser 1st party data is
necessary
Targeting
Formats are larger rich
media units natively placed
within relevant content
Innovative Formats
Enabling basic tracking
like a conversion pixel is
necessary and cross
device identification is
the future
Tracking
© 2014 Merkle. All Rights Reserved. Confidential
40X -50X
higher
click rate
Native ad formats
© 2014 Merkle. All Rights Reserved. Confidential
Targeting
Custom Audiences & Tailored Audiences
#1 source of new customer
acquisition in media budget
INTEREST
BASED
CUSTOM
AUDIENCES
COSTPERORDER
43
100
57% MORE EFFICIENT
-57%
Consistent results across Insurance, Retail, Telcom, and
Banking
© 2014 Merkle. All Rights Reserved. Confidential
Tracking
NOT PERFECT BUT BETTER
© 2014 Merkle. All Rights Reserved. Confidential
Social results for Nespresso
Facebook:
#1 Overall Source of Traffic to Website = Facebook Paid Social
#1 Source of “New” Visitors = Facebook Paid Social
#1 Display Prospecting Prospecting Tactic = Facebook Paid Social
CRM CUSTOM AUDIENCES
INTEREST
BASED
CUSTOM
AUDIENCES
COSTPER
ORDER
57
100
43% MORE EFFICIENT
-43%
Twitter:
Sustained 5-10% Engagement Rates
Product Card Drives Qualified Traffic -- 2x Higher Conversions Per Visit
Website card beta in progress
Vine increases purchase intent
© 2014 Merkle. All Rights Reserved. Confidential
Challenges in brand adoption
» “Social Jail”
» Niche -> Broad Reach
» “Move fast and break things.
Unless you are breaking
stuff, you are not moving
fast enough”
Source: Comscore; W 25-54, HHI $100k
© 2014 Merkle. All Rights Reserved. Confidential
Excited about Pinterest
12
© 2014 Merkle. All Rights Reserved. Confidential
What does this mean for you?
» Services
‣ In house vs agency
‣ Optimization is different
‣ Thought leadership
» Creative - More concepts, more personalization, faster iteration
» Technology
‣ sPMD is the new DSP
‣ Managing and actioning on customer data (PII) with privacy and
compliance as the priority
© 2014 Merkle. All Rights Reserved. Confidential
Thank You!
merkleinc.com
Megan Pagliuca
General Manager & VP of Digital Media
@meganpagliuca
mpagliuca@merkleinc.com

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Media Planning and Social Platforms

  • 1. © 2014 Merkle. All Rights Reserved. Confidential Social Platforms = Direct Marketing Platforms
  • 2. © 2014 Merkle. All Rights Reserved. Confidential Agenda » The state of social platforms » Necessary features for scale » Challenges in adoption » Results » How to take advantage of the opportunity 2
  • 3. © 2014 Merkle. All Rights Reserved. Confidential Facebook defined the playbook for social media Paid Media within the platform Off-Platform Network Paid Media to the site or store Audience Scale Earned Media 1 2 3 4 5 THEPLAYBOOK
  • 4. © 2014 Merkle. All Rights Reserved. Confidential The platforms are evolving quickly Audience Scale Paid Media within the platform Off-Platform Network Earned media Paid Media to the site or store Size of Opportunity to Drive Sales 1 2 3 4 5 ???
  • 5. © 2014 Merkle. All Rights Reserved. Confidential Paid media becomes necessary for brands Organic Reach Down to 6%
  • 6. © 2014 Merkle. All Rights Reserved. Confidential Necessary features for platform evolution Platforms must have targeting products, tracking capabilities and innovative formats in order to be a scalable platform for direct marketing Targeting products leveraging the platforms proprietary 1st party data and ability to leverage advertiser 1st party data is necessary Targeting Formats are larger rich media units natively placed within relevant content Innovative Formats Enabling basic tracking like a conversion pixel is necessary and cross device identification is the future Tracking
  • 7. © 2014 Merkle. All Rights Reserved. Confidential 40X -50X higher click rate Native ad formats
  • 8. © 2014 Merkle. All Rights Reserved. Confidential Targeting Custom Audiences & Tailored Audiences #1 source of new customer acquisition in media budget INTEREST BASED CUSTOM AUDIENCES COSTPERORDER 43 100 57% MORE EFFICIENT -57% Consistent results across Insurance, Retail, Telcom, and Banking
  • 9. © 2014 Merkle. All Rights Reserved. Confidential Tracking NOT PERFECT BUT BETTER
  • 10. © 2014 Merkle. All Rights Reserved. Confidential Social results for Nespresso Facebook: #1 Overall Source of Traffic to Website = Facebook Paid Social #1 Source of “New” Visitors = Facebook Paid Social #1 Display Prospecting Prospecting Tactic = Facebook Paid Social CRM CUSTOM AUDIENCES INTEREST BASED CUSTOM AUDIENCES COSTPER ORDER 57 100 43% MORE EFFICIENT -43% Twitter: Sustained 5-10% Engagement Rates Product Card Drives Qualified Traffic -- 2x Higher Conversions Per Visit Website card beta in progress Vine increases purchase intent
  • 11. © 2014 Merkle. All Rights Reserved. Confidential Challenges in brand adoption » “Social Jail” » Niche -> Broad Reach » “Move fast and break things. Unless you are breaking stuff, you are not moving fast enough” Source: Comscore; W 25-54, HHI $100k
  • 12. © 2014 Merkle. All Rights Reserved. Confidential Excited about Pinterest 12
  • 13. © 2014 Merkle. All Rights Reserved. Confidential What does this mean for you? » Services ‣ In house vs agency ‣ Optimization is different ‣ Thought leadership » Creative - More concepts, more personalization, faster iteration » Technology ‣ sPMD is the new DSP ‣ Managing and actioning on customer data (PII) with privacy and compliance as the priority
  • 14. © 2014 Merkle. All Rights Reserved. Confidential Thank You! merkleinc.com Megan Pagliuca General Manager & VP of Digital Media @meganpagliuca mpagliuca@merkleinc.com