17 February 2019
Facebook founder Mark Zuckerberg is always thinking of new ways to help businesses reach their target clients. Photo: Bloomberg
Facebook founder Mark Zuckerberg is always thinking of new ways to help businesses reach their target clients. Photo: Bloomberg

How mobile and video are reshaping digital marketing landscape

Market researcher emarketer cites three important digital marketing trends in 2014: (1) mobile is now the center of the multiplatform landscape; (2) new demands are accelerating marketing to the point of instant interaction; and (3) always on means always social.

These three points emphasize the convergence of digital, mobile and social into a new paradigm for customer interaction. Perhaps the better word is “engagement” because interaction can be a fleeting instance but engagement connotes a sustained dialogue that lasts long after the first interaction ends.

For decades marketers’ ability to reach, excite and engage customers has been limited by the medium. Print advertising presents a wide reach but has quickly become expensive as engagements are limited to the campaign. TV ads are as expensive to create as they are to air. Radio ads rely exclusively on sound and content to engage and therefore have a limited range – plus it has a narrowband of audience.

The convergence of the internet and digital offered an opportunity to cost-effectively reach a target audience with a high degree of interactivity. But without a doubt, it is mobile technology that has made engagement instantaneous, interactive and sustainable.

With the right targeting tools, compelling content and a platform with a large following, we now have an opportunity to create and deliver a message to a mass audience and make it feel personal to the owner of the mobile device. Why? Because the mobile device today has reached critical mass appeal!

The IDC study titled “Always Connected – How Smartphones and Social Keep Us Engaged” reveals that the mobile phone is our most intimate device. It is in our pocket, with us all of the time, and where we are most engaged. The study reveals that 79 percent of people have their smartphone on their body for all but two hours of their waking time (see Figure 1).

In Hong Kong, the impact of the mobile and digital duopoly is even more evident in a recent survey by market research firm TNS of 1,068 Facebook users and the activities they do while accessing social media (see Figure 2). The survey suggests that Hongkongers use every opportunity to socialize on Facebook and they do so through their mobile device.

Just as interesting, digital media today offers a near level playing field for every business – big or small – to reach and engage their target audience. It all starts with compelling content. Take the case of GS SHOP, a pioneer in TV home shopping in Korea and multimedia retailer in Korea. The company decided to use the social platform to target existing customers, taking advantage of the over 14 million Koreans who access Facebook monthly.

GS Shop used link ads to target existing customers using two different methods at the same time to see how campaign performance varied by the level of targeting sophistication, targeting broadly with Core Audiences and targeting narrowly with website/mobile app Custom Audiences. Using mobile app Custom Audiences, GS SHOP could reach those who had downloaded the app but never logged in.

GS SHOP used the same creative designed for campaigns carried out on other channels to directly compare their performances with Facebook’s. Ads featuring seasonal and special offer products, as well as events such as the Lucky Bag event, were used.

Its campaign benchmarks were to reduce the cost per purchase conversion to less than 10,000 won (US$9.18), achieve an over 20 percent app install rate versus clicks, reduce the cost per mobile app install by 30 percent, and reduce the cost per login to less than 50 percent of the cost per install.

During its one-month campaign, GS SHOP achieved an 80 percent reduction in cost per purchase conversion, over 16 times increase in purchase conversion rate, and 96 percent reduction in cost per app user login (compared to cost per install from a new mobile app ad targeted at all Facebook users).

Nike is a brand that needs no introduction. Nonetheless, it turned to Facebook with its 4.4 million monthly active users to raise awareness of its Risk Everything campaign in Hong Kong, popularize the #riskeverything hashtag, and create a social media buzz.

It ran photo ads and video ads in the mobile and desktop News Feed—allowing people to watch Nike’s video in their News Feed without having to leave Facebook. The video ads featured the campaign video featuring soccer stars Cristiano Ronaldo, Neymar Jr. and Wayne Rooney. The posts included the #riskeverything hashtag and links to Nike’s soccer website.

To maximize the reach of its content, Nike ran two reach blocks in the desktop and mobile News Feed (the first one on 30 April, followed by a second reach block on 11 June). A reach block helps advertisers drive mass awareness to a broad audience in a single day.

In one day, the campaign reached 2.4 million Hongkongers (almost 50 percent of the population of Hong Kong with an internet connection) with 84 percent of those who saw the Facebook ad doing so on their mobile.

These two cases tell us three things: you need is a truly compelling story that unites brand attributes and business goals with deep audience interests and passions; digital media gives you the opportunity to reach a highly targeted audience; and mobile presents a new channel with significant reach potential in Hong Kong.

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Figure 1: Always Connected – How Smartphones and Social Keep Us Engaged. Source: IDC (Commissioned by Facebook), March 2013

Figure 2 Where Hongkongers Access Facebook Daily. Source: TNS (Commissioned by Facebook), June 2014

Head of Agency/Reseller, Greater China at Facebook

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