Facebook, Instagram and Twitter are among those platforms building out targeting products and improving native offerings, enabling the platforms to be better for direct response ads. As the ability to drive traffic within social platforms programmatically improves, more platforms are likely to follow. In this session, Megan Pagliuca, vp and gm of display media for Merkle, will discuss the evolution of media planning and its relationship with social platforms.

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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

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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
???

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Paid media becomes necessary for brands
Organic
Reach
Down to
6%

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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

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40X -50X
higher
click rate
Native ad formats

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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

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Tracking
NOT PERFECT BUT BETTER

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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

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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

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Excited about Pinterest
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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

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Thank You!
merkleinc.com
Megan Pagliuca
General Manager & VP of Digital Media
@meganpagliuca
mpagliuca@merkleinc.com