q2 2016 social trends report - Facebook Marketing Partners

Q2 2016 SOCIAL TRENDS REPORT
WWW.KINETICSOCIAL.COM
Q2 2016 TOPLINE SUMMARY
While the advertisers that Kinetic Social works with have spent fairly consistently across our social partners throughout the first
half of the year, the Retail, CPG, and Travel verticals spent significantly more in this quarter than last quarter, so we have focused
some of the following report on those industries. We expect these trends to continue as new campaigns gain traction through the
remainder of the year.
New ad features like Pinterest’s interest and keyword targeting provided greater opportunities to advertisers and as a result, current
advertisers are growing budgets, while new advertisers are adopting the platform rapidly. As a tool for visual search, discovery, and
planning for future purchases, Pinterest is a growing part of the media mix.
Facebook and Instagram conversion campaigns continue to gain traction among our advertisers, with over 40% of media spend
focusing on these campaign objectives. In particular, we saw improved performance for conversion campaigns in the retail vertical
this quarter, due to a shift in device targeting strategy.
We have long seen the value of video as a tool for generating engagement and interest in our clients’ products, and this quarter
continues to see high performance for shorter video ads on Twitter, demonstrating the importance of making an impact in the first
few seconds of a video ad.
While advertisers continue to achieve their marketing objectives by tapping each platform’s unique strengths, integrated campaign
strategies showed the strongest results as more people engage with great, relevant content.
At Kinetic, we are continually innovating to optimize and manage creative assets across digital channels and have already seen great
results. Visit our blog to learn more about new advances in our Social Asset Manager tool and Creative Studio services.
Note: The data in this report reflects only the campaigns that ran through Kinetic Social’s proprietary social marketing
platform in Q2 2016.
TABLE OF CONTENTS
3-7
FACEBOOK & INSTAGRAM
8 - 10
TWITTER
11-14
PINTEREST
Q2 2016 SOCIAL TRENDS REPORT
FACEBOOK & INSTAGRAM CAMPAIGNS
OVERVIEW
This quarter has seen Kinetic’s Facebook and Instagram advertisers
focusing primarily on conversion and engagement campaigns. Our
findings show that Retail, CPG and Travel verticals in particular have
seen significant benefits when tapping into the combined power of
these platforms. Leveraging lookalike audiences further generated
excellent results. The following charts share some of our findings,
highlighting how advertising across these two networks helped our
clients reach and exceed their campaign goals.
eCPC ON FACEBOOK & INSTAGRAM
OVERVIEW OF
KINETIC RUN CAMPAIGNS
$0.59
$0.60
Overall, ad spend from Kinetic Social’s Facebook and
$0.50
Instagram advertisers remained fairly constant from Q1 to
$0.40
Q2 2016. CPC (Cost per Click) has remained level since Q4
2015. CTR (Clickthrough Rate) is down this quarter to 0.87%
$0.30
(from 1.06%).
$0.29
$0.20
We saw a spike in CPM (Cost per Thousand Impressions) in
$0.10
Q1, but Q2’s CPM leveled off closer to 2015’s cost.
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
eCTR ON FACEBOOK & INSTAGRAM
eCPM ON FACEBOOK & INSTAGRAM
1.40%
$7.00
1.30%
1.20%
$6.00
1.00%
$5.00
Q2 2016
$5.11
0.87%
0.80%
$4.00
0.60%
$3.00
0.40%
$2.00
0.20%
$1.00
0.00%
$3.81
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
50%
40%
VIDEO VIEWS
30%
Previously we reported that users tend to finish viewing
AFTER WATCHING 25% OF VIDEO AD
an ad if they watched at least 25% of the content. This
quarter, that held particularly true for shorter video ads
20%
(<1 minute) on Facebook. People didn’t generally watch
longer form videos to the end, though most did watch
over 75% of the ads. It is therefore recommended
10%
that advertisers get their message out early and keep
0%
content under one minute.
< 15 sec
15-30 sec
30-60 sec
1-2 min
Stop Watching
Watch 75%
Watch 50%
Finish the Video (95% Completion)
> 2 min
PERCENT OF SPEND
BY OBJECTIVE
100%
Facebook and Instagram
campaigns continue to emphasize
80%
conversions over post engagement.
However we also saw a large spike
in Brand Awareness campaigns,
60%
particularly among CPG brands.
Conversions
Lead Generation
Post Engagements
App Installs
Link Clicks
Page Likes
Brand Awareness
Product Catalog Sales
40%
20%
Video Views
0%
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
CPG CAMPAIGNS SWITCH TO BRAND AWARENESS
We saw a major shift in strategy this
% of Spent
quarter, with many CPG (Consumer
100%
eCPM (Unique)
$9.00
Packaged Goods) campaigns switching
from a post engagement objective to a
brand awareness objective.
$8.00
80%
$7.00
The result was clear: we saw a significantly
larger number of unique impressions
served, and the cost per 1,000 unique
$6.00
60%
$5.00
impressions dropped sharply.
$4.00
40%
Video Views
Lead Generation
Post Engagements
Conversions
Page Likes
Brand Awareness
$3.00
$2.00
20%
Link Clicks
$1.00
0%
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
$0.00
eCPC ACROSS SELECTED VERTICALS
ON FACEBOOK AND INSTAGRAM
Overall, CPC is trending upwards for many verticals, but this
could be due to a number of factors including advertiser creative,
Retail
CPG
campaign objective, and the overall marketplace.
Travel & Tourism
Education
$1.20
$1.00
$0.80
$0.60
$0.40
$0.20
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
1.60%
LOOKALIKE AUDIENCE
PERFORMANCE:
1.40%
Clickthrough Rate
1.20%
TRAVEL & TOURISM INDUSTRY
1.00%
Travel advertisers are leveraging first party data to take
advantage of lookalike audiences for their link click
0.80%
campaigns. The clickthrough rate is significantly higher
0.60%
when these advertisers use lookalike audience targeting.
0.40%
The proportion of dollars spent targeting lookalike
0.20%
audiences doubled in Q2 for Travel & Tourism
0%
Q1 2016
Q2 2016
Q1 2016
All Verticals
campaigns on Facebook and Instagram.
Q2 2016
Travel & Tourism
Lookalike Audiences Used
No Lookalike Audience Used
CONVERSION CAMPAIGNS FOR RETAIL ADVERTISERS
SPEND BY PLACEMENT
ON FACEBOOK AND INSTAGRAM
CONVERSION CAMPAIGN COSTS
ON FACEBOOK AND INSTAGRAM
The result of this targeting shift was a signicant improvement in performance
Q1 2015 - Q1 2016
(as measured by cost per conversion). This reflects mobile targeting’s generally
14%
enhanced performance, which we have seen since Q2 2015.
2%
84%
$14.00
Q2 2016
14%
56%
30%
eCPCon (Cost per Conversion)
$12.00
$10.00
$8.00
$6.00
$4.00
$2.00
Desktop
Desktop & Mobile
Mobile
$0.00
Historically, we’ve seen most Retail campaigns target
desktop users but this quarter we noticed a shift to
significantly greater targeting of mobile users.
Q2 2015
Desktop
Q3 2015
Mobile
Q4 2015
Desktop & Mobile
Overall eCPCon (Cost per Conversion)
Q1 2016
Q2 2016
Q2 2016 SOCIAL TRENDS REPORT
TWITTER CAMPAIGNS
OVERVIEW
In addition to the overarching performance metrics, this quarter
we’re focusing on a few specific areas within the Twitter advertiser
experience. For verticals, Retail and CPG clients continue to be
significant spenders getting great results with Twitter advertising.
For these category advertisers, CPLC (Cost Per Link Click) was much
lower compared to others in Q2.
In terms of ad units, we continued to see Twitter Video ads as a
major performance driver this quarter. Our findings note that
shorter video formats generated more completed views. The
following charts share some of our findings, highlighting how video
ads helped our clients reach and exceed their campaign goals.
*
The efficiencies in campaign performance noted in the
following charts can be attributed to a variety of factors
including an emphasis on event engagement content around
music festivals like Coachella, product/gaming releases, new
retail category campaigns and the autoplay video feature.
eCPC FOR WEBSITE CLICK CAMPAIGNS
While volume remains relatively consistent, click campaign costs have
fluctuated fairly significantly since Kinetic began publishing results but the
costs seem to have leveled off at a lower rate.
$3.00
$2.50
$2.16
$2.00
$1.50
$1.00
$1.00
$0.50
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
eCPE FOR ENGAGEMENT CAMPAIGNS
The cost of engagement campaigns continued to drift lower this quarter.
$0.30
COMPLETED VIDEO VIEWS
PER 1,000 IMPRESSIONS
$0.25
$0.20
As previously reported, Twitter users are very likely
to finish watching short (< 15 sec) videos, but are less
$0.15
likely to watch longer videos.
$0.10
Thus Kinetic recommends that advertisers with video
$0.05
assets stick to shorter formats for Twitter to drive
more viewership.
$0.19
$0.11
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
eCPV FOR VIDEO VIEW CAMPAIGNS
80
Video campaigns continue to be a particularly good value, likely attributed to
the autoplay feature which was introduced on Twitter in Q3 2015.
60
$0.60
$0.52
$0.50
40
$0.40
$0.30
20
$0.20
0
$0.10
< 15 sec
15-30 sec
30-60 sec
Ad Length
1-2 min
$0.04
> 2 min
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
PERCENT OF SPEND
100%
BY OBJECTIVE
Kinetic’s advertisers continue to adopt diverse
80%
Twitter objectives, showcasing Twitter’s ability to
meet advertiser needs across multiple marketing
objectives.
60%
Website click-driving campaigns remain the most
popular choice since many advertisers seek to
40%
generate traffic to their own sites to learn more.
Website Clicks
Followers
Video Views
Custom
Tweet Engagements
App Installs
Lead Generation
App Engagements
20%
0%
Q2 2015
COST PER URL CLICK (eCPC) FOR
RETAIL AND CPG
These two verticals have historically outperformed the rest of Kinetic’s
advertiser verticals in Twitter, with improving performance (lower cost
per URL click) over the last two quarters for both verticals.
Retail
CPG
All Verticals
$2.50
$2.00
$1.50
$1.00
$0.50
$0.00
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Retail and CPG vertical campaign clients are the
two largest Kinetic customer segments on Twitter
using the “website click” objective.
Q2 2016
Q3 2015
Q4 2015
Q1 2016
Q2 2016
Q2 2016 SOCIAL TRENDS REPORT
PINTEREST CAMPAIGNS
OVERVIEW
It has been an exciting quarter for Pinterest. Since rolling out their
new targeting features in Q2, more ad dollars are being spent
on this platform. Brands using interest and keyword targeting as
well as conversion tags generated excellent results. The following
charts share some of our findings, highlighting how these
targeting features and tags have helped our clients reach and
exceed their campaign goals.
CASE STUDY:
DRIVING WEBSITE TRAFFIC WITH PROMOTED PINS
THE CHALLENGE
The leader in creative and document solutions software
sought a social and creative partner to promote their photo
editor plan, driving traffic to the brand’s website while
maintaining a low CPC (cost per click).
THE STRATEGY
Leveraging Pinterest Promoted Pins, our Creative Studio
developed six ad creatives to support the promotion. From
there, our campaign management team deployed the ads
and utilized the platform’s interest and keyword targeting to
find new potential customers for the brand.
THE RESULTS
THIS CAMPAIGN CAME IN UNDER
THE CLIENT’S INITIAL CPC TARGET BY
11%. WITH THE HELP OF PINTEREST
INTEREST AND KEYWORD TARGETING,
THE BRAND’S CAMPAIGN HAD AN ER
(ENGAGEMENT RATE) OF OVER 4%.
PERCENT OF SPEND
100%
BY OBJECTIVE
Spend is roughly split between each campaign
80%
type on Pinterest, and their relative costs (as
measured by CPM) are closer to parity this
60%
quarter than they were last quarter.
40%
Website Clicks
Pin Engagement
20%
0%
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
PIN ENGAGEMENT CAMPAIGNS
400%
PERCENT CHANGE IN PERFORMANCE
350%
eCPM
300%
eCPE
Last quarter, we reported increasing CPM and CPE
250%
for engagement campaigns, but this quarter we saw
200%
a marked drop in the cost of these campaigns.
150%
100%
50%
0%
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
WEBSITE CLICK CAMPAIGNS
140%
PERCENT CHANGE IN PERFORMANCE
120%
eCPM
100%
eCPC
There was a spike in CPM for website click
80%
campaigns with a corresponding spike in eCPC,
60%
however the cost per click has remained relatively
efficient over the measurement period.
40%
20%
0%
-20%
Q2 2015
Q3 2015
Q4 2015
Q1 2016
Q2 2016
Two new products have begun to be adopted by our Pinterest advertisers: (1) interest targeting and (2)
conversion tags. In both cases, we saw significantly greater adoption over the course of the quarter.
PERCENT OF CAMPAIGNS
USING INTEREST TARGETING
100%
80%
60%
40%
20%
0%
Interests
April 2016
May 2016
June 2016
No Interests
PERCENT OF CAMPAIGNS
TRACKING CONVERSIONS
100%
80%
60%
40%
20%
0%
April 2016
Conversion Campaigns
May 2016
June 2016
Engagement / Traffic Campaigns
ABOUT THIS REPORT
The data in this report reflects all of the campaigns that ran through Kinetic Social’s proprietary social marketing
platform, serving over 2 Billion impressions in Q2 2016. This report includes ad spend on Facebook, Instagram,
Twitter and Pinterest, on both desktop and mobile, and for all ad types. We have broken out platform-specific
data and indicated the corresponding platform in each chart. This data report reflects a mix of awareness,
engagement and direct response campaign initiatives.
The social marketplace rapidly and constantly evolves; thus, this report should be taken strictly as an indicator
of current marketplace trends that Kinetic has observed, and not necessarily an indication of future trends.
The data in this report represents Kinetic campaigns only and should not be used as an indicator of the entire
current or future Facebook, Instagram, Twitter or Pinterest landscape.
KINETIC IS A PROUD PARTNER
ABOUT KINETIC SOCIAL
Kinetic Social’s social marketing platform and team of experts help brands create welcome, engaging and
empowering experiences for consumers. Through every level of service, we design and manage campaigns
across social channels and the open web. Our powerful, intuitive technology reflects how the modern marketer
thinks and works. We combine that proactive innovation with strategic thinking at every step to deliver quality
encounters that delight consumers, build brand value and drive sales. Kinetic is based in New York with offices
in Toronto, Chicago and San Francisco. We are a Facebook Marketing Partner, an Instagram Partner, a Twitter
Official Partner and a Pinterest Marketing Developer Partner. More at www.kineticsocial.com
WWW.KINETICSOCIAL.COM