SOCIAL MEDIA – AUTOMOTIVE DIGITAL MARKETING: Don’t worry Facebook, we still love you. Just not as much, and maybe not for the same reasons as before. Fact is, ever since that darn IPO, the sheen and shine of The Promise just doesn’t seem so bright anymore. And if that’s not bad enough, now there’s this little nugget from 33 across, courtesy of eMarketer.com: Facebook is arguably losing priority and budget to other aspects of digital marketing, and, maybe, other social networks as well.
The study, released July 3, finds that 71 percent of respondents spent 20 percent of their time attending to Facebook and 80 percent looking after the rest of the Internet. This was up from 58 percent in March. More critically, according to a June 2012 study from Advertising Age and Citigroup, 72.8 percent of those surveyed said their social media ad budget would increase in the coming year — only 56.4 percent said the same of their Facebook buy. In this case, marketers were reacting to the problems with ROI – and measurement – on the social site. Over 37 percent of respondents said the ROI of Facebook was inferior to the ROI of other platforms (Yahoo! or Google) versus 17.9 percent who felt it was superior.
- –72.8% said their overall social media ad budget would increase; 56.4% said the same about Facebook.
- –37.6% of respondents said that the ROI of Facebook was inferior to the ROI of other platforms
- –4.3% said they would decrease their Facebook advertising budget, compared to 1.9% who for their overall social media budget.
What We Think: The ROI of Facebook? It’s there, but maybe not so much for large brands more interested in building fancy awareness campaigns. At dealerships, Facebook has significant power to boost retail advocates and communicate with customers – pre, during and post purchase.
Why it Matters: It’s the age-old question: can you sell a car on Facebook? Progressive dealers are figuring out ways to use Facebook as a lower funnel marketing tool, which is the opposite of what brands can do – think dogs singing the Imperial March. Perhaps what matters here is that social media is a powerful local business tool… and Facebook is no exception.