Posts tagged facebook
There is a debate on around what the acceptable metric is, clicks, reach or frequency.
Can you can guess which one Facebook is backing.
This bar chart (to actual scale) does a pretty good job of explaining why Facebook would rather sell reach and frequency than clicks.
In his presentation, Smallwood compared social media to the early days of television, which lacked a standard metric until Arthur Nielsen introduced a ratings system in 1950. Smallwood proposed that the industry rely on the two measurements that have served TV well since that time: reach and frequency.
To bolster his argument, Smallwood cited research from Nielsen (the company, not the founder) that showed a 0.07% correlation between high click-through rates and actual sales.
Smallwood also rolled out some new datafrom a study conducted with Datalogix that found 99% of sales generated from online branding ad campaign came from consumers who saw ads, but didn’t interact with them. The report also produced fuzzier statistics, like campaigns that “maximized reach” generated an average 70% higher ROI than those that didn’t and that campaigns that maximized frequency had a 40% higher ROI.
Since Smallwood didn’t outline what constitutes either maximized reach or frequency, the stat seemed short on specifics. However, he emphasized that each campaign is likely to have a different threshold for each.
Facebook’s pitch to marketers was that the company would calculate such thresholds for them and ensure that each campaign reached its potential.
At that time, here’s the order of what was important in my life:
3- Food / Shelter
4- My gf
To spell it out. Facebook was my entire life. My social circle, my validation, my identity and everything was tied to this company.
How the fuck could have ended up like this? WTF! I just got a promotion and a raise 2 months before!
This was my first time being fired and it took me 1 year to get over the depression.