Importance of Granular Targeting in Social Media
For e-commerce companies, social media is a critical channel for driving sales. While Google and the display network is an effective medium to reach the target audience, social media networks, especially Facebook are being used to target the right consumers having relevant interests. While it’s important to engage with the audience within Facebook, we have found it to be more effective to drive traffic via Facebook Ads directly to the website or landing page and track results there.
For example, Planet Superheroes, which is into Superhero Merchandise has used FB to segment users who like specific superheroes and are online spenders in India. So superman t-shirt ads are targeted to users who like Superman and fit into the age & location demographic relevant to the brand. This level of granular targeting is possible only in social media. Moreover, organic posts are not enough anymore owing to the recent policy changes for Facebook Pages. This means advertising on Facebook and other channels becomes essential. With the advanced features of Facebook companies can even target their existing customers, friends of their customers and even audiences having similar interests and demographics to their existing customers.
Most importantly, the return on investment is measurable to the last rupee using analytics and conversion tracking tools. This also makes digital marketing more transparent in constantly improving the cost of acquisition for ecommerce brands.
Other Social Media Platforms that e-commerce companies can leverage
Social Media has been crucial to the brand building of e-commerce companies. Not just Facebook but even Twitter, Instagram and Pinterest have enabled even smaller startups find a niche in the crowded e-commerce space. The younger generation is more inclined to using Instagram and Whatsapp and brands are starting to experiment with these networks depending on their target segment. Even usage of pinterest and professional network, Linkedin have grown remarkable and depending on the audience being targetted, different ecommerce companies are using different channels. An interesting case in scenario is Cherrytin, a premium e-gifting destination which has used Instagram & youtube to showcase the premiumness and fun identify of the brand and thereby driving sales in the long run.
We see Whatsapp, Instagram and YouTube playing a pivotal role in the growth of ecommerce brands as the younger generation is adapting to these platforms even faster than they adapted Facebook.
Increased focus on Conversion Rate Optimisation
With tools like Zarget, CrazyEgg and even Google Analytics allowing data points to help improve sales, revenue and conversions, this is going to be a focus area for every ecommerce company.