Social Media Advertising presented by www.SocialMediopolis.com

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Social Media &AdvertisingPresented to the Copenhagen Business Schoolin San Francisco, CANovember 16, 2009

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Brief Introduction toMike CrossonOnline since 1978, before the Internet was known as the Internet (or Al Gore invented it)Former senior executive for Omnicom, MapQuest, Vivendi-Universal, and othersFounder of Business Computing magazine, Crosson + Partners AdvertisingCo-founder of International Webcasting Association, LondonCurrent founder and publisher of SocialMediopolis.com and the largest social media community on LinkedIn.com with over 50,000 membersCo-founder of non-profit ChangeTheWorld.com, in alpha development and in process of fund-raising

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World Market Overview

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Who Has Access

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Internet Ad RevenuesContinue to Grow, Despite a Slight Downturn in 2009Source: Interactive Advertising Bureau (IAB), PricewaterhouseCoopers (PwC) estimates.5

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U.S. Online Advertising:Onethird branding; two thirds direct response Search is the biggest piece of online advertising

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Branding spending stillunder-developedTotal Online Advertising 2007: $21.2 BillionSource: Interactive Advertising Bureau (IAB), PricewaterhouseCoopers (PwC) estimates.6

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Keep in Mind,Search Patterns in Social Media Change Dramatically by CountrySource for Social Media Maps: http://royal.pingdom.com/2008/08/12/social-network-popularity-around-the-world/

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South Korea9.7mRussia2.4mChina43mUK4.5mDenmark0.3mJapan14mUSA26.4mPoland1.1mNetherlands1.6mGermany5.2mCzech0.6mCANADA1.6mFrance4mRomania0.5mTurkey2mSwitzerland0.5mHungary0.1mAustria0.4mSpain4.5mItaly3.4mPakistan0.97mGreece0.3mTaiwan4.2mIndia8.7mMEXICO4.1mHongKong1mPhilippines2.4mBRAZIL7.6mAustralia1mSource: UniversalMcCann Social Media Tracker16-54 Active Internet Universe EstimatesAsia Leads in Blogging

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Russia Leads InSocial NetworkingSource: Universal McCann Social Media Tracker

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Consumer content driveslocal languageChinese will rise to #1 by 2016Source: Internet World StatsEnglish Language is Losing Dominance

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11Traffic is Huge,But Social Media Advertising Spend is Not… Yet7% of online media is spent in social media, but growing 26%+ a year

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$1.3 B in2008 to $2.6 B in 2012 in U.S.

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Major firms havemassive concerns about brand safety and reputation management

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Poor quality adinventory limits exploration with new venues

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Ads on SNSare not nearly as effective as advertising online at largeSources: IDC U.S. Consumer Online Behavior Survey Results 2008, n=3092 U.S. Internet Advertising 2008–2012 Forecast and Analysis: Defying Economic Crisis (IDC #212149, May 2008)

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In general, InternetAd Response Rates Are AbysmalSources: Doubleclick, eMarketer, Eyeblaster, ABI Research estimates

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But they areeven worse for Social Media!Sources: Doubleclick, eMarketer, Eyeblaster, ABI Research estimates

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The Take-Away onSocial Media Advertising:Just don’t do it.

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The Take-Away onSocial Media Advertising -Just don’t do it… UNLESS: Your primary focus is branding or direct response

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You have millionsand millions to spend over a long time period

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You have anintegrated marketing platform that leverages your web campaign in other media

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You have yourcustomer support aligned with your marketing

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You embed yoursocial media strategy and values throughout your company

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And, most importantly,you LISTEN and DON’T SELL! Let’s Focus on Three 800 lb. GorillasYouTube FacebookTwitter

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YouTube, the VideoGorilla

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Social Media VideoExample 1: TMobileAgency: Saatchi & Saatchi

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Social Media VideoExample 2: GEICO

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Facebook, The Friends’GorillaMore than 300 million active users50% of active users log on to Facebook in any given dayThe fastest growing demographic is those 35 years old and olderMore than 10 million users become fans of Pages each dayMore than 8 billion minutes are spent on Facebook each day (worldwide)2nd most popular website in the world

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Facebook AdvertisingNo CostCreatebusiness profile pages and Fan pages are free Sending out news & updates to fans and select demographics can be done at no chargeAutomatic updating to Twitter and LinkedIn and RSS feeds can be added at no cost Small CostWith Facebook Social Ads, you can explore extremely targeted advertising for minimal cost.

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Twitter, the… well,Twit’s GorillaOver 40 million users…14th most popular website in the worldAverage age of a twitter user is 3120% of online adults age 25-34 have used TwitterMarch 2009, a Nielsen.com blog ranked Twitter as the fastest-growing site in the Member Communities category

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Practical Applications ofTwitter

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Building Synergy BetweenBothLink Twitter and Facebook together using icons, links and FaceBook Connect (and don’t forget Xbox Live coming soon!)Use Ping.fm or TwitterFeed to multi-postFor SEO purposes, reference both in all your communications, including ad campaigns, press releases, on your website and company blog, etc. Optimize your posts and Tweets for insite search

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Promotion Techniques toConsiderRun Facebook/Twitter only couponsCreate cool applications and useful widgets for viral marketingSend invites to sales and eventsPublish event resultsPublish company historyPublish company milestonesAsk questions, Twitter is great for opinion researchGive “pro” tips or helpful hintsGet personal – use a personality (preferably a real person or position within your company)47% online participated in online contests or sweepstakes

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31% used onlinecouponsSource: IDC U. S. Consumer Online Behavior Survey Results 2008,

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Additional social mediaadvertising venuesLinkedIn – multiple new channels opening upHulu – large video site and getting more popularOther communities – Bebo, Hi5, MySpace, etc. Digg.com, Propellr, other bookmarking and recommendation sites(Digg is expanding their CPC network with user-voted advertising , others to follow)Technorati – widening their display capabilitiesFM Publishing – largest blog networkBlogher Network – for reaching the female audience

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Reference sources: SocialMedia Networking, Derek RossPlaying Together, PanosSambrakos, Ogilvy OneYouTube.com advertisingUsing Social Networks for International Expansion, Terrance BarkanGlobal Social Media Trends, Tom SmithIDC Summit Presentation, Caroline Dangson

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Thanks for yourattentionContact information for Mike Crosson:Michael P. CrossonPublisher, SocialMediopolis.comM: 415.299.0637E: [email protected] and Chief Revenue Officer, ChangeTheWorld.com Personal website: MichaelPCrosson.com Personal non-profit website: ChangeTheWorld.com Twitter: http://www.twitter.com/mcrosson LinkedIn: http://www.linkedin.com/pub/mcrossonFacebook: http://www.Facebook.com/mcrosson Yahoo! IM: mcrosson MSN IM: VPAdSalesAOL IM: mcrosson ICQ#82626716

Social Media Advertising presented by www.SocialMediopolis.com

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