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Potential of
Facebook to Brazil
22/07/2011
Dennis Yu
CEO, Blitzlocal
dennis@blitzlocal.com
Facebook.com/blitzlocal
@dennisyu
Facebook Worldwide

•  Over 750,000,000 active users
•  50% log on any given day
•  Over 30,000,000,000 pieces of content
   shared each month
•  70% of Facebook users are outside the
   United States
•  Every month, over 250,000,000 engage
   with Facebook on an external site
Usage and Influence of Facebook

•  Average user visits 40
   times a month
                                                       X2	
  


•  1 in 4 have made a
   purchase via a brand’s
   Facebook Page
         h"p://www.onlinemarke1ng-­‐trends.com/2011/03/facebook-­‐commerce-­‐numbers-­‐behind-­‐sales.html	
  
Reccomendations using Facebook

                                                                   64%	
  
                                                                                                                       55%	
  

                 41%	
  




Have	
  Asked	
  Friends	
  Before	
   Say	
  Likely	
  to	
  Use	
  for	
  Local	
   Say	
  Likely	
  to	
  Use	
  on	
  Travel	
  
                                       Businesses,	
  Resturants	
  or	
  
                                                    Events	
  


                       h"p://www.onlinemarke1ng-­‐trends.com/2011/06/us-­‐facebook-­‐usage-­‐insights-­‐10-­‐facts-­‐you.html	
  
Facebook is Growing Rapidly Across
the World
            150m	
  users	
  
147m	
  users	
                                                                                                                         12/10	
  
                                                                                                                                        6/11	
  




                                              38m	
  users	
  

                                    32m	
  users	
  
                                                                            30m	
  users	
                 30m	
  users	
  
                                                                   27m	
  users	
                                                       27m	
  users	
  
                                                                                               24m	
  users	
  



                                                                                                                              16m	
  users	
  




United	
  States	
                      Indonesia	
              United	
  Kingdom	
                  Turkey	
                       India	
  

                                *Fans	
  by	
  millions	
  
Facebook in Brazil

•  Brazil has gone from 11 million users
                                                               21	
  million	
  



   to 21 million users on Facebook in
   the last six months.
•  Brazil is the fastest growing
                                                 11	
  million	
  
   population on Facebook at 6.79%
   (that’s 1,441,804 new users a week!)
•  29.8% of Brazilian online users are
   on Facebook

              hOp://www.checkfacebook.com/	
  
Fastest growing Facebook Population
Privalia Fans By Country




     There are 251,520 interests for Privalia Brasil
Average Facebook User Has

 229 Facebook friends
 People from high school                                                    22%
 Extended family                                                      12%
 Coworkers                                                           10%
 College friends                                                 9%
 Immediate family                                              8%
 People from voluntary groups                                7%
 Neighbors                                        2%

   Source : Pew Research Center’s Internet & American Life Project
Top US Brands on Facebook
   38,574,387	
  Fans	
   30,286,205	
  Fans	
  



                                              25,681,041	
  Fans	
  
                                                                       23,988,096	
  Fans	
  
                                                                                             22,987,774	
  Fans	
  
Top Brand Pages

1st Peixe Urbano

2nd Havaianas USA (American page)

3rd L’Oreal Paris

NONE of these pages top at even 750,000 fans
Top Pages Overall

The top Brazillian page Ricardo
 Kakả, is ranked 124th on the
 Facebook page Leader board with
 10,229,976 fans

Followed by Paulo Coelho ranked
 259th with 6,171,019
Fan count taken this morning
Top 10 pages in Brazil

Are…
    Ricardo Kaka, Paulo Coelho, Ronaldinho, Luciano Huck, Sepultura,
    The Alchemist, Robinho, Ayrton Senna, SC Corinthians Paulista,
    Adriana Lima

8 are people, 1 is a book, 1 is a sports team

The top brand Piexe Urbano… is ranked
                    sniff*	
  
 14th           sniff*	
  
COLD
TARGETING
              .05%
              Avg. CTR of ads to non-fans




              .35%
  VS. FANS!


                Avg. CTR of ads to fans
Fan Count
           Reach
          Clicks
         Impressions
         Fan Conversions

        Source of Fans
       Emails Collected


     Shares
    Downloads


     Engagement Rate
   Engagement Per Post




Influenceable Audience
Brazil vs USA
Brazil                                                             USA

Avg CPC:                                                           Avg CPC:
$0.60                                                              $1.19
CPC cost declining*                                                CPC cost rising
Avg CPM:                                                           Avg CPM:
$0.26                                                              $0.50
Brazil ranked 28th in the world for CPC, but is 9th in number of Facebook users

              *over	
  the	
  past	
  6	
  months	
  
              	
  
              hOp://www.socialbakers.com/facebook-­‐staWsWcs	
  
Influence
 POINTS


        1                  5                   5                   5                    5                10

 200 Friends on     Twitter follower   60 followers on    YouTube                50 subscribers     Post 5 times
 Facebook                              Twitter            subscriber             on YouTube         a day




            200 Friends    Twitter     60 followers   YouTube          50 subscribers   Post 5 times a
            on Facebook    follower    on Twitter     subscriber       on YouTube       day
                                                                                                         TOTAL

 User
                                                                                                         11
 A
 User
                                                                                                         21
 B
 User
                                                                                                         11
 C
 User
                                                                                                         11
 D
Engagement
 POINTS


      1                 5                5                 5                  5              10

 Liking a        Giving an email   Following on     Subscribing a       Active user      Making a
 Facebook page   address           Twitter          YouTube                              purchase
                                                    channel



            Liking a     Giving an                 Subscribing
                                      Following                     Active        Making a
            Facebook     email                     a YouTube                                 TOTAL
                                      on Twitter                    user          purchase
            Page         address                   channel

 User A                                                                                      16

 User B                                                                                      11

 User C                                                                                      6

 User D                                                                                      21
See Who Is Saying What, Where
The Wall Doesn’t Reach Fans
     EdgeRank suppresses 99.8% of wall posts
How Do You Get Seen?

                      	
  
       Ads	
  
                  Feedback	
  




       Fans	
     Visibility	
  
Newsfeed Optimization

                             4	
     Fan Page Points      5	
  
                                      Based Game
                                                                  Post Quality Score

            3	
     Like the Page
                                                       News feed             Suggestions




                                             7	
  
    2	
       User Profile                                6	
  
                                                                        Home Page
                                          Friends

            1	
      User
Facebook Optimization
                                                            Extrapolate
                                                             user data


                        4	
      Interact with                                     5	
  
                                the Fan Page
                                                                                                        Connections
                                                                                                        Likes
          3	
     Like It       +1	
     +2	
      +3	
       Facebook Open
                                                                  Graph                             Interests
                        Fan Page                                                                    Location                  6	
       Facebook
                                                                                                                                       Ad Generator


2	
        User
                                          12	
              User Profile Page
                                                                                                                                             7	
      Facebook
                                                                                                                                                     Ad Multiplier

          1	
                                                                                                         8	
  
                                                                                                9	
  
        Facebook                                                                                                                  Bad	
  
                                                                          10	
              Facebook
        Home Page                                                                                                                 Good	
  
                                              11	
                  Perfect Ad             Ad Optimizer
                                                                                                                                  Good	
  
                                                                                                                              Ad >> Good/Bad?
                                         Friends
                                                                     +90%	
  CTR	
  
Grand Openings
CTR And CPC by Industry
Ads burnout in days	
  
More Peer Pressure!
200 Impressions, 80 People, 6 Cents
Importance Of Like Buttons
When users like something on Facebook, it publishes a
          full news feed story on their wall
Impact of Facebook Like Buttons
Vostu Game Developers
                                   11,403	
  
                        Fans	
  




                       4,342	
  

 2,262	
  
                                                1,665	
  
             994	
  
Percentage of Adidas Fans Who are Brazilian


  1.02%	
  
                                                             0.94%	
        0.94%	
  


                0.65%	
  




                                               0.12%	
                                   0.15%	
  
                                  0%	
  

  Adidas	
      Adidas	
        Adidas	
     Adidas	
   Adidas	
  Neo	
   Adidas	
       Adidas	
  
 Running	
     Originals	
     Baseball	
   Basketball	
                  Football	
     Soccer	
  
Don’t Miss Out!

  Ricardo Kakả with over 10,000,000 fans
                wears Adidas
                     +
 27,900 Brazilians are Interested in Adidas
                     =
           Missed Opportunity
Competitive Targeting
Education and Workplace Targeting
Education level impacts CTR
Running Google Ads to Your Facebook Page
Leveraging Existing Customer Care Agents	
  
Using Fans as Customer Care	
  
Sponsored Stories	
  
                           Like	
  Story	
  




                        Page	
  Post	
  Story	
  
Engagement Apps

•  Foreign brands with a
   presence in Brazil, like
   Havaiinanas USA and
   L’Oreal Paris Brazil, tend to
   use engagement apps
Of the few
Brazilian based
brands in the
top 50 only
Saraiva online
uses
engagement
apps
Collecting Email via apps
What’s Showing This Week?
  Fan
Targeting




   Non-Fan
   Targeting




   Friend of Fan
     Targeting


     Ads should be valued recommendations, rather than mass blast
                              marketing


                                                                    ads
Engagement Rate



       Email Notification     On   Off
       Pre-made ad campaign   On   Off
       More
       details
App Chaining	
  
Tra c               Website         Email List        PPC



Engagement Face-o          Quiz      Scoring      Spin Wheel     Gifting



        Nominate           Reveal                Coupons

                                                    Reviews
                   Badge               Email

                                                              E-Commerce

                                       Donate
App Developers
•        - A market place for business applications on Facebook, including user
     r   reviews and payments service



•         - Facebook apps and widgets with simple free-form customization



•         - Apps for Facebook and Twitter, with emphasis on viral features



• 
•        - Customized apps for social marketing and managing
Pre-made tools
Ad Multiplication

                        Interest	
  
Images       Ad Copy
                       TargeWng	
  

                        Interest	
  
Images       Ad Copy   TargeWng	
  

                        Interest	
     Unique	
  Ad	
  
Images       Ad Copy   TargeWng	
       Combos	
  

                        Interest	
  
Images       Ad Copy   TargeWng	
  

                        Interest	
  
Images	
     Ad Copy   TargeWng	
  




                                                   ads
See What is Working and What
        Needs Work
Takeaway Points

•  Fan Engagement

•  Integration of Techniques

•  Tracking Progress
Thank You

            Dennis Yu
            CEO, Blitzlocal

            dennis@blitzlocal.com
            @dennisyu

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ExpOn 2011 - Dennis Yu - Potential of Facebook to Brazil

  • 1. Potential of Facebook to Brazil 22/07/2011 Dennis Yu CEO, Blitzlocal dennis@blitzlocal.com Facebook.com/blitzlocal @dennisyu
  • 2. Facebook Worldwide •  Over 750,000,000 active users •  50% log on any given day •  Over 30,000,000,000 pieces of content shared each month •  70% of Facebook users are outside the United States •  Every month, over 250,000,000 engage with Facebook on an external site
  • 3. Usage and Influence of Facebook •  Average user visits 40 times a month X2   •  1 in 4 have made a purchase via a brand’s Facebook Page h"p://www.onlinemarke1ng-­‐trends.com/2011/03/facebook-­‐commerce-­‐numbers-­‐behind-­‐sales.html  
  • 4. Reccomendations using Facebook 64%   55%   41%   Have  Asked  Friends  Before   Say  Likely  to  Use  for  Local   Say  Likely  to  Use  on  Travel   Businesses,  Resturants  or   Events   h"p://www.onlinemarke1ng-­‐trends.com/2011/06/us-­‐facebook-­‐usage-­‐insights-­‐10-­‐facts-­‐you.html  
  • 5. Facebook is Growing Rapidly Across the World 150m  users   147m  users   12/10   6/11   38m  users   32m  users   30m  users   30m  users   27m  users   27m  users   24m  users   16m  users   United  States   Indonesia   United  Kingdom   Turkey   India   *Fans  by  millions  
  • 6. Facebook in Brazil •  Brazil has gone from 11 million users 21  million   to 21 million users on Facebook in the last six months. •  Brazil is the fastest growing 11  million   population on Facebook at 6.79% (that’s 1,441,804 new users a week!) •  29.8% of Brazilian online users are on Facebook hOp://www.checkfacebook.com/  
  • 8. Privalia Fans By Country There are 251,520 interests for Privalia Brasil
  • 9. Average Facebook User Has 229 Facebook friends People from high school 22% Extended family 12% Coworkers 10% College friends 9% Immediate family 8% People from voluntary groups 7% Neighbors 2% Source : Pew Research Center’s Internet & American Life Project
  • 10. Top US Brands on Facebook 38,574,387  Fans   30,286,205  Fans   25,681,041  Fans   23,988,096  Fans   22,987,774  Fans  
  • 11. Top Brand Pages 1st Peixe Urbano 2nd Havaianas USA (American page) 3rd L’Oreal Paris NONE of these pages top at even 750,000 fans
  • 12. Top Pages Overall The top Brazillian page Ricardo Kakả, is ranked 124th on the Facebook page Leader board with 10,229,976 fans Followed by Paulo Coelho ranked 259th with 6,171,019 Fan count taken this morning
  • 13. Top 10 pages in Brazil Are… Ricardo Kaka, Paulo Coelho, Ronaldinho, Luciano Huck, Sepultura, The Alchemist, Robinho, Ayrton Senna, SC Corinthians Paulista, Adriana Lima 8 are people, 1 is a book, 1 is a sports team The top brand Piexe Urbano… is ranked sniff*   14th sniff*  
  • 14. COLD TARGETING .05% Avg. CTR of ads to non-fans .35% VS. FANS! Avg. CTR of ads to fans
  • 15. Fan Count Reach Clicks Impressions Fan Conversions Source of Fans Emails Collected Shares Downloads Engagement Rate Engagement Per Post Influenceable Audience
  • 16.
  • 17. Brazil vs USA Brazil USA Avg CPC: Avg CPC: $0.60 $1.19 CPC cost declining* CPC cost rising Avg CPM: Avg CPM: $0.26 $0.50 Brazil ranked 28th in the world for CPC, but is 9th in number of Facebook users *over  the  past  6  months     hOp://www.socialbakers.com/facebook-­‐staWsWcs  
  • 18. Influence POINTS 1 5 5 5 5 10 200 Friends on Twitter follower 60 followers on YouTube 50 subscribers Post 5 times Facebook Twitter subscriber on YouTube a day 200 Friends Twitter 60 followers YouTube 50 subscribers Post 5 times a on Facebook follower on Twitter subscriber on YouTube day TOTAL User 11 A User 21 B User 11 C User 11 D
  • 19. Engagement POINTS 1 5 5 5 5 10 Liking a Giving an email Following on Subscribing a Active user Making a Facebook page address Twitter YouTube purchase channel Liking a Giving an Subscribing Following Active Making a Facebook email a YouTube TOTAL on Twitter user purchase Page address channel User A 16 User B 11 User C 6 User D 21
  • 20. See Who Is Saying What, Where
  • 21. The Wall Doesn’t Reach Fans EdgeRank suppresses 99.8% of wall posts
  • 22. How Do You Get Seen?   Ads   Feedback   Fans   Visibility  
  • 23. Newsfeed Optimization 4   Fan Page Points 5   Based Game Post Quality Score 3   Like the Page News feed Suggestions 7   2   User Profile 6   Home Page Friends 1   User
  • 24. Facebook Optimization Extrapolate user data 4   Interact with 5   the Fan Page Connections Likes 3   Like It +1   +2   +3   Facebook Open Graph Interests Fan Page Location 6   Facebook Ad Generator 2   User 12   User Profile Page 7   Facebook Ad Multiplier 1   8   9   Facebook Bad   10   Facebook Home Page Good   11   Perfect Ad Ad Optimizer Good   Ad >> Good/Bad? Friends +90%  CTR  
  • 26.
  • 27.
  • 28. CTR And CPC by Industry
  • 29.
  • 30. Ads burnout in days  
  • 31.
  • 33. 200 Impressions, 80 People, 6 Cents
  • 34. Importance Of Like Buttons When users like something on Facebook, it publishes a full news feed story on their wall
  • 35. Impact of Facebook Like Buttons
  • 36. Vostu Game Developers 11,403   Fans   4,342   2,262   1,665   994  
  • 37. Percentage of Adidas Fans Who are Brazilian 1.02%   0.94%   0.94%   0.65%   0.12%   0.15%   0%   Adidas   Adidas   Adidas   Adidas   Adidas  Neo   Adidas   Adidas   Running   Originals   Baseball   Basketball   Football   Soccer  
  • 38. Don’t Miss Out! Ricardo Kakả with over 10,000,000 fans wears Adidas + 27,900 Brazilians are Interested in Adidas = Missed Opportunity
  • 42. Running Google Ads to Your Facebook Page
  • 44. Using Fans as Customer Care  
  • 45. Sponsored Stories   Like  Story   Page  Post  Story  
  • 46. Engagement Apps •  Foreign brands with a presence in Brazil, like Havaiinanas USA and L’Oreal Paris Brazil, tend to use engagement apps
  • 47. Of the few Brazilian based brands in the top 50 only Saraiva online uses engagement apps
  • 49. What’s Showing This Week? Fan Targeting Non-Fan Targeting Friend of Fan Targeting Ads should be valued recommendations, rather than mass blast marketing ads
  • 50. Engagement Rate Email Notification On Off Pre-made ad campaign On Off More details
  • 51. App Chaining   Tra c Website Email List PPC Engagement Face-o Quiz Scoring Spin Wheel Gifting Nominate Reveal Coupons Reviews Badge Email E-Commerce Donate
  • 52. App Developers •  - A market place for business applications on Facebook, including user r reviews and payments service •  - Facebook apps and widgets with simple free-form customization •  - Apps for Facebook and Twitter, with emphasis on viral features •  •  - Customized apps for social marketing and managing
  • 54. Ad Multiplication Interest   Images Ad Copy TargeWng   Interest   Images Ad Copy TargeWng   Interest   Unique  Ad   Images Ad Copy TargeWng   Combos   Interest   Images Ad Copy TargeWng   Interest   Images   Ad Copy TargeWng   ads
  • 55. See What is Working and What Needs Work
  • 56. Takeaway Points •  Fan Engagement •  Integration of Techniques •  Tracking Progress
  • 57. Thank You Dennis Yu CEO, Blitzlocal dennis@blitzlocal.com @dennisyu