Programmatic: A Growing Part of Social Media Strategy

Previously I wrote about “Paid Social Media: Why You Need It And What Is Available.” In that post I discuss declining organic reach, the importance of adding native advertising to social media strategy and provide a guide to the current paid social media options. In this post I will discuss programmatic – a growing way to buy native ads or paid social media.

You may have heard about programmatic in terms of advertising media buying. Now 72% of U.S. online and mobile display spending is programmatic and it is moving into other media such as online video, TV, radio and even digital outdoor. So it should be no surprise that programmatic is also in social media like Facebook and Instagram, Twitter, Snapchat, Pinterest and LinkedIn. MediaPost reports that social advertising is the fastest growing programmatic channel ahead of display and mobile.

What is programmatic exactly? IAB says programmatic is automated buying and selling of media being sold by “one machine talking to another machine.” Marking Land says programmatic automates the decision process of media buying targeting specific audiences and demographics placed with artificial intelligence (AI) and real-time bidding (RTB). Programmatic media buying is in online display, mobile display, online video, social media advertising, and is expanding to digital outdoor, radio and TV.

Monica Lay of Adobe Social Advertising Solutions further clarifies that programmatic advertising has two distinct methods:

  1. Real Time Bidding (RTB): Auction-based ad transactions based on real-time impressions in open and private marketplaces.
  2. Programmatic Direct: Ads purchased via a publisher-owned application program interface (API) like Facebook and Twitter or an existing demand-side platform (DSP) like DoubleClick Ad Exchange or MediaMath.

What difference can programmatic make? More precise targeting and more efficient spending. Dean Jayson in The Huffington Post explains that Programmatic media buying can use online data (like browsing activity) and offline data (like loyalty card data) to laser target the placement of ads. Data brokers match offline data with online data and license data management platforms (DMP) to organize the data and use demand side platforms (DSP) to automate the execution of media buys.

This targeting based on data profile is different than targeting based on content. Jayson gives the example of a dog food brand buying ads on a cute puppy site. Many visitors just like looking at cute puppies, but may not have a dog to feed The marketer pays for impressions to the wrong target and the consumer sees an ad that is irrelevant. Programmatic is more precise by targeting consumers with a history of purchasing dog food (online or in-store).

Programmatic automation also saves marketers time. They set their target audience and forget it. The DSP finds the audience freeing up marketers’ time to focus on creating valuable and relevant content. Jayson says that programmatic data based targeting costs roughly half of content based targeting.

Programmatic brings these same benefits to social media channels. Ben Plomion, CMO of GumGum recommends programmatic in social because he says “to compete in today’s hyper-competitive online media world, you can’t sit back and wait for the traffic to come to you.” Social media marketers run more effective campaigns through automated buying and by reaching a precise audience with highly relevant messages. Plomion gives the example of Red Bull targeting videos to Twitter feeds of people who have viewed extreme sports sites.

Yet programmatic isn’t limited to buying ads and promoted posts on social media networks. Programmatic native advertising enables brands to place sponsored articles and videos directly through publishers like BuzzFeed, The New York Times and Wall Street Journal. Additionally a recent survey indicates native programmatic budgets are going to programmatic native platforms like Outbrain, Taboola, Sharethrough, Nativo and Bidtellect that place sponsored content across the web. These platforms boost brand content serving up links to sponsored articles with messages below publisher content saying, “you may also be interested in…”

Still programmatic social goes even further. Beyond social network ads and paid content marketing, influencer marketing offers programmatic ad buying. Adweek reports that ROI Influencer Media (representing 10,0000 influencers from celebrities to social media all stars) has partnered with programmatic platforms like Rubicon Project, PubMatic, OpenX, MediaMath and Google’s DoubleClick Ad Exchange. When buying programmatic ad packages, bundles of influencers appear as options where marketers pay for viewable impressions on influencers’ social media sites and walls. Authenticity is preserved through influencers still having final approval and control over their feeds.

Startups like Fanbytes are offering a programmatic Snapchat influencer marketing platform. Their dashboard enables marketers to bid on influencer ads programmatically buying branded content on influencer’ social media pages, blog pages, and websites. Not all influencers have to be mega celebrities. The startup Gnack offers programmatic buying of user-generated content from Snapchat and Instagram micro-influencers with less than 10,000 followers. These micro influencers can be very effective at reaching niche audiences based on campaign objectives, target demographics and preferred hashtags.

With increased content clutter and declining organic reach attracting an audience in social media can be problematic. But programmatic is an attractive way to boost reach and relevancy. How can programmatic improve your social media efforts?

Paid Social Media: Why You Need It And What Is Available

Paid social media, sometimes known as social advertising or native advertising, is simply paying for distribution or views in social media channels. This can take the form of promoted, sponsored or boosted posts and other types of ads that appear in people’s news feeds or other places in social media channels. Two general terms have emerged to describe paid social media. Social advertising is advertising that relies on social information or networks in generating, targeting, and delivering paid marketing communications. Native advertising is paid marketing communication that delivers useful, interesting and targeted information in a form that looks like the site’s native, or non-ad, content. Some social networks offer other forms of paid such as display ads, text ads, pre-roll, or filters in the network.

The need for paid social has been increasing as organic reach, (percent of followers or fans that see your posts) has been decreasing significantly. Organic reach is the number of unique people who saw a social media post through unpaid distribution. Paid reach is the number of unique people who saw a post as a result of paid distribution. Organic reach is often calculated as a percentage by dividing the total number of users reached by the total number of posts. This is usually collected within a specific time frame such as 30 days. Then the average number of users reached per post is divided by the total number of followers or fans (page Likes). Getting someone to “Follow us on Facebook” doesn’t deliver nearly as much guaranteed exposure today. Below are the average organic reach rates for some of the top social channels:

  • Facebook Average Organic Reach: 2.27%
  • Twitter Average Organic Reach: 3.61%
  • Google+ Average Organic Reach: 0.09%
  • LinkedIn Average Organic Reach: 20%
  • Instagram Average Organic Reach: 20%

Of course, these are averages and there are strategies to get above average organic reach. Some manage to maintain amazing organic reach with high engagement or other methods. A recent study found that some smaller Facebook pages are managing to get average organic reach of up to 11% on Facebook. Yet that is still low and for most paid social is becoming a necessary part of the social media plan.  The good news is that paid social can be one of the more effective forms of paid advertising. eMarketer reports a survey that found nine out of the top 10 most effective marketing tactics included sponsored social media messages. TV commercials were the only nonsocial marketing tactic in the top 10.

Organic is still very important. As the Adobe blog points out, organic (non-paid) social has the benefits of branding without a budget by lowering marketing costs, building loyal brand communities (measured by engagement rates), and taking advantage of new social networks, early adopters and niche audiences. But adding paid social media to organic posts helps extend your message by increasing reach. Paid social also provides customized targeting, retargeting and improved insights with advanced analytics and testing. Another way to consider the use of organic social media posts is an influencer marketing program, which can take many forms on many platforms.

As established social channels grow more crowded and move towards algorithms like Facebook, Instagram and Twitter the number of paid social opportunities are growing. For a quick guide to the top social channels that offer paid options see the free downloadable chart below:

Here is the current list of the top social media paid options (click on each link for more details of each offering).

In social networks Facebook Business offers Boosted Posts and ads that can appear as Sponsored Posts, Suggested Apps or Display Ads. They also now offer Facebook Messenger ads and WhatsApp ads are on the way. LinkedIn Marketing Solutions offers highly targeted Sponsored Content, Sponsored InMail, Display Ads and Text Ads. LinkedIn Talent Solutions also offers specialized options for hiring such as Recruiter, Job Posts, Job Slots, Career Pages, Referrals and Work With Us Ads.

In blogs and forums Tumblr Business offers Sponsored Posts and Carousel Posts, Sponsored Video and a Sponsored Day that pins a brand on the dashboard with an Explore Page tab with exclusive brand content. Also consider Sponsored Blog Posts which is paying for a post to be written on blogs. Sponsored Post Companies or Communities connect companies with bloggers.

In microblogs Twitter Business offers Promoted Tweets for Clicks, Followers, Engagement or Apps Campaigns. And Pinterest for Business offers ads by Promoted Pins to build awareness, increase engagement and drive website traffic. TikTok Ads offers full-screen ad placements and hashtag challenges.

For media sharing social channels YouTube offers in-stream Pre-Roll Ads, Video Ads and In-Video Overlay, plus Display Ads, and Video Mastheads. Instagram for Business offers Sponsored Posts as Photo Ads, Video Ads or Carousel Ads to increase awareness, visits or downloads. Snapchat Advertising offers Snap Ads, Sponsored Geofilters and Sponsored Lenses. Brands can also sponsor LIVE or DISCOVER stories with publisher partners. Periscope offers Sponsored Live Video Broadcasts through Twitter Amplify that include partner names in broadcast titles and branded video highlights with Pre-Roll Ads.

For geo-location or geo-social Foursquare for Business offers ads to Promote Listings, Existing Messages or create Custom Messages based on location, time or action like a check-in. Nextdoor offers Sponsored Posts that appear in users news feeds and daily digest emails. Snapchat Geofilters could also come under this category. Google also now has Promoted Pins for Google Maps.

In ratings and reviews Yelp for Business offers ads to feature businesses first in Relevant Searches and Competitor Business Pages and incentives such as Yelp Deals or Gift Certificates. TripAdvisor offers Sponsored TripAdvisor Custom Content, Pages, Sweepstakes, Advertorials, Maps, Forums and Display Ads. Angie’s List offers Magazine Ads, Newsletter Sponsorships and dedicated product and category Emails.

For social bookmarking Digg Advertising offers Native Advertising by working with brand partners to display and co-created content to be featured on the platform. Buzzfeed Advertise offers “custom content worth sharing” through Custom Social Posts, Video, Promotion and Story Units plus Social Discovery. The newest option is Reddit which offers advertisers the ability to boost organic content already shared by fans with promoted posts.

In social knowledge channels Quora Advertising offers ads that appear below relevant questions as “Promoted by” with a “Learn More” link. Ask.fm for Partners offers many options for advertising in Apps, Mobile Web and Desktop. Also consider Podcast Advertising which is Sponsoring a Podcast and the host of the show usually reads Promotional Messages for the brand and/or has Special Offers for listeners.

How can you use paid ads to support your social media marketing? Social Media Examiner reports native ads can help build brand awareness by attracting new audiences to new content or gaining a larger audience for previously published posts. Marketers can also create specific campaigns to grow followers, increase engagement and drive website traffic or app downloads.

Unlike traditional online ads, paid social ads have the advantage of building social proof (likes, comments, shares) which increases credibility and trust. Promoted or sponsored posts can also improve SEO generating more awareness which equals more authority (links and social signals) to produce better rankings. Marketers can retarget native ads to people who have come to their website to view a product or service or boost reach of content that was already successful for further exposure to a larger audience.

An added benefit of paid social media is that in most channels marketers only pay for the first interaction. If someone chooses to share your paid post subsequent views and shares are free. Yet, to get those initial interactions that lead to free organic exposure content must relevant, enticing and valuable. Most channels also offer highly targeted audience reach that can deliver native ads based on demographics, search interest, behavior, lists, lookalike audiences, job titles, industry, groups, geographic area, etc. This targeting also helps in creating content that is relevant and meaningful to that specific audience.

Many of the channels also have robust advertising dashboards to create ads, manage campaigns, set up budgets, and track results. These dashboards like Facebook Ads Manager or other third party options can make it easy to set up A/B split tests to test different aspects of ads including offers, visuals, headlines, call to actions or target audience. Detailed analytics helps to optimize paid efforts over time. Also social media monitoring platforms like Hootsuite are now adding social ad integration so brands can create and manage new ad campaigns on major networks such as Facebook, Instagram, Twitter, and Pinterest all within The Hootsuite dashboard.