Attributing Value to Facebook: An O2 and Visual IQ Study
Marketing and advertising today is a complex ecosystem of online and offline touchpoints that contribute to leads, sales, conversions and other business outcomes. To optimize performance and enhance the consumer experience, marketers need a complete and holistic view of these touchpoints and how they work together to drive desired KPIs for each audience segment.
Yet many of today’s third-party measurement providers are limited in measuring Facebook media, preventing brands from understanding the true effectiveness and ROI of Facebook inventory relative to other channels and tactics. This limitation has raised questions for brands like O2 about the business value of their social media investments.
For years, O2 and its agency partner, Havas, have relied on Visual IQ’s marketing intelligence platform to measure the impact of its digital marketing and advertising. Leveraging the platform’s multi-touch attribution capabilities, the team is able to analyze consumer behavior across channels and devices and understand how digital channels and tactics work together to drive sales of its mobile phones and mobile broadband packages.
While these insights drove significant performance improvements and spend efficiencies across O2’s digital portfolio, third-party tracking requirements on the Facebook platform prevented the company from understanding the value of Facebook relative to its other marketing investments. Without the ability to comprehensively track consumer exposure to Facebook ads across all devices, including Custom Audiences, O2 and Havas were unable to quantify the full effectiveness and ROI of their Facebook spend, or understand how the social platform worked in combination with other channels and tactics to generate sales.
Gain a full understanding of how Facebook performs in combination with other marketing and advertising investments.
Through a partnership with Facebook, Visual IQ launched a pilot program with O2 and Havas that combined Facebook advertising impressions with the multi-touch attribution measurement capabilities within the Visual IQ platform. The pilot ensured that information about O2’s Facebook campaigns, including its Custom Audience ad placements, were included in the attribution process.
By integrating previously untracked Facebook touchpoints into the Visual IQ platform, O2 was able to eliminate blind spots and create a holistic, end-to-end view of all the marketing and advertising touchpoints that impact the consumer journey. As a result, the company was able to track the value of their Facebook investments relative to other digital channels, publishers and placements for the very first time.
Moreover, the pilot demonstrated to O2 and Havas that investments in Facebook offered real business value. Using Visual IQ’s platform, Havas was able to prove that investments in Facebook alongside other digital channels and tactics would help drive the sales that O2 wanted, and in a more cost-efficient way.
Visual IQ was able to show stakeholders at O2 and Havas that Facebook was a key component of their marketing and media strategy, and uncover its value down to a granular level. For instance, the team saw converter rates improve by 16% to as high as 123% when Facebook Custom Audience placements were used in combination with other digital channels, such as affiliates, paid social and paid search.
O2 also discovered that Facebook significantly drove down the cost per acquisition for both new and existing customers when used in conjunction with other media. With Custom Audience impressions included in the tactical mix, the team saw a 52% improvement in cost efficiency for new customer acquisition, and a 38% improvement for existing customers.
“Facebook has been one of the most talked about channels the past few years for its seemingly unlimited potential. But limitations in tracking our full media investments on Facebook made it difficult to demonstrate the actual value of the channel. Visual IQ’s partnership with Facebook was the key to proving the platform’s true value and how it can complement other channels and tactics to drive sales and other desired business outcomes.”
James Olney, Senior Business Analyst, Havas Media Group
“As a business, we understood the reach, targeting and engagement value that Facebook provides, but were previously unable to track and measure its effectiveness to the same degree as our other digital efforts. Now, for the first time, we’re able to see exactly the effect our investment in Facebook ads has on sales, and use these insights to make more informed planning and optimization decisions and ensure our ads are even more relevant to our customers’ and prospects’ needs.”
Nick Adams, Head of Digital Excellence (Marcomms UK), O2