1Introduction

2Social M edia & Facebook

3Facebook Ad Strategy

4Case Studies/Pages

5Sum m ary

Agenda

Evolution of discoveryHow consum ers find inform ation

UGC + Social ContextFacebo

ok

Digital Directory

YahooeBay

Search

Search engine

marketing

UGC + Directory

Yelp

DirectoryPhoneboo

ks,local ads, newspaper

s

Source: Facebook segment, self-reported survey data conducted on Facebook, Mar.08, US only, n = 3,169

W hen considering purchasing a product or service, which of the following two are your m ost trusted and valuable sources of inform ation?

Opinion of friends is m ost influential

Power of the Social Graph is changing discovery

People are only one dim ension of the social graph

The social graph is the network of real connections through which people communicate and share information

What is Facebook?

Give people the power to

share and m ake the world m ore open and c onnec t ed

Shifting from what a few think we should want…

… .to asking our friends and fam ily… in real tim e

From “W ho are you?” to “W hat’s happening?”

2004/2005

2006

2007

2008

2009

What users and brands do on FacebookUsers and brands interact seamlessly on the Facebook Platform

Photo’s

Events

Video

Comments

Messages

Groups

Page

s

Applications

The Facebook Story

Facebook Today

#1 property on the Internet (tim e on site)Over 200 billion m onthly page views

Over 250 platform apps with over 1m active users

Over 2.5 billion photos uploaded per m onth

Over 65 m illion active users using Facebook M obile

Over 1.6 billion chat m essages a day

TRUSTe ranked Facebook as top ten m ost trusted com paniesOver 6 billion m inutes spent online every day

Over 3.5 billion pieces of content uploaded every week

Over 1.4 m illion photos served per second

Huge Growth and Engagem ent

Profile exam pleProfil BeispielFacebook auf DeutschFacebook in English

Custom ization at m assive scale – Translation Services

Growth in Israel continues

Source: Facebook internal data, Feb 2010Note: Active users are registered users who have logged on to Facebook at least once in the last 30 days.

0

2

4

6

8

10

12

2 .6Over m

Facebook Today - Israel

Over 3 billion m onthly page views

Over 50% penetration of the online population

Over 450k users access Facebook on m obile in Israel

143 Average num ber of friends on Facebook in Israel

Over 55% of users return to the site daily

Huge Growth and Engagem ent

Over 2.6m m onthly active Users in Israel

Over 80% of users com e back to Facebook every week

Israel - Online Landscape: Nov 09

0 10 20 30 40 50 60 70 80 90 1000

5

10

15

20

25

Reach

Ave

rage

Usa

ge D

ays

per

Vis

itor

Source: Com score: Nov 09

Note: S ize of Bubble Represents Total Time S pent per Month (MM)

Source: Facebook Internal Data, Jan 2010

Dem ographic breakdown - Israel

Strong user engagement globallyFacebook is part of the daily routine for users

27 Minutes*

Average minutes per usage day

2.2 Visits*

Average visits per usage day

57% Daily

Active users log in daily

Source: Facebook, Dec 2009, *ComScore Nov 2009

Our Ad Strategy From Targeted Reach to Driving Connections

Brands can focus in 3 key areas

Social changes everythingReal People Sharing and Connecting

Social changes everything

From…

Traditional Online

…To

Engagem ent

Com m unication in m edia is shifting

Standard Ad ApproachFacebook Ads

Interrupt user activityAlign with user activities

Shorter window of opportunity25 mins average session per visit

Communicate a messageBecome part of the conversation

Passive intake of AdsAds as shareable, social currency

PUSHPULL

Targeted ReachDriving the User away from Facebook

The Opportunity: Hom epage and ASU

Homepage Ads – 1 per page:•Daily Users: 1.5m

•Daily Page Views: 15m•Monthly Page Impressions: 450m

ASU Ads – 3 per page:•Monthly Users: 2.6m

•Monthly Page Views: 3.5bn•Monthly Ad Impressions: 10.5bn

Homepage Ads: Standard and Engagement ASU Ads

Standard Hom epage Ad

Video Hom epage Ad

Driving Engagem entFacebook advertising is about

Engagement and Connec t ions

Com ment

Fan P

oll

Event

Gift

Engagem ent AdsEncourage users to interact & share your advertising

Social changes everythingBrand Com m unication Changes: Engagem ent

Engagem ent Ad form atsEncourage users to interact & share your advertisingFan Ad

Event Ad

Com m ent Ad

Gifting Ad

Polling Ad

your brand

Engagem ent Ad im pression

engagement

organicim pressi

on

connection

Social branding: distribution

Reach Block: Multiply the effect▪Reach 100% of all targeted users in one day

▪An efficient way to serve im pressions to as m any users (in your target) as possible

▪Logged-in users will see your ad up to five tim es (frequency cap)

▪Israel: 1.2m illion daily users, 4.6 m illion im pressions guaranteed

Reac h bloc kon t he homepage

Creating a Dialogue

through Fac ebookPages

Facebook PagesA unique dialogue between brand & audience

Building connections is creating your own marketing channel

▪Your Facebook Page allows you to develop deep relationship with consum ers

▪O nce you m ake a connection, you can m essage them whenever you want

▪Foster a two-way dialogue

▪An efficient way to reach and share inform ation with your audience

BRAND

Use W all to distribute to fans Newsfeeds Brands & fans can distribute text, photo & video

The W all is the prim ary com m unication tool between brand & user. Use advertising to actively drive your fanbase then Post content for them to

interact with

Targeted W all Posting has launchedTarget your W all Post by country & language

The W all is the prim ary com m unication tool between brand & user. Use advertising to actively drive your fanbase then Post content for them to

interact with

Custom Tabs deliver Rich m edia experienceHTM L, Flash & Applications can be em bedded into Tabs

Rich M edia Tabs can be used to deliver a wide variety of content, photo, video, prom otional &

com petitions that can be linked to directly from your Facebook

Ads

Facebook ‘Native’ AppsNative Apps generate significant organic im pressions

Video App. core video

Favourite Pages App. Creates links

Photo App. core im ages Events for

im portant dates

Analytics by PostTrack im pressions & interactions against each Post

Adm ins of Pages can track the im pressions served in user’s News Feeds & Live Feeds com bined with the engagem ent rate

2010 Brand X Facebook Conversational Calendar

January

March

April

May

June

July

August

September

October

November

December

Easter

Valentines Virtual Gift

Reach Block

X Factor Celebrity

Interviews

Healthy eating ideas &

money off vouchers on page

Valentine themed polls (1X per week)

Phase 1

37,000 fans

Phase 2

60,000 fans

Connec t ionsBuilding consum er

relationships

In i t ia t iveThem es, key

m essages, m ajor events/sponsorships

Purc hase

In t ent

February

ChristmasBack to School

Valentines Day

Bank Holidays

School Holidays

Phase 3

80,0000 fans

Phase 4

100,000 fans

Easter Become a

Fan competition

Summer Holiday

giveaway campaign

Back to School offers

Bonfire Night

Polling Ad campaign

Direc tResponseDriving conversion

Ideas for family events, days out and in over the school holidays. Get users posting ideas and purchase through

page

Best in ClassLocal/Global pages achieving success

1 . - Make i t soc ia l leverage t he soc ia l graph. “M ake it engaging, sim ple and shareable.”

2. Keep i t s imple. “If I understand som ething, I’m m ore likely to try it.”

3. Ut i l ise Tec hnology. “M ake use of platform s and technology to spread engagem ent.”

4. ’ .Don t use old met r ic t o def ine suc c ess “CTR is not the only m etric of success.”

5. Avoid t h ink ing in s i los and c ampaigns on.Fac ebook

“Be strategic – develop a conversational calendar.”

You can be social too: Grow a fan baseGrow a Fan Base and Publish

You can be social too: Grow a com m unityGrow a Fan Base and sell tickets (ROI)

Royal Opera House engage a large niche com m unity and sell a large am ount of tickets to this com m unity.

You can be social tooUsers becom e creators – create new products

Starbucks W orld Aids DaySimultaneous Reach Blocks in 14 different territories

Users can navigate to their local Page from a custom tabUS Starbucks Pages

5.1m fans

UK Page 150,000 Fans

UK Engagement

Ads

Starbucks have successfully created a

global campaign for World Aids Day with a combined 5.5m fans across 14 Pages

& consistent ‘red’ promotions in each

territory

M cDonalds International & localGlobal Page combined with localised innovation

US & UK approach to Facebook is quite different, with UK

genratiing 250,000 fans across several Pages vs US/Global Page on 1.4m

FansUS/global Page allows users to Fan their local franchise & receive special offers

UK campaign pitches different products against

eachother – which is your

favourite?

UK Polling Ad ‘Gherkin in or out?’

achieved huge engagement rate of

+7%

Ben & Jerry’s – Free Cone Day

Ben & Jerry’s France

Katie O’Brien, who helped oversee the campaign said,

”We gave away 500,000 virtual cones and in real life we gave away

about a million!"

Ben & Jerry’s ran the hugely successful Free Scoop Day in

the US before launching a network of global Pages with

accumulative Fans of 2m+

Ben & Jerry’s US/Global

Skinny Cow - Facebook as a central hub

Vanity URL was used in above the line advertising

Tabbed approach used for to house different bits of content

A distinct tone of voice was developed to communicate

with the user base

Over 11,000 fans achieved in the first month

Generating 11,000 fans in the first week, an above the line

campaign using Facebook as a fully integrated ‘Hub’ for the

campaign

Marks & Spencers customer dialogue

A user in the US says she misses M&S in the US – M&S has been able to inform these users about the online service that can be accessed via the

web

Marks & Spencer’s are celebrating their 125th anniversary on

Facebook

M&S has created a direct dialogue with its customers

on Facebook. Using Homepage Ads, the store

has been able to drive over 80,000 fans, 1000’s of

competition entries & real-time conversation with users as far afield as Toronto & Islamabad

Historical editorial & competition

promotions provide compelling

sharable content to users

Using The Wall M&S have generated a 2-way dialogue with their

customers revealing just how enthusiastic users are about the

brand

Targeted ‘Become a Fan’ Ads on actively drive fans – M&S have changed targeting to a

younger audience in response to the profile data of their

fanbase

Vodafone creative coordination

Vodafone are the first network to abolish roaming charges & have

generated thousands of Wall Posts and Discussions around this subject

on their Facebook Page

Vodafone have used Facebook to generate a

huge amount of commentary around the

theme ‘If I ruled the world’

Vodafone have c oord inat ed t he i r

& onl ine of f l ine mark et ing t o generat e

40 ,0 00 fans on t hei r Fac ebook Page around

‘ t he t heme If I ru led t he’, Wor ld ra ised

aw areness of t he i r & t ar i f f c hanges dr iven

1000 ’ s of responses t o t he i r promot ions v ia

The Wal l

Vodafone uses The Wall to deliver Facebook exclusive promotions – be part of the

next Vodafone online Ad

Fully digitised campaign for the first time combining Facebook, Twitter,

MySpace, YouTube

Facebook users love special offers – Free music Friday delivered real

value to customers

Vodafone International variations

Become a Fan Ads

UK Campaign delivering huge engagement with the ‘If I Ruled the World’ Strapline

Video Commenting Ads

Event Ads

Vodafone Italy delivered a unique

mobile tarif to Facebook users

redeemable through the Page

Polling Ads

Vodafone used multiple engagement Ads in the

UK & a unique tarif ofer in Italy to

generate 170,000 fans in each territory on 2 separate Facebook

Pages

Vanity URL’s – www.facebook.com/vodafoneUK

Simple and effective way to drive traffic to the page

Easily searchable within facebook and search engines – i.e Google and Yahoo!

Take over existing fan pages and become the official page ongoing

Opportunity to use on all promotional material and drive traffic the page

To win in today’s world

requires

A different mindset

different approaches

different ways of

working

(c) 2007 Facebook, Inc. or its licensors.  "Facebook" is a registered tradem ark of Facebook, Inc.. All rights reserved. 1.0

Mark Cowan, Emerging Markets EMEA+44 203 386 6151

facebook.com/markcowanmcowan@facebook.com