that GM is stopping all Facebook ads as the ads did not convert well. Couple of questions came to my mind -How is GM measuring conversion? Just being me I guess, in social media sites conversion is a bit different than the regular offline media where every conversation is only one way. Here is the quote -
|General Motors Co. plans to stop advertising with Facebook Inc. after deciding that paid ads on the site have little impact on consumers’ car purchases, people with knowledge of the matter said.|
I read the article and to my understanding GM says that it has spent around 10million in advertising ads on Facebook but has not seen any results. I am not sure if I should feel sorry, or chuckle. Like most companies they too are missing what Social Media is about! GM is used to having flashy ads, and media buying but what they are missing is that you can’t buy people on Social media channels. Social media marketing is about the consumers and talking about the things they want to talk about. I am assuming that whomever is writing the checks at GM for Social Media advertising is wanting to see how many bought a car as a result of Facebook Advertising. You get people to like your page with advertising and after that you have to figure out what your fans or audience would like. Again when you plan a social media marketing campaign or Facebook marketing campaign one page does not fit the bill. What I mean is that you have different audiences who will buy or need a car. Have different persona’s and pages for them and different content for each persona. This is what I mean – Say for GM you could have a persona for a college graduate who is a male – his needs, taste, lifestyle, wants is different than a single mom with two kids who works two jobs. You can’t talk to them both the same way as you are sure to offend one of them. Yes this means cut down the advertising bills but hire more people to manage pages for each persona. Managing one Facebook page is a lot of work but for companies like GM it will be worth it. I have had clients who just want entertaining things on their Facebook page and they do not want any lead capture which is quite okay, while other clients want leads and engagement. Of course these are small companies with very limited budget. But what I have found is that customers ask questions, want resources on social media channels to compare as well learn about their options and when you direct them to the right person or the correct next step, they will convert to sales.
Now another question to ask is if a prospect has liked the page, saw your post via their friends news feed, went to your blog, called the dealership because of it- so did the lead come from a Social media site, or would you consider that as a walk in?
You cannot expect to make a profit as soon as you start a campaign either. Social media marketing is about building relationship and really making the best out of the relationship with your fans. To me, again I may be wrong as I don’t know all the details of GM’s marketing strategy, sounds like GM is throwing in the towel way too soon.
You hear stories like GM and then you hear stories of mom and pop wine shop went to sell millions in wine because of Social media, the difference is that communicating, engaging and most of all listening. Big companies have always done a one way communication and its a bit hard for them to actually stop and listen, listen and listen before they start selling. Don’t sell on social media sites jut reach out and help. Social media sites offer great opportunities for big companies to partner up and make a difference, but the sad truth is that the BIG companies offline are the small companies online and SMALL companies offline are the BIG companies online .