Entrepreneurship How Important Is Instagram For Marketing? Published 1 year ago on December 6, 2016 By The Asian Entrepreneur Authors & Contributors Share Tweet A few years ago, blogs and industry pubs were full of hopeful predictions of how Facebook and Twitter would usher in a new age of cost-free or low-cost marketing. Brands would “authentically” earn attention, and friends would see each other’s likes and retweets, creating viral success for brands. Fast forward to today, and marketers are struggling to figure out the value of their Facebook pages as engagement drops, and some are opting out of Facebook altogether, Meanwhile, the interaction rate with brand tweets stands at 0.07%, which is less than the current click rates for banner ads. So, what have we learned from the brand marketing experiences on Facebook and Twitter? Have marketers realized that in social channels controlled by consumers, brand messaging is so much less welcome than content from friends and family that it is impossible for most companies to earn attention, acquire new customers or generate marketing ROI? Have we realized that, just like on the Web (where Adblocker is the most popular Chrome download) and on TV (where almost half of millennials now timeshift to improve convenience and skip ads), consumers in social media will ignore or actively reject most brand messaging? Or maybe we have concluded that while it is possible to get consumers to click a “like” button in exchange for a discount, this cannot create a new brand relationship if over 90% of consumers do not agree it is fair for companies to collect information about them without their knowledge in exchange for a discount. Is that what we have learned? It does not seem so. The lesson marketers seem to have gleaned from the past few years is that something is wrong with Facebook and Twitter–they are boring and black-and-white–so let’s instead shift our attention to the Technicolor world of Instagram! In the last couple of months, my email box and feeds have been full of hype for Instagram, and the justifications are exactly the same as they were for Facebook and Twitter back in 2010. For example, “Why Your Business Needs an Instagram Account in 2015” contains no business justification whatsoever. The reason your business “needs” Instagram, the author argues, is because “Instagram is exploding,” you can “get creative” and “show people what you do behind the scenes, not just what you’re selling.” Does any of this sound familiar to you? Remember in 2010 when Facebook was “exploding,” brands could use it to “get creative” and the key to success was to “be human”? In “A Three Step Guide to Winning at Instagram,” the author never once suggests how to convert pretty pictures and likes into business wins (particularly on a social network that does not permit links within posts). Instead, it offers the same tired advice brands got about pictures on Facebook and Twitter: Image quality is everything; Consistency is key; Photography is aspirational. If those tips did not work in Facebook and Twitter, what would lead us to believe it will be any different on Instagram? One analyst firm promoted its Instagram 2015 report by noting the social network offers “100 percent organic reach,” unlike Facebook, “which inserted a paywall between brands and their communities.” First, Instagram handles followers in the same way as Twitter, offering no filter or algorithm for the people following the brand, so there is no reason to think brands will not suffer the same fate on Instagram as on Twitter. Second, as we have learned on Twitter, there is no such thing as “100 percent organic reach”–the vast majority of posts on Twitter and Instagram are not seen by followers because they are ephemeral, disappearing rapidly in feeds that are not monitored 24/7. And lastly, what do we expect will happen as brand presence grows on Instagram, consumers become increasingly tired of brand content and Instagram improves and expands its pay offerings? Put simply, Instagram 2017 will look a lot like Twitter 2015–decreasing organic engagement, increasing costs for paid media and disappointed brands. Will some brands succeed on Instagram? Sure, just as some have succeeded in Facebook or Twitter, but this has been the exception and not the rule, as there is little evidence brands are delivering marketing success on a widespread basis. Despite billions of dollars spent on content strategies, social media management platforms and engagement-building campaigns, the percentage of online sales attributable to social media in 2015 stands at a mere 1%, one point less than it was last year and more than 90% less than acquisition from email, CPC or affiliate sources. Some will argue, as they did on last night’s Beancast, that this sort of click-attribution is a poor measure of social value, and I would agree–if brands were earning significant levels of engagement. But in a world where Facebook Organic Zero is approaching and Twitter engagement is less than banner ads’, what reason do we have to believe there are broad and unmeasured benefits in a channel where so few people see and engage with brands? (Case in point: As I type this, the past week’s posts for McDonald’s, which has 57 million fans on Facebook, each have earned fewer than 500 likes and 35 shares–one of the largest brands on Facebook is engaging 25% fewer people with each post than walk into a single of the company’s 35,000 restaurant locations in an average day.) As I have argued in the past, there is undoubtedly value in social for a select few brands in the right verticals or that have built the right customer relationships through actions, products and services, but too many brands are struggling to make themselves appealing and engaging on social networks when they have failed to do so in the real world. Distrusted brands with weak customer relationships that try to be interesting on Instagram will be like Oz frantically pulling levers to create distracting visual effects while demanding, “Pay no attention to that man behind the curtain!” Pay no attention to that brand, er, I mean man behind the curtain! The signs are not difficult to read, and the future is not hard to see. We are a decade or more into the social era, and we know how it works. Instagram is sufficiently similar to Facebook and Twitter that expecting a different outcome is, as the saying goes, the definition of insanity. Social media is a powerful platform for consumers. It can also be powerful for brands that unleash Word of Mouth and earn true advocacy with their products and services. But we now have too many years of social media experience to think that attractive pictures on Instagram will deliver marketing results outside of select niches. Heck, even some in the fashion industry, which recently honored Instagram’s founder with an award, are beginning to question the impact of Instagram (and if hot models and stylish clothes snapped by the world’s most experienced photographers may not deliver business results for style brands, what do you think your social team will accomplish?) You want your brand to succeed in Instagram? Put down the camera and give your customers experiences they will want to capture and share. Or you can try to make your brand fascinating and creative in Instagram, but just remember–even the great and powerful Oz was smart enough to know he would eventually be discovered and keep an escape balloon at the ready. ________________________________________________ About the Author This article was written by Augie Ray of ExperienceTheBlog.com. Angie is the Director of Global Voice of Customer Strategy for a Fortune 100 financial service company. His background includes more than 20 years of experience in digital, brand, customer experience and social business. See more of his work. Related Topics:businessCampaignscustomersMarketingonlinepayrestaurantsucceedsuccessvalue Continue Reading You may like 10 Effective Funding Models for Non-Profit Startups Malcolm Tan, Founder of Gravitas Holdings Women on Top in Tech – Pam Weber, Chief Marketing Officer at 99Designs Renata Brkić William Chin, Founder of Mummy’s Market How We Can Innovate the Legal Industry like Elon Musk Callum Connects Malcolm Tan, Founder of Gravitas Holdings Published 1 day ago on December 15, 2017 By Callum Laing Malcolm Tan is an ICO/ITO and Cryptocurrency advisor. He sees this new era as similar to when the internet launched. What’s your story? I’m a lawyer entrepreneur who owns multiple businesses, and who is now stepping into the Initial Coin Offering/Initial Token Offering/Cryptocurrency space to be a thought leader, writer (How to ICO/ITO in Singapore – A Regulatory and Compliance Viewpoint on Initial Coin Offering and Initial Token Offering in Singapore), and advisor through Gravitas Holdings – an ICO Advisory company. We are also running our own ICO campaign called AEXON, and advising 2 other ICO’s on their projects. What excites you most about your industry? It is the start of a whole new paradigm, and it is like being at the start of the internet era all over again. We have a chance to influence and shape the industry over the next decade and beyond and lead the paradigm shift. What’s your connection to Asia? I’m Singaporean and most of my business revolves around the ASEAN region. Our new ICO advisory company specialises in Singaporean ICO’s and we are now building partnerships around the region as well. One of the core business offerings of our AEXON ICO/ITO is to open up co-working spaces around the region, with a target to open 25 outlets, and perhaps more thereafter. Favourite city in Asia for business and why? Singapore, since it is my hometown and most of my business contacts originate from or are located in Singapore. It is also a very open and easy place to do business. What’s the best piece of advice you ever received? Be careful of your clients – sometimes they can be your worst enemies. This is very true and you have to always be careful about whom you deal with. The closest people are the ones that you trust and sometimes they have other agendas or simply don’t tell you the truth or whole story and that can easily put one in a very disadvantageous position. Who inspires you? Leonardo Da Vinci as a polymath and genius and leader in many fields, and in today’s world, Elon Musk for being a polymath and risk taker and energetic business leader. What have you just learnt recently that blew you away? Early stage bitcoin investors would have made 1,000,000 times profit if they had held onto their bitcoins from the start to today – in the short space of 7 years. If you had your time again, what would you do differently? Seek out good partnerships and networks from day one, and use the power of the group to grow and do things together, instead of being bogged down by operations and going it alone from start. How do you unwind? I hardly have any time for relaxation right now. I used to have very intense hobbies, chess when I was younger, bridge, bowling, some online real time strategy games and poker. All mentally stimulating games and requiring focus – I did all these at competitive levels and participated in national and international tournaments, winning multiple trophies, medals and awards in most of these fields. Favourite Asian destination for relaxation? Why? Phuket – nature, resort life, beaches, good food and a vibrant crowd. Everyone in business should read this book: Rich Dad Poor Dad by Richard Kiyosaki Shameless plug for your business: Gravitas Holdings (Pte) Limited is the premier ICO Advisory company and we can do a full service for entrepreneurs, including legal and compliance, smart contracts and token creation, marketing and PR, and business advisory and white paper writing/planning. How can people connect with you? Write emails to [email protected], or [email protected] Twitter handle? @malcolmABM — This interview is part of the ‘Callum Connect’ series of more than 500 interviews Callum Laing is an entrepreneur and investor based in Singapore. He has previously started, built and sold half a dozen businesses and is now a Partner at Unity-Group Private Equity and Co-Founder of The Marketing Group PLC. He is the author two best selling books ‘Progressive Partnerships’ and ‘Agglomerate’. Connect with Callum here: twitter.com/laingcallum linkedin.com/in/callumlaing Download free copies of his books here: www.callumlaing.com Continue Reading Entrepreneurship Women on Top in Tech – Pam Weber, Chief Marketing Officer at 99Designs Published 2 days ago on December 14, 2017 By Marion Neubronner (Women on Top in Tech is a series about Women Founders, CEOs, and Leaders in technology. It aims to amplify and bring to the fore diversity in leadership in technology.) Pam Webber is Chief Marketing Officer at 99designs, where she heads up the global marketing team responsible for acquisition, through growth marketing and traditional marketing levers, and increasing lifetime value of customers. She is passionate about using data to derive customer insights and finding “aha moments” that impact strategic direction. Pam brings a host of first-hand startup marketing experiences as an e-commerce entrepreneur herself and as the first marketing leader for many fast-growing startups. Prior to joining 99designs, she founded weeDECOR, an e-commerce company selling custom wall decals for kids’ rooms. She also worked as an executive marketing consultant at notable startups including True&Co, an e-commerce startup specializing in women’s lingerie. Earlier in her career, Pam served in various business and marketing positions with eBay and its subsidiary, PayPal, Inc. A resident of San Francisco, Pam received her BA from the University of Pennsylvania and MBA from Harvard Business School. Pam is a notable guest speaker for Venture Beat, The Next Web, Lean Startup, and Growth Hacking Forum, as well as an industry expert regularly quoted in Inc., CIO, Business News Daily, CMSwire, Smart Hustle, DIY Marketer, and various podcast and radio shows. You can follow her on Twitter at @pamwebber_sf. What makes you do what you do? My dad always told me make sure you choose a job you like because you’ll be doing it for a long time. I took that advice to heart and as I explored various roles over my career, I always stopped to check whether I was happy going to work every day – or at least most days :). That has guided me to the career I have in marketing today. I’m genuinely excited to go to work every day. I get to create, to analyze, to see the impact of my work. It’s very fulfilling. How did you rise in the industry you are in? I had a penchant for numbers and it helped me stand out in my field. This penchant became even more powerful when the Internet and digital marketing started to explode. There was a great need for marketers whose skills could span both the creative and the analytic aspects of marketing. I capitalized on that growth by bringing unique insight to the companies I worked with, well-supported with thoughtful analysis. Why did you take on this role/start this startup? I’m not sure this is relevant to my situation as I had been a marketing leader in various start-ups and companies. I took on the role at 99designs because I was excited by the global reach of the brand and the opportunity the company had to own the online design space. I especially liked the team as I felt they were good at heart. The challenge I’ve faced in my time at 99designs is how do I evolve the team quickly and nimbly to address new challenges. The work we do now, is very different than the work we did a year ago and even the year before that. There is a fine line between staying focused on the goal ahead and being able to move quickly should that goal shift. Do you have a mentor that you look up to in your industry or did you look for one or how did that work? There is no one I’ve sought out or worked with over my entire career as my “mentee” needs have changed so much over the years. There are many people who have helped me along the way. For example, one of my peers at eBay, who was quite experienced and skilled in marketing strategy and creative execution, taught me what was in a marketing plan and how to evaluate marketing assets. As I have risen to leadership positions over the years, I often reach out to similarly experienced colleagues for advice on how they handle situations. How did you make a match if you and how did you end up being mentored by him? I learned early in my career that it rarely hurts to ask for advice. So that is what I have done. Additionally, there are people that are known to be quite helpful and build a reputation for giving back to others in advisory work. Michael Dearing, of Harrison Metal and ex-eBay, is one of those people. I, as well as countless others, have asked him for advice and guidance through the years and he does his best to oblige. Finding mentorship is about intuiting who in your universe might be willing and whether you are up for asking for help. That being said, generally, I have found, if you are eager to learn and be guided, people will respond to the outreach. Now as a leader how do you spot, develop, keep, grow and support your talent? I generally look for a good attitude and inherent “smarts”. A good attitude can encompass anything from being willing to take on many different types of challenges to working well amongst differing personalities and perspectives. Smarts can be seen through how well someone’s done in their “passion areas” (i.e. areas where they have a keen interest in pursuing). I try to hire those types of people because in smaller, fast-growing companies like many of the ones I’ve worked in, it’s more often than not about hiring flexible people as things move and change fast. Once those people are on my team, I try to keep them challenged and engaged by making sure they have varying responsibilities. If I can’t give them growth in their current job or in the current company, I encourage them to seek growth opportunities elsewhere. I’d rather have one of my stars leave for a better growth opportunity than keep them in a role where they might grow stale. Do you consciously or unconsciously support diversity and why? I consciously support diversity. When I am hiring, I am constantly thinking about how to balance the team with as broad a range as possible of skill sets, perspectives, etc. to ensure we can take on whatever is thrown at us, or whatever we want to go after. What is your take on what it takes to be a great leader in your industry and as a general rule of thumb? I’m going to assume a great leader in my industry to mean a marketing leader in a technology company. I think a great leader in this industry is not afraid to learn new tricks no matter their age – it’s the growth mindset you may have heard about. I have a friend who inspires me to do this – she purchased the Apple Watch as soon as it was available, and was one of the first people I knew to use the Nest heating/cooling system. She’s not an early adopter by most definitions, but she adopts the growth mindset. This is the mindset I, too, have sought to adopt. In my field of marketing, it most recently has meant learning about Growth Marketing and how to apply this methodology to enhance growth. Independent of your industry, I think a growth mindset serves you well. Advice for others? I have been at 99designs for 3.5 years. During that time we’ve invested in elevating the skills and quality of our designer community, we’ve rebranded to reflect this higher level of quality, and have improved the satisfaction of our customers. Our next phase of growth will come from better matching clients to the right designer and expanding the ability to work with a designer one-on-one. 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