BIO CEO Peter Veash has been commenting in The Drum on the partnership between Facebook and customer science agency Dunnhumby.
Facebook is looking to prove the business value of advertising on the site by making the connection between online ads and in-store purchases in more real-time. Dunnhumby data will initially be available to advertisers, with scope to extend it to platforms within Facebook’s ecosystem such as Instagram.
Data from the two businesses will be matched using Acxiom so clients can be reassured the results are truly independent. The aim is that it will enable FMCG brands to find out not just what campaigns are working but how different ads work for different audiences, and what the ideal frequency is to show them.
In an article on the new partnership for The Drum, Peter commented “Facebook knows that is a powerful advertising medium, so I don’t think they have to ‘lie’ when it comes to the results.”
“FMCG stores have difficulties in attributing their digital ad spend to in-store sales. Vouchers usually do the trick and supermarkets are now also trialling their own payment apps. Waitrose and Tesco want their customers to use their mobile payment apps which could bridge the online and offline gap, but do consumers really want to have loads of different apps on their phones? I doubt it. The FMCG industry is trialling different ways in order to merge online and offline. The Facebook and Dunnhumby tie-up is one of these solutions for them.”
Putting significant marketing budgets into social media has often been seen as a gamble by big brands because of the difficulties in measuring its effects in terms of offline sales. The ambition to create sophisticated learnings created from the new partnership could have far-reaching consequences both for sales and for the customer experience.
Read more on advertising on Facebook and other social media channels in this article for the Huffington Post from 2013.
The BIO Agency has worked with FMCG brands including Bobbi Brown, Clinique, Coca Cola, Hotel Chocolat and Pringles.