Author Topic: Retailers set sights on Facebook, Google ad revenue  (Read 263 times)

rcjordan

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DrCool

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Re: Retailers set sights on Facebook, Google ad revenue
« Reply #1 on: July 30, 2018, 04:25:27 PM »
Yep, any smart online retailer will be implementing this type of promotion.

aaron

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Re: Retailers set sights on Facebook, Google ad revenue
« Reply #2 on: July 30, 2018, 04:47:15 PM »
Other than the books category in every category Amazon has entered with a big announcement that crashes the stock prices of competitors it has thusfar been a stock buying opportunity for the likes of Walmart, Target, Kroger, Walgreens Boots, CVS, etc.

Target has made billions selling their private label brands just like Amazon.

If they are copying the ad stuff online then that's going to be basically free money for the offline retailers.

Quote
“We’re making sure that when consumers are typing in ‘ketchup’, our product is really above, that it comes up into that first screen,” Nina Barton, Kraft Heinz president of global online and digital growth, told Reuters in an interview.
Won't those who make such comments ultimately end up bidding against themselves?

What is the point of the category-leading brand building investment over many years if you also then have to pay again on every search?

DrCool

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Re: Retailers set sights on Facebook, Google ad revenue
« Reply #3 on: July 30, 2018, 07:24:57 PM »
>>pay again on every search

For us it is slightly different. We don't do any on-site search advertising but we do work with vendors to have some featured on-site placements, preferential sort orders, one-off promos, etc. There is a whole team of people who work on these types of on-site promotions. No different than Kellogs paying to get featured grocery store placements for their cereal.

Honestly I am surprised it has taken online retailers this long to take that sort of offline model and apply it online.

aaron

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Re: Retailers set sights on Facebook, Google ad revenue
« Reply #4 on: July 30, 2018, 09:37:03 PM »
I am not faulting retailers for doing it.

I was only suggesting the 2 themes / narratives are sort of counter to each other here:
  • we have to invest hundreds of millions or billions into brand building to drive demand
  • if we are not the first ad visible above the fold on cell phones we have lost
One or the other can be absolutely right, or they can both be sort of true, but they can't both be absolutely correct.

Either the brand building works well enough to be sought out, or it doesn't and paying by the click for prime real estate makes sense.

Also online video ads are a big growth market. How much sense does it make to buy a bunch of video ads for brand recall if at the moment of search on any retailer a competitor is buying perhaps both the generic terms AND in some cases any branded terms where you spent a ton of money on brand ads to drive the awareness and demand.

rcjordan

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Re: Retailers set sights on Facebook, Google ad revenue
« Reply #5 on: July 30, 2018, 10:22:02 PM »
To me, it seems that only intense, carpet-bombing, saturation branding (Coke, McD) is holding up. Position and recommendations are where it's at.