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HauteLook Facebook Ad Case Study

HauteLook Facebook Ad Case Study

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Published by: Social Fresh Conference on Jun 18, 2012
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Étude de Cas FacebookAdvertising Case Study
HauteLook
Company Background
Founded in late 2007, HauteLook is a private-membership shopping site that hosts daily saleevents or premium ashion, liestyle and travelbrands at savings o up to 50 percent to 75 percento retail price. Sale events last or 48 to 72 hours,and HauteLook hosts events in 11 dierent verticals,including apparel, accessories, beauty, kids, homeand travel. HauteLook’s more than 5 million membersparticipate in 10 to 15 new sale events per day, withbrands ranging rom big-name designer labels such asDiane Von Furstenberg (DVF) to up-and-coming brandslike Rachel Pally, which are hand-selected by the siteor members to discover. HauteLook announces its saleevents by sending a daily email to members. Recently,it has now begun to use the Facebook platorm toannounce and hold sale events, exclusively or its ans.
Objective
HauteLook had several objectives in using Facebook toannounce and host sale events. While email remainsthe primary vehicle to communicate with members,HauteLook actively seeks ways to communicate withmembers “outside the inbox.” HauteLook membersare active Facebook users, so Facebook was a naturalplace to extend the conversation about upcomingsales. As longstanding partners with a history oinnovation, HauteLook and DVF wanted to take thisconversation one step urther and test the idea o
Facebook Executive Summary
Client:
 
Objective:
Test an out-o-the-boxidea—a Facebook platorm ashsale—to energize and gain newmembers and buyers
Solution:
Use Facebook Ads to fndlikely members and entice them toparticipate in exclusive Facebooksales and become buyers
Key Lessons:
•Interestedusersarewillingto
 transact entirely on Facebook to
participate in advertised sale events
•Anintegratedmarketingapproach
 that involves targeted FacebookAds driving to a special Facebook-only sale event can engagepeople and win a brand new ansand members
•ConversionratesonFacebookcan
 be as high or higher than siteswhose sole purpose is ecommerce
 Andy Bilinsky, Associate, Business Development
The ability to pre-promote our upcoming sale event through Facebook  Ads was extremely valuable. We were able to defne and target the exactpeople we wanted to market to and gained a ton o new ans in theprocess. Those ans helped spread the word virally through sharing andmade this campaign very successul. Facebook continues to be a greatpartner to us and an integral part o our success.
 
Étude de Cas FacebookAdvertising Case Study
DVFwrap dress and a $500-shopping spree onHauteLook. Participants were encouraged toinvite riends to receive additional contestentries, and the promotion served to both createexcitement about the upcoming sale and acquirenew ans or both brands.
•
Email and onsite marketing.
On the day o thesale, HauteLook and DVF each sent dedicatedemails to their respective email lists promotingthe event. HauteLook also promoted the saleevent on its website, driving users to Facebookto participate.All marketing directed users to Facebook, whereHauteLook’s storeront application lived as aseparate tab on both the HauteLook and DVF anPages. The shopping application allows ans to shareproducts or purchases with their riends, enablingviral growth as ans post about their purchasesor ask riends or eedback on an item they areconsidering purchasing.
Results
•TheDianeVonFurstenberg(DVF)saleeventon
 Facebook generated 10 percent o grossmerchandise volume (total sales) or HauteLookon the day o the event, the third largest day oa sale that was exclusively available to Facebookans o each brand. Both companies wanted tobuild their an bases, particularly those qualifedby the precise targeting available on Facebook.They also wanted to oer an engaging and newexperience to those ans as reward or their loyalty.
Approach
“DVF was interested in doing something cutting-edge, something new,” says Andy Bilinsky, BusinessDevelopment Associate at HauteLook. “Both brandshave loyal ans who spend signifcant amounts otime on Facebook, so we wanted to test bringingash sales into this environment.”Ater selecting the inventory and fnalizing prices at50 percent o, DVF and HauteLook worked togetherto design an integrated campaign to promote thesale, scheduled to run in early December 2010. Thecampaign included the ollowing:
•
Facebook Ads campaign:
Inthedaysleadingup
 to the sale, HauteLook ran Facebook Ads testingdierent creative executions, with a call toaction to like its brand in order to gain access to
theupcomingsale.ThroughLikesandInterests
 targeting, HauteLook targeted Facebook userswho liked similar brands and other high-endashion retailers.
•
Facebook Page Posts:
HauteLook and DVFcoordinated Wall posts about the upcomingsale on each company’s respective FacebookPages, providing a preview o some items thatwould be eatured in the sale to build excitementahead o the sale.
•
Facebook promotion:
Utilizing a third-partypromotional tool, the companies co-sponsoreda contest giveaway on Facebook in the weekleading up to the event. The promotion ransimultaneously on both company’s FacebookPages, and users were required to like eitherbrand’s Page to enter or a chance to win a ree

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