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Social Media Advertising & Market Share: Use It or Lose It!

Facebook Advertising has become a leader in paid advertising efforts. Its ability to target on a granular level brings clients ever closer to reaching the segment of one, while its reporting and conversion tracking allow for detailed analysis of campaign performance.

What Did We Do?

GCommerce opened a door the depths of which very few clients knew existed with Facebook Advertising. Facebook has 1.55 billion users, while Instagram boasts 400 million users.

Facebook Advertising allows for detailed targeting, including but not limited to: age, gender, geographic location, interests, relationship status, and income levels. One can launch a wedding-centric campaign and target individuals who are engaged or became engaged within the last three months. A luxury hotel in Vail, Colorado may target based on geographic locations identified in analytic data, interests surrounding skiing and snowboarding, and a level of income above $100k per year, so as to capture high-end travelers.

Facebook Advertising continues to provide exceptionally low cost-per-clicks, allowing a client’s budget to reach further than traditional advertising methods. Though Facebook has implemented minimum daily spends at the ad set level, recommended budgets remain affordable. Following GCommerce Best Practices, a client may run a Facebook Advertising campaign with three ad sets, targeted at interests and geographic locations, an imported email list, and a retargeting list, for no less than $450 per campaign per month. GCommerce has seen returns up to 74-to-1 depending on campaign parameters.

Facebook Advertising Results:

  • Targeting business travelers through interests, geographic location, and retargeting, A La Crosse, WI property saw a 26-to-1 ROAS, with a cost-per-acquisition of only $7.13.
  • Capturing Black Friday & Cyber Monday traffic, a South Lake Tahoe resort ran a Facebook Retargeting campaign and earned an ROAS of 26-to-1.
  • Targeting the property’s Retargeting list, a Coeur d’Alene resort earned a 74-to-1 ROAS, with a cost-per-acquisition of $4.90 per reservation.
  • Targeting interest-based and geographic locations, in addition to retargeting, a Stowe, VT resort earned a 37-to-1 ROAS on their Ski & Stay advertising campaign.

Conclusion

Cost-Per-Acquisition, the cost of acquiring new customers through a particular advertising vehicle, continue to grow at alarming rates through most digital advertising channels. In the face of this challenge, hoteliers are looking for channels that still provide strong returns coupled with detailed targeting options. Facebook advertising has proven to be an effective and affordable channel for acquiring new business that is many hoteliers still don’t include in their marketing mix.

In addition to this informative case study, you’ll find a Facebook Advertising Blog Post on our website providing our thoughts on the value of Facebook Advertising.

About GCommerce

Headquartered in Park City, Utah, GCommerce is a hospitality-focused digital marketing company that offers integrated marketing solutions as unique as the hotels it serves. GCommerce's comprehensive strategies draw their strength from the synergy of multiple disciplines working in concert to drive industry-leading revenues via increased market share capture.

Contact: John Oscadal

joscadal@gcommercesolutions.com / (435) 214-5110

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