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Small Business Social Media Marketing Research Study Results - Q1 2017 Conducted and Published by Ripl, Inc. March 2, 2017 *************** CONTEXT: THE SOCIAL MEDIA MARKETING OPPORTUNITY FOR MICRO-BUSINESSES According to recent U.S. Census research, there are more than 30 million small businesses operating in the United States. Over 23 million are owned and operated by a single employee; more than 27.5 million are comprised of less than ten employees. Globally the number of these businesses balloons to well over 100 million -- and the number is growing every day. Here at Ripl, Inc., we refer to these as “micro-businesses.” Micro-business entrepreneurship is one of the most powerful forces driving economic innovation and financial empowerment worldwide. Until recently, however, the shift from traditional local and advertising media to online marketing channels has not been leveraged by small businesses relative to their larger counterparts. The growth in adoption of Internet-connected mobile devices, and the attendant social media revolution, has changed that in dramatic ways. Several years ago, small businesses ready to begin digital marketing needed a website on a branded domain to serve as the ‘hub’ or ‘anchor-point’ central to their online marketing. Today, small businesses may instead choose to anchor their online brand on a Facebook Page, Etsy or Amazon store page, or even Pinterest. These types of Pages can be managed by a smartphone from anywhere, at any time, and can be managed and posted to by small business owners without needing technical skills. Social media networks also provide an efficient new opportunity for small business owner-operators and their marketing colleagues to build stronger relationships with their existing customers. In addition, social media enable any business with a unique creative point of view to reach and acquire new customers through the publishing of unique and engaging content posts -- as long as their content is good enough to attract a growing follower base and generate Likes and more downstream sharing. Small business owners and marketers around the world have started to leverage videos in their social media and digital marketing efforts with greater frequency. Facebook, Instagram, Twitter, and other prominent social networks are updating their feed content distribution algorithms to reward accounts which publish compelling videos with greater views and reach. [Yes, it’s true Facebook, Instagram, Twitter and others use special logic to determine how many of your account’s followers actually end up seeing your posts. Incorporating video is thus increasingly important, to ensure a social media account owner reaches as many of their followers as possible.] Given these larger digital marketing and small business trends, Ripl is committed to directly engage and learn from our global base of hundreds of thousands of small business and non-profit organization customers. As part of this commitment, we conduct a quarterly broad-based study of current small business marketing habits and social media usage in order to inform our product and business strategy decisions. In the interest of advancing the marketplace’s knowledge about small businesses’ marketing priorities, we publish this quarterly research survey white paper to summarize insights and provide key takeaways for others. SUMMARY Ripl received more than 1,500 Q1 Research Survey responses from small business owners and marketers around the world. Social media marketing proved to be the most important channel for online marketing for respondents, ranked 1st by more than a 4:1 ratio over email. More than ⅔ of respondents create their own online marketing content from scratch for their branded digital channels, including social media. Growing engagement and reach with online audiences were the most important online marketing goals cited; growth in website visits and online sales ranked as most important for approximately a quarter of respondents. KEY FINDINGS Content Creation ● 69% of the small business owners and marketers create some of the content for their business or organization online accounts themselves. Top Small Business Types Using Video and Animated Content in Online Marketing ● The following small business types emerged as the top categories using video and animated content in their social media marketing efforts today: 1. Retail Business or Store 2. Real Estate 3. Fitness and/or Health 4. Food, Beverage, Restaurant or Cafe 5. Salon, Beauty, or Spa 6. Art, Musician, or Author Social Media and Email: Usage and Frequency ● 84% of respondents indicated that social media is more important to their business or organization as a marketing channel than email ● 34% of respondents are not currently sending marketing or promotional emails to their customers ● 26% of respondents only use Gmail, Yahoo, Hotmail and similar online consumer email services for their primary business email address and marketing emails ● 66% of small businesses are sending marketing or promotional emails. The average frequency of marketing and promotion emails, among those who send them, is: ○ 40% once a month ○ 28% weekly ○ 12% quarterly ○ 7% daily Social Media Marketing Goals and Objectives ● 33% of respondents said that “driving more engagement and reach with their social media” was their main objective. ● 21% of respondents want to “drive more website visits” ● 14% want to “add more followers to social media channels” ● 7% want to “drive more online sales or customers.” Small Business Marketing Resources and Information Where do these small business marketers go to learn about marketing for themselves and their organizations? ● Facebook was identified as the most important site for small businesses seeking marketing tips and best practices, cited by 78% of respondents ● 61% consult blogs, newsletters and podcasts ● 60% rely on word of mouth for information ● 56% seek out this information on Instagram ● 43% regularly attend conferences or webinars ● 27% use LinkedIn ● 24% observe competitors for tips and best practices METHODOLOGY Ripl, Inc. received more than 1,500 responses from small business owners and small organization marketers in its most recent Q1 2017 Social Media Marketing Survey. The Survey was distributed in January 2017 to more than 75,000 free and paid users of the Ripl mobile application via email. The Survey was distributed in English language only and approximately 70% of respondents were located in the United States. Personally identifiable responses and information are never released or revealed in this process. The Survey was distributed in English language only and approximately 70% of respondents were located in the United States. The Ripl Small Business Social Media Marketing Survey is conducted quarterly. ABOUT RIPL, INC. Ripl provides mobile application software which boosts social media marketing effectiveness by making it simple for small businesses to create and share eye-catching animated posts online. The Ripl app is currently available for download on i OS and A ndroid devices and has been installed on more than 1,000,000 mobile devices to date. F or more information about Ripl or this survey research, please visit www.Ripl.com or contact the Ripl Customer Success team via email at [email protected].