The FINANCIAL — The Georgian companies interviewed by The FINANCIAL said their daily budget is on average 5-15 USD for advertising on Facebook. The majority of the interviewed companies said that they have already acquired new clients, their brand-awareness has increased significantly, and their pages are being visited more and more each day as a result of the advertising.
The FINANCIAL interviewed 6 companies: Next Media LLC, F1, Delta Learning, ARIS.ge, Central Travel, and Wedding and Design, which are all actively engaged in advertising through social media.
The main reason for choosing Facebook as a means of advertising is the representation of their target market and the number of users, said the companies’ representatives to The FINANCIAL.
Facebook is the number one social network in Georgia already having beaten odnoklassniki.ru, the popular Russian social network and google.com.
According to statistics 340,800 Georgians are registered on Facebook. Out of them the majority – 192,980 – are women and the remaining 147,680 – men.
“The principle of Facebook advertising is new and targeting is quite easy. There is the possibility of targeting an audience which is joined to several groups, for example those who plays certain games or use certain applications.
We wanted to advertise on Facebook earlier, however Georgia was not listed during our ad creation,” said Zaal Gachechiladze, Director of Next Media LLC.
“We decided to advertise on Facebook as it is relatively new in Georgian cyber space and we are interested in how effective it will prove. However we will consult those companies whose online ad campaigns we are planning.
From the profile and activity of Internet Company ARIS.ge we prefer internet advertising, as we believe this is much more flexible and effective than other types of advertising. We have ads on popular Georgian web-pages as well as Facebook,” said Tamta Medzmariashvili, representative of ARIS.GE.
“It is a well-known fact that Facebook has many users, consequently advertising via Facebook has its advantages. The aim of advertising is to show the clients our company,” said Tamuna Zangaladze, the project manager at Delta Learning.
“Facebook advertising has an average effect on our sales. The number of our web-page visitors increased by 250 a day and our revenues have exceeded ad costs,” said Vazha Mamniashvili, the finance manager of Central Travel.
“The number of web-page visitors has increased by 150%, however, analyzing its effectiveness is still early as we only started the campaign a few days ago,” said Gachechiladze.
“Our sales have doubled and there is higher-brand awareness of our product, moreover, according to clicks our page is visited 1000 times a day,” said Salome Girgvliani, Manager of Wedding and Design.
According to Medzmariashvili, the number of visitors on ARIS.ge’s three sites edu.aris.ge, biz.aris.ge, and ads.aris.ge has increased by 10-15% on average.
“There was some feedback from the ads and we have acquired new clients, however this was not particularly radical. The number of visitors per clicks increased by on average 150 a day,” said Giorgi Barbakadze, Director of F1.
Facebook Flexible Budgeting
For those with a limited budget, Facebook provides the opportunity to set a daily budget for advertising. The minimum daily budget is from 1 USD. After the daily budget is spent, the ads will stop running until the next day.
Georgian companies told The FINANCIAL they spent a daily minimum of 5 USD. The monthly budget for companies turns out to be from 150 USD.
The representatives said they set a different budget daily according to the service used by their clients.
One can advertise through Facebook in two ways: Individuals can bid for Pay for Click (CPC) or Pay for Views (CPM), this depends on the strategy the company is pursuing through advertising.
If the business wants to attract and increase the number of the company’s web-page users, it should concentrate on use of CPC. The company will pay each time a user actually clicks on the ad that is directly linked to the company’s web-page.
The minimum price for CPC advertising is from 0.01 USD. However, if the targeting changes the price could potentially increase.
The majority of companies interviewed said they are paying for CPC.
“We pay money for Clicks, for those who are actually interested in the product,” says Gachechiladze.
Pay for Views (CPM) is another form of advertising on Facebook, this is cost per 1,000 impressions. Companies that choose CPM advertising are concentrating on raising public-awareness of their brand or company. The minimum price for CPM is 0.02 USD for ad space.
Delta Learning turned out to be the only company that paid for CPM.
As well as the above mentioned companies, Dead Sea Cosmetics and Marrachekh (bar on Sharden Street) are also advertising. What’s more even a government structure has appeared on Facebook.
Company representatives denied advertising on odnoklassniki.ru.
“From the perspective of ad effectiveness Odnoklassniki.ru is quite a good website, but not so effective. It is significant that odnoklassniki.ru moved from first place to fourth in terms of popularity in Georgia and Facebook is now obviously the leader,” said Medzmariashvili.
Gachechiladze says that odnoklassniki.ru does not provide detailed audience targeting.
Zangaladze, Delta Learning, says that odnoklassniki.ru does not conform to their needs.
Opportunity for Targeting
Companies do targeting according to the age and occupations of people.
“We target only by interests, for example we are interested in technically thinkers, those who are interested in foreign technological news, those who are fans of media resources. As I have mentioned above this campaign is in a constant state of revision, only so that can we evaluate the best ROI,” said Gachechiladze.
“We are promoting 3 projects of ARIS.ge: edu.aris.ge, biz.aris.ge, and ads.aris.ge, the target audiences of which are radically different. We have done special targeting according to age, gender, and country, as well as other criteria,” said Medzmariashvili.
Zangaladze says their target audience include all sectors where IT is involved.
Sofia Nizharadze on Facebook
The Georgian singer Sofia Nizharadze, previous Eurovision representative of Georgia, is actively broadcasted on Facebook.
“Facebook is one of the means of advertising and promotion used by Sofia’s PR. This social network was chosen as this is the best means for the singer’s popularization and has quite a few users,” said Natia Uznadze, the producer of international projects at Georgian Public Broadcaster.
“GPB paid 802,100 EUR to Turkish company Cosmo m.i.c.e., which is responsible for popularization of Georgia and Sofia. The company itself plans the campaigns and sets the budget for different activities,” says Ani Laghidze, head of the PR department at Georgian Public Broadcaster.
The number Sofia’s fans has been increasing day by day. The number of fans on 4 May were 20,982, while in 3 days, on 7 May the number of fans was already 35,015.
Sofia’s grandmother lives in Turkey. It seems Sofia’s PR is targeting users of Facebook in both countries, Georgia and Turkey.
In case you decide to terminate the ad, Facebook requests just a little feedback first: “You have removed this ad. Why did not you like it?” with the following optional answers: a. uninteresting b. misleading c. offensive d. repetitive e. other.