There is a famous saying in the traditional advertising circle: "I know that half of my advertising budget is wasted, but I don't know which half." For high-end brands , more than half may be wasted.

It is really not easy for high-end brands to find the right people. The overlap between the interested groups and the purchasing groups is not high. The strong brand power has led to a large number of people who admire the brand and show great interest in social media , but the number of users who actually make a purchase may be very small. If a brand invests too many marketing resources in groups that show great interest in the brand but do not make actual purchases, it will result in a huge waste of resources.

How can high-end brands reach people with real purchasing power? We can try to think about it. If a user shows interest in a brand on a traffic platform and has purchased the same type of product before, then this user is a highly accurate user who has the ability and willingness to purchase the product.

Interest tags + high-end consumption scenario tags

Helping high-end brands achieve product and effect integration

How to reach people who truly have purchasing power? We can start with the consumption scenarios. Offline scenarios contribute 80% of the transaction volume, but the actual purchase data is too scattered and fragmented, which increases the difficulty of in-depth use of the data. Compared with before, online scenarios can conveniently collect centralized and complete data.

Secoo holds an unshakable leading position in online luxury sales in Asia. As a strategic partner of LVMH, its luxury sales data is the largest and most comprehensive in Asia. According to Secoo's analysis of registered users on its platform, compared with the general population, Secoo users have unique attributes such as high consumption, high quality, and high education. They are less sensitive to prices, have a high pursuit of quality, and their purchasing power far exceeds that of the general population.

In 2018, Tencent Social Advertising reached a cooperation with Secoo and began to deeply explore the full-scenario behavior of high-end users with high consumption power. The full scene currently includes 12 categories, including bags, watches, jewelry, shoes, clothing, cosmetics, mother and baby products, etc., and the behaviors of adding to cart and actual purchase are also covered.

CASE1 : VALENTINO Chinese Valentine’s Day , combining interests with purchasing behavior, interaction increased 3 times

As the first luxury brand to appear in WeChat Moments advertisements on Chinese Valentine's Day this year, VALENTINO launched the "VALENTINO" Chinese Valentine's Day limited series on the mini program after releasing a preview of the Chinese Valentine's Day series performed by China ambassador Zhang Yixing. The "Be my VLTN" Chinese Valentine's Day limited series interprets beautiful aspirations with personalized slogans and expresses sincere love in romantic moments. The limited edition items are performed by many celebrities, showing a casual and stylish or agile and elegant style.

In this campaign, Secoo provided relevant consumer behavior and scenario data. Based on the interest groups provided by Tencent, VALENTINO used this to precisely target the campaign. Backend statistics show that people who combine interests with consumption contributed three times the interactive click rate compared to people with basic interests. Not surprisingly, within a few days, Valentino announced that its online series of products were sold out, and only some limited edition products were sold in individual physical stores.

Case 2: A well-known luxury brand , 5 times increase in interaction rate

Another well-known first-tier luxury brand has prepared special series in multiple categories for this year's Chinese Valentine's Day , incorporating romantic details into classic designs and fully presenting a love philosophy that is obsessed with love. When launching the ad, the brand selected 21 out of the 48 dimensions of "high-end consumption scenario labels" and aggregated them into a basic population package of nearly one million for launch. Users click on the outer video of the card ad to directly enter the mini program landing page , opening up the entire process from browsing to ordering.

The data shows that the number packages of people who actually purchased the app have achieved a higher interaction rate. In other words, out of 10 people who saw the Moments ad, at least 1 person would click on the avatar, click on the ad, like or comment, etc. This interaction rate is 5 times that of unused number packages. At the same level of exposure , it is among the best even among the many brands that have placed ads in the Moments . The interaction rate achieved excellent results, and the conversion performance was more three-dimensional and intuitive. Many products on the brand mini program platform were sold out. The high conversion rate brought by interest-based behavior and full-scenario consumption behavior is exciting news for brands, Tencent social advertising, and Secoo.

Circle Marketing

Circle marketing is still important in the era of social media

For high-end brands, the circle effect of target audiences with purchasing power is very obvious. When launching new products or conducting art appreciation activities, many brands often invite celebrities and wealthy people to participate. Circle marketing has been widely used in high-end brands.

In fact, circle marketing has great applications in digital transformation, and Moments advertising is a good example.

In principle, when placing ads in Moments, we can maximize the conversion rate by continuously refining the tags, thereby improving the overall ROI. However, this will cause the range of people available for delivery to continue to shrink. If the range is too small, it will be difficult to get exposure. Although the conversion rate and ROI will be improved, the value of the entire delivery will be reduced.

In principle, there are two solutions to this problem. One option is to use extensive labeling, and the other option is to use refined labeling to obtain the most accurate users and spread the content in circles based on seed users . For high-end brands, the second option is more in line with the state of the industry.

Precise targeting based on interests and consumer behaviors helped VALENTINO and MK sell their products smoothly, thanks in large part to real consumer data. Precision delivery based on real consumption data helps high-end brands reach people with real purchasing power, and spread through the circle effect of WeChat Moments, thereby obtaining high-conversion exposure, which is worthy of reference and learning for high-end brands.

Source: Mr. Virus