Next in Media Podcast Summary

Title: Why Elf is Bullish on Social Commerce - Whether TikTok Stays or Goes
Host: Mike Shields
Guest: Regine Fung, Senior Director of U.S. and Global Paid Media at Elf Beauty
Release Date: December 17, 2024

1. Introduction

In this episode of Next in Media, host Mike Shields engages in an insightful conversation with Regine Fung, the Senior Director of U.S. and Global Paid Media at Elf Beauty. The discussion centers around Elf Beauty's innovative media strategies, particularly their bullish stance on social commerce and the pivotal role of platforms like TikTok.

2. Evolution of Elf’s Media Strategy

Regine Fung outlines how Elf Beauty has transformed its paid media strategy from a focus solely on customer acquisition to embracing a broader media mix.

• Early Adoption of TikTok:

  • "[00:56] We dived right into TikTok around 2019, 2020, when the platform was still finding its footing."
    Elf recognized the potential of TikTok early on, leveraging it to connect deeply with their community.

• Expansion into Traditional Media:

  • "[01:34] We've really broken out of that social media space and dived into mass reach mediums like TV, out-of-home, and radio."
    This shift signifies Elf's commitment to reaching audiences beyond digital platforms.

• Venturing into Unconventional Platforms:

  • "[…] platforms like Twitch, where we have our own channel called ELFU."
    Elf's presence on Twitch demonstrates their willingness to explore and innovate within varied media landscapes.

3. Balancing User Acquisition and Brand Awareness

Elf Beauty strives to harmonize aggressive user acquisition tactics with robust brand awareness efforts.

• Holistic Brand Marketing:

  • "[03:12] We'd like to think of us as extremely effective brand marketers... What do we want our community to feel?"
    The focus is not just on metrics but on fostering emotional connections with their audience.

• Setting Appropriate KPIs:

  • "[05:46] It's about setting the right KPIs, the right expectations for each channel and the role that they play."
    Elf tailors key performance indicators to align with the unique strengths and objectives of each media channel.

4. Social Commerce and TikTok

A significant portion of the discussion delves into the rise of social commerce and TikTok's instrumental role therein.

• Comparing Social Commerce to QVC:

  • "[08:26] QVC knew their viewers... Social commerce plays in nicely because it's all about knowing the community and what they want."
    While QVC pioneered home shopping, social commerce leverages community engagement and real-time interactions.

• Growth Metrics:

  • "[09:22] TikTok reached $100 million in sales over Black Friday with a 165% lift in Black Friday shoppers."
    These statistics highlight the burgeoning potential of social commerce in the U.S. market.

• Making Social Commerce Mainstream:

  • "[10:08] It's about that frictionless experience... I can easily buy it. I think that part is just amazing."
    The seamless integration of shopping within social platforms has demystified and popularized online commerce.

5. Role of Creators in Elf's Strategy

Creators are pivotal to Elf’s media approach, serving as authentic extensions of the brand.

• Diverse Creator Roles:

  • "[12:55] Creators are an extension of our brand... some drive traffic, others drive sales."
    Elf categorizes creators based on their unique strengths and the specific outcomes they drive.

• Measurement and ROI:

  • "[14:05] With trackable links... real ROI is happening."
    The convergence of affiliate marketing with creator content allows for precise measurement of impact and return on investment.

• Platform Innovations:

  • "[14:23] TikTok shop, Google’s YouTube partner program... measuring creator value is becoming easier."
    Enhanced platform tools facilitate better tracking and optimization of creator-driven campaigns.

6. Multi-Platform Approach

Elf Beauty employs a diversified social media strategy, recognizing the unique strengths of each platform.

• Understanding Platform Utility:

  • "[15:38] Pinterest is about ideas and inspiration versus Zoom scrolling on Reels or real-time conversations on Reddit."
    Each platform serves distinct purposes, allowing Elf to tailor content accordingly.

• Unexpected Platforms like Twitch:

  • "[16:22] We love being in unexpected places... our Twitch channel for female gamers provides a safe space to discuss games and beauty."
    Elf’s presence on Twitch underscores their commitment to niche communities and fostering inclusive environments.

7. Elf’s Television Strategy

Despite its roots in social media, Elf Beauty has ventured into television to amplify their reach.

• Strategic TV Moments:

  • "[18:29] Our Big Game moment... targeting women viewers not adequately addressed by other commercials."
    Elf leverages high-profile events like the Super Bowl to connect with untapped audience segments.

• Integrated Campaigns:

  • "[19:44] We also had CRM, social lighting up alongside TV."
    TV campaigns are part of a comprehensive marketing strategy, enhancing overall impact through synergy with other channels.

• Flexible Definition of TV:

  • "[20:17] We define TV as the living room screen... including CTV, streaming, AVOD, and linear cable."
    By broadening their definition of television, Elf remains adaptable to evolving viewing habits.

8. Artificial Intelligence in Media Strategy

AI plays a supportive role in Elf’s media planning and execution, complementing human ingenuity.

• Scaling Creative Efforts:

  • "[21:35] AI helps us ramp up faster... thousands of creative permutations."
    AI-driven tools enable Elf to efficiently scale creative content to meet diverse campaign objectives.

• Human-Centric Approach:

  • "[21:35] Shaping culture and connecting with communities... there's still a role for us humans."
    While AI enhances efficiency, the human element remains crucial for authentic cultural connections.

• Future Outlook:

  • "[22:52] We'll see... maybe in five years..."
    Regine anticipates further advancements in AI, potentially reshaping media strategies in the near future.

9. Conclusion and Key Takeaways

Regine Fung and Mike Shields conclude the episode by highlighting the multifaceted media strategies that have propelled Elf Beauty to the forefront of social commerce and beyond. Key takeaways include:

• Adaptive Media Strategies: Embracing both traditional and digital media to maximize reach and engagement.
• Community-Centric Approach: Prioritizing authentic connections and understanding community needs.
• Innovative Use of Technology: Leveraging AI and platform-specific tools to enhance campaign effectiveness.
• Diversified Creator Partnerships: Utilizing a variety of creators to drive both awareness and sales, tailored to specific campaign goals.

Elf Beauty’s forward-thinking approach serves as a blueprint for brands navigating the complex and ever-evolving media landscape.

Notable Quotes:

• "We work at ELF speed and that ELF speed is really to be in lockstep with the fast-paced nature of culture." — Regine Fung [01:34]

• "Social commerce is all about knowing the community and what they want." — Regine Fung [08:42]

• "Creators are an extension of our brand... some drive traffic, others drive sales." — Regine Fung [12:55]

• "AI helps us ramp up faster... but there's still a role for us humans." — Regine Fung [21:35]

This episode offers a comprehensive look into Elf Beauty's dynamic media strategies, emphasizing the importance of adaptability, community engagement, and innovative technology in today's media landscape.