Hey gang, I’m back!
I wanted to share a report I just read called “The_Facebook_Factor” by Forrester. I recommend reading this for a little inspiration – hopefully giving you the confidence that you are doing the right thing by pushing your marketing toward smart, targeted social media and away from the old rules of big, loud and broad advertising.
Why should you read this? As the intro says, “Quantifying the impact of a Facebook fan can be difficult and elusive for marketers. Forrester uses statistical modeling to analyze the effect of being a Facebook fan on brands. The model gives insight into how fans are more likely to interact with brands than non-fans and shows how engaging with the brand on Facebook affects the likelihood of three events: purchase, consideration, and recommendation of a brand.”
The report offers survey questions you can ask your own customers if you wish to calculate your own “Facebook Factor”.
What I find most important, however, is some of the conclusions of the study.
1) Facebook fans are much more likely to purchase, consider, and recommend brands.
2) Facebook “fandom” has the largest impact on purchase. “For example, the odds of a Best
Buy Facebook fan purchasing the brand are 5.3 times higher than a non-fan, while the odds
of a fan recommending and considering the brand for future purchase are 4.7 and 4.0 times
3) The value in your Facebook fan base is in their willingness to recommend.
This all points back to the real value of social media. The first instinct of less enlightened marketers is to use Facebook as a vehicle to shove marketing messages down the throat of fans. This is a waste of a great resource, akin to using a jeweled sword to cut Wonder Bread.
The real value of Facebook is that it builds affinity for your brand. It allows your fans to interact with your brand, talk about it and share it. Insane Clown Posse fans can come out of the chat room and meet like-minded individuals and fans of Tide detergent can share cleaning tips and get access to money saving offers.
There are some caveats as well. The report stresses that the value of Facebook fans does not mean you should engage in massive “fan drives”, but should continue to build your audience organically – letting people find you through continued creation of engaging content. These are the people who really want to be there, your true fans, and they will help spread the word.It also allows your company to target your true brand advocates.
Also, keep in mind what this report can mean for your brand. As the report notes, “Every brand is different. For example, 71% of online US adults have purchased a Coca-Cola product in the past year, compared with
6% who have bought a BlackBerry. The likelihood of a Facebook fan purchasing from the two brands will vary drastically. But so does the value of the fans for the brand — recommending a BlackBerry has a different value than recommending a can of Coke, and converting a consumer into a lifetime customer has higher value than a one-time buy.”
That’s it for today. Read the report – there’s a lot more in there that I haven’t touched on – and please let me know your thoughts!
Until next time…