Tuesday, April 10, 2012

Do Facebook users really engage with your brand


For a few years now, brands have been touting frothy Facebook “like” numbers as evidence of their social-media acumen. But how many of those fans are actually bothering to take part in conversation with brands? Not too many, as it turns out.

Slightly more than 1% of fans of the biggest brands on Facebook are actually engaging with the brands, according to a study from the Ehrenberg-Bass Institute, an Australia-based marketing think tank that counts Procter & Gamble, Coca-Cola and other major advertisers as its supporters.

In the background here is the thinking of Andrew Ehrenberg, the late mathematician who was highly skeptical of conventional marketing wisdom. In dense statistically-oriented papers, he cast doubt on concepts such as brand loyalty and was never sold on the persuasive power of advertising. Now his disciples advocate achieving broad reach through mass media. Brand growth, they maintain, is attained not by reaching a few loyal fans but a larger number of light and medium buyers. In this understanding of the marketing and media worlds, social is just another media channel useful for its reach rather than any notion of engagement.

This research jibes with that thinking, as does a separate study from Ms. Nelson-Field looking at the distribution of buying behavior among Facebook fan bases. In that study, she used web-based consumer panels to examine the behavior of Facebook fans of two unnamed repeat-purchased brands, in the chocolate and soft-drink categories. The key finding was a much greater occurrence of heavy buyers in the Facebook population than in a more general population of customers. The study also found that purchase frequency didn’t increase after someone became a fan.


In other words, Facebook fan bases skew toward heavy buyers rather than the more casual shoppers that a brands needs to reach in order to grow. Again, unless you’re someone who believes marketing on Facebook alone constitutes a full strategy or you’re lining up for the inevitable Facebook IPO, this isn’t all bad news. Facebook does provide good reach and its audience of loyal fans is good for market research and word-of-mouth advocacy.

(via)

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