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Value of a Facebook Fan 2013: Summary of Findings

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Brand marketers are sobering up and asking hard questions around the ROI of social marketing. Perhaps no question is asked more often than “What is the value of a Facebook brand Fan?” According to new Syncapse empirical research, the average value of brand Fans in key consumer categories has increased 28% to $174.17. Not only do they tend to be brand users first, they spend more, engage more, advocate more, and are more loyal. The significant and increasing value of a Facebook brand Fan affirms past social marketing investment and mandates deeper commitment and accountability in the future. Read the summary and download the full report on www.syncapse.com

Publicada em: Negócios, Tecnologia
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Value of a Facebook Fan 2013: Summary of Findings

  2. 2. Social Growing Up2011SOCIAL AS A HOBBYChaoticReactiveConsumer In ControlDisconnected and SiloedPlatform-Led KPIs (“Likes”)Community ManagementFaux FriendshipsSales-Phobic2013SOCIAL AS A BUSINESSSynchronizedProcess-DrivenBrand Sets DirectionConnected and IntegratedBrand-Led KPIsCustomer SegmentationGenuine CommunicationOpen For Business
  3. 3. Growing Up Means Asking Tough QuestionsWHAT IS THE VALUE OF AFACEBOOK FAN?
  4. 4. The Value Of A Facebook Fan 2013Value Of A Fan: 2010 Vs. 2013Fan Behavior: 2010 Vs. 2013Brand Preferences & AttitudesReasons For Becoming A FanOutlook For Social Marketing• Sequel to 2010 seminal report• Comparison of Fans and non-Fans• Insights and brand mandates• Featuring 20 global consumer brandsREVISITING BRAND CURRENCY IN SOCIAL MEDIAKey Topics &Brand Mandates
  5. 5. MethodologySURVEY METHODOLOGYConducted by HotspexU.S. Consumer Panel; N=2,00025-minute survey of brand users; Fans versus non-Fans1. PRODUCT SPENDING:Spending habits on eachbrand and category2. LOYALTY: Intention to keeppurchasing the brand in thefuture3. ADVOCACY: Probability forrecommendations leadingto sales4. MEDIA VALUE: Efficiencies ofearned reach and frequencyvia Facebook5. ACQUISITION COST:Efficiency of Fans in enticingfurther membership6. BRAND AFFINITY: Emotionaldraw felt by Fans towardstheir brandsSYNCAPSE FAN VALUE CALCULATION
  6. 6. FINDINGS
  7. 7. Value of a Fan 2013 vs. 2010KEY FINDINGAverage Fan valueincreased 28% to $174.17in 2013 versus 2010, whileFan counts doubled andsometimes tripled in 2013.>>Brand Mandate: Apply Fan Value To Marketing Strategy• Understand the factors of Fan value for better planning, execution andmeasurement.• Benchmark and track for frequent optimization and long-termunderstanding of cause-and-effect.• Rally all stakeholders – from internal departments to agencies – aroundfactors of Fan value.
  8. 8. Value of a Fan 2013 vs. 2010KEY FINDINGBrands withsmaller retailprices havecomparativelysmaller averageFan values.>>Brand Mandate: Drive scalable presence, everyday.• While Fan value is lower for many consumer brand categories, capitalize onlarge Facebook Fan memberships to maintain everyday presence atscale, sensing user needs and wants, and introducing relevant triggers tobuy.
  9. 9. Fan Behavior: 2010 vs. 2013KEY FINDINGUsers of brands whoare Fans are morereceptive to thosebrands versus userswho are not Fans.>>Brand Mandate: Amplify positive brand attributes to Fans.• Convert users to Fans to reinforce messaging, amplify the experience andextend a halo of positivity.• Create “New Moments of Social Brand Truth.”Facebook Brand Fans:• 80% more likely thannon-Fans to be brand users.• 43% more spent in respectivecategories vs. non-Fans, despitenot having a higher income.• 18% more satisfied with their brandsthan are non-Fan users.• 11% more likely to continue using thebrands than are non-Fan users.
  10. 10. Brand Preferences & Attitudes: Fans vs. Non-FansKEY FINDINGBrand Fans aresuper consumers.>>Brand Mandate: Delight your existing fans and users.• Brand Fans tend to be users and they are evangelists, so appreciate andnurture them. They want to talk about your brand and share their opinion.• Use existing customer touch points – i.e., microsites, productpackaging, time of purchase, and customer service interactions – to convertbrand users into Fans.
  11. 11. Brand Preferences & Attitudes: Fans vs. Non-FansKEY FINDINGFans spend morethan non-Fans.>>Brand Mandate: Give your Fans reasons to spend.• Identify Fans within your customer base and score them.• Customize message to key customer Fan segments to drive loyalty andintroduce the most relevant offers to spend more.
  12. 12. Brand Preferences & Attitudes: Fans vs. Non-FansKEY FINDINGFans advocate more.>>Brand Mandate: Co-create value with your fans.• Interact with customers on Facebook to understand firsthand what they’repassionate about, to solicit their input, enable a feeling of ownership, andcreate shareable experiences.• Avoid chasing illusive “influencers” - who tend to be unfamiliar with thebrand, have no vested interest, are skeptical and far from converting.
  13. 13. Purchase Intent, Loyalty & Emotional DriversKEY FINDING• Brands with longevityhave lower Fan value.• Polarizing brand profilesattract higher value Fans.>>Brand Mandate: Invest Insocial for brand longevity.• Invest in Facebook to reinforceand extend brand leadership.>>Brand Mandate: Segmentloyalists and detractors.• Engage loyalists first whileapproaching disenchanted usersaccording to status and value.The Coca-Colabrand is so strongthat non-Fansappreciate anduse it.Polarizing brandhas high usage ofnon-Fans.Fans use and lovethe brand; non-users more likelyto dislike, lesslikely to be Fans.
  14. 14. Reasons For Becoming A FanKEY FINDING.Fans tend to be brandusers before they‘Like’ a brand’sFacebook page.>>Brand Mandate: Focus on customers first, prospects second.• Since being a user is a prerequisite to becoming a Fan (in mostcases), prioritize converting existing customers.• Capitalize on your high quality Facebook membership of existing users firstthrough word-of-mouth promotion and lookalike modeling.On average,80% of Fansuse the brand.
  15. 15. Reasons For Becoming A FanKEY FINDING.Personal expressiontrumps coupons asreasons for Fanningbrands.>>Brand Mandate: Balance offers with brand attributes.• Prioritize brand personality attributes when acquiring Fans, and deploytransactional offers (like product trials) for most valuable, Fans and users.• Avoid direct-response offers for Fan acquisition tactics for they can devaluethe brand and result in a lower-quality Fan membership.2 Main Drivers of FanMembership:1) To get a coupon, a price discount orsome type of purchase rewards(cognitive/practical)1) To show support for the admired brands and toreceive regular updates (emotional/personal).
  17. 17. Thank you.Download the full report on Syncapse.com