Measuring social media can be difficult. How do you know how all those posts, shares, tweets and “likes” are impacting your bottom line? While there are lots of ways you can estimate the affect your social media marketing has on your business, one recent study claims to have found the dollar value of each Facebook “like”: $174.17.
The study, by Syncapse, researched how 2,000 Facebook users’ “likes” impacted 20 major brands. It took into account brand loyalty, page recommendations, product spending, media value, brand affinity and acquisition cost. Interestingly, the $174.17 value is a 28 percent increase from the value reported from the same study in 2010.
Syncapse also found that people who “liked” a business on Facebook spent $116 more, per year, on the brand than those who did not “like” it. People who “like” a company on Facebook spent 43 percent more in that company’s industry than those who do not “like” the company. The research also revealed that when a Facebook user believes his or her opinion shapes a brand he or she is more likely to react positively on social media.
How You can get the Most Value for Your “Likes”
So what does this research mean for your company? How can you get the most out of your Facebook “likes?” Perhaps most obviously, the study means your business could see more sales if it is able to attract more Facebook “likes.” Of course, this isn’t the only factor that will help boost your sales, but the research shows that people who “like” your business on Facebook are likely to spend more money on your brand than those who don’t. You could also benefit from “likes” at other companies in your industry.
One of the most important factors in Facebook marketing success is finding the right market. If you are able to find your potential customers and encourage them to “like” your page, this study suggests you will see a change in your sales.
Getting more Facebook fans can sound easier than it is. To successfully build an audience, your business needs to post interesting and useful information. Social media users are already overwhelmed by posts, pictures and marketing noise, and if you don’t have a good reason for people to follow your brand, they probably won’t.
As the study suggests, showing your social media followers that you value their opinions is extremely important. This strategy can help you gain a loyal following and build a positive reputation. Listening to your market can involve reaching out to potential customers, responding to posts on your social media accounts and asking for your followers’ opinions. Remember, if you do ask for your fans’ opinions, be ready to show your market how you are listening. Even if you aren’t able to implement every suggestion, find other ways to let your audience know you are listing and take their comments seriously.
Facebook, with its huge audience and long list of features, can be a very powerful marketing tool. When you know how to reach your market and make them feel valued, your Facebook marketing can have a direct impact on your business’ bottom line.