Facebook Friend $174.14: Experts Calculate Value Of Activities on The Social Media Site
Although Facebook had started out as means for friends to connect, over the last several years, it has become a key element for business.
A research conducted by the social intelligence company, Syncapse determined the value of various actions on Facebook, discovering that “liking” a topic or “friending” a peer is worth about $174.17, according to a Yahoo report. This posed a 28 percent increase since 2010.
The research studied more than 2000 Facebook users. In their observations, they took into consideration various elements such as product spending, loyalty, tendencies to recommend products, media value acquisition cost, and brand affinity- these determined the value of a Facebook fan, which they used in their studies, based on the report.
The study suggests that isolating key customer segments makes messaging more relevant to drive loyalty and grow revenues through specific offers.
Facebook users who like certain brands are more active in social media, and therefore more likely to share positive and negative brand experiences, promotions and discounts. Hence, experts recommend that brand managers interact with customers on Facebook to understand their interests and ask for their input, according to the study.
"The increase in average fan value is driven by fans' tendencies to be superconsumers," the report said, according to Yahoo. "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."
