Why Facebook Likes are worth $174 to your brand

A new report from Syncapse details monetary and brand value of Facebook Likes today

When a Facebook user likes your brand page, that click is worth US$174.17 to your brand-a 28 per cent increase since 2010, according to a new report.

For its study, " The Value of a Facebook Fan in 2013: Revisiting Consumer Brand Currency in Social Media," social intelligence company Syncapse surveyed more than 2,000 Facebook users who have liked a brand. The research took into account factors such as product spending, loyalty, propensity to recommend, media value, acquisition cost and brand affinity to determine the value of a Facebook fan.

"The increase in average fan value is driven by fans' tendencies to be super consumers," the report says. "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."

Here's a look at some other key findings from the report.

Facebook Fans Spend More Money, Advocate More

According to the report, Facebook fans not only spend more money on the brands they fan ($116 more per year than nonfans), they also spend more within the brand's sector-43 per cent more, despite not having a higher income than non-fans.

Facebook fans are also 18 per cent more satisfied with their brands than non-friends, and 11 per cent more likely to continue using the brand than non-friends.

Because 20 per cent of customers represent 80 per cent of revenues, the report says, the better you can isolate key customer segments, the more relevant your messaging can be to drive loyalty and introduce the best offers to spend more.

Brand managers should aim to interact with customers on Facebook to understand what they're passionate about, solicit their input and enable a feeling of ownership, the report advises. Conversely, they should avoid chasing people who are unfamiliar with the brand, have no vested interest, are skeptical and are far from being converted, it says.

Brand Fans Are Super-Consumers

Facebook users who like your brand are much more active in social media, with two-thirds of brand fans also being a fan of more than 10 brand pages at any given time, the report says. Almost two-thirds of brand users who are nonfans have liked 10 or fewer pages.

Facebook fans are also vocal about what they do and don't like. According to the report, on average, 75 per cent of fans are likely to share good brand experiences, promotions and discounts with their Facebook friends. Two-thirds of fans are also likely to share a bad brand experience.

Because your brand's Facebook users are your evangelists, the report recommends prioritizing your marketing investment by ensuring they're happy: Make sure they feel appreciated and nurtured, and find ways to talk about your brand and share their opinion. Follow CMO on Twitter: @CMOAustralia or take part in the CMO Australia conversation on LinkedIn: CMO Australia.

Join the CMO newsletter!

Error: Please check your email address.
Show Comments

Supporting Association

Blog Posts

Is AI on course to take over human creativity?

Computers and artificial intelligence have come along at an exponential rate over the past few decades, from being regarded as oversized adding machines to the point where they have played integral roles in some legitimately creative endeavours.

Jason Dooris

CEO and founder, Atomic 212

Are you leading technology changes or is technology leading you?

In a recent conversation with a chief technology officer, he asserted all digital technology changes in his organisation were being led by IT and not by marketing. It made me wonder: How long a marketing function like this could survive?

Jean-Luc Ambrosi

Author, marketer

Disruption Down Under – What’s Amazon’s real competitive advantage?

Savvy shoppers wait in anticipation, while Australian retailers are gearing up for the onslaught. Amazon’s arrival is imminent.

Thanks for picking this up. We are always happy to add richness to our products and in turn the lives of our followers and fans.

Fitbit Middle East

​Fitbit announces new virtual race platform to enhance customer experience

Read more

Thanks for a very interesting article. B2B marketing seems tricky. I think that marketing plays a vital part - it can build the brand and...

Aaren

From tactical overhead to strategic growth driver: B2B marketing in the digital age

Read more

meanwhile loads of people with digital skills are not finding work or getting an opportunity to be hired?? Double standards perhaps.

Graduate dying on centrelink

Report reveals Australia faces digital skills shortage

Read more

These laws are in one way or other giving businesses to VPN service providers & other cyber utilities. Just read PureVPN claiming 37%...

Paige Hudson

Getting prepared for mandatory data breach reporting

Read more

Great Post.Thanks for sharing such an informative article.I have worked with Ally Digital Media and it has a very good service which is b...

Utkarsh Kansara

Predictions: 17 digital marketing trends for 2017

Read more

Latest Podcast

More podcasts

Sign in