• Conducted secondary research and defined management and research problems • Designed a survey questionnaire on SurveyMonkey and received 100+ respondents • Analyzed data and presented: bibliography, findings, recommendations, and next steps

1. Facebook
Arc Liu, Georgina Pang, Santa Redala
Eyal Shahar, Rafaela De Silva, Luisa Silva
Emily Sonipersaud (Marketing Research Course - Spring, 2014)

2. Overview
• CEO of Facebook- Mark Zuckerberg
• Net worth $112 Billion
• 1.2 Billion Monthly Users
• Purchased WhatsApp for $19 Billion (450 Million Users)

3. Top Competition in the USA
 Google Plus (300 Million Users)
 Tumblr (300 Million Users)
 Twitter (240 Million Users)

4. Managerial and Marketing Research Questions
a) A concern that has been brought up by
consumers is the numerous advertisements on
Facebook. If we offer a premium Facebook
account with absolutely no advertisements, how
much would you be willing to pay for it?

5. Managerial and Marketing Research Questions
b) If Facebook introduces a new Facebook social
networking device that integrates the following:
 Best possible phone camera on the market
 LTE and Wifi Internet Services
 Built-in photo editing service, filtering service and fast
uploading service
 Significantly faster integration to Facebook, Whatsapp,
Instagram, Vine, Twitter, Pinterest and Tumblr.
 WhatsApp, Facebook chat services; including Facetime

6. Managerial and Marketing Research Questions
2.
a) ​Determine which problems Facebook needs to address, in order of immediacy.
Please number the following problems
 Difficulty in navigating privacy settings
 Advertisements in the sidebar and on your newsfeed
 Inability to choose your layout and the lack of customization
 Difficulty in organizing your friends list
 Too many features (games, apps, notes etc.) and no concentration and/or niche.

7. Managerial and Marketing Research Questions
b) Facebook already has customizable privacy settings. However users have to go
through their entire friends list one by one and set them individually for each friend.
If Facebook introduces an organized feature that does the following:
 ​Drag and drop multiple friends at a time, into groups with customizable privacy settings
 Ability to customize how your profile looks to each group of friends

8. Methodology
 Total Respondents: 122
 Responded to all: 101
 Sent Survey: Facebook, Twitter, Email, In-Person
 Date Sent: March 26th 2014

9. Demographics
 36% are in the “Less than
$10,000” income range.
 Only 75% provided
financial information.

10. Frequency of General Usage
 96% of Users
use Facebook
more than
once a week.
 86% of Users
use Facebook
at least once
a day.

11. Frequency of Feature Usage
 80% of Users never
play games.
 Top features of
Facebook rank:
1. News &
Articles
2. Chat
3. Photo & Video
Sharing

12. Severity of Problems
Percent of users who
think the problems are
pressing:
 Insufficient Privacy
Settings with 60%
 Lack of a niche with
57%
 Advertisements with
56%
 Lack of Customization
with 56%
 Difficulty in
Organizing Friends
List with 45%

13. Game & Application Invites
 75% dislike the
game & application
invites.
 Almost 100% of our
respondents receive
these invitations. It is
a general problem
that every user
faces.

14.  80% of Users
almost never click
on the
advertisement
links.
Effectiveness of Ads
Out of all the advertisements you see, how many actually
sparks interest enough for you to want to find out more?

15. What can Facebook learn from its
competitors?

16. Competitors
MOST
OFTEN
LEAST
OFTEN
With regards to (1) on the
scale:
 Facebook remains
most used social
network,
 beating out
Instagram (2nd
Place) by 41%.
With regards to (2) on the
scale:
 Instagram beats
Facebook by 21%
 Twitter close behind
Facebook by 7%

17. Categories Percentage
Networking & Socializing 40.2 %
User Interface & Convenience 13 %
Photo & Video Sharing 12.1 %
Entertainment & News Feed 10.3 %
Everything 6.5 %
Others 18 %
What are they looking for?

18. What can Facebook do?

19. A Membership Plan
From Previous Slide on
Severity of Problems:
 56% of Respondents
thought the overload of
Advertisements were a
pressing problem.
 A striking 94% of
respondents will not pay
to reduce the
advertisements.
- No Fee
- 100% Advertisements
- $9.99 per year
- 50% Advertisements
- $15.99 per year
- 0% Advertisements

20. New Privacy Features
Ability to drag & drop
friends into different
privacy groups.
Ability to customize
how your profile
looks to each privacy
group.
71% are open to new
privacy features
 40% are interested in
the customization
feature.
 31% are interested in
the Drag & Drop
Feature.

21. WhatsApp Integration
WhatsApp Messenger is a
Facebook owned smartphone
application that allows you to
chat with friends with WIFI.
As of February 2014,
WhatsApp had 465 million
monthly active users.
 42% of respondents
would use Whatsapp
on Facebook if made
available.

22. Rewards Program for Appreciating Loyal
Users?

23. Effect on Usage
 57% of our
Respondents will
spend more time on
Facebook because
of the rewards
program.
 34% of Respondents
will increase usage
significantly.

24. A Social Networking Device
From most interesting to
least interesting:
 Fast Upload Speed
 Top-of-the-line
Camera
 Photo Editing
Feature
 LTE & WIFI
 Simultaneous
posting to various
social media
networks
 Facebook Chat

25.  Introduce rewards program
• Will increase the average usage per day
 Game default settings
 Group settings
• Easier interface with friends, family,
acquaintance (drag and drop)
 Increase user creativity with profile
Recommendations

26. Next Steps

27.  Traditional Focus Groups - further research on whether to
launch a Facebook Mobile Device, considering most
revenue is from mobile
 Depth Interviews - to better understand what disturbs
users, and how to solve it.
• example: “57% of users think the lack of niche is
a problem” - what suggestions do they have to
solve it, and why?
Qualitative Research

28.  Computer Assisted Interviews (CAPI) - to gain insights
from users who are willing to increase hours usage with
rewards program
• learn how many hours will increase per user
• learn user preferences for rewards cards
 Internet - A link to a survey on their site
• which users would want to purchase membership
• will it have negative effect on brand image
Descriptive Research -
Surveys

29. Marketing Team