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Value Email suscriptor vs Twitter Follower vs Facebook Fan
INTRODUCTION
    It’s no secret—Facebook reigns as the social networking community of choice
                                                                                         When Facebook’s
    for today’s online consumer. Having surpassed 500 million registered users
    worldwide, your grandma, teenager, dentist, and local grocer most likely have a      x-factors combine, they
    Facebook presence. 42% of U.S. online consumers, which equals approximately
    46 million people, say they use Facebook at least once a day. And millions more      have the potential to
    still use Facebook, even if they don’t check their accounts every day.

    Facebook’s incredible reach makes it the most pervasive social networking            ignite viral marketing,
    community—and it’s contagious and spreading. While you might already realize
    that Facebook plays an important role in spreading your brand’s message,             spreading a brand’s
    are you aware of the hidden opportunities—and potential landmines—that
    await you in this unique communication channel?
                                                                                         messages across
    In Facebook X-Factors, the fifth installment of our SUBSCRIBERS, FANS, &
    FOLLOWERS research series, we’ll expose the five x-factors that make Facebook        the entire internet.
    unlike any other messaging medium, so you can develop the precise and finely-
    tuned strategy you need to effectively communicate in this competitive channel.

    INSIDE THE REPORT, YOU’LL LEARN:

    •      The five x-factors that make Facebook unlike any other medium

    •      How to market within a channel that hasn’t completely accepted the presence
           of marketers

    •      The real value of Facebook marketing, so you can acquire new audiences
           who will directly impact your bottom line

    Traditional marketing approaches focused on getting your products and services
    in front of large audiences don’t necessarily work on Facebook. Instead, we’ll
    help you focus on Facebook’s five x-factors, so you can strike the delicate
    marketing balance this channel requires. With wall space at a premium and
    thousands of companies shouting their messages, you need a way to mobilize
    your FANS and empower them to spread the word about your brand. In Facebook
    X-Factors, we’ll help you do just that, so you can break through the clutter and
    develop a Facebook strategy that will directly impact your bottom line.




2       © 2010 ExactTarget
WHAT HAS MOTIVATED YOU TO “LIKE” A COMPANY,
BRAND, OR ASSOCIATION ON FACEBOOK?
                                                                 40%      To receive discounts and promotions

                                                                39%     To show my support for the company to others

                                                       36%       To get a “freebie” (e.g., free samples, coupon)

                                                   34%      To stay informed about the activities of a company


                                                33%       To get updates on future products


                                         30%       To get updates on upcoming sales

                                       29%        For fun or entertainment

                             25%        To get access to exclusive content


                      22%        Someone recommended it to me

                    21%       To learn more about the company

      13%   For education about company topics

      13%   To interact (e.g., share ideas, provide feedback)




                                                                                                     © 2010 ExactTarget   3
X-FACTOR                           1       CONNECTION
                         With Facebook, consumers can connect with individuals          focus on maintaining personal relationships than men
                         from all walks of life and geographic locations. And while     (63% vs. 54%), and are more likely to use Facebook to
                         most consumers see value in Facebook’s ability to connect      connect with old friends (68% vs. 56%). Women are also
                         them with these other individuals, whom they choose to         more likely to manage their social lives with Facebook
                         connect with varies greatly from user to user based on a       (41% vs. 34%). This is especially true among younger
                         variety of factors, including age. For example, if you ask     consumers, where 68% of females aged 15-17 and 54%
                         consumers over 25-years-old to describe their favorite         of women aged 18-24 use Facebook to find out what their
                         thing about Facebook, you’ll likely hear stories about re-     friends are doing and what social activities are happening.
                         connecting with old friends. In contrast, high school and
                                                                                        Compare these numbers to those of Facebook users
                         college students will tell you that Facebook has become an
                                                                                        who say they’ve become a FAN of a brand (43%), and
                         integral part of managing their busy social lives. In short,
                                                                                        it’s clear that consumers view Facebook as primarily a
                         Facebook’s ability to connect—regardless of who, why,
                                                                                        personal—not marketing—channel. Additionally, less than
                         when, or where—is one of its most powerful x-factors.
                                                                                        half of Facebook users believe marketers are “welcome
                         FACEBOOK = THE ‘DEFAULT’ SOCIAL COMMUNITY                      participants on social networks,” and even those who
                                                                                        welcome marketers say it’s because they believe in “free
                         When asked about social networks, Facebook immediately
                                                                                        enterprise,” not because they seek out interactions with
                         comes to mind for consumers—before Twitter, MySpace,
                                                                                        marketers on Facebook.
                         or other social networking communities. That’s because
                         64% of all U.S. online consumers (and three quarters of        While brands are clearly embraced on Facebook, many
                         Millennials) have created a profile on Facebook.               consumers are still unsure about how marketers should
                                                                                        participate once they’ve arrived. They worry that at any
                         The fact that so many people around the world have created
                                                                                        moment, marketers might revert to spamming them with
                         Facebook accounts demonstrates that it’s the first place
                                                                                        irrelevant messages in an attempt to drive sales. In order
                         people go when they want to connect with others online,
                                                                                        to combat your consumers’ fears, you should look
                         making it the ‘default’ for social networking. Facebook’s
                                                                                        at every Facebook engagement as an opportunity to
                         viral effect is spreading, turning once-adamant Facebook
                                                                                        build trust, demonstrating that you understand your
                         hold-outs into inevitably willing participants.
                                                                                        consumers’ priorities and that you respect them as
                         GETTING PERSONAL WITH FACEBOOK                                 individuals. Failure to do so will likely turn consumers
                                                                                        off to your brand, potentially hurting your reputation and
                         Facebook is far more personal than professional. 59% of        negatively impacting your bottom line.
                         consumers say they use Facebook in order to maintain
                         personal relationships compared to only 15% who use
                         it for professional contacts. Women are more likely to




4   © 2010 ExactTarget
“Thanks to Facebook, I’ve met up with distant relatives and friends from
my childhood, high school, and college days. I love seeing their pictures and
what’s going on in their lives. They’re now a huge part of my life and I owe it
all to Facebook.” – Mike, 31, Atlanta, GA
                                                                        © 2010 ExactTarget   5
X-FACTOR                                  2          SELF-EXPRESSION
       You can learn a lot about someone by simply visiting their Facebook page. Information like their full name, where they’re from, where they work
       or attend school, who they’re friends with, and even whether or not they’re in a committed relationship is often in plain sight. This combination of
       personal information, pictures, videos, and wall posts give consumers the opportunity to represent themselves to the online world. And the causes,
       associations, and brands they “LIKE” also contribute to their self-expression of who they are and what they stand for.

       BECOMING A FAN ≠ MARKETING COMMUNICATIONS

       The act of “FANNING” a brand on Facebook (or LIKING, as Facebook now refers to this practice*) doesn’t
       necessarily mean consumers wish to receive marketing communications from that brand. In fact, in a previous
       2009 ExactTarget study, 70% of consumers who “FANNED” a brand on Facebook didn’t feel they’d given
       this company permission to market to them. They instead viewed this act of becoming a FAN as a way to
       express their personal endorsements and approvals of companies with other Facebook friends.

       In our SUBSCRIBERS, FANS, & FOLLOWERS study, this finding of self-expression by becoming a FAN holds true.
       When we asked daily Facebook users why they chose to become a FAN of a brand, they often reported wanting to
       show others that they support that company. In other words, the act of FANNING a brand can be compared to sporting
       your favorite clothing store’s logo—a simultaneous display of endorsement and personal expression. However, it’s
       important for marketers to realize that this endorsement and means of personal expression isn’t an open
       invitation for the delivery of marketing messages.

       LIKING A BRAND MEANS DIFFERENT THINGS TO DIFFERENT CONSUMERS

       Why an individual consumer chooses to LIKE or FAN a brand on Facebook can be very difficult for marketers
       to understand. In The Social Profile, our third SUBSCRIBERS, FANS, & FOLLOWERS report, we highlighted
       different consumer motivations for interacting with brands online. And these intrinsic motivations go a long
       way in explaining why consumers choose to become Facebook FANS.

       For example, Enthusiasts are the most likely group of online consumers to become a Facebook FAN of a brand
       in order to show their support. This is also the case for consumers who go online primarily to connect with
       other Facebook users. However, some consumers become FANS of brands on Facebook for reasons other
       than showing support. 31% of consumers (a.k.a Deal Seekers) cite their primary motivation for becoming a
       FAN as a way to get freebies or giveaways. 25% of consumers (a.k.a.Shoppers) become a FAN to receive sale
       notifications, and Gamers are likely to become FANS for fun or entertainment purposes.

       (For more information on individual persona motivations, download The Social Profile.)


       *During the course of our research, Facebook changed its “BECOME A FAN” button to “LIKE.”  We use both FAN
       and LIKE interchangeably throughout this research report.




6   © 2010 ExactTarget
REASONS CONSUMERS USE FACEBOOK
MULTIPLE
MOTIVATIONS                                                                                         To reconnect with old friends & friends that live far away
                                                                                                                            63%              22%         15%
Consumers engage with brands on Facebook for                                                                                   To maintain personal contacts
a variety of reasons, which can make it difficult                                                                        59%                24%          17%
for marketers to decipher what the act of LIKING                                                                               To stay on top of my social life
really means. Consumers are as likely to become                                                          37%                25%                          38%
a FAN in order to get updates on upcoming sales
                                                                                                             To fill downtime, Facebook is a “guilty pleasure”
as they are for fun and entertainment. And even
though many consumers are looking for discounts,                                                    30%                  28%                             42%
marketers must always consider the context.                                                                       To play games (e.g. FarmVille, Mafia Wars)
                                                                                                    30%        15%                                       55%
TIPS TO CONSIDER:
                                                                                               Only to read messages from friends that require me to login
        Your company’s Facebook FAN page is                                                                   21%
 1      a continuous stream. Consider including a
                                                                                              23%                                                        56%
cross-section of content that focuses on the varying
                                                                                                         To keep tabs on my children’s/grandchildren’s lives
interests of your target audience. This will keep your                                  16%             21%                                              62%
diverse consumers (with their diverse motivations)                                                                   To maintain professional/work contacts
continually engaged.                                                                    15%            20%                                                65%
       Consider the reasons consumers use
 2     Facebook in the first place: to connect
                                                                                                         AGREE             NEUTRAL               DISAGREE
with others, to express themselves, to have fun,
and to discover new things. Successful Facebook
campaigns tap into this larger context by giving
consumers a way to interact—not only with your
brand, but with other like-minded consumers.

        Only 17% of consumers say they’re more
 3      likely to buy after becoming a FAN on
Facebook. Many of the most vocal consumers are
                                                         “I’m a FAN of Marc Jacobs because he’s truly one
only interested in social interaction, while some of     of my favorite designers. I visit his Facebook page
the most motivated consumers have no interest in
fun and games. Work on measuring the impact of           because it’s just something I’m in to. I embrace
different engagement metrics on your bottom line
in order to understand which approach contributes        his brand as a core trait of mine.”
most to your ROI.
                                                         – Jessica, 25, Ann Arbor, MI


                                                                                                                                           © 2010 ExactTarget     7
X-FACTOR                               3        ENTERTAINMENT
            Another reason consumers are drawn to Facebook? It’s entertaining. As        It’s critical for marketers to keep Facebook’s entertainment and
            consumers shared time and again, it’s fun to see pictures of friends, fun    fun factor in mind when developing a marketing strategy. Why?
            to re-connect with old acquaintances, and fun to see what’s happening        Because consumers are more likely to participate and engage with you
            in a best friend’s life—even if she’s thousands of miles away. From          if your marketing approach aligns with the entertainment paradigm.
            planning events and reading wall posts to simply killing time and            Consumers shared their stories of how brands successfully offered
            playing games, consumers look forward to their time on Facebook              entertainment on Facebook, and examples included Hot Wheels
            because it’s fun!                                                            asking consumers about received speeding tickets, Gillette Venus
                                                                                         offering a combination of “fun contests, sweepstakes, discounts,
            As a result of its personal and entertaining appeal, it’s no surprise that
                                                                                         and games,” and Oreo asking “What do you dip your Oreo in when
            the majority of consumers report using Facebook primarily during non-
                                                                                         you run out of milk?”
            working or non-school hours. While 30% of all Facebook users and
            45% of daily users report checking email during work or school hours,        Moral of the story? Facebook provides an unprecedented
            they’re less likely to check Facebook during these times, restricting use    opportunity for you to get creative when it comes to making your
            to nights and weekends. In total, 65% of Facebook users say they             marketing fun and entertaining. What are you waiting for?
            login only before or after work/school and 69% use Facebook on
            the weekends or days off.
                                                                                         *Footnote: Zarrella, Dan “Data Shows: Articles Published on the Weekend are Shared on
            This is further validated by research from Dan Zarrella, who found that      Facebook More” Mar 8, 2010 <http://danzarrella.com/data-shows-articles-published-
                                                                                         on-the-weekend-are-shared-on-facebook-more.html> (accessed August 5, 2010).
            articles posted to Facebook over the weekend are shared more often
            than those posted during the week*. This means that marketers
            need to be prepared to post topics and respond to FANS on nights
            and weekends as well as during normal business hours.

            MARKETING CAN BE ENTERTAINING (AND FUN) TOO!                                 “I feel more connected with
            No other channel provides the opportunity for fun and entertaining
            marketing messages like Facebook. Unlike Twitter or email,                   friends and acquaintances who
            consumers regularly talk about “marketing” and “fun” in the same
            sentence when it comes to Facebook. As one focus group participant
            shared, “I’m amazed by all of my friends who are FANS, and the
                                                                                         post their photos or about the
            comment threads that start as a result of the brands they’ve chosen
            to FAN are fun. When I become a FAN of a new brand, many of my
                                                                                         events happening in their lives.
            friends become FANS too. Companies often give rewards for this, and
            that makes it even more fun!”                                                It’s fun!” -Maggie, 41, Portland, OR

8   © 2010 ExactTarget
IS THERE SUCH A THING AS “TOO MUCH FUN?”
Consumers find Facebook to be so much fun that 30% of them classify it as a “guilty pleasure.” Like that secret pint of ice cream buried in the back of the
freezer, Facebook tempts these consumers to spend hours engaging on the site—which can often result in procrastinating and/or avoiding other responsibilities.
In fact, 31% of consumers say they must monitor the amount of time they spend on Facebook because it can be addicting. This is most pronounced
among Facebook users who regularly play games like FarmVille or Mafia Wars (these particular games require them to log into Facebook on a regular basis).
One participant shared, “I got to the point where I was neglecting my ‘real’ life in order to play these games. Why? It killed time, and put me in a place where
nothing mattered and no one judged me. It was like an alternate life.”




                                                                                                                                              © 2010 ExactTarget   9
X-FACTOR                                     4          DISCOVERY
                          The Facebook environment breeds discovery—whether or not consumers realize it. At times, these acts of discovery
                          are intentional. For example, an individual may log onto Facebook in search of an old friend or former classmate. But
                          more often than not, these discoveries are the byproduct of an ongoing participation in the Facebook community.
                          Whenever a Facebook user adds a new friend or LIKES a new brand, there’s a chance that this new connection will
                          spur additional new connections through the ever-expanding social landscape.

                          There’s an element of serendipity hidden in these “accidental” discoveries, and this became evident as we
                          talked with consumers about why they enjoyed using Facebook. It’s not so much that people log into Facebook
                          with the intention of finding something in particular—they just expect to be pleasantly surprised by new discoveries
                          on a regular basis. Will they encounter a new friend request from someone they haven’t heard from in decades? Will
                          they stumble upon their new favorite clothing line after a friend FANS the brand? These unique and serendipitous
                          discoveries contribute to Facebook’s entertaining quality.

                          SERENDIPITY MEETS MARKETING

                          Facebook’s serendipitous quality also affects the marketing that takes place via this channel. When consumers have a
                          clear sense of what they’re looking for, they don’t turn to Facebook to find it. Instead, they’ll use a search engine to find
                          what they need. So although consumers find things on Facebook all the time, its greatest strength as a marketing
                          channel results when consumers discover things they didn’t set out to find in the first place.

                          According to Nielsen, 90% of people trust the recommendations of their Facebook friends*. These
                          recommendations can be explicit, but are more often the result of friends seeing other
                          friends’ FANNED companies, comments, game endorsements, or
                          other Facebook activity. As a result, the endless connections that
                          make up social communities like Facebook provide an opportunity
                          for viral marketing to be unleashed, and this can be a powerful way
                          for marketers to increase their brand awareness—even when
                          consumers aren’t consciously looking for brand messages.

                          These brand messages just happen to find their way to
                          consumers via Facebook’s unique social graph, and that’s why
                          it’s crucial for marketers to continually fuel new conversations.
                          If you give your FANS something to talk about, they’ll have a lot to say.
                          And the more they talk about your brand, the more your messages will reach
                          new—and potentially profitable—audiences.


                          *Footnote: Nielsen Wire “Global Advertising: Consumers Trust Real Friends and Virtual Strangers the
                          Most” Jul 7, 2009 <http://blog.nielsen.com/nielsenwire/consumer/global-advertising-consumers-
                          trust-real-friends-and-virtual-strangers-the-most/> (accessed August 6, 2010).


10   © 2010 ExactTarget
EXACTTARGET TO CONSUMER:                                                                         THE FINE ART
  What Have You Found on Facebook?                                                                 OF RESPECTING
                                                                                                   PERSONAL SPACE
 Old friends


                               IN GERMANY
                                       SEMESTER ABROAD
                                                     BRAZIL IS SEEING ON HIS
                                                     WHAT MY NEPHEW FROM
                                                                           I LOVE THAT I CAN SEE
 and relatives                                                                                     Facebook has created an interesting dilemma for
                                                                                                   marketers when it comes to balancing relevant


 who I haven’t
                                                                                                   communications with customers’ personal space and
                                                                                                   privacy. Here’s why: When a user clicks on a LIKE
                                                                                                   button belonging to your brand, you’re immediately

 talked to in years                                                                                granted access to additional information about this
                                                                                                   customer, from school affiliation and workplace
                                                                                                   information to their birth date and other things they


      WAYS TO NEW
                                                                                                   LIKE. And while some consumers are comfortable with
A NEW JOB


                                                                                                   this information being made public, the vast majority



            SAVE
                                                                                                   simply don’t realize that this profile information is shared
               FRIENDS                                                                             with marketers as a result of clicking the LIKE button.
                     THROUGH

            MONEY. OLD
                                                                                                   So what’s a modern marketer to do? On one hand,
                                                                                                   this access to your customers’ personal information
                                                                                                   provides you with an opportunity to deliver more relevant

            I LOVE FRIENDS                                                                         communications. But are you invading your customers’
                                                                                                   personal space by acting on this personal information


                     FREEBIES FOR
            THE NEW PRODUCTS
                                                                                                   with marketing messages? We’re in a period of history
                                                                                                   where marketers can access and leverage data
                                                                                                   in ways that will truly alarm consumers, meaning
                                                                                                   that what’s possible might not be what you should



            SIDE TONS OF VALUABLE
                                                                                                   actually do. Don’t abuse the information that’s present
                                                                                                   on Facebook, because if you deliver communications
                                                                                                   that alarm your consumers, they’ll flee from future




            ADS! A NEW PARENT
                                                                                                   interactions with you on Facebook, and may stop doing
                     ADVICE ABOUT BEING                                                            business with you altogether.

                                                                                                   In short, restraint and common sense are
                                                                                                   prerequisites when leveraging Facebook profile


  I constantly find new people
                                                                                                   data. Create a campaign that wishes customers a
                                                                                                   “Happy Birthday” and they’ll likely adore you. But



  that spark my interest
                                                                                                   create a campaign that incorporates photos they’ve
                                                                                                   uploaded to Facebook, and you’ll cross the line.

                                                                                                                                           © 2010 ExactTarget     11
X-FACTOR                             5        CONTROL
                          Make no mistake about it—consumers have control over marketers (and their messages) on Facebook. Unlike
                          other messaging mediums, Facebook consumers know they can control the ways in which companies
                          interact with them. Being able to dictate which companies can send them messages—with the option to easily
                          stop engaging once a company becomes annoying—provides the comfort consumers need to welcome brands
                          into this traditionally personal environment.

                          Although some consumers resist the presence of companies on Facebook because they don’t want a brand’s
                          message to compete with the messages from their friends, the majority of consumers believe brands not only
                          have the right to be on Facebook, but that they are wise to participate. Why? They know they ultimately maintain
                          control over which brands they choose to FAN and engage with.

                          BE USEFUL OR BE GONE

                          The control that consumers exert over marketers and their messages is drastically shifting the balance of power. And
                          inherent in this power balance is a challenge for marketers: FANS are fickle. They alternate between offering support
                          and offering criticism, often based on a brand’s most recent Facebook action. In general, consumers’ capacity for
                          exposure to brand messages via Facebook is limited. 38% of U.S. online consumers are FANS, meaning they use
                          Facebook and have FANNED at least one brand. The average FAN reports that they LIKE nine brands, while the
                          median FAN reports LIKING four brands. What does this mean? Half of FANS LIKE only one to four brands.

                          Why are consumers so selective about the brands they choose to support? While they have control over which posts
                          get placed on their wall, they maintain an underlying fear that brand messages will crowd out wall posts from friends
                          and family members. And if the conversations marketers initiate aren’t perceived as valuable (offering entertainment,
                          novelty, or worthwhile monetary incentives), consumers tend to give marketers the boot to save precious space on
                          their Facebook walls. This means that consumers are even less tolerant of irrelevant Facebook messages
                          than they are about irrelevant emails or Tweets.



                           “If you’re getting too much clutter on Facebook, you can
                          always un-FAN those companies who post too much. Aside
                          from the ads on the right side of the page, you can control
                          everything that comes into your news feed.” – Russ, 38, Sacramento, CA
12   © 2010 ExactTarget
CONSUMER FACEBOOK FAVORITES
In order to help marketers understand what consumers are really looking for
when engaging with brands via Facebook, we asked research participants to
provide us with the names of companies they believe do the “best job” with
marketing messages on Facebook.

Consumers who primarily use Facebook for shopping and online deals were more
likely to identify specific brands as doing a great marketing job, while consumers
who primarily use Facebook to interact socially struggled to identify specific brands
who market well on this channel. In other words, brands should measure the
success of their Facebook marketing strategy based on key performance
metrics, not simply by the number of FANS they’ve accumulated.

        OREO (NABISCO): Oreo and its parent company Nabisco Cookies were
  1     frequently named as favorites among Deal Seekers across all age groups
(consumers who are motivated to interact with brands online for coupons and
freebies). Further validation of their successful approach? Their 8 million+ FANS
earned them a third-place finish in number of FANS accumulated on Facebook*.

       WALMART: Compared to other brands mentioned, WalMart’s 1.5 million
  2    FANS may seem small. But their no-nonsense approach to highlighting cost-
saving opportunities is appreciated by their customers—regardless of age or gender.

      VICTORIA’S SECRET: Nearly 6 million FANS make Victoria’s Secret the most
  3   FANNED fashion page on Facebook. Women, especially Millennials, frequently
complimented the new product offerings they feature on their Facebook page.

        iTUNES: This Millennial favorite focuses on highlighting new movie and
  4     music releases on its Facebook page, and consumers appreciate the tight
integration between Facebook and iTunes’ music service.

      DOVE: While Dove has not reached even 200,000 FANS, women appreciate
  5   the courageous stand the brand has taken in its “Campaign for Real Beauty.”
Many participants cited this brand as one of the “shining stars” on both Facebook
and social media in general.


*Footnote: According to http://statistics.allfacebook.com/pages/leaderboard/ as accessed on August 6, 2010.




                                                                                    © 2010 ExactTarget        13
“I might become a FAN of a brand if I notice them through a friend on Facebook,
     especially if I see that they’re offering a special deal. This makes me more likely
     to try products that I may not have tried before.” - Jennifer, 40, Cincinnati, OH



                  CONCLUSION: THE IDEAL VIRAL CHANNEL?
                  When Facebook’s x-factors combine, they have the potential to            FANS, but should be kept in balance with other conversations in
                  spark viral marketing, providing marketers with an unprecedented         order to keep your Facebook page entertaining.
                  opportunity to extend their brand messages beyond their wildest
                                                                                           When consumers choose to FAN a brand, they expect a
                  imaginations. But marketers must play their cards in a strategic
                                                                                           different type of interaction that contributes to the overall
                  and delicate fashion in order to experience this viral effect.
                                                                                           Facebook experience. They want fun, and they want to
                  So how can you capitalize on Facebook’s viral potential? You             interact with their fellow Facebook friends. But this reality
                  must first be aware of the challenges ahead:                             doesn’t mean you can’t be promotional on Facebook. As
                                                                                           evidenced by some of the brands mentioned by consumers,
                        It can be difficult to regularly fuel conversations about
                    1   your brand. And it’s not enough to simply “join the
                                                                                           injecting promotions into the conversation can be very effective,
                                                                                           and they even give your consumers something else to talk
                  conversation” that’s taking place about your brand. Consumers
                                                                                           about. Just be sure these promotions truly resonate with your
                  expect you to lead the conversation with content that
                                                                                           audience—your FANS have no patience for cheap gimmicks.
                  keeps them coming back for more.
                                                                                           Here’s a final tip: As you continue to develop your Facebook
                          So how can you lead effective conversations on Facebook
                    2     (especially when traditional marketing hasn’t taught us to
                                                                                           strategy, focus on acquisition—your potential for reaching
                                                                                           new customers. While having a large FAN base sounds
                  be good conversationalists)? Instead of “telling and selling,” you
                                                                                           impressive, these FANS aren’t necessarily the best source
                  must start the conversation, but then allow your consumers to do
                                                                                           of incremental revenue, since they already purchase your
                  the selling with their fellow friends. Try posting questions that will
                                                                                           products. However, they do represent a motivated audience
                  draw your customers into a two-way dialogue.
                                                                                           who’s willing to be mobilized to help sell and promote your
                  Remember: If consumers simply want to receive promotions                 brand across their network of friends (friends who haven’t
                  or information from brands, they’re still more likely to                 yet heard your rallying cry). It’s your job to unleash their
                  SUBSCRIBE to a company’s emails as opposed to becoming                   purchasing influence onto the rest of the online world.
                  a brand’s FAN. In other words, promotions are welcome by many




14   © 2010 ExactTarget
ACCORDING TO YOUR CONSUMERS:                                                          WAIT—
STRENGTHS & WEAKNESSES OF FACEBOOK
                                                                                      THERE’S
STRENGTHS

     Friends: The top motivation for using Facebook is to connect with old friends.
                                                                                      MORE!
 1   The second most is to maintain personal relationships.
                                                                                      In the first five installments of the
     Fun: Reading posts from friends, looking at pictures, and playing
 2   games all make Facebook fun and entertaining. 30% of consumers
                                                                                      SUBSCRIBERS, FANS, & FOLLOWERS
                                                                                      research series, we’ve examined why
     say they use Facebook to occupy their downtime.                                  consumers use email, Facebook, and
     Control: Facebook offers consumers a lot of control. They get to                 Twitter to engage with brands online.
 3   decide what friends and brands are worthy of engaging with them,                 And in our final research report, we’ll
     maintaining the ability to block those who aren’t worthy.                        help you organize the results of our
                                                                                      study into a comprehensive marketing
                                                                                      strategy that you can use across all
     WEAKNESSES                                                                       interactive channels. We’ll also provide
                                                                                      candid feedback from consumers about
     Frequent Changes: The #1 complaint about Facebook?
 1   It changes its layouts and policies too often, creating a
                                                                                      what they expect from marketers today
                                                                                      and what they want from marketers in
     consistent source of irritation for users.
                                                                                      the future. Trust us—you won’t want
     Time Drain: Some consumers’ love affair with Facebook                            to miss this final SUBSCRIBERS,
 2   has caused other areas of their life to suffer. 31% of                           FANS, & FOLLOWERS report.
     consumers say they limit their Facebook use because it can
                                                                                      To automatically sign up to receive
     be addicting.
                                                                                      each report as it’s released, visit
     Wall Clutter: Notifications about friends adding new friends,                    www.exacttarget.com/sff/download
 3   game status posts, and frequent posts by brands compete with the                 and select the opt-in button on the
     most important thing on Facebook—updates from friends.                           download form.




“Right now, I think Facebook is the best place
for deals. A lot of companies are giving away
freebies just to get you to become a FAN.”
– Debra, 31, Boston, MA

                                                                                                           © 2010 ExactTarget    15
Pizza franchise Papa Johns took advantage of
Facebook’s viral effect to add more than 45,000
FANS in less than two days. How? By using
ExactTarget’s Social Forward, a social media
marketing feature that makes it easy for your
customers to share your marketing messages
across all social networking communities.

With Social Forward, you empower your
SUBSCRIBERS to instantly share their brand
experience with their entire social network—and
you have the opportunity to become a trusted
member of their online community. Your messages
will reach audiences you never thought possible.

If you’re ready to experience Facebook’s viral
potential firsthand, visit www.exacttarget.com
to learn how you can get started today.




www. ExactTarget. com                                www. CoTweet. com
This document may not be copied without the prior written consent of ExactTarget. © 2010 ExactTarget.

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Value Email suscriptor vs Twitter Follower vs Facebook Fan

  • 2. INTRODUCTION It’s no secret—Facebook reigns as the social networking community of choice When Facebook’s for today’s online consumer. Having surpassed 500 million registered users worldwide, your grandma, teenager, dentist, and local grocer most likely have a x-factors combine, they Facebook presence. 42% of U.S. online consumers, which equals approximately 46 million people, say they use Facebook at least once a day. And millions more have the potential to still use Facebook, even if they don’t check their accounts every day. Facebook’s incredible reach makes it the most pervasive social networking ignite viral marketing, community—and it’s contagious and spreading. While you might already realize that Facebook plays an important role in spreading your brand’s message, spreading a brand’s are you aware of the hidden opportunities—and potential landmines—that await you in this unique communication channel? messages across In Facebook X-Factors, the fifth installment of our SUBSCRIBERS, FANS, & FOLLOWERS research series, we’ll expose the five x-factors that make Facebook the entire internet. unlike any other messaging medium, so you can develop the precise and finely- tuned strategy you need to effectively communicate in this competitive channel. INSIDE THE REPORT, YOU’LL LEARN: • The five x-factors that make Facebook unlike any other medium • How to market within a channel that hasn’t completely accepted the presence of marketers • The real value of Facebook marketing, so you can acquire new audiences who will directly impact your bottom line Traditional marketing approaches focused on getting your products and services in front of large audiences don’t necessarily work on Facebook. Instead, we’ll help you focus on Facebook’s five x-factors, so you can strike the delicate marketing balance this channel requires. With wall space at a premium and thousands of companies shouting their messages, you need a way to mobilize your FANS and empower them to spread the word about your brand. In Facebook X-Factors, we’ll help you do just that, so you can break through the clutter and develop a Facebook strategy that will directly impact your bottom line. 2 © 2010 ExactTarget
  • 3. WHAT HAS MOTIVATED YOU TO “LIKE” A COMPANY, BRAND, OR ASSOCIATION ON FACEBOOK? 40% To receive discounts and promotions 39% To show my support for the company to others 36% To get a “freebie” (e.g., free samples, coupon) 34% To stay informed about the activities of a company 33% To get updates on future products 30% To get updates on upcoming sales 29% For fun or entertainment 25% To get access to exclusive content 22% Someone recommended it to me 21% To learn more about the company 13% For education about company topics 13% To interact (e.g., share ideas, provide feedback) © 2010 ExactTarget 3
  • 4. X-FACTOR 1 CONNECTION With Facebook, consumers can connect with individuals focus on maintaining personal relationships than men from all walks of life and geographic locations. And while (63% vs. 54%), and are more likely to use Facebook to most consumers see value in Facebook’s ability to connect connect with old friends (68% vs. 56%). Women are also them with these other individuals, whom they choose to more likely to manage their social lives with Facebook connect with varies greatly from user to user based on a (41% vs. 34%). This is especially true among younger variety of factors, including age. For example, if you ask consumers, where 68% of females aged 15-17 and 54% consumers over 25-years-old to describe their favorite of women aged 18-24 use Facebook to find out what their thing about Facebook, you’ll likely hear stories about re- friends are doing and what social activities are happening. connecting with old friends. In contrast, high school and Compare these numbers to those of Facebook users college students will tell you that Facebook has become an who say they’ve become a FAN of a brand (43%), and integral part of managing their busy social lives. In short, it’s clear that consumers view Facebook as primarily a Facebook’s ability to connect—regardless of who, why, personal—not marketing—channel. Additionally, less than when, or where—is one of its most powerful x-factors. half of Facebook users believe marketers are “welcome FACEBOOK = THE ‘DEFAULT’ SOCIAL COMMUNITY participants on social networks,” and even those who welcome marketers say it’s because they believe in “free When asked about social networks, Facebook immediately enterprise,” not because they seek out interactions with comes to mind for consumers—before Twitter, MySpace, marketers on Facebook. or other social networking communities. That’s because 64% of all U.S. online consumers (and three quarters of While brands are clearly embraced on Facebook, many Millennials) have created a profile on Facebook. consumers are still unsure about how marketers should participate once they’ve arrived. They worry that at any The fact that so many people around the world have created moment, marketers might revert to spamming them with Facebook accounts demonstrates that it’s the first place irrelevant messages in an attempt to drive sales. In order people go when they want to connect with others online, to combat your consumers’ fears, you should look making it the ‘default’ for social networking. Facebook’s at every Facebook engagement as an opportunity to viral effect is spreading, turning once-adamant Facebook build trust, demonstrating that you understand your hold-outs into inevitably willing participants. consumers’ priorities and that you respect them as GETTING PERSONAL WITH FACEBOOK individuals. Failure to do so will likely turn consumers off to your brand, potentially hurting your reputation and Facebook is far more personal than professional. 59% of negatively impacting your bottom line. consumers say they use Facebook in order to maintain personal relationships compared to only 15% who use it for professional contacts. Women are more likely to 4 © 2010 ExactTarget
  • 5. “Thanks to Facebook, I’ve met up with distant relatives and friends from my childhood, high school, and college days. I love seeing their pictures and what’s going on in their lives. They’re now a huge part of my life and I owe it all to Facebook.” – Mike, 31, Atlanta, GA © 2010 ExactTarget 5
  • 6. X-FACTOR 2 SELF-EXPRESSION You can learn a lot about someone by simply visiting their Facebook page. Information like their full name, where they’re from, where they work or attend school, who they’re friends with, and even whether or not they’re in a committed relationship is often in plain sight. This combination of personal information, pictures, videos, and wall posts give consumers the opportunity to represent themselves to the online world. And the causes, associations, and brands they “LIKE” also contribute to their self-expression of who they are and what they stand for. BECOMING A FAN ≠ MARKETING COMMUNICATIONS The act of “FANNING” a brand on Facebook (or LIKING, as Facebook now refers to this practice*) doesn’t necessarily mean consumers wish to receive marketing communications from that brand. In fact, in a previous 2009 ExactTarget study, 70% of consumers who “FANNED” a brand on Facebook didn’t feel they’d given this company permission to market to them. They instead viewed this act of becoming a FAN as a way to express their personal endorsements and approvals of companies with other Facebook friends. In our SUBSCRIBERS, FANS, & FOLLOWERS study, this finding of self-expression by becoming a FAN holds true. When we asked daily Facebook users why they chose to become a FAN of a brand, they often reported wanting to show others that they support that company. In other words, the act of FANNING a brand can be compared to sporting your favorite clothing store’s logo—a simultaneous display of endorsement and personal expression. However, it’s important for marketers to realize that this endorsement and means of personal expression isn’t an open invitation for the delivery of marketing messages. LIKING A BRAND MEANS DIFFERENT THINGS TO DIFFERENT CONSUMERS Why an individual consumer chooses to LIKE or FAN a brand on Facebook can be very difficult for marketers to understand. In The Social Profile, our third SUBSCRIBERS, FANS, & FOLLOWERS report, we highlighted different consumer motivations for interacting with brands online. And these intrinsic motivations go a long way in explaining why consumers choose to become Facebook FANS. For example, Enthusiasts are the most likely group of online consumers to become a Facebook FAN of a brand in order to show their support. This is also the case for consumers who go online primarily to connect with other Facebook users. However, some consumers become FANS of brands on Facebook for reasons other than showing support. 31% of consumers (a.k.a Deal Seekers) cite their primary motivation for becoming a FAN as a way to get freebies or giveaways. 25% of consumers (a.k.a.Shoppers) become a FAN to receive sale notifications, and Gamers are likely to become FANS for fun or entertainment purposes. (For more information on individual persona motivations, download The Social Profile.) *During the course of our research, Facebook changed its “BECOME A FAN” button to “LIKE.”  We use both FAN and LIKE interchangeably throughout this research report. 6 © 2010 ExactTarget
  • 7. REASONS CONSUMERS USE FACEBOOK MULTIPLE MOTIVATIONS To reconnect with old friends & friends that live far away 63% 22% 15% Consumers engage with brands on Facebook for To maintain personal contacts a variety of reasons, which can make it difficult 59% 24% 17% for marketers to decipher what the act of LIKING To stay on top of my social life really means. Consumers are as likely to become 37% 25% 38% a FAN in order to get updates on upcoming sales To fill downtime, Facebook is a “guilty pleasure” as they are for fun and entertainment. And even though many consumers are looking for discounts, 30% 28% 42% marketers must always consider the context. To play games (e.g. FarmVille, Mafia Wars) 30% 15% 55% TIPS TO CONSIDER: Only to read messages from friends that require me to login Your company’s Facebook FAN page is 21% 1 a continuous stream. Consider including a 23% 56% cross-section of content that focuses on the varying To keep tabs on my children’s/grandchildren’s lives interests of your target audience. This will keep your 16% 21% 62% diverse consumers (with their diverse motivations) To maintain professional/work contacts continually engaged. 15% 20% 65% Consider the reasons consumers use 2 Facebook in the first place: to connect AGREE NEUTRAL DISAGREE with others, to express themselves, to have fun, and to discover new things. Successful Facebook campaigns tap into this larger context by giving consumers a way to interact—not only with your brand, but with other like-minded consumers. Only 17% of consumers say they’re more 3 likely to buy after becoming a FAN on Facebook. Many of the most vocal consumers are “I’m a FAN of Marc Jacobs because he’s truly one only interested in social interaction, while some of of my favorite designers. I visit his Facebook page the most motivated consumers have no interest in fun and games. Work on measuring the impact of because it’s just something I’m in to. I embrace different engagement metrics on your bottom line in order to understand which approach contributes his brand as a core trait of mine.” most to your ROI. – Jessica, 25, Ann Arbor, MI © 2010 ExactTarget 7
  • 8. X-FACTOR 3 ENTERTAINMENT Another reason consumers are drawn to Facebook? It’s entertaining. As It’s critical for marketers to keep Facebook’s entertainment and consumers shared time and again, it’s fun to see pictures of friends, fun fun factor in mind when developing a marketing strategy. Why? to re-connect with old acquaintances, and fun to see what’s happening Because consumers are more likely to participate and engage with you in a best friend’s life—even if she’s thousands of miles away. From if your marketing approach aligns with the entertainment paradigm. planning events and reading wall posts to simply killing time and Consumers shared their stories of how brands successfully offered playing games, consumers look forward to their time on Facebook entertainment on Facebook, and examples included Hot Wheels because it’s fun! asking consumers about received speeding tickets, Gillette Venus offering a combination of “fun contests, sweepstakes, discounts, As a result of its personal and entertaining appeal, it’s no surprise that and games,” and Oreo asking “What do you dip your Oreo in when the majority of consumers report using Facebook primarily during non- you run out of milk?” working or non-school hours. While 30% of all Facebook users and 45% of daily users report checking email during work or school hours, Moral of the story? Facebook provides an unprecedented they’re less likely to check Facebook during these times, restricting use opportunity for you to get creative when it comes to making your to nights and weekends. In total, 65% of Facebook users say they marketing fun and entertaining. What are you waiting for? login only before or after work/school and 69% use Facebook on the weekends or days off. *Footnote: Zarrella, Dan “Data Shows: Articles Published on the Weekend are Shared on This is further validated by research from Dan Zarrella, who found that Facebook More” Mar 8, 2010 <http://danzarrella.com/data-shows-articles-published- on-the-weekend-are-shared-on-facebook-more.html> (accessed August 5, 2010). articles posted to Facebook over the weekend are shared more often than those posted during the week*. This means that marketers need to be prepared to post topics and respond to FANS on nights and weekends as well as during normal business hours. MARKETING CAN BE ENTERTAINING (AND FUN) TOO! “I feel more connected with No other channel provides the opportunity for fun and entertaining marketing messages like Facebook. Unlike Twitter or email, friends and acquaintances who consumers regularly talk about “marketing” and “fun” in the same sentence when it comes to Facebook. As one focus group participant shared, “I’m amazed by all of my friends who are FANS, and the post their photos or about the comment threads that start as a result of the brands they’ve chosen to FAN are fun. When I become a FAN of a new brand, many of my events happening in their lives. friends become FANS too. Companies often give rewards for this, and that makes it even more fun!” It’s fun!” -Maggie, 41, Portland, OR 8 © 2010 ExactTarget
  • 9. IS THERE SUCH A THING AS “TOO MUCH FUN?” Consumers find Facebook to be so much fun that 30% of them classify it as a “guilty pleasure.” Like that secret pint of ice cream buried in the back of the freezer, Facebook tempts these consumers to spend hours engaging on the site—which can often result in procrastinating and/or avoiding other responsibilities. In fact, 31% of consumers say they must monitor the amount of time they spend on Facebook because it can be addicting. This is most pronounced among Facebook users who regularly play games like FarmVille or Mafia Wars (these particular games require them to log into Facebook on a regular basis). One participant shared, “I got to the point where I was neglecting my ‘real’ life in order to play these games. Why? It killed time, and put me in a place where nothing mattered and no one judged me. It was like an alternate life.” © 2010 ExactTarget 9
  • 10. X-FACTOR 4 DISCOVERY The Facebook environment breeds discovery—whether or not consumers realize it. At times, these acts of discovery are intentional. For example, an individual may log onto Facebook in search of an old friend or former classmate. But more often than not, these discoveries are the byproduct of an ongoing participation in the Facebook community. Whenever a Facebook user adds a new friend or LIKES a new brand, there’s a chance that this new connection will spur additional new connections through the ever-expanding social landscape. There’s an element of serendipity hidden in these “accidental” discoveries, and this became evident as we talked with consumers about why they enjoyed using Facebook. It’s not so much that people log into Facebook with the intention of finding something in particular—they just expect to be pleasantly surprised by new discoveries on a regular basis. Will they encounter a new friend request from someone they haven’t heard from in decades? Will they stumble upon their new favorite clothing line after a friend FANS the brand? These unique and serendipitous discoveries contribute to Facebook’s entertaining quality. SERENDIPITY MEETS MARKETING Facebook’s serendipitous quality also affects the marketing that takes place via this channel. When consumers have a clear sense of what they’re looking for, they don’t turn to Facebook to find it. Instead, they’ll use a search engine to find what they need. So although consumers find things on Facebook all the time, its greatest strength as a marketing channel results when consumers discover things they didn’t set out to find in the first place. According to Nielsen, 90% of people trust the recommendations of their Facebook friends*. These recommendations can be explicit, but are more often the result of friends seeing other friends’ FANNED companies, comments, game endorsements, or other Facebook activity. As a result, the endless connections that make up social communities like Facebook provide an opportunity for viral marketing to be unleashed, and this can be a powerful way for marketers to increase their brand awareness—even when consumers aren’t consciously looking for brand messages. These brand messages just happen to find their way to consumers via Facebook’s unique social graph, and that’s why it’s crucial for marketers to continually fuel new conversations. If you give your FANS something to talk about, they’ll have a lot to say. And the more they talk about your brand, the more your messages will reach new—and potentially profitable—audiences. *Footnote: Nielsen Wire “Global Advertising: Consumers Trust Real Friends and Virtual Strangers the Most” Jul 7, 2009 <http://blog.nielsen.com/nielsenwire/consumer/global-advertising-consumers- trust-real-friends-and-virtual-strangers-the-most/> (accessed August 6, 2010). 10 © 2010 ExactTarget
  • 11. EXACTTARGET TO CONSUMER: THE FINE ART What Have You Found on Facebook? OF RESPECTING PERSONAL SPACE Old friends IN GERMANY SEMESTER ABROAD BRAZIL IS SEEING ON HIS WHAT MY NEPHEW FROM I LOVE THAT I CAN SEE and relatives Facebook has created an interesting dilemma for marketers when it comes to balancing relevant who I haven’t communications with customers’ personal space and privacy. Here’s why: When a user clicks on a LIKE button belonging to your brand, you’re immediately talked to in years granted access to additional information about this customer, from school affiliation and workplace information to their birth date and other things they WAYS TO NEW LIKE. And while some consumers are comfortable with A NEW JOB this information being made public, the vast majority SAVE simply don’t realize that this profile information is shared FRIENDS with marketers as a result of clicking the LIKE button. THROUGH MONEY. OLD So what’s a modern marketer to do? On one hand, this access to your customers’ personal information provides you with an opportunity to deliver more relevant I LOVE FRIENDS communications. But are you invading your customers’ personal space by acting on this personal information FREEBIES FOR THE NEW PRODUCTS with marketing messages? We’re in a period of history where marketers can access and leverage data in ways that will truly alarm consumers, meaning that what’s possible might not be what you should SIDE TONS OF VALUABLE actually do. Don’t abuse the information that’s present on Facebook, because if you deliver communications that alarm your consumers, they’ll flee from future ADS! A NEW PARENT interactions with you on Facebook, and may stop doing ADVICE ABOUT BEING business with you altogether. In short, restraint and common sense are prerequisites when leveraging Facebook profile I constantly find new people data. Create a campaign that wishes customers a “Happy Birthday” and they’ll likely adore you. But that spark my interest create a campaign that incorporates photos they’ve uploaded to Facebook, and you’ll cross the line. © 2010 ExactTarget 11
  • 12. X-FACTOR 5 CONTROL Make no mistake about it—consumers have control over marketers (and their messages) on Facebook. Unlike other messaging mediums, Facebook consumers know they can control the ways in which companies interact with them. Being able to dictate which companies can send them messages—with the option to easily stop engaging once a company becomes annoying—provides the comfort consumers need to welcome brands into this traditionally personal environment. Although some consumers resist the presence of companies on Facebook because they don’t want a brand’s message to compete with the messages from their friends, the majority of consumers believe brands not only have the right to be on Facebook, but that they are wise to participate. Why? They know they ultimately maintain control over which brands they choose to FAN and engage with. BE USEFUL OR BE GONE The control that consumers exert over marketers and their messages is drastically shifting the balance of power. And inherent in this power balance is a challenge for marketers: FANS are fickle. They alternate between offering support and offering criticism, often based on a brand’s most recent Facebook action. In general, consumers’ capacity for exposure to brand messages via Facebook is limited. 38% of U.S. online consumers are FANS, meaning they use Facebook and have FANNED at least one brand. The average FAN reports that they LIKE nine brands, while the median FAN reports LIKING four brands. What does this mean? Half of FANS LIKE only one to four brands. Why are consumers so selective about the brands they choose to support? While they have control over which posts get placed on their wall, they maintain an underlying fear that brand messages will crowd out wall posts from friends and family members. And if the conversations marketers initiate aren’t perceived as valuable (offering entertainment, novelty, or worthwhile monetary incentives), consumers tend to give marketers the boot to save precious space on their Facebook walls. This means that consumers are even less tolerant of irrelevant Facebook messages than they are about irrelevant emails or Tweets. “If you’re getting too much clutter on Facebook, you can always un-FAN those companies who post too much. Aside from the ads on the right side of the page, you can control everything that comes into your news feed.” – Russ, 38, Sacramento, CA 12 © 2010 ExactTarget
  • 13. CONSUMER FACEBOOK FAVORITES In order to help marketers understand what consumers are really looking for when engaging with brands via Facebook, we asked research participants to provide us with the names of companies they believe do the “best job” with marketing messages on Facebook. Consumers who primarily use Facebook for shopping and online deals were more likely to identify specific brands as doing a great marketing job, while consumers who primarily use Facebook to interact socially struggled to identify specific brands who market well on this channel. In other words, brands should measure the success of their Facebook marketing strategy based on key performance metrics, not simply by the number of FANS they’ve accumulated. OREO (NABISCO): Oreo and its parent company Nabisco Cookies were 1 frequently named as favorites among Deal Seekers across all age groups (consumers who are motivated to interact with brands online for coupons and freebies). Further validation of their successful approach? Their 8 million+ FANS earned them a third-place finish in number of FANS accumulated on Facebook*. WALMART: Compared to other brands mentioned, WalMart’s 1.5 million 2 FANS may seem small. But their no-nonsense approach to highlighting cost- saving opportunities is appreciated by their customers—regardless of age or gender. VICTORIA’S SECRET: Nearly 6 million FANS make Victoria’s Secret the most 3 FANNED fashion page on Facebook. Women, especially Millennials, frequently complimented the new product offerings they feature on their Facebook page. iTUNES: This Millennial favorite focuses on highlighting new movie and 4 music releases on its Facebook page, and consumers appreciate the tight integration between Facebook and iTunes’ music service. DOVE: While Dove has not reached even 200,000 FANS, women appreciate 5 the courageous stand the brand has taken in its “Campaign for Real Beauty.” Many participants cited this brand as one of the “shining stars” on both Facebook and social media in general. *Footnote: According to http://statistics.allfacebook.com/pages/leaderboard/ as accessed on August 6, 2010. © 2010 ExactTarget 13
  • 14. “I might become a FAN of a brand if I notice them through a friend on Facebook, especially if I see that they’re offering a special deal. This makes me more likely to try products that I may not have tried before.” - Jennifer, 40, Cincinnati, OH CONCLUSION: THE IDEAL VIRAL CHANNEL? When Facebook’s x-factors combine, they have the potential to FANS, but should be kept in balance with other conversations in spark viral marketing, providing marketers with an unprecedented order to keep your Facebook page entertaining. opportunity to extend their brand messages beyond their wildest When consumers choose to FAN a brand, they expect a imaginations. But marketers must play their cards in a strategic different type of interaction that contributes to the overall and delicate fashion in order to experience this viral effect. Facebook experience. They want fun, and they want to So how can you capitalize on Facebook’s viral potential? You interact with their fellow Facebook friends. But this reality must first be aware of the challenges ahead: doesn’t mean you can’t be promotional on Facebook. As evidenced by some of the brands mentioned by consumers, It can be difficult to regularly fuel conversations about 1 your brand. And it’s not enough to simply “join the injecting promotions into the conversation can be very effective, and they even give your consumers something else to talk conversation” that’s taking place about your brand. Consumers about. Just be sure these promotions truly resonate with your expect you to lead the conversation with content that audience—your FANS have no patience for cheap gimmicks. keeps them coming back for more. Here’s a final tip: As you continue to develop your Facebook So how can you lead effective conversations on Facebook 2 (especially when traditional marketing hasn’t taught us to strategy, focus on acquisition—your potential for reaching new customers. While having a large FAN base sounds be good conversationalists)? Instead of “telling and selling,” you impressive, these FANS aren’t necessarily the best source must start the conversation, but then allow your consumers to do of incremental revenue, since they already purchase your the selling with their fellow friends. Try posting questions that will products. However, they do represent a motivated audience draw your customers into a two-way dialogue. who’s willing to be mobilized to help sell and promote your Remember: If consumers simply want to receive promotions brand across their network of friends (friends who haven’t or information from brands, they’re still more likely to yet heard your rallying cry). It’s your job to unleash their SUBSCRIBE to a company’s emails as opposed to becoming purchasing influence onto the rest of the online world. a brand’s FAN. In other words, promotions are welcome by many 14 © 2010 ExactTarget
  • 15. ACCORDING TO YOUR CONSUMERS: WAIT— STRENGTHS & WEAKNESSES OF FACEBOOK THERE’S STRENGTHS Friends: The top motivation for using Facebook is to connect with old friends. MORE! 1 The second most is to maintain personal relationships. In the first five installments of the Fun: Reading posts from friends, looking at pictures, and playing 2 games all make Facebook fun and entertaining. 30% of consumers SUBSCRIBERS, FANS, & FOLLOWERS research series, we’ve examined why say they use Facebook to occupy their downtime. consumers use email, Facebook, and Control: Facebook offers consumers a lot of control. They get to Twitter to engage with brands online. 3 decide what friends and brands are worthy of engaging with them, And in our final research report, we’ll maintaining the ability to block those who aren’t worthy. help you organize the results of our study into a comprehensive marketing strategy that you can use across all WEAKNESSES interactive channels. We’ll also provide candid feedback from consumers about Frequent Changes: The #1 complaint about Facebook? 1 It changes its layouts and policies too often, creating a what they expect from marketers today and what they want from marketers in consistent source of irritation for users. the future. Trust us—you won’t want Time Drain: Some consumers’ love affair with Facebook to miss this final SUBSCRIBERS, 2 has caused other areas of their life to suffer. 31% of FANS, & FOLLOWERS report. consumers say they limit their Facebook use because it can To automatically sign up to receive be addicting. each report as it’s released, visit Wall Clutter: Notifications about friends adding new friends, www.exacttarget.com/sff/download 3 game status posts, and frequent posts by brands compete with the and select the opt-in button on the most important thing on Facebook—updates from friends. download form. “Right now, I think Facebook is the best place for deals. A lot of companies are giving away freebies just to get you to become a FAN.” – Debra, 31, Boston, MA © 2010 ExactTarget 15
  • 16. Pizza franchise Papa Johns took advantage of Facebook’s viral effect to add more than 45,000 FANS in less than two days. How? By using ExactTarget’s Social Forward, a social media marketing feature that makes it easy for your customers to share your marketing messages across all social networking communities. With Social Forward, you empower your SUBSCRIBERS to instantly share their brand experience with their entire social network—and you have the opportunity to become a trusted member of their online community. Your messages will reach audiences you never thought possible. If you’re ready to experience Facebook’s viral potential firsthand, visit www.exacttarget.com to learn how you can get started today. www. ExactTarget. com www. CoTweet. com This document may not be copied without the prior written consent of ExactTarget. © 2010 ExactTarget.