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Putting a value on a Facebook fan

           The IAB Great British Social Media Festival




we are social
A lot of us here will buy into this




we are social
But for some social is still a hotly debated topic
                              I think we should
                               spend more on
                               social this year




                               Well Dave, I’m
                                looking at our
                               Facebook page
                               and frankly I’m
         LOL. Like, totally   struggling to see
           – what’s the           the point
         bottom line man?



  we are social
Research has been done in the past

                            Buy
        More likely to buy from                        Facebook
        at least one brand since
                                                                             Twitter
       becoming a fan/follower


                  Recommend
   More likely to recommend at                                    Facebook
          least one brand since
                                                                                       Twitter
      becoming a fan/follower




                                           Why Social Media Matters to Your Business, Chadwick Martin Bailey
                                                                                                         March 2010

                 a Facebook fan is worth
                                           $3.60 a year in media value alone                       Vitrue
                                                                                                 April 2010
and an average of
                            $136.38        when other factors like spend and recommendation are factored in
                                                                                                                Syncapse
                                                                                                                  June 2010



         we are social
But we really wanted to answer this question



 What is the actual monetary
  value of a Facebook fan for
     Bulmers as a brand?


 we are social
Methodology




we are social
Approach


         Bulmers Facebook fans                        Control cell
      Recruited via tab installed on the      Sub-sample of cider drinkers via
          Bulmers Facebook Page               TNS panel to allow comparison
                (241 in total)                        (198 in total)


•   Each group took part in a 10 minute online interview
•   Results in this presentation represent the first stage of the study which may
    include subsequent tracking to understand if value and commitment are
    building over time and measure the extent of the reward from continued
    investment


    we are social
A few considerations

We recruited Bulmers fans through the Bulmers fan page, therefore:
•   Fans recruited in this manner may be biased towards the Bulmers brand, as
    they are conscious of taking part in a survey for the brand
•   Fans that respond are more likely to be active fans, and may result in a
    sample of more brand/page loyalists than the average Facebook fan
•   Almost all fans were interviewed on a single day, and the promptness of
    response from the fans may have resulted in a sample overrepresented with
    heavy Facebook users




    we are social
Driving value




we are social
Bulmers fans consume significantly more v
       regular Bulmers drinkers who are not fans
•   Plus significantly more likely to have consumed Bulmers No. 17; the focus of
    our 2011 marketing campaign.




    we are social
Overall brand preference is also higher

    +17%
                                Bulmers fans
                -8%             Control cell
                       +7%
                                  -5%




we are social
12

        They also have a significantly more
           favourable view of the brand

                                                                                             Bulmers amongst fans
                                                                                             (P4W Bulmers)


                                                                                             Bulmers amongst fans



                                                                                             Bulmers amongst
                                                                                             control (P4W Bulmers)


                                                                                             Bulmers amongst
Taste better       Would    Higher opinion   Brands you       Spark good   Prepared to pay   control
               recommend to                would like to be   times with      more for
                   others                   seen drinking       mates




we are social
The value of a Bulmers fan




we are social
Calculating the value of a fan

 Look at fans and non-fans separately, identifying the regular
                Bulmers drinkers in each group
                                                                      vs.
How many serving of each Bulmers flavour do they claim to have

      drunk over the past week (both on- and off-trade)?

    Use the average retail value of each serving to identify
                  the spend for each group                            = £
  Take the difference between the two values to work out the
               incremental value of a Bulmers fan                     = £
        Weekly                                Annual
   incremental value                    incremental value         80 Bottles
    of a Bulmers fan                     of a Bulmers fan        extra a year
        £3.82                                £198.64
     we are social
Since then…




we are social
More people are talking about us




    +66.9%
 Average daily ‘People
Talking About This’ score
      on Facebook




 we are social
And reach more than doubled




 +128.8%
Average daily organic
 reach on Facebook




we are social
So will this number move up with it?




        £3.82                  ?
we are social
Thank you




we are social

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Wearesocial tns bulmers

  • 1. Putting a value on a Facebook fan The IAB Great British Social Media Festival we are social
  • 2. A lot of us here will buy into this we are social
  • 3. But for some social is still a hotly debated topic I think we should spend more on social this year Well Dave, I’m looking at our Facebook page and frankly I’m LOL. Like, totally struggling to see – what’s the the point bottom line man? we are social
  • 4. Research has been done in the past Buy More likely to buy from Facebook at least one brand since Twitter becoming a fan/follower Recommend More likely to recommend at Facebook least one brand since Twitter becoming a fan/follower Why Social Media Matters to Your Business, Chadwick Martin Bailey March 2010 a Facebook fan is worth $3.60 a year in media value alone Vitrue April 2010 and an average of $136.38 when other factors like spend and recommendation are factored in Syncapse June 2010 we are social
  • 5. But we really wanted to answer this question What is the actual monetary value of a Facebook fan for Bulmers as a brand? we are social
  • 7. Approach Bulmers Facebook fans Control cell Recruited via tab installed on the Sub-sample of cider drinkers via Bulmers Facebook Page TNS panel to allow comparison (241 in total) (198 in total) • Each group took part in a 10 minute online interview • Results in this presentation represent the first stage of the study which may include subsequent tracking to understand if value and commitment are building over time and measure the extent of the reward from continued investment we are social
  • 8. A few considerations We recruited Bulmers fans through the Bulmers fan page, therefore: • Fans recruited in this manner may be biased towards the Bulmers brand, as they are conscious of taking part in a survey for the brand • Fans that respond are more likely to be active fans, and may result in a sample of more brand/page loyalists than the average Facebook fan • Almost all fans were interviewed on a single day, and the promptness of response from the fans may have resulted in a sample overrepresented with heavy Facebook users we are social
  • 10. Bulmers fans consume significantly more v regular Bulmers drinkers who are not fans • Plus significantly more likely to have consumed Bulmers No. 17; the focus of our 2011 marketing campaign. we are social
  • 11. Overall brand preference is also higher +17% Bulmers fans -8% Control cell +7% -5% we are social
  • 12. 12 They also have a significantly more favourable view of the brand Bulmers amongst fans (P4W Bulmers) Bulmers amongst fans Bulmers amongst control (P4W Bulmers) Bulmers amongst Taste better Would Higher opinion Brands you Spark good Prepared to pay control recommend to would like to be times with more for others seen drinking mates we are social
  • 13. The value of a Bulmers fan we are social
  • 14. Calculating the value of a fan Look at fans and non-fans separately, identifying the regular Bulmers drinkers in each group vs. How many serving of each Bulmers flavour do they claim to have drunk over the past week (both on- and off-trade)? Use the average retail value of each serving to identify the spend for each group = £ Take the difference between the two values to work out the incremental value of a Bulmers fan = £ Weekly Annual incremental value incremental value 80 Bottles of a Bulmers fan of a Bulmers fan extra a year £3.82 £198.64 we are social
  • 16. More people are talking about us +66.9% Average daily ‘People Talking About This’ score on Facebook we are social
  • 17. And reach more than doubled +128.8% Average daily organic reach on Facebook we are social
  • 18. So will this number move up with it? £3.82 ? we are social

Editor's Notes

  1. This is about turning a simple fan into one that is more engaged with the page (i.e. – an advocate) We need supporting data on how that ’s done, and how people identify with brand pages [diagram on cycle of engagement maybe?]