How Much Is a Facebook Fan Worth?
By Anna Johnson on June 14th, 2010Syncapse has released a report indicating that a Facebook fan is not only more loyal and more likely to recommend a brand to their friends than non-fans, but is also worth more in terms of sales.
Syncapse and Hotspex Market Research surveyed 4,000 panelists across North America in June 2010 in order to compare Facebook fans and non-fans for a number of well-known brands: Nokia, BlackBerry, Motorola, Secret, Gillette, Axe, Dove, Victoria’s Secret, Adidas, Nike, Coca-Cola, Oreo, Skittles, Nutella, Red Bull, Pringles, Playstation, Xbox, Starbucks, and McDonald’s.
The researchers confirmed what you might intuitively expect: compared with a non-fan someone who becomes a fan of a brand on Facebook is more likely to buy more, be more loyal, and recommend that brand to their friends.
Syncapse’s key findings were that:
- On average, Facebook fans spend an extra $71.84 on products for which they are fans compared to those who are not fans;
- The average annualized value of an individual Facebook fan is $136.38;
- Facebook fans are 28 percent more likely than non-fans to continue using a brand of which they are fans; and
- Facebook fans are 41 percent more likely than non-fans to recommend a product of which they are fans to their friends.
The real worth of a fan varies from brand to brand, due to such factors as product purchase price, purchase frequency, product purchase cycle, product category and brand equity. What’s more, different fans will be worth more or less to a brand.
The research does, however, go some way to providing real data to support the idea that creating a Facebook fan page and enlisting fans is beneficial to Internet marketers.
Source: Syncapse, “The Value Of a Facebook Fan: An Empirical Review,” June 2010
