Were the Billions $ Spent on Facebook Marketing worth it?
Most people have this believe that users of Facebook log in to Facebook to learn about various products and companies and different services. Is this right or wrong? This is a question of which there was no proper answer was available earlier, but the common notion was that is true and facebook works as a good platform for marketing and advertisement for free.
But let us look around and ask yourself and your friends. Do they do this? Do you even do this? Normally people don’t log in to facebook to learn about brands and products but they log in to interact with their friends and family and share updates with each other. We share photos, videos, news updates and brag about our accomplishments and life events and some even want to know what their favorite celebrities are doing.
But even with these obvious reason, many companies and brands are very desperate to reach and contact their customers, and with millions of users logging into social networking sites every day, the advertisers feel they are also very much needed on facebook. That is why every company feels necessary to show its presence on social networking sites especially facebook. As we know that a report revealed that only companies of USA spent a lavishing amount of 5 Billion Dollars last year for marketing purpose on social networking sites. The report also claimed that by the year 2018, this figure could easily reach 15 Billion$ mark.
Now the question arises that are they squandering the money or is it worth to spend billions of dollars on advertisement and marketing thorough Facebook? Well the answer might be that they are wasting their precious money. Gallup Organization recently published a new survey in July 2014, with the title of State of the American Consumer, in which they have quantified the effect with evidences. The report mentions that about 62% of the customers told Gallop that facebook and other social networking sites have no influence at all on their purchasing decision. Whereas, only 5% of the respondents stated that there is a great deal of influence on their purchasing decisions that is derived by the advertisements on the facebook by the companies.
This doesn’t completely negates the notion that facebook is a great platform to get advices about different products and services to buy, but it’s just that consumers want to trust the advices that come from their trusted persons not from the brands itself. Like many other studies that keep getting published, the findings of this research are not very shocking and surprising and are pretty obvious. Gallup research has proven that customers buying decisions are derived by emotional connections with a particular brand and Facebook is a great platform to maintain and improve their relation. But this is only possible when the focus of the companies is on conversation rather than communication with their consumers on social networking sites especially Facebook. Only then the money they spent on marketing can give fruitful results.