The potential problem with ads for ‘likes’ on Facebook
One of the newest trends online is for big brand companies to advertise on Facebook with giveaways where if someone simply likes’ their company, they’ll be entered to win. For example, Expedia is doing a giveaway promotion where 5 prize winners get a paid trip to South America. To enter to win, all you have to do is ‘like’ Expedia on your Facebook page.
Giveaways and promotions are nothing new. But the avenue for attracting new customers does seem like a new trend. The big name companies recognize that to go where the people are, then social media outlets like Facebook are an important marketing channel.
It also points out what I’ve tested with my own sites, albeit on a much smaller scale than a JCPenny. And that is that social media, like Facebook, doesn’t seem to convert as well into sales directly from Facebook. That means that advertising on Facebook requires a different approach than ‘here’s my product, buy it’. These larger companies are using it to build brand. And to setup a marketing channel for further contact essentially for free anytime they want to.
How so? Because once a person ‘likes’ your company on Facebook, that does a couple of things. It creates a minor viral wave in that friends community in which that company will get some more people ‘liking’ their company, just by association or word of mouth. For example, one friend tells another friend they just have to ‘like’ Expedia to get a chance to win a trip to South America. But secondly, it also allows the company, like Expedia, to send out ads anytime they want to by simply posting an article, an update, a video, a discussion group to their Expedia Facebook page. And anyone who has ‘liked’ that company would get their ‘update’.
The potential problem I see with this approach is saturation. I don’t know about you, but I’ve already turned off friends who post too much. And people could simply turn off these businesses once the contest is over or if they get too many businesses thet they’ve liked.
I would suspect that at some point, people will become saturated on Facebook with companies and ads and friends who just post like crazy. And that point, with a bunch of companies all competing for consumer’s attention through updates and ads, that will dramatically change the landscape of Facebook.
I think one way to prevent this overwhelm or overload would be for companies to post updates at entirely random and not too frequent intervals that offer something tangible for the Facebook user. And to scale that so the average Facebook user could actually benefit from an update from a company. For example, posting a status update that says “Free donuts for the next hour at our coffee shop with the purchase of a coffee or tea”. Or “Get 2 extra toppings for free when you buy a medium or large Pizza by 2 PM” or perhaps “The Travel Company FB Lotto” where weekly or monthly we give away a free weekend getaway to a random location in the US”. Or something along those lines.
Social media marketing is different than search engine marketing. The customers are in an entirely different mindset. That’s why these big companies are spending their money in ads building brand and not direct selling their products for the time being.
It does make me wonder what the next big thing will be? Just a few years we hadn’t heard of Google, then we hadn’t even heard of Facebook, or Twitter, it does make one wonder where the next goldmine will pop up.
By the way over 330,000 people ‘like’ Expedia on Facebook. And you better believe those ads Expedia is running are highly targeted.
