Social commerce spotlight: comScore’s new research proves of the power of ‘like’
Brands are frequently condemned for harvesting Facebook likes. “Like us if…”, “like us for…” and “like us to win…” are sentences constantly thrown into the social media sphere, and indeed, often by brands that have little understanding of their relationship with fans, or the true importance of the much sought-after click on the thumbs-up icon.
However, ground-breaking new research from digital analytics wizards comScore, in collaboration with Facebook, now actually proves that more fans mean more money for companies and organisations. The report, ‘The Power of Like 2’ (the follow-up to last year’s ‘The Power of Like’) shows that being a fan of a brand will cause users to purchase more from that store and online. The report cites Target and Starbucks as shining examples: in the four weeks after seeing Target messages on Facebook, Target fans bought 21% more frequently at the store. In the four weeks after seeing Starbucks messages on Facebook, fans bought 38% more frequently. Indeed, being a fan means users are more likely to spend more money with the brand, too: Best Buy fans spend 131% more in store and online than the average internet user.
Furthermore, Facebook ads – reviled as they may be by Facebook users – are shown in the report to prove a genuinely effective marketing tool: in the four weeks after seeing a Facebook ad by a major offline US-based retailer, fans bought 16% more frequently from its stores and 56% more frequently from its online stores.
However, not all brands are enjoying success stories like these. Touching on the idea of the afore-mentioned fan harvesting, comScore’s VP of Industry Analysis Andrew Lipsman notes on the company blog: “For too long, brands’ focus on fan acquisition as a primary indicator of success has ignored the ways in which social marketing actually works to achieve marketing objectives like reach, brand resonance, and ultimately sales.” As such, the report delves deeply into to the core elements of social marketing, providing invaluable guidance as well as impressive case studies.
“While marketers understand the importance of a channel that now accounts for 1 in every 7 minutes spent online, many are challenged to quantify its effectiveness,” says Lipsman. “The Power of Like research sheds new light on how brands are able to deliver earned and paid media at scale, amplify its effects from Fans to Friends of Fans, and understand how exposure to these media can drive the desired consumer behaviors, including online and in-store purchase.”
Download the report here.