WHY RETAIL LOVES FACEBOOK

This is great research from ExactTarget and CoTweet. It supports how digital discounts are leading to brand trial and ongoing conversations between companies and their customers.  Bruce summarized it as part of a recommendation for a Retail prospect and it is well worth sharing. 

The research finds that while consumers primarily turn to Facebook to connect with friends and for entertainment, discounts and ‘social badging’ are the primary reasons consumers ‘like’ brands on Facebook.

However, the prospect of receiving discounts is the number one driver for consumers to “like” a brand on Facebook, according to a new study from ExactTarget and CoTweet. 40% are motivated to like a brand on Facebook by discounts and promotions. 39% are motivated by showing support for the brand.

In addition, getting free samples or coupons, and updates on upcoming sales, tie into the discount/promotion motivation. Other popular drivers include staying informed about the activities of a company, getting updates on future products, and fun or entertainment.
Exhibit One- Motivation to Like Brands on FB

The survey of more than 1,500 consumers finds that 39% of Facebook users who become fans do so to publicly display their brand affiliation to friends, nearly twice as often as consumers follow brands on Twitter and nearly four times more often than consumers subscribe to email communications for the same reason.

Results from the study demonstrate that for most consumers, Facebook is far more about personal, rather than professional, interaction. 63% of Facebook users are there to reconnect with old friends and friends who live far away, and 59% use Facebook to maintain personal contacts.
Exhibit Two- Reasons for Consumer Use of FBJeff Rohrs, principal, ExactTarget’s research and education group, said “Consumers use Facebook to interact with friends, be entertained, and express themselves through their public affiliation with brands… “

Posted in Insights