Case: Facebook Marketing Management Essay

Custom Student Mr. Teacher ENG 1001-04 20 December 2016

Case: Facebook Marketing Management

1.Why do people use Facebook and what do they do when they are there ? Since the launch of Facebook , constant updates and needs or wants, triggered this social network, broadening its scope permanentely. To answer the question why people use facebook, I believe the question what is the profile of the users is also necessary to understand. According to a paper published in 2012 (Evans et al., “Facebook Segmentation,” 38), a Facebook´s pipsycograhic segmentation was performed through a partnership between a consultancy company (Psychster Inc) and students in the University of Washington Master of Communication program in Digital Media (MCDM), six types of facebook´s users were identified and distrbuted accordingly to the pie below.

Fans join interest groups based on politics, art, and music, and they often link their Facebook account to other websites. Branders prefer public to private networking, and they often use Facebook as a tool for business, building a personal brand, or accumulating social capital. Social-Searchers employ Facebook to learn about news, media, and entertainment, but they show little interest in apps and games. Influencers share videos, links, and good deals with others, and they rarely use the private forms of messaging or sharing available on Facebook. Gamers are motivated by games, apps, and coupons; they interact with strangers as often as acquaintances, and though fewer in number they log the most time on Facebook. Neutrals are unmotivated by most of Facebook’s features including status updates, and they report being members only to keep connected to the events of family and friends. (Evans et al., “Facebook Segmentation,” 37)

Although I believe this is generally a good segmentation, since it links both the reasons why people use facebook and what they do the question is more complex and deep. Facebook which initially started as na alternative to Harvard´s printed student directory, stated several diferences to other existing social networks sites, like the acess restriction to users with na “.edu” e-mail adress, thereby focusing on real-world relationships, with reasonable levels of privacy and creating points of difference to its competitors. In the facebook earlies, Mark Zuckerberg, about this said”… people have information they don´t wnat to share with everyone. If you give people very tight control ver that information they are sharing or who are they sharing with, they will actually share more.” In addition he gave the reason to believe: “One example[of this] is that one-third of our users share thetir cell phone numbers” In my opinion of view this is definitely, the trigger of Facebook´s use .

We can name sereval reasons why people use facebook, but ultimately users, regardless their profile want Visibility, “Brand yourself” as a resource, Create and Strengthen bonds and feel part a comunity, without disregarding a certain privacy level. Depending on the users profile , many this can be done while on the facebook Highlight a product, Find new projects and clientes, Hang with other influencers, Tell your company’s story, Find partners, Get answers faster, Create a resource depositary, Develop your company culture, Better hires, Marketing research, Play games, Post photograhps, Chat with friends, set up meetings for all friends with details attached in a a few second and so forth.

The fact that nowadays companies can actually pull information from current and possible customers is a powerful and nwe tool.Without the emotional detached its success wouldn´t be the same. My Space is na example of this phenomenon. Myspace has been formed with entertainment and music in mind and set in more for professiona uses. Facebook, on the other hand, With Facebook, the interface is based around information. The pages are clean and clear with information and technology.

2.Evaluate the success of advertising on facebook

To evaluate the sucess of advertising on faceebook, I would like put into perspective the three elements that I consider that deliver value to the major stackholders involved, and ultimately profit, either financial or value perceived, depending on the side.

To measure success on adverstising on facebook one of the measures is Reach, that measures the percentage of the target audience ( those to whom a particular canmpaign is directed). According to the Facebook page analytics provider EdgeRank Checker, the head of social measurement at WPP’s Team Detroit and a study conducted by us here at We Are Social in conjunction with Socialbakers.


Average post organic reach 10th Aug – 2nd Nov, based on 41,051 posts made by 274 sample pages in the period. In line with the study, “ the average post’s organic reach has clearly dropped by over 40% since the end of August, and is showing no signs of levelling off. Of course, how any one individual page has been affected will vary, and it’s long been known that the more fans a page has, the less reach and engagement it will get as a proportion of its audience, but the drop in reach seems to have affected pages of all sizes fairly equally”


Average post engagement rate 10th Aug – 2nd Nov, based on 41,051 posts made by 274 sample pages in the period. For the average post reach to drop while the average engagement rate stays steady, this must mean that the posts that are getting seen by fans are now getting more engagement. The same study concludes It’s clear that “ Facebook have changed their EdgeRank algorithm to reduce the amount of brands’ Facebook page posts seen in fans’ newsfeeds, but what does this mean? Well, while some may say this is a deliberate move by Facebook to force page owners to pay for reach using promoted posts, others could reasonably say this is a sensible adjustment to compensate for the growing number of pages that its users are fans of, and the increased number of posts coming from those pages.” Facebook´s position to this question is :

“We’re constantly improving the way stories are shown in newsfeed. With the growing number of pages on Facebook it is important that people see content that is most relevant to them. These findings show that engagement with newsfeed posts has actually increased. At the same time, the number of posts being dismissed as uninteresting or spam has fallen. That’s a great result for page owners and an improved experience for all of us who use Facebook” According to the case study that is the base of this analyis, all the innvovations done in facebook in the last years, provided by Faceebook Ads ( e.g promoted posts in which brand page owners could push their contente to a broader audience), targent audience of the companies adverstising was broader. After, log out screen banner´s available, mobile adverstising with sponsored stories ( taking advantage of the fact that half of the users access facebook by mobile).

In 2007 the facebook platform was launched and since then thousands of apps were released. On of the most famous is farrmville ( Zynga Company), a gama involving farm management such as plowing land, planting, growing and harvesting crops, harvesting trees and bushes, and raising livestock, that enables people to play na online game with other facebook friends. The value is well reflected by one testemony of oneof its users: “ Those five minutes that I used to spend on something of little value, I´m now spending interacting with friends, which has real value to me”. There are more examples than can illustrate de power of this tool. One that was clearly seen, was the huge increase user´s engagement in 2008, when companies started integrating websites funcionalities.

These companies, a 30%- 200% increase in registration on their sites and 15%-100% increase in user engagement. To Facebook corporation, profits have been remarkable and after they introduce the cost per click metric for instance, the profits even increase more. In conclusion, the success of advertising on facebook is outstanding. From the consumers point of view, nowadays they trust their peers more than marketeers. Companies, used to spend lost of Money on traditional media, and now may have a large scale effect , refelcted on sales, brand awareness and profits. With this scenario, Facebook in prone to continue its path. It´s also true that the huge impact that it enables, can play for or against the company/brand, but this volatility worths the effort as long as companies can balance and manage this process propperly.

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