According to Alexa, Facebook ranks as the #2 site in terms of traffic, behind Google. Despite its broad reach, which was expanded even further with its purchase of Instagram, many businesses remain skeptical about the value that a Facebook advertising campaign can add to their bottom line.
In our latest installment of 2013 in Review, Dave and I tackle this debate and cite a study from Social Media Examiner that can help you determine if a Facebook ad campaign is right for your business.
Dan: Now, you mentioned Instagram, Dave. What do you think? Is it cost-effective for businesses (and it may depend on the vertical market) to take advantage of the advertising on Facebook and now there's talk about advertising on Instagram and other platforms? What do you think? Does that make business sense?
Dave: You know, I think it's going to really depend on how effective those things really are. Personally, as a user, I'm really sensitive to the advertising on those services. I realize that everybody's got to try and make money, but I just feel like it really comes through as being insincere and disingenuous. I'm oftentimes more uncomfortable by how targeted some of the things seem to be, in that I know that they're getting that information because of how much they know about me. It almost feels invasive, even though they're trying to be helpful and base it around my interests and things like that. But it reminds me of how much they know about me that I'm not really crazy about.
Dan: Matt, as a web marketing guy, you've got to have some strong opinions here.
Matt: Yeah, so in preparation for this shoot here today, I did a little bit more research and digging from sites like Social Media Examiner that reported on surveys that said only 37% of companies that are doing Facebook advertising consider that to be effective. So I would say, going back to my previous statement about Vine, I think for as many companies as are getting involved with Facebook and doing this, that’s a pretty low percentage. I think, really, what the main issue there is, is companies aren't thinking critically about what, ultimately, they're trying to get out of a Facebook advertising campaign.
Again, I think if you take time to sit down and critically think through it before you start spending money on that property, what you'll find is as more companies are doing that, there will be a higher percentage than that 37% who say it is effective. And there have been studies since March, when that initial report came out, that more and more people are finding, or claiming, that Facebook is more effective. I think Facebook's stock price rebounding is another indication that that is, in fact, the case.
Dan: Alright, check out some more of Dave and Matt's opinions on Aztekweb.com. A-Z-T-E-K-W-E-B.com.