How much is a facebook fan worth? 30 cents!

facebookandmoney

Social media marketing platform company Vitrue has determined that the average value of a Facebook ?fan? is about $3.60 in equivalent media each year. This calculation is based on having one million Fan Page fans, and is not weighted for brand recognition.

Ok but what does that actually mean? First let’s try and see how did they get that number.

Let’s add it up

A company posting twice a day and having a million fans will get 60 million impressions every month. Vitrue used $5 CPM (which is a cost for a thousand impressions) and 60M impressions ended up being $300,000 per month of media value. That means that for the same amount of views the company would’ve paid that much in other media. That 300,000 is a monthly value, so per year it’d be somewhere close to 3,6 Million dollars. Dividing that by a million “Fans” we get $3,6. Is that right? Does it really work that way?

Let’s break it down

Posting twice a day for a month? 60 posts in a month? Can you imagine still being a fan of a company after you’ve been bombarded by information about them twice a day for a month? A year? Would anyone “stay as a fan” in that case? And what would they inform us about? In most cases we’d be done with all of the company’s products in a few days or weeks. So what’s next? “Buy buy buy” statuses? Sure we can say that if you put all of the oceans water in a small tube, the length of the tube would be REALLY F***ING BIG. Right?

The real number anyone?

So how many posts a month are we talking about to maintain a brand awareness and not loose the fans? I’m thinking 5 posts per month would be the right number. That would be almost 1 post per week so our “fans” won’t have their status feeds flooded, and yet they will notice us. So what do the numbers tell us in such a case? Let’s assume that we do have a million fans. So we get 5 million impressions. That is $25,000 per month. So in a year it’ll be $300,000 and thus the value of one facebook fan per year is $0,3. Which is 30 cents. And that seems a lot more natural than $3,6. Right?

The end of paper?

Ok, so the iPad is here. It might not be the most amazing tablet device feature wise, but it will clear the path for both itself and other companies. Just like people buying ipod clones, and iPhone wannabes with better cameras and usb slots ;) The point is we’re seeing a media revolution starting right now. And the behemoths of press are of course jumping right in.

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