facebook rss twitter

Facebook advertising value is thrown into doubt

by Mark Tyson on 13 July 2012, 09:55

Tags: Facebook

Quick Link: HEXUS.net/qabjln

Add to My Vault: x

The BBC has investigated the effectiveness of Facebook advertising by setting up a Facebook advert for a “virtual bagel” company. The service on offer from Virtual Bagel was described as; “We send you bagels via the internet just download and enjoy” The bagels were described as low calorie as they are made up of only 0s and 1s. During the first 24 hours of advertising Virtual Bagel got over 1,600 likes, a figure which had reached 3,000 by the time the video report was filmed. All for an advertising spend of $50 (about £32 of our hard earned licence-payer cash).

Rory Cellan-Jones, Technology Correspondent at the BBC decided to target the ads at countries including the US, UK, India, Egypt, Malaysia and the Philippines. He found that nearly all the likes came from the last four countries in that list. Significantly Egyptian teens aged 13 to 17 made up 75 per cent of the likes Virtual Bagel garnered. The US and UK are among the most valuable markets to advertisers but were represented very thinly in the experiment results. When the advert was adjusted to singly target the UK, click through rate fell to ten per cent of its previous level.

In the advert setup Mr Cellan-Jones had chosen users with interests in cooking, health and well-being and early adopters of technology as his target market. Facebook offered a tempting metric as he clicked through these options; the advert would appeal to 66 million of its users.

The BBC heard from a social media marketing consultant who ran Facebook campaigns for clients. He has received similar results to the BBC Virtual Bagel experiment. Clients were initially pleased with the amount of new likes the adverts he organised for them achieved but later they questioned the value of the likes as most of them were also from 13 to 17 year olds in the Philippines and Egypt. Also one client refused to pay after looking through the likes and seeing a lot of the names/identities were obviously made up.

Facebook’s business is based upon making money from advertising so naturally it claimed the lack of interest by the UK and US audience and the multitude of likes from East Asia teens was due to poor targeting of the adverts. “Facebook offers the most targeted advertising of any medium... The targeting tools are there for a reason, and they work.” said a Facebook spokesman.

Was the BBC investigation biased and bound to show bad results because of the poor targeting? Also who would really be interested in a virtual bagel from a company that doesn’t exist, was the company set up to fail?



HEXUS Forums :: 5 Comments

Login with Forum Account

Don't have an account? Register today!
i think GM had it right when they pulled out of a facebook advertising contract…. it just doesnt work as they hype it to be
I think it shows that any advert will get a load of worthless likes no matter what it is for with a higher percentage from the younger generation of less developed countries (language barrier maybe?).

Take everything on face value, the BBC will spin anything into a story if it suits them. Impartial my a***.
Did anyone ever consider the possibility that American and British teenagers, for whom English is a first language, read these ads and realized that they are bogus, but Egyptian and Philippine teens, for whom English is at best a 2nd language, thought they were real?

This report is so mind-boggingly moronic that I am inclined to believe it is a joke.
There is also the argument that kids in those countries use Facbook differently to those in the UK/US. Are we more likely to Like something we genuinely like? DO they just click every like button they see? Perhaps it's a status thing to get as high a like count as you possibly can.

It could be down to the level of maturity in the use of Facebook in those countries. By maturity, I mean the length of time most users have been exposed to FB, rather than the actual mental age of the users.
With all of these ridiculous “contests” all over the web where you have to “like” a company on facebook in order to be entered to win is just absurd! Generating a bunch of “likes” via bribery is not advertising; and just creates a bunch of phoney “likes”. Furthermore, this type fo “contest” discriminates against non-facebook users if there is not alternative entry method. Companies then “advertise” how many “likes” they have “received”. Yeah, right, they aren't kidding anyone but themselves. They think they have made entering a contest “idiot-proof”. But what have they actually received but a bunch of “sheep” and “me too! idiots” responding that likely have no interest in or use for the prize being offered.

Here's a concept – try making your contest open to EVERYONE (not just the facebook sheep) and you just might be surprised at the level of response from ACTUAL USERS (or potential users) OF YOUR PRODUCT OR SERVICE you receive! Your advertising dollars are being totally wasted otherwise.