Back in the old days, a company earned respect by their character and reputation; that was how they earned business and loyal costumers. Today, companies have stooped as low as to buy fans on Facebook, one article reports.Is it really stooping low at all though, or is it simply what is expected from a company in order for them to succeed? And how successful is this method of buying fans anyways? For approximately $1, a fan on Facebook can be bought.
What is the point in buying fans on Facebook? Wouldn’t companies rather have real-life, buying costumers? Now, the advertising ploy here is not even necessarily acquiring fans; the strategy employed is merely to place the company’s ad on the page in the hopes that a Facebook user will “like” the company or their product. When a user “likes” a product or company or becomes a fan, the company further markets to that user through messages in the news feed or through more ads specifically aimed Facebook fans.
But this tactic is arguably decreasing in effectiveness. Why? With over 500 million uses (as of July 2010), you would think that advertising on Facebook is next to ingenious. Well, it’s not that simple. Since ads are confined tot he corner or sides of the Facebook’s site, most users, myself included, thoroughly ignore them. Another reason ads don’t do well on Facebook is because ad space for the social site is auctioned off. This means that the prices are astronomical because so many companies bid on space and time.
From a PR perspective, there is definitely reason in promoting the company’s product. Increasing awareness increases revenue which increases paychecks. Everybody is happy that way. I just wonder if perhaps companies should spend more money on actually making their products better. Better products should generate just as many, if not more, paying costumers. Until a happy median is reached, however, companies can continue paying roughly $1 for a Facebook fan.