Study Reveals Facebook Ads Increase Consumer Spending
According to comScore, fans of specific brands on Facebook, as well as the friends of those fans, are more likely to purchase items than those who are not.
The company studied the online behavior of opt-in panelists, including site visitation, search activity, advertising exposure, and online purchases.
comScore found that fans of Target, for example, were 19 percent more likely to complete an in-store purchase after being exposed to a Facebook ad. Meanwhile, friends of those fans were 27 percent more likely to make a purchase at Target.
Starbucks saw similar results with 38 percent of fans and friends willing to make an in-store purchase after seeing a Facebook ad. Amazon Facebook fans spent twice as much money during the holiday season compared to the average consumer.
The report also studied the effect of paid advertising through the social network. comScore found that there was a 56 percent increase in online purchases for an anonymous Facebook advertiser, including a 16 percent jump in in-store purchases.
Despite the positive results, it’s possible that they could be skewed. As The Verge pointed out, part of this study was commissioned by Facebook. Additionally, the study only included companies that agreed to participate.
Facebook has really beefed up its advertising offerings over the last few months, but only time will tell what kind of impact it will have on brands’ revenue. If you’re still on the fence whether or not you should take advantage of Facebook ads, the report is available for download.