What’s A Facebook Fan Worth? Definitely Not $3.60!

Last week, Mashable published an article about the value of a Facebook fan.  This article has been shared thousands of times and reposted all over the marketingverse, and I’m terrified by the implications of how may people have read it (more on that later). Using a CPM model, Vitrue calculated that a Facebook fan is worth $3.60.  Here’s the math: from: Mashable There’s one problem: This is NOT how Facebook works. This statistic reinforces one of the most common misconceptions about social media.  A misconception near-and-dear to people who think in TRPs and GRPs that is so flawed that it threatens to destabilize your efforts on Facebook and potentially reward bad behavior by community managers. This statistic puts a value on 1-way communication and totally overlooks the core of a good Facebook campaign. Engagement When working in social spaces, engagement is key.  Lets say you have a million fans and you post daily.  By some miracle you get a 100% impression rate, but only 5 likes and 5 comments.  The bulk of those million impressions came from people scrolling through their newsfeed where your post is likely sandwiched between posts by friends, other brands and in the worst case scenario a note that a friend has engaged with your competitor.  Few intelligent media buyers would pay $5 CPM for this kind of cluttered and shared text-only inventory. In this case, you had 10 meaningful engagements and a boatload of mediocre impressions, especially since you probably got most of your fans through an engagement block that allowed people to become fans without ever visiting your page.  Your 1MM fans are hardly worth $3.60 a piece at a 0.001% engagement rate.  If you were buying banner inventory and had a 0.001% engagement or click-thru rate, you’d move your money elsewhere, but by Vitrue’s logic each of these fans is still worth $3.60 However, when someone comments on your wall or likes a post or uses an app, their activity is shared on their newsfeed.  All of their friends see someone they know, and hopefully trust, engaging with your brand, which is effectively an endorsement.  Most brand activity in social spaces is not instigated by brands.  It’s people asking their peers for advice, and a personal endorsement is the best you can hope for. So how do you measure

How to Promote and Manage LinkedIn Group

A couple of weeks ago I had the deal with Mike Clough , who manages The Blog Zone group at LinkedIn. As the result of the deal, I became manager of his subgroup Guest Blogger and announced this subgroup as MyBlogGuest official home at LinkedIn. I am pretty much new to managing an active LinkedIn group like this, so I decided to do some research. In this post I am sharing my findings (that seem to be working for me!): 1. Start a

Blogging for Bucks: 8 Tips to Earn Pay for Your Say

Unless you’ve been living up under a rock lately, you’ve heard of the Internet phenomenon known as blogging. What many people don’t know is that blogging is no longer just a recreational pursuit for folks to vent their repressed feelings, showcase their creative work, or promote a personal agenda. It’s been elevated to an art form and an avenue where authors establish their expertise, expand their platforms, and savvy writers get pay for their say. Since I started, I’ve had the pleasure of being paid to produce blog posts on everything from jazz reviews, to personal opinions, to how-tos. And you can too. But there’s a method to it. Even though it’s not a “perfect science” it does require a systematic approach. Here’s how to work it: Do your homework. Study other blogs—the popular ones and the new kids on the block. What makes them successful? Where do they miss the mark? What’s the tone? The word count? The take-away value? Write right and write tight. Blogs categorically require a different type of writing than other genres of writing. Most are more informal and conversational in tone. Very few call for word counts of over 700 words per post. To hone your skills and establish your expertise, do a few guest posts on other blogs. Ideally the ones that boast a high fan base and are considered leaders in the blog field. Doing so gives you credibility, visibility, and success by association. Network- –Just like in the corporate arena, sometimes it’s not what you know but who you know that can make the difference. Tap into your available resources and folks who are in-the-know through Facebook, Twitter, and online communities in which you interact. Follow directions to find the road to success. For example, if a blog ad for a paying gig calls for 2 samples of 500 words and a resume, don’t send one sample of 1000 words and links to work you’ve created on line. It’s the easiest way to get fired before you’re hired! Make it brief- –When applying for work, or presenting your work for consideration, be brief but substantive. Recognize that less is sometimes more. Have goals and a game plan. How much would you like to earn monthly? Yearly? Which blogs are the ones you aspire to write for and how often? What will your niche be? Is there anyone who can serve as a mentor to advise and guide you? These are a few key questions to consider. Write what you know- –The traditional philosophy of writing also applies with blogging. Pen posts on topics with which you have experience and familiarity. Of course, this doesn’t mean you should never venture into new territories or attempt to expand your knowledge base. You should. But make that one of your future goals once you establish some footing and a fan base. Here are a few places that you can find work in the blogging field: www.Bloggingpro.com – One of the industry leaders, Bloggingpro has recently introduced a blogging job board to its many services and features offered to its readers. www.craigslist.org – usually found mixed in with regular writing gigs. www.bloggerjobs.biz Offers part-time and full time work at various rates. www.freelancewritinggigs.com A reputable source with an array of offerings from different industries. Check out the SEO Tools guide at Search Engine Journal . Blogging for Bucks: 8 Tips to Earn Pay for Your

AOL to Sell or Shut Down Bebo Social Network

AOL’s social networking site Bebo may soon be  joining the dead pool or if AOL is lucky enough it may be joining another company. According to a memo by AOL Ventures EVP Jon Brod, AOL admits that social networking is a very competitive space on the web which AOL found difficult to compete with its own social networking site – Bebo. The memo also stated that AOL is currently not in the position to continue funding and supporting Bebo as it requires significant investment to compete with social networking giants. “AOL is committed to working quickly to determine if there are any interested parties for Bebo and the company’s current expectation is to complete our strategic evaluation by the end of May 2010.” Bebo was acquired by AOL sometime in 2008 for $850 million. Back then AOL was still with Time Warner which later on part ways with AOL, leaving the company all alone in financing Bebo’s operations. Since then Bebo’s site visits continue to slide down, thanks to the popularity of Facebook and Twitter. The question now is, would there still be an interested buyer and if yes, can AOL sell Bebo at a price that it paid for the site in 2008? Check out the SEO Tools guide at Search Engine Journal . AOL to Sell or Shut Down Bebo Social

Yahoo Wants to Buy Foursquare for $100 Million

Among the location-based social networking startups that are making waves right now, I’ve always believed that Foursquare has the biggest potential to make it big, if it is not that big right now. Foursquare has every good things going for them – increasing usage, new mobile features here and there, and of course prospective buyers including Yahoo. In fact, Yahoo may seem to be the most serious among  the Internet players who wants to snag the hot social mobile platform. According to Business Insider Yahoo’s M&A folks are currently deciding whether to buy Foursquare at $100 million or not. While Yahoo has been seriously contemplating on a possible acquisition of Foursquare, the folks at Foursquare on the other hand are also busy talking with other interested buyers such as Apple, Facebook and Twitter. Don’t expect Google to join the fray since Google already has Google Buzz and Google Maps which offer the same service as Foursquare. What’s interesting though if indeed Foursquare wants to sell out is that it may be too early in the game. And besides, some VCs are currently competing on the right to fund Foursquare, at a high valuation of around $80 million. What do you think? Is this just another case of start up creating some noise to up the company’s valuation? Or is it really time for Foursquare to sell out? Check out the SEO Tools guide at Search Engine Journal . Yahoo Wants to Buy Foursquare for $100