Walmart accounts for 1 in every 5 consumer packaged goods products sold in America. For a brand with this much retail clout, what sort of ROI do you think they get from their Facebook page? A lot by many measures. Consider this.
1. BY ONE ESTIMATE, WALMART’S FACEBOOK PAGE IS WORTH $586,787,180. According to WOMMA, the average value of a Facebook fan is $71.84 and Walmart has 8,167,973 fans. Facebook fans of a brand are 28% more likely to continue using the brand and 41% more likely to recommend it to a friend. $71.84 is an average. It’s generally higher for well known brands.
2. WALMART HAS 11,366 “CHECK INS;” THAT’S A GROUP OF LOYAL CUSTOMERS WAITING TO HEAR ABOUT SPECIALS. Facebook “Check-Ins” let retailers offer deals based on people’s Facebook Check-Ins when they visit. You can run Check-In deals across multiple store locations, and create different types of deals to achieve different business objectives. Imagine how this can boost business.
3. 40% OF CONSUMERS VISIT A RETAILER’S FACEBOOK PAGE BEFORE THEIR WEBSITE AND THE AVERAGE NUMBER OF RETAILERS THEY FOLLOW IS 6. These statistics come from Shop.org. Are consumers buying from social networks after they visit? See for yourself.
4. THERE ARE HIGH LEVELS OF CONSUMER ENGAGEMENT RELATED TO SALES. Walmart posts roughly 2X/day. Most of their posts are product related and conservatively get over 1000+ Likes and Comments each. Here is a post about a special deal on an iPad. Since 80% of people who are shopping on the internet right now are looking for reviews and recommendations, do you think this post generated sales?
5. WALMART IS SAVINGS ON MARKET RESEARCH AND TRACKING OUT-OF-STOCKS. What do consumers think of Klondike Bars and can they find them in their local Walmart. You could spend a lot of money on market research and product tracking software or you could ask them on Facebook for free. Plus, you’d see results a lot faster.
If you spend time on Walmart’s Facebook page, you’ll notice that not everyone is a fan of Walmart which I credit Walmart for publishing. There are also a good number of more targeted Walmart retail Facebook site that serve as further testimony of Facebook’s sales value.
There are manpower costs for Walmart to maintain, track and measure results. Based on the numbers, my guess is the people at Walmart believe the ROI is worth it.
If you manufacture a product with retail distribution, have you considered the value of a relationship with your retailers on their Facebook pages?
I love how you uncover great data.
The interesting thing to see is how will other businesses choose to work with their fan page that increases their business in ways that matter.
Ever notice when you give a ready example ( like a big brand) that the smaller businesses cannot always see how it applies to their products or services until you lay it out for them?
Guess that is why it is important to have someone who understands marketing and social media be a part of your team, even if it is on a consulting basis.
Hint hint , some of your local businesses should hire you.
Thanks Michele. I think it just goes to show if there is an example from a big brand that could also works for a local business that means there are principles at work that work for any business. Appreciate your input.
Hi Rob,
Nice analysis! I just wanted to point out that the first image comes from an infographic that WOMMA did not produce, Focus.com did. We used it in one of our blog posts though. I did check the post and found that the link I used then now leads to a 404 page.
Here’s a working link to the full infographic: http://www.digitalbuzzblog.com/infographic-cost-of-social-media/
Thanks for citing us though and I’m happy you’re reading the WOMMA Word.
Cheers!
Pat McCarthy
Social Media Coordinator & Blog Editor
WOMMA
Hi Pat,
Thanks so much for response and the infographic. I’m a huge fan of the work WOMMA does and when the infographic fist came out I blogged about it then. Here is link: http://bit.ly/p8LT49. I reprieved a portion of it for this blog because I thought the findings had such high value. Please keep me informed with work you are doing. I think it is important and am glad to help spread the word.
Rob