Wednesday, July 06, 2011

Facebook: Comparing Different Marketing Strategies

Gregory Ferenstein has written a new column over at Fast Company about an interesting new study regarding Facebook marketing strategies.   NYU Professor Sinan Aral and Research Associate Dylan Walker examined two versions of a Facebook app used by a company (whose name was withheld).  The passive version posted automatically to an individual's newsfeed if they engaged with the brand in any way.   The active ersion also enabled consumers to send personalized messages to their friends about the brand.  Professor Aral summarizes the key finding: "Passive features are better for spreading a product widely and for quick adoption. Active features, on the other hand, are better for building a loyal customer base and make a product stickier."  Moreover, the scholars found that viral strategies, whether active or passive, proved much more effective than traditional banner ads and email advertising.  

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