Does Facebook Like Button Lead to More Sales?
Facebook Like button celebrated its first birthdayon April 21, and given its popularity, it should be able to celebrate many more. At last count, there were about 2.5 million websites using the Facebook Like button and other social applications, such as the ability to login to a website using Facebook credentials. But an average of 10,000 websites a day in the past year connecting to Facebook would mean the Like button and other Facebook tools are now on more than 3.5 million websites.
Facebook Like Button Statistics
Why is the Facebook Like button becoming such a factor in business? Here’s a few statistics that detail it’s affect on business:
- About 10,000 websites connect with Facebook each day, through “social plug-ins” such as the Like button, commenting or the ability to login to a website with Facebook credentials.
- “Likers” are more active, clicking on 5.3 times more links to external sites than the typical Facebook user.
- More than 250 million people engage with Facebook on external websites through the Like button or other social tools.
- 18 of the top 25 U.S. retail sites, as ranked by comScore, use Facebook. Source: Facebook
Why is the Facebook Like Button So Popular?
Black Box Social Media reported earlier in the week, the Like button has become used more than reviews on websites such as Yelp as the primary way that people show support for businesses online. The reason is that many people like to seek the opinion of their friends and family prior to making a purchasing decision or seeing a movie or trying a new restaurant. The Facebook Like button has become this online required social proof for many people.
Facebook took another major e-commerce step last week when it rolled out a trial “Deals” service in the San Francisco Bay Area and four other U.S. cities to compete with Groupon and other online discount deal websites. The Like button is a prominent feature.
Doe the Facebook Like Button really work?
There is no denying the popularity of the Facebook Like button. Every blog, news article, or review seemingly has the ability to ‘Like’, and as such, has the ability to be shared with and viewed by thousands of people. But does this increased visibility really translate into extra revenue for businesses?
Just because the Facebook Like button is everywhere doesn’t mean it actually leads to more sales transactions or brings in more revenue, does it? The argument that it doesn’t work stems from the misconception that just because Facebook is on ‘social media’ doesn’t mean it’s actually social. Also, if the Facebook Like button is everywhere, then a Like may actually yield very little impact on a buying decision. Therefore, people aren’t really influenced by someone else clicking the Facebook Like button.
Facebook disputes this argument stating that folks who arrive on the websites of retailers and media sites from Facebook are more deeply engaged than those who arrive to the website through other sources. The SunNews.com cites the following: For example, people clicking on clothing retailer American Eagle from Facebook spent an average 57 percent more money than people who arrived on the website through other means, such as a Google search, while (Former Amazon.com Executive Dan) Rose said people who arrive on newspaper and other media websites via a link shared on Facebook are more likely to read to the end of an article.
What do you think? Are you more influenced to make a purchase of a product based on your friends clicking of the Facebook Like button?