Likeonomics: How Facebook Is Changing Online Business

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Likeonomics (n.): The study of how affinities and passions affect the production, distribution, and consumption of goods and services.

The Keyword Made The Web What it Is

You might not realize it, but the way Google works has shaped the web for the last 10 years. Think about it for a second…

How many new websites were created because of popular keywords? Search demand drove new businesses.

How many landing pages were created for AdWords keywords and ads? Keywords shaped website content and architecture.

How many websites cashed in on traffic brought in by keywords with buying intent?

The keyword has made much of the web what it is.

In fact, you might be so stuck in that mindset that you don’t realize how different Facebook marketing is, and how it might begin to change the web’s shape, now that it’s bigger than Google.

How is Facebook Marketing Different From Search Marketing?

Facebook is not about the keyword like Google is; it’s about interests (and demographics).

Facebook isn’t about finding and capitalizing on buying intent like Google is; it’s about capturing qualified prospects and influencing them to buy from you and to buy sooner than they would have.

One of the dirty little secrets of AdWords is that very few keywords drive profitable sales for most businesses. That severely limits the amount of business you can do profitably. Is there a way to expand the conversion funnel and make profits off prospects from higher up the funnel? Yes – Facebook.

Likes Will Reshape Online Business

Facebook is about likes. It’s overwhelmingly positive. There is no DISLIKE button. So how do likes affect the economy through Facebook?

Likes qualify prospects, decreasing your cost per sale and increasing ROI

Likes decrease costs because high CTR on ads lowers cost per fan and high feedback rate on posts lowers cost per (post) impression

Likes increase sales by arousing desire in the AIDA process

Likes prove your prospects are paying attention

Likes create loyalty that leads to testimonials and brand defenders

Likes affirm prospects’ desire for your offerings

Likes drive people toward their next purchase

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Brian Carter
Brian is author of The Like Economy: How Businesses Make Money With Facebook and Facebook Marketing: Leveraging Facebook's Features For Your Marketing Campaigns, How to... Read Full Bio
Brian Carter
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