
There was much excitement last week over AdAge’s piece on brands that have built bigger Facebook fan bases than monthly visitors to their websites. Most observers applaud the brands who have taken early initiative to follow their customers into Facebook. If your customers spend their digital time reading, commenting and liking stuff that flows through their Facebook newsfeeds, get yourself into the newsfeed, right?
“For many marketers, their Facebook fan bases have become their largest web presence, outstripping brand sites or e-mail programs either because a brand’s traditional web-based ‘owned media’ is atrophying or because more consumers are migrating to social media.”
James Gross (Federated Media) and Scott Rafer (Feedster, MyBlogLog, Lookery), however, both argue that the race to rack up Facebook fans brings with it a new danger for brands: Namely, the race to sign up fans comes at the expense of creating compelling content assets to distribute to and engage with those fans. First Rafer:
“It’s tough to take brands and their agencies seriously when they complain about their dependence on Google SEM. When they have new options, they make the same old mistake: underinvestment in their own Internet assets. It’s easier for marketing managers and agency account messengers to become dependent on dominant third parties than to fix their own accounting practices and IT organizations.”
Here’s the root problem according to Gross:
“Short term marketing goals along with agency and publisher relationships that create a scooby snack world around results like FB [fan counts].”
In other words, because buying ads to drive up fan counts is easier than executing a content strategy, marketers and their agencies are prioritizing the former. Boosting quantity is easier than delivering quality.
There’s also the issue of the black-box logic that Facebook uses to determine how many of your fans will in fact see your updates — your brand’s story packaged up into Facebook-sized nuggets — in their newsfeeds. Facebook, like any rational company, will put growth of its own businesses ahead of the growth of partners’ projects. What happens, for instance, when Facebook needs to promote a major new product initiative like Places? They might just bump your status updates from your followers’ feeds to make room location updates using Places. From Inside Facebook:
“Reports from Page administrators and data from our PageData service indicate that the launch of Places has decreased the prominence of official Page updates in the news feed. Significant decreases in impressions-per-post and new Likes per day for Pages coincide with the introduction of Places stories. This suggest an alteration has been made to Facebookâs algorithm that determines what users users see in their news feed. We suspect that the weight of Page updates has been decreased while Places stories have been temporarily given a relatively high weight.”
Here’s the impact on Nutella’s fan page:

Starbucks may have nearly 13 million fans of its official Page in Facebook, but those 13 million fans are apparently seeing more updates these days from friends checking in on Facebook Places than status updates from Starbucks.