f-commerce statistics roundup: Facebook commerce by the numbers

Categories: F-commerce
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Its a matter of timewithin the next five or so yearsbefore more business will be done on Facebook than Amazon Sumeet Jain, Principal, CMEA Capital In three to five years, 10 percent to 15 percent of total consumer spending in developed countries may go through sites such as Facebook Mike Fauscette, Analyst, IDC Consulting Anyone who still believes in 2010 that Facebook isnt going directly drive a massive commerce opportunity for merchants and retailers alike on that platform will find themselves this time next year in 2011 wishing for their own Christmas miracle Karen Webster, President, pymnts.com. You get the picture; f-commerce Facebook-enhanced retail is the new shiny new object for industry players and investors. (Quick recap there are three basic types of f-commerce; 1) on Facebook (f-stores, Credits), 2) on the Web (using Facebook open-graph/social plugins/FB storefronts with web-stores), and 3) in-store (using Facebook opengraph/social plugins/Deals for bricks and mortar retail)). But beyond the shine, spin and hyperbole is there any early data to back up the excitement? Weve compiled a list of statistics related to f-commerce (this page will be an evolving resource, well add more data as we receive it (theres some interesting new data from Adgregate/WebTrends and Eventbrite were digesting and will add please send any facts, figures findings for inclusion). Of course, the lies, damn lies and statistics caveat applies here data is tentative and premature, and often originating from sources with vested interests. So treat with caution. But heres the case for f-commerce by the numbers 1. First, f-commerce is already a viable retail platform Top 3: The top 3 brands on Facebook (by fans) all sell directly on Facebook - Coca-Cola (24m), Starbucks (20m) andDisney (19m) 2-4%: f-store conversion rates on a par with web-stores (avg. 3.4%, according to Forrester/Shop.org) $650,000,000: The drop in Netflix share value when Warner opened up a Facebook movie rental (streaming) service in 2011 1000: Number of diapers P&G sold on its f-store in under an hour 50,000: Number of retailers who have opened an f-store with Payvment 6 hours: Time it took for the Rachel Roy Facebook jewelry store to sell out 3rd highest: daily sales made by Rachel Roy, the day it opened its pop-up f-store 1m+: Starbucks customers using their e-commerce-enabled Facebook CRM loyalty program 1300: Number of products added every week to the ASOS f-store 20%: Proportion of black Friday sales transactions on Facebook for e-tailer Kembrel 7-10%: Increased Average Order Value for Facebook transactions (vs. web-store) for Kembrel 5000+: customers using Walmarts group-buy Facebook app on the day of its launch $34: Amount paid for the first transaction ever to take place in Facebook at 11.50 am EST on July 8, 2009 for bouquet of flowers A Slice of Life on the f-store of U.S. florist 1-800 flowers 2. Second, Facebook drives E-Commerce traffic 6.5%: click-through rates on Facebook walls are 6.5% 67% of retailers plan to use Facebook to drive traffic to their e-commerce sites 25%; proportion of users who post links to other companies, products or services 20%: proportion of e-commerce sales from Facebook (for Wetseal) 3. Third, Facebook customers are good customers 1.5x: Facebook users spend 1.5x more online that other Internet users 4. Fourth, Facebook is where your customers are 1 in 11: humans that are on Facebook (642 613 700) [Q2 2011]

40%: The drop in Coca-Colas website traffic in the past year, but Cokes Facebook page is up and is now the worlds most popular Facebook brand page (22m) 7.9: In 2010, Facebook grew by 7.9 users/second 1/3: Proportion of time spend online on Facebook by Facebook users 50%: proportion of users who log on to Facebook in any given day 700 billion: Minutes spent on Facebook every month 80: Average community pages, groups and events to which a Facebook user is connected Bigger than Google: In August 2010, U.S. Internet users spent 41.1 billion minutes on Facebook, surpassing Google Inc.s 39.8 billion minutes for the first time Nine in Ten: Proportion of US social network users who use Facebook 57.1%: Proportion of Internet US users using Facebook 5. Fifth, Facebook drives word of mouth sales 75%: Percentage of Facebook users who have liked a brand $2.52: what a Facebook share generates for ticketing site Eventbrite 11: Visits generated by a Facebook share for ticketing site Eventbrite 30bn+: pieces of content shared online every month by Facebook users (web links, news stories, blog posts, notes, photo albums, etc.) 90: Average pieces of content created by a Facebook user each month 130: Average number of Facebook friends of a user (who receive their word of mouth recommendations) $3.60: the media value generated by the average Facebook fan is $3.60/year 6. Sixth, Facebook drives loyalty sales 117%: the additional amount a fan will spend on a brand compared to a non fan 17%: proportion of Facebook users who say simply having the ability to Like a brand makes them more likely to buy 51%: the increase in likelihood a customer will purchase, after clicking the like button 41%: the increase in likelihood a customer that a customer will recommend, if they have liked the brand 28%: the increase in likelihood that customers who like a brand will repurchase 40%: Proportion who Like businesses in order to receive special discounts and promotions 30% to 200%: increase in site registrations for sites using Facebook sign on 15% to 100%: Increase in the number of reviews and other user-generated content generated when using Facebook social sign-on 7. Seventh, industry adoption of f-commerce is accelerating 76%: percentage of retailers who plan to use Facebook for social commerce initiatives 50%+: proportion of the global top 100 websites have integrated with Facebook using its social plugins 50,000+: Number of websites that integrated Facebook social plugins (incl. Like) in the week they launched 2.5 million+: websites have now integrated with Facebook 10,000: number of new websites integrate with Facebook every day (with social plugins) (since April 2010) 2m+: Number of sites that have integrated Facebook social plugins 7 out of 10: proportion of digital marketers who have implemented or planning to implement Facebook Like feature 8. Eighth, f-commerce is future-proof retail (mobile and app platform, Facebook as the OS of the future) 200+ million: Facebook users accessing the utility through their mobile devices 2x: People using Facebook on mobile devices are twice as active on Facebook than non-mobile users 94%: Proportion of phone users who will communicate on their handsets via social networks 50%: Proportion of mobile internet traffic accounted for by Facebook and other social networking tools 70%: proportion of Facebook users who engage with Facebook applications 550,000: the number of active applications currently on Facebook Platform 44%: proportion of retailers who plan to use Facebook application in place of microsites for product launches and promotions

Social media statistics are showing that advertising via social media is expanding at an incredible rate. According to eMarketer, by the end of this year 16% of total media spending is expected to be accounted for by internet ad spending. Companies are seeing a solid social media ROI, and allocating marketing dollars accordingly. But how do you hitch your company's wagon to this advertising star? There are a few small, simple steps to start developing your own social media ROI. To begin with, you'll want to sign up for free social media accounts. Social media sites such as Facebook, Foursquare, and Twitter have no cost, even for business accounts. Many companies are creating Facebook accounts to save on the cost of creating a website and purchasing a domain. Facebook accounts allow you to share pictures of products, post feeds regarding sales and promotions, and to notify people online of new products and services. Twitter is a bit more limited, it only allows posts of 140 characters or less, however it will allow you instantly send sale and promotional notifications to your twitter followers. While Twitter may seem slightly less attractive because of this character limit, according to a poll by NYTimes.com on social media statistics, users say they're more likely to buy a product or service if a business answers their questions on Twitter. The advantage of a Foursquare account is that the service is location-based, so people can do a search for services in their area, and based on the keywords you provide, your business will show up in the results. Foursquare also has "tips" wherein users can leave comments and information about your business that will show up with your page.

By simply signing up with these three websites you can start creating a great return on investment for your social media presence. These sites are effectively free advertising, and the advantage is that it is advertising directed specifically at your potential customers. Once you start getting familiar with these networks you can begin to post information about your business and start assigning keywords to your accounts to help drive search engines to your social media sites. Seeing your social media ROI is as simple as signing up for a few free services, and sharing information for potential customers to see online.