February 5, 2012

Facebook vs. Twitter For Your Business? Dennis Yu Gives Blunt Advice

facebook_logoEditor’s Note:  I’ve spoken with Dennis on many occasions about his view on using Facebook and Twitter for Business. Following is his very blunt advice. Agree? Disagree? Let me know!
- Leigh

I get this question a lot.  So let me put it bluntly.  If you are not a celebrity or household brand, forget about twitter.  Unless people care about what you just ate or who you were seen in public with, as is done in the tabloids, you’re not going to get enough followers for it to even be worth your time. My twitter account has 3,502 followers, while my Facebook account has only 2,082 fans.  Facebook is the #7 referrer to my blog while Twitter is #20.  So even though I have more followers on twitter, I’m getting 6 times the traffic from Facebook.

And if you consider that the Facebook fan page for Dennis Yu has only 496 fans, the contrast is more stark.  Why?

Twitter is for existing brands and personalities that have massive recognition.  What you can say in 140 characters can’t possibly have much depth, though you can retweet pithy sayings, post interesting articles, or even communicate casually with friends.  But to generate more awareness, traffic, or sales for your business?  Unlikely.  The exception proves the rule– there’s that one donut shop that people cite as the example for small business success on twitter.

Facebook is where you can connect with real friends. You can interact with them and share in deep, meaningful ways (or at least as far as is possible online).  I’d challenge you to tell me what share of twitter users are bots, what percentage of tweets are done by bots, and what percentage of tweets go unread.  I’d wager that the ratio of spam pages on the internet approximates the spam ratio on twitter– although, I’d say that Facebook would be MUCH cleaner because of reinforcing mechanisms of the newsfeed filter and social graph.

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Seven Powerfully Simple Facebook Advertising Tips

facebook_logoIs Facebook advertising not doing much for you? Or are you sitting on the fence, happy with your AdWords campaigns? Let these simple concepts, gathered from our past two years’ experience Facebook advertising for large and small brands, tip you off that fence

  • Separate Ads By Gender: This is a must, because men and women click at markedly different rates and on different copy.
  • Break Down Ages: In most cases separating age groups by 5 years is effective. Obviously do not limit to only testing groups of 5 years apart.
  • Use keyword targeting: Doing only demographic targeting is casting too wide a net, unless you have a product with mass appeal or one that can’t be easily keyword-targeted (weight loss, erectile dysfunction, etc.). Relevancy here gives you a higher click-through rate (CTR) and better conversion. Even though Facebook hasn’t released a Quality Score for advertisers yet, it’s a sound online marketing principle that relevancy leads to better results.
  • Send traffic to your Facebook fan page. Do not send it to your website, as the CTR and conversion rates will be lower. But don’t take my word for it, test to find out that if it’s true (you’ll thank me later). And you don’t have a Facebook Fan Page, you can make one easily.
  • Send traffic to a custom tab on your Facebook page. Don’t send traffic to your Wall, as you have no control over what the last 10 comments might have been and users are unlikely to take a conversion action from your Wall.
  • Try the homepage engagement ads. If you are a large brand, you can afford the $25k or so to test ads on the homepage, which are available only via the sales team. You cannot get this via self-serve. Though the cost per thousand impressions (CPMs) are as high as $10, you may get a multiple on your CTR. And you can do things like show video, conduct polls, or even have forms pre-filled.
  • Use beautiful or very ugly people in your ads. But whatever you do, make sure the faces are clearly visible. Your goal is to attract attention, and showing faces on Facebook only makes sense.

If you’re not able to achieve success with these tips, either you’re not being creative enough with your ads, your product is so specialized that it can’t be reached on any medium, or your product just stinks. But any of these three is highly unlikely; you’re probably just not testing enough or missing one of these points. Make sure you’re getting at least 200 clicks or 20 conversions (whichever is more) per round of testing before you make any determination.

About the author: Dennis Yu is CEO of BlitzLocal, a firm that specializes in local and Facebook advertising campaigns.