American Express Team up with Facebook

Last year American Express teamed up with social network giant Facebook to create a joint venture of ‘Small Business Saturday’ to help promote small businesses.

Yesterday American Express announced they have teamed up again to allow its customers to trade their American Express Membership Rewards points for Facebook ads. Facebook ads allows businesses target the right audience and leverage word-of-mouth advertising via recommendations or ‘like’ from friend. This is a key advertising tool for small businesses as it allows them to compete on the same level as larger organisations. AmEx have helped make it easier again for small businesses to get their business in front of potential customers. However, at the same time this strategic move by AmEx gives people an additional reason to use the brand.

Facebook Brand Tagging and its implications

Last week Facebook released a new feature which allows people to tag Pages or Brands in their photos the same way they tag their friends. The only difference is you do not have to be a fan of the Brand in order to tag it. Once these photos are tagged they will appear on the photos tab on the brands Page.

Facebook says the idea behind this feature is that it “enables people to share richer stories with friends about the things they interact with in the real-world, such as businesses, brands, celebrities, and musicians.”

There was much discussion as to whether this would take off or not as have you ever had the urge to tag the 7up bottle you’re drinking or the King Crisps your eating? Apparently so! Numerous pictures of tagged Coca Cola cans can now be seen on Coca Colas Facebook Page similarly with Starbucks.

Facebook have also suggested that in the near future brands will be able to tag the photos themselves not just people taking the idea of product placement a step further. The marketing implications appear to be beneficial to all companies regardless of size. Large companies such as Coca Cola and Starbucks can sit back and let their loyal customers do the advertising for them on social media sites which will cost the big brands nothing.

For smaller business this could play a role in increasing brand awareness, through networking it will allow the company or product to be seen by a wider audience. This could potentially decrease the need for Facebook Advertising.

Benefits of this new feature for brands include:

• Free publicity largely done by the consumer
• Extended publicity through networking
• Networking your brand name
• The possibility of saving through swapping Facebook Ads for brand tagging

However, a few potential flaws regarding this new feature have already been highlighted, isn’t it only a matter of time before this feature is misused? That Sprite will be tagged as 7up, that Budweiser will be tagged at a Heineken Cup match or even Bulmers being tagged in a photo with minors.

How will this potential misuse be controlled? Let us know your thoughts on this new feature and its implications for brands?!

Facebook Deals Launches Today!

Today Facebook launch Facebook Deals in five cities around the United States. The cities in question are San Francisco, Austin, Dallas, Atlanta and San Diego. Any user (within these test areas) can sign up for these local Deals notifications.

Each Deal will have its own Facebook Landing Page, where users can ‘Like’ a deal, share it, or buy it right away. When purchasing the deal, users can pay with credit card or quite interestingly will be given the option of using Facebook Credits, attempting to bridge the gap between virtual currency and real – world goods and services.

The direct competition would be the likes of GroupOn and City Deals. Should this be successful in these 5 test cities Facebook Deals will more than likely be rolled out nationally and even internationally. So, how could Facebook Deals benefit my business?

1) Acquire New Customers – Offering a deal can generate exposure for your brand / business and help reach new and existing customers. Give people a reason or incentive to stop by your business and make a purchase

2) Spread the Word – If your business or brand are offering a deal, word of mouth marketing online should in. People like to buy and save together so they will be sure to spread the word.

3) Build Loyalty – Focusing on building relationships with your most loyal customers. Loyal customers generate repeat business for you, and will also influence the purchase decision of those around them. Keep people coming back and re-discover what you have to offer.

These are just some of the benefits attributed to Facebook Deals, can you see Facebook Deals working for your business? Do you think they can compete with the likes of Groupon and City Deals? Let us know your thoughts!

Facebook Questions – Benefits to Brand and Business

Last week Facebook announced there new feature ‘Facebook Questions’, taking social media to the next level yet again. Facebook Questions works as a recommendation engine, providing a social tool for feedback, opinions, and insight. The idea is that people/brands/businesses can post questions which can be answered by friends, fans and even friends of friends. This new feature really plays on the fact that recommendations from friends and family are most trusted.

Facebook Questions presents a great opportunity for businesses/brands to conduct their own market research through utilising this feature and getting a direct response from there target market. There are several benefits Facebook Questions presents  for brands and businesses. However,  how reliable do you think this information will be or is it just a new interactive tool?