Facebook screws small business for Christmas 2013

Published: 12/07/2013 - 23:01

December 5th, 2013 Facebook announced new changes that screws small businesses for their Christmas 2013 sale period and beyond.

Here is what Facebook had to say
"We expect organic distribution of an individual page's posts to gradually decline over time as we continually work to make sure people have a meaningful experience on the site."

The reason?

Facebook wants businesses to cough up some dough to 'reach' fans they already have.

Before this Facebook algorithm update, the average business page 'status update' or 'post' had a average reach of about 12%-16%.  Meaning if your page had 10,000 fans, between 1200-1600 Fans 'saw' your post.

Now, as a Christmas 2013 offer, Facebook has decreased 'organic' reach to as low as 1% and asking you to 'buy' more post views.

So, businesses that were counting on Facebook for promotions this Christmas are going to have to pay if they want greater than 1-2 percent “seen” rates on their posts.  How is that for timing? This is Facebook's campaign strategy to get more ad revenue for 2013 Christmas Season!

What does this update mean to small businesses that plan to build their brand on Facebook?

This means each Like becomes less and less valuable as the cost of acquiring Likes get higher and higher both in terms of 'time' spent and cost per paid Like.  Those who want to tough it out and 'pay up' should consider this, as more businesses are forced to turn to paid promotion, the cost of promoting posts on Facebook is going to skyrocket.

Does this mean there is NO room for Facebook in your business social media strategy?

No, it just means the cost of advertising and building social proof on Facebook has gone up, and if you are on a limited budget, you should think twice before you invest time and resources building up your Fan base.

Why Google Rules, While Others Drool!

At Jazzy Marketing, we think Google Rules because their business model is opposite of Facebook.  

For example, take YouTube for instance, with the new and improved integration of Google Plus, Google does everything it can to GIVE you traffic as reward for posting good content.

As a bonus you also get great SEO benefit from the Search portal, and if you target the proper keywords you get users that are 'ready' to buy, and the best part is each piece of great content has a much longer shelf life.

Now, compare that with Facebook, here you still have to create good content, but you have to pay to get 'more' Like or visitors, the users are probably not in 'buy' mode, and the shelf life of your great content in general is just a few days if not just a few hours.

No, YouTube, Google Plus is not completely free, since you still have to create content and do Search Engine Optimization and such, but you are not playing a rigged game where the house always wins and proudly boasts 1% payout as "people have(ing) a meaningful experience on the(ir) site."


So, what's our advise on How to market your business online?

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I have a passion for building holistic marketing strategies that focus on leveraging data and analytics to drive engagement and improve ROI and to build better business processes to improve productivity.