The Facebook Factor
Quantifying the impact of a Facebook fan can be difficult and elusive for marketers. Forrester uses statistical modeling to analyze the effect of being a Facebook fan on brands. The model gives insight into how fans are more likely to interact with brands than non-fans and shows how engaging with the brand on Facebook affects the likelihood of three events: purchase, consideration, and recommendation of a brand. We call this the "Facebook factor," and this report describes how our model works and how market insights professionals can use the model to assess the Facebook factor for their company's own brands. To show how the model works, we analyze the Facebook factor for Coca-Cola, Walmart, Best Buy, and BlackBerry (Research In Motion [RIM]).