Why combine Facebook into your business model?

Posted: January 14, 2011 in business model, Business model combining, Business model combo
Tags: , , , , , , , ,

Presently, almost one out of three Slovenians is a Facebook user; among these, those thirty-four years old and younger represent seventy-five percent of our country’s Facebook users. Such statistics make it very evident that it is especially younger Slovenians who love this social network.

Alexander Osterwalder wrote a great post (SOCIAL MEDIA AND BUSINESS MODELS) about the value of social media for business. He drew a map (called the Business Model Canvas,) dividing social media into three areas on business models: co-creation, marketing as conversations, and open innovation. However, I think that , at present, Facebook would not be the best tool for open innovations.

I discovered that Slovenian companies and organizations which use Facebook, such as Toper (12,850 fans), Mi2 band (14,825 fans), and PerpetuumJazzile (38,346 fans) have used Facebook only as a marketing tool. They haven’t utilizedit for product or service co-creation, or for open innovations.

It is also interesting that a lot of car manufacturing companies worldwide haven’t used Facebook as a serious marketing tool.  BMW and Audi are exceptions; they both have large numbers of fans (BMW: 4.313.395 fans; Audi USA : 2.816.715 fans) currently on Facebook. They have developed strategies to use Facebook as a distribution channel for marketing BMW and Audi product offers. On the other hand, Volkswagen has only 251.552 fans and Renault merely 73.236 fans,) indicating that they have no such effective strategies whatsoever.

My research has also concluded that that biggest car manufacturers don’t use Facebook for co-creation and open innovations. However, I think that, with proper planning and execution, that social media site could also be a great tool for the co-creation of products such as cars and car equipment as well as a crowdsource for open innovations.

Even now, Facebook is a great distribution channel for my business. However, when we compare Facebook users in European countries, it becomes clear that the opportunity for major growth potential lies mainly in the Central European countries, Russia. My prediction is that the trend will go in the direction that we can see in Great Britain and Norway, where currently nearly one of every two citizens uses Facebook.

FPE

Facebook will be the key distribution channel in Slovenia since its ad platform allows advertisers to target users with regard to age and geographical location. Companies can set ads to appeal to users based on specific age ranges, interests and/or connections on that network.
In the coming years, Facebook will surely develop into one of the most effective marketing channels, offering co-creation tools, and a forum for crowdsourcing for companies with the foresight and imagination to take advantage of the many opportunities offered.

Enhanced by Zemanta
Advertisements
Comments
  1. […] This post was mentioned on Twitter by Petra. Petra said: http://tiny.cc/fa4jv Why combine Facebook into your business model? « Business Model Combo: He drew a map (calle… http://bit.ly/ebcR7a […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s