The following quote found within a Wall Street Journal article on Facebook advertising really jumped out at me:
“I haven’t heard of anyone purchasing something off an ad on Facebook,” says Angie Tulgetske, vice president of RE/MAX Preferred Choice Properties, which resells timeshares and spends thousands of dollars a month on search ads but avoids social-networking sites. “I wouldn’t think any of my marketing dollars would be spent advantageously there.”
Rather than relying on anecdotal evidence and hunches, why not test it? It’s pretty clear that a ton of people who own or can afford to buy homes are spending a significant part of their day on Facebook.
It would have been nice to see a quote in the WSJ from someone who is seeing success with their Facebook ad spend (they do mention that FOX is spending a ton of money and they’re not stupid) but it’s clearly going to be tough to find someone willing to go on the record in front of all of their competition.
This reminds me of earlier resistance to pay per click advertising. People would say, “I never click on ads,” which somehow translated into, “no one clicks on ads” which clearly isn’t the case based on Google’s revenues.
With ad networks like this, early adopters tend to see amazing returns because the competition among advertisers is so much lower. Can you imagine how amazing it must have been for real estate agents back when they could pay ten cents a click rather than a couple dollars?
That’s where Facebook is today.