There has been a lot talk recently on what a Facebook Fan is worth to a company or a brand. Estimates of the value of a Facebook Fan have ranged from zero to $136.38. While people may question the value of a Facebook Fan, there is little debate that Brand Advocates have real business value. Take this example of an Advocate for Joie de Vivre Hotels. Christine F. is an executive assistant at a large networking and telecommunications equipment manufacturer in the heart of Silicon Valley. One of her responsibilities is booking hotels and meeting rooms for company offsites. Recently, Christine held an event at the Hotel Los Gatos, which is managed by Joie de Vivre, an owner and operator of California-based boutique hotels.
Christine was so pleased with her experience at Hotel Los Gatos that she booked several additional company events at the hotel. Christine estimates that the total amount for the events that she’s held at Hotel Los Gatos over the last 18 months is $100,000. But Christine’s real value to Hotel Los Gatos goes beyond $100,000, given that she has recommended the hotel to her friends and colleagues over 12 times over the last 18 months both online and offline.
Based on her recommendations, Christine’s peers also booked meetings and guest rooms at Hotel Los Gatos and other Joie de Vivre hotels. This generated an additional $75,000 in revenues for the hotel group.
Importantly, Joie de Vivre did not pay or provide financial incentives to Christine to recommend Hotel Los Gatos. She recommended the hotel to her colleagues because she had an excellent experience and wanted to share this with others.
To learn more about the value of Brand Advocates, sign up for our upcoming webinar, “Your Brand Advocates: How to Find Them and What They Are Worth” on Wednesday, July 28 at 10 AM PDT/ 1 PM EDT. The webinar will feature a panel of three social media practitioners that work with large consumer brands. Click here to learn more about the panel.