Facebook Advertising Embraced by Majority of Local Businesses

Social media and its impact on local advertising was the subject of a recent study done by Borrell Associates, a consulting firm that produces industry related advertising reports.

In a recent article marketingland.com reported on some of the interesting findings from this study, not least of which was how widespread faith in Facebook and Facebook advertising has become in the last few years.

The study drew from a pool of survey responders representing a spectrum of local businesses in the US, that range from small businesses to big advertising spenders, with budgets of $100k or more. The survey recorded the following stats about local business Facebook habits:

  • 85% of the businesses surveyed have some kind of social media presence
  • Nearly 80% had a Facebook page
  • 62% are buying Facebook ads

Those businesses that were buying Facebook ads were spending an average of $1,500 per year.

Social media in general was ranked by survey responders as the third best source of new customers, following referrals and websites in the top two positions. 44% of those responders said that social media was their top channel for acquiring new customers. This 44% of local businesses that fully embrace social media had some unique characteristics of their own.

The businesses tend to be independent, smaller businesses with less than $1 million in gross sales. The social media loving businesses were also more likely to have a single location, and cater to customers, versus only businesses. 76% of the businesses manage social media themselves, and 57% pay to boost posts.

Does your business find new customers on Facebook, are you targeting correctly with your Facebook advertising?

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