Photo: Facebook / Screengrab
For every $1 that Ben & Jerry’s spends on Facebook it gets back $3 in incremental sales, according to CEO Jostein Solheim, who made the statement in Facebook’s IPO roadshow video.The ice cream maker has 3.4 million fans on Facebook.
Facebook COO Sheryl Sandberg described this in the video as “word-of-mouth at scale for the very first time,” based on the reach, relevance, engagement and social context of Facebook ads such as Sponsored Stories in users’ News feeds.
Sandberg then described how Sponsored Stories works—by inserting companies’ updates into the news feeds of users who have liked a company—and she name-checked Starbucks in her example.
As expected, she underlined the fact that Facebook will be relying on Sponsored Stories in news feeds as Facebook’s sole mobile ad offering in the near future, because mobile users are “deeply engaged” in their news feeds, and Sponsored Stories are a “natural” part of that experience, she said.
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