People who engage with brands via social media demonstrate a deeper emotional commitment to those brands, and they spend between 20% and 40% more than other customers on the products and services offered by the brands, according to a report by Bain & Company.
Using the Net Promoter Score* (NPS) method to measure customer loyalty, the study found that on average, customers who engage with companies via social media (e.g., following a brand on Twitter, liking a brand on Facebook, or joining a branded community) spend more buying products and services than other customers.
Interestingly, social media engagement appears to drive the highest spending lift among Passives, or unenthusiastic customers.
For example, socially engaged Promoters (devoted brand enthusiasts who buy and refer products to others) tend to spend roughly 30% more on an annual basis than Promoters who are not socially engaged, while socially engaged Passives (customers who are satisfied but unenthusiastic, and vulnerable to competitive offerings) spend roughly 40% more annually than Passives who are not engaged socially.
Take the first step (it's free).
You may also like:
- Seven Social Media Content Trends for 2020 and Beyond [Infographic]
- Micro-Influencer Trends: Platform, Format, and Compensation Preferences
- Do Consumers Think Instagram Should Hide Likes?
- Social Video in 2020: The Viewpoints of Marketers and Consumers [2 Infographics]
- Ethics and Social Media Influencers: What Consumers Expect