Posted by Joe

Micahel Brito posted an interesting take on the value of Facebook Fans, citing a formula developed by Virtrue.

According to Vitrue’s formula, a company with 1 million Facebook fans equals a value of $3.6 million in a given year. Brito provides a recap of the formula as well as values of some top Facebook Fan pages. Here’s the formula:

1M impressions x 2 posts x 30 days = 60M impressions

60M impressions / 1000 x $5 CPM = $300,000

$300,000 x 12 months = $3.6M

$3.6M / 1M fans = $3.60

Company Values:

• Coca Cola – $0.96 cents (5.3M fans and posted 16x in the last month)
• YouTube – $1.92 (4.8M fans and posted 32x last month)
• Pringles – $.030 (3.1M fans and posted 5x last month)
• Adidas – $2.40 (2.7M fans and posted 40x in the last month. Also sharing links to their e-commerce store so one would assume that their fan value is much higher)
• Red Bull – $1.14 (2.5M fans and posted 19x in the last month)

I’ve never been good at math, but I think these numbers are spot on. Considering the amount of time people more spend on Facebook than Google (4 hours, 39 minutes per month). I think Coca Cola and Pringles are getting their money’s worth.