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Ken Tracy's Real Estate Blog

By Ken Tracy | Broker in Naperville, IL
  • What is the value of a Facebook fan?

    Posted Under: Entertainment & Nightlife in Naperville, Tech Tips in Naperville, Agent2Agent in Naperville  |  February 2, 2012 6:55 PM  |  784 views  |  3 comments

    What is the value of a Facebook fan?


    Wall Street has been a buzz this week with Facebook's announcement of it's pending IPO (initial public offering).

    As a former stockbroker who worked for both Bear Stearns and Lehman Brothers, I am fascinated to see Wall Street debate the merits of Facebook as a business, as well as putting a dollar value on what the company may be worth...

    Some estimates put Facebook's value as much as $100 billion.  $100,000,000,000.  That is a whole lot of zeros...

    Facebook has over 800 million users today.  That is a value of $125 per user...


    What is the value of a Facebook fan?

    Last September, I created a Facebook page titled, 365 Things to Do in Naperville, Illinois. 

     -Naperville's Moser Tower on a fall day...

    The page has been lots of fun (and work too!), and has grown rather quickly.  It recently passed 350 users, and adds another 20 or so every week.

    While I enjoy staying up to date on events in Naperville, taking cool pictures, and promoting the city...

    I do find myself wondering "What is the value?" of the page and it's fans for my real estate business.

    How to monetize?  And when?  With a fan pool totalling 350, there probably isn't a whole lot to monetize...

    But what if I get the page to 5000 fans?  10,000 fans?  That would be worth something...

    Using the value Wall Street is giving Facebook of $125 per user, 350 fans would be worth $43,750.  10,000 fans of the page could be worth up to $1,250,000.

    Wouldn't that be nice!

    For the time being, I will continue to focus on growing the audience. 

    But what will be ultimate value to my real estate business?

    What is the value of a Facebook fan?


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