foursquare can sell burgers

Is your boss one of those dudes that's always asking the ROI question before committing to social media efforts, but then spends half his budget on some billboards without any thought of ROI? Well, here's another case study to share.

McDonalds spent $1000 on a FourSquare promotion that netted a 33% increase in foot traffic, generated 600,000 new fans of the brand and is credited as part of a campaign that increased profit by 29%. That's some serious burger business.


Jane said...

Actually I think those numbers are FUBAR. Check out this post:

"Before the campaign, McDonald's had an average of about 2,000 check-ins per day, on the day before the campaign they had 2,146 check-ins, followed by a spike of 719 check-ins - or 33.5% - a number that then quickly drops back to "normal" only 3 days later. They also saw more than 300 tweets mentioning the campaign."

The number sounds impressive but without the rest of the data, it's just screwing with the facts.

darryl ohrt said...

Thanks, Caff.

(This is why I hate math.)

I guess "an increase of 33%" looked better on a PowerPoint slide than: "an increase of 719 customers".

Thanks for the reality check.

Jane said...

Sure. And I should say it's not that the numbers are fubar but all the info isn't there in that. I'd just hate to see these tools that can be useful and successful get a bum rap because some over-eager SM dude releases data that's from a skewed perspective. Don't think it helps the cause, but hurts it. :)

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