Saturday, October 6, 2012

Economic Value - Blog Post Assignment


This Facebook app is created for customer of mustang fans. I think it is another kind of advertisement which cost less than real advertisements.  This app provides news about mustang and also provides what activities the company has already hold. It also provide platform to people to talk about it which can help get feedback as quick as possible.

To measure the value, first of all, there are 150,000 users of this app. They will receive the news and everything about this car, if the cost of creating this app is $10,000, routine attention costs about $5,000per year and this app need to give Facebook about $ 10,000. They the cost on per person is about: $0.167. That’s pretty cheaper than other advertisements and can increase the sales of this car.

There is another way to measure the value of this app.  On this app there is a conspicuous button named “customize your way to the top” which can lead people visit mustang’s webpage. So the easiest way to measure it is to see the increase of the page view and below the page we can see the 53.3k follower of twitter and 71k like from Facebook. Using the assumed data before, the total cost of this app is $25,000 and there are totally 124.3k people like it. So the average cost on per person is $0.20. But the total value it brings will much more than that.

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