GameFly is a video game rental service that allows users to choose their games online and have their choices mailed to their house. Basically, it’s Netflix for gamers. Evidently, GF has begun tying their users’ activities on their site to Facebook via Beacon, instantly broadcasting rental histories onto News Feed.
This is especially significant when coupled with the fact that a search for “GameFly” within the Facebook application section yields no results. This is a clear example of the power of Beacon. GameFly doesn’t even need to bother creating a Facebook application because their users are passively perpetuating the brand through Beacon.
Additionally, because the GameFly reference comes straight from the user and not the company, the marketing tactic is legitimized due to the fact that the brand reference comes from a trusted source and not a corporate entity. There is a significantly higher CTR when a new user clicks through from a friend’s profile or News Feed versus clicking through a banner ad based upon this trust imperative. Beacon allows companies to market without “marketing.” This is viral marketing at its best.
As Nick pointed out earlier this month, many users won’t know about the ability to turn off the updates, which will, in essence, turn many Facebook users into brand ambassadors whether they know it or not. Is this the future of Facebook advertising?
