Coca-Cola has come out and said that a recent study it conducted found that advertising via "buzz" -- i.e., sharing through social media such as Facebook or Twitter -- had no measurable impact on sales for the company. Is this a major problem for Facebook's business model? In the following video, Motley Fool consumer-goods analyst Blake Bos tells investors why they shouldn't put a lot of stock in this study. He shows us what the biggest problems with the study were, and why companies still have a lot of value to unlock through social-media advertising.
Coca-Cola's wide moat has helped provide its shareholders with superior gains in the past, but the company faces some new threats to its continued market dominance. The Motley Fool recently compiled a premium research report containing everything you need to know about Coca-Cola. If you own or are thinking about buying shares in the company, you'll want to click here now and get started!
The article Is Coca-Cola's Study a Nightmare for Facebook? originally appeared on Fool.com.
Blake Bos has no position in any stocks mentioned. The Motley Fool recommends Coca-Cola and Facebook and owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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