Coca-Cola (KO -1.09%) 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 (META -1.70%) 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.
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Is Facebook an ineffective marketing tool for big companies?
Blake Bos has no position in any stocks mentioned. The Motley Fool recommends Coca-Cola and Facebook and owns shares of Facebook. 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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