Bing Lee uses Queensland floods to boost Facebook fans
- 11 January, 2011 18:21
- Comments 19
Appliance retailer, Bing Lee, has attempted to use the Queensland floods donation appeal in an effort to gain Facebook fans before backing down after a twitter outcry.
Rather than provide an outright donation, Bing Lee promised to provide $1 for every “like” it gained from users of the social networking site. The company’s twitter account, @ilikebinglee, then repeated the appeal.
“We are donating $1 for every fan on our Facebook page to the QLD flood appeal,” it said. “10,000 here we come!”
But Bing Lee’s apparent attempt to drive up “fans” on its Facebook page drew immediate criticism from a large number of twitter users with some using the hashtag ‘#charityfail’.
“The more I think about it, Bing Lee and Appliances Online's strategy is just off. Tasteless,” Twitter user and freelance writer, @Stilgherrian, wrote.
“Everything’s Negotiable. Except charity. You have to grovel for that,” Another user, @danmilian, wrote.
The outcry soon sparked a response from the retail giant, which claimed the true reason behind pushing for more Facebook fans was to “motivate people to raise awareness” about the floods.
“Bing Lee will donate the full $10,000 no matter how many fans we have,” it said in a Facebook message. “If in the process we have also inspired other people and businesses to take action, which it looks like we have, then this has been a good outcome.”
In contrast to Bing Lee, rival electronics giant, Harvey Norman, has pledged $200,000 with no strings attached while Dick Smith and Spotlight are donating $25,000 each. The Commonwealth Bank has donated $1.35 million and the total donated amount is $32,373,484.
ARN attempted to contact Bing Lee, but was unable to speak with a representative by time of publication.
Follow the author of this article on Twitter
Nominations for the 2012 ARN IT Industry Awards open on Tuesday, June 12.
- Bookmark this page
- Share this article
- Got more on this story? Email ARN
- Follow ARN on twitter
- Market Potential-Strategy Guide to the Active Archive Market
- In Search of the Long-Term Archiving Solution —Tape Continues to Be a Major Player
- Aberdeen Group: Building Business Resilience Through Active Archive
- Spectra Logic and Australian National University Success Story - March 2012
- In Search of the Long-Term Archiving Solution —Tape Delivers Significant TCO Advantage over Disk
-
Facebook could buy Nokia to build 'FacePhone', expert claims
-
It's not all Doom at new media conference
-
Tech Watch: Who watches the datacentre?
-
Facebook scammers host Trojan horse extensions on the Chrome Web Store
-
Webroot: Growth in security
Get exclusive access to ARN's news, research and invitation only events. 
Comments
Mandi
I'd estimate the cost of acquiring 5,000 fans through Facebook advertising to their target audience to be about $12,500 so they're getting a great deal
James
Oh that's flipping hilarious! Massive marketing fail. Someone might need to get a better social media expert?
Cam
I'm sure that the marketing heads at Bing Lee had the best of intentions in announcing what was a kind, if not especially well strategised, donation drive. They quickly pledged more money than most Australians have in their savings accounts, quickly realised that their intention was being misconstrued, and quickly rectified the issue.
The earliest comments on Bing Lee's Facebook page were full of praise for the initiative - I do recall a "u guys r awesum" post - until it was somehow decided by a vocal minority that the donation of $10,000 for the tiny tradeoff of a few Facebook 'fans' was somehow immoral or unjust.
I don't see how this is especially different to the other myriad "Company X will donate $1 to Haiti/AIDS/Red Cross/water for every Facebook fan" pledges. Is it because Bing Lee was forward in announcing its intentions in wanting 10,000 groupies?
The community in general seems to have no problem becoming 'fans' of asinine causes on Facebook for no reward - so why the active hatred here? Is everyone still out on a We Hate Big Retail march? I do note that most of the active dislike and bandwagon-jumping occurred when @ilikebinglee's Twitter posts were picked up and popularised.
Twitter has a definite mob mentality at times. That newest of new media has been embraced by a particularly vitriolic and contemptuous demographic.
P.S I doubt you'll see any online international retailers donating money to the QLD flood appeals. That's one thing to take account of when you're choosing where to spend your money as a consumer.
Geordie
Dear Cam,
http://bit.ly/i2cFbK
Regards,
Geordie
Stilgherrian
I can only speak for myself, of course, but it's not "hatred" of Bing Lee but "disgust" and "despair". If you're giving to a good cause, just give! Linking it to a marketing function, in any way, is just wrong. Especially when the value to the retailer of a new Facebook fan is far more than the $1 they're offering to donate to the charity. However well-intentioned, it feels exploitative to me.
Bing Lee's $10k ceiling on their donation is 0.002% of their annual turnover, according to the figures on Wikipedia. Harvey Norman has donated $200k. That's still only 0.003% of revenue but there were no strings attached.
Cam
Geordie - I have no pecuniary interest whatsoever in Bing Lee. To be entirely honest, I've actually never even shopped there.
What specifically about my comment do you disagree with?
Cam
Tonar - I absolutely agree. Just donating money would have been a far more selfless act. They cocked it up.
But they've somewhat atoned for their minor transgression - in my eyes, at least - in that they've agreed to donate the full amount whatever the outcome.
If we're talking about megastores, though - where's the seething distrust and upswell (pardon the phrasing) against Harvey Norman's $200k donation? If Bing Lee is buying customers, isn't Harvey's playing damage control?
Tonar
Hey Cam, here's an idea - why doesn't the megastore just chuck some moolah towards Queensland? The whole coencept stinks really and it'd be better if they just said "RT = $!"
Nope, they want your personal details, email address age, location, etc.
So yes, it's a corporate fail.
Tony
So u guys saying that when McDonalds donates a $1 for McHappy day we should all whinge. All the haters are pathetic. Get a life
Good on you Bing Lee and Appliances Online. Help the people!
Brendon
IP check on Cam please.
Bertha
You could have spend the time blogging about supporting the QLD floods instead - that may be an idea. OR maybe donating some money.
terry
very poor article. get the facts right. Bing Lee are donating the full amount. u got a reaction! Well done. Be nice if more business took Bing Lee and Appliances online approach and donated some money. Where's ur article on HN donating 200K? Do you think that was and investment by Gerry to take the heat of the GST issue.
Bec
Facebook 'reporting' - a new low in so-called journalism! Shame shame shame ARNNET.
Benn
Does anyone know how much has Gerry Harvey donated?
Johnny Ecomm
Now doubt Bing Lee will be donating money to the cause, this 10k wouldn't be the only effort from them, surly!!! Lets see if they raise the cap or announce another donation!! I am sure they would have hit 10k anyway through the "effort"...
Its the thought that counts, last year I gave my uncle the free Bluray player I got from Samsung with my TV, does that mean I am distasteful?
Val
Yeah I don't think that more awareness needs to be raised Mr Bing Lee. Everyone in Australian is fully aware of the tragedy that is unfolding. $10k .. that's like donating 3 LCD tvs.
Matt
Don't mix marketing with donations???????
Every business donation that you are aware of is marketing.
Take for example Harvey norman.
They Announced that they were donating money. Good on them, but by announcing the donation they have just provided themselves with publicity and showing "good corporate citizenship". This is marketing in it's simplest form.
If a company was not interested in marketing when making these donations and weren't out to achieve anything, the money would quietly appear in the recipients account, no announcements, no fanfare.
Remember these guys also get to claim these donations as deductions on their tax so this helps offset some of their donation as well.
I think it's great that these companies donate, i applaud their effort no matter the amount given, but there is always marketing involved.
Mitch
Woolworths is the more interesting story here. Matching customer donations dollar for dollar sounds incredibly generous right? Until you stop and consider the finances of that. They receive $1 of revenue (paid by caring shoppers) and they pay $2 to the flood victims. They then report the $2 donation as a business expense so that reduces their taxable income down by 60c. So all of a sudden they only have to donate 40c - not a dollar at all. The other 60c is paid for by the Australian tax payer. Which is fine in this context, but Woolworths should be a little more forthcoming on what they're actually matching: 40c in the dollar.
Still, much like Bing Lee, any donation is a good donation. Let's not get too hung up on whether the business receives an additional benefit - the directors of a company have a duty to the shareholders not the community, so they need to have a PR benefit to justify the expense
tyb
Good point Mitch.
And let me tell you, I work in social media and the cost of a fan is well below $1.
Post new comment