We know how to use social media, but how do businesses use them?

Today, social media plays a key role across all industries, it is the largest platform to reach the widest audience simultaneously. This new media continues to re-develop and win the trust of consumers by connecting with them on a deeper level. Marketers are implementing new social initiatives using digital marketing methods. A strategic and open social media plan could prove influential in morphing consumers into being brand loyal.

Weinberg (2009) defined social media marketing as the process that empowers individuals to promote their websites, products, or services through online social channels and tap into a much larger community that may not have been available via traditional channels.

Social Media has grown from being a mere digital channel for “socialising” , into one of the most powerful digital marketing tools used by brands and businesses. It has proven to be a highly cost-effective way for promotions and advertising. Gordhamer (2009) correlated social media marketing with the need from “trying to sell” to “making connections” with the consumers; building relationships with  potential consumers is the key to repeat purchases, and enhanced brand loyalty. Social Media is an innovative tool that organisations use for creating a very strong public relations with customers on virtual networks (Jan & Khan, 2014). Today, customers have busy schedules that need to be matched by marketers; therefore, companies should be available across a multitude of channels such as Facebook, Twitter, Instagram, Blogs and Forums (Gordhamer, 2009). Exploiting opportunities provided by the social media communication channels is key for every organisation.

Additionally, in an article by Sterling (2016) is highlights that 80% social media time now spent on mobile devices – this is useful information that marketers can also take under consideration as marketers will need to optimise ads and promotions appeal through smart-devices.

Benefits of Social Media Marketing (SMM):

1. Social Media Marketing is Low Cost

One of the main advantages of SMM over traditional media advertising and other digital marketing channels is the considerably lower cost that makes it very appealing for businesses. The most popular social media networks are free to join and all tools for interacting with other people are all available for free.

2. Social Media Marketing Caters to a Big Audience

One advantage of SMM is its potential to advertise to a large audience that is unlimited in scope and reach, 92% of marketers highlights that SMM generates more exposure for their brands. In comparison, traditional media marketing, where their marketing channel caters to a fixed audience, i.e. regular magazine subscribers; TV viewers.

SMM also caters to wide demographics regardless of sex, age, and social status. The illustration below by We are Social, shows that there are 2.7 bn active social media users which is a large market to penetrate. Furthermore, implementing SMM can reach beyond the intended targeted demographic market – Friends, family members and work networks, generating leads, sales and new customer loyalty.

(We are Social, 2017)

3. Social Media Marketing is Fast

If marketers wish to promote products, services, or wish to convey new information, SMM can be relied on for fast action and fast results. Websites can also be synchronised with social media platforms,  a good example of this is used by ASOS.com, as shown below.

(Asos.com, 2017)

4. Social Media Marketing Generates Interaction

The beauty of SMM is that it is based and is powered by social interaction; in the long run it develops trust between a brand and their target market. If interactions between the brand and its market  are frequent, the more likely a brand will retain customers, resulting in a brand loyalty – this would see profitable results for any businesses. Whereas, traditional means of sales and marketing is maintaining a good, long-term relationship with their existing customers, and not being able to tap a new market.

5. Social Media Marketing encourages Brand Loyalty

Healthy interactions between brands and their market is highly likely to boost online reputation, and develop brand loyalty. A person-to-person and more interactive relationship with your targeted audiences shows a sense of emotional attachment, which in turn, generates trusts – which breeds loyalty.

6. Social Media Marketing is Good for Customer Service

Customers spend large amounts of time on social media and if they have something to say to a brand they would go through their social media page – customers voice their opinions, praises, suggestions and complaints through these channels, providing brands with a highly interactive and very personal means of good customer services by listening and responding.

While there are considerable benefits of integrating a SMM in your digital marketing, there are also dangers/cons that need to be taken under considerations – that can impact to businesses.

1. Social Media Marketing can be extremely Time Consuming

Reports by Smith (2014) says, that up to 64% of digital marketers spend on average of 6 hours of building a SMM strategy. It is a relatively time-consuming process, and cannot always guarantee results, for example, is the traffic will not convert into turnover or sales.

2. Social Media Marketing Generates Negative Users

Another criticism associated with SMM is the potential to attract negative users, more commonly known as “haters”. Negative elements can include spammers, scammers, trolls and negative comments that will affect a brand’s online reputation and can be influential to other users of the internet.

3. Social Media Marketing Makes You Lose Control

Though going viral in some campaigns can be extremely beneficial if it produces positive feedback and the results to match it. On the other hand, there can is no control over online content and everything is available to the public – including negativity. A minority of users can use materials to criticise a brand or spread erroneous information that can possibly damage the credibility of a brand.

4. Social Media Marketing ROI is Hard to Define

A study by Redsicker (2014), highlighted that up to 89% of digital marketers are eager to know their ROI of their social media efforts, however, only 37% can measure these results. Another 35% said how they were unsure are on how to effectively measure ROI – without the ability to measure these key performance, and engagement metrics brand remain uncertain of the effectiveness of their SMM strategy.

Overall, SMM delivers tangible and favourable results for businesses, if not successful, opposite results of these efforts may do more harm to businesses – and we do not want that!

 

References:

ASOS. (2017). Women’s clothes, Style & news, Shop for dresses, bags & more at ASOS. [online] <http://www.asos.com/women/> [Accessed 9 May 2017].\

Gordhamer, S. (2009), 4 ways Social media is changing Business, [online] <http://Mashable.com /2009/09/22/Social-Media- Business/> [Accessed 9 May 2017].

Jan, A. & Khan, F.(2014).“Social Media Is Nothing but a Public Relation Tool.” The International Journal Of Business & Management (ISSN 2321 – 8916), Vol 2(12).

Redsicker, P. (2014). 7 Social Media Trends for Marketers: New Research : Social Media Examiner. [online] <http://www.socialmediaexaminer.com/social-media-trends/> [Accessed 9 May 2017].

Smith, B. (2014). How Marketers Are Using Social Media to Grow Their Businesses [2014 Industry Report]. [online] <http://www.socialmediatoday.com/content/how-marketers-are-using-social-media-grow-their-businesses-2014-industry-report> [Accessed 9 May 2017].

Sterling, G. and Sterling, G. (2016). Nearly 80 percent of social media time now spent on mobile devices. [online] <http://marketingland.com/facebook-usage-accounts-1-5-minutes-spent-mobile-171561> [Accessed 9 May 2017].

We Are Social. (2017). Digital in 2017: Global Overview – We Are Social. [online] <https://wearesocial.com/blog/2017/01/digital-in-2017-global-overview> [Accessed 9 May 2017].

Weinberg, T (2009),”the New Community Rules: Marketing on the Social Web”, 1st Edition ,O‟Reilly: California