What is social media marketing

Why the fuss?

Social media is an online phenomenon which has grown out of Web 2.0. Web 2.0 allows users to easily publish content on the web (copy, photos, video). Social Media allows them to share that content easily and effectively with their friends, family or colleagues.

The power of social media results from the networks that are formed by this activity. Each user creates a network or community around themselves. Each member of that network has asked to be kept informed of any content that the user creates. The relationship is usually reciprocal, too, creating a 2 way flow of information.

This creates a series of interconnecting networks, which enable content and ideas to spread incredibly quickly. The most spectacular example is Twitter, which has made news headlines twice recently as it has spread news more quickly than the news networks (Mumbai attack and Hudson River plan crash). An extreme example for sure, but a real example nonetheless.

What is Social Media?

There are hundreds of Social Media sites out there, of which maybe a dozen have become household names. Below are some of the most popular:

www.facebook.com - probably the best know Social Media site. Facebook allows you to publish information about what you are up to, including photos and video. Applications allow users to engage with each other. A way of keeping in touch, community is fundamental to Facebook.

Similar sites: www.bebo.com (for a more youthful market), www.linkedin.com (business focus), www.orkut.com (from Google), www.myspace.com (music focus) and www.friendsreunited.com (the first social media site, now rather outdated and surpassed).

www.twitter.com - SMS meets Internet. Twitter allows users to keep their "followers" up to date with their thoughts and movement. Messages are limited to 140 characters (like txt messages), which dictates the way the site is used. Big stories move incredibly fast on Twitter, as many users access it through mobile phones ensuring they are able to respond instantly wherever they are.

www.youtube.com - Video sharing site. Perhaps more Web 2.0 than Social Media, but definitely part of the picture. YouTube is becoming an entertainment activity in its own right and popular content is seen by millions of viewers, driven by the power of recommendation.

Similar sites: www.blip.tv (video hosting), www.mydeo.com (video hosting)

www.blogger.com - the original Web 2.0 content format. Weblogs are online diary entries published by pretty much anyone and everyone. While they are not actually structured as a network, they are used in a similar way. Popular blogs (usually found by recommendation or search) are followed using RSS feeds. Readers can add comments, introducing a 2 way element to the conversation. The sum of those conversations is referred to the Blogosphere; once an idea of a rumour takes hold here, it is very hard to contain or control!

Similar sites: www.wordpress.com, (hosted or downloadable, more sophisticated engine)

Why worry about it?

Social Media is a growing phenomenon, but so what? How can it effect my business?

As ever, there is an opportunity and a threat. The opportunity is to use it to build better and more valuable relationships with your customers, something that is a key focus in difficult times. The threat is that people are having conversations about your business online, if you are not part of that conversation, you can have no influence over it.

An opportunity

Better relationships - successful businesses are built on good relationships with your customers. Understanding what your customers really want is key to customer satisfaction.

Social media is an open conversation. Everyone can talk to everyone else. This means that you have the opportunity to talk directly to all of your customers, as well as your other stakeholders. This conversation will give you invaluable insights to your customers needs, as well as allowing you to directly address their issues. This will also highlight areas for improvement within your offering.

What's more, being seen to be listening generates a positive message and loyalty. Engage with you customers and build relationships.

Customer focus is new black for marketers. Social media is, without question, a key tool to enable you to really put the customer at the centre of your business.

A Threat

People with a common interest can find each other easily online and communicate and share their experiences. These experiences include those that they have using your products and services. And those experiences may be positive or negative.

This makes you the common interest and it means that your customers are talking about you online, whether you are part of that conversation or not. You cannot control what people say and any attempt to do so it likely to amplify any negative messages.

So what do you do? You become be part of that conversation.

If you are a part of that conversation, then you have a chance to influence it. A pre-requisite of participation is that you are both open or honest; there is no-where to hide these days and any dishonesty will be found out and will back-fire. But by addressing issues directly, you can

Social media marketing is one way to manage this threat to brand and reputation. By being part of the conversation, people talk to you rather than about you. It gives you the opportunity to directly address their issues and to learn from their experiences.

Embrace this and you will in a position to benefit from increased loyalty and increased knowledge about your users. Your threat has become an opportunity.

What should you do about it?

As ever the answer is that depends. It depends on how you rate the opportunity and the threat. It depends on your culture and on your resources.

If you'd like to discuss how these issues effect your business, please give me a call. I'm always happy to chat over a coffee. Drop me a line - 0117 230 8248 / tom@barnesgraham.com.

Published by: Tom

Published 22nd January, 2009

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