Tuesday, March 21, 2017

Organizational Uses of Social Media

            When reading up on the idea of social media uses for organizations I recalled a seminar I attended where I asked the speaker, a small business owner, if social media helped him grow his business. To paraphrase, he essentially said that social media is such a buzz word right now in marketing but to use it for organic reach is really difficult because social media platforms are charging for a lot of things that they didn’t use to. He pointed out that many of them are now publicly traded so they are trying to drive up their revenue and one way to do that is to charge for business reach and for many truly small business it is just too much money for not enough results. I found his opinion to be very insightful since I had mainly heard the opposite, that social media was a great way to market a small business and that it gave you visibility that is hard to reach otherwise. In doing a little research I discovered that both sentiments are true.
              The owner of lullubee.com, a website that sells craft making kits wrote a series of articles for Forbes about being a start-up company and the mistakes they made involving social media. He says that his biggest mistake with Facebook was not realizing that what they posted wasn’t even being seen by those how had liked their page. They worked hard to build a Facebook Business page then they noticed that only a small percentage of their followers were seeing their content. They found that you have to pay to reach your own followers, which essentially takes away any organic reach you might have had. They said that they started by paying because they figured that they were working to get leads for their website and my favorite quote “The irony of spending money to promote our Facebook page instead of our site was not lost on us.” Eventually they learned that the traffic they were getting to their website from Facebook meant they were paying anywhere from $6-12 per click which isn’t viable for a small business start-up. So they found that for them having a Facebook page was only as good as having a social media presence but was not a place to spend their advertising money.
              On the flip side there are small businesses that have found great success with social media marketing. According to Susan Friesen, a founder of a digital marketing firm there are benefits to social media marketing that don’t necessarily require you to pay for marketing. She provides some ideas of things that social media can do for a small business that you can’t do anywhere else really. You can build relationships with people in your industry, out of your industry, customers, and potential customers all around the world all for free. You don’t have to pay to interact with prospects and social media provides a great base for that. You can also show your customer service acumen through social media platforms. Quick responses, helpful comments and consistency can all show potential customers your worth. Friesen points out that there is still a cost to this type of exposure through social media, it requires time and a lot of it.

              What I took away from my research into this topic is that having social media platforms as a small business isn’t a bad idea, in fact it can be very helpful, but a small business should not use it as their main source of advertising. A diversified marketing plan is always a better answer and using social media as a part of that plan can reap great benefits. 

1 comment: