Recently I attended a round-table on Social Media (http://content.yudu.com/A1t073/midjul2011/resources/40.htm). I am not an unconditional advocate, it is not for everyone but I am an active user (@mattsmithwpb if you are interested) so I thought i might share my thoughts so far.
Social media’s selling points are speed and scale. It spreads information and connects people in their thousands quickly. The Arab Spring, super-injunctions, and the News of the World story illustrate its ability to quickly publish global online sentiment and influence people’s perception of events.
But for it work properly, social media requires content. Good content is rarely conventional nor are the campaigns and communities that support it. This is problematic for big businesses. Corporates do not deal in real news on the whole (e.g hacking, Trafigura etc) – they want to manage you. As a result companies have not got past first base. Sites such as Facebook remain primarily an extension of advertising strategy that might entertain fleetingly but are not long-term initiatives to build consumer communities. I am sure people will cite exceptions but they will be marketing campaigns none the less.
Social media works if you have something genuinely interesting to say and this is a big ask for mass market brands unless they put a lot of effort into micro marketing – and there is little evidence of that to date. the overarching problem is that most of us take the attitude that life is too short to be “pally” with companies. Much like “customer loyalty”, social media sounds like a good idea but implementing it is really about customer management.
Where social media is informing big companies is in its ability to deliver a snapshot of what people are thinking. Now corporates may covertly try to influence this snapshot (they do honest) but as themselves they will continue to shy away from it because unless their news and opinions are regular and interesting social media will be a bit of an uphill battle.
This is why I think smaller companies and niche providers can do well out of it. It can amplify that niche quirky element smaller businesses have – the reason we like them and use them. It’s hard to see how a mass market fridge manufacturer / retailer can make social media really work. but it is easy to see how a wealth management boutique / broker or niche retailer for example could easily have regular and enlightening views on subjects many of us will feel strongly about. This is not about giving away your intellectual property. It is about illustrating you have intellectual property.
The opportunities go even further in a business to business environment. At its most basic it is as an extension of PR but it can extend your reach among your peers. This is because in the workplace there is an economic imperative to network, be informed and participate. Thought leadership, experience and expertise in a particular area are in demand. If your pay-rise depends on being “part of your industry” you will probably at least explore it. Used properly the mix of tweets, linkedin groups and blogs can keep you and your business “front of mind” and develop your personal and business brand. With the right people in your business you can establish a dynamic and presence previously unavailable without huge PR fees.

So social media is not for everyone and if you do not know what astroturfing is it might not be for you just yet ;-)

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