Social media is defined as internet-based tools for sharing and discussing information among online users. The term most often refers to activities that integrate technology, social interaction, and the construction of words, pictures, videos and audio (Referencee.com, 2008). Although the beginning of social media can be traced back to early web logs on Usenet groups and Bulletin Board Systems in the 80’s, it really began to take shape in 90’s and has continued to grow at an exponential rate over the past few years.
What is unique about social media sites is that its intention and focus really lies outside of online business and industrial uses. Its focus was to remain on the outskirts of commercialization and center more so on the human to human interaction, much like clubs, personal discussions and groups of family and friends. That’s changing, though.
Marketers recognized almost immediately the unique power of social media networks. It provided them with distinct groups of users with shared interests. It offered a unique opportunity for these outspoken users to discuss more than just concepts, but brands. Former chairman of the Internet Advertising Bureau Lloyd Salmons stated, “Social media isn’t just about big networks like Facebook and MySpace, it’s about brands having conversations,” (Referencee.com, 2008).
Although millions, maybe billions have already been invested by brands into marketing through social media vehicles, I wonder if there is a future in this effort.
A study conducted by JupitorResearch of 10,000 European and American executives founds that the return on these marketing investments was low. An investment of $30,000 may only create a connection with 1,000 friends or less through a branded social network. The study also found that three quarters of all marketers are not measuring the success of social media marketing campaigns (Pfauth, May 15, 2008).
As I’ve pointed out in previous blogs, word-of-mouth is many times the most effective form of marketing. And, social media networks are essentially very large communities that rely on word-of-mouth. RoperASW pollsters Ed Keller and Jon Berry contend that word of mouth is still the most effective way to build a brand (Frost, February 9, 2004).
In order for social media marketing to ever success, brands cannot approach it as any traditional form of advertising. Brand message cannot be contrived and shaped by marketers. Creating a forum for a conversation should be the focus, not interjecting into the conversation and attempting to change thoughts. And, finally, marketers must measure their success, even if it’s just through brand awareness.
The online conversations of brands will continue, but it may be time for the brands adjust their approach or decide to step aside.
References
Frost, Randall (February 9, 2004) Gaining Influence by Word of Mouth. Retrieved on December 2, 2008 from http://www.brandchannel.com/features_effect.asp?pf_id=196.
Pfauth, Ernst-Jan (May 15, 2008) Social media marketing might have a limited future. Retrieved on December 2, 2008 from http://thenextweb.com/2008/05/15/social-media-marketing-might-have-a-limited-future/.
Reference.com (2008) Retrieved on December 2, 2008 from http://www.reference.com/search?q=Social+media
