Social media is more than a “nice” or cheap way to get another impression. Serious marketers understand social media needs to be an integral part of their marketing program.
The widespread reach (more than 85% of people engage in at least one social platform) and the amount of time spent daily (+3 hours on average) make social media a serious content and advertising vehicle. Other reasons:
- Lowest cost media
- Build off enthusiasts (referral)
- reach them when they searching/reading about their life interests
Some reasons why you want to be #1 in social media:
- #1 media for referral … by design, social media is #1 in media efficiency.
#1 in media advertising cost – lowest cost media.
- If you are not #1 in social media, then a competitor is getting a bigger bang for their marketing dollars and gaining more referrals to their brand. However, unlike other media such as network television that requires a larger budget, virtually any brand can even the playing field in social media.
Some Recent Facts Regarding Consumers Use of Social Media:
- The average person has 112 marketing-relevant conversations per week
- Social networking has 3 to 5 times higher purchase action than traditional marketing techniques
- 94% of consumers regularly or occasionally give advice about products or services they purchased
- 91% of consumers regularly or occasionally seek advice about products and services before making a purchase
- 65% of consumers rate their friends as the most trusted source of product recommendations – only 27% rated experts as the most trusted source
- 25% of search results of large brands are links to user-generated content
The Media of Referral:
Harvard Business Review in a compilation of research determined the number one indicator of long-term brand profitability was …. the likelihood of a company’s customers to recommend their product or service to others. Referral.
There are lots of studies related to the value of referral, but Harvard Business Review did a nice compilation of research a few years back. They concluded that the number one indicator of long-term brand profitability is the likelihood of a company’s customers to recommend them to their friends and family. The higher the percentage of “zealotry” customers, the higher the company was in the black. More referral = more profits.
Tags: Advertising, branding, GRM, marketing, Social Media
