Saturday, November 7, 2009

Social Media: why bother?

There are many reasons why you should re-invent your business using Social Media, here are just a few...

  • Tower Records and many others went bankrupt while others (iTunes) skyrocketed 
    • learn from your employee (most Tower Record employee were under 20 and playing MP3)
    • learn from your clients 
  • Customer support (TurboTax) people are happy to show off their knowledge
  • Self updating CRM
  • Behavioral advertisement targeting (hypertargeting)
    • show advertisement to "25 year old tech savvy male in Chicago" 
  • Avoid expensive purchases when users can provide you with all needed data (crowdsoursing):
    • Facebook language translation
    • custom databases
    • MyStarBucksIdea
  • Recruiting
  • Weak ties carry the most "social capital" due to lack of obligation of parties to engage 
    • You can keep on posting "this" because I don't feel obligated to act
  • Customer references, LinkedIn  recommendations and reviews
    • sales and management team 
Every company from Sears down is getting "Community Manager" positions; within next 3 years, every company, big or small, will have to embrace the "Social Web" marketing tools or they will become irrelevant.