The dangers of social media for small businesses

There is no doubt that social networks have become far more relevant to consumers than traditional branded websites. The perception of the power base has shifted as consumers feel they have assumed control as individuals and can voice their opinions freely. In some ways this is marketing utopia as the holy grail for a brand or company has always been to identify and engage directly with their consumers. But, in the wrong hands, this new freedom can be a minefield for any company, let alone a small business that may have neither the skill nor the resource to be at the cutting edge of these fast moving developments!

As a result, companies looking to engage with social media can break some cardinal golden rules:

  1. Engagement with social networks is STILL marketing and therefore all the usual rules apply about setting your objectives and deciding the elements of your strategy – it is not good enough to just ‘put stuff out there’ and see what happens. You have to carefully think through your campaign in the same way you would any other element of your marketing activity and ensure that, whatever you decide, it is measurable against your objectives. Otherwise, what’s the point?
  2. There is a perception that, because anyone can access social media free of charge, there is no value in engaging professionals to do the work for you. That view is very short sighted as why would a small business owner be up to date with all the nuances of social media and, even if you are, is your time not better spent doing whatever your specialism is? You could apply the same logic to bookkeeping. As business owners you need to have a working knowledge of your accounts to run your business but I am sure most of you use a professional third party to do the detailed work?
  3. Consumers in social networks demand honesty and transparency. So DO NOT set up fictitious accounts pretending to be a fan of your product or service; you will be found out and it will not be to your benefit. A much better solution is to be open about who you are from the outset and engage with your customers honestly. If you handle a complaint or negative post about your brand or company well, you are more likely to convert the complainant to your business than if you either ignore or try to block them.
  4. If you set up something where you are inviting interaction or questions, say a facebook page or blog, then make sure that you or your chosen supplier are organised to monitor instantly and informed on how to reply. There is nothing worse for your company’s image than to have actual or potential consumers trying to engage with your product or service and feeling ignored over days or even forever. Better not to be on the network at all. Also remember that this is a fast-moving medium and needs to be constantly updated to make it current.
  5. If you are personally interested in social networks and have a private facebook or twitter account, think twice before you link these to your company’s social media presence. It obviously depends on who you are and what you do but would it help or hinder your professional choice of a potential supplier if you could also see what they do in their free time?!

I believe that we are only at the beginning of how the social media revolution can inspire and inform our marketing strategies and that there is an exciting future ahead for businesses and consumers alike. So, as business owners, let’s not enter the arena without remembering the tried and trusted marketing principles learned over many years of consumer engagement.

2 Responses to “The dangers of social media for small businesses”

  1. There is much to be learnt from this insightful and well-written post.

    Small businesses have to think strategicallyand to allocate resources wisely before engaging in social media marketing.

  2. many thanks for your comments

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