Online Marketing

The what, how, and why of social media; a complete and concise introduction

The what, how, and why of social media; a complete and concise introduction
Social media is the collective name for online marketing channels characterized primarily by mutual communication. Social media emerged partly due to Web 2.0, which blurred the traditional roles of sender and receiver. It directly results from the opportunity for direct communication with a (potentially) virtually unlimited number of people!

Why companies use social media

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In some sectors, usually those with a closer affinity to ICT, the opportunities were quickly embraced. More “hardcore” industries are lagging behind, not fully convinced of its benefits. So, why is social media so compelling? Because it allows everyone to leverage their network as a lever. Hence, social media is an incredibly cost-effective communication channel!

Social media: content is more important than reach

Traditionally, it’s all about the tension between reach within the target audience and cost: cost-effectiveness. An organization pays an amount directly related to the reach, and the choice of a channel is simply determined by the budget. Also, the desired effect of a message is essentially a given; the main goal is to influence the buying decision. A traditional advertiser will only stop broadcasting an ad when it no longer generates additional sales. Social media has shifted the focus to the value of the message being more important than mere reach.

In social media, the target audience determines the value of the message and then both its reach and effect.

This means that organizations’ influence on the outcome significantly decreases. A part of the cherished and built brand becomes owned and shared by the target audience. Reach is not only measured by the number of people directly reached by a message but mainly by how these people further spread the message. The message’s effect now encompasses influencing the buying decision, establishing authority, creating brand ambassadors, or encouraging contributions from the target audience (going viral). These changes are so significant for the media landscape that social media is often called new media.

The value of social media

The message’s value is the extent to which the target audience can adopt the message (effect and impact) and spread it further (reach). Social media values messages in the same way as personal contact, based on the following factors:

Authority – Who is the message from
Content – What is the message
Relevance – At what time and through which channel

Lately, B2C marketers have become aware of social media’s potential, prompting them to adapt to the changing landscape. An example of this is the shift in TV commercials from “Buy this product!” to “Follow us on Facebook”. These marketers realized that permission to communicate with the target audience is worth much more than a one-time shout for attention.

What consumer marketing has only recently acknowledged has always been a given in the business market: the relationship is crucial in the buying decision. But where traditionally – also in the business market – large name and product awareness was reserved for “the big guys”, social media ensures that the organization with the best solution is found, and anyone can generate widespread recognition.

Before long, no one will speak of ‘old’ and ‘new’ media anymore; we’ll simply talk about communication channels and which is most suitable for your message. The era when marketing was merely about buying impressions, eyeballs, or exposures is gone forever. The only question remaining for you is:

How can I best utilize social media for my organization?