Millions of potential customers for your business are using social media. But what are the opportunities and risks of getting involved? Richard Abbott asks the experts.
Facebook reached its 500 millionth customer this year, demonstrating the raw power of social networking as a communications platform. With the rise of sites such as LinkedIn and Twitter, businesses can no longer afford to ignore the medium and are identifying its benefits when used internally and externally.
But just because millions of potential customers are networking online, does it necessarily follow that your business should be engaging with them all? This issue is vexing marketing departments across Yorkshire and The Humber. Get it right and you can generate affinity with customers, by offering them exclusive updates or discounts if they become a fan of your Facebook page or ‘follow’ you on Twitter, for instance. On the flipside, an ill-considered posting can damage the reputation of a business or, worse still, lead to legal proceedings.
The best exponents of social media know it should be about listening to people, just as much as it is about talking at them. Claire Young, a finalist on BBC1’s The Apprentice in 2008, has become a prolific user of Twitter since entering into a marketing partnership with BT. The Wakefield-based businesswoman says activity in social media should be anchored by a proper communications strategy. “You are either in or out – you can’t do it half-hearted,” she says. “You have to get stuck in. In business, it is all about contacts and relationships. You must have a strategy for social media.”
Companies must also be prepared for negative feedback and deal with it accordingly. “From a business point of view, the power has gone back to the consumer. If you make a complaint about a company online, they get straight back to you,” she says.
Social media is also proving invaluable for universities. Carolyn Holroyde, marketing director at Bradford University School of Management says social media is essential for extending their reach. “Social media is a focused way to promote the expertise of our academics who are blogging on business and political issues,” she says. “Their blogs are a great way to communicate their research in an easy to understand and relevant way and build useful relationships.”
The Fuelcard Company in Knaresborough used social media to develop a Fuel Tax petition, which called on ministers to lower fuel tax and support the sector. The aim was to position the company as the voice of the industry. Dedicated Facebook and Twitter pages were used to increase online traffic for the campaign. These pages linked directly back to a microsite featuring full details of the campaign, which in turn linked back to the company’s website. At least one Facebook comment and Tweet were uploaded per day, which the company says increased the number of signatures on the online petition.
Colin Peters, head of marketing, says: “The first rule to any campaign is to understand your audience and be relevant. Knowing what they want to achieve from engaging with you online will enable you to tailor your communications. From here you can develop a platform for brand building, providing information, dealing with issues and PR, and increasing sales.”
Companies should not be afraid of dealing with negative issues. “Social media creates the ideal platform for one-to-one engagement, enabling the company to tackle any issues quickly and directly,” adds Peters.
Embracing social media in the workplace can present legal challenges for employers. Some have blocked the use of certain sites in the office amid fears of lost productivity and inappropriate comments. Sally Togher, a solicitor in the employment unit at Raworths in Harrogate, says caution is needed. “From an employment law point of view this area is fraught with difficulty. Employers can be liable for the discriminatory comments made by employees out of work and out of hours.”
She uses the example of a joke about the average age of employees, which once posted on Facebook can amount to discrimination. “The cost, if claims ensue, can be catastrophic. Employers need to put policies in place to set guidelines for use of social media, which prohibit staff from making any discriminatory comments, specify what use of social media is permitted in the workplace, inform employees what monitoring will be undertaken and prevent the disclosure of confidential information.”
Even though it has been around for several years, many companies’ use of social media is still flawed. Young has also seen businesses scoring own goals within the environment.
“People say things which go against their brand,” she says. “You can get to the point where people become over-familiar. People put irrelevant information on there. No-one cares if you are going for a shower, for example.”
She adds that many people in their thirties and forties, who did not grow up using social media, are guilty of hoping it’s a passing fad. But given the numbers involved, this seems unlikely. Provided it’s used appropriately, social media can be an invaluable tool for testing the temperature of the industry and generating affinity with clients. After all, can you afford to ignore a potential audience of millions?
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