Are you riding the social media wave?
I was doing some research online regarding the growth of social media and what it can do for businesses that use it properly. A number of business people, executives, owners etc. still have doubts about social media as a business driver. It’s still very new which aids in skepticism and participation requires a different approach from the traditional marketing efforts they are accustomed to.
More and more businesses are using social media to get in front of their target audience. Just like in any branding strategy, if you’re “out there,” more people can find you. But social media goes beyond that. Social media is about listening, engaging and interacting. You can keep an ear (or eye) on what other people are saying about your brand. You’ve probably heard it referred to as brand monitoring. It’s what I call online brand reputation management.
Through more research, I found the University of Maryland’s Smith School of Business looked at the relationship between social media and small businesses and found that the technology adoption rates in the U.S. have doubled in the past year from 12% to 24%. According to this survey small business owners now believe social media can help them on the lead generation front, and that is the main motivating factor for engaging in these new customer service channels.
So, I set out on a mission to find local business and/or organizations who use social media and why.
Patty Bailey, owner of Patty’s Plants in Milton, says the customer interaction is the best part. “My fans are commenting on my posts and sharing opinions. It’s really awesome.”
Patty says her Facebook page has contributed to direct sales. She advertises current sales and specials, new products and links to educational resources. She is connecting with customers immediately and it is making her phone ring. Just recently, customers are coming from Madison and Fort Atkinson. Patty says that’s probably from her online connections.
Dave Warren, president of Dave’s Ace Hardware in Milton and Evansville uses his business fan page to do just that.
Dave started his Facebook account in January 2010 and has already reached 3,256 fans. Dave says he uses his page to generate conversation. “I am personable. I am myself,” says Dave. “I enjoy Facebook because it’s a great way to connect customers with my brand. People like to do business with people they know like and trust.” Dave supports local community organizations and events. He even gave away Green Bay Packers tickets to those who suggested his page to friends. He also started a Superfan Friday campaign to recognize people who are fans of his page. Superfans earn their stripes by commenting, interacting and liking the page and also suggesting it to friends. Superfans, then receive a t-shirt and a soda each time they wear the shirt to one of his stores.
What I like best about Dave’s approach to Facebook is he’s bringing new online customers to his stores, which then, buy his products. Now that’s a great way to create brand loyalty and engagement!
Harris Ace Hardware in Janesville isn’t far behind. With nearly 2,241 friends on its Facebook page, its implementing contests and promotions to offer exclusivity to its fans. One thing I love is they hold a Facebook Birthday Club drawing each week. If you’re chosen, you get a $20 gift certificate, good at any Harris Ace Hardware in Janesville, Beloit or Monroe. All you have to do is be a fan/friend!
Mercy Health System got involved in social media before it hit the trend wave, launching its Facebook, Twitter, Blogs and YouTube pages in 2008. As part of the team, I can honestly say that it’s allowed us to connect with our patients on a different level.
From a public relations standpoint, the interaction has been wonderful. The open communication platform that these sites provide has allowed us to listen, engage in stakeholder’s needs and wants and helps us connect with our communities. It’s provided us with another way to pitch story ideas, build relationships and most importantly, another communication platform to encourage sharing of thoughts, ideas and suggestions.
Milissa Rick, director of marketing at Spacesaver in Fort Atkinson, says a large part of Spacesaver’s marketing strategies will be using new media to more effectively and efficiently engage with its end customers and distributors. Spacesaver has a blog where several staff members take part in writing the content. For example, Spacesaver utilized its blog to promote the impressive storage installations placed around the world—from the NFL locker room to the Chicago Field Museum. Posts also communicate events, community issues and help share the excellent culture of its company. “We’re also using Twitter and Facebook during tradeshows to help drive a deeper engagement at the shows,” says Melissa. “Having the ability to use our followers/fans as mini-focus groups and sounding boards for new product ideas and initiatives is where we see our future. “
Entrepreneurs and social media enthusiasts are capitalizing on the ideas as well. Local Vision TV, an Internet-based television network, launched in October, to bring local business more marketing exposure to market to its stakeholders, using social media technology. It also offers online users another medium for local news features, sports, government, education and entertainment videos. Content is designed, organized and delivered through categorical web channels.
Shoutlet, a Madison-based business, makes technology for companies to handle online sales and marketing on social media websites, just announced plans to hire up to 15 employees, now that it has just received $6 million from investors. One of its biggest clients, American Family Insurance, says its 2,000 agents use Facebook to engage customers and potential customers on topics of mutual interest.
So, if you or you run into someone who doubts what social media can do for business from now on, share this information with them. In my opinion, there are many benefits-it’s how you use it that makes it successful. Do you use social media for business? Join the conversation!
Feedback can be shared here too.
Trish Skram is a communications professional who works at Mercy Health System in Janesville and writes about Janesville's professional community. Trish is a community blogger and is not a part of The Gazette staff. Her opinion is not necessarily that of the The Gazette staff or management.
Dec 16, 2010 at 9:31 p.m.
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Good post, Trish. I started using Foursquare a while back in addition to pushing news on Twitter and Facebook. The reasons journalists use Twitter and Facebook are obvious. Foursquare is overlooked, though. Foursquare is great because it shows my Twitter and Foursquare followers that I'm out working to find news and in the community covering events. I can check-in at the police department, jail or courthouse and add a tweet about why I'm there. Also, it's great to create a new place in Foursquare. For example, I recently created "Janesville's Thanksgiving Day double shooting scene" in Foursquare and checked in. Instantly, hundreds of people knew I was at the crime scene. They also had access to a map of the location. Pretty cool. -Ted
Dec 16, 2010 at 5:49 p.m.
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Trish, Foursquare is a fantastic platform for businesses to really engage their customers/clients. While it is built with game mechanics, it is a win-win situation for a brick-and-mortar business.
For example, a user "checks-in" to a local pub. That check-in has the option to be shared with their Facebook friends, Twitter followers and direct connections in Foursquare. This sharing often starts conversations, gives the user the chance to comment and even a location link.
While some may consider that over-sharing, turn the tables and look at it from a business perspective. That person checking in has just advertised for you to all of their connections. Connections who are already interested in what that user is doing. In my case, a check-in reaches several thousand. Depending on the situation, it leads to questions about my experiences, the quality of food/stay/services and even recommendations.
Some of our clients are utilizing Foursquare as a loyalty rewards platform, too. Leading check-ins are crowned "mayors" and can receive great discounts. Many even offer discounts simply by showing you "checked-in". For those of you that rely on in-business spending (food, retail, hotels, etc.), this is a powerful tool!
Here is a FREE ebook on using Foursquare for business (not mine and I am not affiliated with it): http://www.slideshare.net/AJBombers/four...
Dec 16, 2010 at 5:28 p.m.
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Foursquare has been big in large cities for a year or two now, but it's just starting to penetrate to smaller markets. Kudos to Dave's for innovating! greener, "being online" is starting to mean "carrying a phone" for a lot of people, and Foursquare is right on the cusp of that change.
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The older (30+) skew of social media like Facebook is something unexpected, but it really makes sense. Younger people have other ways to keep in touch, while Facebook is ideal for older people who spend less time out and about and have lost touch with friends and associates. Just be aware this is the audience you are reaching and you can decide whether the effort is appropriate.
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It's quite different from passive marketing like a magazine or newspaper ad. You are actually getting into someone's deliberately chosen face time, so you want to be welcome, and you're competing with dozens of hobby or social pages on top of their friends, so it's important to effectively engage them.
Dec 16, 2010 at 2:32 p.m.
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Foursquare isn't really about being online. Its about sharing where you are. Not what you are doing like Facebook and Twitter.
Dec 16, 2010 at 11:01 a.m.
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Foursquare?? I spend a lot of time online, a lot of shopping around, research... etc. Never heard of that site.
Dec 16, 2010 at 10:08 a.m.
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I don't really see too much business use of Foursquare right now. I'm glad you're on it, Dave! Perhaps a blog post will be coming on that topic soon...
Dec 16, 2010 at 6:15 a.m.
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It costs nothing for a facebook page. Its not something you have to pay out for, business or not. That is why you would call it "free". The few minutes it takes to setup a facebook page and check it each day... isnt enough to cost anything....bathroom breaks take longer for some people. When you consider how much conventional advertising costs....this is free.
Dec 16, 2010 at 12:15 a.m.
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Definately a time investment, but you can cut that down with a little planning and scheduling. Prepared messages, timed adverts to handle once or twice a day, etcetera. ALSO for maximum exposure, 10am to 2pm are the optimum times people are using these sites like Twitter (Read from soneone who studied the activity trends a couple months ago.) Convenience and being readily available are prime ingredients for opportunity, and social networking is a proven meal for businesses where families and friends may be accessible as well. A downside is being too boring or bothersome, you COULD be ignored, unfollowed, etcetera, so as someone here said, keep it interesting! Have a few great offers/contests. One mention on FB or post on Twitter can bring scads of traffic to a companies website.
Dec 15, 2010 at 10:16 p.m.
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Trish... what do you mean you don't see local businesses using Foursquare? We've been using it at Dave's Ace Hardware for 3 or 4 months. Check out our special offers.
Dec 15, 2010 at 4:29 p.m.
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Thanks for all the feedback! You hit the nail on the head Signalfire! Social media is NOT free - it costs time! I probably should have mentioned that in the post. Location-based sites are great for retailers. Here's a post about Foursquare (most popular so far) http://bit.ly/hacl3L I don't see local business using it right now - but they will be soon.
Dec 15, 2010 at 3:57 p.m.
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@Signma40 be careful. Social media isn't free. It costs time. Always weigh the cost-benefit with time factored in.
Another great article, Trish. We find this same mindset with so many businesses. "Young people" are by far not the only users and the fastest growing segment of social media is the 55+ crowd.
But social media is more than just Facebook and Twitter. Location-based social media is rapidly growing and retailers, restaurants and travel-related businesses are seeing huge success.
I would argue, however, that social media is a vehicle and not a separate medium. A business' web presence tied with social media can bring the level of engagement up several notches. I make the analogy of speed versus velocity.
A business owner can be running in place at 55 mph. Great. But the business owner isn't going anywhere. By giving direction, 55 mph north, there is real progress. Social media needs a direction or destination to truly be effective.
Bottom line, before businesses should dive in to social media, do some research. Knowing what social media tools are available and what will work best for your business can save a world of time, money and frustration. You'll also get better results!
Dec 15, 2010 at 1:56 p.m.
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You cant beat free marketing. Billboards, telemarketers, sales brochures.... a facebook page will surpass their annual contribution in 1 day if you're good at it...and also not annoy people.
Dec 15, 2010 at 1:52 p.m.
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Thanks, Dave. You are an excellent case study for those who are looking for how it actually drives business. Thanks for leaving a comment.
Dec 15, 2010 at 1:11 p.m.
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Thanks for the mention, Trish.
It's funny how many people truly think social media is "just a young person's thing". Through Facebook insights, I know the most active users of www.facebook.com/davesace are people aged 45-54 followed closely by those 35-44 and 55+. Facebook has provided an easy and affordable way for me to engage some of my best customers who are among 500,000,000+ Facebook users. Although I'm not sure Facebook will always be the best place for me and my business to be, I am confident some form of social media will!
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