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February 16, 2012

Businesses Use Social Media for Customer Support

By Amanda Ciccatelli, TMCnet Web Editor

Over the last few years, businesses have tried to tap into social media as a marketing tool. Many companies see social media as a place to post their messages to prospective clients in hopes to reach out to a billion people worldwide.

The promise of social media for businesses has only been seen by a small percentage, as many businesses aren't seeing progress from their social media efforts. It's not that social media is so challenging that only the select few can get in, nor is it that there's no value in it. It's all about intention.



Using social media simply for marketing purposes will typically not bring a successful outcome to a business. People don't go to Facebook or Twitter (News - Alert) to see what they want to buy or which services to select. They go to engage, to have fun, and to immerse themselves in the virtual world of social media. If and when they're ready to interact with a business through social media, it is because they have questions or needs that can be fulfilled through easy-access communication.

A report from Buddy Media (News - Alert) and Booz & Company shows that 95 percent of 100 leading companies are planning to invest more in social media to improve customer support. The report measures the platforms being used, which departments use social media the most, and the time spent on social media.

The report measures how companies use the various social media platforms. Facebook (News - Alert) (94 percent), Twitter (77 percent) and YouTube (42 percent) are the basis of most social media strategies for businesses. Blogs and company-owned platforms are popular as well, used by 25 percent of respondents. Location-based social media is only just beginning to emerge as a platform. These social media platforms are being used for: advertising and promotions (96 percent), PR (88 percent), customer service (75 percent) and market research (56 percent).

Businesses handle social media in several different departments such as marketing (81 percent), digital (62 percent), PR (48 percent), customer service (26 percent). Also, over one-third (35 percent) have a senior-level executive responsible for social media.

What kind of spending are companies planning for social media? 95 percent of companies are willing to spend more on social media. Of those, 57 percent will invest in more resources and 39 percent will invest in substantially more resources. Of these projected investments, spending is directed toward: hiring full-time employees (57 percent), services provided by partners (48 percent), creating more content (39 percent), and media buys (38 percent).

Most respondents (93 percent) use a variety of metrics to measure social media engagement with customers, with the most popular being engagement (forwards, shares, posts, retweets, likes). They also measure participation (fans, followers, check-ins, sign-ups) with 92 percent, and advocacy (comments, feedback, participation in polls) at 81 percent.

The real promise of social media lies in the relationship between the business and its consumer. More Internet time is spent on social media than any other category. Businesses want to take advantage of this idea, but customer service management is still third on the list of initiatives they perform on social media with brand reputation management and driving promotions above it. Most businesses can achieve their top goals by focusing on the customers themselves.

Businesses that are able to focus their attention on their customers through social media will gain a better reputation and find it easier to promote their products.

 




Edited by Rich Steeves
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