Till now I was analysing Social media from the perspective of the advertising professional. Now I am viewing it from the Client's angle; especially the SMBs ( Small & Medium Business) who lack the resources of big business.
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Why should SMB invest in social media?
To get our perspective right, at the outset, let’s first ask –
What has happened to the consumer?!
What has happened to the consumer?!
In Phase 1 - from 1900 to 1940s
The market was NOT crowded.
The consumer readily lapped up if the product/service addressed his real/latent need
The market was NOT crowded.
The consumer readily lapped up if the product/service addressed his real/latent need
In Phase 2 - 1940s to 1990s
The consumer had choice. So s/he bought products/services based on tangible differentiators
The consumer had choice. So s/he bought products/services based on tangible differentiators
In Phase 3 - since 1990s
Choices are aplenty and even the differentiators are blurred.
So the consumer has started making decisions based on intangible factors.
Choices are aplenty and even the differentiators are blurred.
So the consumer has started making decisions based on intangible factors.
The business house of today cannot sit back complacently just because they have a quality product/ service and they advertise it . You will end up as 'One among the Many".
They have to relate to The Consumer and make him feel “Ok. These guys are not just trying to sell me something; they also listen to me and go that extra mile to address me as a person rather than a nameless consumer."
They have to relate to The Consumer and make him feel “Ok. These guys are not just trying to sell me something; they also listen to me and go that extra mile to address me as a person rather than a nameless consumer."
So the key actions to build a bonding have become 'Listening' and 'Interacting'.
The business has to look beyond one transaction and endeavour to build a relationship through 'Collaborative Marketing'.
Collaborative marketing, using social media tools, apart from placing you in the consideration list of The Consumer, ensures two additional benefits -
Collaborative marketing, using social media tools, apart from placing you in the consideration list of The Consumer, ensures two additional benefits -
- Repeat transactions
- Referrals, which are much more powerful than paid advertising
The critical relevance of Social media for SMBs (Small & Medium Business)
Big business, with deep pockets, can afford to spend on paid advertising using mass media. In contrast, SMBs cannot “Spray & Pray” using mass media.
In fact, SMBs don’t have a need for mass awareness. Even if they attempt it for creating initial awareness, it’s tough to sustain the spending.
In fact, SMBs don’t have a need for mass awareness. Even if they attempt it for creating initial awareness, it’s tough to sustain the spending.
Most of the small businesses depend on a niche or community. It makes financial sense to use targeted communication, which does not require big budgets.
This is where Social media steps in for SMBs.
This is where Social media steps in for SMBs.
SreeRam, Communications Consultant, Chennai, India.
9340006600, nathansmedia@gmail.com
9340006600, nathansmedia@gmail.com
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FACEBOOK - http://bit.ly/nmg_fb
LINKED IN - http://in.linkedin.com/in/ksr960
TWEET - @kravMagaSreeRam
