Get on the social ladder

05 July 2009  

Some Irish companies mistakenly see social networking sites as a short cut to being cool. Others see them as nothing more than a waste of time.

However, for some companies, sites like Twitter and LinkedIn are proving to be invaluable tools in their attempts to increase brand awareness, productivity and customer satisfaction.

Effective social networking and marketing takes effort, as well as a little creative thinking. Here are ten ways to make social networks work for your company.

1.Tweet your way to a better buzz

Using social media to create hype around a new product is one of the most obvious advantages of the medium, and its value cannot be stressed enough. When a company uses social media correctly, it taps into a group of real people on a conversational basis - at a cost far below mainstream marketing.

More importantly, it engages with an audience that is interested in the company or product in question, bypassing those who would have no interest in it to begin with.

It may be a clever YouTube video, an interactive introduction to the new product or a Twitter-based talking shop for potential buyers which builds trust and highlights expertise. What is important is that the company puts its proposition to the public in an engaging and constructive way.

Some Irish companies have already made Twitter a central part of their marketing campaign. For example, Bord Gáis set up a Twitter account to announce its recent entry into the electricity market and used it to speak directly to people about the service.

It also used the account to answer questions and ran competitions, which led to customers passing its details on to others voluntarily.

The key is to avoid the traditional hard-sell. Social media makes it easier to talk directly to the customer, but also makes it easier for them to ignore what they do not like.

2. Make customer service simple

Even the best customer service systems can be inefficient for companies and customers. Most people dread the thought of ringing help hotlines - and often have to do so when their problem is easily fixed, meaning getting a simple answer involves them in a pointless wait.

Twitter is already being used by companies like Dell to try to make the customer service experience as painless as possible.

Small questions can be catered for in the 140 characters and, if not, customers can be directed to the site or e-mail address that can help them best.

"Twitter team members tend to broker initial introductions for customers to our colleagues in support," said Stephen Jio, e-business programme manager with Dell Ireland.

"It is an effective tool in communicating with the customer directly in a very transparent manner. In addition, these communications are supported by phone conversation or email exchange with our support teams."

While this is obviously good for the customer, it also makes sense for the business - a small team, perhaps even just one person, can manage a Twitter account and remove the need for countless phone calls as a result. In the long run, this reduces the time needed to deal with larger problems, and reduces the number of cal l-centre staff required.

3.Talk to, not at, your customers

No business can survive for long if its relationship with the customer ends at the point of purchase, so it is important to interact with them beyond the sales pitch.

Many companies have been successful in using social networks to create small communities, putting a more accessible and human slant on their day-today business.

This could be something as simple as providing customers with easily accessible information on product queries, or creating a place for them to interact with other product users in a collaborative or social way.

Of course, these kinds of communities can develop naturalLy without the company creating the spark, but more creative marketers can apply a fresh idea to develop something unique.

One example is HB's ‘Relive the Fun' campaign, which attempts to invoke nostalgic feelings around the company's ice cream products. Its Facebook page has nearly 7,000 ‘fans', and is used by people to tell childhood stories, share retro pictures and reminisce about which ice Cream they liked best.

Ideas like these can create or reignite brand loyalty, generate sales and good word-of-mouth. Customers will always respond well to a company which goes the extra step to make itself appealing and interesting.

4. Follow the conversation

Knowing what is going on in your industry can give your company an advantage that money cannot buy.

With Twitter, tracking trends and keywords is easy and quick, meaning you can see what people are talking about at any given moment. With this information, you may be able to make decisions about where your business goes next, or better prepare yourself for shifts in the marketplace as a whole.

Business-focused social networking sites like LinkedIn can also help you see what is happening on the other side of the fence. If your network of contacts is strong enough, you can track movements within any given industry - whether it's new appointments, promotions or vacancies.

While, in the past, the first sign of changes in the industry may have come in the form of a newspaper article, proper use of social media means you can watch the changes as they happen.

5. Create goodwill and future customers

Unsolicited sales pitches tend to annoy people, but unsolicited - and, most importantly, free - assistance could win a company a fan for life.

Twitter is a goldmine of unanswered questions and user problems, and its search engine allows anyone instant access to up to-the-minute comments from around the world.

With the right keywords, you can monitor the issues people are talking about and, if applicable, help them out with something as simple as a guide or a link to the solution they need.

It should not take much time or effort on your part, and only serves to put you on their radar as someone who knows what they are talking about.

When the inevitable happens and they need more than brief advice, there is a good chance they will turn to you.

However, goodwill is not just about planting a seed - it is also about putting the effort in to set yourself apart.

For website Movies.ie, this is about using Twitter to share information and competition opportunities with casual readers.

"I find it a good way to give readers the most important stories of the day, and it drives a lot of traffic to the site," said Vincent Donnelly, who is the owner of Movies.ie." I'm always conscious not to post too much on there, however, as you don't want to put people off by over-doing it."

6. Crowd-source information

Just as Twitter is good for answering questions, it is also perfect for asking them. Rather than spending money on market research, Twitter could let you know whether your product is doing what people want. You could find this out by searching to see what people are saying of their own accord, or even by putting the question to the public yourself.

Either way, you can be sure that any problems will be highlighted, assuming there are customers of yours on Twitter, and you will know very quickly what needs to be done to make things better.

Obviously, your question does not have to be about your own product or service - you may also use your followers' knowledge to ensure you are making the right decisions internally.

Be it advice on a hardware upgrade or a change in a service provider, the chances are you will not be short of opinions once you ask for them.

7. Create a new revenue stream

Using Twitter correctly may generate revenue in a roundabout way but, for some companies, their accounts are creating significant direct sales.

Companies such as travel agents and computer manufacturers are using Twitter to deliver their best deals directly to consumers who want to know about them, saving the customer time and increasing the chances of a sale for the company.

For example, Dell has had an’ outlet' site for many years now, offering refurbished machines at lower prices than normal. The company has expanded the concept into the Dell Outlet Twitter account, which sends out information on newly available machines to those following, making it easy to see what is available immediately.

The US Dell Outlet account was opened in June 2007 and announced revenues of $1mil lion by late 2008 - a revenue stream which is expanding at a rapid pace.

"This month we announced that we surpassed $2 million in revenue from Twitter Dell Outlet sales [in the US]," said Jio." Irish customers can check us out on@Dell OutletIE."

While the platform may not suit every type of product, it is clearly a good way of getting details of a good deal into the public domain.

What matters is that the deal being pushed is a good one, as no one will listen if it is not.

8. Network at your desk

There is no replacement for pressing the flesh and getting yourself into general circulation, but social media sites are useful networking tools in their own right.

Sites like LinkedIn allow you to create a network from your contacts and see who they are connected to.

If there are names you want to connect to, you can add them to your list and, assuming they consent, they can become part of your network.

If it is a person you want to get to know, you can get your mutual friend to ‘introduce' you on the site.

You can also connect to people by industry and job description, just as you can follow people in your industry on Twitter, making it easier for you to develop your online contacts which, with the right effort, can become real world business.

9. Find future colleagues and employees

Business-focused social networks are designed to keep people in touch with each other on a professional basis, but they are also carefully designed to allow the right person to find the right job.

LinkedIn acts as a social media CV for its users, letting them state whether they are interested in new job opportunities or not.

The recommendation system means that other users can give the thumbs up to those they think highly of, giving potential employers an instant reference for job candidates.

The right person may not fall into your lap as a result of social networks, but it does makes it far easier to know who is worth a second look and who is chancing their arm.

10. Damage control

Even the best business can fall victim to bad publicity and, in the online world, bad news can spread like wildfire. It is vital that companies are in a position to fight back at the same pace.

When Dominos Pizza staff in the US published a video of themselves making food in a less than hygienic way, the company came in for a storm of negative press that risked an exodus of customers from the company's outlets.

The video spread quickly and Dominos decided it would need to employ the same tactic to tackle it.

The official response took the form of a YouTube video from company president Patrick Doyle, and the establishment of a Twitter account, @dpzinfo.

This account now acts as a point of contact for Dominos and its customers but, more importantly, it is a safety net that ensures the company is able to respond instantly should it ever find itself at the centre of another controversy.