Your Small Business and the Need to be Social.  

If one of your regrets as a small business leader in 2011 was not being social enough with current and potential customers, is this the year you improve that issue?

As more and more businesses are discovering, being anti-social when it comes to social media is not only the wrong thing to do, it can also very directly lead to a loss on one’s return on investment (ROI).

Among the many pros of having a social media influence on the Internet is that it can be done at relatively low cost to your company, mostly consisting of time and effort.

Deemed by some to be a fad that will come and go, social media has helped many businesses reach out to customers in real-time, allowing them to offer products and services, deal with customer issues and questions, and promote items essentially 24/7/365.

Some Business Owners Just Don’t Get It

That being said, some surveys still show the reluctance by business heads to engage in this medium

According to a recent report from SocialStrategy1 and OfficeArrow, more than two-thirds of business owners (more than 300 executives were polled) indicated they would not be investing time and money in social media this year. While a large number of such owners say they understand just how social media can have a direct impact on their bottom-line, they are nonetheless not going to invest in it.

For those who are using social media, nearly 50 percent said they do in order to improve brand awareness, 33 percent look to increase their leads output, 32 percent are seeking to better their customer service, and 17 percent have been looking to enhance both ratings and reviews.

It appears one of the biggest hurdles for businesses in using social media is many of them question whether or not they are getting a good ROI in return because they don’t measure such numbers. The survey points out that an overwhelming majority of those polled indicated they do not have an accurate understanding of how their present SM efforts were performing.

In the event your company’s social media results have not been very social to date, here are some things to do to improve upon those efforts:

• Fresh content. If your content is not frequently updated, don’t be surprised when both present and potential customers don’t return to the site. Posting on a daily or several times a week basis is crucial in order to get return visitors;

• Promote the content. Make sure you retweet important industry news and events when on Twitter and share similar items on Facebook, Google+, LinkedIn and more. By doing so, you open the door to having others pass your message along, in essence, being free advertisers of your brand;

• Record the metrics. Make sure you spend the time and invest the necessary resources in recording and analyzing data. If you don’t know who is coming to your site, where they are coming from, when they are coming, etc. you are essentially taking a stab in the dark with your SM efforts;

• Have a game plan. Last but not least, make sure you know who is in charge when it comes to your social media campaigns. Some companies opt for their marketing or PR departments to handle SM campaigns. If your company is too small for such departments, then make sure the individual/s in charge of social media have some experience in this area. You may also look to spend the money and have your social media efforts outsourced to a company that does such work for a living.

If you haven’t already, take the time to invest the necessary resources into your social media campaign today.

Besides, you don’t want your company being known as one who is anti-social, do you?

Dave Thomas, who covers among other items small business loans, writes extensively for Business.com, an online resource destination for businesses of all sizes to research, find, and compare the products and services they need to run their businesses.

In case you did not get a chance to watch 60 minutes this evening, you can watch the interview of CEO Andrew Mason (31 same age as myself) below. It was quite a good broadcast, and thought I’d share some takeaways from tonight.

1. High tech start-up CEO’s are becoming younger, more transparent, authentic, and open compared to traditional CEO’s.

2. The explosive growth of Groupon is great- the question will be can they sustain and become profitable long-term.

3. For high tech start-ups in today’s low barrier to entry climate, competition and knock-offs such as Living Social and others make it easy for competition to enter the market. The real question is how will your start-up and Groupon create more complex barrier to entries and long term sustainable competitive advantage?

4. The key to marketing for Groupon and other high-tech start-ups will always be proper communication and relevant communication to the appropriate audience.

5. Whether your Groupon or any other high-tech start-up, you need to always be able to identify the cost per acquisition per customer.

6. BONUS- Be careful of accounting tricks that look good on paper but can cause back-lash especially when you have investors or IPO.

I have a great deal of respect for Andrew Mason among all the constant criticism to continue moving forward and expanding the company to further heights.  Hope you enjoyed my synoposis.  Until we meet again..

Justin Results French

p.s. sharing is caring

Related articles

• 60 Minutes To Profile Groupon CEO Andrew Mason (forbes.com)

Since I began advising businesses on social media marketing in 2009, things have continued to change much more quickly than I can keep up with. But I do my best to continue to learn strategies, techniques, and tools all for measuring continued success for businesses using this new extremely cost effective communication medium.

Before advising business on social media, hundreds of companies in Southern California trusted myself and my team with keeping them up and running with various Information Technology needs.

It was much easier to sell solving computer problems than trying to sell social media services, but we deal with much larger marketing budgets now which has it’s rewards. Besides- our efforts have resulted in hundreds of thousands of dollars in revenue on some projects.

When people’s computers are down, they can be fanatic! I had one customer that was loosing hundreds of thousands of dollars per day when they were down. So we worked the weekend to get them up by Monday morning. Weekend emergency rate applied of course 😉

When selling social media services, we sell an improved business, cost savings, long term sustainability, competitive advantage, and many other benefits. In fact, we do a lot less selling and more educating. This is now the 21st century sales approach in case you haven’t noticed.

Social media consultants have a tough job. They must prove ROI, demonstrate results in a short amount of time, and show an increase in revenue otherwise they may be going back to the drawing board; or worse out of a client or a job.

From inside the social media trenches and business school, here are some things I learned that apply everyday to life in a social business setting. I have the privilege to lead companies into these murky waters where sometimes the outcomes can be serendipitous among saving companies thousands of dollars while acquiring new customers and driving bottom line revenue.

Here are those applied theories in action for social business:

1. Red ocean vs. Blue ocean strategy using social media

2. Swot analysis (google it)
3. Quantitative vs. Qualitative data (link to mashable article)
4. Self awareness ENTJ and how to listen more (especially with Social Media)
5. Work on projects with great people. In business school, When you do projects you either choose your own team or the professor assigns them. Just like in the real world, when you work on a project be sure you are aligning with the right people. (this is a critical success factor)

Hope the above principles are helpful for you. Feel free to connect with me on twitter or Google+ plus.justinrfrench.com
I’m continuing to decrease my Facebook usage

Do you have anything to add? I would love to hear about some of your experiences in the social business trenches.

Justin Results French – Chief Social Business Technologist

P.s. If you found this post valuable feel free to share it with other business owners, entrepreneurs, startups, small businesses, business professionals, or other social media consultants. Sharing is caring 🙂