Thursday, May 21, 2009

Is Social Media Marketing a Scam?

I came across this article in PC World today where Robert Strohmeyer is writing about all the charlatans that have showed up on the social media marketing scene as consultants. I believe Robert has several valid points in his article, but I also believe he is being a bit short-sighted as well.

On the positive side I believe he is absolutely correct that suddenly a ton of "consultants" have come to the party and all of them seem to have the "secret" to utilizing this new tool called social media. Unfortunately this has been the case since time immemorial anytime a new technology or phenomenom hits that suddenly there is a ton of people claiming to understand the secrets and are the ONLY consultants who can show you how to cash in.

Also on the unfortunate side is a willing group of people who are dying to learn the "secret" or risk being left behind that they pay some of these clowns a lot of money for bad or useless advice. It is an unfortunate side effect of any new marketing medium being born. However he goes on to say that people go to social media to avoid being marketed to and that any marketing done there will have negligible benefits. Really? I would ask exactly how he is defining marketing and how it is being performed.


Over this post and future posts I will offer a few alternative points of view on this issue. As a real life Internet marketing consultant and not just someone between jobs at the moment I have to look at all of these tools and try to see how they can be used to better market your organization. Here is one suggestion that comes to mind right away...

Market Research. Doing research is a critical piece of marketing for any company big or small. Unfortunately most marketing research is extremely expensive to do and for small businesses it simply is not in the budget. For large companies they simply would not consider any research that isn't done by a large well credentialed market research firm, at least in most cases.

However social media allows someone to be the fly on the wall as the saying goes. It allows both small and large business marketers alike a chance to listen in to the marketplace and see what your potential customers are saying. Listen enough and you are likely to find out what they want and don't want in products and services and probably how to sell to them as well. Admittedly uncovering this information in the midst of all the other conversations going on isn't going to be easy or straight forward, but it can be done. Also unlike formalized market research where customers are filling out surveys or participating in some type of focus group the information you will get from social media is more raw and some would argue more real. People are more relaxed in the social media spectrum then sitting in some room with a focus group. Because there is a certain sense of anomonity in some social media situations people sometimes feel more willing to open up and share feeling, thoughts, and ideas. The point is that this market intelligence is out there if you are willing to go and look for it.

Market research through the social media spectrum is also not just a waiting game and hoping that someone will talk about your product or service. There are whole communities out there that make up your target market. Join this community and offer value, i.e. read that to not mean sales messages. Talk and share. Once people trust you then you can probably ask some specific questions and get some answers from people. In short social media is a conversation starter and there is nothing wrong if some of that conversation is about a business, product, or service.

There is also ways to use social media to get new customers and retain old customers. Real, measurable, and significant ways to do this. I will share those in a future blog post. To give you a taste, remember what I said at the beginning of the post, it is how you are doing the marketing not that you are doing it. I believe this is where Robert has gone astray in his article, but I give him credit for making several valid points and pointing out that yes indeed there are lots of charlatans out there; but just because this might be true doesn't mean that social media can't be a valid and useful marketing channel. Stay tuned for some future posts on this issue.