Week 1: Clear on Importance of Social Media

From the curious days of MySpace to the rise of the social media giant Facebook, its clear that the phenomenon of two-way online communication is here to stay.  Whereas MySpace began as a fun way to keep up with friends and listen to music for the teenage generation, social media has grown through sites like Facebook, Twitter and LinkedIn to a communication medium critical for growing businesses.

Customers now make or break a company through word-of-mouth online. If a product or service is well-received, positive word-of-mouth encourages friends and family to try it as well, and also improves the company's reputation. Likewise, a negative experience will be just as visible to countless others. But unlike traditional customer complaints, social media gives businesses the opportunity to publicly rectify the situation whether with an apology, clarification, or other means such as an offer to exchange or a discount. While no business goes without an unhappy customer or two, most consumers appreciate the action and often reassures them that they have a chance to voice their opinions to a company who is willing to listen. A business who interacts with their consumers online will reap the benefits of transparency, consumer insight, customer service, top-of-mind benefits, and free advertising.

Graphic Source: flickr user liako