30 Nov 76% of Retailers Are Spending More on Social Media This Year. Here’s Why.
Social media is paying off. Those are the findings of a recent study performed by Forrester Research Inc., which show that 76% of retailers are planning to spend more on Social Media Marketing this year than they did last year. The findings demonstrate that social media, which many may dismiss as trite or unnecessary, is actually growing faster than any other digital marketing strategy.
The sudden upswing in investment is most likely a result of new-and-improved advertising options, like Facebook’s dynamic ads option, which allows retailers to advertise products that are available in a user’s local area. Instagram, Pinterest, and Twitter have also made tremendous strides this year, both in number of users and improved updates.
As for SEO, the report suggests that it will also see an investment boost this year, but not as much as social media will.
So, why are organizations from Denny’s to NASA deciding to invest more on social media? We have a few ideas:
- Improved customer relationships: Social Media allows brands to demonstrate a clear, genuine commitment to customer satisfaction. By promptly replying to questions, addressing concerns, making relevant jokes, and engaging with their audiences, brands can convert simple customers into die-hard brand advocates.
- Increased audience reach: A lot has changed in the marketing world over the past century, but word-of-mouth is still one of the most powerful selling tools in existence. Customers trust each other far more than they trust corporations, and are therefore far more likely to make a purchase based on positive referrals, reviews, and posts. Likes, shares, reblogs, and retweets can help spread the word about your brand like wildfire, which will convert into cold, hard sales.
- Better brand performance monitoring: Social media allows retailers to discover what customers are saying about their products, their brands, and their competitors, uncensored and unimpeded. This allows marketers to keep their fingers on the pulse of the ever-shifting conversation about their brands and address concerns as they arise.
- Highly customizeable ads: Social media ads, like those on Facebook, can target users according to highly specific factors such as location, education level, industry, purchase history, and “liked” pages. When your ads are only being shown to those who already have an interest in what you have to offer, they are far more likely to convert into solid leads and sales.
- Cost-effectiveness: In terms of ROI, Social Media offers an astonishing bang for your buck. For example, a boosted post on Facebook may cost $0.12 per click, when it could cost $1 or $2 (or even $50) on Google AdWords, depending on the keyword used. When such a minimal investment can reap a huge payoff, it’s no wonder that more and more companies are upping their Social Media investment.
If these aren’t enough reasons why your company should invest in social media marketing, don’t worry; we’ve got more. If we’ve managed to convince you, give us a call. We have the skills, knowledge, and industry experience to craft a Social Media strategy that truly converts and grows your business.