A Critical Analysis of Social Media Marketing

A Critical Analysis of Social Media Marketing. Social media has gained prominence in recent years with many people preferring to spend a significant part of their time on its sites to build their connections. It has emerged as one of the most common and beneficial inventions for not only individuals to interact, but also companies to carry out their activities. For companies, social media represents promotional and marketing opportunities that go beyond the standard agents and middleman and connects organizations directly with consumers (Sajid 2016). In short, it has redefined the way in which business used to market their products. Businesses are now more than eager to tap into the potential created by this situation with many having established successful social media campaigns and strong presence in these sites to boost their sales revenue generation and overall productivity. For instance, big companies such as IBM and Starbucks are continually exploring social media promotion projects. Despite these organizations being skeptical about the viability of social media, they have now embraced it as one of the most effective and important marketing tools. Thus, with the potential significance and beneficial factors rendered by its use, this paper critically analyzes the role social media has played in transforming marketing communications, promotions, and advertising.
What is Social Media?
Ideally, there has not been a specific definition of social media to date. Perhaps it may be because of the continuous evolution and advancement of the technology.

However, some authors have attempted to explain the concept. According to Agresta, et al. (2010, p.2) “social media is the act of creating and posting content in any and all of the following hosted environments: online mobile virtual, or as yet to be named.” Heinonen (2011, p.356) also refers to it as “user-created services, such as blogs, online review/rating sites, social networking sites, and online communities.” On the other hand, Motameni and Nordstrom (2014, p.30) define social media as “engaging in social or professional interactions via Internet-based communication with the aim of creating beneficial relationships through user-generated content, engagement, and collaboration.” Thus, despite the lack of a specific definition, the above authors provide a rough idea of what the concept entails.
Marketing Model before and after Social Media
According to the marketing mix, the four Ps of price, place, product, and promotions are crucial in every marketing campaign. First, according to traditional marketing strategies, the price contributed significantly to the number of sales made. There was a need to price competitively about other organization’s prices (Solis 2011). A higher price may have led to more sales as consumers at times assumed that the product was of higher quality. With advancements in social media, the price has become more critical in marketing. It has become quite easy to compare the prices of various businesses and consumers will always note any inconsistencies. However, the social media comparison of prices has affected the profit margins of companies both negatively and positively. Competition has become stiff, and consumers now look for products with lower prices but same quality. Initially, companies benefited from customer loyalty. With the evolution of social media, every organization can build relationships with social media users, and a platform has been provided for the clients to make comparisons based on prices and quality (Khare 2012). Therefore, despite social media offering an interactive platform for the organizations and clients, most companies with high-priced products have been negatively affected because the clients are now able to interact with numerous companies and make price comparisons.
Second, the type of product matters. A company can’t produce sub-standard goods and make significant sales. The focus has however shifted to the experiences associated with the purchase and use of the product (Yasanallah and Bidram 2012, p.194). Ratings and reviews have become the in thing. Customers go through the reviews to determine organizations that have a good customer experience during shopping and whether the product serves them appropriately. Indeed, the reviews and ratings help consumers to determine the most ideal and marketable products. However, most companies have been affected. Those that receive negative reviews have experienced a drop in their product sales. Also, the reliability of the reviews has been a point of concern. It is easy for rival companies to use their agents or consumers to make negative comments about the products of other companies to boost their sales which give rise to harmful practices and unfair competition within the business sector (Peck 2011). Therefore, the reviews not only help the consumers to choose the best products in the market but may be used to deceive the consumers and promote unfair business practices leading to an unnecessary and unwarranted drop in sales for some companies.
Third, promotion is another online marketing strategy used by organizations. Traditionally, organizations had to use various promotion methods such as placement of ads on television, radios, and newspapers among other platforms (Mangold and Faulds 2009, p.363). Consumers would listen to the ads then purchase the products they needed. Nowadays, it is consumers who spread the message and information on products and services’ value. The work of marketers on social media is to establish an attachment with the consumers to create a positive brand that will lead to more sales; it is not to push products. This strategy has worked for many companies, but not all. Just like some companies use negative reviews to deceive consumers, there are agents on social media whose main aim is to discredit the products of rival companies to increase their sales (Peck 2011). Thus, despite its promotional benefits to societies, social media offers a platform for unethical business practices because no company can legally hold a client liable for the negative reviews or comments made about their products.
Fourth, a place has been rendered irrelevant by the onset of social media. You don’t have to locate your business in any particular place to make sales. There are many online shops where you can buy your products and have them delivered to your doorstep (Agresta, Bough and Miletsky 2010). The availability of reviews and ratings also ensure that businesses are seen and known no matter how far they are located. As long as the reviews are good, a business will always sell. As opposed to the traditional forms, social media has mainly been useful in this sector. It has made it easier for companies to reach out to a wider range of consumers and also lessen the clients’ burden of going out to shop because products can now be ordered online and delivered to the client in their specified location. Thus, social media has made life easier for both the customers and companies in this aspect.
Other than the 4Ps, there is three other marketing mix that is equally important for a company’s marketing strategy. They include people, processes, and physical evidence. People are part of organizations, and they are relied on to improve the overall organizational outcome. Having the right personnel is essential because of their contribution to the company (Yasanallah and Bidram 2012, p.194). However, they need to be motivated to work towards the achievement of the company’s goals- employees and other staff members who are not motivated by a healthy working environment are unlikely to deliver as required.
Similarly, processes are an essential part of the company’s operations. The customers must be made familiar with the delivery processes as well as other relevant procedures used to get the products to the clients- this is how they gain confidence in the company and their products (Yasanallah and Bidram 2012). Shady companies will lose clients because of the emergence of internet cons and fraudsters. Lastly, the physical evidence provides consumers with the contractual elements of their transactions. Every organization needs to have a form to be filled by the clients for legitimacy and bureaucracy purposes (Yasanallah and Bidram 2012). This gives the organizations a legitimate and clean image in the eyes of the customers, thereby, building trust. Thus, social media has made transactions effective, and these processes are necessary to counter the rising online frauds who take advantage of the platform to deceive and steal from people.
Types of Social Media
Social media platform or tools are categorized depending on their functionality. These include Blogs, social networking, Micro-blogs, and Multimedia sharing platforms. Social networks such as Facebook are platforms where users can interact more efficiently with friends and family. Many businesses are marketing on Facebook because a significant amount of data is stored and utilized to target the millions of users on the platform (Pierre et al. 2012, 263). Customers also engage with businesses directly and can complain to them about poor service delivery among other things
Blogs are websites that contain publicly accessible material and which are managed by individuals who regularly post diaries and commentaries that may include videos, texts, and graphics (Heinonen, 2011, 357). For business, a blog may be seen as a rather inexpensive but powerful tool which can be used to manage reports, internal communication, and customer service. Micro-blogs such as Twitter, on the other hand, allow users to read and send short messages that are restricted by some characters. The platform also allows users to share important news happening around the World. These, among others, are the major social media platforms used for marketing by companies.
Changes in Consumer Behavior and their Implications for Communications
Consumer behavior has greatly changed with the advent of social media. Customers are now shunning the traditional means of advertisements such as newspapers, magazines, television, and radio. They are also continually demanding more control over the consumption experience, requiring immediate access to information on demand. As a result, people are now turning to various social media platforms such as Twitter and Facebook to get information on various products, prices, and experiences- this is mainly possible through the ratings and reviews left on these sites by various users (Mangold and Faulds 2009, 364). Customers are also more than likely to talk about products that they become emotionally attached to due to the user experience.
The technological advancements have changed the perception and preferences of the customers. Organizations now strive to impress their clients because of the power that social media has given to them. As described by Gillin (2001, p.4), “conventional marketing wisdom has long held that a dissatisfied customer tells ten people. But that is out of date. In the new age of social media, he or she has the tools to tell 10 million.”In essence, the implications customers have on marketing as a result of social media is massive. For instance, customers no longer rely on the traditional means to make their buying decisions. Social media has provided a platform that allows for interaction between consumers which makes it easier for them to discuss the effectiveness and benefits of the product in question. However, this has affected significantly the way companies carry out their marketing (Berthon et al. 2012, p.268). As stated above, many organizations now rely on the feedback of the customers to understand the effectiveness of their products. In some cases, companies and customers are subjected to deception and misleading statements. With many frauds and unethical companies emerging, it is hard to determine the genuine reviews from the deceiving ones, and this has cost numerous hardworking organizations in the market.
Ideally, social media comes with various opportunities which if exploited appropriately can lead to an overall improvement in sales and revenue. It is, for example, a more cost-effective and quicker way of reaching customers as compared to traditional methods. It also enables targeted brand building through microsites, executive blogs, and podcasts. Social media also allows an opportunity for consumers to be involved in product development which enables brand loyalty. Based on this attribute, many companies have opted to use social media for marketing purposes because of the number of people or consumers it attracts. In fact, social media users grow day-by-day, and this makes it an ideal platform for business. However, as noted by Peck (2011), there are questions organizations must ask before engaging customers on social media. The most common concern has been the legality of the use of personal data of consumers through Facebook. In fact, in as much as Facebook has justifications for using users’ data, it has become a subject of ethical debate with many people arguing that business use this to manipulate marketing outcomes (Peck 2011, p.17). Also, issues of fraud are alarming. Many consumers have been conned by clone companies raising questions of how clients can certify the authenticity of the organizations they deal with (Peck 2011). Therefore, before making assumptions on how social media has been useful and helpful to customers and companies, these are issues that must be addressed to improve its effectiveness.
Managing Social Media Opportunities and Challenges
No single method or strategy can be referred as the most effective concerning social media marketing and campaigns as there are many different social media platforms. The available research on the area is also not conclusive it is in fact quite scarce. Different authors have, however, come up with various strategies to put up effective campaigns and marketing on social media. First, according to Kaplan and Haenlein (2010, p.63), language and attitude is one barrier to effective social media campaigns. Marketers, therefore, need to listen more when conversing with customers rather than bully or intimidate them. Bureaucracy is usually another barrier to successful social media marketing. There should be an element of flexibility and speed in the campaigns as one mistake may blow costing the organization significantly. Employees should also be trained adequately on the best use of social media for effective campaigns.
Further, Peck (2011, p.139) argues that there is need to create a documented social media strategy before undertaking any campaign. This ensures that everybody understands what they are doing and reduces misunderstandings as they are aware of the online campaign’s objective and goals. Also, Khare (2012) emphasizes the need to brand before undertaking any social media campaign. Logos, titles, taglines, images, and colors have to be done most appropriately on the various social media platforms. Branding enables the organization to be recognized easily as the usage of social media sites is usually quite high.
Finally, Solis (2011, p.19) argues that organizations “can implement effective strategies by “focusing on multiple markets and influencers that will have a far greater impact on brand resonance and the bottom line than trying to reach the masses through art, message, venue or tool.”. Similarly, Powell, Groves, and Dimes (2011, p.39) agree on the impact on influencers in campaigns, arguing that there is need to develop strategies at the influencer alongside the consumer and individual levels. Thus, if the challenges facing social media are effectively addressed, more opportunities will be created, and organizations and consumers will be the major beneficiaries.
Conclusion
Indeed, social media has changed the way businesses operate. It has made it easier for organizations to interact with the consumers and understand their preferences. On the positive side, this has helped the companies to improve their quality and the customers to receive goods at their convenience as a result of the emergence of online shops. On the negative side, social media has created an opportunity for fraudsters to take advantage of the consumers. However, this can be addressed through the means named above. As a result, social media will become more effective and beneficial to both the businesses and clients. Therefore, it is important to understand both the benefits and challenges facing social media before engaging in marketing and other activities on social media.

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