Social Media Marketing. Business & Marketing Research Paper

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Social Media Marketing
There is no doubt that social media continues to revolutionize how people interact, become friends, and communicate. Social media has also managed to interfere with other aspects of life most notably business and people’s approach to things like advertising. Currently, companies all over the world have social media departments whose sole responsibility is to find ways the companies can exploit the opportunities made available through social media. Through social media, companies have also found simpler ways of communicating with their clients. Social media marketing has also gained traction in the last few years as companies are trying to find more efficient ways of reaching their clients and also increasing their sales. Chi (46) defines social media marketing as “a connection between brands and consumers, offering a personal channel and currency for user-centered networking and social interaction.” So, in using social media marketing, businesses are trying to make their companies be user-centered while also increasing instances of interaction between them and their clients. While trying to gain competitive advantage over one’s competitors, a business has to make use of available strategies and social media presents a viable option for growing one’s business. This paper, however, will not offer a holistic perspective of social media marketing. The paper will focus on the effectiveness of social media marketing, measuring this effectiveness, and the metrics to consider while trying to measure the effectiveness of social media marketing.
Research Questions
* What are the factors to consider while measuring the success or effectiveness of social media marketing?
* What are some of the metrics that can be used to measure the effectiveness of social media marketing?
Metrics of Measuring the Effectiveness of Social Media Marketing
Different metrics have been proposed to help measure the effectiveness of social media marketing. It is challenging to develop or to decide on the right metrics to use and how they ought to be applied to help reveal the true picture of the effectiveness of social media platforms in marketing. Some people consider likes or comments as crucial metrics. Well, this is not a bad idea. However, it is important when people go a step further and try to establish how these likes or comments translate to profits for the business. Knowing the metrics to use is not a problem. Determining how they translate to either profits or growth in the customer base for the business presents a bigger challenge. According to Sudarsanam (139), the following are the best metrics for measuring social media marketing effectiveness: conversion rate, amplification, applause, and economic value. With these four metrics, one is able to account for views, likes and comments, shares on social media, and how all these translate to money for the business.
* Conversion rate – The conversion rate mainly involves the number of comments that are generated by a single post on any of the social media platforms. A higher conversion rate means that a business is able to reach and influence the lives of many people. When customers and potential customers take their time to respond, it shows that they are aware of the developments being made by a business. However, as indicated by Sudarsanam (139), “organizations need to understand the target audience, brand attributes, strength of brands and value additions to followers and ecosystem.” Having a deep knowledge of their customers will be helpful when an organization is trying to sell itself or a product. However, Sudarsanam (139) continues to state that often, it may serve a business better if they employ complementary strategies to help boost their conversion rates. He proposes the principles of persuasion which include reciprocity, consistency, social proof, authority, scarcity, and liking.
* Amplification – amplification rate simply means the rate at which the news or adverts from companies are shared or reach the followers of the company’s customers. This is heavily dependent on the material that is shared and how well it is received by consumers. If a customer shares a post and the message resonates well with their followers, it will be easier for the message to receive more shares. The opposite is also true and hence as mentioned earlier, it is crucial that businesses know their audience well. Deep knowledge of their audience will make it easier for them to post content that resonates well with their clientele and their friends or followers.
* Applause – the applause rate is the number of likes a post on any of the social media platforms receives. When people like something on Facebook, Twitter, or Instagram, there is a way they let the owner of the post know. For businesses, these numbers are crucial. If a post generates fewer likes or favorites, then it is highly likely ...