Social media sites have spent the better part of the last year drastically focusing on how their users can turn fellow users into customers.
Using digital advertising platforms are critical. The Interactive Advertising Bureau and PricewaterhouseCoopers revealed recently that U.S. online advertising grew by 13.9% in 2010, reaching a record US$25.8 billion, as Fox Business reports. Globally 10.2% of the US$79-billion invested in online advertising next year will be in the social media space. Perhaps the most interesting of all these developments is the advertising that is not recorded amongst: growing number of businesses using social media as a free tool.
Small businesses once faced prohibitive barriers such as the high costs of using media outlets like local television networks and radio, which had little guarantee of reaching a target audience. It’s no surprise there has been an estimated 35% growth in Facebook ads in a single year. When businesses are not spending money, they are likely investing time, energy and ideas in generating interest. So how to you ensure you are effective and not simply present for the sake of it? Saving on costs and actually generating profit don’t go hand in hand without a couple of basic fundamentals to one’s strategy.
Russell Rothstein, the Founder and CEO of Sales Spider warns that while social media can create the buzz you are looking for, that in itself may not necessarily always translate to a better bottom line for your business.