Is Social Media Marketing Worth The Effort?

Social media marketing is a double-edged sword. Brand managers no longer control 100% of a company’s brand image. It encompasses both the company’s actions and consumers’ voices. Social sites, forums and blogs are avenues for people to voice their likes and dislikes about certain products.

But with all that said, is social media marketing worth pursuing? Or would it be better to stick with the traditional guns? I will discuss 3 aspects to explain why social media can be very well worth it. But bear in mind that this is a very general discussion and does not apply to any industry in specific.

1. Impact

We previously wrote that each negative comment might cost 30 potential customers. With that statistic in mind, let’s assume that each positive review would add 15 potential customers. But of course, these comments must be genuine. Any artificial buzz found out might have an adverse impact instead.

Let’s make a comparison with traditional media. A hundred views on each media message would give the following results:

Social media: 100 views x 30 = 1,500 potential customers

Traditional media: 100 views x 10% = 10 potential customers

For experienced marketers, a 10% response rate on traditional media is considered a gift. But you may argue that a TV commercial or print ad on popular channels have huge reach and would increase the exposure of your advertisements. I totally agree with that but what if I told you that social media can do it at half the price?

To get 1,500 potential customers using traditional media, a marketer would need 15,000 views at a 10% response rate.

But bear in mind that social media could also cause a disaster.

2. Investment

Social media marketing can be costless. But for traditional advertising in general, designing and distribution both incur costs.