This paper will evaluate the reasons social media marketing has become exceedingly popular among business of all sizes. This assignment will analyze the advantages and disadvantages of social media marketing for business entrepreneurs. I will research two other businesses has utilized social media marketing. Lastly, this paper will speculate the impact social media will have on business over the next decade, while identifying the skills individuals need to improve in order to take advantages of the changes.
Throughout the twenty-first century, social marketing has become exceedingly popular among businesses; not matter the size. Marketing and technology have ultimately taken over the world, allowing individuals round the clock access to the Internet, music, emails, televisions, and video uploads all via their cellular device. Social media marketing as become remarkably popular among businesses such as Pepsi refresh project (Boone, L.E. & Kurtz, D.L. pg.354). This viral marketing launch became a year long initiative in which consumers created a short video that would benefit their communities. This particular marketing strategy was popular in the advertisement of Pepsi’s products without it costing anyone anything. When the videos went viral, Pepsi was able to save money on the cost of advertisements, and spend the money they saved elsewhere. Companies that evolve into social medical marketing will be able to increase exposure to their companies, gain additional web traffic, potentially increase sales and gain customers. Social media marketing is the new way of the world for companies interested in expanding their brands; therefore, more companies are investing more of their money in social media.
Just as any business venture, there are pros and coms when conducting business via social media marketing. Some advantages of social media marketing for business entrepreneurs could be the increase in sales, lowering the cost of advertisements, bringing in additional awareness to their businesses and being able to get better understanding of what the consumer wants (Jeff bullas, 2013). Some disadvantages of social media marketing for business entrepreneurs could be very time consuming, other social networking sites, the lack of user friend-ability and the fact that the company’s media marketing strategy just doesn’t get the point across to the consumers. An average of social media marketing as it pertains to the Pepsi Co. would be Pepsi was able to cut cost in advertising, gain web traffic and generated publicity for the company, however, some disadvantages consisted of web competition with other companies such as Facebook ad Twitter, and generated press for celebrities and individuals that were featured in the viral videos, which ultimately took the focus off of Pepsi’s publicity (Boone, L.E. & Kurtz, D.L. pg.354).
Despite the probable disadvantages for Pepsi, and company has been able to gain more customer insight with the assistance of social media marketing compared to without it. Marketing has evolved over the years, thanks to the help of social media and marketing concepts. The term marketing concept refers to a companywide customer orientation with the objective of achieving long run success (Boone, L.E. & Kurtz, D.L. pg.355). Social media marketing begins with the customers. If Pepsi Co. never took the initiative to launch their Pepsi Refresh Project; they would not have able to interact virally with the consumer. Pepsi has been able to gain customer insight through viral videos and online judging from customer-to-customer. Being that the customer were able to provide their input, Pepsi Co. was able to analyze each customer’s wants and needs; giving Pepsi incite on how to improve future products.
Two businesses that have also used social media marketing to their advantage are Dominos Pizza and Navy Federal Credit Union. Dominos Pizza has used social media marketing to their advantage by allowing customers to order pizza via web, running special promotions for online-orders and creating a step-by-step order tracker. Domino Pizza has been around since 1960, with the mission to be the best pizza delivery company in the world (Dominos, 2013). Throughout the 21st century, Dominos Pizza has utilized social media marketing by being consistently ranked number one out of the top five food companies I terms of online transactions. The pizza company also has an ordering app, which is featured on their web site and is available to 80 percent of smart phone users. Domino Pizza’s business has flourished since the implementation of their social media marketing; 30 percent of orders have been online (Domino, 2013). As a Domino’s Pizza customer the best social media marketing strategy in my opinion is in the pizza tracker. Domino’s delivery experts have engineered a pizza tracker to aid in keeper the customer up to date on the status of their order; starting from the moment the customer places the order, to the second it leaves the store for delivery (Dominos, 2013). The second business that has also jumped on the ban wagon, using social media marketing to their advantages is Naval Federal Credit Union.
NFCU serves the banking needs of the Army Marine Corps, Navy, Coast Guard and the department of Defense. NFCU has utilized social media marketing by allowing their members to use mobile banking and online account access. The mobile banking app allows customers to stay on top of account activity safely and securely no matter your location in the world (NFCU, 2013). As a member of Navy Federal Credit Union, the app has been vital in my time of need. For example, I was at a retail store proceeding to pay for my items when my card was declined. I was well aware of my account balance; however, my card was still declined. Thanks to NFCU mobile banking app, I was able to log into my account via my mobile device and view fraudulent accounts that a perpetrator charged on my card. Social media marketing has an advantage as it permits to Navy Federal Credit Union; through the online account access feature. The online access is free, fast and convenient to NFCU customers. Online access is available 24-hours a day, with worldwide service; allowing consumers the flexibility to transfer funds, pay bills, order checks, view 36 month of electronic statements and make loan payments all via the web (NFCU, 2013)
Thus far, social media has had a lucrative impact in the success of businesses worldwide. Over the next decade, I predict that social media will continue to implement blogs, bulletin boards, chat rooms, viral videos, and online advertisements to expand on marketing techniques for business involved. As the world evolves, social media marketing needs to be a step ahead of the evolution; therefore, it will need to adapt and stay relevant through the change of time. Social media marketing will need to improve on the target market; making sure they have adequate workers designated to those different types of social markets. In order to take advantage of the changes, businesses should expand and have a social media department ready to tackle the expansion and potential growth of businesses.