Volume 3, Issue no. 1
The State of Social Media Marketing TodaySo, has social networking lived up to the hype? In a word, no. But social media does have a role to play in travel and tourism marketing, depending on who’s using it and and why. Here are some of the insights we've gained on social media’s strengths and weaknesses.
Social media is social – not commercialSocial media allows people to easily stay in touch with their friends and family, to make connections with others who share similar interests, and to support social causes and grassroots movements. It helps bring people together and involve them in events much bigger than themselves (witness social media’s role in the recent regime change in Egypt, and the aftershocks that rocked the Middle East). It is a social force unrivaled in human history. But the key word here is ‘social;’ a medium of human connections and interpersonal relationships. It is not primarily a commercial or marketing channel. In most instances, selling is interruptive, even off-putting, so marketers must exercise restraint in driving the sales process. Doing good is what social media does bestMany of the most popular and successful social media marketing campaigns of the last year were movements: campaigns designed to do good, and engage people’s desire to help others. They were meant to drive traffic but not necessarily sales. The Queensland, Australia campaign was about getting a job, not tourism. The Pepsi Refresh campaign encouraged people to vote for the most worthy recipients of significant grant money. Charitable efforts, fund-raising and supporting community causes have gained a lot of attention this year, and caused a big bump in followers, but these are more successful as public relations efforts than for lead generation or selling. (An informal survey of the Wanderlust team showed that while 90% of us had voted in the Pepsi Refresh campaign, less than 30% purchased Pepsi products because of the campaign.) Strong brands have an edge in social mediaDestinations, resorts and attractions that have a clear brand position, a well-defined customer experience, and something worthwhile to say, tend to outperform others in the social media realm. Brands that can connect with their customers, but keep the conversation on a social or entertainment level, are the leaders in collecting fans and followers. Social media is great for engaging existing customersIf you have a large customer base, especially if you have a large group of advocates for your brand, social media marketing is an extremely effective vehicle for customer engagement. Social media Friends, Fans and Followers offer a captive audience for a steady stream of invitations, reminders and promotions designed to draw visitors back. Destinations and attraction brands with frequent repeat customers – such as ski resorts, summer camps and theater groups – can use social media to remain in contact with customers who are likely to return often (a highly valuable segment of any potential audience). If your destination has a large base of highly satisfied customer, social media is an essential channel. Use it to create buzz for your brand through re-tweeting, sharing and linking from your satisfied customers to their friends and followers in the social network. Word of mouth marketing is one of the most effective forms of marketing: the opinions of trusted, non-biased consumers carry considerable influence for today’s Internet-savvy consumer. | ||
A note on Pepsi Refresh. In 2011 Pepsi Refresh is going to give more voting power to its to those who buy Pepsi products. Probably inside the caps or on the cans you'll see special codes.
http://www.youtube.com/watch?v=82mOYDHQLIU&feature=player_embedded
Thank you for this article/testimonial on social media. It is refreshing to read such a well written article that describes some of my own findings...
Congratulations. This one will be printed and saved. Kind regards Kathleen Bertier
It's kind of interesting to hear you guys bring up the economic aspect of it all because there's a lot of buzz in the hacker/startup communities about a potential tech bubble in the making; a lot of the VC/Angel funded software development of the moment is based at least partly in what could be considered social media, and a lot of it hasn't proven itself valuable with hard ROI yet, as you mentioned. (see Color - an in the moment photo sharing startup - which just got more money to get the ball rolling than Google did back when it was in the start-up stages: http://blogs.wsj.com/venturecapital/2011/03/24/sequoia-to-color-labs-not-since-google-have-we-seen-this/)
That being said, the numbers haven't really matched the dot-com bust, at least as far as I've read, but I'm no economist so my opinion on the situation is novice at best. Also, and maybe I'm wrong about this, but the dot-com bust was much more embedded in public funds than current investments are, and considering Facebook - the elephant in the room - is still private, as are most of the other big players (twitter being the number two), whether or not the these services go belly up is more Morgan Stanley's problem than the world's.
So why is this important to brand designers?
If most social media services are currently being funded in huge amounts based on (bad) speculation, and it turns out that these services aren't self sustainable, then when the bubble finally does pop, we, as brand people, are going to be left up the river without a paddle. No more money, means either no more insert-your-favorite-social-media-service-here or Facebook starts charging companies; either way, it's going to be turbulent considering how dependent some of us have become on it.
*that doesn't mean that Facebook doesn't provide value to brands, but if we're not paying them, and no one else is willing to, they go in the way of the Titanic.
All of this is especially the case when you consider what you guys mentioned in the article about a lot of people getting on board for the sake of being able to have buzz-words on their services-offered pages - not realizing that social media is a tool rather than a packet of Jack's magic beans. What are those people going to do if the bubble pops and people start charging? How do you value something that everyone says is priceless yet has been free for as long as you can remember?
...or maybe I'm just over thinking all this and everything is fine, which could totally be the case.
Good read, either way.
Another thing: right after I wrote this I ended up watching Zuckerberg's portion of last year's Web 2.0 Summit* and he mentioned something very interesting...
I think it's very obvious that there are people out there just jumping on the bandwagon, throwing all their chips in the social basket without properly understanding it; and being reserved in one's use of social media can be beneficial, especially in an era where it seems to be more fashion than substance. BUT, don't discount the significance of social media because there is a lot of PROVEN advantage to using it, albeit as far as my knowledge is concerned, mostly in tech companies (service based stuff); although, I don't see why these kind of trends can't propagate into the non-tech or less-tech markets.
So when I say proven, I'm talking tangible, measurable examples; the one's Zuckerberg used in his interview were flickr and google groups. Facebook came out with (comparably) sub-par competitors to both of these products, and in no time at all both became major contenders for their respective #1 titles; I'm pretty sure Facebook actually is the #1 photo sharing site now, and they only recently started supporting high-res images! Soo... it can only be attributed to the fact that being social is a more or equally important (and I'd argue, natural) component of a product/service than what the product actually offers in an isolated sense. that being said there are definitely exceptions; I don't really see how making Scott Toilet paper or Tide detergent social would work, let alone be effective. In that regard, that's the kind of distinction that I think your article alludes to people not making. Social is not an end-all-be-all, but there is a lot of unexploited power.
*http://www.youtube.com/watch?v=Czw-dtTP6oU&feature=player_embedded
@Adam: Thanks for sharing your thoughts on social media as a marketing channel. Clearly, there are many opinions and perspectives, both pro and con, and a lot at stake for all of us – travel and tourism marketers, branding firms, the developers of social technology and investors alike.
Great article!
The success or otherwise of Social Media Marketing, like any marketing tool or channel, depends on creative and strategic application. The better you apply the tool and how it dovetails with your other channels, the more success (ROI) you will achieve.
www.ignitehospitality.com/blog/article/nothing-works-in-isolation
This statement brought it all home for me - "...leveraging the social power of ‘movements’ instead of direct marketing.