1. Literature Review: The Use of Social Media and Online Advertising in Marketing.
1.1 Introduction
This review will address studies on how social media and online advertising to attract new customer in a business environment. The CEO, Ms Louisa Gradgrind is the one who has commissioned this review. The aim of this review is to make people realize on how social media and online advertising play important role in business environment in order to attract new customers. This review was conducted by Heidy Mulyani, in the period from April 2014 to May 2014. The publication date range of text cited is between 2004 to 2014. The information in this review was found by researching library database, Google Scholar, books and journal articles.
1.2 Social Media and Online Advertising Plays an Important Role in Marketing
In the past few years, social media and online advertising had been an essential tool to be used mostly by companies; there are a lot of benefits that company can take by using social media and online advertising such as find new customers, easier to promote products, and the cost that they are facing is also lower (Nadaraja & Yazdanifard, n.d., p.2). “According to Forrester Research, 75% of Internet surfers used “Social Media” in the second quarter of 2008 by joining social networks, reading blogs, or contributing reviews to shopping sites; this represents a significant rise from 56% in 2007. The growth is not limited to teenagers, either; members of Generation X, now 35–44 years old, increasingly populate the ranks of joiners, spectators, and critics. It is therefore reasonable to say that Social Media represent a revolutionary new trend that should be of interest to companies operating in online space” (Kaplan & Haenlein ...
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...bad comments on company’s profile, it can damage reputation of the company and affect new clients to join in (Brookins 2014). From the company’s perspective, it would be time consuming because of answering customer’s comments (The Disadvantages to Social Media Marketing 2011).
1.5 Conclusion
After did some researches, I found out that not only companies that realized the importance of social media in marketing, health care and other organizations also use social media for the other purposes. In conclusion, the role of social media is very useful nowadays, but I found there are some of problems that companies may face by using social media, which can create very bad reputation to the company’s name and brand. On the other hand, social media give a lot of advantages to companies, which can help to attract new customers and give a huge change to small companies.
Social media is a modern way to manage the business; this is a useful to the companies to manage the existence in the market approach to the brand and consumers. Also, using a social media they are able to get the feedbacks from customers and able to improve their business. Additionally, social media is used everywhere by everyone and people go on it a lot of times in a day. Therefore it is important for the business to fit to the changes occurring in the market frequently in order to keep the business working properly and not losing customers.
According to Nair (2011), “The social media property on the web is exploding and fast becoming a necessary part of the arsenal of any organization. It took 38 years for the radio to attract 50 million listeners, and 13 years for television to gain the attention of 50 million viewers. The Internet took only four years to attract 50 million participants, and Facebook reached 50 million participants in only one-and-a-half years. Facebook, which was originally designed for Harvard students and launched in 2004, has become a phenomenal example of social engagement. By 2009, Facebook had already achieved 100 million monthly active users covering age groups from 13 to 65; by the end of 2010, there were more than 500 million users. (p. 46) With so many people connected through social media and since businesses are dependent on people to thrive, they have been impacted both positively and negatively.
As might be expected, the millennial generations as a whole are passionate about the technological and communication advances in the past decade with the internet and social media. “A new Pew Internet Project report reveals that 93% of young adult’s ages 18‐29 are online” (Andrew January 14 to 27, 2010). This allows access for marketer’s access to the generation in a different way than previous generations.
With the invention and development of the Internet, communication has changed in to a revolutionized platform. The Internet has evolved from a means to facilitate data, to a stage of public communication through the use of social media. Social media has affected every aspect of interaction from personal lives to the business world. The business world however, has been especially impacted by the application of social media. Social media has opened up a plethora of opportunities for businesses to advertise, promote and market themselves to consumers. Social media “is one of the fastest growing and most promising strategies a business can employ to boost sales and conversions” (Adobe). As social media continues to grow as a marketing tool, more and more companies have incorporated social media into their daily business activity for brand awareness, target market reach, business expansion and customer interaction.
Social media is an imperative public relations tool for companies to utilize in their business practices. Social media cannot be regulated so anyone can say what they please about the company, whether it is good, bad or ugly. Social media is developing rapidly and there are new platforms
“Social media, a web-based and mobile technology, has turned communication into a social dialogue, and dominates the younger generation and their culture. As of 2010, Generation Y now outnumbers Baby Boomers, and 96% of Gen Y has joined a social network” (Qualman 1). Social media now accounts for the number one use of the Internet, and this percentage is rising bigger every day (Qualman). As a consequence, people are becoming more reliant on social media, which has a led to a number of advantageous as well as unfavorable effects. The world is more connected today than it has ever been in the past, and this is all because of growth in technology. What has yet to be determined though
Social media avenues are a new, upcoming, and popular way to advertise for businesses and for people to connect to each other. Alexis Ohanian once said that "Being effective at social media, whether for business or personal use, means capturing people who have short attention spans. They 're only a click away from a picture of a funny cat, so you have to make your thing more compelling than that cat. And that can be a high bar." (Ohanian) Powerful usage of social media can have a big impact.
Today 's generation is all about social media. It is the new way to have instant connection to thousands all over the world. Today 's company are now doing less traditional television, radio, and print advertisement and more promotion via Twitter, Facebook and/or Instagram. Companies are invested in getting famous people to post pictures or tweet about their products, knowing that, one person can connect with millions with just one post. Over half of the world has access to social media, making them great consumers. Social media benefit marketing by giving the companies the opportunity to learn their audience/consumers, having access to instant feedback and bring awareness to here product.
Social Media means the use of web-based and mobile technologies to make communication an interactive dialogue. It takes on many different forms including social blogs, Internet forums, magazines, micro blogging, photographs or pictures, wikis, videos, podcasts, rating and social bookmarking. With the world in the midst of a social media revolution, it is very obvious that social media like Facebook, Twitter, WhatsApp etc., are used extensively for the purpose of communication. This form of communication can be done with a person or a group of persons. Today most of the people working in the organizations, especially the young generation are hooked on to the different social media for keeping in contact with their peers. It is media for the social interaction as a superset beyond the social communication. There are both advantages and the disadvantages of using social media. One very important advantage is online sharing of knowledge and distributing information among the different groups of people. And this online sharing of information also promotes the increase in communication skills among the people. There are also disadvantages of
The writer finds social media is important in her current organization, Modern Business Concepts, Incorporated (MBC). With small business organizations such as hers, social media is important in spreading information on who the company is and what they do. Also as a business-to-business sales and marketing company, spreading the word is important in gaining customers and potential employees. Ucok (2014) uses research and experiments to prove how social media is essential to marketing. These platforms were essential in Ucok’s research, resulting in higher response with marketing campaigns proving “the importance of social media in marketing strategy and communication” (Ucock, 2014, p. 95).
Businesses can benefit from social media through cost reduction by reducing staff working hours and increasing revenue. Social media marketing is the fastest means of getting words out about a business or product, that is why eventually all businesses are buying the initiative. Most marketers who are already established in the new social media initiative are beginning to implement their own tactics, which has brought social media to a greater height than it was before. These popular websites could be a great approach for companies and customers to improve their communications by applying them to computers and mobile devices. Social media marketing is a term not really known by many people.
Since social media users grow larger and larger, many companies take the opportunities of using social media marketing to reach more customers. Companies use social media marketing in order to achieve marketing communication and branding goals. Social media allows companies to see what prospects are saying about their brands and competitors. It also allows companies to build deeper relationships with existing customers that drives them to purchase again and again. Not only it can help them generate new leads, but it allows them to build deeper relationships with existing clients that drives them to purchase again and again. It has become common for businesses to branch out and experiment with multiple networks with the aim of reaching the maximum amount of costumers.
We can now connect with each other instantly over the internet. It is quicker and easier to communicate and share with each other now than it has ever been. Massive amounts of people access the internet every day, and a good number of them use social media. This means that the ability to use social media and use it well is crucial for modern businesses. Whether for public relations or advertising, social media is now one of the best ways to reach consumers.
In the end, social media provide a way of keeping in relations with friends, also allow many companies to reach a large number of costumers and to be more productivity. At the same time, media are changing the ways in which we communicate and interact with others. Social media is a very interesting thing in our life. It was made for the free exchange of lots of information all around the world without boundaries but we have to know well how and why to use these media.
Social media is a form of online communication channels devoted to society input, intercommunication, and cooperation. In social media, people can talk and interact without restriction, exchange and debate information with each other about their lives by using many different combinations of the words, personal multimedia, photos, and videos. Also, in social media, individulsa and groups can create, edit, comment on, and engage in personal conversations. There are numerous types of social media, for example, wikis, blogs, social network site, micro blogging services, and sites sharing media. At the beginning, social media was limited to a few networks sites, for instance, Bulletin Board System that allows people to communicate with each other and post a comment. Today, social media has transformed from ineffective sites to more useful and effective websites, for example, Facebook, and MySpace. Some companies are using social media to achieve their goals which is attracting more customers to company website. Three advantages of using social media in business are: raising brand consciousness, building customer relationships, and increasing performance measurements.