Social Media Will Change Your Business

A lot has changed in social media since BusinessWeek’s landmark 2005 article, “Blogs Will Change Your Business,” which still attracts readers. After compiling hundreds of survey responses and other research, the authors realized the focus of their story missed an even bigger issue: that blogs are just one of the many do-it-yourself tools on the Internet, and that social networks have surpassed blogs in popularity in recent years. So, Stephen Baker and Heather Green updated the ‘old beast,’ moving it beyond the blogsphere.

What this means?

Despite the immense amount of influence blogs have, especially in the technology arena, they’re actually only read by a small percentage of the population. Although the popularity of blogs is still growing, the exponential growth in social networks, like Twitter and Facebook, has become a far more potent force. Social networks are creating a dynamic platform in which to exchange information, extending reach, raising visibility, obtaining new clients, growing businesses and, consequently, enhancing the internal and external model of business.

Here’s what companies need to know:

• Walls around companies are disappearing. On the positive side, millions of employees are surfing through social networks to talk with co-workers or customers, find new contacts, develop new business and discover trends. For example, companies like Best Buy have found benefits in social media with Blue Shirt Nation, an internal social networking site to spot collaborative teams or find employees who transmit new ideas. On the other hand, companies using social networks run the risk of losing control over information and seeing their secrets leaked to the public.
• Some companies modify social media for their own use, with employees and offices around the world benefiting from wikis, derived from the same technology as the Wikipedia. Every project is attached to a wiki, so that employees from different sides of the world can work and edit a project in different time zones. For example, more than 16,000 employees of BT, the British Telecom giant, work together on wikis.
• Social media allows companies to develop a community with their brand. Companies have the chance to be responsive and stay connected by engaging in conversations that build direct relationships with their customers. Jeff Jarvis of BuzzMachine said, “This will have an impact not just on PR and image but on product design, marketing, sales, customer service – the whole company.”

Our take-away advice: Social media presents so many opportunities for companies to engage with their publics in ways never before possible. It’s this simple: social media is the new route to communications. If you don’t find the time to participate, your company risks being left behind.

Read the full 2008 article, “Beyond Blogs: What Business Needs To Know”