Thursday 5 December 2013

Chapter 9: Social Commerce Creates New Customer Relationships






QUESTION 1

Assess the people, organization, and technology issues for using social media to engage with customers.
Firstly, people normally use social media to engage with their friends, to keep in touch with friends and to let them know what they are doing. Next, for the organization social media have become powerful tools for engaging customers. In addition, some companies have opportunity to shape the perception of their brands and to solidify relationships with their customers.  Moreover, assess of technology media social has help to track their location to loyal followers and fans.  Besides that, appointment based businesses can easily tweet or post cancellations and unexpected openings. Larger companies run sweepstake and promotions.


QUESTION 2

What are the advantages and disadvantages of using social media for advertising, brand building, market research, and customer service?


Advantage
Disadvantage
1.      Bring people together.

·         Facilitate to open communication and enhancing information discovery and delivery.
·         Everyone can find new people, meet their friends and communicate to their love ones all over the world.
·         Examples Levi’s was the first national brands to use Facebook and Twitter to allow consumers to socialize and share their purchases with friends.

1.      Understanding on how it works
·         You need to understand how social media works, when and how to use it and which channels to focus on depending on your end goal of using social media in order to get its full effects.


2.      Breadth of knowledge

·         People can experience the broadness of knowledge and connectedness through social media use.
·         It is easier for them to know or find out different information or something about almost anything in the world through a connected media.
·         For examples, Best Buy used    “ Twelp Force” to answer questions and respond to complaints.
·         Moreover, they generate feedback on social network and related sites, the company uses text mining to gather these data and convert them to useful information.
2.       Commits illegal crime
·         Social media may open possibility for hackers to commit illegal crime such as fraud, spam and virus attacks. People falling prey to online scan may also increase, resulting in data or identity theft.


3.      Technology Literacy

·         Help to develop some sorts of simple skills.
·         Mostly, relies on advanced information and communication technologies that work to build and support technological literacy for people.
·         For example, many Facebook ads feature the ability to “Like” a brand, send a virtual gift, answer a poll question, or instantly stream information to your news feed.

3.       Viral social disadvantage
·         This may damage one’s reputation. The wrong online brand strategy could put you on this.


4.      Opportunity to widen business

·         It could always be a fun and creative method of doing your business because it not just allows employees to discuss and share ideas, ask questions, post news and share links but it minimize the use of advertising to businesses and improves business reputation.
·         It also creates a more competent and reliable business.
·         For examples, Starbucks run contests on twitter regularly and uses the service to spread free product samples.

4.       Negative effects on worker productivity
·         Results in lost productivity and employees may use social media to attack the company’s reputation.
·         Instead of working in their time of work, they can waste such valuable time using social media channels such as Twitter and Facebook.
·         This may result in negative comments from employees about the company or potential legal consequences if employees use these sites to view objectionable, illicit or offensive material.


5.      Attracts attention
·        Aside from building loyalty and long-term relations to your audience, social media can attract attention to your site, product or services.
·        For example, Rosetta Stone has used Facebook’s targeting capabilities to determine which types of people respond to various ads it has created.
·        Rosetta Stone designed a series of advertisements for its language- learning products with Webtrends, Inc., and launched the ads on Facebook.


5.      Distraction
·         Most people who suffer from this are students.
·          Instead of doing their homework they tend to fail their academic endeavors because of using social media in the wrong way.







QUESTION 3

Should all companies use Facebook and Twitter for customer service and advertising? Why or why not? What kinds of companies best suited to use these platforms?
No, because there are companies which cannot carries out an online business. Hence, some companies only who expert and suitable for the online business. Here is the  list of companies that suitable for the media social business.
            Firstly, Martell Home Builders is an Atlantic Canadian custom homebuilder. In the past, Martell relied heavily on realtors to keep their business moving forward. However, once they embraced social media, they were able to create a direct-to-consumer model where they were no longer reliant on an middleman to bring them business.
            Secondly, Zappos is an online retailer that sells shoes, clothing and accessories. They’re known for the enormous emphasis they put on creating real relationships with their fans and customers.
            Thirdly, Giantnerd is a company that sells outdoor equipment for outdoor activities like hiking, biking and snowboarding. This company represents one of the best examples of social media integration seen online today. Their emphasis is on giving their customers the most value possible while becoming friends with them in the process.
            Next, Ford has brought the social experience to the forefront of their marketing efforts. Each time they add a new blog post, they pull in the image, headline of the post and the comments from readers onto the front page of their website. Those new to the site or those browsing for a new car get to experience the company and its culture from a social viewpoint right from the start.
            Convince & Convert is a social media strategy firm with clients across North America. Its founder, Jay Baer, is a social media expert and co-author of the new book titled The Now Revolution.
            Moreover, Cree is a business-to-business company that sells energy-efficient, environmentally friendly, industrial LED lighting. When you think of social media marketing, you wouldn’t think that an industrial lighting company that sells LEDs to grocery stores would be shining; however, Cree is extremely social-savvy.
            Emmy’s Closet is an online store that sells accessories for children. They’re a great example of infusing social media with ecommerce. Emmy’s Closet is an extension of the popular arts and crafts ecommerce site, Etsy.com. On the site they use an application created by Etsy that allows you to browse and purchase directly through Facebook
            Besides that, San Chez Bistro is a tapas bistro and restaurant in Grand Rapids, Michigan. Just like Martell Home Builders, they’ve taken social media and infused it with the needs and preferences of their local audience. San Chez encourages their patrons to use Twitter to reserve a seat at their restaurant. They call it “Tweet-Ahead Seating” and it’s a great use of social media local marketing. Once you tweet your interest in a reservation, the online hostess tweets you back with a message similar to this: “Great, you’re on the list. See you in a little while.”
            Lastly, Cranium, a game by Hasbro, takes board games to the next level by including fun activities like drawing, singing, acting and trivia questions.To make their experience more social, Cranium does a great job of using content from the game to engage with their fans. They often post factoids that can be found in their game, such as the one about Einstein’s theory below. They know their audience well and therefore know that these fun factoids will attract them.


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