Social media has been a real game changer for agency and customers alike. In fact, I like to call it the greatest game for playing marketing “chicken” ever.
You know the game “chicken” right?
It’s pretty simple…
You get two cars racing straight for each other seeing who swerves first. Not super smart, eh? Not only that, it’s scary too.
But when I’m in a social media pitch meeting, it’s how I feel some days.
Except in this game of “social media chicken”, the cars are going maybe 10 miles an hour, because neither the agency or the client knows for sure when to actually swerve. Each side – posturing to the other ” we got this”, we know what we’re doing…Why the games?
Because even though social media is a game changer - it’s also a game that is always changing.
Which means, it’s impossible for anyone to maintain true expert status in the field.And if you have any experience at all actually executing a campaign to gain “earned media” without a paid media budget to support you the you also know this…
Social media is NOT the BEST acquisition tool, contrary to popular belief.
With 20 years experience as a direct response expert, I know better. And as a person who led the marketing team for the largest customer loyalty card launch in the country for the national grocery chain, Kroger – I will tell you this…
Social media is an awesome customer loyalty vehicle.
(Note I didn’t say “tool”. It’s a platform or a channel, but it’s not a tool anymore than TV, radio or print is a “tool”. ) In fact, Jay Baer from Convince & Convert and I discuss this in more detail in our interview or download the entire transcript (here).
Social media is one of the best channels you can leverage to increase your lifetime customer value.
(If this sounds like french to you, please read this article at The Brand Builder by Olivier Blanchard, who also gives you an amazing info graphic to break down how to calculate lifetime value of a customer.)
And that’s the name of the social media game folks!
If your client thinks Social Media ROI is attached to a positive in the profit column for customer acquisition, then you have lost before you hit the gas pedal.
Think about it – any seasoned marketer would tell you if that’s the case – it really would be the holy grail!
Because very few, even the best, marketers make money when they “acquire” a new customer.
The truth is…
Money is made from customer retention which comes from outstanding value delivered by over the top customer service.
As this infographic shows, your real opportunity to impact the bottom-line using social media.
According to a study from American Express in May 2012, “Sharing of customer service stories is on the rise among the general population, with the typical American telling 15 people about positive interactions, vs. 9 just one year ago.”
Check it out – and please tell me if you’ve used social media well to reduce your cost of customer service or improve your level of customer service. Or both.
You tell me!
Please leave a comment here or at my Facebook page at [link] And if f you liked this post I’d really appreciate it if you would share it with at least one person who it could really help!
