Why is Social Media Important for Business? And How to Get Started

Why Is Social Media Important For Business July 26, 2020

Jin Hyun

Writer

The popularity of social media is only growing with younger and older audiences alike, and many businesses are beginning to see these platforms as a great way to reach their customers.

Social media channels provide unique marketing opportunities and can be used to build brand authority. By driving traffic to online campaigns and increasing customer satisfaction, social media presence is an essential part of business growth and expansion.

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Social media marketing is an effective digital marketing strategy that reaches customers around the world. Here are some of the main reasons why businesses should expand their social media and online presence.

Cost-Effective - Social media ads are a cost-effective marketing strategy, and it's easy to create social media profiles for free on many platforms. The business will be able to organically reach more customers and grow conversion rates while spending less on marketing campaigns.

Increase Site Traffic - Through internet marketing, a social media manager can increase inbound traffic, and sharing content on social media platforms increases the likelihood of customers visiting the company website.

Improve SEO Rankings - Social Media has a huge effect on search engines. And robust social media presence on several platforms will lead to better search engine optimization rankings, and increase organic website traffic.

Understand Customer Needs - With a solid social media presence, businesses can understand customer needs by analyzing their engagement and interests on certain topics or products, and increase posts in areas of higher interest.

Increase Brand Awareness - Online marketing through a social media site increases brand recognition by providing opportunities to network directly with customers. Spending even a few hours per week on online engagement will increase brand image and visibility.

Increase Brand Loyalty - Through direct engagement with customers, a social media marketing strategy increases brand loyalty, customer satisfaction, and customer retention. An active social media profile allows for better communication with existing and potential customers, and these platforms allow the business to provide rapid responses and personal messages to customers.

The benefit of growing social media presence for a business is undeniable. The following statistics further affirms the fact that businesses have much to gain by expanding their customer reach on social media platforms.

There are over 3 billion people worldwide using social media. Tapping into this market increases your reach, allowing you to connect with existing and future customers who are active online.

More than 70% of customers follow brands on social media to find out more about the products and services offered, and to stay current with the brand.

Approximately 71% of customers who have had positive social media interactions with a business will recommend the brand to others in the future. Social media allows for increased customer engagement and faster customer service, growing your brand through referrals.

It's estimated that customers spend 20-40% more on brands who actively engage with them on social media platforms. This means that building social channels on Instagram, Facebook, and Twitter will have a direct impact on business revenue.

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With so many daily active users on social media, it's important to use this platform to retain existing customers and reach out to potential consumers in the chosen target market. Here are some tips on how to effectively use social media for business.

1. Create a clear plan before developing a social profile, and think about website design, content marketing, and digital advertising. Set tangible goals that can be implemented and measured easily. For example, if the goal is to increase traffic, this can be measured using google analytics.

2. Choose which platforms match the brand, and focus digital marketing efforts on the platforms your target audience uses the most. Use a social media calendar to track posts, and upload great content regularly.

3. Understand the audience and create buyer personas to provide further insight into the target audience, and develop an effective content marketing strategy. This provides a clear picture of who the audience is, what they like, and what posts they're most likely to engage with.

4. With a clear understanding of the audience, grow the customer base using marketing tools such as Instagram sponsored posts and Facebook ads. Targeting new customers that are similar to the existing target market is a great way to quickly grow the audience.

5. Use social media to connect with customers and build relationships. Direct engagement builds trust and increases sales, so don't neglect answering messages and engaging with users.

6. Part of the promotional content should include high quality, relevant images, and visuals. Social media posts with great visuals are more likely to attract higher engagement rates, especially for image-driven platforms such as Instagram and Snapchat. Get creative with imagery, and let pictures speak for the business.

7. Make sure all content is of high quality and delivers real value to customers. Posting great content on a regular basis increases followers, while an overload of low-value pitches could damage relationships and reduce customer engagement.

Why is social media important for business? This emerging marketplace provides a whole new way to connect with customers, find out what they are interested in, and effectively market to target audiences. A social media presence that delivers value to customers will provide a great return on investment and unique opportunities for business growth.