Brand Development- The Social Media Strategy
Numerous inventions in the recent past have brought out multidimensional benefits to the human race. One such miracle- the introduction of social media revolutionised the concept of viewing an even minor intricate of our life. This social media has invaded the economic exchange and have metamorphosed the concept of marketing. The lion’s share of American’s corporations utilise these platforms constituting Facebook, Instagram, and YouTube to boost their brands. However, the precise link amidst social media, customers and shareholder’s value remains unstudied.
Koen Pauwels- the Northeastern University’s marketing professor along with his comrades outlined the sequel of social media on stock market performance via three consumer mindset metrics: brand awareness, purchase intent, and consumer satisfaction. In particular, the researcher’s discovery claims that companies that increase their social media output by 100 percent expect a 70 percent increase in brand awareness and a 40 percent increase in customer satisfaction. Likewise, every 10 percent increase in earned social media based on brand fan following, or the number of Facebook “likes,” Twitter followers, or YouTube subscribers leads to a 12 percent increase in brand awareness, a 3 percent increase in customer satisfaction, and a 6 percent increase in purchase intent.
Social media persuades the customers to correspond to the needs of the grooming trends by looking at their peers. “Both investors and consumers distrust companies who boast about themselves because it’s hard to know what weaknesses they’re trying to hide.”-as quoted by Koen Pauwels outlines the need of these platforms in concealing these limitations. He sticks upon the fact that social media managers should craft their OSM messages to target customers to improve brand awareness and customer satisfaction. He concludes that corporations with high credibility are far more likely than brands with low credibility to increase purchase intent with their own posts.