As quickly as brands jump on board the latest social media craze, the next one is already gaining momentum. Many social media managers are however forgetting that the true benefit of social media is spreading the brand message to consumers and letting them share their experiences with others who could be potential customers.
People trust recommendations from their friends and family, they can ask for product recommendations at the drop of a hat through social media for their next purchase, especially high value, long lifecycle products like cars, but how are brands contributing to or managing these moments? Brad Lawless, VP of Strategy at Collective Bias says “the influence economy is upon us and its chief currency is the relationship. Our shoppers already produce better, more authentic content that we ever could”. He argues that they deserve compensation for “loaning their influence” and curating content on their behalf. These customers spread the word about new products and services and share their good experiences which lead to future purchases. Negative experience however can lead to big problems for brands if it isn’t appropriately managed as they can spread like wildfire.
The big question is however, if these influencers begin to be compensated, either with cash or products – do their recommendations lose value and does their level of trust diminish? Dom O’Brien from Retail Safari adds to this; “As a customer, I trust the recommendations from my family and friends as I know they have my best interests at heart and want me to have a positive experience with a product or service. If I have to question whether they are being influenced by a brand due to compensation or whether or not their recommendation is biased, I will look elsewhere for my purchase information”. Brands must tread a fine line between managing and controlling their social circles and ensure that all customers have a positive brand experience instead of constructing false positive experiences.
Read more Social Shopper Media and the Future of Retail Marketing
