Every Brand Needs To Know What The Internet Is Saying About Them (And How It Could Lead To A Billion Dollar Loss)
Social media has sparked an evolution in online marketing. Influencers now have the ability to promote or dismantle a brand with a single post. If a brand doesn’t know what their followers and consumers are saying about them, they can risk losing their reputation, following, and ultimately a drop in sales. With the click of a button, social media users can share their opinion about your brand, and sometimes it’s not for the best.
For example, on February 21st, 2018 a single tweet from Kylie Jenner inadvertently caused one company to lose 1.8 billion dollars. Her tweet regarding her lack of use of the social media app Snapchat, of which she once was an avid user, sparked something we’ve never seen before.
According to CNN, the day after her tweet went live Snapchat’s stock decreased by 6% and lost a total of $1.3 billion dollars in value.
$1.3 billion dollars lost due to one tweet.
In this new world of consumer power, brands are frantically searching for ways to avoid such catastrophe. If they don’t know what users are saying about them, then they have no idea if all of their marketing efforts are being unraveled due to bad press (just look at the now iconic case of United Airlines and their slow and inappropriate response to their PR crisis).
Let’s say an athletic wear company creates a Facebook advertisement to promote their products. They spend $1,000 a month to get their promoted posts into their target demographic’s newsfeed. The first month they see a 50% increase in sales directly from those Facebook ads.
The second month they see only half of that success even though they continue using the same advertisement. They wonder why their ad, once able to increase their sales by 50%, is now only generating an increase of 25%.
In the third month, they see the same decrease and find that their Facebook ad is now costing them $1,000 they aren’t earning back.
Their original Facebook ad was great and converted viewers into customers. Unfortunately, customers aren’t happy with waiting 4-6 weeks for their new athletic gear to ship to them.
These customers take to Facebook to talk about how long it has been since their purchase and that they are unhappy with waiting this long for their clothes. Nobody on the company’s side is aware of these posts and comments and so they continue to push their ad campaign without addressing the shipping issue.
New viewers are aware of these complaints, having read about the long shipping time previously from a friend’s post and friend’s of a friend of a friend. When they see the Facebook ad, they scroll right by it.
What would happen if the company had known consumers were complaining about a long shipping time?
They could have saved $2,000 and allocated it towards finding a faster shipping method.
Being able to understand your consumer’s needs and desires is crucial to a successful social media advertisement campaign. What most companies overlook is that consumers, for the most part, don’t trust them. Consumers trust the opinions of other consumers, not the company’s. They are more likely to purchase a product because a stranger on the internet told them it worked great than if the company tells them the product works great. They are also more likely not to buy a product or use a particular app because somebody else told them it wasn’t worth their time.
Knowing what the Internet is saying about your brand is essential to longevity, increasing sales, and creating a sustainable reputation.
Using this to your advantage is crucial to creating a successful social media advertisement campaign.
If you are unaware of what consumers are saying about your brand behind your back, there is no opportunity to fix potential future issues before they arise. These future issues cause businesses to backtrack, waste advertisement money, and potentially lose their customers.
How do you ensure you know what your customers are saying, even when they don’t tag your account or hashtag?
Using NUVI’s Monitors Enterprise, brands from around the world have avoided the catastrophe of user-driven backlash. They are able to find out what their consumers are saying about their products and use the feedback to manage crises, improve their products, system, communication and more.
In this digital age, it’s the social media marketers who understand the importance of the consumer-to-consumer relationship that finds success. NUVI empowers brands to create this relationship so they can update and improve where necessary.
Don’t let one tweet ruin your brand’s future. Click the button today to learn more about how you can find out what people are saying behind your back.