Insights
Weighing the Value of In-House Social Media Monitoring
Posted for WVU Integrated Marketing Degree Program 9.27.10
PROS
A social media monitoring system is a cost-effective means to gather customer opinions about a company’s or its competitor’s products and services. (“Why monitor social media,” n.d.) An in-house social media monitoring team allows the company to:
- Respond to customer comments and complaints
quickly. The benefits include:
- Providing immediate and personalized service
- Repairing flaws in products or services
- Monitor industry news on suppliers and competitors
- Watch for vandalism or deliberately malicious posts (Safko, L. & Brake, D.K., 2009)
- Follow sales trends
According to the Wall Street Journal, some companies are using Twitter to predict sales trends. Since Tweets are searchable using keywords they are easy to track for positive and negative feedback. For example, if there is a surge in positive tweets in a particular geographic area, the company can increase product inventories in those areas. (Rui, H., Whinston, A & Winkler, E., 2009)
CONS
Social media is a communication channel that “responds poorly to attempts to control it”. (Bernoff, J., & Charlene, L., 2008)
The disadvantages of a social media monitoring system can include an overreaction by the company. Companies can overreact to bad posts or news by posting counter-comments. Unfortunately, they may overlook the fact that their customers may not be aware of the bad publicity until the company’s post.
Another potential problem can arise if the company does not make clear to its employees who is allowed to communicate and in what capacity. The lack of clarity may lead to inappropriate posts and subsequent retractions.
According to Leigh Goessl of Helium, “The reality is any company is at risk for a social media disaster because that is the nature of the web. People will post how they feel and share any bad experiences or perceptions they may have of a specific company. Employees may screw up or a company's profile could get hacked. Any number of potential disasters could occur.” (Goessel, L., n.d.)
In addition, an “in-house” monitoring team may not appear to be impartial to posts. Some companies use a third-party moderator to maintain the integrity of the media. This tactic allows the contributors of the social network or forum to feel that they can be honest with their posts. Moderators have editorial access to the posts. They can ban contributors and close or delete posts and threads based on rules and guidelines. (Safko, L. & Brake, D.K., 2009)
An “in-house” monitoring team requires staff time and attention which need to be considered in the budget.
To Monitor or Not To Monitor
Social media empowers customers to have a say in the products and services they purchase. An article in MIT Sloan notes that some executives recognize the potential of social media but have no idea how to use it to their advantage:
“This groundswell of people using technologies to get the things they need from one another, rather than from companies, is now tilting the balance of power from company to customer…Behind all of this is a significant cultural issue: Engaging with the groundswell means admitting that consumers are taking power and that corporations are not in control. It’s a scary and difficult first step to take.” (Bernoff, J., & Charlene, L., 2008)
Monitoring can help companies feel as though they have a bit more control over something they have little control over. There are tactics that assists in the effort to maintain a sense of control. Goessel offers these suggestions:
- Create a social media policy
- Monitor social media activity carefully
- Be proactive with communication crisis planning
- Be transparent—meaning a company with nothing to hide (Goessel, L., n.d.)
Forward-thinking companies will and should monitor social media. There is a wealth of knowledge to be garnered from the information it provides. If used correctly, social media can generate a strong connection between the customer and the company’s brand. (Bernoff, J., & Charlene, L., 2008) Participation is a key element in social media. Gathering information through monitoring social media outlets allows companies to better participate with and, in turn, better serve their customers and stakeholders.
References
Bernoff, J., & Charlene, L. (April 1, 2008) Harnessing the power of the oh-so-cial web. In MIT Sloan Management Review. Retrieved from http://sloanreview.mit.edu/the-magazine/articles/2008/spring/49301/harnessing-the-power-of-the-ohsosocial-web/
Goessel, L. (n.d.) How to avoid a social media disaster. In Helium. Retrieved from http://www.helium.com/items/1956312-how-to-avoid-a-social-media-disaster
Rui, H., Whinston, A & Winkler, E. (November 30, 2009) IN the Wall Street Journal. Retrieved from http://online.wsj.com/article/SB10001424052970204731804574391102221959582.html
Safco, L. & Brake, D.K. (2009) The social media bible: Tactics, tools, and strategies for business success. (Hoboken, New Jersey: John Wiley & Sons, Inc.) Why monitor social media? (n.d.) in Attentio.com Retrieved from http://attentio.com/get_started/why_monitor_social_media/
