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Home » Community, Engagement, industry research, News, social media advertising, social media marketing, Social Media News

Marketing versus servicing: “A one-pronged approach is no longer an option”

Submitted by on February 28, 2013 – 10:53 amOne Comment

Businesses can no longer adopt a trial-and-error approach to social media and must find a balance between marketing and servicing, a new report says.

According to J.D Power and Associates 2013 Social Media Benchmark Study, many companies are focused on either promoting products and building brand awareness – marketing – or on answering specific consumer questions and resolving problems – servicing.

Engagements in both areas vary by age group. The report finds that 39% of consumers 30-49 years old, and 38% of those 50+, interact with brands in a marketing context, compared to only 23% of 18-29 year olds.

In a servicing context, however, 43% of 18-29 years olds will engage with a brand, compared to 39% of 30-49 year olds and only 18% of those 50+.

Jacqueline Anderson , director of social media and text analytics at J.D. Power and Associates, says: “While there are vast differences among age groups in the frequency of servicing and marketing engagements, there is a consistency in the impact on brand perception and purchase intent through both types of engagement.

“Companies that are focused only on promoting their brand and deals, or only servicing existing customers, are excluding major groups of their online community, negatively impacting their satisfaction and influencing their future purchasing decision. A one-pronged approach to social is no longer an option.”

This ideal is backed up with a direct correlation between overall satisfaction with a company’s social marketing efforts and consumers’ likelihood to purchase from the company: 87% indicated that online social interaction from a company ‘positively impacted’ their likelihood of purchasing from the company.

The study also identified brands that are performing strongly in marketing and servicing engagement, but notes that the auto industry is the only one to do consistently well in both categories.

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