In this article, we discussed the meaning of social media, we also talked about its effects on consumers.
Definition
Social media is a collective term for websites and applications that focus on communication, community-based input, interaction, content-sharing and collaboration. People use social media to stay in touch and interact with friends, family and various communities.
Social media has many effects on consumers, including:
Product discovery
Social media acts as a virtual marketplace where consumers can discover new products and services through posts, reviews, and recommendations.it is different from product delivery, which is the process of building, shipping, and maintaining a product. Product discovery helps teams make decisions based on what customers want, rather than assumptions or intuition. This helps ensure that products meet user needs and have a great user experience.
Influencer marketing
This can influencers can power consumer purchasing decisions through their authentic endorsements and product reviews. Influencer marketing is a collaboration between popular users and brands to promote brands’ products or services. These partnerships have been going on informally since the dawn of social media.
Consumers expect two-way engagement with brands
It also adds another dimension to the brand-customer relationship. A brand is no longer a remote, faceless entity that we only learn about in publications, press releases or Google searches. Looking at a brand’s social networks helps you gauge their values, relevant news and offerings, and how they relate to their audience.
Consumers turn to social media for customer service
The evolution of social media and consumer behavior has transformed customer service interactions. Before social, consumers could expect to interact with a brand by calling, emailing or visiting locations in person—complete with the infamous wait times to talk to a representative. Today, social is consumers’ preferred choice for sharing feedback and reaching out with a customer support issue or question.
Consumers want more transparency and less performative activism
A few years ago, consumers wanted brands to take a stand on important causes. The latest Index shows only 25% of consumers think brands must speak out on causes and news relevant to their values to be memorable on social.
Consumers want brands to share more about their business values and practices, and how their products are made/sourced—but they aren’t necessarily looking for them to “take a stand” on larger issues. Due to the rise of performative activism, some efforts read as deceitful and false. In other words, consumers don’t just want brands to talk about their values, they must walk the walk too.
Consumers are heavily influenced by social media reviews
Social media is a living document for social proof—which is increasingly a make-or-break factor for buying decisions.
Data from the Yale Center for Customer Insights shows almost 90% of’ consumers trust online reviews as much as they trust personal recommendations. And half of consumers 18-54 look for online reviews before deciding to visit a local business.
Even the most dazzling, high-budget television ads can’t always deliver what social media offers for free: authenticity. Consumers take to channels like X and review hubs like Yelp and Google Reviews to praise, champion and criticize different products and businesses. Buyers are more likely to trust this unfiltered peer feedback from people who have already tried a product or engaged with a brand.
Conclusion
Social media leveled the playing field between buyers and brands. Consumers can learn about and engage with brands more easily, and vice versa. Brands can listen to what matters to their audience at the most individual level and help solve problems faster.