By Priscilla Kohl, HRTools Business Writer
Worth Reading: At the end of this article, KGBTexas Public Relations / Advertising President and CEO, Katie Harvey, discusses how small and medium-sized businesses use social networking sites to build trust with their target markets and gain a competitive advantage.
Public Relations and Marketing: Every Business Has a Story to Tell
One way for businesses to engage the public and earn their trust is by telling their stories. With limited budgets and resources, many small businesses find it challenging to tell their stories and get that big marketing impact.
America’s small- to medium-sized businesses have always sought ways to compete with the corporate giants, especially in areas of public relations (PR) and marketing. The strategic goals of public relations and marketing include: (1) portraying a business or oganization in the best possible light; and (2) developing, earning and maintaining a sense of public trust.
Global Internet Audience Surpasses the One Billion Mark
The Internet has certainly helped to level the information-distribution playing field for America’s smaller enterprises and emerging entrepreneurs. Not only that, the World Wide Web has transformed how people get their information. According to comScore, a provider of digital marketing intelligence, the total global Internet audience (age 15 and older from home and work computers) surpassed one billion visitors in December 2008.
With unprecedented potential to reach millions of people in “real-time,” many PR and marketing strategists are encouraging U.S. businesses to take advantage of the Web’s social networking sites. Market researchers can hardly keep up with the booming Internet data trends. The share of adult Internet users who have a profile on a social networking site has more than quadrupled in the past four years—from 8 percent in 2005 to 35 percent, according to a Pew Research Center survey released on Jan. 14, 2009.
Any Business Can Tell Its Story via Social Networking Sites
The Internet, and its digital innovations, empowers smaller enterprises to compete and succeed in unprecedented ways. Any business, regardless of their marketing budget or line of credit, can leverage social networking sites to portray their business in the best possible light and build a level of trust with the public.
Some businesses are using these social networking sites to gain a competitive advantage in various ways. For instance, employers also want to find trustworthy job candidates. In Oct. 2008, the Society for Human Resource Management (SHRM) reported a 17 percent increase in human resource (HR) professionals who use social networking sites as "recruiting, resume verification and applicant screening tools. . ." In fact, many colleges are warning their graduates about posting personal information online that is accessible to job recruiters and can remain forever on the Web.
On the other hand, a growing number of HR professionals and employers are realizing that social media can impact how prospective employees and customers grow to trust a business both as an employer and a brand. As a result, these businesses are spreading their stories (including employment opportunities, products and services, etc.) via social networking sites such as Facebook, MySpace and Twitter, all of which are free.
Imagine the recruiting and marketing possibilities. For instance, one of these sites, Facebook, says they have more than150 million active users; its fastest growing demographic is people 30 years and older. What business wouldn’t want to tap into this market where "everyone knows your name?"
Can something so powerful, revolutionary and free possibly be a good thing?
Thought to be one of the most influential persons in the world, Pope Benedict XVI talked about social networking sites in his message at the annual World Day of Communications. According to a Jan. 23, 2009, FOXNews.com Associated Press (AP) story, the Pope described how social networking sites, such as Facebook and MySpace, can foster friendships and understanding. The Pope further explained that new technologies are a gift in that they respond to the “fundamental desire” of people to communicate. In a word of caution, he also warned against people using digital networking as their sole sources of human interactivity; thereby isolating themselves.
Generically speaking, humans have been social networking since the days of the cave man, and no one would deny that humans are by nature social creatures. Historically, when innovative ideas turn into revolutionary inventions—such as the printing press or the telephone—issues of ethics, privacy and security come into play. For example, some people born before 1950 may remember the early days of the telephone and “party lines.” Telephone customers with party lines had to listen carefully to discern the ring cadence, as each subscriber’s party-line ring was different. When the correct party answered their telephone, it was not difficult for other party-line subscribers to pick up their phones and listen in on the private conversations of others.
Granted, the Internet Presents Equally Significant Opportunities and Challenges
As with most other innovations or inventions, digital technologies are not inherently dangerous; the issue becomes how people use social media technologies. Even so, the Internet has been tagged as the new frontier, compared to the days of the “Wild, Wild West.” The Web’s opportunities seem endless while the dangers are unpredictable, which can be particularly challenging for a business to plan for and manage.
In effect, enterprising smaller businesses will need to plan for yet another tightrope-balancing act. Competitive and successful small business owners are usually aggressive risk-takers while, at the same time, they must be careful and cautious risk managers in order to survive.
It’s the job of PR professionals to know how businesses can best enhance their public image and gain the public trust. Today, many highly reputable and seasoned PR and marketing professionals are encouraging and guiding businesses to recognize the potential value of enhancing their public image via the social networking sites. One PR executive granted HRTools an interview about this hot business topic.
HRTools Interview: KGBTexas Public Relations President and CEO—Katie Harvey
Katie Harvey (KH), President and CEO of KGBTexas Public Relations / Advertising, shared her insights and experiences about this topic in answering the following questions for HRTools.com (HRT):
HRT: What advantages can small businesses gain by participating in online social media sites?
KH: Social media sites provide small businesses with a direct way of connecting with clients or customers. By using keywords [see Google’s Search-based Keyword Tool Help], a small business can place itself on radar screens of groups and individuals who are looking for that business’ goods or services. Communicating directly to customers or potential customers through a Facebook page, blog or Twitter account shows that business’ willingness to develop a customer relationship that goes beyond “traditional” channels, opening up the relationship to allow for greater two-way communication and offering customers the opportunity to provide direct feedback.
HRT: If you were talking to a small business owner, how would you suggest they get started?
KH: Facebook is a great way to get started. There are more than 150 million Facebook users and that number is growing daily. The fastest-growing demographic is people over the age of 30. It’s an easy way to jump into the social media world and it’s free. For example, a business can establish a “fan” page and invite people to join. Page visitors can post comments, make suggestions or offer constructive criticism. Business owners have the ability to screen (and delete, if necessary) any posted comments, so companies are able to control what appears on the page. In addition, Facebook is a great way to display your company’s personality, serving as a valuable customer-service or employee-recruitment tool.
HRT: How are social media sites used to help build trust with the public?
KH: According to a recent story in PR Week, the 2009 Edelman Trust Barometer found that trust in U.S. businesses among respondents in the 35 to 64 age range fell to 38 percent, down from 58 percent in 2008. This year’s results are the lowest in the survey’s history, and the decline can be attributed, in part, to respondents’ unfamiliarity with the people running companies. A social media site can help alleviate some of that disconnect by providing a point of connection for customers and company leaders. By following a business via a social media site, customers have the ability to “see behind the curtain” and stay abreast of what’s happening within a company. This openness or transparency of communication can help establish and build trust with clients and the public at large.
HRT: What precautions would you share with small business owners if they choose to participate in these sites?
KH: There are so many platforms, it’s easy to get overwhelmed. You don’t, however, have to be on all of them. Social media doesn’t work for everyone or for every company. It is a tool, not a life raft. Try the platforms you like, test them out to see if they’re a good fit, and don’t be afraid to ask questions. It’s a community, and a relatively friendly one at that.
As Harvey mentions, Internet technologies provide a powerful and cost-effective way for smaller businesses to connect with customers and potential customers. This is a compelling argument for small businesses and entrepreneurs to ‘test the waters’, as they struggle to compete with the corporate giants. As many in the business world are beginning to understand, and the data supports it, these converging technologies are shaping the future of the world.
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