Study Finds That Social Media Improves Corporate Trust
Have you ever wondered why companies invest in social media?
If you have, you’re not alone.
There is a lot of information about how to use social media out there, but sometimes it’s good to step back and ask why social media is good for business in the first place.
Researchers looked into data to find out why companies use social media. They looked at the the Direct Selling News ‘Global 100 Top Direct Sellers’ and found two conclusions that sand out and give reason for companies to continue using social media (Ferrell & Ferrell, 2012).
Conclusion #1 – Improved Customer Relationships
Social media use among the top direct sellers resulted in better relationships with customers. Companies achieved these results by listening and reacting to customer concerns.
Social media is basically an extension of real life. The great advantage for companies is that people have a place to voice concerns, problems and issues. They go online to various mediums to express what their feeling.
Companies can use this information to learn more about customers. It allows a company to provide better products and services.
This improvement leads to better customer relationships. Customers feel that companies are really listening to them and maybe that they even know what will improve their lives before they know themselves.
That level of understanding also leads to…
Conclusion #2 – Enhanced Trust
As a result of social media, there is pressure on companies to be more trustworthy, open and transparent with consumers.
Trust is a key component of selling. Companies that understand this are able to use social media to earn the trust of more consumers to get more sales.
We talk about blogging a lot here on the blog. One thing we’ve noticed at Ghost Blog Writers is that blogging can build trust. Blogging is often included in social media strategy because it’s a way for you to connect with your customers on a level never really seen until the Internet came along.
With a blog and with other social media you can now give your customers more while being more transparent with how you do business. It all leads to a more trusting and satisfying relationship with customers, which leads to more sales.