Mistakes to Avoid when Using Social Networking as a Marketing Venue

Some of the most recently published statistics on the use of Social Networking Sites indicate that at least 65 million people in the United States alone are regular visitors. The largest age group, comprising slightly over half the total, is the 18-29 with over 34 million users. Despite some users only logging in infrequently, the overall average is that the twenty-something set spends up to eight hours per week networking.

According to studies presented by greenbiz.com, roughly 40% of these users seek information from their friends about products they are contemplating buying and approximately 28% routinely recommend products to their friends through Social Networking Sites. This presents a potential buying power that cannot be ignored by serious businesses. It shows that a strategic use of such sites can increase business success immensely. In order to reap the profits from such an endeavor you must, however, approach it in the correct manner. There are several common mistakes that people make in accessing this huge potential market that must be avoided.

The first big mistake a company can make is to pass off Social Networking Sites as mere faddish activity that will not last. These same studies have shown that while television viewing decreases, the popularity and use of Social Networking Sites increases. Humans are social creatures and the advent of Social Networking Sites has extended this tendency to worldwide proportions. Potential buyers have always placed a high value on the opinions and experience of those they know and trust. Such "word of mouth" advertising has always been an important staple in sales and advertising. Social Networking Sites extend the list of "friends" beyond personal acquaintances and can have global reach and importance.

Social Networking Sites are by no means a venue for straight advertising. Such practices will actually diminish your effectiveness and results. Instead, Social Networking Sites are best used as a type of Relationship Marketing. They are best used as a platform by which your potential customers learn about you, your business, and your products. It should be used so that people build a sense of familiarity and trust on a personal level.

By viewing Social Networking Sites as Relationship Marketing you have an unprecedented opportunity to learn about your potential customers and their interests and concerns. It is a perfect opportunity to get raw, unadulterated feedback and opinions on your product that can be used to improve both it and your presentation. Your contacts will already know you are in business and will be inclined to go to you if they need what you offer. Advertising to them instead of connecting to them will lose this excellent research tool.

Always keep in mind what the implications of what you say online can have in the real world. Social Networking Sites tend to be very casual and laid-back. Even when the conversation is flying fast and furious, you need to be constantly aware of your comments and how they may be viewed. On the Social Networking Sites, you are the face of your business. Petty carping, insults, or derogatory comments about your competition or other people can quickly return full-force to put your whole business in a poor light, not just you as an individual.

In a similar vein, do not use unethical tactics to put down your competitors. Avoid the temptation to create a false profile, a "sock puppet" as it is called, to post unfavorable comments or blatant promotions of your own goods. The users of Social Networking Sites are growing increasingly aware of such practices and can, if desired, track down just who is really behind strings of abusive and negative commenting. Exposure can be more than just embarrassing; it can be a public relations disaster for you and your company.

You should never "put all your eggs in one basket" and rely only on Social Networking Sites for your business promotions. These sites can be used as an effective tool for enhancing your business but should never be depended on as a total source for customers. While you can increase sales this way with little or no monetary expenditure, you will be investing a lot of time in building brand recognition and trust. You will never be able to reach everyone on the Social Networking Sites, nor should you ignore advertising to those who never login at all. Keep your perspective and be honest in your online postings and you will find that you have developed a wider market and a much more respected business.