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news.social media — under the umbrella

Social Media — Under the Umbrella.
Sienna Creative Works
By Greg Sande
Wednesday, March 10, 2010

Could you read the writing on the wall? Social media is finally getting a budget. Businesses are now getting their heads wrapped around intelligent marketing and communication strategies, methods that are being built from the ground up with this new channel. While real ROI numbers are just starting to come in, some companies really do have a hold of something. The proverbial Tiger that is.

One such scenario Case-Mate discovered by accident. Being semi-facetious, a 22 year-old marketing staffer came up with a brilliant recession idea, a card-board case for the iPhone. Upper management was skeptical, and thought maybe a couple hundred would be sold, but what they didn't count on was the power of blogs. Blogs leading to tweets, tweets leading to Facebook. And in a matter of a week 7000 $0.99 cardboard cases were sold! The was so much interest, that it crushed their site record traffic statistics by more than five fold. See the product here: case-mate — iPhone Recession Case.

Social Media ROI Examples...


  • Vaynerchuk found first hand: $15,000 in direct mail = 200 new customers; $7,500 billboard = 300 new customers; $0 Twitter = 1,800 new customers.

  • Gary Vaynerchuk grew his family business from $4 million to $50 million using social media. Gary's eccentric personality and offbeat oenophile knowledge have proven a natural path to success with his Wine TV Library.

  • A Wetpaint/Altimeter Study found companies that are both deeply and widely engaged in social media significantly surpass their peers in both revenue and profit. The study also found the company sales with the highest levels of social media activity grew on average by +18 percent, while those companies with the least amount of social activity saw their sales decline -6 percent.

  • Intuit introduced "Live Community" into its TurboTax products two years ago. Due in part to the resulting word-of-mouth, it has seen unit sales increase +30 percent each year and has now integrated "Live Community" into its other products like QuickBooks, Quicken, etc. "Live Community" allows customers to ask other customers questions, which has proved both beneficial to the customer and to Intuit. In some instances, the customer can answer questions that Intuit isn't allowed to answer because of regulatory restrictions.


To read other similar social media stories checkout the rest of this article at Search Engine Watch »



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"You can't buy attention anymore. Having a huge budget doesn't mean anything in social media... The old media paradigm was pay to play. Now you get back what you authentically put in. You've got to be willing to play to play."




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