Technology and business - EdexcelSocial media

Social media has grown to become an important part of business, particularly in relation to marketing activities.

Any form of electronic communication that enables users to share ideas, content, information and messages can be described as social media. There are many different platforms available, with Facebook, Instagram and Twitter among the most well known.

How businesses use social media

Most business activity on social media involves:

• sales and marketing
• interacting with customers
• communicating with stakeholders

Using social media for sales and marketing

Social media is a relatively cheap way to advertise in a visual or written form. It can be used by both large and small businesses to attract a target audience that is interested in the products and services being promoted or sold. Business can encourage people to follow their activities and promotions. In this way, businesses can gain loyalty.

Using social media to interact with customers

Businesses can use social media to see what customers are saying about their products and services. Additionally, customers can ask questions, or express their views, about the products and services of a business. These customer interactions need to be handled carefully, as inaccurate or inappropriate responses can be shared quickly and easily, creating bad publicity for the business.

Using social media to communicate with stakeholders

Social media platforms, such as LinkedIn, can be used to make contact with other businesses and network with relevant people and organisations. Many businesses now use social media as part of their recruitment process, not just for advertising vacancies but also to gain an insight into any applicants by looking at their social media activity. Closed (private) social media tools are sometimes used by some businesses for informal or internal communication with staff.