Small Business Enterprise - SBDC June 2022

Social media, the great equalizer

Larger businesses using to create the familiarity of smaller businesses

Social media is not only changing marketing, but it’s also changing business.

This powerful tool helps companies reach a larger audience, and more importantly, build a relationship with them. Social media has in some ways acted as an “equalizer” and has leveled the playing field for smaller, local businesses. Large corporations who once had an advantage due to larger advertising budgets are now up against smaller businesses who have a fraction of their budget but are far more creative.

It may be safe to say that social media has transformed marketing entirely.

Small and local businesses focus on creating familiarity with their customers. We often walk into our local coffee shop and greet the barista by their first name or visit our favorite restaurant in town and politely greet the owner.

Large companies are now taking a decentralized approach with their social media to create the same sense of intimacy. By giving multiple staff members the ability to manage their social media accounts, they are generating a lot more content and also making it much more personal and approachable for users. These methods are used across all outlets including Twitter, Instagram, and now Tik Tok.

Engagement also plays a huge role in how companies are managing their social media. At one point, marketing was a “one way” affair, but today, companies actively communicate with their audience to gain feedback, share stories and build interactions. This “people strategy” is much more personalized and engaging. By responding quickly to feedback, brands are building loyalty faster and more effectively than by using traditional marketing tactics. Marketers now listen to their consumers, and it has changed the game profoundly.

Social media is a big part of our daily lives, and people are constantly searching for content that interests them. In fact, Tik Tok’s algorithm creates a “for you page” that shows short clips based entirely on your interests and searches. Businesses who focus on creating quality content will likely lead users back to their page or website, which creates an opportunity for a sale. The more traffic created, the more leads and conversions.

As a business, it is imperative to keep up with changes and to adapt to social media to remain both relevant and competitive. Social media has removed barriers and has forced companies to restrategize completely. When done right, it can lead to a larger customer base, more traffic and more sales.

Shelby Flores is a business consultant for the Illinois SBDC at the Rockford Chamber of Commerce focusing on the SBDC’s Hispanic entrepreneurs.