Apparently, social media use among major corporations is on the decline. According to a new study, only about 60% of Fortune 500 companies use Twitter and/or Facebook to further brand interaction… and even more surprising, only 25% of the Fortune 500 maintain a company blog. Why have big brands seemingly given up on social media?

• Lack of immediate returns. It’s the question every social media enthusiast dreads: “What’s the ROI on this stuff?” What’s the ROI on your office phone, Chairman? Social media is a tool that brands can use to engage with their customers immediately, frequently, and meaningfully. It’s not a simple investment with a set end date that will magically make you rich. It’s an ongoing method of communication with the people who write your paychecks: the consumers.
• They don’t want to associate with “bad” comments. Big companies take big risks when they expose their brands to the potential slings and arrows of the social media community. A few negative comments might pop up on your Facebook wall. You might even see a critical Tweet or two. But while you may feel like these “negative” interactions are hurting your brand, wouldn’t you rather be a part of the dialogue than not? At least you have the chance to respond, refute, and repent if you’re in the game. Discussion of your brand is going to happen whether you want it to or not. You may as well be in the fray.
• It’s too hard to keep up. Do we need a Google+ profile? What’s foursquare and why does it matter? How do we engage our Facebook fans on a daily basis? This point is actually quite justified— it’s difficult to create and master a social media voice for brands. There are quite a few moving parts, and those parts are ever-changing. But one way that Big Brands can stay on top of things is by declaring and owning one or two different channels. If you want to be a Facebook/Twitter brand, then share and comment your heart out. If you want to own blogging and thought leadership, post regular high-quality updates and engage on similar industry blogs. Yes, it’s tough to keep up with the latest social media trends. But if you pick one outlet for your brand to master and completely own it, your customers will see that you’re serious.

While it may seem like the “social media for big brands” fad is waning, I think it’s just a reorganization of priorities. They’ve all seen how these tools work, and (hopefully) they have people on staff who know how to utilize them for maximum efficiency. Facebook isn’t right for every brand. Twitter can’t be a unilaterally helpful marketing application. It’s up to each individual brand to reflect and determine which aspects of social media are most useful to them. Once we reach this next plane of adoption, I think we’ll be seeing some of the most interesting and unique social media efforts that big brands have launched yet.

30-Day Challenge #8

Local is widely-touted as the current “it” thing in the digital advertising revolution. Our mobile toys now have the capability to let brands feed us location-based offers, targeted ads as we walk down the street, and real-time promotions or discounts. But does this view of the mobile and digital future of advertising even make sense?

According to Facebook brand experience manager Paul Adams, definitely not. Adams argues that brands have approached the LoMo (local/mobile) trend as traditional advertisers— “How can we port the content of a commercial or coupon into a digital, mobile format?” This is the wrong question to be asking. While use of mobile technology and location-based services has exploded in recent years, those facts don’t necessarily indicate that people are begging to be spammed on a hyper-local scale. Look at the rise and impending (or currently-happening) fall of Groupon. A guy can only buy so many two-for-one massages and improv classes.

The more important takeaway from the rise of LoMo is what spurred it: online social networks. The reason we keep our devices welded to our bodies at all times and check in at the cool new restaurant or bar is to stay connected with those around us— whether they’re friends, neighbors, or fellow enthusiasts. The desire to connect and share with those networks is what will drive the next jump in the evolution of digital advertising.

Paul Adams states, “People listen to their friends. They don’t listen to businesses… the era of push marketing is over, or it’s ending.” Brands shouldn’t be wasting time trying to figure out how to squish their traditional content into a mobile format, or how to best capitalize on the shiny new location app of the day. Brands need to be connecting with people, making real and lasting impressions, and creating evangelists. A satisfied customer has always been the best salesman. That’s been a foundation of marketing and advertising since the beginning of time.

Sure— the new toys and capabilities are cool. But brands need to remember that engagement is still king.

30-Day Challenge #2