Saturday, January 10, 2009

Social Media Study Shows 59 Percent of Retailers Now Using Facebook

People ask me if we are at a tipping point with social media, social networking, Twitter, etc. My answer is "not quite yet". We've got a way to go. Skepticism is still thick in corporate America and small business. Yes, the idea a communicating with and engaging the customer is intriguing but I believe it's the sense of lack of control that is holding most back.

At any rate, here's a tiny bit of good news in the retail space - ps a space that NEEDS help in terms of customer service....

Rosetta's findings show adoption nearly doubled over four-month period

PRINCETON, N.J., Jan. 9 /PRNewswire/ -- Rosetta, the largest independent interactive marketing agency in the country, today released a social media study showing 59 percent of 100 leading retailers currently have a fan page on Facebook.

According to the study, which was first conducted in April of 2008 and updated in September of 2008, 29 of the retailers surveyed added Facebook pages during those four months. These include Best Buy(R), Toys "R" Us(R), Kohl's(R) and Wal-Mart(R).

"These results support what we're seeing in our day-to-day client work, which is that we've reached a tipping point with Facebook among retailers," says Adam Cohen, partner with Rosetta's consumer goods and retail practice. "Social media sites continue to be an important source of community connection, and savvy retailers are reaping the benefits of Facebook's rapid extension into new demographics, such as Gen-X and seniors."

However, Cohen cautions retailers against a haphazard approach: "It's important that retailers don't just slap up a page because everyone is talking about Facebook. An effective Facebook presence requires that you carefully consider what your customers are looking for, what you would like to communicate, and what role a fan page should play in your overall online strategy. If you take all of these into account, it can be effective in building customer loyalty. "

The study included 100 retailers with a significant e-commerce presence or brand awareness, evaluated strictly on the creation of a "fan page" on Facebook. For a full copy of the social media study, please contact Brenda Patterson at Shev Rush Public Relations.


adamcohen said...

Thanks for including our study. I agree that we are not quite at the tipping point yet for companies using social media. It's very early - while our study measure 100 leading retailers using fan pages in Facebook, it doesn't qualify how well they are using them. There are very few companies really engaging customers on this platform, and Facebook is only one small slice of the social media pie. I'd still argue the space is new enough that it's OK to try and fail. It will be interesting to watch.

Happy to answer any questions you may have about the study as well and thanks again.

Juliana & June said...

This is the first-ever year-over-year drop in e-commerce spending in US since the e-commerce category was established, the same study reveals. Such a drop is the result of low consumer confidence in online shopping, as well as a "tight disposable income".