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Thursday, December 22, 2011

Social Media Important to Business


The recent report confirmed that emerging markets are currently the biggest users of social media for leverage business. KPMG researchers have found out that such countries as China, India and Brazil are 30% more likely to use social media in their operations than developed countries. Nevertheless, businesses have started to take notice and realize that social media features plenty of applications outside of describing to your followers what you did last night and what do you feel right now.

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Less than 50% of the firms from the United Kingdom appear to use external social media for their business operations, such as contacting suppliers, clients and customers. Meanwhile, this figure is as high as 83% in China and 72% in the United States. Nevertheless, the UK respondents admitted that after they weighed up the advantages and drawbacks, they came to a conclusion that having an open policy and using social media effectively would ensure greater returns than the business risks it can imply. Moreover, this could help workers source data and boost the firm's public profile. Finally, it can increase job satisfaction and offer another opportunity to establish and maintain contacts.

The survey conducted by KPMG claimed that social media networks are increasingly moving into the boardroom. This way, just banning social media in the workplace isn’t a good idea for the corporations, but rather a way to shoot themselves in the foot. 30% of employees at the companies where social media is banned simply jailbreak their own work devices in order to use social networks in secret. In this situation, encouraging and cultivating such networks use while understanding the advantages it can offer can be considered as a much better policy.

KPMG European head of tech, Tudor Aw, explained that social media networks represent a cheap way for corporations to undercut the competition in developed markets. He pointed out that sometimes, inefficient and unreliable email networks can be forsaken in preference of the faster interactive social network channels.

In other cases, a lack of alternatives might be driving companies to adopt social networks within the enterprise. This is something for the companies on the emerging markets to think about, isn’t it?

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