Understanding The Impact of Social Media for Your Business

You’ve probably heard this countless times, but it's crucial to grasp exactly how social media can benefit you.

Let’s dive into the numbers.

As of 2015, the world’s population was approximately 7.3 billion, and out of that, how many people are online? The answer is 3.17 billion—almost 50% of the global population.

Here’s a breakdown of social media usage:

• 2.3 billion active users, each with an average of about 5 social media accounts.
• Every second, about 12 new accounts are created, resulting in at least 1 million new accounts daily.

Now, let’s take a closer look at the top social media platforms and their user statistics:

1. Facebook: 1.71 billion users
2. YouTube: Over 1 billion users
3. WhatsApp: 900 million users
4. Instagram: 400 million users
5. Twitter: 320 million users
6. LinkedIn: 450 million users
7. Google+: 300 million users
8. Pinterest: 100 million users
9. Snapchat: 100 million users
10. Airbnb: 50 million users

Airbnb is included here because it illustrates the growing potential of social media for various businesses.

So, what does this mean for businesses? An emphatic yes to potential clients and an expansive marketing channel that experiences a massive influx daily.

In 2015 alone, businesses earned over $3.5 billion from social media marketing. This figure excludes traditional website and digital marketing—it's solely from social media.

Let’s highlight five reasons why social media is essential for your business:

1. Increased Brand Recognition

Social media enhances online visibility, allowing your brand to reach both existing and potential customers. A strong social media presence acts like a compelling selfie, making your brand more visible and attracting clients and partners.

2. Enhanced Customer Loyalty

According to a study by Texas Tech University published by Forbes, companies with a strong social media presence enjoy increased customer loyalty. In Kenya, brands like Safaricom and KCB have reported up to 70% higher loyalty due to their online engagement.

3. Higher Conversion Rates

Every Facebook post or tweet exposes your content to a specific audience. High-quality, well-curated content increases your chances of engaging potential customers, leading to higher sales. Social media marketing has been shown to have a 100% higher lead-to-close rate compared to traditional outbound marketing. Additionally, building a substantial social media following enhances your brand's credibility and social proof.

4. Improved Customer Acquisition and Service

Social media platforms allow for swift responses to customer inquiries. For instance, if you tweet @Safaricom, you’re likely to receive a response in under 30 minutes—far quicker than traditional customer service channels. This efficiency improves service quality and often leads to recommendations and new clients.

5. Targeted Client Segmentation

Social media enables precise targeting of specific client segments. For example, on Facebook, a fashion brand can tailor its audience by interests, such as:

• Fashion Brands
• Shopping
• Beauty

This targeted approach ensures that content reaches the right audience, increasing engagement and sales potential.

These are just a few of the remarkable advantages social media can offer your brand and business. Achieving these benefits relies on creating great content, developing a solid online strategy, and providing excellent customer service. For many businesses, having a website to establish legitimacy is also essential.

Let us help you build your business online.