For Hire: Twitter and Facebook whiz

June 19, 2009 by David Larter 

connectivityIt’s not just newspapers. The web is upending the traditional public relations and marketing firm model, too.

For the more than 60 public relations and marketing firms in Richmond, that means it’s time to adapt, and quickly.

In part that’s because ad spending nationwide is down at least 20 percent from last year. One local firm has taken on work for free just to keep employees busy.

For most businesses, the marketing budget is often the first cost to be cut when revenue slows, and that has trounced the local marketing industry.

A handful of local firms are betting that the social networking craze is the lifeline that will pull them out of tough times.

In interviews with more than a dozen local firms, established ones say they are learning social media at the request of their clients, while the younger firms are actively pitching their social media acumen to potential clients.

There is even a social media club.

“At first businesses wanted a logo and a branding campaign,” explained Garland Taylor, a partner in TaylorWeirup Marketing, which was started in the late 1980s.  “Now my clients are reading up on it and hearing it from their children. I’m feeling a certain responsibility to learn about it.”

As marketing spending in Richmond plummeted (several local firms relied heavily on work from Circuit City, LandAmerica, S&K, etc.), local firms are scrambling to find ways to connect clients and customers through social media – the platforms du jour are Facebook and Twitter.

A gamble

The strategy is a gamble: It’s unclear how much businesses will pay for the services. Marketing firms generally charge between $100 and $150 an hour for social networking services. One-day seminars can cost around $350.

Still, several local companies, including CarMax and Snagajob, have a dedicated staffer who works on social media. That would suggest other companies may want to outsource that responsibility to a marketing firm.

Several business owners contacted by BizSense said they were more willing to possibly pay for a one-day seminar than outsource Facebook and Twitter, in part because they are so easy to do.

That will be the challenge for any emerging business models that rely on social networking. Still, it may be hard to sell it, considering it’s free to use.

Enter the social media expert

“Nobody is an expert,” said Bill Bergman, who runs the Richmond-based Bergman Agency. “It reminds me of those marketers back in the early ’40s, running around claiming to be experts on TV advertising when TV was brand new.”

Aaron Dotson, a principal at the firm Elevation, said most of his clients are asking about social media, but he concurred that it’s too early to become a guru. “If anyone walks into a room and tells you they are a social media expert — then walk out.”

The other risk is that too much emphasis on social networking will disrupt the established value of PR and marketing. Take PR firms, for example. One local PR professional who spoke on background said that if a PR firm sends a story out on Twitter instead of to a local news outlet, they may lose the ability to get that story in the media. In a sense, they could scoop themselves.

The rush to social networking may also put PR firms and marketing firms into more direct competition with each other, as both are actively pushing the same services, whereas previously the professional lines were more clear.

Another risk is that social media is part of the public domain and any Joe Schmo can comment on it, and those comments can be more popular than the original post. That’s been the case with blogs for a while, but pushing hard into Facebook and Twitter could invite even more attention. For a warning on this, click here to read about a PR fiasco at Domino’s.

“One of the dangers of relying too much on social media is that businesses can’t control the message,” said Holly Rodriguez, a marketer at the University of Richmond. “You can lose control of your brand very quickly.”

Added Kelley Slothwoer of Big River: “I say that if you don’t allow your employees to talk openly or you just don’t have anything interesting to say, it’s not for you.”

More Reading:

Social media strategies give hope to ad agencies, Boston Business Journal
David Larter covers marketing for BizSense. Please send news tips to David@richmondbizsense.com.





Comments

8 Responses to “For Hire: Twitter and Facebook whiz”

  1. Jan Kozlowski on June 19th, 2009 7:56 am

    I think it’s all about first figuring out the technology and then figuring out how to use it purposefully. When I started hearing about Twitter, my first thought was, what the heck am I EVER going to use THAT for? Then a writer friend came up with the idea of launching a six week live murder mystery based entirely on characters tweeting back and forth to each other. 9 of us signed on and since we launched Tweet Mystery of Death on June 15 we’ve been having a blast with the whole thing. As far as PR goes, we’ve talked to PR people and PR people have talked to us, but much along the same lines as what you found in your article, while they think it’s a great, new and cool idea, they really don’t have any idea how to handle it. Ah, life on the cutting edge!!

  2. hmmm on June 19th, 2009 8:00 am

    hahahahahaha

    this city cant get out of its own way..always looking back and following instead of leading….

    Besides SAJ someone identify anything else new truly going national/global from the city…

    Does this mean we get to go to the networking events and listen to people claim to be “social experts” for hire now?

  3. Chuck Swaim on June 19th, 2009 8:09 am

    I cannot agree with the assertion that there are no social media experts out there. True, I remember in 1995 when companies advertised looking for “world wide web” expert site developers – a time when the Internet and HTML were just becoming public – but this time it is different. Social media sites (aka, Web 2.0) was in its infancy five years (or more) ago… simply look at the histories of Wikipedia, MySpace, and Facebook – the relative “old guys” on the social media block. There are tenured “social media-ites” – I dare say experts – who have already amassed a bona fide social media resume.

    If the argument is that *applied* social media experts do not exist, I still contend that this is not the case either. There are numerous examples of firms and individuals who are actively making money through social media. Converting use of a new media into real dollars counts as evidence of being an expert in my book…

  4. Daulton West on June 19th, 2009 11:56 am

    The assertion that nobody is an expert misses the point, and seems to promote an attitude that since nobody knows eveything, they bring little value and should be ignored.

    “Expert” is a relative term. There are many who support social media and “champion” the benefits that social media can bring for creating and optimizing brand awareness, for both existing, or small start-up companies. These expers are leading the charge for the new branding, marketing, and web 2.0 concepts. Their knowledge of social media and the wilingness to share their findings with others leads them to be viewed as “experts” by their peers. Do they know everything about social media?… no, because this is “cutting-edge” technology, and as such, it is constantly evolving and changing. The “champions” for social media provide a great service for organizations and individuals as well, by researching, testing, and learing the latest social media tools and technology, and sharing their experiences and recommendations with all of us.

    When “experts” / “champions” of social media talk, don’t walk out of the room – LISTEN!

    In today’s world, the Gen X, Gen Y, and yes, the Baby Boomers, are not joing as many clubs and organizations – their world and the way they connect with people is through social media.
    Traditional, static, one-way marketing 1.0 concepts are being surpassed by the new collaborative, 2-way conversational, marketing 2.0 innovations. This shift in the way people connect and communicate is being fueled by the new webistes, blogs, social media tools.

    A recent internet article entitled, “Why you have to engage in social media, even if you don’t want to” had this to say. “Social media is already changing the rules of the marketplace, just like the web did a decade ago. It’s still early of course and no one — not even the experts — knows where all this is going. But it’s clear that times are changing again, and those that don’t jump in will go the way of print media..” Those who support the opinions expressed in “For Hire: Twitter and Facebook whiz” might consider reading this very insightful article to get another perspective on the topic.

    For Twitter especially, when used effectively, it can be an awesome networking and marketing tool. Annemarie Smith, owner of viable4u.com, puts it this way in her blog, “Not only does it pose HUGE opportunity for businesses to brand, market and monetize in a viral way over the internet, it also provides a creative means for job seekers.”

    The social networking sites are free to use, and a bigger gamble is to not know how to use them. Whether you embrace the new social media or not, know this; it is here to stay, and is the new way people connect and share information on the internet.

    “One of the dangers of relying too much on social media is that businesses can’t control the message.” “You can lose control of your brand very quickly.”
    Regarding these statements, blogs and posted comments on Twitter, for example, can serve as a good way to monitor a brand – much like a consumer reports recommendation. Instead of going to a company’s website to get the corporate “spin” of what a great company they are, consider setting up a blog and assign someone to monitor it, and reply to any complaints customers may have.

    Rather than “controlling a brand”, choose to pro-actively “monitor a brand” to quickly address questions or issues, and seize the opportunity to build better customer relationships. Similar to a company blog, a Twitter search can reveal any comments good or bad, which have been posted about a company, which is a better barometer of how consumers view that company. It seems to me that seeking feedback on a company through a blog or Twitter, provides valuable consumer information that can be used to protect and enhance a brand reputation.

    - Daulton West, aka “@dwestjr “on Twitter

  5. Mark on June 20th, 2009 1:53 am

    I tend to agree with Chuck, that there has been time for some to have become “experts” in social media

  6. hmmm on June 20th, 2009 7:01 am

    “True, I remember in 1995 when companies advertised looking for “world wide web” expert site developers – a time when the Internet and HTML were just becoming public – but this time it is different. Social media sites (aka, Web 2.0) was in its infancy five years (or more) ago”

    That is my point exactly….In 1995 they werent just becoming public…Richmond was just figuring out what they were…Yahoo, Amazon, AOL, etc all existed and were planning on taking over the world…RIchmond was busy figuring out (or not) how to lose all their banks to NC…

    Social media sites were not in their infancy 5 years ago, there were many attempts at it (some even made it to the public markets), its just the people were not ready, there is nothing technically amazing about facebook, etc, just people were not that comfortable online…Again, other cities fostered the environment to allow those kids to develop ideas and try to take over the world…

    “If the argument is that *applied* social media experts do not exist, I still contend that this is not the case either. There are numerous examples of firms and individuals who are actively making money through social media. Converting use of a new media into real dollars counts as evidence of being an expert in my book…”

    I am sure there are, there is a ton of money sloshing around…but show me a sustainable model…There is a difference between grabbing cash flooding an area and creating a sustainable model that can be repeated…

    I am a big fan of social media, but listening to followers here in Richmond read the news then scratch out their old business card and hawk themselves as experts drives me nuts (not saying that is you Carl)…

    Lets be frank, all of the 60 advertising companies in the city (which is an unsustainable amount given the number of companies with real ad budgets located in this town now – other than folks who can get thrown the occasional bone under the radar from firnds and the usual suspects for some ridiculous “focus group” or menial design work) are looking to do just what I described above…go sell companies on the fact that “you should set up a facebook page and we will design it and craft very sophisticated programs that reach out to your constituents and alerts them to the cool and hip things you are doing”…and now its twitter and “real time updates from the perspective of a happy user of your products (we will pay others to mention your products) in a really low key fashion, because thats how you build cred on twitter”….

    I can see it now “we are the experts here and have been following this area for years…” to which the question should be asked….”why didnt you come up with something like that instead of “following” it”…

    When the city starts asking and supporting those questions, we will start to make a turn for the better

  7. Dave Saunders, aka www.twitter.com/madmain on June 20th, 2009 3:53 pm

    David,
    Your article would suggest that there are no social media experts in Richmond (or anywhere for that matter). You and Mr. Bergman and Mr. Dotson are wrong on this.

    Mr. Swaim is right to disagree with your assertion. His point is clearly demonstrated that the writer is uninformed as are the people he interviewed for this piece.

    We have several at our firm, and we’ve been putting our clients in the space for 3 1/2 years, and we do seminars every month (www.nemediaseminars.com) and we’ve been recognized by the national pubs like Wired, Wall St. Journal and the Washington Post. You called me for this piece, but neglected to put anything I told you in the article. Next time you need an expert on social media call John Newman or anyone at Hodges…they are doing awesome work in SM. So are folks at CRT/Tanaka. There are at least 3 other companies that I know who are working every day in this space, from consulting to implementation.

    Yes, I am proud to say madison+main was the first Richmond firm to jump into this space back in 2005, but we’re not the only ones there. You interviewed the heads of several ad agencies who A) don’t get it and B) are afraid of it. Most of Richmond’s traditional ad agencies are still stuck in the “let’s get my 15%” business model” and wondering where all the ad budgets went.

    Sorry, but interviewing a traditional ad agency about social media is like interviewing the Pope about birth control.

  8. Charles Collie on June 22nd, 2009 4:22 pm

    Like Dave Saunders, when I was interviewed for this article I explained several of the ways social media can be used to help businesses and individuals. But almost none of that found its way into the article.

    The ability to do real-time research is one of the key opportunities offered by social media. Ask a question and get lots of answers (some useful, others not so much) or directions to companies, articles or people who have answers. All at no cost! Can your local research company match that price or give you results that quickly?

    Another key use of social media is creating real, trust based relationships. In a way, what I’m doing right now, commenting on this article is giving you, the reader, a way to know me in a way a static article could never do. By giving you links to my twitter page http://www.twitter.com/charlescollie and my blog http://www.charlescollie.blogspot.com as well as my company’s website http://www.martinbranding.com, you now have the ability to not only know what my company does, but you get to know who I am and how I think about what I do. You can talk directly to me rather than just reading an ad or clicking through the information on a corporate website.

    There are many more examples of the usefulness of social media. My last comment (for now) has to do with the thought expressed in this article that “One of the dangers of relying too much on social media is that businesses can’t control the message. You can lose control of your brand very quickly.” That makes no sense to me. You don’t control your brand by not participating in social media. That’s like believing “if I close my eyes no one can see me.”

    Social media gives you the opportunity to help the world better understand your brand. It also gives you the opportunity to better understand your own brand as well because any company’s or person’s brand is defined in large part by their audience(s). Social media opens up information both about who your audience(s) are and what they think of you. I’d say that’s information that’s good to know.

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