Social Media Marketing Helps Increase Customers and Revenues

By | January 12, 2012

Gone are the days when businesses used traditional marketing supplements for promoting the products and services. The rise of Internet usage trends has enhanced the mode of marketing by various businesses. Social media has become one of the most effective marketing tools for businesses these days. It is found that social media marketing helps in bringing up new revenues and customers.

The social networking advertising revenues were estimated to reach $5.97 billion in 2011 as per the eMarketer. This is estimated to be a 71.6% increase over 2010. These estimates did not include money spent by the companies on developing their presence on social networks or hiring staff to manage them.

A survey conducted by Regus, revealed that companies operating in the developed markets had a great impact of social networks. It was found that 47% of the businesses worldwide used social networks for customer acquisition in 2011. However, in 2010, the social media marketing was used by only 40% of them throughout the world. Among the different countries studied, it was found that China ranked first in the use of social networks for customer acquisition. In China alone, 65% of the businesses are estimated to use social media in 2011. This is expected as a great growth with only 44% of the businesses using social networks in 2010.

Countries like India, US and UK are only next to China in using social media for customer acquisition. The social networks are estimated to be used by 43% of businesses in the US in 2011. However, only 33% of the businesses used them in 2010 for customer acquisition. However, it was found that the impact of social networks was more for companies operating in the developed markets.