Social Networking and Marketing

Social Networking effects on Marketing and Products

Social Networking  is important to marketers because it is not only a one stop shop for sharing and communicating on similar interests, but also a place where consumers share opinions about different products and offerings.  Marketers and researchers collect information and data mine it to transform into leads on new products and improvements.  Therefore trends lead to marketing actions.   Social networking also increases brand loyalty.  For example, on Facebook, users can “like” different products, thus displaying their interest in various brands which gets other SN users talking about similar items.  From social networks, ad firms and researchers can develop plans to discover the needs and wants of consumers that are constantly providing feedback on new products and services.

(Kerin, Roger A., Steven William. Hartley, and William Rudelius. "8." Marketing. Boston: McGraw-Hill/Irwin, 2009. 209-10. Print.)

Now that we know SN’s contribution to marketing, the question of products arises.   To make the comparisons, lets look at the smartphone product line.  Are companies designing smartphones around social network compatibility more than texting and other basic phone features?  It seems that iPhones and Androids are advertising more and more for the social networks and media that are accessible on their products.  You could say that the SN compatibility feature has become a necessity to potential phone buyers.  With this, many carriers have designed their products around SN features, making it easier to drag and upload pictures to Facebook, Flickr, Google+, etc.  Looking back on a few years ago when phones were centered on texting features, such as sliding keyboards, QWERTY, and swipe text; it is safe to say that the new trend for phones is centered around screen display for YouTube videos, Face Time Chat, or group chats on Google+.  Also larger data packages are available for how much information is being processed and stored in a smart phone.   It is clear to see that consumer wants and needs are shaping the innovation for the smartphone product line.

The Harvard Business Review addressed an interesting concept of companies keeping up:

 On the positive side, new communication technologies and channels have made it easier to get on the map quickly and to create buzz and word-of-mouth. The problem is that start-ups are now subjected to new and not necessarily desirable pressures, which are exclusively related to communication channels. In short, it is the "fear of being left out" syndrome.

This statement shows that technologies,  including social media and networking, have indeed impacted the market and product lines of industries everwhere. (Hagiu, Andrei. "Social Networks Will Change Product Innovation." Web log post. Harvard Business Review. HBR Blog Networ, 18 Mar. 2011. Web. 17 Mar. 2012. <http://blogs.hbr.org/hbsfaculty/2011/03/how-social-networks-will-chang.html>.)

 What is your take on product and market innovations effected by social networks?