JD Powers: Social Media Servicing versus Social Media Marketing
A strong social media strategy can have positive impact on bottom line and brand image
JD Powers released a new study 2013 Social Media Benchmark Study that provides valuable insight into consumer expectations for social media as well as measuring how well companies are meeting expectations.
The study identifies two key uses of social media–providing service to consumers and promotional marketing. Social media servicing includes answering questions and resolving problems for customers, whereas social media marketing includes connecting with customers to build brand awareness. Market leaders have developed strategies that meet both expectations.
According to the study, “Companies that are focused only on promoting their brand and deals, or only servicing existing customers, are excluding major groups of their online community, negatively impacting their satisfaction and influencing their future purchasing decision. A one-pronged approach to social is no longer an option.”
In banking, Capital One/Chevy Chase and Chase are excelling in both categories.
Other banks mentioned in the study by area:
| Social Media Servicing | Social Media Marketing |
|
Capital One/Chevy Chase Chase Fifth Third Bank PNC Bank SunTrust Bank |
Capital One/Chevy Chase Chase Huntington National Regions Bank |
Key Findings
- 67% of consumers have used a company’s social media site for servicing, compared with 33% for social marketing.
- Younger consumers (18-29 years old) are more likely to use brands’ social media sites for servicing interactions (43%) than for marketing (23%).
- The automotive industry balances marketing and servicing engagements better than any other industry included in the study.
- Consumer expectations for social interactions vary across industries, although quality content and responsive service representatives are keys to higher satisfaction levels.
