Topic > Role of Social Media in Marketing - 798

Since 2000, the emergence of websites such as: Facebook, Twitter, Instagram and Snapchat, to name a few, have completely changed the way marketing is directed, especially towards younger generations, and started a new trend in marketing called social media marketing. More and more companies are allocating a larger percentage of their budgets to social media, in some cases as much as 20%, but more and more research shows that spending on social media is not worth it. Social media does not guarantee a return on investment, and in many cases social customer information is not integrated with other customer information. “Companies are not integrating customer insights from purchasing, social media and other communications channels, meaning companies still lack the critical 360-degree view that could help them increase customer acquisition and retention. customers” (Christine Moorman, 2016, Forbes, page 1). All these factors have led to the company's inability to create the much-needed link between financial performance and social media contributions and the inability to acquire consumers and retain them.