The Power of Social Media and its Impact on the Current Business Environment

The number of internet users has increased over the last decade due to the development of new technologies, internet availability and improved connectivity. Various online communications platforms have been invented and are widely used for both personal and business purposes world wide and social networking is the latest communication platform helping people connect to each other across different places. Its introduction has changed the way groups of people are connecting and communicating in business via online communities and professional networks. In business, many multi-national companies are currently moving beyond traditional media channels and using …show more content…

Thanks considerably to the advantages of social media, and its large numbers of potential target consumers, it is no surprise that many global companies have selected social networking as a key medium to start launching their campaign. According to Parsons (2011), reported that recently, Kellogg’s, the cereal manufacturer, launched a new range of Krave cereal and used Facebook as a medium to communicate and offer free sample packs to around 80,000 consumers on their Facebook fan page. The brand also developed video content to engage their 16-24 year old target age group to create interaction in Facebook. Additional examples show that Dell also gained a major success generating $3 million in sales after it launched its online outlet through Twitter and Starbucks has achieved the top ranking of Facebook brand pages, with nearly 4 million friends, by just offering fans coupons for free pastries and ice cream. Additionally, Whole Foods has topped Twitter with 1.5 million followers by broadcasting weekly specials and shopping tips (Schmitt 2009, p. 26). Companies in the FMCG industry are not