Are Super-brands using Social Media?

From recent research, it appears that globally recognized brands hardly use social media. For example, in fashion, you seldom see the appearance of a big brand such as Prada or Gucci in social media campaigns. They are more likely to stick with Vogue magazine in spite of their huge aspirational following on social sites like Facebook.

Gucci and Mercedes Benz stand out as isolated cases. Gucci did try a lukewarm campaign, EyeWeb, where it invited people to upload photos that were shown on a pair of Gucci sunglasses as a reflection. To borrow a term 'less is less' may still be applicable to this industry.


However, 'less being less' is not isolated to the fashion industry and lack of social media use is repeated throughout industries. Super-brands appear to be turning a blind eye to social media, or are waiting until they are forced into it as it becomes increasingly mainstream.

Meanwhile, agile organizations are implementing social media strategies and making the most of this lead on their competitors in the hope that they will be further along in the race when the giants decide to enter.


Good luck to these people and brands that are early adopters, those who are making the most of this opportunity while the more ponderous giants lag behind. You will need it, because they will throw billions at their campaigns. The law of increasing returns applies here. As with all information based industries, the more you invest and sell... the more you sell.


http://mashable.com/2010/09/06/brand-spending-google/

 

To cast an eye over Google ads for a moment, a recently leaked Google document shows that AT&T Mobility, Expedia, Amazon, eBay, Hotels.com, JP Penny, Living Social, and ADT Security were the top spenders on search ads in June 2010, spending a total of $41.04 million. This is inflated by the BP spend of $3.59 on adverts after the gulf oil spill - presumably as damage limitation? 


This may seem like a lot of money, but to these organizations it is a fraction of their marketing budget. 
The truth of the matter is, although the giants are not yet taking social media seriously - they will do. And when they do, they will throw billions of dollars at it and make a huge impact, dwarfing efforts of existing aspiring brands. 


As with Caxton’s printing press, mass adoption is slow initially with the gain of momentum for the first few sales taking the most effort and resources. After that, the old ‘80/20’ rule applies.

Superbrands are leaving 80% effort to the early adopter to establish the market space. Then will only need 20% effort to achieve the same results in an already rolling market. they will be able to gain traction because of existing brand awareness and mop up 80% potential sales in the market as well as other benefits., while the early adopter who created the market has to satisfy himself with 20% of market share for 80% effort to get it.


Also notable in this leaked Google document is that many Internet savvy companies are on this list. They have been birthed inside this environment so understand it well. Social media is a natural extension of their playpen. The Internet being their home base and their movement in is as fluid as dolphins in the sea.


Social media at present is more hype than fact, although organisations are positioning themselves for the social media battles of the future, by acquiring internal and external social media teams. Take a look at social media hires – this job was not in existence a few years ago, now someone who is purported to be a great social mediaist can command a salary on 6 figures.


Let’s see some movement from the super-brands and see if they ‘can’ compete and beat the smaller organisations already out there doing social media. Will this be a turnaround where the playing field is level, or does money buy everything in social media as it does anywhere else?