The Mark 2010

Many companies think they don't need social media. Those companies are dinosaurs.

I have spent a lot of time lately trying to explain to CEOs and executive leadership teams the importance of social media – especially Twitter. Some days, it feels like I’m bashing my head against a wall.

How can telling a story in 140 characters or less strategically help a business? For many, it is much easier just to ignore the wild, wild web and say “my company doesn’t need an online profile,” or “we already have a strong marketing plan,” or “our brand has only a few customers, so why waste our time?” Wrong, wrong, wrong, and here’s why.

In the dinosaur days of advertising, brand management, and public relations, companies held all the cards. They told the story. They told stakeholders what they needed to know and when they needed to know it. They gave out facts and information like pieces of candy to be savoured. They put ads out and told people they needed to buy their bigger, better, faster, and stronger widget. Those days, however, are over.

Today, word of mouth reputation is how customers decide which big-ticket items to buy. Social media users are now telling companies about their brand. They define whether it’s relevant, why it’s worth discussing, when it’s in trouble, whether a company deserves accolades, or whether it should be hung up to dry. With more than 28 million tweets a day, you can rest assured that customers and employees now know private company information in real time – with no filters.

Think about that. All of a business’s information can be out there for the world to see.

Every news story, no matter how small or large, now breaks on Twitter. Why? Because it has the fastest news cycle out there. It’s instantaneous, 24/7. It is the premiere destination to find out about board of directors issues, CEO affairs, product recalls, celebrity breakups, product tampering, human tragedies, new products, great restaurants, bad service, and everything in between.

The media – once the trusted source for credible news and information – is now playing catch up. When the news sources were camped out for hours waiting for any information on the Fort Hood incident, the rest of the world was following it in real time by reading Tweets from personnel inside the buildings. Media companies are now scrambling to recreate their business models because Twitter – and the rest of social media – is leading the news.

Everyone knows that you can go directly to Twitter and receive a live report of first-hand experiences. Case in point: Haiti rescue efforts were being tweeted in real time. When the Canadian government had no information on survivors, you could find out for yourself from the people on the ground.

Businesses have two choices when it comes to social media. They can tell their story, be a thought leader, and engage the public in what they do and how they do it, letting their knowledge, experience, and expertise shine through. Or they can be reactive, manage negative perceptions about the company and services as issues arise, and so lose the luxury of planning – or even pondering – a response. By the time they come up with a fantastic “out of the box strategy,” entire conversations have transpired, judgement has been passed, and the public has set the tone. Without them.

The most successful companies in the future will be the ones that get online, build a reputation of credibility, and respond to concerns and problems in real time. Those that don’t will go the way of the dinosaur.