Critical investigation of the advantages to using a social media strategy for Three Mobile UK
1. Critical investigation of
the advantages to use a
Social Media Strategy
for Three Mobile
MKT3003 - Buying Behaviour
Teacher : Chris Woollaston
Date of submission : 26/04/2013
Student number : 1209752 date of submission : 26/05/2013
2. Introduction :
Social media has completely changed the nature of interactions between brands
and consumers. Thus, this new type of interaction has a direct impact on the decision-
making process when customers purchase a product. Social networks will help the
consumer to take a decision. For brands, social networks are emerging as a new way to
reach new customers and to understand their needs. This is why companies are now
working their «Social Media Strategy» in order to define the degree of interaction they
want to keep with consumers.
We will study the case of Three Mobile. Three Mobile is a mobile operator launched
in the United Kingdom on 3 March 2003. It has 8.8 millions of subscribers and it is the
smallest operator in the country.
Through this critical investigation, we will define the term social media in the first
time. Then we will explain what are the interests for a company to use these social media
and also the differents traps to avoid. Finally, we will talk about the tools available for the
brand in order to adopt an efficient Social Media strategy.
I) The definition of Social Media and the online communities
people
Kaplan and Haenlein define Social Media as «a group of Internet-based
applications that build on the ideological and technological foundations of Web 2.0, and
that allow the creation and exchange of User Generated Content».
Student number : 1209752 date of submission : 26/05/2013
3. Thus, through this means of social communication, individuals or groups of
individuals who work together create web content, organize contents, index it, modify it or
make comments, combined with personal creations. Social media use many techniques,
such as RSS feeds, blogging (WordPress), photo sharing (Flickr or Instagram), video-
sharing (YouTube, Vimeo), podcasts or social networks (Facebook, Twitter) for example...
All these flows represent a very large population. Indeed, in fourth quarter 2012, there are
1,056 trillion of users on Facebook (source: Facebook) for example. Meanwhile, Twitter
counts 200 million users and it is estimated that nearly 400 million tweets are sent daily
(source: Twitter). Instagram, the photo sharing service, would account for 90 million active
users each month with 40 million photos every day (source: Instagram), 8500 Likes and
1000 comments per second. Finally, on Youtube, there are 800 million users who spend 4
billion of hours each month watching videos on the website (source: Youtube).
Thus, currently, social media gather more and more people over the world (Kaplan,
2012). But, formerly, young people and 18-35 were considered as the main ultra-
connected population (Kaplan Andreas M., Haenlein M., 2010). Today, we can see a new
type of population : aging people are connected and we could mention the phenomenon of
«Digital Mums». In this way, these social media don’t affect only young people.
According to Michael Solomon (2012), the characteristics on the online
communities are :
Student number : 1209752 date of submission : 26/05/2013
- The conversation
- The presence
- A collective interest
- A democracy
- A behavioral
- Participation
- Crowd power
- Network effect
4. II) The advantage of using social media for business and the
traps to avoid.
Three Mobile can have many benefits of using social media (Mary J. Culnan, 2010) :
• Social media heighten the recognition and the visibility of a company and the
trust in it.
By acquiring fans, friends and followers, the use of social networks significantly
increase the scope and the visibility of a company. The brand can reach a large audience
by using social media to send messages. If fans recommend a particular page, the
company increases its community. It has to create and broadcast a rich and interesting
content. In addition, social media are a place allowing to generate a different type of
dialog with customers, partners and suppliers. Creating a dialog, an exchange and,
therefore, mutual trust.
• They allow exploration and acquisition of new customers.
With the creation and diffusion of original and attractive contents, Three Mobile has
a powerful prospecting tool. Social networks allow to take a different way of speaking
compared to traditional marketing tools. In addition, there is a great effect of boost through/
with viral aspect of social media. Thanks to the inherent interaction with social networks
and their databases, the companies can acquire contacts (e-mail addresses or contact
details) for less.
Student number : 1209752 date of submission : 26/05/2013
5. • Development of the number of visitors to websites and search engine
optimization.
With a rebound effect, companies which have created a Facebook page, for
example, see an increasing traffic on their website. Again, the viral aspect is very important
because the pages of social networking companies / brands are recommended by their
fans or followers. Thus, new visitors are lead to visit the website of the brand. The Search
Engine Optimization (SEO) is also optimized. Indeed, Google considers this content on
social media pages. Thus, SEO websites has an additional source.
• A new area of product sales and services
Commercials operations such as promotions or sales are boosted by social
networking business operations. Indeed, fans and friends share more tips that they spot
on the pages of companies and brands. In addition, these commercials operations are
increasingly exclusively intended for social networks. Again, at lower cost.
• Public Relations optimized
Social media is a powerful tool for public relations. Indeed, traditional media such as
newspapers or radio do not allow to generate a reciprocal dialogue with the public. The
message is broadcast only in one direction: from the company to the consumer. With
social media, it is not the same. Today, it is possible to follow what is being said about a
particular company and to answer to questions, opinions and criticisms. This helps to build
lasting and quality relationships with the public.
Several studies suggest the positive impact of social media for a brand. According
to the study of Compete Institute (2011), 56% of people who follow a brand on Twitter are
more likely to buy the products of the brand. Regarding Facebook, only 47% of «fans» of
the page in question would be willing to buy the product, that shows the stronger
relationship between the brand and created users on Twitter.
Student number : 1209752 date of submission : 26/05/2013
6. This is a great opportunity for the brand, because it can adapt its content based on
the person with whom it converses on this support. Through social media, it has the
opportunity to use a marketing ONE-TO-ONE, that is to say a marketing focused on the
desires of the consumer (Brown, J. 2007).
In addition, when a consumer has consolidated his choice through a social network,
he buys the product in 40% of cases. Another study also showed that 56% of Facebook
users who have become «fans» of a brand are more likely to recommend to a friend. It is
also important to note that when a brand responds to a comment from a user, 80% of them
then bought a product of this specific brand. Finally, 36% of users have more trust in a
brand that has a presence on social networks.
Thanks to new technologies, such as tablets or phones, consumers no longer really
need to have their home computer. They can log to the network from anywhere and
anytime. This constant access to social media is an excellent tool for business promotion
(Wiley, J. & Sons, 2009). Indeed, it can inform the consumer and provides the ability to
easily target the people you want to reach.
The pitfalls of communication with social networks
• Social media like Facebook are «private» places. Users go in this places to share
with their friends and find attractives contents. Studies on this subject show that
they are not interested in purely commercial content. The pure and simple «push
marketing» has little impact in this place. It should not be a too commercial
approach in what you post on social media content. The focus should be interesting
content for users.
• The company has to plan the strategy and content that it will bring on social media.
Student number : 1209752 date of submission : 26/05/2013
7. • In the first time, it is necessary to know customers in how they use social media to
reach the targeted population. That is to say Three Mobile should take into account
the different people that are on different social media and why they use them. Thus,
it allows to determine which social media to use based on the targeted population.
• Similarly, it is important to communicate about the use of social media by the brand.
It must regularly speaks on traditional channels (TV adverts, radio, newspapers ...)
to inform the consumer of its presence on these social media.
• The firm has to answer questions put by consumers on social media to keep full
transparency. This will help to improve the online reputation because followers and
fans appreciate the quick interactions.
• Online technologies accelerate the impact of word-of-mouth communication (Chen,
Y., 2008). There is a positive virality but it can also be negative. This is the case in a
bad buzz for example, which can be rapidly increased by word-of-mouth.
• Finally, it should reward people who follow the brand through discount coupons or
gifts to win for example, in order to reward the loyalty of customers.
III) The differents tools provided by social medias for the
companies
In the first time, social media are, for the company, an access to a considerable
data base. Facebook, for example, with its billion users, millions of hours spent, shared
videos, is the second visited site in the world. It is an institution. In addition, it hides a huge
potential for personal data storage. Thus, companies have an access to a huge databank
on the preferences and behavior of consumers.
Student number : 1209752 date of submission : 26/05/2013
8. These databases, similar to the «Big Data» allows the company to have many
informations of the target population (Minelli M., 2012). Big data is a collection of data sets
that are so large and complex that it becomes difficult to use. We just begin to use these
informations and they already have an infinite potential, particularly for the companies.
Thus, the firm can reach its goal faster by adapting its strategy depending on the time,
people and trends.
For example, Facebook will soon introduce a new tool that could revolutionize the
use of personal data: the Graph Search. This new search feature will provide to the brands
and marketers, a great way to understand the consumer. The population targeted will be
much more easily identifiable. With the Graph Search, it is now possible to cross places,
interests and jobs and to create profiles types of users. Thus, it is possible to target books
liked by people who also love «Star Wars». In addition, this is very easy to use this type of
research through the integration of a natural language. For example, by typing: «People
who like cycling and are from my hometown» the results will be displayed immediately,
without the use of complex data analysis services.
This new feature allows to the company :
• To have a better knowledge of their community including their jobs, their employers,
studies, their hometown or their marital situation for example.
• To identify local fans. In this way, the company can create special offers with
geolocalisation where there are more fans.
• To identify prospects, that is to say people who might be interested in the products
of the brand but are currently not «fans».
• To access to the fans of a competitor facebook page in order to gather information
for the purpose of competitive analysis.
Student number : 1209752 date of submission : 26/05/2013
9. • Analysis of competitors' campaigns on Facebook, particularly in order to examine
what is the type of competitors content which have been the most successful.
Finally, social media offer measurement and monitoring tools (Sponder, M. 2011).
Thus, companies can observe their community through monitoring platforms and their
social media analytics. This allows effectively to analyze and to optimize the return on
investment (ROI), a budget control and to manage crises when they occur, for example.
Conclusion
In conclusion, we can say that social media are now really important in the
communication strategy of companies. They are the perfect answer to this need of
discussion and exchange asked by consumers. Brands can now reach the consumer and
establish a special contact with him, especially send him a message and respond normally
to his questions. In this way, companies must pay attention to their social media strategy.
In addition, today the non presence of a company on social networks may tarnish its
reputation. All in all, this presence is made necessary by the huge number of users on
these social media.
Thus, Three Mobile has to particularly pay attention to its strategy, especially as it
contributes, with his phone packages and selling smartphone, to the development of these
social media. It must show example in this area and encourage its online community to
use social media. To establish a good marketing strategy on these media, the firm must
have a competent team, able to understand the issues of this communication and to select
the good support according to its targeted population. In addition, it must be completely
transparent on these social networks to inspire the trust, to be humble and to make the
stuff of dreams his fans or followers without lying to them.
Student number : 1209752 date of submission : 26/05/2013
10. Finally, it is very important to answer to customers' questions with care on these media
and to be accessible to everyone.
Words : 2290.
Bibliography :
Mary J. Culnan, Patrick J. McHugh, Jesus I. Zubillaga (2010) «How Large U.S. Companies
Can Use Twitter and Other Social Media to Gain Business Value»
Kaplan, Andreas M. and Michael Haenlein (2012), "Social media: Back to the roots and
back to the future", Journal of Systems and Information Technology, 14 (2), 101 - 04.
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Minelli, M. (2012) Big Data, Big Analytics: Emerging Business Intelligence and Analytic
Trends for Today's Businesses
Chen, Y. (2008) Online Consumer Review: Word-of-Mouth as a New Element of Marketing
Communication Mix
Student number : 1209752 date of submission : 26/05/2013
11. Brown, J. (2007) Word of mouth communication within online communities:
Conceptualizing the online social network, Journal of Marketing Interactive
Student number : 1209752 date of submission : 26/05/2013