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Tue, May 12 2009

Transparency in Social Media Marketing

Word of mouth marketing has always had value to companies. As social media continues to gain popularity, those conversations are reaching further — faster — than ever before. With paid product placement in social media, though, users begin to wonder what’s authentic and what’s a clever marketing campaign.

gossiping girls

Image: sxc.hu

Right now it can be challenging to figure out what’s sponsored content and what is not. Some social media users are up front about any relationships they have with companies. Others aren’t so forthcoming. And if users are not clear about relationships, then those who follow them are going to wonder if they should trust the person blogging, tweeting, or linking items on Facebook.

If you’re using a well-connected social media user to promote your product, and neither of you disclose your relationship, you could face some fallout when that relationship is revealed. Personal experience with a product or service means a lot to people. But if it is conjured, untrustworthy, or in any way doesn’t seem authentic, potential customers will run in the other direction. They won’t trust you or your promoter.

The best way to work in social media is to disclose, disclose, disclose. Let potential customers know that you offered products or services in return for feedback. Or that you paid someone for their time, regardless of whether the resulting review is positive or negative. Be transparent in your dealings with social promotion. You’ll show that you trust your customers to make a decision based on honest reviews, not manufactured positive press.

Do you insist that your social media marketing is transparent? Do you disclose when you’ve paid for placement or reviews? Why or why not? If you didn’t disclose, has it ever backfired on you? I’d really like to hear some thoughts on this, even if you feel the need to be anonymous to do so.

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Comments

  1. Trackback
    1091 days ago
    Has Blogger Outreach Hit Its Tipping Point? : Bizzia - Business News and Commentary - Finance and Business Tips

    [...] in their blog network, versus the paid review programs they also sponsor. It all comes back to transparency, doesn’t [...]

  2. By Becky Scott

    It’s not just about Generation Y. A lot of Generation Xers are heavily involved in social media. And right now, that’s who I’m seeing a lot of companies chasing after – especially when it comes to mothers.

  3. By Matt West

    As a consultant, I see the value of providing an online experience. Social media is a great example of an interactive digital medium with real power, provided you know how to use it. For the average small business, effectively navigating social media is largely about understanding Generation Y. Please see my review of Millennials and social media.

    http://thegreenmarket.blogspot.com/2009/05/power-of-social-media-and-importance-of.html

    See also the ways in which social media and sustainability are aligned.

    http://thegreenmarket.blogspot.com/2009/05/social-media-and-sustainability.html

  4. By Becky Scott

    And social media users are quick to let people know about any failures. Immediately and loudly. Businesses can’t afford to alienate large groups of customers right now. Not all “press” is good press.

  5. By EH

    Amen! You must disclosure is so important. Using “sneaky” advertising methods on social sites is a quick way to lose the trust of new or potential customers. Being honest and open up front is always the best policy.