Jul 12
10
Don’t dismiss web forums during social media campaigns
A range of industries, including financial institutions, small businesses and technology sectors, rely on social media campaigns to promote their products, build customer loyalty and develop a channel for communicating with customers. While social media platforms, such as Facebook, Twitter and LinkedIn, are the more traditional channels companies rely on, web forums are an overlooked medium that can have a powerful effect on a company’s customer base.
Forums and message boards are typically the preferred and more popular method consumers use to talk about products, rank companies, share their experiences and recommend services, moreso than Facebook and Twitter, according to Entrepreneur magazine. There are a variety of message boards, ranging from those operated on a company or retailer’s site or those that are created online by consumers themselves. Given all of the options for reaching out to customers who have utilized a product or service, many individuals are driven toward these websites because they provide more of an opportunity to have conversations with other users.
For these reasons, experts say that businesses should pay more attention to these forums and establish a presence to better market themselves to current customers or those that are interested in their company. However, there are several steps businesses are encouraged to follow to avoid coming on too strong or alienating their customer base. For example, business owners will benefit by steering clear of marketing pitches and overly-promoting their products, Entrepreneur reports. Consumers typically visit message boards and forums to gain objective insight into companies, rather than hearing a sales pitch. Those who are bombarded with promotional information from the onset are likely to view the forum as a non-credible resource and seek out information elsewhere.
In addition, experts also discourage business owners from starting discussions about products and services. Forums are an effective way to gauge customer perceptions and correct misunderstandings about services or products. Rather than starting a message about a new item or the great level of service extended, businesses are advised to chime in to support good reviews about a company or explain other aspects that may be hazy. In addition, when it comes to poor reviews, it’s crucial to take negative criticism in stride and avoid lashing out at consumers. This can make a company appear immature and may result in the sender being flagged or banned from posting on the forum.
Jun 12
29
Payment technology changes consumer perceptions of money
Many consumers who are still wary of electronic wallets, but want to explore new convenient ways of paying for items are utilizing new payment technologies that do not require them to input their personal financial information.
Experts say that these new types of payment technology are becoming popular among demographics that are concerned about their privacy, do not want to rack up credit card bills or do not have access to traditional credit accounts, such as teenagers. For example, a recently developed payment program, called Openbucks, allows consumers to pay online with gift cards, according to the San Jose Mercury News.
For example, consumers who enjoy shopping online, but do not want to put their personal financial information through a website, purchase the Openbucks gift card at participating retailers, such as Subway or CVS. When they decide to make an online purchase later on, they can simply enter the code on the back of the card at the checkout page and their transaction is quickly completed. This product differs from prepaid and gift cards because there are no reload fees, usage fees or additional charges. Instead, they can purchase the card for $50 and have $50 to spend. In addition, the cards afford consumers more convenience because they may pay online by inputting a simple code, rather than a long account number.
“It’s great for teens who might not have credit cards, or people who want to stay confidential and not spread their credit card information all over the Internet, or people who are concerned about online safety,” Marc Rochman told the news source.
These types of programs may be a new breakthrough for the underbanked segment that utilize smartphone apps and technology, but still do not want to engage in traditional banking products. A recent Federal Reserve Board study revealed underbanked individuals are more likely to own smartphones and utilize mobile payment features than banked consumers. According to the results, 91 percent of underbanked consumers have mobile phones and 57 percent have smartphones, as opposed to 87 percent of banked consumers who have mobile phones and 44 percent have smartphones.
Jun 12
25
Executives, Employees Disagree On Social Media’s Impact on Workplace Culture
Social media services are designed to connect individuals, offer networking opportunities and provide several channels for social interaction. However, when it comes to the role of social media in regard to building a workplace culture, executives and employees have different opinions about the impact of popular networking sites.
According to a Deloitte study conducted by Harris Interactive, 41 percent of executives believe social media helps build and maintain a workplace culture, while only 21 percent of employees agree with this statement. In fact, only 27 percent of workers said they feel that social media has a positive impact on workplace culture, as opposed to 45 percent of higher-ups.
“Our research suggests executives are possibly using social media as a crutch in building workplace culture and appearing accessible to employees,” said Punit Renjen, Deloitte chairman. “While business leaders should recognize how people communicate today, particularly Millennials, they must keep in mind the limits of these technologies. The norms for cultivating culture have not changed, and require managers to build trust through face-to-face meetings, live phone calls and personal messages.”
The study also revealed that differing perspectives on the role of social media services was not the only disagreement between executives and employees. When it came to discussing elements that contributed to workplace culture, executives tend to focus on tangible aspects, while workers focused on intangibles. For example, 62 percent of executives named compensation as a key factor in workplace culture and another 65 percent said financial performance was another element.
However, 50 percent of workers said communication was more important than financial compensation and performance, and 47 percent listed access to management as paramount in building a workplace culture.
While social media has revolutionized the ways in which businesses communicate and build relationships with customers, many companies are still trying to navigate social media’s place within the office.
Jun 12
21
Square adds loyalty features to boost customer base
Millions of small businesses and individuals have turned to Square technology to accept credit cards, giving customers more payment options. However, as many Americans become more interested in the convenience of electronic wallets, some retailers fear that credit cards will be phased out.
In an effort to encourage consumers to continue using credit cards, Square has created an application that offers loyalty rewards to customers. The app enhances the capabilities of the iPad application Register and is also compatible with Square’s digital wallet, Pay with Square, according to American Banker. The program enables retailers to offer incentives to consumers, ranging from discounts to rewards for spending.
In addition, the app generates reports on sales trends.
“What Square is trying to do is deepen relationships with its merchant community,” Zil Bareisis, Celent research firm senior analyst, told American Banker in an email. “That’s the main purpose of the Register app as well as the new loyalty features.”
While many consumers have turned to Square due to its simplicity and low cost, competitors who offer similar technology have gained an edge over the company by offering additional features and rewards. Square has attempted to both regain its edge against competitors with the new application and provide more benefits to consumers and retailers.
Many analysts have asserted that incentives and rewards play a significant role in Americans’ decision to use certain payment methods. Industry experts agree that a lack of incentives is one of the reasons adoption of new mobile technology has been slow and consumers have remained committed to credit cards. However, some consumer researchers say that if mobile payment developers provide rewards for use and take steps to allay Americans’ safety concerns, adoption of new technology will speed up.
Jun 12
12
Mobile technology impacts business relationships with customers
Online shopping, mobile banking and electronic wallets have changed retailers’ and banks relationships with customers. As consumers can more conveniently and expediently shop from home or with their mobile devices, many businesses are losing face time and more personal interactions with their customer base.
However, experts say there are various ways that businesses can still maintain close and meaningful ties to its customers by using mobile technology to its advantage. Businesses can develop new platforms for contacting and engaging with customers, according to Bank and Technology Systems.
For example, banks and retailers who are behind on developing apps and mobile payment systems can increase customer retention and acquisition by offering new features to consumers. In addition, many banks are also creating online chat systems that allow consumers to stay connected with their financial institutions.
Businesses can also retain customers and maintain their reputation for quality by ensuring their mobile and online platforms are easy to navigate, have simple payment systems and function efficiently, the news source explains. Frequent problems accessing and utilizing these features can make customers frustrated and dampen their experience with a business. Spending more resources on knowledgeable IT engineers and programs can lead to more profitability over time as a company’s customer base grows.
Security is of the utmost importance to customers who provide their financial and personal information online. For this reason, banks and retailers should have several security safeguards in place, and develop a quick response program in the event of a data breach or fraud. Keeping customers informed of these safeguards can help build and maintain trust.
Mobile technology and payments are expected to rise significantly in the next few years, and businesses who maintain focus on their customer service channels are expected to come out on top when it comes to drawing in and retaining new consumers.