Social Media - Transforming Business

The invention of internet, World Wide Web (www) and faster internet connectivity has resulted in a new business model called e-commerce. Electronics-commerce is the process of buying and selling goods and services, including money transfers, over the internet. Electronic commerce is more commonly referred to as online commerce, Web commerce, eBusiness, eRetail, e-commerce or EC. E-commerce offered many advantages to the customers as well as to the companies. The biggest benefits are cheaper upfront cost to the merchant because of direct marketing and quick setup time. Other advantages includes faster buying/selling procedures, 24/7 shopping, low operational cost and more number of choices to the customers. With more than 700 million people using online social media, such as facebook, twitter etc., to communicate with each other across the globe, companies are looking at this as an opportunity to reach people and do business. As these businesses rely largely on word of mouth marketing (good or bad), the social media has now become a new e-wom (electronic word of mouth) marketing tool. Customers have become smart by constantly looking at product ratings, reviews, blogs, micro-blogging, before making purchase decisions. All of these social technologies are changing the customer experience and are increasingly being used to connect with customers to build strong relationships and converting a regular customer into a brand advocate. Online social media and e-wom, have rapidly changed the e-commerce/e-business to a new face called social media business or social commerce


If you know how to “influence the crowd” effectively you can create a significant market position based on your social acceptance. Social media is transforming businesses and it matters to every business, whether it is small or big, to have a presence in this highly influential space.