Social Media Marketing and Its Impact on Businesses

The purpose of this paper is to discuss in depth about the opportunities and threats associated with Social Media Marketing so that companies can confidently make their decisions about going ahead or restraining from adopting social media marketing to their overall marketing strategy. Social media has turned out to be a very powerful tool for marketing and has created a massive Impact on the growth of the businesses. Social media marketing has opened up new possibilities for the companies to engage with their targeted customers. It is turning out to be a cost effective solution for business of all sizes. In-spite of all the positive points associated with social media marketing there are a few threats which if underestimated could prove fatal to a company like content theft, identity theft and more. Companies are using social media marketing strategies to have a better understanding of the customer requirement and building a relationship based on trust. This mindset is also helping them in building brand loyalty among the target audience.


The latest innovation and improvements in the Digital space has led to the development of new social media platforms which facilitates the better communication and interconnectivity. Consumers are able to directly contact the company on their social media profiles, forums and other websites where reviews can be shared with the services or the products of that company.

Social media platforms have shared an opportunity with the companies in which once their profile is created they can post content on their profiles targeted to the customer so that an engagement is initiated and this feedback can be further used for personalizing the messages (Gurau,2008). Social media marketing has proved to be a cost-effective solution for the companies for all the purposes like market research, communication, branding and advertisements and more. Companies are using social media platforms for communicating with their audiences which in turn improves the online credibility of these organizations thereby creating and strengthening the brand loyalty. Along with the mentioned positive points comes a negative side of social media marketing where companies are poised to threats like privacy issues, content theft, identity theft and more (Gurau,2008).


This study helps companies in understanding the Rewards and risks of Social media marketing. Social networking platforms has evolved a lot at both individual and corporate level in terms of benefits and risks associated with it. The end result of the review mentions both positive and negative points of social media marketing. The main disturbing concerns revolving around SMM is the privacy and identity and content theft related issues. Today consumers are not just the observers but are actively involved in the process of marketing and selling. Customers are generating content for the companies in the form of reviews and feedback. This has given them more power of sharing their content and discontent with the company about their experience of purchasing or using a service or product. The primary aim of any organization is to build a healthy and long lasting relationship with their customer which could further improve the overall sales of their product and also result in customer loyalty.

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