by Paul Rowley

This is one of the most talked about pieces of new communication technology, which grabs the immediate interest of most businesses from C level down. However in today's tough economic climate the whole concept can prove hard to justify by most CFOs. Focus of most purchasing decisions is now firmly based on strong compelling ROI with a positive effect on the bottom line within a year of implementation. Nice-to-haves are no longer expectable in our current climate.

I will endeavor to explain how the use of Social Networking can have a positive effect not just on a social level but provide real returns for business. The following approaches are recommended to achieve success in sales and deliver value to the client:

Always provide hard facts to the relevant decision makers

Evidence of key changes to the business as a result of introducing Social Networking must be defined. Getting the hard facts regarding current usage of the site will do this. Current usage of the site needs to be collated then measured with against the company's objectives over a defined period of time, for example 1 to 3 years. Important areas for concentration are site visits, Length of time users spend on site, advertising revenue generated, sales from site if appropriate. This information can then be documented. Evidence of improved usage from other sites can then be applied on a related percentage basis. For example generating an additional 5% traffic would result in a 2% increase in site-generated revenue. This matrix needs to be applied to each relevant factor.

Match business objectives

It is imperative to fully understand the objectives of the business to be able to not only cost justify but also apply additional relevance to the proposition. For example when dealing with an Intranet or Extranet increased user acceptance and regular usage could be an important decision making factor. Encouraging users to regularly use the site can help direct them to business tools such as time sheets and project management as well as giving an internal medium to update them on corporate news and company objectives. By creating an internal community through the use of Blogs and allowing users to comment can be an excellent way to give users a sense of belonging to increase usage.

Prove Social Media is here to stay

No business would like to be perceived as being out of touch with its clients. Examples should be given of other sites utilizing Social Media to gather valuable user feedback. This feedback can come in the format of comments from specific areas of the site. For a quick user experience the use of Polls can attract greater input from clients. It is important to not only demonstrate examples of these features but to also question the prospect as to what relevance this would have to their specific business and market sector. Open questions such as "what specific area of your business would benefit from greater feedback". "How would you utilize accurate feedback from your clients?" "What effect would using client feedback have on your business?" This technique of open questioning allows the prospect to think through the possibilities for them selves and come to their own conclusions. These conclusions do need to be backed up with examples of other businesses that have achieved success to give reassurance. 

Relevance to different layers of the business

The motivation for different people and different departments is particularly relevant in the sale of Social Media. For example as I mentioned earlier a CFO/FD will be particularly focused on the ROI and effect on the profitability of the business. A marketing department will be more interested in the usage of user feedback and driving traffic for their own departmental advantage. HR would see the benefits of an effective method of imparting company information. These various departments and individuals will be far more influential in the sales process if they have site and input of the proposed solution. All of these factors should be compiled in to a compelling proposal that not only satisfies the requirement and wishes but is also back up with a solid and compelling Return On Investment.