Friday, April 17, 2015

Problem Solution Essay Draft 4


Social networking sites are one of the fastest and least expensive ways to find a target audience and help a business grow. Singapore has a 70% social media penetration, which more than doubles the global average of 26%, ranking the top in Asia. Social media users in Singapore spend an average of 2.1 hours per day on all social media platforms (Statista, 2015). However, due to the incompetency of staff members when using social media, small and medium fashion businesses in Singapore do not utilize these platforms effectively to communicate with their customers and to advertise their goods.

According to a study done by Harvard Business Review Analytic Service and SAS (2010), 43% of business executives said their companies were not using social media effectively. Even so, most companies using social media have yet to fully leverage customer interactions via social media channels. 42% of the interviewed company executives did not know which social media platform their most valuable customers were using while 93% of them did not integrate social media into their marketing activities. Thus, it is recommended for small and medium fashion businesses in Singapore to identify the mix of social media platforms that can reach out to their target audiences effectively and train their staff members to utilize the social media platforms effectively.

The first solution is (for SMEs) to train their staff members through Social Media Training Module (SMTM). SMTM consists of 4 main modules. Firstly, there will be a social media literacy module where the staff members will learn from the basics on the unique functions of the various social media platforms. It is important for them to learn how to operate and use the features incorporated in these platforms so that they are able to utilise them effectively. Next, there will be a customer service module, where the staff members will be given a range of hypothetical interactions that may appear on social media. They will be trained on how to respond to the different situations in order to best engage the customers and provide excellent service.

Furthermore, a marketing module will train the staff members to use different methods and techniques in social media content creation. (For instance) They will be taught how to create good infographics. Since Infographics are simple and are the most shared on the web and social media, it is important for the staffs to use infographics to promote their products to the target market. Lastly, SMTM also provides an analytical module. The staff members will be trained to use social media analytical tools such as Google Analytics to measure the effectiveness of the social media usage in terms of customer service and marketing effort. They will also need to analyse these data so that companies can continually improve in engaging their target audience and their marketing strategy. For these reasons, being trained through SMTM will help them to understand the unique functions of the various social media platforms better. As a result, they will be able to utilize these social media platforms effectively.

Another reason why staff members did not utilize social media platforms effectively was because they were unsure of which social media platforms their target market were using. Small and medium fashion businesses in Singapore should identify and use a mix of various social media platforms that are suitable for their businesses which will help them to reach out to their target market more effectively.

 
                                                                Chart 1 (Sources: NUS Database, 2015)

Chart 1 depicts the frequency rating of various social media platforms. It is based on the interviews with 692 people from the fashion-related industry that uses social media to market their products. The rating of 1.00 indicates high usage rate and the rating of 5.00 indicates low usage rate. Facebook, Instagram and Twitter have the lower frequency ratings among the other social media platforms which are 1.25, 1.21 and 2.15 respectively. This clearly shows that Facebook, Instagram and Twitter are the social media platforms to be used in fashion-related industry frequently to reach out to their target audience effectively and to generate more sales.

In addition, according to Statista (2014), Facebook, Instagram and Twitter are the three most popular social media platforms with 3.8 million, 1.35 million and 1.2 million registered users in Singapore respectively. Thus, SMEs clothing retail businesses in Singapore should not miss out any users from either of these social media platforms, since these netizens may turn out to be their potential buyers.

To address the second part of the problem, staff members should be trained on the unique features of Facebook, Instagram and twitter to utilize them effectively. Facebook has its “Boost Post” feature which allow business user to choose their “specific target audience”, “budget amount” and the “number of audience to reach” in a few simple steps. It is important for staff members to utilize Facebook’s features to promote their products and attract new potential customers.

On the other hand, hashtag feature of Instagram allows the image post to connect with their target markets. Relevant tags will help businesses to attract new followers who may be their potential customers. Staff member will also learn the popular internet slang so that they will able to understand and pick the best words to bring their messages effectively across Instagram and Twitter. 

However, there are certain limitations. By using a mix of various social media platforms, it will also suggests that a greater amount of time and attention are required. The usage of social media may in turn damage the company’s reputation if their staff members do not interact and respond to its customer’s enquiries promptly. Furthermore, the cost of advertising in social media platforms will be high if they are extensively used to reach out to large coverage of their target audience.

Thus, it is strongly recommended for small and medium fashion businesses in Singapore to train their staff members through SMTM to be able to use the unique features of various social media platforms effectively. They should also identify and use a mix of various social media platforms such as Facebook, Instagram and Twitter that are suitable for their businesses, which will able to reach out to their target market more effectively.

1 comment:

  1. Thanks very much, Cheng Hwok, for your hard work with this essay. It is much improved!

    ReplyDelete