Customer Journey & Social Media Strategies

Social Media Marketing - CIM Level 4 Award (3)

• Social media has a pivotal role in the customer journey, impacting awareness, consideration, purchase, post-purchase, and advocacy stages.
• The awareness stage is about discovery and exposure. Social media platforms (e.g., Instagram, TikTok, LinkedIn) allow brands to target specific demographics via algorithms and paid ads, influencers, and user-generated content.
• The consideration stage is about research and evaluation. Consumers use social media platforms (e.g., Facebook, YouTube, Reddit) to find reviews, testimonials, and ratings, interact in real-time, and assess concerns directly via forums.
• The purchase stage is about decision and conversion. Social commerce features (e.g., Instagram Shops, Facebook Marketplace) enable seamless transactions on platforms. Limited-time offers, retargeting ads, and shoppable posts drive urgency and conversions. Platforms provide chatbots for immediate inquiries.
• The post-purchase stage is about feedback and engagement. Customers share experiences via reviews, influencing others at the awareness stage. Brands acknowledge feedback and foster loyalty.
• The advocacy stage focuses on building long-term relationships. Brands use ambassador programs or rewards for referrals. Loyalty programs integrated with social media facilitate continuous engagement. Personalized interactions maintain engagement.
• Integration across the customer journey includes personalization using algorithms tailoring content. Data analysis allows brands to refine messaging and target consumers effectively. Engagement using two-way communication platforms, direct messages, and live videos enhance connection.

Positive Impacts of Social Media on Consumer Behavior

• Increased Awareness: Social media expands reach through targeted advertising and viral content.
• Enhanced Engagement and Interaction: Consumers can interact directly with brands, ask questions, and share feedback.
• Access to Peer Reviews and Recommendations: Platforms offer user-generated content (e.g., reviews, testimonials, and influencer endorsements).
• Convenience and Personalization: Algorithms deliver content based on user preferences for streamlined shopping and increased satisfaction.
• Social Proof and Community Building: Seeing friends/influencers endorsing products generates trust. Observing positive experiences leads to purchase decisions.

Negative Impacts of Social Media on Consumer Behavior

• Overload of Information: Consumers face excessive ads, posts, and opinions, hindering decision efficiency and causing choice fatigue.
• Misinformation and Deceptive Practices: False reviews, misleading ads, and unverified claims distort perceptions and erode trust.
• Increased Impulse Buying: Flash sales, shoppable posts, and Fear of Missing Out (FOMO) tactics leverage the psychological phenomenon where consumers feel anxiety about missing unique experiences, exclusive offers, or trending products. Marketers employ strategies such as limited-time discounts, exclusive memberships, and targeted advertisements to create a sense of urgency. This pressure can prompt impulsive decisions, often leading consumers to purchase items they may not have otherwise considered. Social media platforms amplify this effect, as users often see their peers enjoying products or experiences, which intensifies their desire to participate. By presenting products or deals as scarce or fleeting, brands can effectively capitalize on this natural inclination, driving both engagement and sales. Impulse buying often leads to unsustainable spending habits and can negatively affect financial well-being. Uncontrolled impulsive purchases lead to financial strain.
• Privacy Concerns: Excessive data tracking and invasive ads harm user privacy and diminishes trust in brands/platforms.
• Negative Social Comparison: Comparing one's choices and lifestyle to others online can affect self-esteem and promote unhealthy behavior.

Ethical Considerations of Social Media and Consumer Behavior

• Fake News (Authenticity and Transparency): Issues include misrepresentation, lack of transparency, and fake advertising leading to a decline in trust. Solutions include fact-checking partnerships, clear disclosures, and education campaigns.
• Trolling (Online Bullying): Includes harmful/abusive comments/targeted harassment. Solutions include moderation tools (AI-based & human moderators), zero-tolerance policies, and support systems to handle instances.
• Discrimination (Diversity and Inclusion): Biased algorithms amplifying stereotypes or marginalizing groups in marketing causes exclusion and reputational damage. Solutions focus on inclusive marketing, bias mitigation, and partnerships with advocacy groups to foster inclusivity.
• Community Engagement: Exploiting social causes without genuine commitment causes distrust and performative activism. Alienating socially conscious consumers. Solutions focus on authentic advocacy, meaningful action (e.g. Donations), two-way dialogue, transparency about progress/setbacks, and fostering genuine connections with the audience.

Legal Considerations in Social Media and Consumer Behavior

• User Data Protection: Social media platforms collect vast amounts of consumer data for personalization and advertising. Platforms need to protect user data, obtain explicit consent, and meet legal compliance regulations. Frameworks like GDPR and CCPA are necessary.
• Privacy: Tracking user activity, intrusive practices (listening to conversations, harvesting data) creates concerns about privacy violations. Solutions focus on ensuring transparency, using opt-in systems, and avoiding unnecessary data collection.
• Safeguarding (Age Restrictions): Social media platforms must protect children from exploitation and inappropriate content. Legislation like COPPA (Children's Online Privacy Protection Act) helps protect children from age 13 and under in the U.S. and similar laws exist in different jurisdictions. Regulations, such as COPPA, require age verification to protect children on online platforms.
• Copyright: Unauthorized use of copyrighted material (e.g., music, images, videos) can lead to legal disputes. Platforms must prevent unauthorized usage, promote licensing agreements with music rights holders, and help creators comply with copyright laws.

Real-Life Case Studies Supporting Ethical Considerations

• Fake News: P&G faced scrutiny for undisclosed influencer partnerships, leading them to improve transparency measures and partnered with regulatory bodies.
• Trolling: Starbucks faced backlash for a campaign, taking action by suspending campaigns, focusing on internal training, and avoiding public-facing campaigns
• Discrimination: H&M’s controversy about racial insensitivity resulted in an apology, removing offending images, and hiring a global diversity leader.
• Community Engagement: Nike’s Colin Kaepernick campaign showed an increased stance to support social justice, and partnerships with advocacy organizations.
• User Data Protection: Facebook's Cambridge Analytica scandal resulted in fines and stricter data protection regulations.
• Privacy: Apple's iOS 14 update and Facebook's reaction highlighted the growing importance of consumer privacy via App Tracking Transparency (ATT) requirements and related implications.
• Safeguarding (age restrictions): YouTube was fined for violating COPPA and addressed the issue by changing processes to safeguard minors.
• Copyright: TikTok signed licensing deals with major music labels to avoid copyright infringement issues.
• Instagram's Age Verification Failures: Instagram was fined for mishandling child data, prompting stricter age verification measures.

This quiz explores the pivotal role of social media throughout the customer journey stages, including awareness, consideration, purchase, and post-purchase. Test your knowledge on how brands utilize social media to engage customers and enhance their experience at each stage.