24 Jul 2011

Social Media Budgeting

During a recent conversation with some industry peers, it struck me that while social media excited one and all, most remained clueless when it comes to the industry’s appetite to spend and allot budgets for social media activities. This fact intrigued me and I set out to find the silver bullet.

So what is Social Media? For some social media means twitter, blogs etc., while for others it might mean facebook, orkut or simply an online presence. According to Sean Carton, social media is the “technologies that facilitate conversations.” The conversation begins when someone /anyone start it online and its popularity is often defined by the involvement of outside influencers. After getting a sense of what social media is in a nutshell, it is now important to understand how much budget should be allocated for the same.

It’s a myth that social media is free. There is no fixed percentage which is allocated for social media budget but it largely depends on the following factors which helps in deciding how much budget an organization allocate for social media.

First and foremost, it is important to know the awareness and maturity of the marketing head in an organization. Social media budget is part of the marketing budget and unless the marketing head is not mature enough to understand the importance of social media in today’s world then it is difficult to allocate a budget for the same.

On similar lines the awareness and maturity of agency has a major role to play in deciding the budget. Not all agencies are open to change. With the way communication is evolving, the agencies need to change the way they communicate their message to the audience. There are a lot of agencies which still believes in traditional methods of communicating. Although this way of communicating won’t die but a more effective way of sending across the message to millions of people would be a social media platform and agencies need to realize this before it’s too late.

So what happens if the agency is open to change and the marketing head is mature enough to understand social media but there is no awareness and maturity in organizations? Thus, unless the organizations are not open to new tools of communicating, the agencies can’t do much. Hence, a big factor of whether one needs a budget for social media depends on the need/want of the organization to use effective means of communicating.

Last but not the least every industry is unique. There are two types of industries – B2B (Business to Business) and B2C (Business to consumer). It will be interesting to explain this concept with the help of an example.

Example: While Dominos will apply pull strategy and would need social media to reach out to the masses in a more efficacious way, the person providing wheat and flour to Dominos, would not find any worth spending money on the same. So why would he need to allocate budget for social media?

But if Dominos apply push strategy and introduces social media platform for the supplier community, then eventually all businesses will have to move to social media platforms to communicate their message to the masses.

In today’s world where technology is changing every second and competition is trying to outdo you at every step, you want to be ahead of the rat race. Come to think of it, if Dominos is using social media then its competition would also use such platforms to stay ahead of the race.

Thus social media has already changed the way we communicate to each other and the organizations need to realize the importance of the same. Once the basics are understood then only one can think of allocating budgets for such platforms. What do you think?

My 2c Worth!

The article was first published on [email protected]

TESTIMONIALS

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Ancita always came across as an eager learner and willing to go the extra mile. She's got good language and social media skills and uses these to her advantage. She was also dependable and I believe she would be a good asset in any organization. I wish her well for the future.

Rony Thomas, Head of Communications, Amazon

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Ankita supported us in connecting with the CMO community on social media in India - she is knowledgeable, articulate, prompt and superbly organized. She is fast to learn and agile to create business impact, which distinguishes her in the projects she works on.

Rajesh Kumar Jindal, Vice President, Head of Marketing, SAP

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Although Ancita was part of the PR team, she gradually started taking interest in digital communication which I believe is an apt field for her. She effectively used her communication skills learnt in PR to deliver results in digital media which is a much needed talent in the industry. We worked together on google maps and on a project called PMOAppContest chat where Ancita ably demonstrated her creative and storytelling skills. She defined the flow of the chat and was a key campaign owner. The initiative was a huge success in India. Ancita is committed, disciplined and a diligent person and I am sure she is a great asset to her team and her organization.

Abhilasha Padhy, Communications Manager, Google

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Ancita is a Star performer at Six Degrees. She takes initiative and has a ‘To Do’ attitude. This has reflected in her taking up the onus of focusing her skills on Digital within the firm during the last one year and even on her own through an initiative like the SocialPowWow. She has a strong understanding of developing engaging content for audiences to increase relevance for brands. We believe that she has great potential to develop as an integrated communications professional.

Rishi Seth, Group CEO, Cohn & Wolfe Six Degrees

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PR professional, blogger, digital enthusiast. Driven, hardworking and result oriented, Ankita is always game to take up new challenges. Energetic and efficient, trust her to get things done. With keen interest in digital marketing she has been involved in various integrated comms campaigns and delivered successfully.

Cijo Mathew, General Manager, 20:20 MSL

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Ancita is one of the most dependable people I have ever come across. She is diligent, attentive and sharp which makes her a great asset for the team as well as clients. Within few years in PR, Ancita managed to build great media relations and helped her team crack some of the best stories. She is a great team player

Priyank Dubey, Communications Lead, ESPN

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Ancita and I have been working closely for 4 years now & it has been an inspiring journey thus far. It has been amazing to see her transformation from an curious social media learner to a professional digital media expert. Her knack for the understanding the digital landscape is special. While she certainly is an expert in various aspects of digital marketing but her initiative "SocialPowWow" has been really impressive. Today it's one of the most popular Twitter chats in India. She is great human being, hard worker & thinker. Her infectious smile can be an asset in any work environment. Wishing her all the success in any endeavours she chooses for herself.

Nitin Bhatia, Managing Director, Meltwater

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A dedicated, smart and media savvy publicist. Her sound understanding about the real estate business and clarity of thought makes her a go-to person for all communication queries. Strong command over english language and a collaborative team player makes her a best fit for a challenging role. I highly recommend her for a profile that requires a go-getter, passionate, dedicated, knowledgeable and intelligent person.

Nikhil Savio Gutal, Deputy Manager, Marketing & Communication, Cushman & Wakefield

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Ankita was one of the most diligent and hardworking students in our batch. There's a lot to learn from her, esp. her sense of punctuality, sincerity and work efficiency. It really was a lot of fun being together in the same class during our post graduation programme. I wish her good luck for all her future endeavours.

Sayani Bagchi, Area Sales Manager, Britannia Industries Limited

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Ancita is an extremely dedicated resource and a great value add for an organization. Her attention to detail, intelligence and proactive approach has always delighted the people she works with and the clients she services. Ancita is absolutely great with digital media and gives creative, yet practical ideas. I wish her all the best for future!

Shreya Sabharwal, Vice President, Ernst & Young

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Ancita has been a valued colleague at Six Degrees. She's focused and dedicated at work and brings in fresh thinking and approaches to mandates that she's entrusted with. Equally importantly she's a stickler for details and micro-manages things till the work gets done!

Rahul Mishra, General Manager, Cohn & Wolfe India

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Ancita is a thorough professional who is particular about deadlines and quality of work. You can always bank upon Ancita on any work that is on her task list. A proactive individual who not only pushes herself but her team too.

Siddharth Kumar, Deputy General Manager, Cohn & Wolfe India

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Ancita is a thorough professional and absolutely meticulous with her work. She took a lead in Digital when it was the upcoming hottest trend and that is commendable. Always ready to pitch in with ideas on a campaign,love her energy. She is and will be an asset to any organization that she chooses to be associated with. It has been a pleasure working with her here.

Pooja Poddar Jain, Account Director, Cohn & Wolfe Six Degrees

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Ancita is very good in her craft of digital PR and comes with sound knowledge on digital. She is a great team player and has shown great capabilities to lead any team project. She is a great colleague, it has always been a pleasure to work with her and is very easy to work with.

Shalini Gunashekar, Associate Account Director, Cohn & Wolfe Six Degrees

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SocialPowWow chat is one of the most innovative conversations involving small businesses and thought leaders. Ancita deserves a lot of credit for being the go-getter in bringing everyone together.

Cheval John, Founder & CEO, VallanoMedia, LLC, Houston

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I'm impressed and inspired by Ancita Satija for creating an initiative as cool as SocialPowWow and making it a movement. How many young professionals go above and beyond to make a mark and leave a legacy? Ancita has set an example for others to follow. I am sure this weekly tweet chat will grow to become much more than just a chat.

Amith Prabhu, Founding Dean @SCoReInd, CoFounder @PRAXISInd & @PRomiseFdn

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SocialPowWow is one of those must attend twitter chats like #TwitterSmarter #Hootchat #MediaChat with vibrant, engaged communities discussing relevant & trending topics on social media and with a smart and friendly host like Ancita!

Zen Yinger, CEO, ZenSocial, North Carolina

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Congratulations #SocialPowWow for completing two years. You have always been amazing in getting interesting people to exchange views on interesting and relevant topics. You are the platform that brings out-of-the-box minds together across the globe in the world of clatter. Stay there with us -- as a friend, as a trend spotter, and stay relevant. Wishes for many more.

Sounak Mitra, Associate Editor @moneycontrolcom

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I had the pleasure of working with Ancita, during my time at Burson Cohn and Wolfe. Ancita is affable and very easy to work with - great qualities to have in a team mate! She's a dedicated employee whose positive spirit helps guide the team that she’s in. Her experience and knowledge in digital, from copywriting to social media strategies makes her an asset to any organisation.

Thimah Hameed, Vice President - Regional Digital Strategy Marketing Lead, DBS Bank