Organic Growth and Engagement With Your Actual Customers: How to Create Meaningful Relationships in a Pay-to-Play World
The old adage of you get in life what you pay for seems to be ringing more and more true for brands seeking inexpensive methods to gain reach, acquire fans, and increase their consumer base. What can be seen as a relatively short period of time (yet dog years in the digital realm), Facebook has begun to change their tune with regards to the organic reach of branded pages and news feeds, with an overall decline of organic reach on the social network dropping drastically from 12.05% in October of 2013 to 6.15% in February of this year, according to a recent Ogilvy study.
Facebook, once the golden goose for **free** advertising for marketers, isn’t driving results the way it once did. What we’re likely seeing is a natural monetization progression similar to what we saw over a decade ago in search. But the market perceives it as you better cough up the dough necessary to maximize and extend your company’s message. This is resulting from an increase in competition for the limited space allotted to advertising and news feeds. Essentially the increase in content is moving at such a rapid pace that consumers do not see the targeted messaging in real time, resulting in minimal fan acquisition. Yet throwing money towards increased bandwidth does not necessarily result in a brand staying in the black. Fake fans have begun to emerge, driving “likes” up, yet resulting in zero business growth. So if likes, fans, and advertising can all be purchased yet don’t correlate to an increased bottom line, does organic reach still exist?
The answer is most definitely yes, you just have to approach it from the angle of creating long-term customer loyalty. Our culture thrives on instant gratification, an I want it and I want it now mentality. Yet long-term brand loyalty can result in up to 40% of a brand’s total revenue, and brands with 40% repeat customers are 50%, on average, more profitable than similar business with only a 10% loyalty rate, according to SumAll.
So we recognize that organic reach is dropping and customer loyalty can be an effective way to combat this. But how are the two connected and how can brands position their products to navigate through this shifting paradigm of exposure?
• Make informed product updates by reviewing analytics and including features your customers both use and want.
• Create avenues for 2-way communication with your audience by including feedback mechanisms within your product and people on your team to manage those requests.
• Think about new ways to extend your product and grow your audience and regain some of that organic reach.
Interested in learning more about creating meaningful conversations and audience growth for your product? This is what we do and we’re ready to help. Contact us to learn more about our growth ideation workshops and we’ll help you discover new ways to grow your customer base.