Why Social Media’s Problems Are a Wake-up Call for Brands

2022 has been a year of turmoil and controversy for nearly every major social media platform, and that’s saying something because social media is always full of drama even during relatively uneventful times. Consider some of these stories that have dominated the news: 

• Meta’s high-flying days came to a thud as the company suffered one major setback after another. In February, the company suffered the worst single-day drop in stock value for any company in the history of the stock market, to the tune of $232 billion. Later in the year, Meta suffered another catastrophic financial quarter after CEO Mark Zuckerberg announced worse-than-expected quarterly earnings results amid declining ad revenue. Meta, after seeming to shrug off one controversy after another, found itself in the eye of a very ugly and financial maelstrom, with analysts questioning the company’s direction and focus.   
• But Meta’s problems are nothing compared to Twitter’s. I don’t need to belabor the point here, but after Elon Musk announced a bid to buy the company – and then succeeded in doing just that – technology watchers questioned whether Twitter even has a future. Even Elon Musk warned that Twitter’s future looked potentially bleak unless the company can right its ship amid rapidly declining revenue resulting from businesses suspending their Twitter advertising. On top of that, mass layoffs at Twitter called into question how well Twitter can moderate harmful content for the businesses and people who call Twitter a home for their brands. 
• Even TikTok, the darling of the social  media world, is not immune from controversy. The FBI recently voiced concerns that TikTok could be used by the Chinese government to spy on Americans. The possibility that TikTok poses national security concerns has arisen throughout both the Trump and Biden administrations, and those concerns are turning to alarm. Recently the attorney general of Indiana sued TikTok for making data accessible to China – and also for exposing minors to inappropriate content. TikTok could face a very rocky future depending on how negotiations between the U.S. government and TikTok turn out. 

How should brands think about social media going into 2023? 

• First off, social media remains an exciting and rewarding place for businesses to build relationships with their audiences through organic and paid content. Despite its financial woes, Meta continues to build a global audience, with 2.96 billion monthly active users for Facebook alone – a figure that has exceeded analysts’ expectations. And TikTok is an exciting platform that influences culture and purchasing behavior among its target user base of Gen Z. Any brand that wants to understand how video is evolving must be on TikTok and be an active participant. 
• But social media remains a messy place for brands – it always has been. Post Elon Musk purchase, Twitter is under a close microscope because businesses want assurance that the platform will moderate harmful content. To wit, no business wants its content to appear alongside toxic tweets from extremists. But Twitter has always experienced content moderation challenges long before Elron Musk came alone, an example being a recurring problem with child pornography appearing on the app. Any business that wants to call social media its home needs to have a tolerance for messiness and a willingness to hold platforms accountable when they fall short. 
• Perhaps most importantly: businesses need to invest in their owned media, starting with their websites. When you make social media your home, you play by their rules, and you are beholden to their successes and failures. Remember Google+, MySpace, and Vine? Once they were hot. Now they no longer exist. By contrast, your own website is yours to manage. Your site needs to be the hub for your entire digital estate. This is especially true as the erosion of third-party cookies pressure more businesses to turn to their first-party data – or the information they collect from their customers – to build targeted marketing/communication programs. The customer information you get from your site analytics, email outreach, and other forms of first-party data collection is pure gold.  

We recommend a Connected Content approach by which businesses build trust with their audiences through a carefully managed combination of paid and organic content everywhere your audience is. Yes, this includes social media – but social is the complement, not the core, of your digital estate. 

Contact Investis Digital 

We can help you figure out a social media strategy that is consistent with your brand’s goals and presence across the digital world – which is part of our holistic Connected Content approach. Contact us to learn more on how we can help you accomplish those goals.