This document summarizes the advantages and disadvantages of using social media versus paid search engine advertising. It notes that while social media is largely free and allows for more collaboration, search engines provide more control over placement and targeting. The document also discusses using social media for branding versus advertising and considers which approach may be better for different business types.

1. Digital Spring
Marketing 2012
Social vs. Paid Media
company and their customers and as
by: Michael Holste companies and marketers are finding
out, these bridges not only work, they
Social media and search engines have are buzzing with traffic. Company pages
both revolutionized the way that often generate thousands of “likes” and
companies reach their target reposts, all reinforcing brand
audiences, but each media has its association and loyalty. When someone
Trends appeals and flaws. Essentially, it comes uses a search engine, they find links
down to a battle of ads and fads. and information, whereas when they
connect with a brand on a social media
There are many advantages of using page, they find a community. The
social media to advertise as opposed to relationship is participatory, not forced,
“It comes search engines. First off, many c
omponents of social media are free.
and that can make all the difference.
Customers “like” these companies and
This is very enticing in today’s world,
down to a
products in the same way that they
where budgets are tightening almost onnect with their favorite bands or
universally. Choosing to building movies, and in doing so, allow the
battle of ads
awareness and identity this way can company to be an extension of their
be very cost effective, though it is far identity. For a company that is a dream
from guaranteed. Another benefit of come true, and something unavailable
and fads.”-MH social media is that it is current… up
to the minute current. Social media
to the marketers of yesteryear.
has people posting and sharing infor- The last big advantage of using social
mation in real time all over the world. media is the realm of possibilities that
Company announcements or news can are waiting to be harnessed. Social
travel through various markets and media often comes with applications,
demographics in a matter of seconds, the ability to post video, pictures, or
all without spending a dollar. Informa- other media, and the ability to share
tion and offerings on company pages these aspects with others. Businesses
can be changed, and content can be have the potential to create a campaign,
uploaded and shared at any time. build supporting materials in the form
Information found on search engines of messages and videos, spread these
can be current, but it is less likely that creations across various social media
a webmaster is keeping information up sites, and connect in ongoing conversa-
to the minute and 100% accurate at all tions with customers… all (nearly) free
times. of charge. In other words, the
The other appealing aspect of market- opportunities and growth are solely
ing through social media is how social determined by the size and
media allows companies to connect participation of the network, which in
with the brand. A social media pres- some sense, is a function of the
ence can work as a bridge between a participation and content produced by

2. Social Media
Solutions Michael
Holste
the company. Simply put, leveraging social media
puts a company’s destiny (and image) in its own
hands.
In comparison, using a search engine to advertise is a
very one-dimensional process. All of the
information and interaction flows in one direction,
even if it was the consumer who typed in the key
words. Using social media is much more collabora-
tive.
There are however, disadvantages of using social
media as opposed to search engine advertising. demographic. Over 900,000 people “like”
Search engines may be a bit more honest (since the Lamborghini’s facebook page, but I highly
information is typically sought out) as opposed to doubt that they own a Lamborghini or
being displayed due to the user’s interests or other even buy Lamborghini products. In this
data mining. Also, social media is great for building same vein, search engine advertising can
awareness, but not necessarily for generating sales. be the better option for many businesses,
People still look for companies and specific products especially service industries or necessity-
by using search engines, and do this with the idea companies such as life insurance compa-
of making purchases. In fact, I don’t know anyone nies, which may struggle finding “fans and
who does their shopping via facebook or twitter. The followers” on Twitter, YouTube, or Face-
analytical programs are also much more developed book.
on search engines, like Google Analytics, which has
various tools to show how effective ads and keywords
are. Another appealing quality of search engine Once a company has decided to use so-
advertising, is the ability to “buy your way” into the cial media, there is still the question to be
competition. By paying more, unknown brands can answered of “How” they are going to use it
put themselves at the top of the page, and right into to reach their marketing objectives. Com-
the customer’s mind. Social media is cluttered with panies can opt to only build their social
local businesses and sponsored pages, and thus, media presence, which is very low cost,
and in some cases, basically free, or they
difficult to garner any special attention.
can choose to use social media advertising.
Social media advertising consists of plac-
There are also some major risks that come with using ing ads or content on sites like Facebook,
social media. In the same sense that it allow YouTube, LinkedIn, or Twitter.
s for collaboration, a company might not like how
the public is collaborating. In our readings we saw
-Established brands can reduce traditional
how companies became the victims of hijacked
advertising in lieu of social media
media. In a sense, there is a potential for uncontrol-
-Can rely on brand awareness and social media
lable good and bad exposure that cannot be ignored. presence
-SM Presence is free and easy
Another disadvantage of using social media is that -SM Advertising is better for building awareness
the advertising might not be reaching the targeted -SM great for firms with limited budgets
-SMP is highly participatory and connecting