Sunday, September 26, 2010

Most agencies don't use social media for client leads

Agencies hype up social media for clients, but most don’t use it themselves to generate new business.

Nearly two in three agency leaders "rarely or never" or "never" consult social-media sites for new business leads, while just 6% use the social media sites “often” for identify potential clients, according to a survey by consultancy RSW/US. For agencies that engage social media for prospecting, LinkedIn is considered the "most productive" by 51% of agency executives, followed by newsletters, Facebook, blogs and Twitter. The majority (65%) of agencies surveyed estimated that 10% or less of their new business revenue comes from social media outreach.

Of course RSW surveyed the largest agencies and holding company-owned shops. I would think the top agencies are very visible, easy for prospects to find and therefore there’s less of a need to rely on social media for prospecting. Smaller agencies that are hungrier and need to expand awareness may use social media more actively in new business pursuits.

Further, the survey didn't address how and why the agencies use social media; I think they would find the agencies use social media differently, more for brand awareness and thought leadership, less for new biz.

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