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Buying Your Online Reputation

Last updated 7 years ago

Most of us are familiar with the current buzz word in online marketing: social media marketing, but there is another key term under social media marketing, which is social media sponsorships.  Is this term new to you?  Basically, it means paying for mentions in social media.  But wait a second.  Facebook and Twitter are free social media sites, right?  What is the value of social media sponsorships?  Perhaps more and more business owners see the importance of online reviews...

Fact: The Nielsen study in 2009 revealed that "nine in every ten Internet consumers worldwide (90%) trust recommendations from people they know, while seven in every ten (70%) trust consumer opinions posted online" (Nielsen).  These are not small percentages, huh?

For those of you considering a social media sponsorship, you should be aware of the guidelines from the U.S. Federal Trade Commission (FTC).  Essentially, you have to report when you receive cash, free products, or other compensation.

So how do the stats measure up?  Even though the FTC has regulations, companies are still interested in social media sponsorships, if not more than before.  IZEA's recent survey found that 48.8% of businesses have used a sponsored blog post, 39.4% have sponsored a tweet, and 23.2% have sponsored an online video.  For those businesses that utilize social media sponsorships, here is how they measure success:

Maybe this blog post has peaked your interest in social media sponsorships, but you are not sure how to put value on the different kinds of sponsorships.  Luckily, IZEA has researched this information for you.  See the chart below for details.

As companies begin to shift their marketing budgets into social media marketing, the number of social media sponsorships is likely to increase.  Will you be doing social media sponsorships in the near future?  If so, how will you measure success? 

About Alan Moore: Alan is an Internet Marketing Consultant with ReachLocal Baltimore.  His mission is to help you increase your revenues and decrease unproductive advertising expenses through proven, online marketing strategies.  He manages over $1,000,000 in yearly marketing budgets and has worked with local businesses, agencies and the US government.  Give him a call at (877)655-3438 to schedule a free consultation.

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