New Media What Are the Key Challenges

New Media

What are the key challenges faced by public relations practitioners today in relation to the use of new media?

Social media has transformed the way in which companies conduct businesses and market themselves. Traditional media strategies such as news releases and media kits have become outmoded, falling out of favor and replaced by strategies such as Facebook, Twitter, and blogs (Waters, Tindall and Morton 2010). This paper begins with an examination of the various ways in which businesses have been affected by social media, and then discusses initiatives that business can enact in order to remain competitive and incorporate social media strategies when communicating with stakeholders.

One of the foremost ways in which social media has effected companies is that it has liberated the consumer and made it vastly more difficult for businesses to regulate the way in which information concerning their company is distributed. As Grunig (2009) identifies, perhaps the greatest mistake that companies make with regard to social media is that they utilize it in the same manner in which they used old media. Specifically, they use technology to simply inundate the population with information rather than engaging discursively with stakeholders and the general public. Where companies were previously able to maintain a strong grasp over the information and public perception regarding the company, the social media age has made it such that everyone is, in essence, a critic. Businesses were previously evaluated by easily identifiable sources, mainly involving print (magazines, newspapers, and academic journals), radio, or television. However, social media sites such as Facebook or Twitter (or sites such as Yelp) endow the consumer with the authority to review the company without the business ever being notified.

As a result of the increased authority enjoyed by the consumer, the modes of communication have become transformed through social media. Where the communication in old media previously involved the company communicating with the consumer, it is now much easier for consumers to communicate with one another, with the company unaware (Mangold and Faulds 2009). Of course, it is possible for companies to communicate with the customer, and in this regard it is prudent for businesses to engage in social media and attempt to shape the discourse that occurs not only between them and the public but also between members of the public when conversing with one another (Mangold and Faulds 2009). Similarly, Grunig (2009) identifies how there is a common perception that social media has made it increasingly difficult for companies to control the flow of information surrounding their business, although he argues that it has always been a major challenge for companies to manage the circulation of information. The company cannot select its public or control the perception that the public (as well as stakeholders) has toward the business; accordingly, they must utilize social media to the best of their ability and attempt to at least insert them into the dialogue surrounding their company.

In order to communicate with the public, the company should adopt social media practices such as Facebook and Twitter. Not only does this make the company appear as though they are up-to-date with the newest technology, but it allows them to engage with the public on a more intimate basis. Through social media, the company can directly insert themselves within the discourse and maintain a high degree of transparency that shows the public that they are confident in their business.

Although adopting social media initiatives is crucial, it does not guarantee profitability. As Waters (2009) demonstrates, simply having a profile is an empty gesture that will not increase public awareness of the company or stimulate collective interest. Perhaps most importantly, the company must also be aware of the necessity to communicate with stakeholders, or the individuals who are affected by the decisions made by management (Grunig 2009). Social media makes it possible for companies to more intimately engage with stakeholders, as well as convince prospective stakeholders to invest in the company. The influence stakeholders have on the company is immense; as Grunig (2009) delineates:

"strategic decision-makers of an organization should interact with stakeholders through the public relations function because their decisions have consequences on publics or because the organization needs supportive relationships with stakeholders in order to implement decisions and achieve organizational goals" (12).

Thus, it is crucial to engage with stakeholders and companies should use social media to communicate with them. One of the most successful measures to undertake in this regard is a blog; with a blog, the public relations practitioners and stakeholders can each express ideas at length to ensure that the company incorporates the perspectives of everyone involved. For information that is less substantive, email should also be used. Email is also useful for material that is more time-sensitive as people are notified of messages instantaneously.

A practical example illustrates the importance of engaging stakeholders through social media. Two high-end clothing stores were in direct competition with one another in a relatively small demographic. Because of the small geographic landscape, the two restaurants competed with each other for a limited number of customers. One of the companies openly inserted themselves into the social media landscape, engaging customers with regularly-scheduled promotions and stakeholders with up-to-date information on upcoming initiatives and major business decisions. The company advertised sales and discounts on Facebook and gave away gift certificates through random drawings. The public interest was immense and business sales thrived. Stakeholders were frequently solicited for their advice on decisions; not only did this make the company appear as though they valued the opinion of their stakeholders, but it also motivated the stakeholders to invest more money in the business.