Top 9 Ways How Social Media Impacts Your Business

The impact of social media on businesses, both positive and negative, is immense. 

Do you agree? 90% of businesses agree with this. 

Whether you are a startup or a small business, whether you are an online store or an enterprise, social media is vital for your business marketing strategy.

Ambassador says 71% of consumers who have had a good social media service experience with a brand are likely to recommend it to others.

It shows the importance of social media for businesses. In order to maintain a competitive pace, businesses are bound to leverage popular social media platforms.

Social platforms help you connect with your customers, boost brand awareness, and increase your leads and sales. With close to five billion people across the globe using social media, it’s no passing trend.

Why Is It Important To Use Social Media For Businesses? 

Social media has greatly transformed the business landscape. It is one of the most important aspects of digital marketing, which provides incredible benefits that help reach millions of customers worldwide.

If you are a CEO or a small business owner, it is very important to know why you need to be on social media and how it is going to affect your business.

There are several questions you must ask yourself before you plan your social media strategy

  • What are the channels where my customers are present?
  • What are the ways to target my audience on those channels?
  • What are my objectives and the RoI of the social media strategy?

So it is evident that how social media can have an immense impact on your business and can be one of the most powerful marketing channels to reach out to your audience. 

In a nutshell, Social media for businesses has benefited in three key areas;

Brand building – Social media is one of the most profitable digital marketing platforms that boosts your brand’s visibility among potential customers, allowing you to reach a larger audience. By applying a social media customer service strategy, you significantly increase your brand’s recognition.

Omni channel engagementResearch shows that 60% of US millennials expect consistent experiences when dealing with brands online, in-store, or by phone. Social media strategies boost user engagement across channels in order to engage customers and deliver a better omnichannel customer experience. 

Business growth – Social interaction between businesses & customers is a growing trend that increases sales and improves brand loyalty. According to the SMM report, more than 65% of businesses are on social media to increase leads.

So, let’s look at the positive effects of social media on businesses.

Positive Effects Of Social Media On Business

Social media impacts businesses positively and offers an opportunity for your audience to find you on social media. It helps you reach your targeted audience, stay engaged with them, and respond to their queries instantly. It is a great way to evaluate your competition by monitoring their social media pages.

Social media has multiple positive impacts on businesses in terms of brand recognition, customer engagement, revenue, and customer service. It is also a great tool to evaluate your competitors and how they are using social media for their growth.

Here are 9 positive ways of which social media impacts businesses.

#1. Social Media Adds a New Dimension to Your Omnichannel Customer Service 

Today’s customers choose social media as the main source to interact with a brand because they get instant attention. Research says that 42% of consumers expect a response on social media within 60 minutes. 

Social media is a powerful channel to engage customers who reach out to you through different social media channels such as Facebook, Twitter, LinkedIn, Instagram, and Whatsapp to deliver a seamless omni-channel messaging experience. 

The impact of social media on business

Providing omnichannel customer service is an important aspect of a business. However, it is even more important to use the right tools, and systems that can help your business deliver an omnichannel experience across the customer lifecycle.

In order to deliver omnichannel customer service, you can use certain tools. One such tool is REVE Chat, which is a multi-channel live chat platform that streamlines customer conversations across website, social, mobile, and messaging apps to deliver great customer service and increase team productivity.

Sign up with REVE Chat today! Engage your customers across their preferred social channels and respond to their messages and comments instantly.

Social media customer service example – Nike

Nike followed an excellent customer service strategy. It has one of the strongest customer service accounts on Twitter. They feature a dedicated Twitter account, Team Nike, which provides support seven days a week and in seven languages.

Nike's Twitter Support

When a customer mentions Nike’s main Twitter handle, @teamnike responds instantly. This shows how dedicated the brand is to solving its customers’ problems.

Best practices:

  • Pay attention to all customer service issues and be kind to them in all scenarios. Passive complaints that are left unaddressed can easily cause a rift between the vendor and the customer.
  • Manage your social conversations promptly in order to deliver superior customer service.
  • Enhance your customer experience by being available across all the touchpoints that customers prefer to contact you to deliver instant support.

#2. Social Media Helps to Reach Out to a Bigger Audience

Almost 90% of marketers say their social marketing efforts have increased exposure for their business, and 75% say they’ve increased traffic. It is an ideal way to create brand awareness and stay in contact with your customers. 

Social media platforms are becoming the main source for people to learn more about businesses – the latest information about new products, services, advertisements, deals, or promotions.

Here are some tips to expose your brand to a broader audience.

  • Segment your audience – Prior to heading up to the social platforms make sure that your target audience is on the platform or not. It’s not at all wise to blindly follow other brands.
  • Make use of visuals – Once you have segmented your audience make use of attractive visuals along with content to grab immediate attention and boost engagement.
  • Initiate conversations – Involve yourself in the social platforms not only by listening but also by building great conversations by tagging or mentioning others.
  • Measure your efforts – It is very important to measure your social activity by using external tools. Gain insights and channel your efforts and strengthen your brand image.

The social channels allow the sharing of business news and even posting related photos or links to stories/studies in their industry. It also builds trust with its customers and showcases itself to a new demographic of potential clients. You can also use them to add value to your guerrilla marketing examples in a subtle way.

Best Practices:

  • Identify your target audience, their patterns, and behaviors, and then choose the right social media channels for your business.
  • Social media is a place to forge connections and bring a voice to your brand. Ensure that your tone is consistent, friendly, and suits the business that you are trying to showcase.
  • Visual and engaging content is key. To publish relevant, quality content and involve your audience – ask questions, use polls, and host events.

#3. Social Media Creates Word of Mouth

Using social media for business helps get the word out about your business. With the arrival of interactive and social media, the patterns, roles, and impact of word of mouth have evolved. Due to this new online communities are shaped.

Such changes affected the ways businesses can leverage the power of word of mouth for marketing purposes and, vice versa, the impact of word of mouth on businesses. Research shows that 72% of people see online reviews in the same light as personal recommendations made by friends and family.

Great word-of-mouth marketing example – Threadless

Threadless is an online community of T-shirt designers and a platform where they can submit and vote on T-shirt designs. The designers were paid 20% in royalties, and either Threadless gift cards or cash.




The members were happy to promote their designs and bring more people to the site through good word of mouth. 

Best Practice: 

  • Offer an incentive such as a discount, a free product, or an extended service to your customers so that they take the time to promote your business.  

#4. Social Media Marketing (SMM) is Economical

Many businesses are jumping on the Social Media Marketing (SMM) bandwagon as it has a positive impact on brands and promises profitable success when done properly. Social media marketing techniques target social networks and applications to spread brand awareness.

Social media marketing is perceived as a more targeted type of advertising, and therefore it is very effective in creating brand awareness. Social media engagement campaigns produce a lot of shares, generate more views, and generate publicity for your business – all for a one-time cost.

Social media marketing campaigns usually center around:

  • Establishing a social media presence on major platforms
  • Creating shareable content and advertorials
  • Cultivating customer feedback throughout the campaign through surveys and contests

A single person sharing or re-tweeting a message from your company could reach hundreds or even thousands of people for virtually no cost! Businesses that miss out on this with social media strategies that don’t generate engagement are losing a major opportunity.

Best practice:

  • If you are a startup or small business, use social media marketing to promote your business and save money

#5. Social Media Allows Collecting First-Hand Customer Feedback

Social media is a potent ingredient of customer feedback cocktail.

Social media platforms allow for collecting first-hand feedback from customers to improve the brand’s image, reputation, and relationship with them. The customer must feel like they are heard, valued, and this makes them happy. 

 So, respond to every post, comment, and suggestion and make the best use of them for your brand’s development. Businesses that engage with customer service requests via social media earn 20% – 40% more revenue per customer.




This will allow you to showcase just how much you care about providing a memorable experience and will ensure that no customer feedback goes unnoticed. And by monitoring social media for customer feedback and offering a response, you can drive real business results.  

Best practices:

  • Respond even if the user has not directly tweeted at you or asked for help. When you answer brand mentions or comments it shows you are paying attention.
  • Promote your customers by retweeting a happily resolved support interaction. It is like giving your customers a big thank you.
  • Give your customer service team a public face. Use a team photo or an agent spotlight. It’s nice to connect the face of the brand with the names behind it.
  • Try to follow-up a resolved interaction with, “How is everything?”

#6. Social Media Improves User Engagement

No matter whether businesses are on social media or not, customers follow their social media accounts every day. With the average person spending just under two hours per day on social media, social media engagement is essential to make sure your brand is capturing enough attention.

Setting up a social media presence, building and engaging them effectively with quality content is a big effort. But the biggest benefit you can glean from your investment in social media is to reach out to your potential customers wherever they can be found across the globe.


Social media engagement is positive because of the reputation it generates for your brand but on the other hand, a single negative tweet can bring bad publicity overnight, which is difficult to reverse. Below are a few best practices for engaging users.

Best practices:

  • Keep your brand at the top of the newsfeed by posting witty and engaging content regularly.
  • Images increase the interaction rates so use images.
  • Try being personal with your audience. Make them feel there are real people behind the brand.

#7. Social Customer Service is the New Marketing

Providing stellar customer service is likely already a top priority for every business. But along with the two-way communication that social media provides, it also offers a unique opportunity to step up your customer service game and provide instant gratification to your target audience.

WhatsApp, for example, is the most popular channel for customer service on a global scale. The numbers say there are more than 1.5 billion monthly active users, sharing more than 60 billion messages every day, a huge amount of on-platform activity.

WhatsApp Business app, launched by WhatsApp, enables business users to “interact with customers easily by using tools to automate, sort, and quickly respond to the messages”. 

Hellmen is one of the best examples to show the impact of social media on business

Hellman wanted more Brazilians to cook with their mayonnaise and they thought of an interesting campaign using WhatsApp.


Source: Hellmen

The campaign had the option to connect with a chef through WhatsApp. Once connected with the chef, they only had to click a picture of their fridge and share. Now the chef would plan a recipe out of it and cook the meal together, staying connected through WhatsApp.

Social media best practices:

  • You should be prompt in responding to online reviews. Customers share their positive as well as negative feedback over social media. Respond to your social media comments quickly. You need to respond to them as priority else it will affect your brand image.

#8. Social Media Can Be a Driving Force of Growth Tools

Social media offers opportunities for brands to increase conversions due to the interaction that they have with customers. When a brand chooses a proactive social media marketing approach, it will strengthen its marketing strategy.

Hubspot research social media marketing has a 100% higher lead-to-close rate than outbound marketing. This data proves social media marketing critical for all brands, big or small, and especially those who are trying to increase sales revenue.

Twitter is a good example of this. According to MediaBistro, 67% of Twitter users are more likely to buy from brands that they follow. Besides, 42% of consumers learn about the products and services they are interested in through Twitter. This type of outreach cannot be ignored.

Best practices:

  • Use targeted social media listening to understand what is happening in your industry.
  • Get engaged in social selling (social selling combines the elements of social listening, social media lead generation, and sales practices).

#9. Social Media Boosts Your Brand Loyalty

“A brand is nothing but an expression of the customer’s loyalty and trust.”

Building and maintaining brand loyalty is one of the central themes of every business. Social media helps you build relationships with your customers, which increases loyalty and advocacy. 

Brand loyalty matters due to the following reasons:

  • Resistance in competition – In this competitive market, brand loyalty is hard to come by. Customers have multiple options accessible that can lose them easily. Perception of your brand builds new customers but loyal customers add real value.
  • Meaningful engagement – Loyal social media followers are more likely to interact with your posts and create meaningful conversations. Real engagement is more valuable to your online image.
  • Brand advocacy –Loyal social media followers are high potential brand advocates. They’re very likely to talk positively about your brand, even without persuasion.

Developing brand loyalty ensures long term engagement on social media. Research shows, 66% of users between the ages of 18 and 24 are more loyal to the brands they follow on social media.

Best practices:

  • You should create a smart social media strategy that comprises a cohesive plan to keep up with your competition.
  • Share good quality content to inspire brand loyalty. Visual content gets easily noticed. So, use infographics, videos, screenshots, graphs, etc. to make content more appealing.
  • Ensure that you are not sidelining interactions as followers, like humanized interactions, not bots or automated content.

Final Thoughts 

The use of social media platforms to reach more customers, engage with your audience, and build brand awareness are some of the positive impacts of social media on business. However, to avoid the negative aspects of social media for your business, you can follow the suggested tips and be careful when sharing content on social media.

REVE Chat’s omnichannel customer engagement platform helps to streamline all conversations across all business social channels and deliver consistent real time service. Sign up Now and increase the satisfaction of your social customers.


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Suvashree Bhattacharya
Author’s Bio

Suvashree Bhattacharya is a researcher, blogger, and author in the domain of customer experience, omnichannel communication, and conversational AI. Serving as a content marketing strategist at REVE Chat, she develops contextual and interesting content for customers from different industries and segments like customer service, customer satisfaction, engagement, messaging platforms, etc. Passionate about writing and designing, she pours her heart out in writeups that are detailed, interesting, engaging, and more importantly cater to the requirements of the targeted audience. Her interests include reading, painting, and traveling.

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