Stacy told CosmeticsDesign-Europe.com that cosmetics companies should adhere to a basic principle of ‘conversation, content and community’ when approaching the issue of social media.
Participation is key
'Conversation' refers to the system of monitoring the consumer. This involves detecting and following online dialogue they are having about a company's products, products of a competitor or any other relevant issues. Stacy stated that once these conversations have been identified, companies must then decide to what extent to participate in them and how to encourage people to directly interact with a brand.
He said that participation is key in social media - the more the better. However, he warned that companies must accept that effective participation is time intensive and that they should be "prepared to put the necessary resources behind this."
Stacy identified Lush as a brand that has been particularly active in generating successful social media.
"You can tell they are doing social media well because if you look at their Twitter or Facebook page, you find real conversations - usually where people are asking them questions, rather than them simply broadcasting messages at their audience," he said.
Stacy emphasised that companies need to be prepared to look in unexpected places to see these conversations taking place, the majority of online dialogue about products are not on a company's website or Facebook page.
Digital Bait
'Content' refers to the generation of information about a company and its products. This should be effective in answering any questions the consumer might have, said Stacy, adding that this information should then be maximised and launched into the social media space. The best kind of content is niche, relevant and optimised across the widest spread of social media possible, he said, refering to this as 'digital bait'.
However, Stacy advises companies against ‘locking information up in Facebook or Twitter’, and states that advertising is not 'digital bait', because it ‘sinks without a trace in social media.’
'Community' involves the circulation of a company's information among online communities. This could either be communities that already exist in the relevant market sector, or may involve creating ‘small and focused communities’ for people who are interested in getting involved. Stacy stressed that targeting these communities directly and personally was key.
"Generic brand communities never work - because there is no reason to be a member of them," he said.
Act now to avoid being left behind
While Stacy admitted that adapting to this new social media space may be daunting for some businesses, especially those most comfortable with traditional forms of media, he said that if done well, it can have immediate, positive effects.
The main advantage, according to Stacy, is that companies are able to outsource areas of their business (that previously cost money), to a community of consumers they may not have been able to reach before.
Stacy concluded by saying that a successful social media strategy is not something that can be achieved in a few months, nevertheless, it is an essential direction to take.
"Companies will probably end up changing their entire business in order to fully adapt to (and survive in) this new world. Therefore, the sooner they start the better. Any organisation which hasn't made a serious start on this within the next year to 18 months will probably not be around in seven to ten years time," he said.