Is Facebook Timeline an Opportunity or a huge threat to Businesses?
Why Millions of people do not hesitate to buy from Tesco, Amazon, John Lewis, Burberrys, Apple, etc… is because they “trust” these companies. They know that most fellow buyers have historically
been more happy with them than not. No business can survive without “trust”. Some years back an extremely successful business with thousands of retail outlets in the jewellery trade, Ratners, collapsed virtually overnight after the the CEO made an off-the-cuff remark and simply lost its customers “trust”.
Let us imagine a local company that people know locally is simply great but is not well-known nationally. If this company were to tender for a large national account or even advertise nationwide they are more likely to fail. This may demonstrate that while the company may have all the local goodwill (trust factor) they may lack national trust.
We have witnessed how businesses with good commercial sense have used Facebook to build their (FANDATABASE) “list” or I would rather prefer to call “their very own audience.” Once built, we have seen how Burberry’s, Starbucks, Coco Cola, etc… “perform” for their audience only to skilfully engage with them to get the message across – saving billions in advertising cost globally.
If this has not already been highly lucrative for many businesses, Facebook has now introduced “Timeline” for businesses that can now build its own history with very little effort.
Now imagine this same local company but with the added “trust” or “goodwill” built with a local audience who loves them to bits – but this time the whole wide world can actually see their Facebook Timeline which I have termed as “Historical Goodwill” – and that is something I believe no business can do without!
Companies that do not use Facebook Timeline PROPERLY may find it difficult to survive as they will further struggle to compete against companies with a visible historical “track record”. This is akin to competing against giants like Amazon or Tesco but multiplied many times over.
It seems that Facebook TimeLine does facilitate cutting Time, Effort and Money for businesses to build that vital factor of “trust” but will not help poor or mediocre companies.
As for consumers it may prove to be difficult to chose to do business with a company lacking this visible “historical goodwill”. Now that is a game-changer!