Are you stealing your competitors’ customers using social media like Twitter and Facebook? Should you? What’s to prevent a competitor from friending, contacting and promoting to your clients on your social media lists? Is this stealing or smart social networking?
Social Networking or Stealing Customers of Competitors?
LizardFishGraphics is a firm that converts unsuitable images to printable vector art, saving companies from the burden of high printing-related artwork charges. Owner Brian Satre recently emailed me this question:
I’m planning to prominently link my new website to our Twitter and Facebook pages, but I’m a little concerned about putting this information within the grasp of my competitors. The list of friends/followers is essentially a partial customer list. My dad’s company Impro Graphics was listed in the testimonials section of my old site, and he was pummeled by spam from my competitors. I’ve done a little research, and I don’t see any way to prevent my Twitter followers and Facebook fans from being spammed. What do you advise?
Web 2.0 Marketing Advice
How to Steal Customers from Your Competition Using Twitter treats his question directly. Ash at Adpoppr.com makes the point that in all marketing, you hope to reach your competitors customers: “Each time you do a marketing and/or advertising campaign, you are hoping your message reaches not only customers who have a problem and need a solution but also the people who are currently your competitor’s customer.” He concludes that as long as you are not sending repetitive tweets or updates, which is spamming everyone, you are using social media properly.
Chris Rollyson of CSRA is a business strategy consultancy that helps business and government leaders use disruptive phenomena like social networks and Web 2.0 to improve competitiveness. He indicates that opening up your friends and followers to competitors is the nature of this Web 2.0 world. He refers Brian to Increasing Customer Transparency: Real Threat or a Paper Tiger for Marketers?, which concludes that transparency is more efficient and good for customers. However “for many businesses, though, this will mean disruption and adjustment. The good news is, opportunity and threat move together, and the businesses that understand this shift and act on it first can grab the advantage.”
And from Larry Brauner, of Online-Social-Networking.com:
“This method of prospecting for business isn’t new or unique to the Internet. For example, print advertising sales teams find many of their leads by scouring ads in competing publications.
“Even if your client isn’t being prospected by a company who found them following you on Twitter, for sure they’re being prospected as a result of having been found in another fashion, such as through a reference book at a local library.
“I’m not saying that you must connect with your clients on Twitter. That’s up to you. However, do give up the notion that you can shelter them from your competition. Instead, shower them with the kind of attention and service that they deserve, and that will make them loyal to you.”
Brian’s Response
After digesting this advice, Brian decided to link to his Twitter and Facebook accounts for his upcoming ArtworkIQ business, in which he will have fewer competitors and can provide high-end services. On the Lizardfish Graphics site, he is not going to display followers and friends because this is a commodity business where competition is fierce.
Stealing or Smart Social Media?
What do you think? Should you contact and “friend” the followers and friends of your competitors? How about your opinion in a comment.
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{ 13 comments… read them below or add one }
I wouldn’t suggest “stealing” customers and just the word suggests that the customer has no free will.
However, if there is a legitimate reason to connect and communicate with potential customers DO SO, but do not act stupid, sneaky or sly about it and don’t pester people (competitor’s clients or not).
Social Media is NO DIFFERENT than the real world … you can see who the customers, friends, or at least interested parties are by who is visiting what tradeshow booth at an expo. Its the same way online.
If I were Ford am I going to go into Honda’s booth and start tapping people on the shoulder and throwing my business card at them?
Not if I want them to respect me.
That all being said though, certainly it is good business to look at how many friends / followers a company has so you can judge their relative social influence and you can see who is interested in them, who makes comments on posts etc. and if you want to do something to attract that person do it.
Peg,
Great article! I had a potential client recently who was interested in starting a social media presence through Facebook, LinkedIn and Twitter. However, their number one concern was that they would be revealing their client list once they started connecting to customers. The advice given above is wonderful.
Thanks!
Tony
I think transparency is always better in business. What this boils down to is the customer experience you are creating. If you offer a great customer experience and create loyalty you don’t need to worry what your competitors do. They can contact your customers all they want but it most likely come off as tacky. Take care of your customers and they won’t go anywhere.
James,
I like your Ford/Honda tradeshow analogy.
Peg
Tony,
Since Brian asked the question, I have had several other clients raise the issue. In this new transparent world, the rules of the road are unclear to many.
Peg
Ash,
I agree with you in general, but I think Brian raises a good point about the difference between a cut-throat, commodity business, where the emphasis is on price, and a full-service business where keeping close to customers by serving them well can keep you connected.
Peg
As a consultant, it’s easy to take the position Ash has, “If you offer a great customer experience and create loyalty you don’t need to worry what your competitors do.” I look at it the same way myself.
However, I can appreciate how difficult such a concept is for a client who has carefully guarded the company’s client list for decades. Understandably, that client wouldn’t want to publish the list on the web, just because it makes sense in theory.
As quoted above, I said, “I’m not saying that you must connect with your clients on Twitter. That’s up to you. However, do give up the notion that you can shelter them from your competition. Instead, shower them with the kind of attention and service that they deserve, and that will make them loyal to you.”
I want to add that wile you cannot shelter your clients, that doesn’t mean you necessarily want to go and publish your client list.
Each social media business decision needs to be carefully considered, weighing the upside vs. the downside.
If you have 10 clients sprinkled here and there among 1,000 Facebook fans, that might be okay. However, if they’re your only fans, why even be there?
This is an area in which a good consultant can really earn his or her pay.
I completely agree with Ash.
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If you offer a great customer experience and create loyalty you don’t need to worry what your competitors do.
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Leave them alone. If they’re dissatisfied, and you’re optimized online well and have a great reputation, they’ll find you.
The customer (searcher) is looking for the best answer. If you provide the answer, the business will go to you. If you have a plan, you will be successful. If you don’t have a plan, observe and comment. When you are ready, prove you are the best.
I definitely agree with the transparency philosophy. My feeling is that if we are taking care of our clients then we have no reason to worry about our clients being contacted by our competition. The reality is that every business is being contacted by some company who could be a competitor. And if they are being spammed or overly courted then they won’t respond positively anyway.
Bottom line is if you’re taking care of your clients they won’t want to go somewhere else!
Hi Peg.
I found your article on Larry Brauner’s blog party page. I often follow my competition’s followers on Twitter, because they are often interested in getting multiple sources of information, and they usually follow back. I don’t extend this to FaceBook, because I think this would be pushing the line. Besides, my FB info is on my Twitter profile if they care to check it out. Just my two cents on the topic.
I’ve had the same concerns myself but came to the same conclusion as Ash and a number of others. Nurture the client relationship and they’ll stay with you.
I completely agree with Ash.
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If you offer a great customer experience and create loyalty you don’t need to worry what your competitors do.
-
Leave them alone. If they’re dissatisfied, and you’re optimized online well and have a great reputation, they’ll find you.
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