P3

P3

A) Advertising:

Advertisements in facebook's main source of revenue (in 2012 55% of income was from web advertisements), these advertisements work by collecting user information about their likes and activities and then displaying advertisements that match that information, for example if a user was to like a group related to coca-cola they would get advertisements about coca-cola. Facebook also have games on its site which the other two don’t have, facebook get a percentage of any real money players spend on the game from the developers. For example, facebook would have an image of the coca-cola logo with a title such as ‘Coca Cola celebrated its 50th anniversary’, if a user was to click the image or title it would send them to the coca-cola website or their promotion.  

Twitter also manly makes money through advertising which they do by either promoting a tweet so that it shows up for more people, promoting an account or promoting a trend. Twitter also does ‘data licensing’ which is where they sell ‘firehose’ which is all the information collected by its users which can be used to spot trends, company find this valuable. For example, twitter might promote a tweet from sprite so that it appears it more people feeds.

Instagram makes its money through advertisements, getting paid to show a company's advertising and making money every time it is clicked, Instagram also benefits from ad sales and ad targeting as it is owned my facebook. For example, instagram would promote sponsored post which promote a site or company and users can click them to be linked to it.

B) Viral Marketing:

Viral marketing can be used to spread information about a company electronically to lots of people. This is often done by creating something (like a video) that appeals to your target audience and indirectly or directly promotes the company or product without it being the point of the video. For example, coca-cola made a video where people went up the buy one of there drinks from a machine and ended up getting lots more, and then it was shown that someone was in the machine giving them all the drinks, the point of the video is to be uplifting and joyful as you watch everyone laughing and having a good time but at the same time its promoting coca-cola. The video currently has 7,626,833 views on youtube.

Coca-cola vending machine ad - https://www.youtube.com/watch?v=lqT_dPApj9U

C) Product/ Service Reviews:

Consumers can use social media to research the product they are buying to see what other people who brought the product think about it, they could then use the information to decide if it is worth buying. For example you could go on facebook and visit a shop's facebook page and find the item there and then read the comments people leave on the product.

Its important for a company to manage their image or the image of their product over social media as it can be the difference between its success and its failure. For example, if a company like apple released their new Iphone and across social media an idea that their phone are faulty and break within a week, they would need to reply to the issue before it gets out of hand, if they left it the idea would spread and users may see it as fact seeing as there are is no information that denounces it.