Businesses 'missing out' on social networking benefits

8th May 2008

Social networking sites can provide businesses with excellent insight into the behaviour and perceptions of their customers but many are missing out on the benefits.

This is the conclusion of a new survey by the analytics software provider SPSS which found that just one in ten firms have used social networks to canvas consumer opinion, PrecisionMarketing reports.

Yet the survey also shows that 82 per cent of businesses think social networking sites are a valuable source of information, suggesting that the majority realise the benefits but are failing to act on this awareness.

Colin Shearer, senior vice president of market strategy at SPSS, told PrecisionMarketing: "While traditional contact channels are still applicable, businesses need to recognise and capitalise on the shift towards social networking or they are missing vital insight."

He said that consumers are often more outspoken when they use social networking sites and are therefore more likely to reveal their real opinions about products and services.

According to a report by Datamonitor almost half of all UK residents will be members of a social networking site by 2012.