The Effects of Technology On Businesses

Although technology and social media may seem like the perfect tools to help you build your brand name and subsequently your small business, there are a few pitfalls to avoid along the way. With ever-growing access to information, consumers are looking at companies in a different way, with an increasing focus on company accountability to the global community.

Simon Mainwaring of Forbes.com in his article “3 Trends About to Put You Out of Business” explains that since information is so readily available, companies are becoming increasingly accountable for the globe’s problems. Mainwaring gives the example of soda companies being held responsible for global crises such as obesity, health care costs, and pollution to the world’s fresh water supply. For a company to avoid the negative focus of compounding global social crises, it has to be considered as a part of the solution rather than a part of the problem. Mainwaring suggests that small businesses focus part of their branding on the company’s positive contributions to the local community as well as the specific wants and needs of their consumer base. For example, if you have a business where you make granola, try to source the ingredients locally.

Once you come up with a way to show your positive effect on the global community, you have to find a way to market it to your target consumers. In the world of fast-changing social technologies, Simon Mainwaring cautions against trying to market your business using every available technology. Instead, focus on a clear message and broadcast it in a focused way to your target consumers. Mainwaring recommends telling a story though marketing that compels people to not only buy but also associate with your business on an emotional level. This will help build brand loyalty. In order to tell a compelling story, you must be meaningful and relevant to your customer’s lives.

One way to be meaningful is to support the type of issues that your consumers support. Due to rising consumer activism, customers are pushing back against companies that do things with which they do not agree. One example Mainwaring gives is how insensitive comments made by the CEO of Ambrocrombie and Fitchlead to a boycoot of ther stores and subsequent loss of sales. Always be mindful of your business’ persona and take action to prevent or reverse negitive assocations.

In many ways technology has helped companies reach out and grow their businesses but if is used incorrectly, it is this technology and the information that it represents that can bring even big business to its knees. Think about the way your consumers view your company and try to be seen as a solution instead of a cause to the global community’s problems.

Simon, Mainwaring. “3 Trends About to Put You Out of Business”. forbes.com. 20 Sept, 2013.