Social Media And The Rise Of Consumer Power
Monday, June 30th, 2008The world of Web 2.0 and the explosion of social media have meant serious changes, not only to the speed and depth of communication, but in the way that companies are being forced to relate to their customers. Social media has made it possible for consumers to have a real affect, whether positive or negative, on the reputation of a brand or organization. In fact, even one person can cause a ripple effect using word of mouth that can trigger alarms in the most powerful of companies.
In the past, consumers were often marketed to in a one-way stream, leaving them with very few options to respond. Discontent about a product or service could be ignored by organizations at their leisure because it was difficult and time-consuming for consumers to mobilize themselves. Not anymore.
A great example of this is the wave of discontent or “indignation” being felt by potential iPhone users in Canada. An article today in the Globe and Mail reports on a new site called www.ruinediphone.com that is protesting the pricing Rogers Wireless will be offering customers when the iPhone comes to town July 11.
The site, which contains a petition, has gained over 18,000 signatures since Friday and has received over 2,300 “diggs.” This is a fantastic example of grass-roots consumer power mobilizing itself quickly and effectively against a massive company. I find it surprising that Rogers didn’t think this one through a bit more – i-fans are a pretty rabid bunch who are young, tech savvy and Apple loyal.
Does anyone else have any opinions? I think the escalating power of the consumer activist is a great thing, but I’m sure there are those who disagree. Please, feel free to share your thoughts!
~ Stephanie Sayer, Account Coordinator, GCI Canada







