Social Media is clearly here to stay…it’s profitable, even.

  1 m, 26 s

At Lexalytics, we try to follow the news in all of the industries that affect and are affected by text analytics, chief among them is social media monitoring. An interesting bit of news came out last week from Radian6; they reported that last year was their first profitable year. This is bigger news than one might think because there are soooooo many players in the social media monitoring space that I have always worried that none of them could garner enough market share to become viable money-making companies. It says something about how they run their business in that they've reached this milestone, but it also says something about the space in general. Social Media and all the things it's used for: - Brand Awareness - Disaster discovery - Advertising & customer engagement have quickly jumped the fence from novelties to mainstream features that almost all large companies worry about (and some mid-sized ones as well). Not only are companies like Radian6 prospering, but established players like Facebook are growing their traffic numbers to the point that they are seeing more page views than Google. The users are forcing companies to listen to them, and the smart companies are engaging monitoring companies like Radian6, ScoutLabs and others to listen to the customers. Some may wonder why this transformation has happened so quickly (I'd say in less than 2 years), and the answer is that pretty much everybody wins, so why wouldn't Social Media become a defacto part of life for consumers and businesses? The consumers get more of a say, so they're happy, and the companies that choose to listen have a direct connection to their customers thereby a means to interact and hopefully increase sales and revenue.

Categories: Reputation Management, Social Media, Text Analytics