Out with the old, in with the new. by Daniel Whitehead

A common phrase used when upgrading company products or personal habits, the slogan can also be referred to when considering traditional corporate communications strategies and the contemporary social media marketing era.

Many who are unfamiliar with Web sites such as Facebook or Twitter struggle to understand why all the buzz exists about “writing on people’s walls” or 140-character micro-blogs. Likewise, companies that fail to realize the importance of the social media craze will no longer be viewed by the world as “with the times.”

The statistics are out there regarding the increased amount of computer usage for entertainment purposes amongst teens and adults alike.

According to blogger Larry Magid of cnet.com, the average U.S. teenager consumes an hour and a half every day on the computer for non-school related purposes, which is an increase of half an hour over the past five years.

“This is just how kids interact and socialize today,” Magid said.

Blogger Steve Safran noted that up to a third of American adults post a message on Facebook or Twitter at least once a week. Up to 60 percent have a profile on at least one of the sites and nearly a quarter of adults own a personal or family blog.

Although the alarming statistics are present, the purpose of social media for businesses should not simply be to increase the amount of “fans” or “friends,” but to create more personal relationships with clients or potential clients to enhance the company’s networking capabilities.

“Why do businesses exist?” asked blogger Jay Deragon. “To create value, or to attract a market who wants that value, and then proceed to engage them in transaction.”

Employing such a method using social media can allow a company to open its market base to new and youthful arenas, increase sales and awareness, and possibly locate key influentials who can open up even more markets.

“Companies should engage in social media only to formulate the right relationships by doing it the right way,” Deragon said. “It’s all about having the right conversations with the right people, which can be much more effective than advertising.”

Not only will networking opportunities increase, but companies can receive feedback of their products or services, which saves time and money, get insight about competitors, or even review current or potential employees’ lifestyles.