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Study: Social Media Affects SMB Purchasing Decisions

 

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Many people still think that the heaviest users of social media skew young.  Myth.  In fact, according to a recent analysis completed by Pingdom, the average social media user is 35-44 years old.  It turns out that this demographic of decision makers is online looking for information about products and services giving B2B tech marketers a compelling reason to pursue online word of mouth as a key component of their go to market strategy.

New Study of SMB Technology Buyers

A recent study by the SMB Group gathered data from 475 respondents working at companies with less than 1,000 employees.  The questions examined how the Internet, social media, marketplaces, the generational shift and other trends are reshaping the way SMBs buy products and solutions and the implications on B2B vendors in these markets. 

When asked 'Whose advice do you seek for guidance when evaluating software and service technology solutions for your business?' the responses yielded these results.

B2B Info Sources by Age resized 600

Older Buyers DO Rely on Social Media

One of the most interesting results was the relatively small digital divide exhibited by respondents under 35 years old vs those over.  One might expect that the over 35 set doesn’t use social media for business, if they use it at all.  But in fact, more than 40% of respondents between ages 35-50 use social media for research on technology business purchases while 30% plus of the over 50 age group take advantage of social as a key information source.

Additionally, the older group who rely somewhat less on social media don’t turn to sources of marketing information or expert channels.  They rely on good old word of mouth … the kind that existed before social media. 

Customer Evangelism, Digital or Physical, Trumps

Though people’s trust in networks has decreased, as uncovered by Edelman’s Trust Barometer, this study shows that people still trust their peers and friends most when it comes to advice about products and services, whether they are for personal or business use. That means digital word of mouth and customer evangelism may be one of your best sources of leads and customers.

What are you doing to empower your customers to be your evangelists?


Free eBook: Understanding Digital Word of Mouth Marketing

Free eBook: Understanding Digital Word of Mouth Marketing

Learn how word-of-mouth marketing has evolved online and how you can use these changes to your advantage

Download the free eBook for tips about getting yours customers to evangelize your brand.

Posted by Kirsten Knipp on Thu, Aug 26, 2010 @ 08:00 AM

COMMENTS

That's incredibly interesting, Kirstin!  
 
 
 
I also was one who thought Social Media was dominated by "the kids" (like my 19 year old daughter ! lol)  
 
 
 
Very interesting that 35 to 44 year olds took on the 'learning curve' of social media - hey that's why we love Hubspot so much! you help us get through the curve of social media - because when a 44 was say, 17 years old (in "big hair" 1983), there was no digital social media as we know it. 
 
 
 
Thanks for your consistently being ahead of the curve at Hupspot! 
 

posted on Thursday, August 26, 2010 at 8:19 AM by Larry LaFata


Interesting. Thanks! Any information about the kinds of industries represented in the 475 companies? I'm curious if this is skewed at all toward tech companies, or if it's an "across the board" thing.

posted on Thursday, August 26, 2010 at 8:24 AM by Michael Mallory


I consider social media to be the new word of mouth. When I am looking for a suggestion, reference or recommendation- my facebook universe is a powerful information rapository.

posted on Thursday, August 26, 2010 at 8:46 AM by Dan Tyre


This is a great post, thank you! I would also like to know if there were any other industries represented in this study.

posted on Thursday, August 26, 2010 at 8:47 AM by Christina Kudym


THANKS for reporting on this study. It will help us help our members understand why social networking is a must-do at any age. We offer online study groups for independent consultants that need to master sales and marketing skills. Our average member is transitioning from a career as a business executive to a new life as a business consultant. These mature execs almost always believe that social networking is "for the kids." It's not. It's for anyone that wants to succeed.

posted on Thursday, August 26, 2010 at 10:22 AM by Jennifer Leake


Interesting. Would like to see the difference between these kinds of people and true SMB's which have 100 employees or less. Once you get bigger you are getting into a different territory and different abilities to adopt these technologies etc.

posted on Thursday, August 26, 2010 at 10:53 AM by Frank Reed


That's a surprise. But when I think about it more, it makes sense. The people who got into social media when I was a kid would be around those ages now, and my mom loves social media.

posted on Thursday, August 26, 2010 at 11:16 AM by Harmony Wheeler


Glad this is reinforcing messages that you are all trying to share! 
 
@Michael & Christina, the respondents were from ALL industries. They split it up into about 20 industry categories representing anything from professional services to construction to healthcare. They were only asked about their technology purchase behavior though. UPDATE: only an exec summary is available on the site, but if you'd like more detail - you can reach out at this link http://www.smb-gr.com/contact/for-more-information/ 
 
 
 
@Frank - While this survey didn't break down the 100 or smaller folks, I'd encourage you to keep following us and also check out the SMB group since they focus on research for small biz - there will likely be other research you find of value there!

posted on Thursday, August 26, 2010 at 11:38 AM by Kirsten Knipp @kirstenpetra


It seems hard to juggle all the avenues to market but they all have such an impact that it pays off.

posted on Thursday, August 26, 2010 at 3:36 PM by Chris


Thanks for this information.This data is very useful for me.

posted on Friday, August 27, 2010 at 1:26 AM by Feona@Online Marketing


Really interesting - thanks for posting this. It reinforces what I think most of us have experienced in the last few years - that B2B marketing and sales has radically shifted and those who don't adapt will be left behind!

posted on Saturday, August 28, 2010 at 7:55 PM by Joel


Thanks for the great information. I am sure this is very important nowadays. thanks!

posted on Sunday, August 29, 2010 at 4:34 PM by Vivek Gusain


Comments have been closed for this article.