Companies do nothing if there's no money involved. In an era that keeps us surrounded by soft stuff, as marketing trends, marketing expectations and marketing values, it's sometimes easy to forget that in the end it all comes down hard stuff, to money. A company should make money it it wants to survive. Like it or not.
This said - social media for companies is no different. In a recent post in Swedish blog, Same Same But Different, Michael Zackrisson tells us that social media is not about money at all. At least not now.
"Social media is simply not about money. It's about reaching our goals in life - and in doing this we use the tools that exist." [my translation]
And while that may be true for many individuals using social media - it is not the case for companies. Even though social media has changed many things about communication, it can hardly change the need for a positive surplus in a fiscal report. And social media can in fact make money for many businesses, but not in quite the same manner they first thought.
Zackrisson is probably correct in his notion that social media change people's focus from money to something else; publicity, relations, love or even fame. People do things on the web today for free that, if they charged for the man-hours, would cost a lot but nobody probably would pay. This is no less than a revolution and when companies ask themselves - how can we make money on this? - they start from the wrong end. Why? Because social media, as we look upon it today on most sites, is not the social media you can make money on.
What you can make money on is the understanding of how social media encourages people to share knowledge and thoughts instead of keeping it to themselves. The problem with most intranets and other knowledge sharing communities in companies today is that they either contain nothing at all or a multitude of irrelevant information. Either way, they do not save or make money, quite the contrary. Social media at companies work best when they are used on the inside - when it encourages employers to really share and grade information on a level that is more useful to the company. After all; more information about how a company is doing can be found at coffee breaks than in most official economic reports. People want to cooperate and social media is, as far as we know, the ultimate cooperation tool.
In this respect social media is all about the money, but perhaps its not the most selling way to describe it. Maybe we need to say it in a different way?
"Maybe social media is not all about the money. It's all 'bout the dumdumdada-dumdum."