Social media brings new risks

Social Media – a new risk to business

Social media ranked as a top source of risk

It has been a nasty time for the modern digital medium. Tough New Zealander Charlotte Dawson @MsCharlotteD recounted an incident on 60 Minutes that put her into hospital, the ACCC announced that  Businesses that don’t monitor and control their social-media posts will be in trouble, and social media giant Facebook revealed that the global currency of social media, the ”like” button, has in fact been inflated by fake bots,

The image of a marketer’s paradise with social media previously rarely considered is now seen as a risk thanks to the recent warning from the Australian Competition & Consumer Commission. Now big companies need to correct ”misleading Facebook posts”, combined with the increasing social-media crisis engulfing local brands has started whispers that some organisations may vacate the social-media field in which they be part of.  Not surprisingly, social media is now ranked as one of the top sources of risk, level with financial risk.

Australian businesses need to be more proactive about acknowledging and managing the risks associated with social media if they wish to safeguard brand and reputation, protect information and intellectual property, and mitigate the chance of legal actions,

The acknowledgment by Facebook of fake ”likes” on the platform is appreciated but it undermines the argument of ”social-media experts” around the world. A lot of emphasis is placed on how many likes a page can obtain.

This area always had to be pulled into line. The obsession with getting a huge number of likes, and similarly followers on Twitter has reduced the real value of social media, which is to be the discussions within it.

The reaction from Australian companies after the ACCC announced it was requiring them to moderate their Facebook comments, demonstrated just how far these organisations and their public relations firms had moved away from the true vision of social media.

If it is so difficult for brands and agencies to moderate their Facebook page, then they were not really listening to their customers in the first place. Perhaps other corporate disciplines outside marketing will now join the social-media band wagon.

ACCC provides warning on Social Media