Sunday, February 18, 2018

Uber: A Viral Approach to Social Media Marketing

As referenced in last week's assigned reading, word of mouth advertising can be one of the most powerful tools a business can use to drum up sales.  While imagery in advertising is meaningful, a recommendation from a friend almost always trumps an unknown company's billboard, radio, or television ads.  Uber harnessed the power of social media to expand their user base by giving riders free rides when they shared discount codes which were used by friends.

These efforts were not cheap but they were effective.  As social media users share more and more details about their lives and their life actions, the word Uber has become synonymous with the action of going somewhere.  Phrases like "I'm going to Uber there" have become mainstream and reference anytime a person is planning to use a ride sharing service to get to their destination.  While Uber is not the only ride sharing company to attempt this type of viral social media marketing, they have in my opinion done the best job.  For example, when is the last time you heard someone say "I'm going to Lyft home tonight"?

Uber's social media efforts have been effective because they had a clear goal of who their target audience was from the start.  Uber's business model works well in urban and suburban environments with people who both trust and lever technology to simplify their daily lives.  Their business model is predicated on saving consumers money by creating a more efficient livery system.  In order to use Uber an individual must have a smart phone with the Uber app installed.  What other apps do people have on their phone?  If you have the Uber app installed on your phone, open your phone and look at the surrounding apps.  I would bet within one to two apps proximity of the Uber app you will find Facebook, Twitter, Instagram, or some other social media apps.  By allowing people who already want to lever technology to save money on a service they already planned to use by simply clicking on a page they were already looking at and sharing a code with friends they already insist on sharing information with, Uber successfully had their customers perform their marketing efforts for them.  

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