Venture capitalists may be losing some of their enthusiasm for funding social media startups, but corporate managers are more excited than ever about the potential of social technologies.
The 2013 social business survey conducted by MIT Sloan Management Review and Deloitte found that 70 percent of the executives who were questioned believe social media will dramatically change the way their organizations operate.
Trouble is, that change is slow in coming. When asked to rank their company’s social “maturity” on a scale of 1 to 10, half the managers surveyed rated their company’s efforts a 3 or lower. Less than 1 percent would give their organization an 8 or above.
The roadblocks to getting more from social media are the usual suspects: no overarching strategy, competing priorities, and the lack of a proven business case. The authors of the report call out companies—American Express (AXP), Nielsen (NLSN), and ConnecTV, among others—that are successfully social, using the technology to track market changes; better analyze operations; find high-potential employees; and strengthen strategy development.
How do members of the C-suite rank the value of being social? At the top of the list for the CEO is “driving brand affinity,” while the CFO sees social media as a tool to boost sales, and the CIO mostly to manage projects.