Communication and Social Media Approaches in Small Businesses

Abstract

Small businesses need to keep current and build relationships with target consumers and clients. Today, social media has become increasingly viable for CRM initiatives including new customer acquisition and loyalty programs. Based on the social exchange theory, this study determined the characteristics of small businesses’ (N=515) externally communicating and utilizing social media, as well as the discovering the perceptions these businesses have toward utilizing, updating, and monitoring social media sites. Research indicates that 77% of small businesses are using social media, but only 39% update these sites “as needed”. The findings led to several recommendations and questions for further research.