How Social Media Can Negatively Impact Retention and What to Do About It

Social media is a public forum. Unlike a telephone conversation, which is a private one-to-one interaction, the interactions you have with your customers using social media are seen and “experienced” by many. What you do and how you do it is very visible to your customers and potential customers. So, with every interaction, you have an opportunity to create a positive or negative perception of value—with a whole lot of people. High perceived value is one of the factors that contribute to increased retention. If your customers have “liked” your company or are following you, they can see how well you treat or, in many cases, mishandle treating other customers when they have a question or a problem. And they are forming opinions and perceptions about the overall value you provide—based on what they see happening to others. If what they see is positive, they will tend to have a good value perception. Conversely, if what they see is a lack of responsiveness, they will tend to question their buying decision and may begin to look elsewhere.