Many people want to know if it is better to focus on local or national social networking for business. The truth about this is that it depends on what the goals of the company. However, there are downsides and upsides to focusing on both approaches. Each can be effective, but the timing of each method really depends on what state the business is in at the moment that the decision is made that they should join the social networks.
In general, it is better for a company to focus on the local area first. This is because the company can catch the low hanging fruit in their business. There is far less competition in the local area than the whole world. This allows a business to train in a small pond before they invest a lot of time and money in competing with the big boys in a market place. Too many businesses try to be larger than their skill level allows them. This causes them to lose a lot of money in advertising. This is no different than testing a message in direct mail. A message can be sent to a very small portion of the list. This allows a business to get an idea of the effectiveness of the ad before they jump into the deep end with both feet. This is the smartest strategy that a business can take before they spend a lot of money in a market that may not be profitable.
One of the problems with marketing to a smaller town is that the town may not have the statistical relevance necessary to make an educated guess. This lack of relevance makes it very hard to test a message. There is a major search engine that says that 1000 actions are needed before statistical relevance is achieved. However, this is not possible in some markets because a person may only get 20 visitors a day. These visitors may not click anything, which means that it could take years to finally get to that 1000 action threshold. This is a massive problem that should be considered before a business makes the choice to be local first.
The solution may not be to be national, however. Even though the pool is larger, it takes skill to manage the amount of clicks that can come into a server. The competition is also much stiffer and a company may never generate much traffic unless the person managing the campaign is a master of driving social media traffic. A business can also experience explosive growth where the business cannot keep up the demand placed on them. This is a massive problem that should be avoided.
The real answer to this question depends on where the business is before it enters the social media platforms. There are pros and cons to targeting the local area and the national area. However, it is always smart to start small and work up from there. This allows a business to learn the pitfalls in their marketing message and allows them the business owner to make changes as needed.
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