To the Big Guys on the block, watch out! Social media flings open the gates for small companies to compete against larger competition since there is such a low barrier to entry. It’s not only about who has the most cash. It comes down to know-how, creativity and time. If your company is savvy enough to make sites like Facebook and YouTube pay off, then you can compete with larger, well-funded competition. The little guys in each market can now have a chance if they have a quality product. Before social media, they would most likely never capture a wide audience since they lacked the financial resources.
Another benefit is, as consumers, we now have a new avenue to discover the wonderful, hidden gems in the marketplace. Let’s look at an example. Say a local food company based just outside of Denver, Colorado creates a new popcorn snack. Due to its awesome flavor and cool marketing ads, the product takes off locally. They gain a bunch of folks who can’t say enough about this tasty treat. Even though the small company may have only 21 employees, with a few smart team members using Facebook and Twitter (and local customers spreading the word with their own social media spaces), within a few months people across the US are talking about these cool snacks. And so, the small company begins to grow to keep up with increased demand. It becomes known nationwide primarily due to people telling people. Yet people aren’t talking about it at the supermarket or at the office, they are talking about it on social media.
The dominant companies in each market are aware of this potential onslaught of new competition, and they are ramping up their own social media programs to protect their market share. A fun question to ponder is what new and amazing products and services will we be using in the next decade due to The Great Equalizer that is social media?