Danger of Relying On Social Followers: When Social Algorithms Change, You Lose.

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social media marketing

Absolutely, social media is on FIRE and “everyone” is using Facebook, Snapchat, Instragram, Twitter or some other social network. For sure, EVERY business must be using social media. However, it’s also important to build your own list of email addresses and other contact information (cell, physical mailing address) so you have direct contact with your customers.

When (not if) social networks or search engines change their algorithms. You could be affected.

The WSJ reports that Cheetah Mobile experienced this very problem.

When Facebook changed it’s advertising algorithm it drastically affected the advertising revenue Cheetah Mobile received.

WSJ writes, “Why the miss? Facebook changed an ad-sales algorithm. Cheetah makes most of its income from selling advertising space on its popular apps. Though based in China, half its revenue comes from outside, and much of that by serving as a third-party advertising platform for Facebook, which channels ads to Cheetah apps. To a lesser extent, Cheetah sells ads for advertising customers on the social network. Credit Suisse estimates ads from Facebook account for 25% to 30% of Cheetah’s advertising revenue.”

Be careful putting your entire revenue in the hands of someone else!

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Ramon Ray, founder and editor Smart Hustle Magazine. Entrepreneur, best selling author and global keynote speaker.