For starters, social media are, at least according to the traditional definition, not a medium. Wikipedia defines media in communication as the storage and transmission channels or tools used to store and deliver information or data – clearly social ‘media’ is more than that.

Social ‘media’ is still experiencing staggering growth rates with people from all over the world joining. Are all of these people active users ? Of course not. According to Forrester there are ‘authors’, ‘critics’, ‘collectors’, ‘members’, ‘viewers’ and ‘inactives’. Admittedly the number of ‘inactives’ is decreasing and the other groups are growing.

Social ‘media’ are not popular for one single reason. Some people are looking to add value and share insights, they are the new leaders. Many are happy to follow and consume what is being offered. They were driven to join by curiosity and a need of belonging. This is normal. Just because hammers are available for everybody, doesn’t mean that we all go out to get nails!

Social ‘media’ are, at least partly, a ‘gift economy’, where goods and services (recommendations, information, insights, news etc.) are shared for free – reciprocal altruism if you will. That is noteworthy and causes brands, living in market economies, headaches.

Social ‘media’ must have more self-proclaimed experts/mavens/specialists/gurus per user than any other medium worldwide. Despite that, many brands are still struggling to develop a business model that works for them and the users in social ‘media’. The traditional marketing-aspirin doesn’t work, the headaches mentioned above become worse.

Social ‘media’ are here to stay. It is imperative to develop a model that adds value for consumers and brands, because they are interdependent. Is it possible to combine the benefits of a gift economy with those of a market economy? Exciting question.

May be not such an ironic look after all – what do you think?

Many brands think that due to the relevance of social media, they need a strategy to deal with it. I personally don’t think that this is the solution.

Brands and their on- and offline-activities are under constant observation by interested consumers, who inform a global audience via the social web about everything they see and hear. Containment strategies don’t work for anymore. In this connected world the credibility of brands depends, more than ever, on consistency across all channels globally. A brand promise made in one country is expected to be kept everywhere. If not, somebody somewhere will blow the whistle.

The social web and the availability of free and credible information from multiple sources have led consumers to become more sophisticated and less ‘obedient’. Integrating them in the architecture of value creation would therefore be a smart move for brands. This changes their business model with implications for all divisions of a company: R&D, production, HR, finance, purchasing, sales and of course marketing.

New rules, new and old participants with different roles and new judges have led to a new game for the brand, which requires a new overall brand strategy, rather than ‘just’ a social media strategy.

What’s your strategic assessment?