Aussie companies embrace social business models

Australian organisations are recognising that social media is more than a mere marketing tool and can instead be a source of competitive advantage, according to Deloitte.

The competitiveness of Australian companies will ultimately depend on how quickly and efficiently they can adapt to the needs of customers, Deloitte said in a new report.

This has led executives to realise that establishing a social media presence is merely the first step in a journey required to transform into a social business.

This journey also requires building processes, capabilities and organisational structures around the goal of being more connected to customers.

Other steps social pioneers are taking include advertising through social media and building connections to online social communities.

“Australia is the fifth most concentrated smartphone market in the world and in an increasingly online social world our smartphones are becoming one of the most important ways we connect with each other,” Deloitte consulting partner Niki Alcorn said.

“Our smartphone usage is arguably both growing and enriching our social interactions, which will impact how global businesses are likely to engage with employees and consumers alike through many different forms of social media comprising blogs, social platforms and networking or community sites.”

Entirely new Australian businesses are also being established based on this trend, Deloitte said, giving the example of crowdsourced consulting and professional services provider 10EQS. The company’s business model is based around the prevalence of social business models in the nation.

“Companies now recognise that social business offers the potential for progress across many dimensions. As corporate ambitions grow, so will the use of social tools as they allow organisations to ‘be global’ while removing many of the hurdles associated with ‘going global’,” Alcorn said.

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