If you have any doubts about whether or not social media is simply just a flash in the pan or the future of internet marketing then continue reading. Now, if you've already made your mind up about social media don't abandon ship. You might discover that there's more than meets the eye.

Meets Human Needs

People crave interaction and connection with other people. This is a main reason why social media has become so popular over the last decade. Via social media, brands can create opportunities to share and recognize loyal followers with special rewards and incentives. These actions make customers feel special and it shows them that they’re appreciated by the brand.

So how does this translate into showing that social media is effective? Well, unique recognition and preferred treatment was observed by Hitwise in 2009 during Black Friday holiday shopping festivities. This study revealed that 4.3% of Facebook users and 2.3% of Twitter users made an online visit to a major retailer after they visited their social media site.

Cost-Effective Marketing

Social media isn’t free, but it is significantly cheaper than traditional advertising methods, which doesn't include feedback from people regarding their personal experiences. Maybe this is why print media has been suffering over the past few years. Newspaper revenue has fallen 26% during the past year bringing the totoal loss since 2006 to 41%. Then there’s the magazine industry which saw 367 U.S. periodicals close up shop and cease all printing. Not nearly as bad as the more than 500 publications that called it day in 2008.

The mistrust of traditional advertising has turned consumers into skeptics. Fortunately, the Internet makes it easy to read-up and review just about anything and everything before making a commitment to purchase, subscribe or otherwise. Online advertising is certainly more affordable and it allows for more targeted reach. Couple that with a brand’s social media  presence and people can research what others are saying about a brand very quickly, plus they can ask them directly for additional information.

Builds Brand Loyalty

Based on 2009 data reported from comScore and GroupM search, social media plays an important role in paid and organic search. Click Through Rates (CTR) increased by 50% when consumers are exposed to a brand’s social media profile. Additionally, when a consumer has been presented with a brand’s social media campaign the study discovered that they’re 2.4 times more likely to click on organic links to the brand’s site.

Using this research you can see how social media directly contributes to building brand recognition and loyalty. Knowing that social media can have a positive effect on the bottom line is one more reason for businesses to integrate a social media campaign into their marketing efforts.

It’s Live

The thing about social media is that it’s happening in real time. If you have a customer service complaint or a problem with a product you can jump on any brand’s social media site and request some help. This makes it easy for businesses to deliver prompt customer care and immediately address the needs of its audience.

On the other hand, if someone chooses to broadcast their negative experience with a particular product or company it can become a nightmare, or an overnight viral video like Comcast couch guy. In 2006, a blogger needed to replace a modem at his residence. He got in touch with Comcast who sent out a technician and who the had to phone the home office for additional assistance. After being on hold for more than an hour the tech fell asleep. The blogger captured everything on video and kindly uploaded it to YouTube where it has received more than 1,542,000 views.

Social media can be used effectively to build brand awareness, as well as by people to share brand positives and negatives. The point is that no matter how you slice it social media isn't a passing fad. It is becoming a standard communication platform that has dramatically changed the way that brands and consumers interact with one another.

As powerful as social media is perceived to be there's still quite a bit of mystery that surrounds it. Brands recognize that they need to be involved, but they're struggling with assigning a dollar-value on social media exposure and how it equates to revenue. Because there aren't any tools or systems in place that can spit out data on a company's return on investment (ROI) for increasing its Twitter followers many businesses find themselves wondering if they're just spinning their profit wheels in a social media mudslide.

It should come as no surprise that brands small and large share common concerns regarding social media. Even though concerns may be similar brands should be aware that they'll need to exercise different strategies depending upon whether they're B2C or B2B. Aside from defining goals and strategies, here are some of the social media obstacles that may confront brands.

1. Choosing the right social media channels.

Brands that know who their target market is and what communities they belong to can integrate those niche social sites into their strategies. Using a blend of social media dominators like Facebook and Twitter with other focused social sites might be a good launch point for some brands. The truth is that the right social channels are the ones where your audience engages itself and that are also right for your brand.

2. Converting fans and followers into customers.

You might be surprised to find out that most of your brand's supporters are already customers. These people have interacted with your brand on some level and they're proudly supporting it by liking, following or subscribing to the news that you share. Make it worthwhile for your brand loyalists to enjoy special perks, discounts and sneak previews that others might not be privvy to. Preferential treatment isn't a bad thing in the land of social media. When word leaks out that your brand awards BOGO offers to Facebook fans each month you can bet that it will be taken advantage of.

3. Creating impactful social media campaigns.

Often brands will find themselves in a creative rut and unable to pull together a meaningful social media campaign. No matter who you are take comfort in knowing that we've all been there and this is a challenge that will probably surface from time to time. When you plan a campaign try to build it with your audience in mind, not for yourself. Remember that a campaign isn't a press release or a widget - it's an actual strategy. Position, objectives, strategy, tactics and key messages are the core campaign components. Layer in video, blogs, newsletters, PPC and other elements to make your campaign memorable, and sustainable.

4. Managing social media productivity.

One of the most commonly quoted challenges from brands is not being able to budget time and productiveness for social media. Without a plan in place, social media activity can be a major time suck. Execute each social media action with an objective in mind and keep your focus on the task at hand. If you're responding to customer inquiries on Twitter, only respond to customer inquiries. Avoid jumping over to LinkedIn to see what your groups are buzzing about.

5. Increasing subscribers and fans.

Hands down this is one of the biggest challenges for all brands. Unless you're a brand that's been arounds for decades or who has a national presence like Starbucks or McDonald's, you're not going to have millions upon millions of fans. Keep scalability in mind and don't get caught up in what other international brands are doing. Next, remember to share information that your audience would like to know and would appreciate having. This doesn't mean an endless barrage of details about your brand. It means pulling good, credible data from other sources and funneling it down to your loyalists.

There are plenty of other challenges that brands are facing and will continue to face. This is just a handful to get your wheels turning and to think constructively about how to overcome them.

Let us know what some of your brand challenges are and share with us below.