Majority of chief executive officers in the top 100 companies in Australia do not use social media. They are ignoring Twitter, and as a result, they close themselves to one of the most powerful communication tools in the world.
CEOs do not use social media in fear of harming their reputation and their companies’. They do not believe that there is a commercial advantage from posting their thought on Twitter. They are also shutting themselves from their engagement with customers, staff, and shareholders.
The Chanticleer survey conducted among top 100 companies in Australia shows that 25% of companies have corporate Twitter; only seven CEOs have Twitter accounts and only four of them are active – Murdoch, Goyder, Grimshaw and Brinsden. Grimshaw and Goyder opened accounts as part of their learning process about social media; Goyder said it helped him reach his 200,000 staff. Although it helped them reach their staff and customers, they also understand the risks involved.
Many companies support social media, but do not like going public through Twitter. A couple of them say that they do not need Twitter as they could not justify the time, did not want to risk making mistakes with their tweets, and could not see any commercial gain. Another reason is that they want to preserve their private life and have no time to be tweeting.
In the US, almost 90% of the 190 CEOS interviewed appreciate the opportunities posed by social media as well as their risks to corporate reputation and product branding. However, only one third were using social media to monitor potential risks to their business. Also, only 6.6% had a social media monitoring committee.
- Personal Twitter accounts from top 100 companies: Rupert Murdoch, David Thodey, Richard Goyder, Colin Goldschmidt, Stuart Grimshaw, Magnus Nicolin, and Ken Brinsden.
- Majority of the CEOs of Australia’s top 100 companies do not get social media
- Survey revealed that only a quarter of the hundred companies have Twitter and only 7 CEOs have twitter accounts, four of which are active
- A social media study in the US revealed that almost 90% of the 180 CEOs interviewed understand the opportunity for reaching customer with social media and the risk to corporate reputation and product branding
- Only a third of the US study respondents use social media to monitor potential risks to their businesses
- Only 6.6% of companies have social media monitoring committee
Richard Goyder, CEO Wesfarmers: “Social media should help me reach 200,000 staff who work at Wesfarmers.”
Stuart Grimshaw, CEO Bank of Queensland: “Being on Twitter was an obvious thing to do because of its reach, its immediacy and its influence.”
Giam Swiegers, CEO Deloitte: “Social media is an ideal tool for chief executives to articulate their strategy. If you are not using every channel you are going to lose out.”
Covered by Visible Banking Team