Social Media

AAA

DEFINITION of 'Social Media'

Internet-based software and interfaces that allow individuals to interact with one another, exchanging details about their lives such as biographical data, professional information, personal photos and up-to-the-minute thoughts.


Social media originated as strictly a personal tool that people used to interact with friends and family but were later adopted by businesses that wanted to take advantage of a popular new communication method to reach out to customers, for example, by informing them of sales and offering them special coupons.

INVESTOPEDIA EXPLAINS 'Social Media'

Through social media, anyone with internet access can interact with millions of people online. It is not necessary to be a journalist, a politician, a CEO or to hold any other position that was traditionally necessary to be able to disseminate one's thoughts or ideas to a wide audience.

RELATED TERMS
  1. Customer To Customer (C2C)

    A business model that facilitates an environment where customers ...
  2. Electronic Commerce - ecommerce

    A type of business model, or segment of a larger business model, ...
  3. Warm Calling

    The solicitation of a potential customer with whom a sales representative ...
  4. Networking

    A process that fosters the exchange of information and ideas ...
  5. Social Identity

    A company's image as derived from its relationships. An organization's ...
  6. Social Commerce

    A type of electronic commerce that employs social media to promote ...
Related Articles
  1. Social Finance Careers: Creating A Better ...
    Entrepreneurship

    Social Finance Careers: Creating A Better ...

  2. How To Target Ideal Customers
    Professionals

    How To Target Ideal Customers

  3. Extreme Socially Responsible Investing
    Options & Futures

    Extreme Socially Responsible Investing

  4. 9 Tips For Growing A Successful Business
    Entrepreneurship

    9 Tips For Growing A Successful Business

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center