In my view search and social really represent two very distinct dynamics. Search marketing reaches people who are looking for something very specific, often to meet an immediate need. Social marketing is where people share experiences, ideas, likes and dislikes, which can help them discover new options or influence a purchase decision. It can also lead them to a need that they didn't initially realize they had -- what we used to call creating need awareness in the old days of sales.
So you really need to operate in both spheres for two entirely different reasons. If you don't have a strong search presence (paid or organic) you'll miss out on all the people who are in the real-time behavior of looking for a solution that you may offer. If you don't have a social presence, you won't have the advantage of people propagating your sales message for you or bolstering your brand credibility with recommendations.
You also won't get the chance to expand interactions with customers. Search tends to have a very direct chain -- users click over, come to your page and they either buy or they don't. Social gives you a chance to have expanded and ongoing conversations with your customer base -- in fact the best social dynamics often expand a sales conversation that was initiated on the website, eventually returning it to the site to close the deal.
Despite what people may tell you, you'd be hard-pressed to find someone who is successful selling purely through social. And although search can have very predictable cost and conversion metrics, it's only one step in building deep and profitable relationships with customers.
So my take on it is that you should engage in both search and social marketing, but for very different reasons.
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