Warren Buffett, CEO of Berkshire Hathaway, joined Twitter yesterday (@WarrenBuffett) with his first tweet: “Warren is in the house.” Known for his folksy demeanor, the 82-year old Buffett presides over the publicly traded conglomerate of more than 70 companies including GEICO, Benjamin Moore, NetJets, Business Wire and more. After only two tweets, news quickly spread and the Oracle now has more than 285,000 followers.
What does this mean for you and your business? Clearly there are challenges that must be overcome when a publicly traded company or its management take to social media. Berkshire Hathaway and its management are not immune to these issues. However, the SEC has recently recognized the merits of social media, allowing companies to disclose material information via these channels. There are the usual limits as to what can be said during quiet periods ahead of quarterly earnings reports, as well as other compliance issues depending on the industry.
As long as one is mindful of these issues, social media can be an excellent way for your company to build a community of customers or to help establish a manager as an industry thought leader. We help clients with this every day, and can do the same for you! With that being said, what’s keeping you and your company from being social?