What Happens When a Company Stops Using Social Media?

Social media has evolved beyond just being a marketing channel in today’s business world. It has become an indispensable tool for brands to engage directly with customers, build loyalty, and increase brand awareness. However, some companies completely abandon this channel, thinking that the time and resources spent on social media are wasted because they believe social media does not directly generate revenue.

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So, what happens when a company abandons social media?

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A study by NP Digital revealed that within 6 months of 16 companies with over 100,000 followers quitting social media, organic social traffic decreased by 94%. During the same period, these companies also experienced a 6% decrease in revenue. These data show that social media is not only about making sales but also plays a critical role in increasing brand awareness, customer engagement, and organic traffic.

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So, why is social media so important, and what kind of consequences do companies face when they completely abandon this channel? Let’s explore the details together.

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Data Source and Method

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NP Digital analyzed 16 companies with over 100,000 followers on social media. These companies stopped their social media posts completely due to time and resource constraints or because they believed social media didn’t generate enough returns.

The study lasted for 6 months and observed both the organic social media traffic and revenue levels of the companies. The study focused on the following criteria:

1. Comparison of traffic before and after abandoning social media

2. Changes in revenue

3. Decrease in user engagement

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Key Findings

In the third month, organic social traffic decreased by 61%.

By the end of the sixth month, social media traffic had almost completely disappeared, dropping by 94%.
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Interestingly, the revenue decrease initially seemed small (around 2-3%), but by the end of the sixth month, it reached a total of 6%. This highlights how social media, even if it doesn’t directly boost sales, contributes to long-term brand growth and revenue generation.

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Limitations
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While the study does not specify the sectors these companies belonged to, the impact of social media may vary across different industries. For example, social media traffic may be more critical for an e-commerce brand, while platforms like LinkedIn or blog content might be more important for a B2B service company. Moreover, some companies may have continued to gain traffic from other channels, such as search engine optimization (SEO) and paid ads, despite the decrease in organic social media traffic.

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The Role of Organic Social Media

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‍Social media is much more than a platform for direct sales for brands. Its primary function is to create brand awareness, build customer trust, and establish long-term connections with the target audience.

Many consumers check social media accounts first when discovering a company. Brands that produce regular content and remain active are perceived as more trustworthy and professional.

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Indirect Impact on Sales and Traffic

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Social media works as a channel that influences the purchasing process rather than directly driving sales. Even if a user does not immediately purchase a product, frequent exposure to the brand on social media may lead to the brand sticking in their mind and influencing their next purchasing decision.

Platforms like Instagram, Twitter, and LinkedIn increase brand visibility through customer reviews, recommendations, and user interactions. This process, known as social proof, can reinforce customer trust and influence purchasing decisions.

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Why is a 6% Revenue Loss Critical Even if it Seems Small?

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A 6% revenue loss may seem small at first glance, but especially in highly competitive markets, this loss can make a significant difference.

For larger companies, it can translate into millions of dollars in losses.

For companies aiming for continuous growth, it can create a loss of momentum.

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Social Media and Brand Health

Abandoning social media leads not only to traffic loss but also to damage to brand perception.

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Online Presence and Consistency

Being active on social media means a company maintains its presence in the digital world. If a brand suddenly abandons its social media accounts, users may ask questions like:

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Has the company closed down?

Does it no longer provide services?

Is the brand trustworthy?
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Being constantly active is one of the most important factors in building customer trust.
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Customer Relations and Competitors
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Social media is a platform where customers ask questions, leave comments, and engage directly with brands. A brand’s absence from this space can redirect customers to competing brands.

For example, while competing brands remain active on social media, your silence may cause your brand to fall behind.

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Reasons Why Social Media May Seem Idle

Some companies abandon social media because they think it does not directly generate revenue, viewing the time and resources spent on it as wasted. However, this is based on some misconceptions:

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1. The “No Direct Sales Return” Perception

Social media is not a short-term sales platform but a long-term brand awareness tool.

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2. Time and Resource Constraints

Content creation and management can be time-consuming, but automation tools and agency support can optimize this process.

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3. Wrong Platform or Audience Selection

Being active on the wrong platform may result in reaching the wrong audience. This mistake can be fixed with the right strategy.

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How to Sustain Without Abandoning Social Media

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Instead of completely abandoning social media, it is possible to manage the process more effectively with an optimized strategy:

Less is More Content Strategy: Sharing a few quality pieces of content each week can still be effective.

Automation and Planning Tools: You can plan your social media posts in advance using tools like Buffer or Hootsuite.

Team or Agency Support: If internal resources are insufficient, working with an agency for social media management can be more efficient.

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Conclusion and Recommendations

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This study demonstrates how social media impacts a brand’s visibility, organic traffic, and revenue in the long run. Abandoning social media may not seem like a significant loss in the short term, but in the long run, it can lead to a brand losing its position in the market.

If a company reviews and optimizes its social media strategy, it can strengthen brand awareness and customer loyalty. Therefore, before abandoning social media, you should optimize the content production process, create an effective strategy, and develop methods to increase user engagement.