What key method do firms use to connect with customers during the Social Era?

Study for the UofT MGT100 Fundamentals of Management Exam. Practice with quizzes and detailed study materials to excel. Prepare with clear explanations and valuable tips to ace your exam!

In the context of the Social Era, firms primarily utilize technology-driven interactions to connect with customers. This approach leverages digital platforms, social media, and mobile applications, enabling businesses to reach their audience in real-time and engage them through personalized communication. It facilitates two-way interactions, allowing customers to share feedback, participate in discussions, and influence the brand's offerings.

Technology-driven interactions also create opportunities for firms to gather data on customer preferences, behaviors, and trends. This information can be analyzed to tailor marketing strategies and improve customer experiences, fostering stronger relationships. Additionally, platforms like social media enable brands to be more accessible and responsive, enhancing customer engagement.

The other methods listed do not align with the primary strategies employed in the Social Era. Traditional advertising methods tend to focus on one-way communication, lacking the interactive element central to the Social Era. Physical retail enhancements may enhance the shopping experience but do not capture the broader, tech-savvy engagement necessary in today's digital landscape. Cost-cutting measures primarily focus on reducing expenses rather than enhancing customer connectivity and engagement.

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