One of the biggest benefits of engaging customers via social media is that you create a new, sustainable marketing source.  Think about it... traditional marketing (like advertising) requires a continuous push (of dollars and time) to get the message out.  The language we use surrounding traditional marketing reflects the laborious nature of things.  We have "campaigns" and "runs".  It's an expensive exercise that is the equivalent of shouting from the rooftops.

But the beauty of social media is that connections can be amplified so quickly and messages can be disseminated more efficiently.  It's like renewable energy.  By engaging your customers via social networks or, even better, giving them places to congregate under your brand, you add another dimension.  Your engagements travel in waves through the social pipeline, with the recipients of your messages transforming from passive receivers to active followers.  In fact, as you become more active and engaged, the your marketing efforts become more sustainable, fueled more by the actions of your 'followers' than by you. 

The beauty of social marketing is that it can be done outside the realm of an ad agency and can involve all parts of your organization- from support to technology to marketing.  Everyone can be part of your social marketing team, helping customers, disseminating news, offering tips.

Unlike traditional marketing, which focuses on refining one message and staying on point, social marketing is more conversational, more about engaging with customers on a human level.    It's about establishing an identity, to be sure, but how you engage is just as important as the message itself. 

It's simple really... by engaging your consumers in social networks, you reduce the amount you need to spend through traditional marketing avenues.  This is not to say that there is no value in the old school methods, just that social marketing can be even more powerful and much more cost effective, especially if done in a way that is conversational and open.