Clubhouse Fever: Hot or Not?
The technological age reveals that the power of social is unbridled and, in some cases, limitless in its expansion. As technology continues to evolve, new social media platforms are also on the rise. As the years pass, innovations drive new social platforms to unscalable heights. One such platform is Clubhouse. Clubhouse carries an allure of exclusivity and a members-only vibe. It is a site that requires an “invite” to get in and is completely audio-based. Members can jump in and out of rooms to join in discussions or they can opt-out to just listen. With new social scenes on the rise, such as Clubhouse, a crossroad often appears for brands and their promotional aspirations. In some cases, some brands are searching for alternate promotional avenues aside from Facebook and Instagram’s algorithms. However, major decisions should be entertained before jumping onto the next social space coaster. I do not think that brands should entertain super new platforms. Unless they have a reservoir of capital, I would definitely keep the advertising budget where it has previously been tested and proven. Taking away from proven strategies to test other platforms, in their early formative stages, may cause a strain on departmental funds and decrease ROI. I think brands, especially small businesses should master popular platforms that have already established social cred before trying out new platforms.
As mentioned earlier, Clubhouse is a new social media platform that came unto the scene in 2020. In short, Clubhouse is an audio-based social network app that allows users to listen in and join other conversations. Most articles relay that this is a great way to network and create mentorships. Since its release in April of 2020, users have been vying for an opportunity of receiving an invite into the “club”. To be fair, I thought it would be interesting to compare the pros and cons of joining Clubhouse. I also wanted to know the promotional benefit, if any, that the platform offers small businesses.
Positive findings showed that Clubhouse is very popular for brands to establish themselves as thought leaders in their industries. By establishing themselves as thought leaders, brands have an opportunity to build a following around through the audio word-of-mouth chatrooms. Another added benefit is that Clubhouse gives brands a personal voice to pitch their brands to users who enter their chatrooms. Brands can also sponsor virtual events, via audio, to promote different happenings within their business realms. Along with an exclusive “members only” aura, Clubhouse offers some attributes that small businesses may be attracted to.
Although Clubhouse has some attractive attributes, there are also features from this social platform that may not be so alluring. According to Vogue, Clubhouse may evolve into a dating app in the future since it is very popular amongst dating chatrooms. Comparisons are being discussed if Clubhouse will take the place of the once-popular dating site Tinder. Another possible detractor is the platform itself. Some described being in the rooms comparable to a 500-way phone call. This in itself may not be conducive for brands who are attempting to showcase their products or services. Tactics have been tried to hire club room influencers to make brand mentions to the group. However, neither sponsoring nor advertising are options on this social media platform. Clubhouse does not allow the promotion of ANY advertisements, period! With no avenue to promote advertisements, businesses may view this as a deal-breaker. In most cases, all efforts to promote are ineffective within this social community. Other drawbacks can include being hoodwinked by self-proclaimed experts. After all, a user does not personally know the backgrounds of the audio conference. So, in this case, businesses will have to exercise planned time to research possible “industry leaders, subject matter experts, and creatives” to ensure that they (or their business) aren’t taken for a ride.
Ultimately, I think Clubhouse will be around for a little while. The hype is super high right now and millions of downloads still occur with this app. In general, I believe that Clubhouse does have some benefits for those who are into podcasts and audio conference calls. However, I do not think it will appeal to many business owners until a business model is either built into the platform or businesses have some way to monetize through the site. Although it seems like a great place to network with others, I do not believe that small businesses will trade in networking over sale conversions. If Clubhouse does not benefit the “bottom line” for a brand, I do not think small brands will spend as much time on their real estate.
