Social media use 'becoming prevalent among emerging market companies'

19 December 2011

Businesses in emerging markets are beginning to use social media tools more prominently in their commercial operations, according to new industry analysis.

A global report from KPMG reveals that nations such as China, India and Brazil are on average 20 to 30 percentage points more likely to use social media than those in developed countries.

This is because firms in less prosperous nations are looking on social networks as an affordable way to get an advantage over their competition, allowing them to gain instant access to secure communications and an improved public profile.

Tudor Aw, KPMG's head of technology for Europe, said this may also be due to "a lower dependence on legacy systems than in more established markets, which tend to bind organisations to their long-established channel strategies".

KPMG's research also found that more than 70 per cent of companies globally are now active on social networks worldwide, showing its prominence as a business consideration.

This comes after an Ernst & Young report revealed last month that emerging markets such as China and India are leading the global resurgence in sales following the economic downturn.