I'm currently drafting a social media strategy for my company, laying out the business case and identifying how these tools support our objectives. Since my report audience is executives with limited exposure to social media, I've drafted working definitions to guide discussion. As usual, writing encourages mental discipline, so I've had to think hard about what "social media" and its kin, "social media marketing," really mean: It's not a technology, it's a strategy. It's not two-way conversation, it's multi-way. And it's not purely customer-centric, because the company's in the conversation, too.
Here are my current working definitions. Please tell me what you think:
Social media
A category of communications that let people create, share, and discuss materials online. Social media integrates technology with social interaction to let people construct meaning through shared stories and perspectives. Social media offerings range from internet pure-plays—social networks, photo and video sharing sites, or social bookmarking sites—to simple tools embedded on a traditional site allowing users to engage more deeply with its content. Fundamentally, social media is about multi-way conversation, not one-way broadcast.
Social media marketing
A category of internet marketing that leverages the power of social media to connect companies and customers. Social media marketing seeks to build awareness and shared understanding of a company’s brand and products through multi-way conversation between a company and its core audience. Social media marketing relies on viral, word-of-mouth strategies that let constituents create, distribute, and discuss content about a company’s offerings. In exchange, the company enjoys the benefits of increased exposure, real-time targeted market research, and enhanced customer affinity.
Update, June 24, 2009: See my revised definitions based on your feedback.