Is there too much Social Media?

Today it seems like almost everyone is using some sort of Social Media platform.  FaceBook has over 500 million users and there are millions of "tweets" sent everyday.  One thing that confuses me is why every business thinks they need to have a FaceBook page.  It seems like every resturant or business I walk into, there is a sign in the place that says "Friend Us" or "Find us on FaceBook".  I just don't see the benefit in some companies having social media as part of their marketing strategy.  Sure its cheap and all, but why would I want to friend State Farm insurance on FaceBook which is what many signs told me to do the other day when I was in there office?

I think too many companies are just using social media because it is the popular thing to do.  They make their pages, and then the employees forget to upkeep them and they become static pages very quickly that are worthless.  For example, the other day in Mr. Hall's class we took a field trip to Southern Foods.  Southern Foods is a regional food distributor and they talked at lenght about their new FaceBook page and their quest to find more followers.  Why would a company such as this, who claims only 20% of their business comes from online orders, need a FaceBook page?  Can anyone give me examples of companies in Bowling Green who have greatly benefited from a FaceBook page?