A summary of a 2011 SXSW panel around the Social Media Capital – what is means, it’s value to marketers and consumers and where it’s headed.

1. Mike Spataro
@mikespataro
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2. Social Influence is the
KILLER APP
to Social Capital
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3. A consumer who has a
GREATER THAN AVERAGE IMPACT
through word-of-mouth in a
relevant marketplace
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4. Figuring out Social Influence to
DERIVE BUSINESS VALUE
has been challenging
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5. There is
NO STANDARD
for defining the influence
of the online consumer
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6. TECHNOLOGY
isn’t there yet
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7. Companies are frustrated
OR WORSE YET
basing decisions on incomplete metrics
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8. Social influence continues to
GROW IN IMPORTANCE
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9. Social enables: Recommendations from family
• Customer acquisition and friends trump all other
• Customer loyalty consumer touchpoints when it
comes to influencing purchases.
• Better product
development
• Hyper-personalized Inner circle trumps at decision time
58% of Americans say that people that
marketing
they know well and trust are the most
• Improved customer important single factor in the final
service decision on major purchases.
• HIGHER SALES
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10. What percent of social conversations
lead to PURCHASE INTENT?
60% 58%
55% C
R 50%
49%
50% E
D P P
45% A
I U
S
B S
R
40% C
I -
L A H
35%
I L A
T O S
30%
N E
Y
G
25% Base: Brand conversations across all categories (n=105,450)
Credibility Pass-Along Purchase
Source: TalkTrack®, January – December 2010
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12. The Shift to Influence Metrics
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13. Understanding Social Influence
REACH
• Reflects the potential number of
impressions an author can generate
RELEVANCE
• Amount of relevant posts an author
contributes to the community
RESONANCE
• How much activity is generated when
an author publishes relevant content
CENTRALITY
• The importance of a person in a
community
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14. COMMUNITY
RANK
Which
consumers have
influence in a
given
community
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15. COMMUNITY
RANK
Authors with strong
“Influence Rank”
have more and
deeper connections
to others
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17. Discussion Authority
helps identify which parts
of automobile
conversations the author
participates in. This
provides a more granular
look into what made the
author relevant.
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18. Centrality – assessment of
community strength which
considers links, # of authors, and
quality of sites being linked to/from.
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19. Page Views and Traffic
ranking calculations.
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20. Author Activity = ranking
based on total # of posts by
author.
Site Activity = ranking based
on total site volume.
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21. Term Cloud showing what
else the author talks about.
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22. Influence Rank shows
where the author ranks
from the list of top
automobile authors.
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23. Copyright © 2010 Visible. All rights reserved. 23

24. CONSUMER INFLUENCE 2.0:
THE AGE OF CONFLUENCE
• Intersection of online and offline consumer data and intelligence
• Game changing technology integration: Semantic & Social
• Behavior mapping across communities and channels
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25. The future is
PREDICATIVE ANALYSIS
SOCIAL INFLUENCE
Brands are flocking to … find, reward and recruit their
most-influential consumers, … (and) the push to measure
influence shows no signs of stopping.
—Greg Shove, Halogen Network & Kohlberg Ventures
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26. Mike Spataro
@mikespataro
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