This document provides an overview of social media and case studies of how brands have used social media. It discusses how social media has changed consumer behavior and requires marketers to understand online communities. Several case studies are described, such as how Dell responded to negative blogs by becoming highly engaged on social media. The document also covers viral marketing campaigns and issues around losing control of the message on social media.
2. Quick Overview of Social Media
• The use of Technology and Digital Media to:
– Develop, enable and be part of communities
– Create and share content and information
– Engage in conversations and extend social networks
– Connect with people and groups
– Listen and participate in discussions, threads and develop
ideas and relationships with others
– Learn from others
8. Online Brands and Social Media
• 60% of online shoppers already use social media sites
and networks regularly
• 56% of those online shoppers friend or follow retailers,
but they can only do so, if the retailer is actively
engaging within those networks
• Only 25% of Top 100 Brands have Facebook Pages
• Twitter and Facebook users to spend more than 1.5x
more online than the average Internet user.
11. Potential Benefits of Social Engagement
• Listening
– Crucial to hear what the public is saying about you, competitors, related
business areas etc.. (research)
– Crowdsourcing – understand behaviours, experiences, language patterns
etc..
• Engagement
– Engage directly with prospects and customers (without filters)
• Relationships
– Build long lasting relationships and trust with customers
– Build real and valuable communities online and offline (Two way process)
– Reduce customer acquisition costs (Media spend)
– Increase customer retentions (Loyalty/Advocacy)
– Mass feedback loop for your business
12. Potential Risks
• Loss of control of the conversation
– Two way communication
– Openly negative transmissions
• Using social channel as a marketing or PR conduit
• Broadcast as opposed to engagement
• Can be a difficult persona for brands to adopt
– Reveal a human voice of a corporate identity
• What it is that voice?
18. Groupon Points of Note
• Groupon selects the type of deal they wish to offer
• One deal per day
• Results in competition to provide best discount – usually 50% to
60%
• Deal must reach a critical mass before it becomes active
• Groupon handle payment and distribute vouchers
• They charge approx. 30% of cost – pay out over 60 days in 3
installments
• 68% Groupon Users ages 18-34
• 18% Groupon Users ages 35-44
• 77% of their users are female.
41. Case Studies - Dell
• Dell-Hell Blog
– Buzzmachine : Dell refused to engage with him - created a very critical
blog that snowballed
– Appalling publicity – made onto cover of Businessweek
• How Dell reacted
– Now Dell one of most active social media companies – blogs, twitter,
product ideas/feedback site
– Ideas Storm – Customer recommendation platform
– Encourages employees to blog and engage with tools like twitter
– Monitors brand using Visible Technologies – TruCast
• Benefits
– Improved customer service – real-time support using Twitter
– Brand Enhancement, product improvement, customer service, employee
empowerment
43. American Red Cross
• Bad Public reputations
– After Hurricane Katrina
• Started listening to what public was saying online about them
– Blogsearch, twitter, alerts
• Started engaging with public
– Initially started commenting to blog posts and other discussion threads and over time
embraced Twitter and Facebook etc…
• Now use Local Twitter Accounts
– Connect directly – notify people of warnings/shelters/services etc..
– Public update them of safety issues
• Use Flickr and YouTube
– So community can share worldwide photos and videos of all experiences and activities
• Facebook Pages
– Update users with information
45. Skittles
• In 2009 turned Hompage into social webstream
– Twitter updates, Facebook page,YouTube
• Brand was hijacked initially
– Lots of puerile commentary on twitter stream (expletives etc)
• A lot of social media and marketing publicity
– More negative than positive
– However, are those who think very brave and only time will tell whether a success or
unmitigated failure
• Feeling that Skittles wanted to benefit from Social Media
– Without truly engaging
• Interesting case as to how brands should engage through web and social
media
• Highlights issue of brochure ware sites for brands
– General feeling there needs to be another form of engagement with customers other
than bland websites
• Today, one of the the top 10 brands on Facebook