Presentation by Willem Sodderland, Founder and CEO of Buzzer, at the Word of Mouth Marketing Summit in Milano, 22 July 2009

1. Word of Mouth Marketing What’s the buzz ? Willem Sodderland, Founder & CEO of Buzzer

2. What’s wrong with this picture ? Let’s discuss marketing paradigms.

3. Seduction vs. Matchmaking My rule of thumb is this: Every person you turn away because your product or service isn't right for them turns into three great customers down the road. Every bad sale costs you five. Seth Godin

4. Opening Weekend: The Constant Gardener The Constant Gardener A novel by John le Carré based on real facts: the pharmaceutical industry is testing new medicine on very poor Africans who do not know that they are used for testing and are just happy to receive free medicine for their illnesses. Documentary: 50% Thriller: 35% Romantic: 15%

5. Marketing & Results Marketing Approach Advertise the movie primarily as a romantic thriller, not as a documentary (about a controversial topic). This appeals to a broader audience. Box Office € % Seats TCG sold in all movie theatres

6. Analysis: what’s going on ? We’re not reaching people. Increase advertising ! It’s not working, let’s cut our losses and ↓ # of shows We need more TV budget next time ! Yep, we know our stuff ! ? ‘Misled’ visitors spread less positive WoM The right WoM is kicking in from new visitors… …but now people can’t find the movie…

7. The essence of Word of Mouth. 1 Advertising makes people curious Word of Mouth makes curious people comfortable to buy 3 2 Product experiences create word of mouth

8. Willem’s (1st piece of) Wisdom. Marketing success is not about ‘opening weekend’. The greatest marketing force – WoM – can be turned into a marketing instrument. WoM is not a gimmick it is an ‘organisational lifestyle’. Willem’s WoM Wisdom. Other wisdom.

9. Word of Mouth Marketing Social marketing Product seeding Blog marketing Viral marketing Community Marketing Influencer Marketing Stealth Marketing Shilling Pop-up retail Co-creation Crowdsourcing Evangelist Marketing User Generated Content Referral Programs Marketing 2.0, PR 2.0 Product Reviews, Testimonials Advertorials & Commercial Content Social networks Branded communities Marketing 5.0 ?

10. WoM = Open Source Marketing Customer Engagement Word of Mouth Marketing Open Source Marketing

11. Buzzer: Product, Story & Buzz Online Product-experience & Story The brand Generate Trial & Buzz (The market) (selected consumers) Feedback on Product & Marketing Offline (the buzzer platform)

12. Buzz(er) without limits. Services Food & Drinks Health & Wellness Web Electronics Entertainment

13. Willem’s Wisdom. Marketing success is not about ‘opening weekend’. The greatest marketing force – WoM – can be turned into a marketing instrument. WoM is not a gimmick, it is an ‘organisational lifestyle’. Willem’s WoM Wisdom.

15. WoM cannot be controlled... …and that’s exactly why it works. (but you can trigger, organise, stimulate, learn from it)

16. You don’t control anyway. Marketing has finally become a conversation. Not, in most cases, as was intended, BETWEEN corporations and consumers (that would make too much sense), but rather a global conversation involving millions of consumers ABOUT corporations. On numerous sites and on hundreds of thousands of blogs, community sites, forums, viral emails and bulletin boards consumers relentlessly exchange views, complaints, opinions and comments about products and services, about brands, about companies, about YOUR company. Trendwatching.com

17. Open Source Politics & Crowdfunding Draft Obama Initiated by volunteers without Obama’s knowledge

18. The world’s most valuable brand “Think about that for a second: the top brand in the world belongs to a player that… ...uhhh…doesn’t advertise” Umair Haque - Harvard Business Review (The Shrinking Advantage of Brands)

19. Bad Buzz ? 4 good reasons why opening up your marketing creates less ‘bad buzz’, not more 2/3 of all buzz is positive (not 1/3) Complaining relieves... Vulnerability is rewarded Knowing why creates options

20. Ok. But how do you leverage WoM ? Create a more Buzzable Product (build buzz into it) Facilitate Product Experiences (most powerful WoM) Create Conversation Starters (product & story travel better) Tell a story (more (reason) to share) Engage & Co-create (involvement boosts everything) Online Give people a reason to talk about you. The brand (The market) Offline

21. WoM only for exceptional products...? Forum for ‘Funeral Consumers’ “My mother will die ‘out of state’. How best to handle this, what about insurance ?” Every product, service or experience will create word of mouth. The question is not how you compare to the iPhone, but to your competitor.

22. Enhance Product Buzzability Whipped Cream...? Capuccino Something !

23. Canon: real product experiences Uploadyourphoto and receive the picture printed On the photoprinteryouconsiderbuying

24. Conversation starters: Moustache Guerillas Canon… Wearing a moustache (for a charity) as a conversation starter. You don’t have to start, everybody else will !

25. A game starts a conversation & tells the story... Dove Hairminimising: feel less need to shave your armpit. Play a game: which of these situations hurts your selfconfidence most ? Acts as a conversation starter & articulates the brand promise.

28. Reports

29. Online buzz tools

30. G2 factor 4 (research)

31. Intensity interaction

32. Awareness facts

33. NPS

34. Buying behaviourG0 G1 G2 G3 Bzz. Bzz. Bzz. Bzz. Bzz. Bzz.

35. Case: OMO Small & Mighty Elements 2 * concentrated 3000 Buzzers 3 months Create Trial Beat Ariel Change behaviour Measure !

36. Experience the product & share it! Buzzers receive enough product to experience the product indepth Consumers ever smarter and more critical… “Consumers are bombarded with advertising, but they see through it ever faster. The product experience trumps the brand when it gets to influencing buying behaviour” Guy de Sévaux - Research International ‘Buzzed’ people receive samples that help tell the story...

37. Turn the laundry into a conversation Whitewashing: a 28 page booklet filled with buzzable stories about doing the laundry. Circulation: 75.000 Monica Lewinsky’s dress: one of the most famous stains in history. Worth talking about…

38. Conversation starters T-shirts for kids with small & mighty visuals that get people to ask questions

39. A powerful story: make the claim real. Prove convenience ? Hold your old detergent and Small & Mighty in your stretched arms and see how long you can hold both…

40. Storytelling through actions Photo-award: send in a picture that shows the benefits for the environment of using Klein & Kräftig

41. The Buzzer as Micro Marketeer Buzzers make 25 mini-BuzzKits and hand these out with their own story ‘Buzzed’ consumers fill out a questionnaire online

42. Show me the money. 1 >150 In 2008, Buzzer launched OMO Small & Mighty, a new detergent, for Unilever. Mindshare Insights conducted in-depth research on the results of the Campaign. 4 groups were compared: control groups that were exposed to advertising and sampling, the Buzzers and the people they buzzed.              “The reach of buzzing is huge”  

43. Willem’s wisdom. Marketing success is not about ‘opening weekend’. The greatest marketing force – WoM – can be turned into a marketing instrument. WoM is not a gimmick, it is an ‘organisational lifestyle’. Willem’s WoM Wisdom.

44. Guaranteed positive WoM: Get Rich Quick ! “Willem’s presentation at the WoM Milan summit was the best ever held in any conference. And he is very, very handsome” I. Maginary, WoM Summit participant Buy Willem Now ! (limited pieces left) 9 out of 10 people* that did not see the presentation said it would have improved the quality of their lives if they had witnessed it. * Tested among a sample of hypothetical people.

45. The Slow & Irreversible WoM Revolution. 1st agency Europe Benelux & Germany 75+ Campaigns Broad Portfolio Womma Member Specialised in BuzzTools & Storytelling ...and Buzzer does this for a living ; ) WoM Marketing helps brands use the full potential of word of mouth and user engagement...

46. WoM can be learned, organised Tools Ideas Media & Logistics Access to Consumers Seed products Conversation starters Storytelling, WoM campaigns/programs Facilitate collaboration Software, tech-tools Measure, research, analyse, consulting Word of mouth from marketeers ! Churchofthe `customer.com Blogs Creative Platform Insights

47. Q & (hopefully) A

48. Willem’s other wisdom. Willem’s WoM Wisdom. Risotto con Pulpo. Other wisdom.

49. Contact Talk to me while I am here or contact me at willem@buzzer.biz for further questions. www.buzzer.biz www.slideshare/sodderland/milano2009