Social media allows for two-way communication and dialogue rather than one-way broadcasts. It has seen a rapid rise with key sites like Friendster, MySpace, Facebook, Twitter, and others growing exponentially in their early years. Marketers are drawn to social media because it enables conversations with consumers and viral word-of-mouth at low cost compared to traditional media. However, it also poses challenges for brands to control their message and reputation across fragmented networks.

1. Social Media
An Introduction for Marketers

2. What is social media?
Social media is the use of web-based and
mobile technologies to turn one-way
communication into interactive and/or
multi-party
multi party dialogue
Source: http://en.wikipedia.org/wiki/Social_media
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3. A look at the quick rise of the social media players
1997 • Sixdegrees.com launches, allowing profile creation and listing of friends
2002 • Friendster launches, pioneering the online friend connection and grows
to 3 million users in the first three months
• MySpace launches coded in 10 days to compete with Friendster
launches, Friendster.
2003
LinkedIn also launches
2004 • Facebook is launched, originally as a way to connect college students
and now has 600 million users
2006 • Twitter launches with first tweet and now on average 460,000 new
accounts created daily
2008 • Facebook overtakes MySpace as the leading social networking site
2011 • And now the landscape is cluttered with more popping up everyday
…Foursquare, Quora, tumblr, reddit, StumbleUpon, digg, flickr, etc., etc.
Source: http://en.wikipedia.org/wiki/Social_media
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4. Facebook has nearly three times as many visitors as
competitors
p
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5. How social media and web 2.0 are changing the playing
field
Monologue where
brands broadcast Dialogue between
message out to network of people
p p
single user
i l
Are brands even
? invited into this
conversation?
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6. How to think about (the somewhat black box of) social
media
Old School
Strategic
Free
(PR, Buzz)
Tactical
Marketing
Strategic
Paid
(Advertising)
Tactical
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7. How to think about (the somewhat black box of) social
media
Active
Strategic
St t i
New World Passive
Free/
Earned
Active
A ti
Tactical
Passive
Social Closer than
Marketing
Media ever before
Active
Strategic
Passive
Paid
Active
Tactical
Passive
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8. Why marketers like social media
Old School New World
 Media vehicles only allowed one  Social media enables two way
way communication to the masses dialogue between individuals where
where brands pushed out brands can be part of the
messages conversation
 The cost of entry to purchase  The cost of entry for social media is
media was expensive for TV, radio, inexpensive and even free as part of
magazines earned media
 People trusted brands and  People trust their friends and those in
institutions their networks
 Word of mouth was confined to  Word of mouth and the buzz factor
people’s neighborhood and book have an almost infinite reach
club
 It took years to create a brand
t k t t b d  Brands can very quickly establish a
identity personality
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9. Social media trends
 The 35+ demographic now represents more than 30% of
Everyone is doing it Facebook’s user base
 The 55+ audience grew 922.7% on Facebook in 2009
Ability to localize  Proliferation of targeting tools
Global growth  Over 70% of Facebook’s users are outside the US
Going mobile  Over 200 million Facebook mobile users
 Mobile everything: purchasing, loyalty programs
Quality is king  Quality of connections has replaced the quantity of connections
 “Friending” and “following” has become much more selective
Collective buying  Ri
Rise of G
f Groupon and Li i S i l
d LivingSocial
Source: facebook.com, Mashable, istrategylabs, Nielsen 2010 Media Fact Sheet, and other articles
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and analysis

10. A quick look at which social sites are best for which
outcomes
Customer Brand Traffic to SEO
Communication Exposure Your Site
Good!
G d! OK! Bad!
B d!
Source: CMO.com
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11. Stop and think before you tweet, like, post, connect…
The 5 questions you need to answer:
1. Why should my product be using social media?
2. How does it support the larger strategic objectives?
3 How does it fit the brand personality and brand promise?
3.
4. How does it integrate with the rest of the marketing plan?
5. What will we do with the community once we build it?
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12. The proliferation of social media poses many challenges
to marketers and their brands
The 3 biggest challenges your brand will face:
1. Each of your employees and agencies represents your brand to
thousands of people and can easily go rogue
2. All of your customers, both the happy and the unhappy, have a forum
to publicly voice their thoughts about your brand
3. Your brand’s identity will be based on all of these collective “voices” not
just the content that you authorize
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13. Do’s & Don’ts
“We no longer control the message. We manage the dialogue.”*
DO: DON’T:
 Identify a “ringmaster” and a “chief
ringmaster chief  Overshare or leak
listener”
 Get too comfortable and forget the
 Use a consistent voice brand
 Get creative  Criticize
 Be quick and adaptable  Alienate your “friends”
 Be authentic and genuine
*Source: Jaime Cohen Szule of Levi Strauss & Co
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14. A social media success story
■ Started with My Starbucks Idea on website and then “Ideas in Action”
blog
– Shows they are listening to consumers
y g
■ Now have over 20M fans on Facebook and over 1.3M followers on
Twitter
– 600K people RSVPed for Free Pastry Day
– Have Foursquare exclusive Barista badge
– Consumers are promoting the brand themselves
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15. B2B social media successes and strategies
■ Generate leads (Regus)
■ C
Create a specialized community (Ki
i li d i (Kinaxis)
i )
■ Improve SEO (Delivra)
■ Be a knowledge source (
g (CMB)
)
Source: Mashable
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16. Defining the goal and determining results
Build ■ # of fans or # of followers
Awareness
Deepen
■ # of wall posts or # or tweet mentions
Engagement
Create
■ Sharing post or forwarding recommendation to
Advocacyy
afi d
friend
Drive
■ Redeeming online coupon or offer
Behavior
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17. Is there payback and how should marketers think about
social media ROI?
Everyone needs to monitor brand reputation in social media (and be
ready to respond as needed), but not everyone should invest.
y ) y
Develop a method to estimate impact of social marketing initiative:
1. Describe the possible investments – cost and duration
2. Sk t h out the rationale
Sketch t th ti l
3. Develop a marketing funnel that starts with awareness and ends in
estimated sales dollars
4 Hypothesize how initiative might work through the funnel
4.
• Key element is the value of networking and the impact of receiving
message through friend or network
5 Share ROI estimates with key decision makers
5. decision-makers
6. As initiative progresses, measure extent to which hypotheses are being
supported or rejected by reality
Source: “Social Media ROI” by Robert Duboff and Scott Wilkerson
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18. This is what a marketing funnel analysis might look like
Awareness
• Awareness of promotion 1,000
Interest
• Interest in taking advantage 800
• Consider coming to restaurant 400
Consideration because of promotion
• Coming to restaurant because of promotion 25-50
Purchase
(netting out those who would have come anyway)
Profits • Profits f
P fit from attendance (include profit of
tt d (i l d fit f $250 $500
$250-$500
those they bring with them)
Lifetime • Lifetime value of these customers $25,000 -
Value
(based on other data/experience) $50,000
Source: “Social Media ROI” by Robert Duboff and Scott Wilkerson
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19. How should your company think about social media?
■ What strategy would you recommend?
■ How would you describe the recommended strategy in one sentence?
■ What elements should it include?
– Big idea, tactics, sites, etc.
g , , ,
■ What is the right level of investment – people, time, resources?
■ How should it integrate with your current marketing strategy?
■ What should you do to ensure your company remains credible and
relevant?
■ What should you avoid doing?
■ How will you stand out f
H ill t d t from th pack of b d using social media?
the k f brands i i l di ?
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