JCI London presents IBM Social Media Business (June 2012) Creating and capturing value through Social Media - a corporate and large organisation perspective

1. JCI: 21 June 2012
Social Business
© 2009 IBM Corporation

2. IBM Social Business
Objectives
What is Social Business?
How can organisations make money out of Social Business?
How can you build your eminence by using Social Media?
© 2012 IBM Corporation

3. IBM Social Business
Justin Ablett
Associate Partner
IBM GBS Social Business Consultant in
Financial Services
10 years+ experience in technology,
innovation and transformation
Tweet on retail banking, wealth
management, and use of social media
in Financial Services
@justinablett
© 2012 IBM Corporation

4. IBM Social Business
Many organisations feel they should do ‘something’ with social media but
they don’t know what that something should be!
4
© 2012 IBM Corporation

5. IBM Social Business
There are 75+ million online sources …
Social Networking
Micro-blogs
Video sharing
Information aggregators
Wikis
Social gaming
Community Question & Answers
Product reviews
Social News
Blogs
Location based services
5
© 2012 IBM Corporation

6. IBM Social Business
Social media usage is exploding…
UK internet visits to Social Networks overtook
visits to search engines in 2010
More people are using Social
Media
Average hours a week spent on Social
Networking per visitor across Europe
People are using Social Media for
longer periods – and it’s not just
young people!
6
© 2012 IBM Corporation

7. IBM Social Business
… and rapidly evolving
34% of bloggers
post opinions about
brands and products
100 billion
searches each month
100 million 80% of US
Google + members consumers rely on their
social networks when
searching for
products to buy
24 hours Video
uploaded per minute
2 billion internet
users globally
61% of internet users go 700m Facebook
online every day compared with users worldwide
54% of TV viewers, 36% of radio
listeners and 32% of newspaper
readers 1bn forecasted
before end of year
Half of them access
the site with
their mobile 140m Tweets per
devices day
7
© 2012 IBM Corporation

8. IBM Social Business
Most organisations are underprepared to manage the impact
Underpreparedness
Percent of CMOs reporting underpreparedness
50%
Shifting consumer demographics 79%
Data explosion 70%
Regulatory considerations 67%
Emerging market opportunities 65%
Growth of channel and device choices 64%
Most
Decreasing brand loyalty 59% common
Financial constraints 58% across
industries
Customer collaboration and influence 57%
Social media 54%
ROI accountability 53%
Privacy considerations
Global outsourcing
Corporate transparency 38%
Source: IBM CMO survey. Q8 How prepared are you to manage the impact of the top 5 market factors
50%
50% “ Through 2015, 80% of
enterprises will lack a
coherent approach to
dealing with information
“
that will have the most impact on your marketing organization over the next 3 to 5 years?
n=4 to 42 (n = number of respondents who selected the factor as important)
from social media
Source: Gartner 2011
8
© 2012 IBM Corporation

9. IBM Social Business
The opportunities go far beyond marketing and PR
1 Customer Service 4 Marketing / PR
Provide service before a complaint reaches you Enable user-to-user interaction on the social
Facilitate customers to support one another cloud (on their terms)
Whilst the threats are
Reduce response times and lower costs Low-cost way to get a powerful message across
primarily related to
Deliver consistent multi-channel experience Improve understanding of customer needs
reputational risk –the
Increase agent productivity Competitor watch
opportunities reach far
Reduce customer churn
beyond Marketing/PR…
2 Product Development 5 Sales
Listen to your (potential) customers Generate leads and opportunities (through
Optimise portfolio of products and services inbound marketing)
Leverage the creativity / knowledge of the crowd Increase ease with which you can contact
Lower development costs, reduce time to prospects
market and increase success rate (minimises Transparency & instant feedback via peer-to-
recalls) peer reviews) help increase sales
3 Risk / Compliance 6 Recruitment / HR
Improve ability to more quickly: Identify what leavers/prospects are saying
Identify fraudulent activity Identify new talent
respond to fraudulent activity Increase employee loyalty and satisfaction,
helping to reduce recruitment costs
© 2012 IBM Corporation

10. IBM Social Business
And many early adopters are yet to make the transition from trying a few
Social Media gimmicks to creating a fully integrated Social Business Strategy
Integrated Social Business Strategy
Online Mobile Internal Marketing Front End CRM Call Centers HR/
Banking Employee Sales Recruitment
Collaboration
Social Media Strategy: Interactive, Collaborative, Analytical, and Social
10
© 2012 IBM Corporation

11. Customer Product Risk / Marketing / Recruitment /
1 Service 2 Development 3 Compliance 4 PR 5 Sales
Communications 6Doing Business
HR
IBM Social Business
Bank of America on Twitter
BoA has 15,000 followers.
Channel managed by team
of 6FTE. High satisfaction
rate. Customer problems
often resolved offline, but
initial engagement through
Twitter.
Besides its Twitter accounts,
BoA has a YouTube
Channel, blogs, LinkedIn
networks, a Flickr account
and plans to expand on
Facebook.
"Given the amount of time that people are spending online and when you see how people are using social media to
answer questions. Yes, our shareholders should care,"
"We are deepening our relationship with customers through social media…banks' presence on social media channels
will only increase going forward”.
"Much of the industry, including us, is still trying to figure out to how apply it best to the business."
"People spend 25 percent of their time on Facebook and the internet. People are looking for services and information.
We want to make sure there is a human connection. If we can't add value to a network we are not going to join it,"
Chris Smith, Enterprise Social Media Executive for Bank of America.
© 2012 IBM Corporation

12. Customer Product Risk / Marketing / Recruitment /
1 Service 2 Development 3 Compliance 4 PR 5 Sales
Communications 6Doing Business
HR
IBM Social Business
First Direct Labs
First Direct lab was launched
in August. Visitors given
access to what the bank is
planning and can critique it
through a comment facility
and forum.
The initial plans up for
discussion included a Web
site re-design, the use of QR
codes and a mortgage
comparison smartphone app.
Now the bank is asking
customers to view a number
of design options for its next
debit card.
After four days live on the site,
1204 people had added their
comments
© 2012 IBM Corporation

13. Customer Product Risk / Marketing / Recruitment /
1 Service 2 Development 3 Compliance 4 PR 5 Sales
Communications 6Doing Business
HR
IBM Social Business
Marketing: National Australia Bank on YouTube
Over the span of a few days, NAB
became the #1 most trending
topic on Twitter across all of
Australia and received 100,000+
visits to their break-up blog.
NAB is now ranked #1 in
customer service (up from last
place)
79% increase in home loan
inquiries
50% increase in credit card
applications
20% increase in new accounts
Cannes Lion 2011 award for Best
Use of Media Relations
13
© 2012 IBM Corporation

14. Customer Product Risk / Marketing / Recruitment /
1 Service 2 Development 3 Compliance 4 PR 5 Sales
Communications 6Doing Business
HR
IBM Social Business
PR / brand enhancement: American Express
Crossing the emotional divide: Amex uses social
media to get customers personally invested in outcome of campaign
Challenge:
Build advocacy by tapping into consumers’ concern
about their community’s economic wellbeing;
support small business clients
Solution:
Small Business SaturdayTM on Facebook -
users encouraged to click “like” and spread the
word
For each “like,” $1 donated to charity
Card holders enroll to receive a $25 credit
Consumer/merchant “Shout Outs”
Polls captured consumer motivations
Results:
Within weeks, more than 1 million people had
“joined the movement”
American Express donated $1M to charity
Source: http://www.facebook.com/SmallBusinessSaturday?v=app_165267296827487; “Who we are.” American Express Web site. http://about.americanexpress.com/oc/whoweare/; Small
Business Saturday Web site, accessed January 24, 2011. http://smallbusinesssaturday.com/faq.html; “Small Business Saturday (SM) Firmly Plants Its Roots Between Black Friday
and Cyber Monday.” American Express press release. December 2, 2010. http://about.americanexpress.com/news/pr/2010/post-sbs.aspx
© 2012 IBM Corporation

15. Customer Product Risk / Marketing / Recruitment /
1 Service 2 Development 3 Compliance 4 PR 5 Sales
Communications 6Doing Business
HR
IBM Social Business
Most popular recruitment application on Facebook
“Professional service provider engages and hires senior-level,
passive candidates for 4% of traditional costs”
© 2012 IBM Corporation

16. JCI: 21 June 2012
The Social Business Journey
Creating and capturing value through Social Media
This report is solely for the use of Client personnel. No part of it may be circulated, quoted, or reproduced for distribution outside the Client organization without prior written approval
from IBM. This material was used by IBM during an oral presentation; it is not a complete record of the discussion.
IBM Confidential © 2012 IBM Corporation

17. Todd Abramson
Strategy and
Transformation
Consultant
8 years+ experience in technology,
innovation and transformation
Thought leadership working with
international clients focusing on
digital channel transformation and
social media
MBA from University of Oxford, Said
Business School
www.linkedin.com/ToddAbramson
© 2012 IBM Corporation

18. IBM Social Business
Jams &
Ideation
Internal Social Media
Collaboration Analytics
Employee Multi Channel
Social Media Tools
Strategy
Guidelines
Community
Enterprise Solution Evaluation Design
Social Media
Strategy Strategy and Governance
Pilot/POC
Roadmap Social
Media Solutioning Solution Confirmation
Business Case Strategy
Analyse the Outputs Learn and Implementation Business Readiness
Transform
Optimise the Process Build
Transform the Organisation Deploy Governance
Co-mentoring
Optimise Business &
Technical
Ambassador
Requirements
Program
Business
Feedback Internal
Processes Community
Jumpstarts
© 2012 IBM Corporation

19. IBM Social Business
Social Business
How to build your personal eminence
© 2012 IBM Corporation

20. IBM Social Business
Alison Foley
Business Strategy
Consultant
Financial Services
Graduate from Oxford Brookes
University – studied International
Business Management (IBM)
Background in Retail, Marketing and IT
Keen interest in Social Business and it’s
impact on business reputation,
particularly across cultures
@alison_foley
© 2012 IBM Corporation

21. IBM Social Business
Social media is essentially a
category of online media
technologies; where people are
talking, participating, sharing,
networking, and bookmarking
online
© 2012 IBM Corporation

22. IBM Social Business
22
© 2012 IBM Corporation

23. IBM Social Business
The more you “sell” the less you sell. You earn
23 the right to promote in social, you can’t buy it.
© 2012 IBM Corporation

24. IBM Social Business
24
© 2012 IBM Corporation

25. IBM Social Business
“you miss 100% of the shots you don’t take”
25
© 2012 IBM Corporation

26. IBM Social Business
26
© 2012 IBM Corporation

27. IBM Social Business
#1 Define your personal brand
“Your personal brand is composed of values, a
mission, and a positioning statement that depict
what you do and who your audience is. It is an
indicator for how valuable you are to employers
and customers at every stage of your career”
Dan Schawbel, PersonalBrandingBlog.com
© 2012 IBM Corporation

28. IBM Social Business
#2 Look Great on LinkedIn
1.Open your profile to full view
2.Add links to other web
properties
3.Add your well written bio
4.Actively seek to connect with
people
© 2012 IBM Corporation

29. IBM Social Business
#3 Share ideas through Microblogging
© 2012 IBM Corporation

30. IBM Social Business
#4 Blog – on someone else’s blog
© 2012 IBM Corporation

31. IBM Social Business
#5 Establish your own web property
Set up a Twitter account
Launch a traditional blog
Share videos on YouTube
Share slides on SlideShare
etc.
© 2012 IBM Corporation

32. IBM Social Business
Get started today!
1. Define your personal brand
2. Build up your LinkedIn Profile
3. Use LinkedIn to share ideas and links to content you find
useful
4. Look for opportunities to comment on blogs and volunteer to
write a guest post
5. If you want to establish a Twitter account or blog, take time
to plan first
© 2012 IBM Corporation

33. IBM Social Business
Thank You & Questions
© 2012 IBM Corporation