Lithium, AAA, Verizon and David Armano of Edelman Digital on how to turn customer likes into customer loves.

1. Building a Brand Nation
September 22, 2011
Katy Keim
Chief Marketing Officer, Lithium
@katykeim
Washington DC We’re Tweeting! Join
the conversation at #L2LTour

2. breakfast
networking
information
2

3. context
possibilities
next steps
3

4. why likes to loves?
@katykeim #L2LTour 4

5. transformation
@katykeim #L2LTour 5

6. to
@katykeim #L2LTour 6

7. reinventing the
telecom company
@katykeim #L2LTour 7

8. the change in the customer
fan “I acknowledge you”
engaged “I want something from you”
advocate “I act for me and for you”
superfan “I belong because of you”
@katykeim #L2LTour

9. @katykeim #L2LTour 9

10. @katykeim #L2LTour 12

11. the change in the business
Passionate,
engaged social
customers Your Brand
who love you, Nation
not like you
@katykeim #L2LTour 13

12. we build brand nations
vibrant online communities full of passionate, engaged social customers
@katykeim #L2LTour 14

13. @katykeim #L2LTour 15

14. David Armano Kim Snedaker Rebecca Carroll
EVP, Global Innovation Social Media Manager Community Manager
& Integration
@katykeim #L2LTour 17

15. Building a Brand Nation
September 22, 2011
David Armano
EVP, Global Innovation & Integration
Edelman
@armano
Washington DC We’re Tweeting! Join
the conversation at #L2LTour

16. SOCIAL MEDIA FOR BUSINESS
DAVID ARMANO
EVP, INNOVATION & INTEGRATION | EDELMAN DIGITAL

18. THE WORLD HAS CHANGED
(AGAIN)

19. IN A CONNECTED WORLD, PARTICIPATION TRUMPS BROADCASTING
According to Former Google CEO Eric Schmidt, each day netizens around
the globe pump out a deluge of digital content that's equal to all
information that existed in either digital or analog form prior to 2003.
22

20. CUSTOMERS ARE ADVOCATES
“For brands today in this fragmented world getting us, as multifaceted
people, to take action and engage is one of the biggest challenges
marketers face”
~Christina Smedley, Edelman Global Chair Consumer Marketing
23

21. EMPLOYEES ARE AMBASSADORS
“To succeed with empowered customers, you must empower
your employees to solve customer problems”
~Josh Bernoff, Forrester Analyst & Author of Empowered
24

22. INFORMATION HAS BEEN UNLEASHED
“For the first time, this year’s Trust Barometer shows that trust and
transparency are as important to corporate reputation as the quality of
products and services”
~2010 Edelman Trust Barometer
25

23. MEDIA HAS CHANGED
“It‘s estimated that the combined installed base of smartphones and
browser-equipped enhanced phones will surpass 1.82 billion units by
2013, eclipsing the total of 1.78 billion PCs by then.”
~eMarketer, Getting To Know The Mobile Population
26

24. MEDIA & DIGITAL
“CLOVERLEAF”

25. Mainstream
Regulators
Consumers
Creative Shareholders
Concept
Message
Employees
Vendors

26. Traditional Hybrid
SEARCH
Owned Social

27. DIGITAL
PROPERTIES
WEBSITES
CUSTOM BUILT PORTALS
INTERNAL/ENTERPRISE
OWNED
properties
EARNED
media
30

28. DIGITAL RICH MEDIA CONTENT
PROPERTIES ADVERTISING
BANNERS
WEBSITES
DISPLAY
CUSTOM BUILT PORTALS
PAID
INTERNAL/ENTERPRISE
ENDORSEMENTS
OWNED PAID
properties media
31

29. DIGITAL RICH MEDIA CONTENT
PROPERTIES ADVERTISING
BANNERS
WEBSITES
DISPLAY
CUSTOM BUILT PORTALS
PAID
INTERNAL/ENTERPRISE
ENDORSEMENTS
OWNED PAID
properties media
PARTNERSHIPS
INFLUENCER NETWORKS
BRANDED ENTERTAINMENT
NICHE PLATFORMS
EARNED
media
32

30. DIGITAL RICH MEDIA CONTENT
PROPERTIES ADVERTISING
BANNERS
WEBSITES
DISPLAY
CUSTOM BUILT PORTALS
PAID
INTERNAL/ENTERPRISE
ENDORSEMENTS
OWNED PAID
EMBASSIES properties media
PARTNERSHIPS
INFLUENCER NETWORKS
BRANDED ENTERTAINMENT
NICHE PLATFORMS
SOCIAL EARNED
OUTPOSTS platforms media
RELEVANT MESSAGE BOARDS Source:
Edelman 2010, edelmandigital.com
BLOGOSPHERE
INFLUENCER ENGAGEMENT
33

31. DIGITAL RICH MEDIA CONTENT
PROPERTIES ADVERTISING
BANNERS
WEBSITES
DISPLAY
CUSTOM BUILT PORTALS
PAID
INTERNAL/ENTERPRISE
ENDORSEMENTS
OWNED PAID
EMBASSIES properties media
PARTNERSHIPS
INFLUENCER NETWORKS
BRANDED ENTERTAINMENT
NICHE PLATFORMS
SOCIAL EARNED
OUTPOSTS platforms media
RELEVANT MESSAGE BOARDS Social Engagement
BLOGOSPHERE Concentrated Here
SOCIAL INTERACTIONS IN THE OVERLAPS
INFLUENCER ENGAGEMENT
34

32. EMBASSIES, AMBASSADORS
& OUTPOSTS

33. EMBASSIES ARE YOUR HOME AWAY FROM HOME
Embassies are an
established presence
where interactions,
conversations and
participation are
facilitated by one or
more Ambassadors
of the brand or
organization who
manages them.
36

34. EMBASSIES NEED AMBASSADORS, OUTPOSTS REQUIRE ENVOYS
Envoys are employees,
agents or members of
the public who are
willingly dispatched to
“outposts”—properties
that are not owned or
controlled by the
business, brand or
organization.
37

35. COMMUNITY MANAGEMENT:
THE FRONT LINE

36. COMMUNITY MANAGMENT = HUMAN INTERACTION DESIGN
Community Management is the act
of engaging members of a specific
group in a participatory fashion.
Community Managers fall under the
“ambassador” category of the
organization, representing the brand
or business in a specific community
ecosystem.
Communities form around shared
interests and participants seek ~Suzanne Marlatt, Community Manager for
value from them. EdelmanDigital.com & Edelman Digital “embassies”
39

37. THE FIVE C’S OF COMMUNITY
40

38. BUSINESS AS USUAL?

39. INDUSTRIAL ERA BUSINESS IS STRUCTURED FOR EFFICIENCY
marketing public customer product
sales
relations service development
“To stand out in a commoditized market, companies must
understand what customers truly value. The only way to do that is to
break down the traditional, often entrenched, silos and unite
resources to focus directly on customer needs."
~Ranjay Gulati, Harvard Business Review
42

40. BUT THE NETWORK ECONOMY DOESN’T CARE
“E-patient” Dave deBronkart
“e-patients are empowered, engaged, equipped and enabled”
43

41. CHALLENGES
ORGANIZATIONS FACE

42. CHALLENGES: UNCLEAR OBJECTIVES, MEASUREMENT & ROI
45

43. CHALLENGES: UNDERPERFORMING SOCIAL INITIATIVES
46

44. CHALLENGES: UNDERPERFORMING SOCIAL INITIATIVES
Very few organizations
are here
Less experienced organizations here
More experienced
organizations here
47

45. CHALLENGES: MISALIGNED SKILLS & COMPETENCIES
marketing
48

46. CHALLENGES: LACK OF COORDINATION & INTEGRATION
marketing
49

47. CHALLENGES: CLOSED BUSINESS CULTURE
“A new organizational structure is required to accommodate and
benefit from the culture of sharing that social media has fueled over
the last four years. The information flow we all experience daily can
no longer be organized into neat org-chart silos."
~Charlene Li, Author of Open Leadership
50

48. BRANDS MUST BECOME
SOCIAL, OPEN & AGILE

49. A SOCIAL BRAND REQUIRES BECOMING A SOCIAL BUSINESS
Programs
Community Management
Marketing
Customer Service
Communications
Events
Campaigns
Advocacy
SOCIAL BRAND MEASURABLE OUTCOMES SOCIAL BUSINESS
(External) (Internal)
Source: David Armano,
Edelman 2011, edelmandigital.com
Training
Process
Organization Models
Employee Engagement
Policies & Guidelines
Knowledge Sharing
Culture
Infrastructure
52

50. SOCIAL BY DESIGN
Social business planning is the blueprint for the
transformation of an organization—bridging the external with
internal, resulting in a more connected way of doing
business and shared value for all stakeholders
53

51. WHY SHOULD A BUSINESS
BECOME “SOCIAL”?

52. CRISIS MANAGEMENT IS REAL TIME
55

53. EVERYONE IS AN ACTIVIST
56

54. CUSTOMERS MAKE YOUR COMPANY BETTER
57

55. BUSINESS EMBRACES RESPONSIBILITY
58

56. PUBLICS SEEK PURPOSE
“86 percent of global consumers believe that business needs to
place at least equal weight on society’s interests as on a business’
interests.”
~Edelman 2010 Good Purpose Study
59

57. THE PATH TO BECOMING
A SOCIAL BRAND
& BUSINESS

58. START WITH THE FOUR STAGES OF SOCIAL BUSINESS
Flying
Running Scaling,
Engaging, systematizing
Walking responding, and integrating
leveraging into all business
Leveraging functions.
employees.
platforms,
Crawling producing
Monitoring, content,
listening, participating
Establishing .
61
infrastructure.

59. BUILD A BRAND
AMBASSADOR
“ECO-SYSTEM”

60. 63

61. THANK YOU
@ARMANO | Edelmandigital.com

63. AAA: 100+ years of exploring new frontiers
‘don’t worry: this does have to do with social media’
kim snedaker social media director
lithium likes to loves tour #L2LTour september 22, 2011

64. 1900’s: AAA founded as a Nation of Automobolists. A small group fighting for crazy new things like
paved roads and street signs for this new invention….the automobile.

65. 1920’s: AAA established a Traffic Safety Department and founded the School Safety Patrol for
children.
Since 1950, AAA has documented hundreds of lives saved through this program.

66. 1950’s: AAA was a leading advocate in establishing the Highway Trust Fund which paves the way for
building the U.S. Interstate Highway System.
1970’s: During Arab oil embargo, AAA advises drivers on gasoline availability and prices.

67. 2000’s: AAA works for laws to relieve transportation congestion and launches campaigns to support
environmental issues and promote green technologies

68. 2007: The Social Media Explosion
 Our first vision & strategy documents defined Social Media as our next, new frontier
 Build on our heritage of what members join/renew for: roadside assistance, travel information &
discounts, and advocacy for driver & passenger safety

69. 2008-2009: One small step for a few AAA Clubs
A few large Clubs, like AAA Mid-Atlantic, led the way into the social space
Started conversations with Members: DrivewithAAA(2008) & TravelwithAAA (2009)
Assets: Mzinga-powered Online Community, Facebook, Twitter, Web/Social/Email integration

71. 2010-2011: Using new technology to optimize our social base camp
• Lithium became our platform provider, but most importantly, our partner in 2010
• Re-launched Online Community in December 2010 (Drive, Travel + Discounts & Dollars)
• Assets: Online Community, Facebook, Twitter, Live Twitter streams on Web & Community, ScoutLabs
Monitoring
http://history.nasa.gov

72. Our Community
content continues
our heritage of
providing
information and
resources to our
Members

77. • Community Profile
• 37% Tenure of 10+ years; 34% less than 2 years
• 11% Brand New Members
• 47% 2 Memberships on account; 52% have Auto Renewal
• 12% higher than non-community members
• 44% have MPI of 2; 33% MPI of 3
• 21% HH income $50-$70k; 15% $75-$100k; 13% $100-$125k
• 81% Married; 19% Single
• 51% No Children in HH; 49% Children in HH
• 87% Homeowners; 75% avg length of residence 5+ years
• 25% reside in MD; 25% in NJ; 25% in VA; 18% in PA; 5% in DE
• Age demographics mixed from 18-65+ (largest decile of 16% 65+)

78. “Houston, we have a problem.”
Obstacles & Challenges are of our own creation
AAA National bylaw that enforces digital boundaries for each Club
Majority of AAA Leadership & Stakeholders that think social is the latest sales channel
Majority of AAA Associates locked out of social media space during work hours

79. Where We’re Headed
• Move scores up our Social Roadmap in each of the 5 Social Strategy Categories
• Holding company of 10 Clubs, from West to East Coast with 12 Million Members, going into social
space together (shared Online Community Portal, exemption from National bylaw)
• 2011: Creating a Social Media Center of Excellence (Hub & Club Model)
• 2012: Unified Go to Market Strategy (to answer Lithium’s charge…what are you a Nation of?)
• Find a universe of people who Like Us (really really like us)
• Surprise and delight and motivate them from Likes to Loves
NASA Goddard Flickr

80. Lessons shared Kim Snedaker
Social Media Director, AAA Mid-Atlantic
 Pick social strategies that map to your brand and o.302.299.4443
business goals
c. 267.994.1820
 Define your brand nation
ksnedaker@aaamidatlantic.com
 Strategy before tools
 Find a partner, not just a platform provider facebook / twitter / LinkedIn: kimsnedaker
 Always Listen as basis for all other strategies aaa.com/community
 Integrate your social assets into every digital and ksquaredsocial.wordpress.com
print communication you have
 Remove your obstacles or don’t create them in
the first place
 Empower your employees to enrich your social
efforts
 Educate your leaders that social is about
awareness, conversation & engagement
(not just trying to sell stuff; no one cares)
 Giving your customers great experiences
 Be Relevant #LTLTour

81. Growing a Brand Nation -
and Measuring its Success

82. Becky Carroll
Community Program Manager, Verizon
Author, The Hidden Power of Your Customers: Four Keys to Growing Your
Business Through Existing Customers
@bcarroll7
Lithium Likes to Loves Tour
September 21, 2011

83. Verizon Overview
Verizon: IdeaExchange
 Verizon is a global leader in broadband, wireline, and
Verizon Community
Verizon Overview
wireless communications.
IdeaExchange
 Verizon Residential has America’s most advanced
fiber-optic network.
 Entertainment services
 Converged communications
 Information services
 Diverse workforce of over 196,000
 Consolidated revenues in 2010 of over $106 billion
Source: Verizon.com

84. Verizon: IdeaExchange
Social Media is not
a campaign.
It is a Relationship.

85. Expanding from Support
to Engagement
Verizon: IdeaExchange
Verizon Community
IdeaExchange
http://community.verizon.com
Launched: August 2008

86. Open Innovation:
Anyone, anywhere
Verizon: IdeaExchange
IdeaExchange
http://verizon.com/ideas
Launched: July 2010

87. Objectives
Verizon: IdeaExchange
 Identify new product and
service enhancement
opportunities
 Facilitate customer-driven
product/service enhancements
or new products/services
 Enhance Verizon brand as
establishing innovative ways to
engage with and serve
customers

88. Example:
FiOS TV
Verizon: IdeaExchange
 FiOS TV is Verizon Residential’s flagship
product, providing top-rated, high quality TV
viewing via our fiber optic network
 Includes our Interactive Media Guide (IMG)
 IMG 1.9
- New feature release
- Wanted to focus on customer requests

89. Collecting Customer Input
Verizon: IdeaExchange
Collaboration via social media tools
 Verizon Forums
 Verizon Idea Exchange
 Twitter via @FiOSTV
 Verizon FiOS Facebook page
 Forums Sneak Peek
Collaboration
Refinement
Co-Creation

90. FiOS TV IMG 1.9:
A Huge Success With Customers
Verizon: IdeaExchange
“Love the new
guide!:)”
“Wow.
Impressive.”
“I IMG 1.9.”
“Whoohoo. The guide
is finally in HD.”

91. Verizon Ideation Process
Leverages Social Media
Verizon: IdeaExchange
 We listen to customers
 We open our product development process
“85% of our latest release
has been suggested, or
refined by our customers.”

92. Measuring Success
Verizon: IdeaExchange
 Number of ideas submitted: 1700
 Number of ideas in progress: 250
 Number of ideas implemented: 31
Since launch…
 107% growth in comments
 403% growth in votes
 555% growth in visitors

93. Our Brand Nation
Verizon: Success Measures
Verizon: IdeaExchange
Support Engagement Insight
IdeaExchange
 Able to self-serve  Get closer to the Customer
 Look for issues (early  Insight to help take action
detection)  Connect with Verizon
 Customer retention  A place to be heard
 Be affiliated with the brand

94. Community
Verizon: IdeaExchange
IdeaExchange Call to Action:
Start by Listening

95. Next Step:
Go Deeper
Verizon: IdeaExchange
Verizon: Community
IdeaExchange
 Use tools to listen beyond your own
website
 Incorporate social media into your
strategies
 Co-opt your customers

96. the must haves in a brand nation
▪ engaging
▪ scalable
▪ everywhere
▪ measurable
@katykeim #L2LTour 99

97. engaging through interaction styles
forums ideas reviews
contests q&a videos
@katykeim #L2LTour
10

98. engaging through reputation & recognition
@katykeim #L2LTour 101

99. scalable through peer to peer
@katykeim #L2LTour 102

100. scalable through superfans’ influence
Aandms KachiWachi RealGeorgeW
Distinguished Trusted Contributor
Counsellor Logitech Legend
Member: 3/2010 Member: 2/2009
Member: 5/2006
2161 Kudos 322 Kudos
748 Kudos
9,369 Posts 4,527 Posts
45,136 Posts
378 Total Tags @katykeim #L2LTour
40 Total Tags 103

101. scalable through superfans’ influence
@katykeim #L2LTour 104

102. scalable through superfans’ influence
@katykeim #L2LTour
10

103. everywhere. where your customers are.
owned
community sites Facebook
mobile
& Twitter
enhancing the
in-Store experience
@katykeim #L2LTour
10

104. everywhere. definitely on facebook
@katykeim #L2LTour
10

105. measurable insights, engagement and response
@katykeim #L2LTour 108

106. Sometimes, love is
not enough.
10

107. Sometimes, love is
not enough.
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108. brand nations grow brand loyalty
@katykeim #L2LTour
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109. brand nations drive sales
@katykeim #L2LTour

110. brand nations reduce costs
@katykeim #L2LTour

111. brand nations accelerate ideas
@katykeim #L2LTour

112. next steps
1 today 2 this month 3 before Dec 1
3 months free
3 months free
let’s discuss your
let’s discuss your
meet customers
meet customers with a one year
with a one year
needs and brand
needs and brand
and view demos
and view demos subscription to
subscription to
report
report LevelUp or SMM
LevelUp or SMM
@katykeim #L2LTour
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