The Next Generation of Business Engagement

1. Social Media Marketing
The Next Generation of Business Engagement
Dave Evans
December 16th, Orange County
45

2. The Business of Social Media
Social Business
• Social Components
• Collaboration Work Society
• Real-time Updates
• Tags and Filters Technology
Copyright, 2009 Dachis Group
Social Business Design is the intentional creation of dynamic and
socially calibrated systems, process, and culture. Its goal is helping
organizations improve value exchange among constituents.
-- Peter Kim, Dachis Group
http://www.beingpeterkim.com/2009/10/social-business-design-definition.html

3. Social Business: Indium
• Thought Leadership Blog
– Platform: Blog
– Marketing Cost Reduction
– 25% Savings on Tradeshows
“[Being a Thought Leader] is being
considered the best, most
authoritative, trusted source. It means
being the organization that others
MUST HAVE involved with a project.
And it all leads to increased
sales, profits, and image or it simply
didn’t matter.”
-- Rick Short, Indium

4. Social Business: Amex
• Customer Community
– Platform: Oracle
– +1 million monthly unique
visitors
“The legal department can be helpful. We
involve them early and often. When
anything is new, questions are asked.”
--Jason Rudman, AMEX Open Forum
http://www.openforum.com/

5. Social Business: Ford
• Supplier Portal
– Platform: Covisint
– Facilitates business partner
and supplier collaoration
“The Ford Supplier Portal allows Ford and its suppliers to
share information in a secure environment…”

6. Social Business: Coke
• Social Activity
– Platform: Social Networks
– Create participative activities
– Eliminate use of microsites
– Replace with social sites

7. Social Business: Cisco
• Created by Cisco for
networking professionals
who work with Cisco
technology:
– More than 200,000+
registered members
– Provides learning
resources, job openings
and networking for
members
https://learningnetwork.cisco.com

8. SOCIAL MEDIA
IN BUSINESS
40

9. The Purchase Funnel
be aware
consider
buy
brand awareness keyword
relative media spending

10. The Feedback Cycle
marketer-generated consumer-generated
(Think “funnel”) (Think “megaphone”)
be aware talk
consider form opinion
buy use
word-of-mouth
Social content, networks, and interactions
brand awareness keyword
relative media spending

11. The Old Organization
Operations Marketing
X
Departmental segregation – aka “silos.”

12. The New Organization
Operations Marketing
The challenges that CMOs are tasked with are often more
operational than “marketing.” This has direct impact on the
design of a social media and social business program.

13. Case: Home Depot
• Home Depot
– CMO Turnover
• What Drives Traffic?
– It’s in stock
– I can find it
– The Associates
The “marketing” results (e.g., traffic and sales) at Home Depot
are as much the result of Operations decisions as Marketing.

14. Mary Beth Kemp/ Forrester
• Playing to Wrong Tune
• Connect the Dots
• Disparate to Holistic
• Prepare for Innovation
“Take the reins of the brand experience and ensure that all
of the touch points in the company -- operations, retail, sales
teams, the call center -- adhere to and promote that brand
experience consistently.”

15. Case: Brooklyn Museum
TV and
Radio Magazines
Integrated Social
Media
Campaigns
Direct
Online Mail
Advertising
http://www.brooklynmuseum.org

16. ENGAGEMENT AND
COLLABORATION
35

17. Advertiser Engagement
+ =

18. Customer Engagement

19. Fan Engagement

20. Redefining Engagement
• More than consumption Evangelization
Purchase
• Starts with curation
Trial
• Creation is part of it Collaboration
• Collaboration defines it. Creation
Curation
Consumption

21. Markets are Conversations
marketer-generated consumer-generated
(Think “funnel”) (Think “megaphone”)
word-of-mouth

22. Example: Boingo/ Support
• Twitter is a Customer Support Channel.
Service process combines telephone and Twitter-based
resources; the result is public credit to Boingo for resolution.

23. Case: Starbucks
• Business Objectives:
– Brand Recovery
• Approach Used:
– Ideation, Re-orientation
• What Was Done:
– “Stopped the Line”
– My Starbucks Idea
• Results vs. Objectives
– 100 innovations since 2008
“This is not about training. This is about the love and compassion and
commitment that we all need to have for the customer.”
--Howard Schultz, Founder, CEO, Starbucks

24. Case: Starbucks
Since 2008, Starbucks
has implemented 100
“My Ideas” innovations

25. Case: Threadless
• Business Objectives:
– “New” T-shirt Business
• Approach Used:
– Customer Contests
• What Was Done:
– Customer Curation
• Results vs. Objectives
– Customer-driven design
builds direct product
value
– Profitable online
business since launch
about ten years ago.

26. Case: The Good Guide
• Lifestyles, Causes, Pas
sions:
• How do you connect at
a deep level and build
life-time ambassadors?
• How does your brand
understand and
participate in these
platforms?

27. Case: Dell
• Customer Support
– Customers stood up
for DELL
– DELL connected with
customers, created
tools to drive
advocacy;
– Built on Lithium
Technologies
discussion forums
platform, Dell
Support reduced
costs and improved
support experience.

28. Case: Dell
• IdeaStorm
– Solicits ideas
directly from
customers.

29. Case: Dell
• Employee Storm
– Employee community
that facilitates
collaboration and
response to customer
issues

30. Case: Dell
• Customer
Communities
– Built around lifestyle of
“mobile”
– Indirectly promotes Dell
hardware.
– Built around lifestyle of
small biz owners, rather
than Dell.
– Operated by Dell Small
Biz team.

31. Case: Dell
• SMB Business Page
– Facebook Social
Media for Small
Business: Conveys
what DELL has learnt
to its Small Business
customers.
– Connects to DELL’s
Slideshare and related
content.

32. Case: Dell
• Dell “Go Green”
– Consumer generated
content contest where
consumers submit ideas
to redesign, reuse of
recycle hardware.
http://dellgogreen.com

33. Case: Dell
• SMB Twitter
– +5 million followers
– +$3,000,000 sales
Dell Outlet
– +$5,000,000 sales
Dell Small Biz Offers

34. Case: Dell
• Employee
Collaboration
– Platform:
Lithium
– Complements
Idea Storm
“Employee Storm has generated
2,700 ideas and seen visits from
22% of Dell's employees.”
Josh Bernoff, Forrester Research

35. Case: Dell
• Business Objectives:
– Customer Innovation
• Approach Used:
– Ideation
• What Was Done:
– IdeaStorm
• Results vs. Objectives
• Linux preinstalled
(Promoted on Digg)
• Extension: Knowledge
shared with SMB via
Facebook

36. Case: Nokia
• Nokia Ideas:
– Direct solicitation of new ideas
– Sponsorship of interns/fellows
– Ongoing innovation program

37. BUILDING A
SOCIAL BUSINESS
20

38. Active Listening
• Raw Data
– Google Alerts
• Conversational Data
– Alterian SM2
– Netbase
– Radian6
– BlogPulse
– Cymfony
– Collective Intellect
• Diagnostic Data
– Net Promoter Score

39. Active Listening: Responding Take reasonable
action to fix issue
and let customer
know action taken
Positive Negative
Yes Yes
No Assess the
Does customer
Do you want Evaluate the
need/deserve more
to respond? message purpose
info?
Yes Yes Are the No
Unhappy Gently correct the
No Response facts
Customer? facts
correct?
No
Yes No Yes Are the No
Can you add Dedicated
facts
value? Complainer?
correct?
No Yes
Is the Explain what is being
Respond in Thank the Comedian Yes
problem done to correct the
kind & share person Want-to-Be?
being fixed? issue
Source: USAF, modified by Altimeter Group Yes No
Let post
stand and
monitor

40. Active Listening: Tracking
• BudURL: Track
shortened URLs
across Social Web
• Infinigraph: Track
all the way through
to conversion
• Buzzstream:
Identify and
connect with
influencers

41. Case: The Network Hub

42. Active Listening: Reacting
• Look for the little things
that matter to your
customers
• Do them well
• These are the things
they’ll talk about.

43. Case: Domino’s
• Rebuilt their Pizza
• Re-visited “holdouts”
• Used the video as the
basis for campaign

44. Building Your Team
• Brand management on
the social web means
collaboration with
customers:
– Legal issues
– Operations issues
– Supply Chain
– More…
• Social technology
necessarily involves
the entire business.

45. Transparency and Disclosure
• Belkin
• Prowler
• Walmart
• DELL

46. Social Computing Policies
• Who can post
• What is off
limits
• Process for
disclosure
http://www.ibm.com/blogs/zz/en/guidelines.html

47. SUMMARY
BEST PRACTICES
5

48. Tips and Best Practices
• Listen, Respond
• Encourage Collaboration
• Measure Everything
• (Don’t) Ignore Change
• (Don’t) Use Social Media Alone
• Build a Team
– Customers
– Employees
– Partners and Suppliers
• Implement Policies
• Practice Transparency

49. THANK YOU
Questions and Answers
0