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What Is A Social Business?

Michael Brenner
Sr. Director, Integrated Marketing
November 2011
About SAP
We Help Organizations Do What They Do...Better




© 2011 SAP AG. All rights reserved.              Confidential   2
SAP Mission
Make every customer a Best Run Business


                                          109,000
                                          customers

                                          120
                                          countries

                                          55,000
                                          employees


                                          $17 Billion
                                          revenue


© 2011 SAP AG. All rights reserved.                   Confidential   3
Marketing is Hard!




© 2011 SAP AG. All rights reserved.   Confidential   4
Age 3




© 2011 SAP AG. All rights reserved.   Confidential   5
Age 21




© 2011 SAP AG. All rights reserved.   Confidential   6
Everything is Online
 Business is Personal




“Buyers don’t want to be an object of a sale . . .

. . . but rather the subject of an experience. “

                                        ~Paul Greenberg



  © 2011 SAP AG. All rights reserved.                     Confidential   7
YOU Are the Future of Marketing


  Forrester CMO Mandate: Adapt or Perish:
  “Three out of four CMOs plan to revamp their organizations for the digital age by the end of
  2011. The reason? Their initial efforts to create digital departments and outsource digital
  capabilities have left their organization in a state of disarray. . .
  To truly transform the marketing department into a more agile and innovative
  organization, CMOs must adopt these habits:
  1)     Accept change
  2)     Dare the status quo
  3)     Act continuously
  4)     Participate personally
  5)     Tear down boundaries
  Leaders of Adaptive Marketing organizations will grow their business faster, build stronger
  brands, and create a competitive advantage in both the short term and the long term.”



© 2011 SAP AG. All rights reserved.                                               Confidential   8
Business Has Become More Personal
Or Maybe Not So Socially Savvy?



                                       Connor Riley

                                       ”Cisco just offered me
                                       a job. Now I have to
                                       weigh the utility of a
                                       fatty paycheck against
                                       the daily commute to
                                       San Jose and hating
                                       the work”



 © 2011 SAP AG. All rights reserved.                    Confidential   9
“Social Networks have existed for as long as we have.”
 ~ Paul Adams, Google: The Real Life Social Network
The Scream explained by Paul Wineguy
~ Paul Adams, Google: The Real Life Social Network
“Social networking is a means to an end. You need to
understand what the end is.”
                             ~ Paul Adams, Google: The Real Life Social Network
Technology Adoption
Mobile is HOT!




© 2011 SAP AG. All rights reserved.   Confidential   14
The Power of Social Media:
 They Find You
 2/3 of the country is on “Do NOT Call” list



 57% of businesses have acquired a
customer through their blog



 41% of B2B companies have acquired a
customer through Facebook



 Company websites with a blog get 55%
more visitors



 Inbound marketing leads cost 62% less
than outbound

                                                Center for Marketing Research at the University of Massachusetts

  © 2011 SAP AG. All rights reserved.                                                      Confidential      15
Most Marketers Are (Still) Behind

     “A powerful global conversation has begun. Through the
Internet, people are discovering and inventing new ways to share relevant
knowledge with blinding speed. As a direct result, markets are getting
smarter—and getting smarter faster than most companies.”
                                       ~ Levine, Locke, Searls and Weinberger in The Cluetrain Manifesto




                         Center for Marketing Research at the University of Massachusetts

 © 2011 SAP AG. All rights reserved.                                                                       Confidential   16
The Goal: (Define Your Goal) Revenue!




“Web visitors from social sites convert at 59% higher
rates to sales”
                                      ~ MarketingSherpa Search Marketing Benchmark Survey
© 2011 SAP AG. All rights reserved.                                           Confidential   17
Social Media As A Platform For Change




“Conventional marketing wisdom long held that a dissatisfied
customer tells ten people. But…in the new age of social
media, he or she has the tools to tell ten million.”
~ Paul Gillin, author of The New Influencers




  © 2011 SAP AG. All rights reserved.                  Confidential   18
Social Media Marketing
 What It Isn’t & What It Is

Think more Social…
… less Media …or Marketing




 © 2011 SAP AG. All rights reserved.   Confidential   19
8 Steps To Play The Social Game


1.          Define Goals / Metrics

2.          Find Your Buyers

3.          Define Influences (-ers)

4.          Map The Org. Model

5.          Set up Your Channels

6.          Content / Context Strategy

7.          Engagement Model

8.          Enablement Plan



      “Throw Away The Rulebook”
                                           ~ Dana Anderson, SVP Marcom Kraft
     © 2011 SAP AG. All rights reserved.                        Confidential   20
Chart used with permission. For a copy, go to:
http://socialbmr11.marketingsherpa.com/


 © 2011 SAP AG. All rights reserved.             Confidential   21
Social Networking
 Changing The Dynamics Of Business

                                        SALES                              Social isn’t just a new way of
                                        Social

                COMMS
                 Social
                                        Selling
                                                           HR
                                                                           Marketing…
                                                          Social
                 Public
                                                         Recruiting
                Relations

                                                                           It’s a new way of

         CHANNEL
                                                                           Doing Business
                                                               BUYING
           Social                                               Social
         Ecosystem                                           Procurement

                                                                           It’s a new way of
                           MKTG
                                                    COO
                                                   Social
                                                                           Working
                           Social
                                                  Customer
                          Marketing
                                                   Service




Social media is not an interruption but a distraction
medium!
  © 2011 SAP AG. All rights reserved.                                                              Confidential   22
8 (Random) Closing Thoughts


We live in a mobile-enabled, socially connected, real-time world. Where we all
have entrusted our friends, photos, music and resumes to the cloud.

Businesses cannot respond fast enough. The goal of the digital marketer is to
drive employee-enabled real-time social business.

Audience-first in everything!

Provide policy but not too much governance

Disclosure and crisis response is important

Reward positive behavior publicly

Promote the expression of your diversity

Be Human and encourage real story telling



© 2011 SAP AG. All rights reserved.                                Confidential   23
Thank You!
More charts in the appendix…

                                       Email:
                                       michael.brenner@sap.com

                                       Marketing Blog:
                                       B2BMarketingInsider.com

                                       Social News Site:
                                       Business2Community.com

                                       Twitter:
                                       @brennermichael




 © 2011 SAP AG. All rights reserved.                     Confidential   24
It‟s not about the technologies…
It‟s about the relationships




                  It’s Not About The Technology…It’s About the Relationships
 © 2011 SAP AG. All rights reserved.                                     Confidential   25
5 Steps to Executive Buy-in

1.        Show Them The World Has
          Changed

2.        Show Them The Money

3.        Answer The Hard Questions

4.        Present a Strategy

5.        Get Them Involved




     © 2011 SAP AG. All rights reserved.   Confidential   26
SAP Social Media Guidelines for Employees


  Identify yourself
  Be Honest
  Be Respectful
  Separate Opinions from Facts
  Add Value
  Be Engaged and Be Informed
  Aim for Quality, not Quantity
  Don't Pick Fights
  Protect Your Privacy
  How to Handle Media Inquiries
  Legal Considerations
  Social Computing and Your Primary Role



© 2011 SAP AG. All rights reserved.         Confidential   27
The Goal: Sales. Experience. Equity.



               “             What are the
                             best CRM
                             products for a
                             law firm?”
                                              “   My suggestion is
                                                  OnDemand
                                                  solutions:”




© 2011 SAP AG. All rights reserved.                           Confidential   28
Social Disasters




 Sept „04:        June „05:           Aug „05:   Apr 06:    Feb „07:   Apr „08:   Apr „09:   July „09:     June ‟10:
Kryptonite         L‟Oreal              Dell     Chevy     Taco Bell    Dove      Domino‟s   United           BP



© 2011 SAP AG. All rights reserved.                                                               Confidential    29
Social Media Triage
                                                                                                                        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?




       No                                 Yes                               Unhappy       Yes   Are the facts   No     Gently correct the
    Response                                                               Customer?              correct?                   facts

                                                                               No

                Yes           Can you add        No                         Dedicated     Yes   Are the facts   No
                                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.
                                                                                                                No

                                                                           Yes
This framework was built using the USAF Blog Triage.                                                                   Let post stand and
                                                                                                                            monitor.

    © 2011 SAP AG. All rights reserved.                                                                                 Confidential        30
Everybody‟s on Facebook!
And Google … and YouTube …




© 2011 SAP AG. All rights reserved.   Confidential   31
Email Isn‟t Dead!
Tied with Search for most popular online activity




© 2011 SAP AG. All rights reserved.                 Confidential   32
Email Isn‟t Dead!
#1 Method for sharing online content




While many have hailed the death of email marketing, email remains one of
the most effective marketing techniques primarily because it is still the
primary way people share information.

© 2011 SAP AG. All rights reserved.                              Confidential   33
YouTube:
The 2nd Largest Search Engine




© 2011 SAP AG. All rights reserved.   Confidential   34

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What is social

  • 1. What Is A Social Business? Michael Brenner Sr. Director, Integrated Marketing November 2011
  • 2. About SAP We Help Organizations Do What They Do...Better © 2011 SAP AG. All rights reserved. Confidential 2
  • 3. SAP Mission Make every customer a Best Run Business 109,000 customers 120 countries 55,000 employees $17 Billion revenue © 2011 SAP AG. All rights reserved. Confidential 3
  • 4. Marketing is Hard! © 2011 SAP AG. All rights reserved. Confidential 4
  • 5. Age 3 © 2011 SAP AG. All rights reserved. Confidential 5
  • 6. Age 21 © 2011 SAP AG. All rights reserved. Confidential 6
  • 7. Everything is Online Business is Personal “Buyers don’t want to be an object of a sale . . . . . . but rather the subject of an experience. “ ~Paul Greenberg © 2011 SAP AG. All rights reserved. Confidential 7
  • 8. YOU Are the Future of Marketing Forrester CMO Mandate: Adapt or Perish: “Three out of four CMOs plan to revamp their organizations for the digital age by the end of 2011. The reason? Their initial efforts to create digital departments and outsource digital capabilities have left their organization in a state of disarray. . . To truly transform the marketing department into a more agile and innovative organization, CMOs must adopt these habits: 1) Accept change 2) Dare the status quo 3) Act continuously 4) Participate personally 5) Tear down boundaries Leaders of Adaptive Marketing organizations will grow their business faster, build stronger brands, and create a competitive advantage in both the short term and the long term.” © 2011 SAP AG. All rights reserved. Confidential 8
  • 9. Business Has Become More Personal Or Maybe Not So Socially Savvy? Connor Riley ”Cisco just offered me a job. Now I have to weigh the utility of a fatty paycheck against the daily commute to San Jose and hating the work” © 2011 SAP AG. All rights reserved. Confidential 9
  • 10. “Social Networks have existed for as long as we have.” ~ Paul Adams, Google: The Real Life Social Network
  • 11. The Scream explained by Paul Wineguy
  • 12. ~ Paul Adams, Google: The Real Life Social Network
  • 13. “Social networking is a means to an end. You need to understand what the end is.” ~ Paul Adams, Google: The Real Life Social Network
  • 14. Technology Adoption Mobile is HOT! © 2011 SAP AG. All rights reserved. Confidential 14
  • 15. The Power of Social Media: They Find You  2/3 of the country is on “Do NOT Call” list  57% of businesses have acquired a customer through their blog  41% of B2B companies have acquired a customer through Facebook  Company websites with a blog get 55% more visitors  Inbound marketing leads cost 62% less than outbound Center for Marketing Research at the University of Massachusetts © 2011 SAP AG. All rights reserved. Confidential 15
  • 16. Most Marketers Are (Still) Behind “A powerful global conversation has begun. Through the Internet, people are discovering and inventing new ways to share relevant knowledge with blinding speed. As a direct result, markets are getting smarter—and getting smarter faster than most companies.” ~ Levine, Locke, Searls and Weinberger in The Cluetrain Manifesto Center for Marketing Research at the University of Massachusetts © 2011 SAP AG. All rights reserved. Confidential 16
  • 17. The Goal: (Define Your Goal) Revenue! “Web visitors from social sites convert at 59% higher rates to sales” ~ MarketingSherpa Search Marketing Benchmark Survey © 2011 SAP AG. All rights reserved. Confidential 17
  • 18. Social Media As A Platform For Change “Conventional marketing wisdom long held that a dissatisfied customer tells ten people. But…in the new age of social media, he or she has the tools to tell ten million.” ~ Paul Gillin, author of The New Influencers © 2011 SAP AG. All rights reserved. Confidential 18
  • 19. Social Media Marketing What It Isn’t & What It Is Think more Social… … less Media …or Marketing © 2011 SAP AG. All rights reserved. Confidential 19
  • 20. 8 Steps To Play The Social Game 1. Define Goals / Metrics 2. Find Your Buyers 3. Define Influences (-ers) 4. Map The Org. Model 5. Set up Your Channels 6. Content / Context Strategy 7. Engagement Model 8. Enablement Plan “Throw Away The Rulebook” ~ Dana Anderson, SVP Marcom Kraft © 2011 SAP AG. All rights reserved. Confidential 20
  • 21. Chart used with permission. For a copy, go to: http://socialbmr11.marketingsherpa.com/ © 2011 SAP AG. All rights reserved. Confidential 21
  • 22. Social Networking Changing The Dynamics Of Business SALES Social isn’t just a new way of Social COMMS Social Selling HR Marketing… Social Public Recruiting Relations It’s a new way of CHANNEL Doing Business BUYING Social Social Ecosystem Procurement It’s a new way of MKTG COO Social Working Social Customer Marketing Service Social media is not an interruption but a distraction medium! © 2011 SAP AG. All rights reserved. Confidential 22
  • 23. 8 (Random) Closing Thoughts We live in a mobile-enabled, socially connected, real-time world. Where we all have entrusted our friends, photos, music and resumes to the cloud. Businesses cannot respond fast enough. The goal of the digital marketer is to drive employee-enabled real-time social business. Audience-first in everything! Provide policy but not too much governance Disclosure and crisis response is important Reward positive behavior publicly Promote the expression of your diversity Be Human and encourage real story telling © 2011 SAP AG. All rights reserved. Confidential 23
  • 24. Thank You! More charts in the appendix… Email: michael.brenner@sap.com Marketing Blog: B2BMarketingInsider.com Social News Site: Business2Community.com Twitter: @brennermichael © 2011 SAP AG. All rights reserved. Confidential 24
  • 25. It‟s not about the technologies… It‟s about the relationships It’s Not About The Technology…It’s About the Relationships © 2011 SAP AG. All rights reserved. Confidential 25
  • 26. 5 Steps to Executive Buy-in 1. Show Them The World Has Changed 2. Show Them The Money 3. Answer The Hard Questions 4. Present a Strategy 5. Get Them Involved © 2011 SAP AG. All rights reserved. Confidential 26
  • 27. SAP Social Media Guidelines for Employees Identify yourself Be Honest Be Respectful Separate Opinions from Facts Add Value Be Engaged and Be Informed Aim for Quality, not Quantity Don't Pick Fights Protect Your Privacy How to Handle Media Inquiries Legal Considerations Social Computing and Your Primary Role © 2011 SAP AG. All rights reserved. Confidential 27
  • 28. The Goal: Sales. Experience. Equity. “ What are the best CRM products for a law firm?” “ My suggestion is OnDemand solutions:” © 2011 SAP AG. All rights reserved. Confidential 28
  • 29. Social Disasters Sept „04: June „05: Aug „05: Apr 06: Feb „07: Apr „08: Apr „09: July „09: June ‟10: Kryptonite L‟Oreal Dell Chevy Taco Bell Dove Domino‟s United BP © 2011 SAP AG. All rights reserved. Confidential 29
  • 30. Social Media Triage 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? No Yes Unhappy Yes Are the facts No Gently correct the Response Customer? correct? facts No Yes Can you add No Dedicated Yes Are the facts No 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. No Yes This framework was built using the USAF Blog Triage. Let post stand and monitor. © 2011 SAP AG. All rights reserved. Confidential 30
  • 31. Everybody‟s on Facebook! And Google … and YouTube … © 2011 SAP AG. All rights reserved. Confidential 31
  • 32. Email Isn‟t Dead! Tied with Search for most popular online activity © 2011 SAP AG. All rights reserved. Confidential 32
  • 33. Email Isn‟t Dead! #1 Method for sharing online content While many have hailed the death of email marketing, email remains one of the most effective marketing techniques primarily because it is still the primary way people share information. © 2011 SAP AG. All rights reserved. Confidential 33
  • 34. YouTube: The 2nd Largest Search Engine © 2011 SAP AG. All rights reserved. Confidential 34

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