The Game  Has Changed: Engaging Partners  through Communities  in the New Normal Melissa Fruend VP – Channel Loyalty Solut...
What We’ll Cover Today <ul><li>The New Normal for Business </li></ul><ul><li>Channel must Change </li></ul><ul><li>Impact ...
Today’s business  environment demands a  deeper understanding  of people.  Proprietary and Confidential  © 2011 Maritz
Peter Drucker “ Businesses are social systems. All social systems are underpinned with   assumptions   about human behavio...
Nitin Nohria Dean of Harvard Business School “ Society needs to reexamine our   fundamental assumptions about human nature...
The Channel Must Change One size fits all Organic Closed, Rational Predictable, Formulaic Dominate, Extract Value Open, Ra...
Neuroscience! Proprietary and Confidential  © 2011 Maritz
Proprietary and Confidential  © 2011 Maritz
Proprietary and Confidential  © 2011 Maritz
<ul><ul><li>People are  rational   and  emotional . </li></ul></ul><ul><ul><li>People are  individual   and   social . </l...
The Four-Drive Model Acquire Bond Defend Create Based on the work of Paul Lawrence & Nitin Nohria, Harvard Business School...
Reframe <ul><li>What makes a partner community meaningful? </li></ul>
Channel Partners are People FIRST <ul><li>Understand what makes them tick </li></ul><ul><li>One size doesn’t fit all  </li...
Proprietary and Confidential  © 2011 Maritz
Proprietary and Confidential  © 2011 Maritz
Community is an extension of Brand <ul><li>Know your brand values </li></ul><ul><li>Ripple effect </li></ul><ul><li>Collec...
Cult Loyalty True Loyalty Mercenary Loyalty  Inertia Loyalty
Rippling the Brand Proprietary and Confidential  © 2011 Maritz
Engagement/Enrichment <ul><li>Meaningful Content </li></ul><ul><li>Value beyond Product </li></ul><ul><li>Make it fun! </l...
Define what is meaningful + motivating   for  your  audience.
Proprietary and Confidential  © 2011 Maritz
Personalize the Experience
Creating a gold mine of content
Virtual vs. Face to Face <ul><li>The time and place for Virtual </li></ul><ul><li>The Case for Face to Face </li></ul><ul>...
Proprietary and Confidential  © 2011 Maritz
The Case for  Face-to-Face Proprietary and Confidential  © 2011 Maritz
Make it a “Go To” Place <ul><li>Elicit active participation </li></ul><ul><li>Increasing engagement </li></ul><ul><li>Soci...
ga∙mi∙fi∙ca∙tion   [gay-m uh -fi- kay -sh uh n] integrating game dynamics into your site, service, community, content or c...
<ul><li>Competition  </li></ul><ul><li>Status </li></ul><ul><li>Play  </li></ul><ul><li>Reward </li></ul><ul><li>Mastery <...
How Cool! Proprietary and Confidential  © 2011 Maritz
Fun?  What Fun? Proprietary and Confidential  © 2011 Maritz
Your  Thoughts? Proprietary and Confidential  © 2011 Maritz
Thank You! Melissa Fruend VP – Channel Loyalty Solution Leader [email_address] Mark Alt VP – Technology Market Leader [ema...
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The Game Has Changed: Engaging Partners through Communities in the New Normal

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In marketing and channel sales, vendors who connect with their partners in meaningful ways can foster stronger relationships that, in turn, drive business results. Vendors can encourage partner loyalty by better understanding their partners as people and use innovative engagement techniques in order to create a stronger “community” of trusted partners.

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  • The Game Has Changed. MIT Story. Society is leading the change. Seeing big shifts in what people want … from their work, from the companies they buy from and companies they associate with … and they are all talking to each other. The balance of power has shifted. My name is Melissa Fruend. I work for Maritz, a St. Louis-based organization that is focused on people solutions that address three important stakeholder groups … employees, channel partners, and customers. From a futures perspective, we navigate a 20-30 year shift where we let go of our industrial era ways of seeing things and hopefully lead out way into a new era … the innovation age … creative age … we don’t know exactly the name. It will take very different thinking and creativity. Which isn’t easy ….
  • Many great thinkers are telling us that times have and will continue to change quite dramatically. Peter Drucker The father of modern management Jim Collins, author of Built to Last and Good to Great, had a conversation with Peter Drucker asking, “why is that you are writing like a mad man in your 90’s.” Peter Drucker replied. “because everything has changed.” Peter Drucker’s books after 90 were all sending a message that business must change. We have an opportunity to think really differently about communities. We are in this environment where according almost every poll and measure, engagement scores are worse than ever…and we think that spills over to channel partners and their sales teams. Yes, the economy is improving, but no …employee engagement is not improving. Interesting. Maybe there is a different way that we need to look at this problem Henry Mintzberg sums up today’s challenge very well … read quote. Think different. Think of organizations as places of engagement … think of them as communities … think of creating social capital in addition to economic capital.
  • Nitin Nohria Recently appointed Dean of the Harvard Business School. This appointment is getting a lot of press. He is author of the four-drive model of human behavior and motivation, anchored in neuroscience. We will address the four-drive model more fully in just a minute.
  • Therefore, business must adapt. We have a sense of the shift, but may still be anchored in flawed assumptions about human behavior. The relationship between organizations and the people they engage is evolving rapidly. In today’s “New Normal,” people are drawn to businesses that meet their desire for … Transparency Trustworthiness Social/emotional connection Real value Greater meaning But some assumptions about human behavior remain rooted in the past and are flawed.
  • Neuroscience is the scientific study of the nervous system – particularly, how the brain reacts to external stimuli, studying there the use of fMRI imaging.
  • This is a huge topic right now -- Behavioral Economics and Neuroscience Channel needs to be paying attention to what it can teach us But the overall message -- our brains work far less rationally than we might assume
  • New neuroscience research indicates that the brain processes cues for social status in the same area believed to process monetary reward cues (striatum). The researchers say this provides evidence that our brains see social status as a reward, in the same way that cash is percieved as one. Essentially, the research shows that social status doesn’t just make us feel good, its experienced as a reward. - additionally, some evidence that they brain processes perceptions of the loss of status in the same areas that process emotional pain (the amygdala) Psychology and Behavior Science is based on theory. Neuroscience provides the scientific biological rigor which provides us with sound rationale. Surprise and delight—we “knew” it worked, but NS shows us that a chemical called dopamine is released. So much that you can lower the cost of the reward and still achieve the same effect.
  • We used to think emotions were like wild horses that needed to be reigned in by reason (Plato) Emotion and reason are interconnected There are two systems in the brain – the emotional system and the rational system A better metaphor is the elephant and rider which was created by Jonathon Haidt out of the University Virginia. He described emotions as being like an elephant; and reason being like the rider. When two disagree on direction, who do you think wins?
  • The drives are independent, but they interact constantly Are often in conflict Never completely fulfilled Choice is how we filter and balance the drives
  • We need to reframe the dilemma.
  • Perhaps the real problem, as Henry Mintzberg suggests, is how to create places of “true” engagement. And how do we look at this problem first from the perspective of the partners and their reps …. These communities … organization … Social value and economic value. Not an abstract concept. People who work for organizations with this dual focus become better people … they rise into their greater potential … which is fulfilling and meaningful … and they carry this home to their family and friends. There is a ripple effect that benefits society. If you have 100,000 employees, multiple that by 20 people in each employee’s network. You touch 2,000,000 people. It’s time to change the channel from a place to sell thru to a lifetime relationship…community is an enable of that relationship.
  • Understand what makes people tick Deep human insights Re-examine beliefs about human nature One size doesn’t fit all – meaning is personal Translate purpose and values into what is meaningful &amp; motivating to your people Unique experiences that create community/cultural bonds Genuinely see people as the center of strategy Make their lives better Serve people … be passionate about people Understand what is important to people Move past the relationship with the VAR and go direct to the person Definition of a community is people with a shared interest…but don’t stop there
  • Acknowledge their individuality; Find out what is important to them; Build the individual relationship first Corporate with individual Between the individuals Gather like individuals into community with shared values Examples: HON TBD?
  • Acknowledge their individuality; Find out what is important to them; Build the individual relationship first Corporate with individual Between the individuals Gather like individuals into community with shared values Examples: HON TBD?
  • Acknowledge their individuality; Find out what is important to them; Build the individual relationship first Corporate with individual Between the individuals Gather like individuals into community with shared values Examples: HON TBD?
  • Fortune 500 office furniture manufacturer Channel sales model One size fits all turned to personalized approach Corporate focus from dealers to reps Tiered approach to meet all skill/sales levels Introduction of game mechanics Survey info used to personalize content RESULTS: out of program sales decreased YOY by 11%; in program sales increased by 19.9% Program community engagement increased 17% YOY (metrics included website visits, sales, response to CTA etc.)
  • One size doesn’t fit all – meaning is personal Translate purpose and values into what is meaningful &amp; motivating to your people Unique experiences that create community/cultural bonds Genuinely see people as the center of strategy Make their lives better Serve people … be passionate about people Core values represented by the brand Build emotional connection to the partner
  • Why is this important to us? -True Loyalty is not a rational choice --it is inherently irrational we need to know and understand more, and design differently What will help us get there ?
  • One size doesn’t fit all – meaning is personal Translate purpose and values into what is meaningful &amp; motivating to your people Unique experiences that create community/cultural bonds Genuinely see people as the center of strategy Make their lives better Serve people … be passionate about people Core values represented by the brand Build emotional connection to the partner
  • But this is how your partners and their reps may react if you build communities based on what’s important to you
  • See these people as people. What is important to them? What will capture their attention? What will be meaningful and motivating to them? Translate corporate values into meaningful &amp; motivating experiences . This is increasingly important with: Multiple generations in the workforce People desiring greater meaning in their work
  • DELTEK Data driven community design Survey prior to event Helped structure content and level of participants NEEDS WORK
  • One size doesn’t fit all – meaning is personal Translate purpose and values into what is meaningful &amp; motivating to your people Unique experiences that create community/cultural bonds Genuinely see people as the center of strategy Make their lives better Serve people … be passionate about people Core values represented by the brand Build emotional connection to the partner
  • We find that many strategies and programs are designed to appeal to the executive or manager who designs the program. For example, if I was designing a program …. It would be a team challenge program focused on rewarding the best cross-functional team tackling big hairy innovation challenges for the company. And the top-performing team earns a top award which is a team trip to Big Sur California that includes evening yoga on the beach where team members can further bond and experience the beauty of the sunset.
  • BAPTIE Online community Offers frequent regional conferences Annual conference for networking and showcase of industry expertise Large software company needed to create immediate sales momentum for a new product 3 core objectives for a meeting: Expand audience reach past one city stand alone meeting Insure presentation of a consistent message by connecting product experts, senior management with key channel partners Make it memorable experience but keep it cost effective Satellite broadcast dinner event televised live TV in 21 cities Allowed for high impact product info delivery and opportunity for partners to network with local sales leadership and reseller partners Results: 10 fold increase in number of resellers participation 400% product knowledge increase 20% increase in brand belief 25% increase in product relevance
  • One size doesn’t fit all – meaning is personal Translate purpose and values into what is meaningful &amp; motivating to your people Unique experiences that create community/cultural bonds Genuinely see people as the center of strategy Make their lives better Serve people … be passionate about people Core values represented by the brand Build emotional connection to the partner
  • Gamification is one design approach to leverage the basics of neuroscience and the growing social gaming trend. -
  • Games are effective because game designers intuitively get all of this and don ’t hesitate to work with it - effective because they tap into our most primal response patterns Both psychological and physical The power of games to motivate and shape consumer behavior is well known. Video game designers are, in fact, so good at doing this that it&apos;s easy for people to spend hours and hours lost in game play. Tap into primal urges (competition, status, reward, achievement, prestige, social interaction, mastery, repetition) Tap into flow Often involve a strong “community” factor But the consumer instincts that game designers tap into are not leveraged very often by consumer marketers. Why not? Can&apos;t some of these game mechanics be used to motivate consumer behavior in other contexts? Aren&apos;t there opportunities beyond the world of the promotional contest? It ’s a good time to be asking these questions because…
  • The point … think and design through the lens of your audience … not you. Experiences create lasting impressions and positive emotional contagion … these experiences are both work and reward/recognition experiences. Any experience with heightened emotions … sticks in our memory … shapes our attitude … contributes to true engagement.
  • Cisco
  • Thank you!
  • The Game Has Changed: Engaging Partners through Communities in the New Normal

    1. 1. The Game Has Changed: Engaging Partners through Communities in the New Normal Melissa Fruend VP – Channel Loyalty Solution Leader Mark Alt VP – Technology Market Leader HR Summit March 30, 2011
    2. 2. What We’ll Cover Today <ul><li>The New Normal for Business </li></ul><ul><li>Channel must Change </li></ul><ul><li>Impact of Neuroscience </li></ul><ul><li>Reframing how we look at partners </li></ul><ul><li>5 Principles for Success in Communities </li></ul><ul><li>Putting It Into Practice </li></ul>
    3. 3. Today’s business environment demands a deeper understanding of people. Proprietary and Confidential © 2011 Maritz
    4. 4. Peter Drucker “ Businesses are social systems. All social systems are underpinned with assumptions about human behavior. The problem is many of our current assumptions are wrong or out-of-date.” Proprietary and Confidential © 2011 Maritz
    5. 5. Nitin Nohria Dean of Harvard Business School “ Society needs to reexamine our fundamental assumptions about human nature and what it takes to build sustainably healthy lives and organizations.” Proprietary and Confidential © 2011 Maritz
    6. 6. The Channel Must Change One size fits all Organic Closed, Rational Predictable, Formulaic Dominate, Extract Value Open, Rational and Emotional Anticipatory, Experiential Engaging, Creative Personal
    7. 7. Neuroscience! Proprietary and Confidential © 2011 Maritz
    8. 8. Proprietary and Confidential © 2011 Maritz
    9. 9.
    10. 10. Proprietary and Confidential © 2011 Maritz
    11. 11. <ul><ul><li>People are rational and emotional . </li></ul></ul><ul><ul><li>People are individual and social . </li></ul></ul><ul><ul><li>People are driven by multiple motivators . </li></ul></ul>
    12. 12. The Four-Drive Model Acquire Bond Defend Create Based on the work of Paul Lawrence & Nitin Nohria, Harvard Business School Choice
    13. 13.
    14. 14. Reframe <ul><li>What makes a partner community meaningful? </li></ul>
    15. 15. Channel Partners are People FIRST <ul><li>Understand what makes them tick </li></ul><ul><li>One size doesn’t fit all </li></ul><ul><li>Genuinely see partner as the center of community </li></ul>
    16. 16.
    17. 17.
    18. 18. Proprietary and Confidential © 2011 Maritz
    19. 19. Proprietary and Confidential © 2011 Maritz
    20. 20. Community is an extension of Brand <ul><li>Know your brand values </li></ul><ul><li>Ripple effect </li></ul><ul><li>Collective experience </li></ul>
    21. 21. Cult Loyalty True Loyalty Mercenary Loyalty Inertia Loyalty
    22. 22. Rippling the Brand Proprietary and Confidential © 2011 Maritz
    23. 23. Engagement/Enrichment <ul><li>Meaningful Content </li></ul><ul><li>Value beyond Product </li></ul><ul><li>Make it fun! </li></ul>
    24. 24. Define what is meaningful + motivating for your audience.
    25. 25. Proprietary and Confidential © 2011 Maritz
    26. 26. Personalize the Experience
    27. 27. Creating a gold mine of content
    28. 28. Virtual vs. Face to Face <ul><li>The time and place for Virtual </li></ul><ul><li>The Case for Face to Face </li></ul><ul><li>Connecting as HUMANS </li></ul>
    29. 29. Proprietary and Confidential © 2011 Maritz
    30. 30. The Case for Face-to-Face Proprietary and Confidential © 2011 Maritz
    31. 31. Make it a “Go To” Place <ul><li>Elicit active participation </li></ul><ul><li>Increasing engagement </li></ul><ul><li>Social aspects </li></ul>
    32. 32. ga∙mi∙fi∙ca∙tion [gay-m uh -fi- kay -sh uh n] integrating game dynamics into your site, service, community, content or campaign, in order to drive more participation and engagement. Rajat Paharia, Bunchball.com
    33. 33. <ul><li>Competition </li></ul><ul><li>Status </li></ul><ul><li>Play </li></ul><ul><li>Reward </li></ul><ul><li>Mastery </li></ul><ul><li>Goal Setting </li></ul>Game designers know what the brain likes … Proprietary and Confidential © 2011 Maritz
    34. 34. How Cool! Proprietary and Confidential © 2011 Maritz
    35. 35. Fun? What Fun? Proprietary and Confidential © 2011 Maritz
    36. 36. Your Thoughts? Proprietary and Confidential © 2011 Maritz
    37. 37. Thank You! Melissa Fruend VP – Channel Loyalty Solution Leader [email_address] Mark Alt VP – Technology Market Leader [email_address]

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