1. BUSINESSBLOGS.CO.NZ PRESENTS
Social Media for Small Business
A guide for small business owners who just want facts not HYPE
2. “A journey of a thousand miles begins with a single step.”
Confucius
3. S O C I A L M E D I A F O R S M A L L B U S I N E S S
About this Book
Everywhere you look people are writing about social media: newspapers, magazines,
bloggers, news channels, in-flight magazines, books and even your mum.
After reading a few of these articles you will notice the same key theme coming
through; if your business is not using social media then you are missing out on
massive opportunities.
I have created this eBook to help the small business owner make sense of social media
and clearly separate the parts of “social media” that could work for your business and
help you identify the mindless copycat ranting of people that call themselves “experts”
who do more damage than good.
This eBook comprises of our own strategy for using social media that works for our
clients and us. Additionally the eBook contains a selection of articles that provide a
wealth of information for the small business owner.
However the first thing I want to cover off with you is the importance of not panicking
and thinking that your business will fail if your not using social media right now.
You may remember the over-hyped, near religious ranting, of the ecommerce 90’s
when people were preaching that most shopping would be done online and there
would only be a few bricks and mortar businesses left in the world.
Ha! Someone forgot to tell Wal-Mart and the other megamalls around the world and
all the local stores we all love and cherish.
What I have found is that when something new and shiny comes out you have the
early adopters who come in, claim it as the only future we have and then start
panicking everyone else.
So settle in and read this eBook before you start spending any money and time on
social media. I do hope you will gain a little more information that helps you to make
better decisions about how you can utilize social media for your business.
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About the Author
Marc Krisjanous is the technical lead at Mobilize
Mail Limited responsible for CampaignHub™
(http://www.CampaignHub.co.nz) which provides
social media solutions for New Zealand businesses.
Marc has been in the Internet “game” for over 10
years so far and loves the challenge of new and
evolving technologies.
About CampaignHub™
CampaignHub™ provides social media solutions for New Zealand businesses starting
at strategy right through to the tools used to attract, filter and identify real prospects
for your business.
CampaignHub™ is also unique in the market insofar as it helps clients grow their
networks by leveraging off CampaignHub’s own extensive social network
communities.
“We set a higher bar for this Campaign and reached it. It’s amazing how much can
be achieved in two weeks and how easy it is to measure ROI.
The CampaignHub team took care of everything once again and they were great at
coaching me through the phases including post campaign follow up.
Running these campaigns is going to be a regular occurrence for us – thank
goodness Mobilize Mail created CampaignHub for our business.”
Josie – Rodney Wayne, Wellington (Client’s testimonial)
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Table of Contents
About CampaignHub™ ............................................................. i
Social Network Versus Social Media ........................................ 3
Outbound Marketing ................................................................. 4
Inbound Marketing ................................................................... 6
The 3 Most Important Social Networks Your Business Needs a
Presence In .............................................................................. 8
Social Media is NOT Free ...................................................... 14
The BIGGEST mistake you can make online ......................... 18
You need a Home Base ......................................................... 19
Knowledge For Greater Email & Social Media Success ......... 24
Choose Relevant Content For Higher ROI ............................. 25
Is Social Media Too Expensive for Small Business? .............. 27
Vital Tips for New Zealand Businesses New to Social Media . 29
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1
Chapter
What is Social Media?
In this chapter I cover the basics of “Social Media” and introduce the 3
most important social networks you should consider for your business.
Social Network Versus Social Media
The first item on the agenda is to clarify the term “social media”.
This term has been used since the beginning but in fact when
people talk about “social media” they are normally taking about
social networks such as Facebook, Twitter and LinkedIn.
“Social media” initially was the term used to describe the
technology that is used to create social connections or community.
However once mainstream media started talking about Facebook,
Twitter and other online communities they used “social media”
instead of the correct term “social network”.
Anyway – “social media” sounds less nerdy than “social network”.
The term “Social Media” is new but what it represents is as old as
the Internet itself. Before our children talked about Twitter,
Facebook, LinkedIn, MySpace, YouTube, StumbleUpon, Digg Bebo
and the other 100’s1 more there was Internet Relay Chat (IRC),
forums, bulletin boards and of course good-old email.
Indeed, even before the likes of Facebook and Twitter some of us
were already communicating with each other using globally
connected computers as the latest communication channel.
A common definition for the term is:
1 http://en.wikipedia.org/wiki/List_of_social_networking_websites
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“Social Media” is the use of technology combined with social
interaction to create or co-create value.2
So if we have been socializing since the dawn of time why is “social
media” currently having huge amounts of press coverage?
Well it’s because you and I are not listening anymore.
Outbound Marketing
Most businesses attempt to disrupt in order to gain your attention.
Here are some examples of how businesses attempt to disrupt:
• Loud TV commercials full of terrible color combinations,
big letters and head-banging background music.
• Telemarketers who have an amazing knack of ringing
people just when they have relaxed in front of the TV.
• Overly aggressive shop assistants who won’t be able to
afford to eat if they don’t sell you something.
• Adverts injected into TV programs, radio shows, video
games, music, movies etc…
• Pumping hypnotic music and familiar smells into the shop
that spark happy memories of your childhood.
• Letterbox mail (direct un-addressed mail).
• And all of our favorite, unwanted emails (SPAM).
• Let’s not forget a common reason – straight-out lying.
Let me ask you a question (it’s really two)…
When reading the newspaper (the real paper version) do you ever
notice and read the adverts?
What about reading articles on a website – do you read the
advertisements?
No?
2 http://www.ducttapemarketing.com
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Well that is how most businesses try to get noticed - by disrupting
long enough to get you to take action or at least remember their
brand.
The term used for this type of marketing is called “Outbound
Marketing” and it’s failing fast. Viewers are creating walls to block
out the disruption and we are using technology to do the job.
How many anti-disruption devices do you use?
• SPAM filters for unwanted email.
• The rubbish bin for direct mail.
• Caller ID for telemarketers.
• Visual blind spots for advertisements online and offline.
• The mute button or services such as TiVo for TV ad breaks.
• Ignoring or abusing shop assistants.
The image below shows visually how businesses try and disrupt in
order to get some ‘sell’ time with you. However since this style of
marketing has been going on far too long, we have now created
walls to block or filter out the disruption.
Source: http://www.BusinessBlogs.co.nz
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In fact some of us are so sick of being disrupted that we have
turned to social networks to connect and be entertained, and
ignore traditional media e.g. newspapers, TV etc…
How many of us see our own children spend more time in front of
the computer than the TV? Maybe you and your friends are
spending a bit more time checking out the latest funny videos on
YouTube or trying to connect with lost love interests on Facebook?
So if we all have put up walls to block disruption and now spend
more time using social networks such as YouTube and Facebook
how can businesses connect with you?
Well the answer is simple – they also use YouTube, Facebook and
other sites to connect. But what is so powerfully different now is
that you and I are in control of the connection NOT the business.
It is extremely hard for a business to disrupt consumers in the
social networks because they first have to get permission via
“friendship requests”. The control is now in the consumer’s hands
to accept or deny a connection with a business.
Even if you give them a chance and accept their request to connect,
if they disappoint you, it takes just one click from you and they are
gone from your network.
This change in how we connect is a major challenge for businesses
and slowly but surely some of them are waking up to find that the
only way to spend time with you is to gain your trust and respect,
so you accept their requests to join their network.
This process of gaining your trust and respect so you listen is called
“Inbound Marketing”.
Inbound Marketing
Consider this scenario - you’re at a party chatting with close friends
and out of the blue a stranger joins your group and starts handing
out their business card and starts talking about their business.
What is your reaction?
Well I guess it would be to smile politely, slip the business card in
your pocket and hope like hell he or she leaves the group as fast as
they arrived.
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This scenario is a good example of “Outbound Marketing” using
disruption and ultimately generating a negative result.
How “Inbound Marketing” works in this same situation is the
stranger would very politely introduce herself to the group saying
she is interested in the group’s discussion. When the opportunity
presents itself the new group member would provide her input to
assist with the enjoyment and knowledge of the discussion. On no
account would she try to sell you anything!
When the new group member leaves the group what would you all
think about her? Would you want to know her name and look for
her at the next party?
This is “Inbound Marketing”. A business provides advice and value
to you for nothing in return. Overtime you gain trust and respect
for this business and when you do need to buy what they sell, 9 out
of 10 times you will go with them instead of their competitors. You
might even feel so good about the business that you refer your
friends to them.
The image below shows visually how “Inbound Marketing” works.
Businesses use social networks to connect with you in a manner
much like our party example. They add value and enter into
discussions with you in order to help out. Overtime, out of interest
or need, you will contact them and ultimately buy from them or
refer your friends.
Source: http://www.BusinessBlogs.co.nz
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As you can see “Inbound Marketing” uses social networks and
services to connect with prospects and clients. This is why you see
a lot of articles about how businesses should use social media.
However, as a business there are many ways to really “shoot
yourself in the foot” in social networks. Just like any real-life party
there are defined social rules and etiquette to follow.
The 3 Most Important Social Networks Your
Business Needs a Presence In
In this section I am going to provide a basic overview of the 3 most
important social networks for your business.
My advice is to ignore all others as they have fewer people
compared to the ‘big 3’ and with limited time to invest in social
networks your business wants maximum bang for your buck.
To help explain how each of the big 3 social networks work I will
use a “real-world” analogy that I hope you can relate to.
So here we go – the most important social networks for business.
LinkedIn – “Ladies and Gentlemen’s Business Club”
Take yourself back 100 years and imagine being invited to the
“Ladies and Gentlemen’s Business Club” for a polite afternoon tea
to discuss worldly events. The dress code is dinner suit and cocktail
dress and all discussion is extremely polite and in no way
confrontational. All unpleasant issues are discussed elsewhere.
In my opinion this sums up LinkedIn really well.
To have any success in LinkedIn you must be on your absolute best
behavior and act at all times in a most professional manner. If you
get this right you can be introduced to some very exciting
opportunities and networks.
Some of my best opportunities and contacts from social networks
have come via LinkedIn but it’s not for everyone. LinkedIn is best
for business consulting and specialist services. It’s not great for
business owners looking for customers for their flower shop or
hardware store.
You also have to spend a reasonable amount of time connecting
and chatting in LinkedIn before anyone starts remembering you.
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Out of the top 3 social networks it requires the most effort and is
best suited for consulting and services businesses.
Twitter – “Where is your soapbox?”
Twitter is the latest sweetheart in “social media” and in my opinion
the least understood so I will devote a bit more to explaining this
darling of social media.
It has taken me over 12 months to understand what Twitter is truly
about.
Let me explain Twitter to you…
Every city in the world has street performers. People who do funny
and dangerous acts in public places all for a few coins tossed in a
hat.
The type of street performer I want to look at is the one that
entertains not through physical action but through the use of voice.
They normally stand on a “soapbox” and entertain you via their
witty conversation or powerful views on topics such as politics and
religion.
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This is what Twitter is all about – you get on your electronic
soapbox which amazingly is called a “handle” 3 and make yourself
heard on Twitter normally by sharing links to interesting articles,
videos or images.
You also present your views on topics that interest you. Just like
our street performer people hear you and come over to listen. If
they like you they will turn up each time you get on your soapbox.
In the Twitter world these people are called “followers” (a bit like
band groupies).
You have only 140 characters (letters) per yell, which forces people
to use text language like they do on mobile phones if they have a lot
to yell about. You can of course yell as often as you want but then
you get called a “Spammer’ so really it’s not that easy.
The most “successful” or “popular” people4 on Twitter are mainly
BIG industry business leaders such as Sir Richard Branson, Steve
Jobs etc... or celebrities such as Ashton Kutcher5 who currently has
over 5 million followers (groupies) .
For the average businessperson it takes a lot more effort and time
to get noticed. Some business owners I know spend up to an hour
each day chatting and sharing interesting stuff. Now if you can
invest an hour each day chatting with people on Twitter then you
may get some form of ROI but if you cannot spend at least an hour
per day then you need to look at using some form of automation to
help you to continue to post messages. If you are not on your
soapbox entertaining people frequently then no one follows you.
We have been using Twitter for well over a year now and I now see
a common pattern with most small businesses that attempt to use
Twitter.
The pattern follows these steps.
1) The person creates their Twitter profile and starts to work
locating and communicating with anyone who is discussing
topics that fit into what they sell.
2) The person can then spend up to 10 minutes (or more!!) each
working hour checking their Twitter “stream” for any
developments on discussions or people contacting them. They
3 For the sane among us its also called a “profile” or “account”.
4 Success in the Twitter world is denoted by the number of followers you have - this is of course hotly denied by
the hardcore Twitter users but in essence is how people view your power or success.
5 http://twitter.com/aplusk
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contribute a heap of time, energy and information helping out
others – for free.
3) Over the initial 3-4 month period the person spends a lot of
time forming relationships within Twitter and in time they may
actually meet the people in café’s or functions (called “Tweet-
ups”).
4) After the 4th month or so we see a critical decision being made
by the person. What happens around this time is that there is a
clear distinction between the people who were using Twitter to
help feed their pipeline and people who actually have started
using it as a social outlet. The people who were hoping that all
the effort they contributed over the 3- 4 months helping others
was going to feed their pipeline are normally disappointed at
the effort/result ratio and they abandon Twitter. That’s why up
to 75% of all Twitter accounts are actually abandon and why the
owners of Twitter are working out how to release all these
abandoned accounts so people can reuse the profile name
again.
So why is the effort/result ratio so low with Twitter?
Well - because people on Twitter like sharing content with each
other. In fact if you’re not famous and want to have a large
following just share interesting links. That’s what we do and the
people will come.
Unfortunately this never really results in increasing your pipeline
to the level where the results of your effort pay for your time.
Unless you use the right strategy which I will show you latter on
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Unfortunately this is how most small businesses appear on Twitter.
Facebook – “Let’s meet at the mall”
Facebook is by far the largest and most active social network in the
world currently sitting on 500 near 600 million. Some even say
that Facebook will be the new Internet due to people spending
most of their online time in Facebook.
A good way to describe Facebook is to think of it as the world’s
largest shopping mall. Like many people you meet your friends at
your local shopping mall to eat, chat, buy stuff and generally hang
out. Facebook for many is the online version of their favorite
shopping mall.
And like a real world shopping mall there are businesses selling
stuff. People walk around the shopping mall window-shopping. If
they like what they see they walk into the shop to take a closer look.
On Facebook a business has a shop front, which is called a “Page”.
This is a businesses official presence in Facebook. For your
business a Facebook Page is your shop front.
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One mistake many businesses make is assuming that they are
“sexy” enough for Facebook in regards to bringing customers to
their door.
Here is a question for you – have you ever seen a lawyer,
accountant or mortgage broker in a shopping mall? And if you did
by chance – did you see many people go into their shop? I doubt it
because people go to shopping malls to be entertained just like on
Facebook.
I am not saying that if you are a lawyer/accountant or the like you
cannot find success on Facebook – you just need to take your lack
of “sexiness” into consideration. You should in fact have a
Facebook Page for your business but really focus your efforts using
LinkedIn where people do expect to talk about and seek out
processional services.
A word on YouTube – Be your own movie star
I don’t consider YouTube a direct social network for business even
though online communities form around people who post a lot of
videos. YouTube in my opinion is great for hosting videos you have
as you can easily embed the video on blogs/websites, Twitter,
Facebook and most other social networks. The best part is you
don’t pay for the bandwidth!
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Not everyone can stand in front of a video recorder and chat for a
few minutes on a subject without going blank, saying “um” 100’s of
times and coming across as boring. It takes a lot of practice and
skill for most people and hence the reason why there are not many
business owners using video as a way to communicate with their
clients and prospects.
Video is a very powerful medium to use to get your message across
in a very personal and direct way.
Hosting the video on YouTube also utilizes YouTube’s community
features which encourages a community to form around your
videos.
Since this eBook is for “Social Media Newbies” lets leave YouTube
for another time.
Social Media is NOT Free
In summary, as a small business owner who, I would guess, has
limited time, money and staff resources you need to reflect on the
following.
3 Models for Using Social Media
We currently have defined 3 options for using social media as a
business tool:
1) Manual – this is the option where you or your staff members
participate within the social networks. You monitor any
comments or posts directed towards your profiles and respond.
Many “experts” generally consider this the only approach for
social media. Below I will provide some key points that you
need to be aware of if you chose this option.
2) Automated – in this option, which is used by most news
based businesses such as CNN and Reuters, information is
posted to your social network profiles by software. Businesses
use this option to publish their content to social networks to
encourage readers back to their site. There is little or no manual
interaction.
3) Hybrid – this is the option we use. We post content to our
social network profiles using our social media software for
business. The posts contain links back to our online assets such
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as blogs and websites. We also have staff that monitor the
profiles once a day for any communication and respond if
required – BUT – the response is always designed to send them
back to an online asset we own. We always treat social
networks as channels back to our own assets. Generally if
people are interested in you or your business they will normally
contact you via email or phone. Maybe it will change in the
future.
To further discuss the “Hybrid” option a little more I want to share
with you a key finding we made when we reviewed our 1-year of
social media research in 2010.
On Twitter people want content – they are generally not looking
for communication or “engagement”. The funny thing is most
social media “experts” will scoff at this statement; and a lot have,
but if you really monitor what is going on within Twitter like we did
the profiles that got the most results for business shared
interesting links with their followers. They hardly chatted to
followers and if they did they generally ended the conversation as
fast as they could and pointed the person back to their website.
Why?
Because most people who have been active on Twitter for at least
3-4 months start to work out that unless you are very famous or
you are offering mega-good deals on your products such as Dell
then the bulk of people you engage with will not be prospect
material. Most are looking for FREE and entertainment.
Facebook is a different beast entirely in that you can draw in
prospects but only if you would be successful within a physical
shopping mall because the same mentality is used within Facebook
as I mentioned above.
LinkedIn is a closed network and the only option you have is
manual and we would never go into LinkedIn with anything else
but the manual option as its all about B2B reputation and
networks.
Key Points on using the Manual Option
As promised above here are some key points that you need to be
aware of when using the manual option.
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1) Social media is not FREE. Participating within social networks
will cost your business time, money and staff resources. Make
sure you monitor how much business resources you are using
up and every month compare how many real prospects you got
out of this effort. Even better how many converted prospects?
Most “experts” will say that this is not how you should use
social media – “it’s the end game” or “its all about engagement
and adding value”. That’s fine but are you in business to make
profit in the short term so you can keep the cash-flow flowing
or are you here to work for free? Just like your sales rep that
will take a prospect out for coffee – your business can only
absorb this for so long before you expect some return on that
coffee.
2) Do not what ever you do hand this task over to your summer
grad or your new marketing “manager” who is fresh out of
education. What you post on the Internet stays on the Internet
for a very long time. Social media has given people the power
to spread content at such speed that serious PR damage can be
done to your business in seconds. If an irate customer contacts
your business via Twitter and starts ranting abuse (yes it
happens every day) and your “Social Community Manager”
fresh out of a marketing course gets offended and “gives some
back” to the customer you will witness first hand how far that
comment will be spread throughout the entire Internet. So
either you manage the communication or you get a trusted and
mature person that can handle outright abuse. Many young
people cannot change their “out of work” communication
mentality when communicating within social networks as a
business representative.
3) I would guess that you have spent quite a bit of time and money
creating official business processes for dealing with people
contacting the business such as sales processes and customer
support processes. When you open up your business to the
social networks you are in fact adding another channel for
people to communicate with your business; people will also
consider it an official channel. Make sure your processes can
handle these new forms of communication channels.
4) My final point or recommendation is if you are just starting out
with social media work out if your customer type(s) is in fact
using social media and if so what social networks? Twitter?
Facebook? LinkedIn? Once done just focus on that social
network only. You will get yourself into a big mess trying to
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have a presence in all networks and also waste money if your
customer type is not present.
In the next chapter I will introduce part of our own strategy for
using social networks to help feed our clients pipeline as well as
our own.