The Social Web
Presented by: Mike Spataro

Our World at Warp Speed
Here’s what happens in one second…
7 PCs are sold
9 people logon the Web for the first time
25 cell phones are sold
257 search engine queries occur
1157 videos are viewed on YouTube
2 million emails are sent

…And We’re Just Starting
1 billion people online
6 billion people to go
There is as much content on YouTube today
as there was on the entire Web in 2000.

MeMedia Generation

Fad or Force?
Top 10 Innovations of past decade….
BlackBerry introduced (1999)
iTunes (2001)
Consumer-Generated Content (2005)
WiFi (802.11 launched 1997)
Open Standards (HTML 4.0 released 1997)
Google Ad Words (2000)
Amazon.com (IPO May 1997)
eBay (launched September 1997)
Broadband Usage of US Internet Users Reaches 50% (2004)
Google (1998)
The Software and Information Industry Association (SIIA)

Feed the Beast
Worldwide users of consumer-generated content (millions)
2006 128.0
2007 147.5
2008 169.7
2009 195.7
2010 225.8
2011 253.6
NOTE: includes video, audio, photo sharing, Blogs, Wikis, Podcasts and online bulletin boards
Source: eMarketer, June 2007

Size of the Blogosphere
Source: Technorati State of the Blogosphere / 2008

Who are global bloggers?
two-thirds are male
50% are 18-34 years old
more affluent and educated
59% have been blogging 2+ years
44% are parents
43% live in the U.S
Source: Technorati State of the Blogosphere / 2008

Global Blog Readership
43% of blogger respondents
live in the U.S.
72% publish their blog in English
(survey was only provided in English)
Source: Technorati State of the Blogosphere / 2008

Bloggers are Passionate
Source: Technorati State of the Blogosphere / 2008

Blogging about Brands
Source: Technorati State of the Blogosphere / 2008

Bloggers & Mainstream Media
Blogs are getting taken more seriously as sources of
information.
More people will get their news and entertainment from
blogs than from traditional media in the next 5 years.
Blogs are just as valid media sources as traditional media.
I get more of my news and information from blogs than
other media sources.
Blogs are often better written than traditional media articles.
Newspapers will not be able to survive in the next 10 years.
Source: Technorati State of the Blogosphere / 2008

Redefining Influential Sources
Top 100 news sources

Brands Micro-blogging
Source: Universal McCann, Power to the People - Social Media Tracker Wave 3

Social Networking

Social Networking

The Conversation Prism
Source: Brian Solis, FutureWorks

Social Networking
73% of active online
users have read a blog,
45% have started their own
55% have
uploaded photos
39% subscribe
to an RSS feed
83%
have
57% have joined watched
a social network video
clips
Source: Marta Z. Kagan

Consumer Profiles
In Social Networks
Passive Active
grazers contributors
spectators creators
browsers raters & responders
Passive audience is much larger than active one.

Social Media Landscape
personal / self expression
private public
utilitarian

Intersection of Top-Down and Peer-to-Peer
Traditional • Regulators
top-down model • Experts
T • Investors
• CEOs
A
Horizontal
L
peer-to-peer K
model
ENGAGE
Sweet Spot
• Bloggers
• Passionate Consumers
• Employees
The ability to play
between the two

Word of Mouth Rules

Most Trusted Spokesperson
2003 2007
“Person like you” 22% 51%
CEO 14% 22%
Academic 43% 48%
Regular
26% 36%
employee
Decline of authority figures
Source: Edelman Trust Barometer

Social Media - Women outnumber Men

Disney Mom’s Panel
More than 20,000 questions last year

Social Consumers Buy More
“One in three Internet users say purchase decisions
swayed by social content“ -- Jupiter Research

Social Networks Trump Other Media
Social networks
have caused a
fundamental shift in
the way people
interact with each
other. More than
70% of Americans
15 - 34 actively
using online
social networks.
Source: Fox Interactive Media

Social Ratings

Social Networking Goes Professional
Social Banking and Healthcare

Mainstream Media goes Social
Consumer Interaction

Mainstream Media & Social Networking

Wikipedia - Tim Russert
Wikipedia Scooped NBC News

Social News Gathering
More than 2000 “editors” as the tragedy unfolded

Syndication of CGM Influence
Blog content syndicated to online msm

Social Media Travels Fast
Engadget knocks $4 billion off Apple market
cap in six minutes on bogus iPhone rumor.

Real Business Value
Consumer opinions are the most valued consumer
tools in a crowded marketplace.
brands need:
insight into what consumers are saying
awareness in social media networks
excitement for products
to engage with audiences

Corporate America Needs Social Media
“Does business act responsibly?”
Percentage of
respondents
who said
“yes”
Source: “Yankelovich, CNN/USA Today, and Gallup

Social Media Process
Marketers need to find the right entry point to
engage appropriately a social media dialogue.
1 join 2 listen 3 learn 4 participate 5 share 6 evaluate
Trust needs to increase with marketer engagement.

Interactivity Engine
Participation Line
Conversational
Conversational Conversational
Communication Collaboration
Conversational
Line
Controlled Controlled
Communication Collaboration
Controlled
Communication Collaboration
Talk Action Continuum

You Can Run but You Can’t Hide
“Whether or not we choose to be part of the dialogue,
the dialogue is going to happen,”… “I believe the
challenge is to make happen with us.”
-- Coca-Cola’s Tim Kopp
“Consumer-generated media … are siphoning
attention from traditional media and creating networks
of influence among consumers.”
-- Forrester’s Brian Haven

Brands Punk’d by Social Media
Not listening can hurt

“2.0” is Really About …
people
=
participation
Source: David Armano, Logic + Emotion

join the conversation…
…or procrastinate and then join the
conversation later on anyway…

Conversation Architect
Don’t market messages.
Create social experiences.
Design conversations
…and relationships.
authentic
organic
genuine
conversational
Source: David Armano, Logic + Emotion

Dialogue is Fueling the “Conversation Economy”
Conversation Architecture
CONVERSATION
COMMUNITY RELATIONSHIPS
AFFINITY

Dan Entin had a Problem
Unilever employee Mike Fortner emailed Dan
suggested ways for Dan to find store locations
sent Dan a case of Degree Sport deodorant
Dan blogged it and became brand advocate.

Brands & Bandwagons
“SELLING AND TELLING is defunct;
gone forever. With the increase of
consumer-generated media … consumers
are showing a greater need for making
connections with other people and
brands.”
Source: James R. Stengel, Global Marketing Officer for P&G

Brands Micro-blogging

Southwest Airlines

Mainstream Media Twittering

New “Prism” Channels Evolving

The Influencer Network is Changing
MEDIA
EDITORS BLOGGERS
BLOGGERS CONSUMERS
JOURNALISTS PUBLISHERS
ADVERTISERS
“Consumers turning to each other online is not a fad anymore. Companies opening up to
customers isn’t that different from the risks associated with doing business every day.”
-- Forrester Research

Social Networking
is…
transparent
inclusive
authentic
vibrant
consumer-driven

Social Networking
is NOT…
controlled
organized
exclusive
product-driven
“on message”

Social Media Challenges for Brands
transparency
uncontrollable environment
consistent immediate participation
size and scope of the channel
role of employees in the community

Brands and Engagement

and if all else fails…