Why the Grocery Business Must Go Social
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Why the Grocery Business Must Go Social

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EVENT: 2010 Canadian Council of Grocery Distributors Western Conference ...

EVENT: 2010 Canadian Council of Grocery Distributors Western Conference
DATE: 1/28/10
AUDIENCE: Food manufacturers, suppliers, distributors

SYNOPSIS: Many Canadians are online, yet many are a bit skeptical about putting too much personal information online. Many traditional marketers are unsure about the value of social marketing as a part of their marketing mix.

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  • Hello, everyone. My name is Eric Weaver and I am a digital strategist and account director for Tribal DDB. We are the digital marketing division of DDB Advertising, one of the worlds largest ad agencies. I’m here to talk to you today about one of my favoritestsubjects in the whole wide world: social media marketing.I am very fortunate in that for the last 19 years, part of my job has been to explore new technologies to see if they have any legs for Marketing. I’m asked by clients: can be used to reach new audiences? Can they convert more prospects? Can they build loyalty? Can they let me communicate with more people? Before I get started, how many of you here are signed up for Facebook? How many are using it? How many on LinkedIn? Twitter?
  • I’ll tell you what I tell them: THE SOCIAL INTERNET IS A PROFOUND AND LONG-LASTING CULTURAL CHANGE. Let’s look at some numbers.
  • The novelty that is Facebook. At 350 million users, Facebook would now be the world’s third largest country after China and India.
  • Did you know that every day, more than 67,000 people join LinkedIn?And 750,000 join Facebook every day. EVERY DAY.
  • And it’s not just consumers on Facebook. Today there are over 700,000 businesses active on FB,and they’ve had a total of 5.3 BILLION “fannings”
  • And while Canadians are aleeetle more hesitant about giving up their personal information online, three in five online Canadians are on Facebook.In fact, after Iceland, Canada has the highest percentage of users on Facebook.
  • Social media is as profound a change as when the freeways went in. And we know what happened to businesses that didn’t think about the freeway.Let’s take a step back and look at the profession of marketing from 80,000 feet. And we’ll start with the consumer’s perspective.
  • And trust isn’t just some secondary lever. It’s perhaps the most important.91% of people surveyed globally will buy from a company based on their trust of that company. And here’s the kicker: 77% of people surveyed refuse to buy from companies they distrust. So of all these levers, trust is the one that drives preference. Trust drives transactions.
  • Yet marketers are still stuck in the past. When yellow page companies leave these on your doorstep unbidden, where’s the first place it goes? Who is it benefitting?When those flashing LED billboards light up the freeway and blind you at night, when advertisers are willing to put their offer above the safety of your children, does this build trust?And when airlines decide to put advertising on every seatback chair, is that a benefit to the consumer? Or to the advertiser? Does this build trust?
  • So Oprah does her last show, but you can’t see it. You rush home after work, and find out that MSNBC has a copy. You’re only one click away. You click and…you’re forced to sit through a commercial about WhiteStrips. Are you positively predisposed after watching this?
  • Some of you may have heard of Gary Vaynerchuk. He inherited his family’s New York liquor business. He decided that the wine industry was stuffy and didn’t really connect with consumers. So he started making videos of himself explaining wines in layman’s terms. He tried a number of different approaches. You can see how well the outbound approach worked. People trust Gary because they can relate to him. That trust has turned into business. And Gary now has over 850,000 followers on Twitter
  • It’s because young people trusted this spokesperson.
  • Many organizations start that journey with social monitoring. As of November, 54% of companies in a recent survey indicated they are monitoring the social space. That means another 46% don’t even do that! My counsel to them and to you: Legal will wake up this year and come forward with precedents and positions on social marketing. Don’t wait for them to do that: get them involved this year and proactively push them to help you set up the rules of engagement. Decide how you’re going to interact with customers and prospects and create the conversational guardrails to let you to fearlessly interact with customers.
  • There’s a new social game out called FourSquare. You use your phone to “check in” at various places around the world. The game has taken off in a huge way. Consumers can leave tips about a place, similar to online rating sites like Yelp. (CLICK) For example, for Choices Market in the Yaletown neighborhood of Vancouver, consumers have left a number of tips – and I’m sure Choices likely is unaware that they’re being marketed by people in an online game.
  • Create search-friendly digital content for the end of the consumer’s search. Tag the daylights out of it. Make sure it provides true value, not just messaging. Place it only in the venues in which it makes sense.And turn on engagement. Let it be shared. Let it be discussed. Encourage feedback. The conversation is going on anyway…own it, coach it, and participate. How?
  • The exciting news is that social tools can be used to build trust all along the purchase funnel. Traditional media, done smartly, can provide air cover while social sites can steer the swarm, coach the dialogue, provide value and amplify brand enthusiasm.
  • Make sure that you reinforce trust. Conversation MUST be open and honest. Be transparent wherever you can. Let consumers know your intentions. Let them know real human beings are behind the content.
  • Last year, Nature’s Path took the very bold step of opening up nearly every page on their website to consumer commentary. Most of it is positive, sometimes it’s negative. But they’ve dedicated a portion of their staff to handling what we call inbound marketing. This goes a tremendously long way toward building back trust with consumers.
  • Make sure that you reinforce trust. Conversation MUST be open and honest. Be transparent wherever you can. Let consumers know your intentions. Let them know real human beings are behind the content.
  • This is a website called Lookbook. On it, Millennials create their own amateur fashion spreads using famous brands. They tag these brands, along with the type of print, material, and colors and place their photos online where other Millennialsrate their look. Talk about putting yourself out there! In this spread, a young would-be model from Des Moines is showing off a Penguin brand shirt, owned by my client Perry Ellis. The company had no idea that their brand was being marketed, by young people, to other young people, in a very real, very authentic way.
  • Just before the Consumer Electronics Show this month, Kodak CMO Jeffrey Hayzlett asked his users over Twitter what they would call the latest waterproof version of their ZI-8 pocket hi-def video camera. The winner would win a free trip to Vegas to join Jeffrey as they unveiled the new camera to thousands of attendees. Jeffrey said:
  • A recent McKinsey study shows that 66% of all touchpoints are now consumer generated. Which really means that YOUR brand is now OUR BRAND, owned by the collective We. Despite this trend, if that brand is to continue to carry the critical DNA of its unique value proposition, its competitive differentiation, and its benefits, those aspects must be encoded in the brand to weather any social media winds that might buffet it. Sort of like tall buildings like the Burj Dubai or Sears Tower. They’re built to flex in the wind without breaking. Your brand DNA needs to flex but not lose its core attributes. That DNA is what attracts the market in the first place.

Why the Grocery Business Must Go Social Why the Grocery Business Must Go Social Presentation Transcript

  • People are the media:WHY THE GROCERY BUSINESS MUST GO SOCIALEric Weaver | Tribal DDB28-JAN-2010
  • 2
    Excess hype, overshare, pokes, "how well do you know me" quizzes and stalkers. Why would I use this for biz?
  • 3
    ?
    “My marketing budget is slashed. And I keep hearing about social media. Is this a fad? Do these efforts actually work? The conversation seems so shallow. Who's got time to manage all this?”
    View slide
  • THE SOCIAL INTERNET IS A PROFOUND CHANGE
    4
    View slide
  • 350,000,000PEOPLE ON FACEBOOK
    5
  • 67,000+PEOPLE JOIN LINKEDIN EVERY DAY
    6
    750,000+PEOPLE JOIN FACEBOOK EVERY DAY
  • 700,000+BUSINESSES ON FACEBOOK
    7
    5,300,000,000HANDRAISERS
  • 12,500,000CANADIANS ON FACEBOOKZINC RESEARCH
    8
    COUNTRY WITH THE SECOND HIGHEST PERCENTAGE OF USERS ON FACEBOOK
    CANADA
    FACEBOOK
  • People ask me if their business should be using social media
    And I say, I don’t know, is there more business near the freeway?
    9
  • 10
    Outbound mktg is a $1TT machine. Each niche = a full industry. We're rewarded for storytelling/ intrusion/repetition. Unchanged in 150 yrs.
    9:30 AM Jan 28 from PowerPoint
  • Back in the day
    Limited product choice
    Limited media channels
    Longer brand interactions
    Higher barriers to entry
    (?)
    11
  • Back in the day
    Limited product choice
    Limited media channels
    Longer brand interactions
    Higher barriers to entry
    (?)
    12
  • Back in the day
    Limited product choice
    Limited media channels
    Longer brand interactions
    Higher barriers to entry
    (?)
    13
  • Customer shifts
    14
  • 91%OF PEOPLE GLOBALLY WILL BUY FROM COMPANIES BASED ON TRUST
    15
    77%PEOPLE WHO REFUSE TO BUY FROM COMPANIES THEY DISTRUST
  • MARKETING OFTEN STUCK IN THE PAST
    16
  • 17
  • $15K ON DIRECT MAIL = 200 NEW CUSTOMERS$7,500 ON OUTDOOR = 300 NEW CUSTOMERS$0 ON TWITTER = 1800 NEW CUSTOMERSBUSINESS GROWTH: $4MM -> $50MM IN 3 YRS
    18
  • 2,000,000 IMPRESSIONS2,300 NEW ACCOUNTS$4,000,000 IN NEW DEPOSITS
    19
  • 20
    GROWING REVENUE IS NOT ABOUT TAGLINES, LOGOS, INTRUSION OR HANDWAVING. IT’S ABOUT USING YOUR MARKETING EFFORTS TO GAIN TRUST.
  • “YEAH YEAH YEAH. SOCIAL MEDIA BLAH BLAH BLAH. STILL SEEMS LIKE OVERSHARE AND EGO GRATIFICATION.”
    21
  • 22
    BOOMERS
    All about propriety. Trained in formalities, don’t offend, guarded means safe, not so great with “random.” Suit & tie = trustworthy.
    GENS X&Y
    All about affinity. Formalities ignored, sharing means being found, tech is easy, life is random. Suit & tie = untrustworthy.
    2010THE YEAR MILLENIALS WILL SURPASS BOOMERS IN THE WORKFORCE
    PHOTO: FLICKR.COM/PHOTOS/KATINALYNN
  • STILL NEED A BRAND!
    What’s your promise? Your unique value? Your primary differentiation? The benefits you’ll always deliver?
    BE TRANSPARENT
    About everything except that which must be kept secret
    THIS NEW MARKETING MEANS…
    NO MORE SET & FORGET
    Dialogue requires feedback mechanisms, time, effort and good conversational skillz
    23
  • Email marketing, 1996
    Web marketing, 1997
    “BUT I DON’T HAVE TIME FOR ONE MORE THING.”
    Telemarketing, 1977
    Computer-based
    graphic design, 1986
    24
  • OKAY, I GET THE WHY. NOW HOW DO I GET STARTED?
    25
  • 1. START WITH A LISTENING PLATFORM
    26
  • 54%COMPANIES THAT HAVE IMPLEMENTED SOCIAL MONITORING PLATFORMS
    46%COMPANIES THAT HAVE NO IDEA
    E-CONSULTANCY, SOCIAL MEDIA AND PR REPORT, NOVEMBER 2009
    27
  • 28
  • 2. CREATE SEARCH-FRIENDLY, USEFUL, DIGITAL CONTENT FOR THE END OF THE SEARCH
    MAKE IT EASILY SHARED, EASILY DISCUSSED, AND EASY TO GIVE FEEDBACK ON
    29
  • 30
    BLOGS: LONG-FORM THOUGHT, INTELLECTUAL CAPITAL.CEO media/invstr relations; industry trends/insights; legislative impacts; recipes
  • 31
    TWITTER: QUICK-BURST, SHORT-FORM THOUGHT.Crisis PR, timely insights, content alerts, community bldg, event notices, offers
  • 32
    VIDEO: great for intensive learning, how-to vids, personality pieces, company storytelling, humor
  • 33
    “THE BEST WEAPON AGAINST SOCIAL MEDIA FIRE IS SOCIAL MEDIA WATER.” – Ramon DeLeon, Domino’s Pizza
  • 34
    AUDIO PODCASTS: great for distracted learning, storytelling, conversational thought leadership, testimonials, sensory experiences
  • 35
    WIDGETS/APPS: PROVIDE CONTENT PORTABILITY. Get your content into more places; allow engagement w/o leaving venue; aggregate valuable content
  • 36
    SOCIAL VENUES: GO WHERE YOUR PROSPECTS CONNECT & CHAT. Brand awareness, community/CSR discussions, loyalty programs, consumer feedback/trials/testing
  • BRANDED SITE
    EXTERNAL MKTG-MANAGED PRESENCE
    EXTERNAL THIRD-PARTY SITE
    TRADITIONAL MEDIA/PR
    Integrated Traditional/Social Marketing Mix
    AWARENESS
    NEED
    DETERMINATION
    EVALUATION/COMPARISON
    PURCHASE
    LOYALTY
    TOPICAL COMMUNITIES:
    IP, HELPFUL TIPS
    PRODUCT LAUNCH MICROSITE
    AMAZON
    S T O R Y T E L L I N G
    DOT-COM SITE
    HELPFUL RESOURCES
    RECIPES
    SEO
    COMMENTS
    EVENTS
    COMPANY BLOG (IP)
    FACEBOOK FAN PAGE
    ONLINE SAMPLING
    E-COMMERCE PARTNER
    ONLINE
    YOUTUBE CHANNEL: STORYTELLING, IP
    PRINT
    EXTERNAL BLOGS: IP, TIPS
    OUTDOOR
    PR
    SAMPLING PGMS
    RETAIL
    37
  • 3. REINFORCE TRUST
    OPEN, HONEST DIALOGUE.
    TRANSPARENCY DEFAULT.
    CLEARLY STATED INTENTIONS.
    REAL HUMAN VOICES.
    38
  • 39
  • 4. ENABLE CUSTOMERS TO CO-CREATE YOUR OFFERINGS WITH YOU
    40
  • 41
  • “I COULD HAVE JUST NAMED THIS THING THE VX150 OR ZI8. BUT I THOUGHT THAT THE PEOPLE WHO BUY THE PRODUCT SHOULD COME UP WITH SOMETHING MEANINGFUL TO THEM.” – JEFFREY HAYZLETT, KODAK
    42
  • 66% PERCENTAGE OF BRAND TOUCHPOINTS NOW GENERATED BY CUSTOMERS
    MCKINSEY QUARTERLY, JULY 2009
    43
  • SUMMARY
    44
  • 45
    CONSIDER YOUR LENS
    RESPECT TIME STARVATION
    GIVE YOURSELF TIME
    THERE’S NO ENTRY POINT INTO A CONVERSATION IF YOU’RE NOT PRESENT
  • THANK YOU.
    me:twitter.com/weave
    company:tribalddb.ca
    slides:slideshare.net/weave