Tapping The Power of the Groundswell

Tapping The Power Of The Groundswell Charlene Li Altimeter Group June 5, 2009 If you would like a copy of the slides, please leave a business card with me.

Welcome to the Groundswell Where social technologies enable people to get what they need from each other

Coca-Cola spreads conversations through its fans

Agenda

How to think about customer engagement

Goal-oriented strategies for social technologies

What the future holds

Recommendations and next steps

What marketing often looks like today

Basic online activity is just a start Source: Pew Internet & American Life Project Tracking surveys (August 2006 to May 2008) Percent of Internet users who report ever doing this activity

The Engagement Pyramid Source: Universal McCann Social Media Tracker Wave 3, March 2008 *Source: Wiki data from Wetpaint, forum data from Lithium Technologies **Source: Pew Internet & American Life Project Tracking surveys

Share online video – 37%

Update profile – 35%

Upload photos – 23%

Watch online video – 59%

Read blogs – 48%

Download podcasts – 23%

Edit a wiki – <1%*

Moderate a forum – <1%

Write in a blog – 21%

Upload a video – 18%

Write in a discussion forum – 47%*

Rate a product or service – 32%**

Comment on a blog post – 22%**

How engaged are YOU?

Agenda

What kind of relationship do you want? Transactional Occasional Impersonal Short-term Passionate Constant Intimate Loyal Focus on relationships, not technologies

Four strategies, start with Learn

Learn with monitoring tools

No size fits all for monitoring

River of “noise” versus insight

Need for scenario-based monitoring

Response to detractors

Analytics for planning

Listen by audience/site

Sentiment tracking/audits

How Oracle encouraged feedback

How to learn better

Determine where fast, flexible learning is most needed to support business goals

Figure out who you need to listen to , and where they are

Find out who is best at listening to that audience

Hint: It’s probably not Market Research

B2B Twitter encourages engagement

At Southwest, a planner talks Post has received 98 comments over 10 days In the future, everyone is a marketer

Cable problems? Who do you call?

BlueShirtNation.com supports Best Buy’s front line employees

Salesforce innovates with customers

Agenda

Social networks will be like air

Three things are needed to make social networks like air

Identity – who you are

Contacts - who you know

Activities – what you do

And it’s still very early, so patience is needed

My identity, in context Author, researcher, strategist Chauffeur, cook, play date organizer

Social aggregators can map your relationships Source: 33Across

Map explicit relationships

Identify “Influencers” who are connected AND share

Vendors:

33Across

Lotame

- Rapleaf

Implicit social data fills in the relationship gaps

Sharing activities to networks Publish reviews from CitySearch to Facebook Both CitySearch and Facebook get behavior and sharing data Bring friends to CitySearch

Aggregators can build rich profiles Who I email the most Who I meet with Who I call What I read and share What sites I visit What I buy Who I know, what I did

Evolution of profiles

“ Birds of a feather shop together” “ Lisa” buys on NineWest.com Media6 maps “network neighbors” based on visits to profile sites via browser cookies (no PII involved) 2 1 3 NineWest ads are shown to Lisa’s closest friends, without identifying or involving Lisa

The rise of the personal CPM

Target & price on:

Influence

Number of friends

Influence among friends

Number of influential friends

Agenda

#1 Get the right people on the bus

Find your revolutionaries Lionel Menchaca Dell Ed Terpening Wells Fargo Paula Drum H&R Block

Have a plan to deal with different social media mindsets Find the “moments of faith” and “moments of crisis” for each mindset Insecure Confident Dependent Independent

#2 Start small, but start now Tactics Audience Goal Revolutionary

#3 Evaluate where social makes sense

Identify where social network data and content can/should be integrated in the business

Leverage existing identity and social graphs where your audience already is, e.g. Facebook Connect, Google Connect, LinkedIn

Get your privacy and permission policies and processes aligned with an open strategy

Find your trust agents and partners

“ In Google I trust”, or someone else?

Get your backend data in order Have a single identity for all customer records Understand new data standards of the open social Web Integrate mobile

#4 Prepare for a new organization New forms of leadership will be needed

Social transforms traditional orgs Task Strategy Changes Market research Learn

Monitor conversations

All employees listen & learn

Marketing/Sales Dialog

Every employee is a marketer

Bridge the consideration gap

Customer support Help

Proactively seek out problems

Enable customers to help

Product development Innovate

Seek ideas from customers

Broaden employees involved

#5 Measure the right things Your goals determine your metrics Use the same metrics as your marketing goals

Example “micro” metrics Goal Metric Value Learn # of customer feedback Impact of faster, better insights Dialog # of people reached # of interactions Awareness Faster, more sales Help # of issues addressed Customer satisfaction Innovate # of implemented ideas Faster, better development

Higher order metrics to consider How likely are you to recommend this to someone you know? Net Promoter Score Lifetime revenue Cost of acquisition Cost of retention Customer referral value (CRV) Lifetime Value

#6) Embrace the loss of control Photo: Kantor, http://www.flickr.com/photos/kantor

An essential tool to have

Thank You Charlene Li Altimeter Group [email_address] blog.altimetergroup.com Twitter: @charleneli If you would like a copy of the slides, please leave a business card with me. Copyright © 2009 Altimeter Group

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