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    111215 EffectiveBrands Social Marketing Readiness whitepaper 111215 EffectiveBrands Social Marketing Readiness whitepaper Document Transcript

    • White Paper Social Marketing SOCIAL  M ARKETING   READINESS Readiness Winning  with  Global  Brands  in  the   Social  Age Winning with Global Brands in the Social AgeWINNING WITH LOBAL   WINNING  WITH  G SOCIAL THE LEADING GLOBAL BRANDS™ STUDYIn aIn  a  world  in  which  almost  all  global  brands  are  “socially  acUve,”  the  quesUon  is  no  longer   EffectiveBrands has conducted the world in which almost all global brands are Over the last decade“socially active,” whether  Social  Mthe question is no veryone   awhether it’s   crucial.   The   more   pressing   arkeUng   is   important.   E longer grees   that   Leading Global Brands™ Study to define what it takes to quesUon  is:  How  can  you  structure  and  evolve  the  global  markeUng  organizaUon  so  that  it  Social Marketing is important. Everyone agrees that it’s win in global marketing. To date, over 300 global brands becomes  Social  MarkeUng  Ready?crucial. The more pressing question is: How can you and 30,000 global marketers and their colleagues havestructure and evolvethere  has  never  been  a  more  organization be  aparticipated in nd   unique benchmarking study. In 2011, Advocates  argue  that   the global marketing exciUng  Ume  to    brand  marketer,  a this that  todays  social  programs  are  paving  the  road  for  future  generaUons.  Our  work  with  global  so that it becomes  Social Marketing Ready?   there   is   newfound   confidence   very specifically on how global brands markeUng   leaders across   all   industries   indicates the study focused and marketing organizations can drive competitive about  what  type  of  social  markeUng  programs  seem  to  work  best  for  global  brands  –  but  Advocates argue that there has never been a more exciting advantage with social marketing readiness. For this we that  most  global  markeUng  organizaUons   are  sUll  struggling   to  make  the  right  decisions  time to beow  brand marketer, and that today’s social about  h best  to  organize  for  Social  Media.  It  takes  significant  experience  to  evolve  the   a reached out to recognized practitioners and experts. global  markeUng  organizaUon  to  opUmally  address  the  new  opportuniUes  and  challenges  programs are paving the road for future generations. Our that  today’s  new  social  markeUng  world  brings.  To  take  a  random  example:  How  do  you   included the CMOs, Global brand Study participantswork with global marketingn  behalf  of  a  brand  of  beer  with  an  up-­‐market  reputaUon  in  one   heads of digital, social, Interactive assemble  a  Facebook  page  o leaders across all industries leaders and/or the country  but  perceived  very  differently  by  consumers  in  another  country?  AEer  all,  many  indicates there is newfound confidence about what type (yes, many titles spring up around this topic) of AB social  media  tools  are  global  in  their  reach.  That  said,  today  organizaUons  can  reach  like-­‐of social marketing programs seemquicker  and  more  cheaply  than  ever  before  and,  with   Google, Heineken, Kraft, Microsoft, minded   consumers   around   the   globe   to work best for global InBev, Audi, Diageo,brands – but that most global marketing organizations are Nestlé, RenRen, Spilgames, Starwood, Telefónica, Coca- proper  inspiraUon  and  brand  purpose,  they  can  set  loose  new  brand  advocates  across  the  still Web,  24  hours  amake  days  a  week,  and  365  days  a  year.   struggling to  day,  7 the right decisions about how best Cola, Thomson Reuters, TomTom, and Unilever, as wellto organize for Social Media. It takes significant experience as some of the smartest agencies in this area. We want Below,   we  explore  lessons  learned  from  winning  players,  key  challenges,  and  opportuniUes  to evolve the global marketing organization to optimally to thank all for their contribution and insights. that  offer  organizaUons  a  strategic  framework,  as  well  as  many  pracUcal  tools  and  insights   from  the  trenches  that  brands  and  organizaUons  can  apply  to  their  advantage.    address the new opportunities and challenges that today’snew social marketing world brings. To take a random THE  L EADING  G LOBAL  B RANDS™  STUDY THE BRAVE NEW WORLDexample: How do you assemble a Facebook page on OF SOCIAL MARKETING 2.0 Over  the  last  decade  EffecUveBrands  has  conducted  the   Leading  Global  Brands™  Study  to  behalf of marketers  of beerin  cn  global  mhin one countryowith00  global  brands  and  3study.     define   what  it  takes  to  w i global   a brand and  their   olleagues   arkeUng.  To  date,  in  this  unique  First a few stupefying statistics. With 7 billion people associated ave  parUcipated   ver  3 an benchmarking   0,000upscale reputation butfocused   verydifferently  by consumers   brands   and   markeUng   In   2011,   the   study   perceived   specifically on   how   global inhabiting our planet, there are now some 5 billionin another country? After all, many social mediaocial  mare organizaUons  can  drive  compeUUve  advantage  with   s tools arkeUng  readiness.  For  this  we   mobile phones. That’s more than the number of people reached   out   to   recognized   pracUUoners   and  experts.  Study  parUcipants  included   the  CMOs,  global in their reach. That said, today organizations can who have access to a clean toilet. About 2 billion are Global  brand  leaders  and/or  the  heads  of  digital,  social,  InteracUve  (yes,   many  Utles   spring  reach like-minded consumers around Diageo,  Google,  Heineken,  KraE,  MicrosoE,  Nestlé,   up   around   this   topic)   of   AB   InBev,  Audi,   the globe quicker regular Internet users. If Facebook, with its 750 millionandRenRen,cheaply than ever before and,  with proper more   Spilgames,   Starwood,   Telefónica, Coca-­‐Cola,   Thomson   Reuters,   TomTom, billion photographs, and Twitter, with its users and 50   and  inspiration andwbrandthank  Oll  fSOCIAL  MARKETING  2.0new Unilever.  We   ant  to   purpose, theyccan set loose insights. THE  BRAVE  N EW  WORLD   F   a or  their   ontribuUon  and   200 million subscribers, and 100 million daily tweets,brand advocates across the Web, 24 hours a day, 7 days a were countries, they would rank third and sixth in globalweek, and 365 days a year. population. In 2011, consumers uploaded 35 hours of video to YouTube every minute of every day – and nearlyBelow, we explore lessons learned from winning players, a third of consumers 25-and-under watch most or all ofkey opportunities and challenges, and offer a strategic their television online. As for e-mail, we send out 247framework, as well as many practical tools and insights billion daily, alongside the 6.1 trillion texts we wrote infrom the trenches that brands and organizations can the last 12 months. The funny thing is that by the timeapply to their advantage. you read this, all these numbers will be out of date.Unleashing Global Marketing Potential™  1
    • White Paper perspective, a well-briefed media department should be able to lead a brand’s activities in this space. Finally, some organizations have found that given the new technology available, their business model requires re-engineering to achieve competitiveness in the new social world. Intuit, the TurboTax company is a good example. Over the last few years they have moved away from selling CDs with software to an online service where the company’s experts, but also other consumers, help you fill out your tax form. We refer to these implications as Social Business. In this paper we will focus on what we are calling socialWHAT DO YOU MEAN? – marketing, and leave it to others to focus on addressingTHE NEED FOR DEFINITIONS some of the other challenges.A key learning from our Leading Global Brands studyis the importance – but also near-absence – of an EXCITEMENT ABOUT SOCIAL…agreed-up set of definitions to enable effective AND SLEEPLESS NIGHTSlearning across organizations, and even industries. Let’s start with what most excites today’s global(In fact, only one of all our interviewees could claim a marketers about social marketing. Through social, thecommon set of definitions across their firm.) So let’s consumer is suddenly very close, no longer namelessbegin by distinguishing Social Marketing from Social and faceless, but a real living, breathing person withMedia from Social Business. whom the brand can interact. It’s consumer intimacy at a level that most marketers have in the past onlyWhen we use the term Social Marketing, we refer to dreamt about. A close second are the unprecedentedthe use of new, interactive social channels that allow – new opportunities social marketing offers to createand in some cases require – brands to build new levels new insights and increase brand value, and withof connection and interaction with consumers. These quicksilver results, too. Finally, following a decadechannels, which include Facebook, LinkedIn, MySpace where marketers didn’t exactly dominate insideand all their relatives, offer cutting-edge opportunities the boardroom, social marketing presents such afor brand marketers to build increased consumer potential shift in market dynamics that the rest of theunderstanding and interaction and offer new ways of organization is now also actively taking note.delivering value against the brand promise. At the same time, global marketing leaders worldwideIn contrast, Social Media we are talking about mostly still spend sleepless nights wondering, Is socialone-way communication channels that are potentially marketing worth it? Is the internal investment in timeeffective for brands that seek to reach audiences in and money too high compared to other initiatives andnew ways. These channels include Twitter, YouTube, the number of consumers the brand reaches? And, whoWikipedia and FlickR. We refer to these as Social should be leading or at least coordinating our efforts?Media for two reasons. The first is that although An additional worry is the incredible transparencythese channels may represent attractive media buys, that is now a reality for all brands. Breaking newsvery little true interaction with consumers exists about a global brand’s activities somewhere else onthrough them, and secondly, from an organizationalUnleashing Global Marketing Potential™  2
    • White Paperearth often travels much faster in the external “real” Universal Truth: Of course, there is no such thing asconsumer world than across the sluggish silos of the a ‘typical’ or ‘global’ consumer. But no matter wherecorporate structure. What used to stay in Vegas now they call home, an average Shanghai youth todayends up as a racy two-minute-long YouTube video. shares more habits and attitudes with his counterpartsAnd today every disgruntled consumer has a stage, in London, New York and Moscow than he does witha camera, a microphone, and countless likes and his own relatives living just an hour away. Whether wedislikes. Companies that once conducted annual live in Asia or North America, our fundamental humancustomer satisfaction surveys now find that their needs remain the same. The transparency that socialnewly empowered consumers are assessing media create allows many global brands to appealorganizations and brands publicly, day and night, to “global” consumer segments that demonstrateeverywhere across the globe. significant similarities: We all want to live a long, healthy life. We all seek love, and happiness, andFor global marketing companies particularly, this freedom, and the comforts of family. The biggestmeans that timing and responsiveness are essential, global brands from Coca-Cola to Ford have longand that all brand representatives, whether they’re understood this by appealing to basic needs such asemployees or not, are now accountable for upholding happiness and freedom. And Axe continues to growa brand’s ongoing health and reputation across all globally by appealing to universally acknowledgedtouch points. In fact, a majority of social marketing truths for adolescent, bedroom-bound boys who needchallenges raised by marketing leaders focus on a leg up in the mating game.organizational readiness: How to train the team,define roles and responsibilities, get buy-in from Purposeful Positioning: Appealing to a universal truthsenior stakeholders, and clarify policies and is not enough. The world’s most powerful brandsprocedures. In sum, what does it take to drive the have a purpose - they stand for something largerrequired organizational readiness? than selling products and making money. For the Body Shop, it’s the company’s longstanding stanceTHE GLOBAL BRAND’S SOCIAL against animal testing. For Dove, it is a belief in real,MARKETING POTENTIAL un-airbrushed beauty, regardless of a woman’s age,From our perspective, the secret to achieving Social shape or size. In a commoditizing transparent worldMarketing Readiness is defined by achieving the right consumers respond positively to brands that stake abalance between the brand’s social marketing strength claim and in many instances, will take ‘support theand the marketing organization’s social marketing cause’ by becoming online and social brand advocateseffectiveness. Put another way, Social Marketing and ambassadors.Readiness is what happens whenthe Brand’s promise or purpose,the WHAT, is backed up by theappropriate marketing organizationreadiness, the HOW.The WHAT is buttressed by threecrucial components: A winningglobal brand must appeal to auniversal consumer truth; it has tobe purposeful; and it should createa relevant total experience forconsumers. Let’s take these in order:Unleashing Global Marketing Potential™  3
    • White PaperThe results can be astounding; When Dove posted a expanded when the entire brand organization, and notYouTube film exposing the myth of real beauty, it was just a few media, PR or marketing people, get involvedshared socially to over 140 million consumers. And in consumer conversations and delivering value on themillions of online consumers viewed Dulux Paint’s brand promise. This may suggest that it is up to theglobal Let’s Color campaign after TED recognized it as an leaders of brands to choose whether to unleash theidea worth sharing. We believe that a truly purposeful power of the complete organization or not.brand has the biggest opportunity to benefit from socialmarketing, as its global employees and consumers will Not true. We believe that the opening-up of thebe inspired to spread the good work the brand is doing, organization is a surefire necessity for every brand andresulting in an increase in sales revenues. all organizations behind them. Read on.Total Experience: In this category, we place Harley- As the world moves at breathtaking speed towards thisDavidson as a great example, positioning itself not as a 365 always-on total experience state, a new suite ofmotorcycle manufacturer, but as a brand whose lifestyle- challenges, demands and opportunities appears. Considerinspired mission is to empower consumers the world Heineken, which in the old days hosted quarterly eventsover to lead dynamic, adventuresome lives. A brand that and carried out monthly TV buying, but which has nowcreates a total experience forges an emotional bond with moved to daily Facebook page adaptations, almost hourlyconsumers across all relevant touch points, many Twitter feeds and, during European Champions Leagueof which are contemporary and social. matches, continuous live interaction with consumers through iPhone and Android Apps.The above three WHAT descriptors drive a new totalbrand experience requirement: If today’s consumers To understand how winning social marketingcan dictate the communication agenda (which organizations are making this work, we leveraged thethey can) and collaborate on brand mix messaging Drivers of Global Marketing Effectiveness framework.(which they do), then the marketing and indeed How do the companies and brands that excel in theorganizational approach needs to evolve from the social marketing space connect the different partstraditional Integrated Local 360-degree perspective, of the company to ensure interdependence; Inspireto a new and highly demanding Global 365 Total the company and all key stakeholders to take the riskExperience Approach – one where brands offer value in associated with venturing into new social territories;many ways and communicate swiftly and responsively Focus their initiatives so that they drive the business24 hours a day, 7 days a week, 365 days a year where agenda and build learning; Organize media, marketingappropriate. Kraft has been a leader in embracing this and business teams to create clarity on who should benew approach. Its recipes and cooking tips are now doing what; and Build the new capabilities required foravailable across many new channels – all with helpful success in social marketing (a subject, we might add,shopping list generators. Aisle by Aisle. And Stella that no one was taught at business school)?Artois, the beer, created an online Club, La Societe,where invited consumers can interact and bond with At the same time, we wanted to let global marketingthe brand, contribute suggestions and benefit by leaders benchmark their own company’s sociallearning how to tap the perfect draft. marketing readiness. For this, we differentiated three levels of readiness – Hygiene; Competitive; and World-THE HOW: THE KEY TO SOCIAL Class - then mapped the specific processes, proceduresMARKETING READINESS and actions we found in the organizations we studied.As we look at the key characteristics of wining social And, for every stage we specifically focused on howbrands, it becomes clear that the opportunity to build much of the organization needs to be involved at eachstronger brand-consumer relationships is greatly level of social marketing readiness.Unleashing Global Marketing Potential™  4
    • We’ll  start  by  looking  at  the  HOW  of  connecUng  the   inspiring  key  players  of  the  organizaUon  (including  the  b partners)  and  focusing  everyone  around  what  the  organ White Paper while  organizing  it  in  such  a  way  that  clarifies  respons training,   content,   and   processes   across   the   enUre  orgUnder Hygiene we have listed the basic actions and of consistency and connectivity to ensure a uniform always-­‐on  state  we  call  Global  Market  Readiness.  processes, the core ingredients that any organization experience for consumers. In firms at the Hygieneneeds to have in place to build a baseline social media level, we often sense urgency to act, as very often thispresence. At the Competitive level, we set out actions Connect   is  about  building  interdependency  in  an  orga connectivity is lacking, and the brand risks being caughtand processes required for a global brand to maintain everyone  in  right company  wunaware of what theocial  marke out, with the the   and left hand ill  benefit  from  sstatus quo and competitiveness within most industries. to   the   doing. other is interdependence   between   global,   local   and   rAnd at the World-Class level, we list the processes and between  sales  and  markeUng,  or  corporate  PR  and  markexamples found only in those companies we feel are As we study firms at Competitive level, we note thatdesigning the future and that appear to be poised to the sphere of influence inside the firm gets bigger.leverage social marketing to move ahead of the pack. At  the  Hnot only the media people, but the marketers Now it’s ygiene   level,  social  media  acUviUes  are  oEen   crucial  is  that  colleagues  running  social  media  progra who are considering the brand mix, and leveragingImmediately worth noting that in a World-Class where  in  the  world,  know  about  each  oand acUviUes. social media as a marketing tool to learn from ther’s  organization, social marketing almost always goes engage consumers in new ways. of  consistency  and  connecUvity  to  ensure  a  uniform  exway beyond traditional marketing and into all facets the  Hygiene  level,  we   oEen  sense  urgency  to   act,  as   veof a business, from the CEO to the rest of the board, Bringing all marketers into the mix often means havingfrom legal to supply chain. In short, a total unified and  the  on connectingbeing  caught  out,  with  the  right  and   to focus brand  risks   also with what we call the ‘Lostorganism that is in some part involved in social brand is  doing. – those key decision-makers that are sitting Generation’interactions, connecting and leveraging the sum of on the budgets, but don’t truly understand the newall organizational expertise through social and linking As  we  study  firms  at  CompeJJve  level,  we  the that  th landscape. Often these leaders have children under note  directly to total business results. gets  ofigger.  Now  it’s  not  aren’t yet active in social age b 10, an age where kids only   the   media   people,  but   the media. Others with tween or young adolescent childrenWe’ll start by looking at the HOW of connecting brand   mix,   and   leveraging   sociallearn new  tricks   markeU intuitively understand social media, and   media as   athe different parts of the organization, inspiring key consumers  in  new  ways.       daily from their kids.players of the organization (including the board, andspecialists, including other partners) and focusing Bringieveryone around what the organization is trying to meansachieve in social, while organizing it in such a way that with  wclarifies responsibilities. The goal is to embed skills,training, content, and processes across the entire thoseorganization to create the consistent, always-on state on   twe call Global Market Readiness. under these  Connect is about building interdependency in an of   10,organization, the overriding sense that everyone in thecompany will benefit from social marketing success. in   socWe’re not just referring to the interdependence youngbetween global, local and regional marketing teams, understand  social  media,  adecision makers are At the Competitive level, all key nd  learn  new  tricks  daily  frombut also between sales and marketing, or corporate connected to key initiatives and there is a spirit ofPR and marketing. At  the  CompeJJve  level,  all  key  build on each akers  are  con interdependency that allows teams to decision  m other’s work and not reinvent unless absolutely a  spirit  of  interdependency  that  allows  teams  to  build  onAt the Hygiene level, social media activities are often necessary. Starwood is a good example. The organizationled by the brand’s media team and crucial is that unless  absolutely  necessary.  Starwood  is  a  good  exam has different pages on Facebook for all its branded hotels,colleagues running social media programs for the same pages  on   Facebook  for  all  its  branded  behind therom  the   W from the W to the Westin to the Sheraton. Yet hotels,   fbrand, no matter where in the world, know about each behind  the  scenes,  there  is  a  single  organizing  brain  o scenes, there is a single organizing brain or engine thatother’s activities. Social media requires a high degree oversees and unifies every nuance of the organizational every  nuance  of  the  organizaUonal  brand.  Starwood  so another,  use  the  same  technology,  make  it  a  point  to   idenUcal  organizaUonal  experUse  for  each  and  every  onUnleashing Global Marketing Potential™ another  way  of  saying  that  high  c onnecJvity  is  5  leading     a
    • White Paperbrand. Starwood social marketing employees know Stanford to learn how Facebook and Foursquare – theone another, use the same technology, make it a social media tool where consumers can “check into”point to remain connected, and leverage an identical bars and restaurants – could positively affect theirorganizational expertise for each and every one of the business. For a company in the beer, entertainment andcompany brands. Which is another way of saying that social activity business, it matters a lot when a boardhigh connectivity is a leading hallmark of Competitive. demonstratively takes the lead.At the World-Class level, it’s not just about the entireorganization being aware of both the risks and rewardsof going social. People are actually using social toolsto do their job better. Example: 16,000 Telefonicaemployees use Yammer, a social media collaborationtool, to help them develop marketing tools quickly andcollaboratively. Only when marketers and the broaderkey decision-making group within the company areactually using social media for themselves, and theirwork, can we say this is a Competitive advantage on theway to becoming World-Class. At the World-Class level, consider Zappos, a companyINSPIRING THE ORGANIZATION hugely advanced in how it uses Twitter and almost allABOUT GOING SOCIAL other social media tools to deliver its core promiseOur next driver focuses on inspiration. It’s about igniting of delivering friendly customer service. CEO Tonythe organization not just around the opportunities Hsieh offers new employees the option of leaving theinherent in social marketing, but around the purpose company after two months, with two months of pay, onof the brand, and the organization itself. Social media the assumption that if they leave, they weren’t there forpioneers need to feel that it is recognized that what they the right reasons anyway. Is it any surprise that thoseare doing is important. As the company moves from employees who stay are genuinely inspired by the joyHygiene to Competitive, they require recognition not they take in delivering Zappos’s brand promise? Andjust within the media or marketing community, but also does this enthusiasm come across in all their socialfrom the CEO and from a board actively experimenting marketing activities? Absolutely.with examples. As we move from Competitive to World-Class, all key players, from supply chain and sales, to HR FOCUSING THE ORGANIZATION: ALIGNINGand finance, understand and are inspired about the new SOCIAL MARKETING KPIs AND TARGETSopportunities to interact with customers and consumers. Let’s talk about focus. Once you have people excited, the next step is to ensure that you align your targets,Example: At the Hygiene level, social media and strategies and measurements. Once your peoplemarketing programs might just be shared internally. As believe in the brand purpose, they will run with it.we evolve to Competitive, we see companies creating Smart social marketing organizations ensure thatinternal awards that recognize Best Practices and various the social marketing activities are included at thepioneering programs. In World-Class, few things are more appropriate strategic planning level, firmly linkinginspiring to marketers than to see their performances initiatives to the brand’s overall media, marketing orrewarded in conferences, or by outside experts. overall business objectives.At the Competitive level, we rate AB InBev, the world’s At the Hygiene level, we find that companies have nowlargest brewery. This firm took their whole board to made social media a fixed component of a brand’sUnleashing Global Marketing Potential™  6
    • White Paper media plan. And that there is an agreed-upon set of more sales and services. Also, the overall KPIs of the global KPIs across all social projects, including pilot business performances become the KPIs for the social programs. Once these are in place, you can compare marketing and social business activities. effectiveness across projects. Unilever’s DOVE is a Competitive example for focus. In companies at the Competitive level, we find that Dove carries out its marketing and strategy planning in social is included firmly in the marketing plans, a “media-agnostic” way, in which an individual job to be and focused on the questions, How do we learn done is defined, rather than the media, drives planning. from Customers? And How are we interacting with With this job to be done, Dove assembles all appropriate consumers? And, Are there new ways of delivering our agencies into one room, including partners like Facebook, value through the social channel? At the Competitive and asks, What’s the best way to do it? Dove then creates level, KPIs are no longer specific to social media, but a mix that delivers against that job. The Dove Self-Esteem are linked to overall brand KPIs such as awareness, Weekend is the result of the endeavor, in this case a preference and loyalty. Some firms at this level offer Facebook promotion coupled with big offline advertising spending guidelines. As social marketing interactions campaigns. increase, linkages begin to take shape. Coke, for example, has found a direct correlation between how At a focused, World-Class level is Nike. Nike is less in many “Likes” it has on its hugely popular Facebook the shoe business than it is in the business of being a page, and purchase intent. total service brand that helps consumers become better athletes. Nike facilitates everything from global runs to Having a set of spending guidelines is a hallmark of personal coaching programs, along the way enabling Competitive companies, that don’t just sit back and consumer interaction and building loyalty. Inside Nike, wait for the communication or media department the channel-agnostic byword is: If it helps deliver brand to come up with spending plans. Instead, they have purpose, it’s important. recommended spending guidelines, e.g. we want 80 percent on traditional, 10 percent on new social WHO’S IN CHARGE? CLARITY channels with proven results, with the final 10 percent ON SOCIAL MARKETING ROLES9devoted to experimental pilot programs with a strong An extremely challenging area for many organizations likelihood of success. is, How do we orchestrate and clarify all these different initiatives? In fact, the very first question everyone asksWHO’S  I N  Cfrom World-Class firms we note that the As we learn HARGE?  C LARITY  O N  S OCIAL  M ARKETING  ROLES first need a social media or marketing point is: Do weAn  extremely  challenging  area  for  many  organizaUons  is,  How  do  we  orchestrate  and  clarify   KPIs for social marketing activities often translate all the person? We believe the resounding answer is YES!all  these  different  iniJaJves?  In  fact,  the  very  first  quesUon  everyone  asks  is:  Do  we  first   way down to sales and profit. Take Intuit, whose socialneed  a  social  judged or  markeJng  pnot they generate believe  the  resounding  answer  programs that deliver activities are media   on whether or oint  person?  We   A defining characteristic of is  YES!   better quality, and better economics, is that they have A  defining  characterisUc  of  programs   a single point person. Often at the Hygiene level, it’s that  deliver  beVer  quality,  and  bmedia team that leads someone, a specialist within the eVer   economics,  is  that  they  have  a  corporate PR person the activities, with one legal or single   point  person.  OEen  at  the  Hygiene   serving as a check. level,   it’s   someone,   a   specialist   within  the  media  team  that  many organizations have As we move to Competitive, leads  the   acUviUes,  with  a ne  legal  or  cor a virtual Center of created either osingle locus, orporate   PR  person  serving  as  a  check.   Excellence, that oversees everything social on the company’s behalf, and helps coordinate programs. Social As   we   move   to   CompeJJve,and core ingredient of becomes a defined role, a new   many   organizaUons  have  created   either  a   the marketing operating model. As we move further intosingle   locus,   or   a   virtual   Center   of   Excellence,   that   oversees   everything   social   on   the  company’s  behalf,  and  helps  coordinate  programs.  Social  becomes  a  defined  role,  a  new  and   Unleashing Global Marketing Potential™  7core  ingredient  of  the  markeUng  operaUng  model.  As   we   move   further   into  World-­‐Class,   the   social   markeUng   role   breaks   up   into   more  
    • White PaperWorld-Class, the social marketing role breaks up into As an example of World-Class, we turn to Best Buy, themore specialized roles, such as for example; Community retailer. We have all these employees who are standingManagers. Also, importantly: in World-Class, it’s clear around our stores, waiting for people to come in, thethat organizations have migrated beyond their innate fear company reasoned. Why don’t they go online and 10of letting employees participate in social media, instead help consumers? In response, Best Buy rolled out thelobbying for employees to interact across all channels of “Twelp Force,” comprised of thousands of employeessocial media, using only Light Touch guidelines. automaUcally  deliver the Best This  provides  checks  and  balances  in  a  se who green-­‐lighted.   Buy promise every moment of every day across the globe. Can you think of a better way.  As a World-Class example, consider Dell’s Social Media way for an organization’s employees to convey aListening Command Center, a hub that monitors and purposeful brand promise?responds whenever necessary to all social interaction example  of  World-­‐Class,  we  turn  to  Best  Buy,  the  retailer.  We  ha As  an  with or about Dell, then spreads this learning across who   arthe rest of the organization. Companies at the World- stores,Class level understand that when ‘they go social’ comeeventually everyone in the company will be exposed reasonto social marketing and these organizations operate on online  the assumption that everyone in the company should In   respbe free to speak their minds online. If you accept that out   tthis is ultimately the future for all organizations, the compriquestion then becomes: How does marketing work employwith HR to ensure that every employee is not only Best  inspired by the brand purpose but also understands moment   of   every   day  across   the  globe.  Can  you   think   of   a   beVer   wahow they can add value in delivering this in the world? BUILDING SOCIAL MARKETING CAPABILITY employees  to  convey  a  purposeful  brand  promise? So how do you take the final step of deliveringThis is important because although we believe that   capability? What does it take to deliver tools,most successful global companies once started off information and training? In our experience, it comes BUILDING  S OCIAL  Mquestions: How close is everyone to thewith a strong purpose, today’s reality is often that this down to two ARKETING  C APABILITYgoal has been lost in translation or diluted over So  how  do  you  take  the  final  step  of  delivering  capability?  What  does   the brand purpose, and how comfortable and well versed informaUon  and  training?  In  our  experience,  it  comes  down  to  twoyears. As time goes on, leaders focused on profit took are they in using social media? These two questions everyone  is  to  the  brand  purpose,  and  how  comfortable  and  well  veover from founders and particularly large and complex drive where employees need to be trained.organizations often become staffed by people who social  media?  These  two  quesUons  drive  where  employees  need  to  beno longer intuitively understand the meaning of the Consider carmaker Porsche, headquarteredbrand. So marketing and HR together need to take a in southern Germany. We have no doubt that Consider  carmaker  Porsche,  headquartered  in  southern  Germany.  Wstep back and ask: Is everyone present convinced of Porsche  ePorsche employees areinspired  by  the  by the brand. ur  educated mployees  are  highly   highly inspired brand.  But  oour purpose? If every employee will be, in effect, a But our educated guess is that most of the Southern the  Southern  German  engineering  workforce  may  not  be  expert  Sospokesperson, How inspired are they by our brand? can’t   help   wondering:   Might   there   be   some be expert   help   these   e German engineering workforce may not   way   toHow will they speak about us? Social Media users. We can’t help wondering: enthusiasms  online  among  car  and  racing  aficionados?   Might there be some way to help these employeesAt the Competitive level, Coke has an internal Center share their enthusiasms online among car and An  opposite  example  is  RIM,  the   makers   of  Blackberry.  As   a  technoloof Excellence dedicated to social media, through which racing aficionados? most  RIM  employees  are  well-­‐versed  in  social  media,  and  could  spevery social media initiative first has to pass; However,it only has 24 hours to respond or suggest a change,eloquently  in  the  social  markeUng  space.  But  recent  and  well  publi An opposite example is RIM, the makers of Blackberry.or a correction, after that the initiative is automatically As asuggest  that  many  RIM   employees  have  lost   the  connec blogosphere   technology company, no doubt most RIMgreen-lighted. This provides checks and balances in a purpose.   We   are well-versed in social media, and  communicaUons   core   employees have   even   seen   lots   of   onlineseamless, highly efficient way. complaining  to  and  about  the brand eloquently in the social  building  capa could speak about the  company’s  board.  From  a is  an  organizaUon  that  could  benefit  from  focusing  first  on  what  th company,   and   have   as   a   purpose.   In   this   respect,   they   could   learUnleashing Global Marketing Potential™ organizaUon  such  as  Zappos,  whose  immersive  training  answers  the  8 Who  are  we?  and  How  do  we  work?  Simultaneously  and  powerfully.  
    • White Papermarketing space. But recent and well publicized of its most senior business leaders (from marketing tospats across the blogosphere suggest that many RIM supply chain) to Facebook, then ran them through a bootemployees have lost the connection to the company’s camp, asking them to consider the question, What couldcore purpose. We have even seen lots of online Facebook and the social world mean to our business?communications where employees are complaining What implications could it have for our future? Evento and about the company’s board. From a building better, Diageo is expanding their program in order to helpcapability standpoint, here is an organization that could leaders consider new ways to deliver value.benefit from focusing first on what they are as a brand,a company, and have as a purpose. In this respect, PUTTING IT ALL TOGETHER: THE ROADthey could learn from a World-Class organization such TO WINNING IN SOCIALas Zappos, whose immersive training answers the With the social marketing world evolving around usconjoined questions, Who are we? and How do we at warp speed, with new channels, with a need forwork? Simultaneously and powerfully. transparency taking center stage as never before, an enormous opportunity presents itself: getting closerAnother difference between Hygiene and Competitive to your consumer, learning from your consumer, andlevel organizations is the preparedness for crisis adding more value to your consumer. It’s what gets everyscenarios. After all, things will invariably go wrong. All marketer out of bed in the morning – and in today’srelevant employees need to understand who to contact social marketing world, it’s more possible than ever.and which emergency plan to initiate in case of a seriousproduct complaint or issue. Having such a scenario plan Our conclusion is that as this plays out the biggestin place can be the difference between a major out of opportunities will be for brands that are purposefulcontrol social media crisis and the opportunity to earn and open.respect with a fast and thorough reaction. If, as we do, you accept that over time everybody fromSpecifically focusing on the social media and marketing employees to consumers will be online, and speakingskills required we find that Hygiene-level companies, their minds about the company or brand, then onebecause they often lack sufficient communication thing is important: You must ensure that what you standamong social media practitioners across the globe, they for as a brand, and what you do online in the socialrisk making the same mistakes over and over again, a world, are in sync. If your highest benefit level is purelyrisky and expensive proposition. As organizations move functional we recommend a social strategy that staysto Competitive, there is dedicated training so marketers focused on push channels, much like advertising acrosscan learn to become social marketing leaders. a new channel. If your brand has a significant emotionalCompetitive companies also ensure that someone in thecompany is now responsible for codifying all relevantsocial marketing learning, and creating toolkits and BestPractice training programs internally.To use one of our favorite World-Class examples, atZappos social marketing skills are embedded in theoriginal immersion when employees join the firm.It’s an open company, with specialized training,where employees learn how to speak and engage withcustomers across every medium from day one. AnotherWorld-Class example is Diageo the drinks company,because this organization to date has taken almost 1000Unleashing Global Marketing Potential™  9
    • White Paperbond and benefit to offer than the social opportunity a negative Tweet, or tois bigger and we would recommend having an ‘engage’ the demands of an onlinestrategy where interactive learning and adding value is consumer group, and howtaken to a next level. But if you and your employees feel quickly and deftly could youthat the brand is truly purposeful, why limit the social turn these challenges intoeffort there? What could be better than having all your opportunities? In short,own employees and all consumers that support your how Socially Marketingpurpose championing the brand and creating rumor Ready are you?around the brand in the social world? By combining the What ofIn the future, we believe that the most open, your brand strength with the How of your organization’sfinely aligned organizations will win the game by internal structure, openness and readiness to deliverunleashing online consumers to speak about, and on those promises, we can almost guarantee that everygrow, their brands in ways marketers may not even future challenge of your organization will turn into anhave imagined. No matter what stage you’re at, ask opportunity.yourself: what is the appropriate social marketingorganizational ambition? What capabilities should If you are interested in a detailed findings reportyou build? Is everyone in the organization attuned to presentation, please feel free to contact:the brand promise and purpose? Are you sufficiently Jaron.Berkhemer@effectivebrands.comfluent in social media? How would you respond toAbout EffectiveBrands™EffectiveBrands is the only global marketing consultancy specifically focusedon increasing global marketing effectiveness. We support the developmentand embedding of global marketing strategy, structure and capability. Youcan reach our teams in New York, London, Amsterdam, Singapore and Tokyoby writing an e-mail to info@effectivebrands.com or visiting our website atwww.effectivebrands.com.Copyright Notice: The contents of this white paper are protected by copyright and may only be reproduced, stored in a retrieval system,or transmitted in whole or in part, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise by specificallymentioning EffectiveBrands as the source. EffectiveBrands™, Leading Global Brands™, Purposeful Positioning™, The Global Brand CEO™,Share of Experience™, SocialMarketingReady™ and The Effective Global Marketing Roadmap™ are all trademarks of EffectiveBrands Inc.NEW YORK AMSTERDAM LONDON SINGAPORE648 Broadway, Ste 502 Singel 540 28-30 Little Russell Street 17A Duxton Road www.effectivebrands.comNew York, NY 10012 1017 AZ Amsterdam London WC1A 2HN Singapore 089483 info@effectivebrands.comUSA The Netherlands United KingdomT: +1 212 358 9638 T: +31 20 330 2636 T: +44 20 7831 8444 T: +65 6221 3693 © 2011 EffectiveBrandsUnleashing Global Marketing Potential™   10