THE RULES OF THE GAME HAVE CHANGED The consumers voices have become louder than traditional marketing
SOCIAL MEDIA GIVEINDIVIDUAL THE POWER TOINFLUENCE THE WORLDAROUND THEM 90% of consumer trust peer recommendations 100 60 5 3 2 10 ONLY 14% trust advertisements
DIGITAL REVERSED THE WAYBRAND & CUSTOMERSINTERACT From brand to customers From With the digital, people are empowered, people to have access to resources like never the brand before, get organized and are able to take action.
DIGITAL IS NEITHER A NEW MEDIA,NOR A NEW COMMUNICATIONTOOL… PRODUCTION CUSTOMER DISTRIBUTION RELATIONSHIPIT’S A REVOLUTIONARY BUSINESS ENGINE
“ We do not have a choiceon whether we DO social media, The question is how well we do it Erik Qualman ”
SOCIAL MEDIA The moreOFFER HUGE you are the more you can do DirectPOTENTIAL Source of feedback is creativity pricelessFOR BRANDS “Always on” customers Doing good Fans = in their life best is the advocates strongest link WoM, amazing com tool
THERE ARE MANY REASONS FORUS TO EMBRACE SOCIAL MEDIA Democratic Open & brand Transparent Young adults Techno oriented savvy Leader
LOOKING AT WHAT OURCONSUMERS WANTTo take part in To be more To be the star of To feel more the creation involved in what the kitchen listened process the brand does TO ENGAGE
THERE IS A BIG OPPORTUNITYFOR USConvert frequent young usersinto advocates throughgreater engagement
EVERYTHING STARTED INGERMANY FROM A SIMPLEINSIGHT Our consumers love playing and experimenting with our products
USING CROWDSOURCING Crowdsourcing is how the power of the many can be leveraged to accomplish things that were once the responsibility of a specialized few. The crowd is more than wise, it’s talented, creative and stunningly productive.“Crowdsourcing, why the power of the crowd is driving the Future of Business” by Jeff Hove - 2009
CROWDSOURCING IS MUCHMORE THAN COMMUNICATIONMany companies have done some.But most of them have used it only asa communication mean. Crowdsourcing helps brands walking toward a new model of collaboration.
AFTER DECADES OF FOOD INNOVATION ...... WE DECIDED TO LET YOU DECIDE
KEY PRINCIPLES FOR THE FIRST TIME, CONSUMERS CAN Create their own burger recipe online Design their digital campaign and promote it on social media See their burger sold across the country DO YOUR OWN BURGER
OBJECTIVES• Create excitement around promotional burgers and generate footfall• Create digital buzz through viral elements & social media• Improve RMS thanks to free media coverage• Improve brand bond by leveraging positively consumers’ ego
…AND ALSO• Empower consumers and turn them into brand ambassadors• Position McDonald’s as a digital innovator
A 4 STAGE PROCESS CREATION: People create their own burger online 1 from a selection of 100 ingredients PROMOTION: They promote their burger trough 2 social network, videos, pictures and Facebook pages to get the most votes FINALISATION: The creators of the top 10 burgers are 3 invited at McDonald’s to refine their recipe with chefs ROLL OUT: The 5 winning burgers are selected by a 4 jury of food specialists and sold in all McDonald’s restaurants across the country
STAGE 1 - CREATION• Meinburger application launched to allow consumers to create new recipes and vote for their favorites
STAGE 1 - CREATION People created their own unique burger from 70 ingredients More than 5,000,000 possibilities, all achievable in our restaurants
STAGE 1 - CREATION Burger inventors got an overview of their burger and found out details about calories and quality of each ingredient
STAGE 1 - CREATION Burger inventors choose a name for their burgers before it is published
STAGE 2 - PROMOTION To generate more buzz, we gave people banners, a facebook profile and posters featuring their creation
STAGE 2 - PROMOTION Contestants could promote their burgers with a personalized video, in which they were shown as famous burger inventors
STAGE 2 - PROMOTIONPeople succesfullypromoted their burger bytheir ownFacebook Fan page of Kann, 800 000 + fans ! Steve, winner of the contest on World of warcraft forum
STAGE 2 - PROMOTION Inventors invite their friends to vote for their burgers, spreading the word about the campaign
STAGE 3 - FINALISATION The top 10 burgers made it into the McDonald’s kitchen
STAGE 3 - FINALISATION After building, tasting and finetuning their burgers, the contestants presented their creations to a jury. Based on appearance, creativity and flavour, the jury choosed the top 5 burgers.
STAGE 3 - FINALISATION Fans could vote on line for their favourite and the Winner was announced.
WE HAD GREAT RESULTS « We really did not expect to have this much success with the campaign. The access we had was in part 40, 50, 60 times higher than previous successful campaigns » Norma Rockmann, Razorfish Germany
.RESULTS OF THE FIRST EDITION..... 116.000 Burgers created............... 1.500.000 Votes Every 23 sec. a burger was created....... 12.000 Individual Campaigns........ 2.000.297 Campaign views on the McD Site......... 21.100 Facebook Likes 120.000 additional Facebook fans
THE 2nd EDITION ACHIEVED...EVEN BETTER RESULTS... 327.653 Burgers created............... 4.995.278 Votes Every 7 sec. a burger was created....... 22.895 Individual Campaigns........ 3.287.297 Campaign views on McD Site......... 37.150 Facebook Likes 200.000 additional Facebook fans
AD OF THE YEAR Highest Likeability of the yearHighest ad recall of the year Ad Treck Report “Mein Burger”
NEW RECORDS ON FACEBOOKPOSTS AND FANS#1 Facebook fan page in Germany In the history of McDonald’s there were never so many McDonald’s have never won Facebook posts for a so many new Facebook Fans campaign throughout a campaign before
BEST EVER PROMOTIONAL CAMPAIGN IN SALES Mein Burger brought more guest to No campaign McDonald’s than any achieved as many other campaign before sales as “Mein Burger” The winner burger “Just All 5 wining burgers Stevinho” is the best exceeded all sold Chicken promotion expectations by far burger of the last 3 and were even partly years sold out 44Results – internal sources
GREAT BENEFITS FORTHE BRAND BOND QUALITY LEADERSHIP MODERNITY Opportunity to The first crowd Opportunity to Social media create an sourcing talk about the exposure & emotional experience with ingredient customisation connection with burgers quality and story trend consumers And also ... Low budget cost
... AND ALSO FORTHE CONSUMERS VALORISATION CELEBRITY CUSTOMIZATION INSIDER Feel Famous on Get behind the Can create the empowered social network scene of burgers burger of their and listened but also TV, POP, creation and choice among radio meet the chefs +100 ingredients
A GREAT RESOURCEFOR R&D 460,000 recipes created in 2011 and 2012 We know better which ingredients and combinations consumers want - Duncan Cruttenden, R&D Manager, McD Germany
5 THINGS TO REMEMBERFOR YOUR DIGITAL AGENCY Ensure that the platform is secure against hack attacks Run a stress test on the platform before you start Do not underestimate the number of participants, especially in the first hours and days Put a lot of care and attention in the design and navigation Get your community manager ready
COMMUNITYMANAGEMENT ISA VERY SENSITIVE TOPIC Involve Communication Department Be transparent and communicate openly and honestly with the community at any stage Never change the rules within the running campaign Be prepared to act fast
SOME REMAINING QUESTIONS Are we still going to be recognized for our expertise of burgers creators? What are the longer term effect on our relationship with customers? What do they expect next?
CONCLUSIONS• Digital technologies enable companies to better know, understand and collaborate with consumers but in exciting new ways.• Digital is not a new media. It is a new platform that generates new services.• The quest for the R Factor - Consumer Relevance - should lead the transformation process of the companies.• Social CRM is making traditional CRM outdated.
THANK YOU Pierre Woreczek iStrategy Conference, London, May 2012