Do fans make good customers? [The role of social media in customer loyalty.]

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Presentation make during the Customer Loyalty Conference organized by Marketing Magazine on 2014-03-27.

Presentation make during the Customer Loyalty Conference organized by Marketing Magazine on 2014-03-27.

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  • 1. • Social media - miracle cure or panacea? Do fans make good customers? Wong Wan Ling 27 March 2014 E: skype: joanisabellewong
  • 2. "Try not. Do or do not." Yoda
  • 3. Surprised? Source: iAcquire & Survey Monkey (
  • 4. Declining reach Source: Oglivy Social ( February 2014, organic reach hovered at 6 percent, a decline of 49 percent from peak levels in October. Organic reach to approach zero in the foreseeable future.
  • 5. The confusion 83% of marketers indicate that social media is important for their business. (Source: Social Media Examiner) 52% of marketers cite difficulties in accurately measuring ROI as their biggest source of frustration in social marketing. (Source: Adobe) Retail is the top industry that has acquired customers through Facebook. (State of Inbound Marketing, 2012) Marketers struggle with lead generation on Facebook. (Social Media Examiner)
  • 6. The changing psychograp h Source: iAcquire & Survey Monkey (
  • 7. The profusion
  • 8. The profusion Source:
  • 9. Quantification Attribution MeasurementClutter
  • 10. The nature of loyalty Emotional Loyalty Psychographic Loyalty Transactional Loyalty
  • 11. Loyalty can be lifted with the right loyalty levers Emotional Loyalty Psychogr a-phic Loyalty Transactional Loyalty Customer Service & Product Development Interact & Engage Inform & Update
  • 12. Social influences on loyalty levers Product Showcase Brand Advocacy News & Updates Post-Sale Support Com- munity & Network Customer Service & Product Development Interact & Engage Inform & Update
  • 13. Unexplored uses Intelligence gathering Product development Business support Customer service Product development
  • 14. • Listed “operational hours” on the official twitter account – Utter unwillingness to respond timely and effectively • Updates on train delays / breakdowns took more than 1hr 20 mins to disseminate • Tone of updates - antagonistic & condescending • In one major breakdown where 4 trains were stranded, trapping 1000 passengers in train cars without ventilation or lighting, SMRT made a broadcast to their taxis with “income opportunity” messages, while their FB page is peppered with status updates of promotions and competitions. – Cisplays ignorance in ‘real world’ circumstances & insensitivity [Case Study] SMRT A failure in customer service SMRT only began their foray into social media under public pressure resulting from constant service stoppages and ineffective early warnings. The results were however, disastrous.
  • 15. • Hosted an online community 150 opinion leaders in health & nutrition • Discovery: – Women had trouble maintaining their diets throughout the day • Result: – An entire line of 48 products developed in 16 months – South Beach line boasted $100 million in sales in its first six months on the market [Case Study] Kraft South Beach product dev Kraft Foods partnered with South Beach Diet to introduce a new meal and snack product line. Source: Kraft Tallies $100M in Sales Lift By Tapping Into Online Communities by Amabda F. Batista into-online-communities.html#.Uy6fGvmSxyw
  • 16. Can you? Do you? Have you? Timely response Accurate information Appropriate channel(s) Organization ready Affordability
  • 17. "Try again, fail again. Fail better." Samuel Beckett