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Social Business: the SMM evolution. Sao Paulo eShow


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Some companies have realized the potential of social media beyond a marketing channel. They don't care for their Facebook wall or their twitter accounts as much as they care for enabling their employees to change the culture and use different tools to foster collaboration and open innovation. They are focusing on what matters now: building strong ties with customers and partners so that together we can confront the pace of change that our century will impose us.

Published in: Business, Technology
  • Transcription (English) (PART I)

    The whole day talking about marketing. But, let's forget about marketing… at least for a moment. Social Media is much more than a marketing channel. It could be considered Marketing if we write Marketing with capital M, but that isn't usually the case.

    Social media is becoming a mix of tools and culture that is changing society and organizations forever. Social Media should be the core of your organization. Transforming it into a Social Business.

    Social Media is about people. And businesses, whether they like it or not, are about people. And for the first time, businesses will be obliged to put people first. And not only in their annual reports, or in their CSR initiatives.

    People were the missing P, in the 4 Ps marketing mix.

    We've heard a lot about social media. The whole afternoon in this room our head is going to explode. It's 2012. We've heard about engagement, social commerce, … But in the next minutes I want to talk to you too about some lesser discussed topics:
    1) How to gain productivity through internal and external collaboration,
    2) How to open your innovation process.
    3) How to gain more meaningful insight of your customers

    And, of course, we will also discuss:
    4) How to generate sales through social media.
    5) How to position a brand or increase reputation.
    6) How to give customer support.
    7) How to build engagement.

    7 STEPS
    Let's start. Last things first:

    7) Engagement
    Engagement is the word of the year. And even if we could define it, I think not many companies know yet how to build engagement, and they are using new media just as an advertising one-to-many environment. Engagament is mainly built around content, creativity and conversations. When NH Hot'els, a Spanish multinational hotel chain, asked us to acc'ompany them onto the Social Media scene, we started by explaining our principles of creativity 2.0, summarized by the sentence: 'fail often, fail quick, fail cheap'. We have to be agile, try beta ideas, if it works we go on, if not, we pass on to the next idea.
    We created a lot of campaigns for NH Hotels under these creativity principles. Including Name your Room. Through a Facebook application, NH put real names on the doors of more than 40.000 rooms all over the world and gained thousands of fans. But one of our most successful moves was based on Instagram. 2 months after its creation, NH were one of the 10 first brands using it worldwide. The idea was simple, take a photo capturing the beginning of a project, a new day, an adventure, and share it with the world with the hashtag 'wakeuppics'. That was the motto of NH in Social Media. 6 months after launching the first contest, there were already more than 10.000 pics. People still use the hashtag. If you use Instagram, look for the hashtag, today I checked it out and there are 12.000 more pictures. And now, NH appears in all the rankings of '20 brands doing amazing things on Instagram'. That's the importance of being a 'first mover'.
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    6) Social Support
    I am going to talk you about the importance of Customer Service in Social Media, with one example: Telefónica Movistar.
    Meeting together in our war room, the day before the official launch of corporate SM channels„ one Telefonica director rolled his eyes and said: 'we are going to be destroyed. Everybody will say bad things about us on Twitter and Facebook'. At exactly this moment, we looked for the word Movistar up on Twitter and 100 % of messages, being dropped every 10 seconds, were awful. However two months after the official launch, 15% of messages were positive, influenced by the activity of the brand. How did we get to that?

    Telefónica built a social media team with people from customer service used to solving incidents in online support forums. We had a hard time defining workflows and integrating them with existing departments to be 'multi-channel'. Not sending people from one channel to another. Taking care of them from moment one, and assuming the complexity internally. No other company was giving support on Twitter or Facebook. Result: in two months, Telefonica surpassed Vodafone on Twitter and Orange had to shut down its account and reopened it 3 months later. Telefonica have won several awards for their presence in Social Media in Spain.

    5) Branding
    What about branding and reputation? Let's take a look at Correos, Spanish Correios. When we think of them, we think of a postman delivering mail to an old lady, happy to receive a letter from her grandson working in Sao Paulo. Of course, post mail is over, and Correos knows it. And they are fighting to switch from this image to their main business: e-commerce and parcel delivery. How can we do this through Social Media?

    Around content.

    We created an e-commerce blog, now the number one of its kind, focused on small businesses that sell online. We also published the first Social Commerce Report, including trends and best practices, combined with quantit'ative and qualit'ative in depth research. And we presented it in front of one thousand people at the main eCommerce event in Madrid. Result: twenty thousand downloads in 6 months. When small businesses start to think about its eCommerce site, they get pointed to the Correos services.

    4) Social Commerce
    What about the BIG question: what about sales? Of course, you can use Social Media to sell. But first, you have to build a community.

    That's the case of Venca, a Spanish catalogue retailer. They started building content and community. Asking their fans to share their looks with a Facebook App. They collected 1.500 pictures in two weeks. After some months, they started running special promotions on Facebook, and I can assure you, that they are selling. Venca sends people to their online shop, where social function'ality like reviews, comments or Facebook likes are up, running and improving conversion: from incoming leads to sales. Conversion of social media leads can be 5 times bigger than other channel leads.

    And now for my favorite topics:

    3) Social Intelligence
    Through Social Business Intelligence, we can measure reputation, analyze brand values, understand key points about the shopping experience, or even predict if a product will have more or less 'impact in the mid term. We can also measure the impact (ROI) of an offline campaign through the buzz generated in Social Media.

    Could you distinguish a car owner from a non-owner, just by reading what they write in blogs, message boards, etc. That was a key question working with Toyota, the Japanese automaker. We convinced them to listen and collect millions of conversations. Analyzing them, Toyota is now able to compare their brand and vehicles to those of their competitors. They can understand what customers and potential customers expect from their services.

    In this slide, you can appreciate the Barbara Aaker model to evaluate a brand personality. She created 20 years ago and now we adapted it to the social media environment. You can see how sub-attributes conform the main attributes of a brand. This information is based on the analysis of thousands of conversations. Toyota is now able to put more emphasis on different attributes, based on the collected information.
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    2) Social Innovation
    And even if social Intelligence will be critical to brands, the XXIst century is the century of innovation. No company will survive without embracing change as 'the new normal'. And innovation is social. Companies are starting to realize the potential of opening up the innovation process to the world. Once a closed workflow run by internal engineers, the innovation process can now be transformed into an open talent contest. Where clients, partners, suppliers and employees collaborate to harness the power of new ideas.

    Perhaps you've heard of My Starbucks Idea, where customers of the world-known coffee chain suggest improvements and new products. But let me tell you about GiffGaff. Giffgaff is a virtual operator of O2 Telefonica in United Kingdom. Before launching the service in 2009, they had already established an online community which helped the company define the services. The members proposed and voted on the best voice and data service packs. In 2010, 100% of customer inquiries were answered by the community: that's a total of 100.000 answers. And the customer service provided by the community was voted 8.5 out of 10.

    Giffgaff has a payback system to reward contributors. But it's not only about the money. Giffgaffers, as they call themselves, are eager to participate and it has to do with recognition and the feeling of belonging. Giffgaff employees educate the community and listen to them. The 20 employees aren't able to cope with the 400 plus suggestions made by the community every month about improving the services. The result: The Giffgaff company is growing fast and its Net Promoter Score is much higher than a normal 'telecom' company, with results similar to Google, Apple or some automotive brands.

    1) Enterprise 2.0
    Ok. We've reached number 1. I told you to 'forget about marketing', but I have talked about it the whole time. At least we've written it with capital M. But if you follow the key learnings discussed before, you will get to the heart of the matter: People first. People inside your organizations will be more connected, more collaborative, more motivated. Sharing knowledge and passion.

    When speaking about 'Social Business' or 'Enterprise 2.0', I can spend hours talking about our company, Territorio creativo. We are a professional services firm, with a strong 2.0 culture. Decentralized teams work on their projects, but stay connected through internal collaborative networks, to share knowledge and insights. At Territorio creativo, much of the decision process is taken by voting on SocialCast (a kind of Yammer or Internal Twitter).

    We are composed of self-managed teams that are able to ask for help, and receive it almost instantly. How could we have grown from 5 to 60 people in two years otherwise? New hires are able to add value after a short 4 week training period.
    And motivation is always high because transparency and meritocracy is in our DNA. Culture 2.0 has to do with sharing, recognition and communication. Our internal mantra is 'Communicate More'.

    McKinsey has found a correlation between the companies intensively using social software and their market share and profitability. We, at Territorio creativo, have also found this correlation and work hard to show our clients how to get there.

    Some final thoughts.

    0) People first
    Internet is changing the rules. The social web will transform society like the printing press once did. Democracy, education, organizations…

    Some companies have realized the potential of social media beyond a marketing channel. They don't care for their Facebook wall or their twitter accounts as much as they care for enabling their employees to change the culture and use different tools to foster collaboration and open innovation. They are focusing on what matters now: building strong ties with customers and partners so that together we can confront the pace of change that our century will impose us.

    You can find this presentation and the transcription of my speech in

    We've gone through:
    - Engagement
    - Social Support
    - Branding
    - Social Commerce
    - Social Intelligence
    - Social Innovation
    - Enterprise 2.0

    If I was asked to keep it simple and choose one point: let's put people first. The Return on Investment will surprise us. And maybe our understanding bosses will still be there to see it.

    Thank you very much!
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Social Business: the SMM evolution. Sao Paulo eShow

  1. 1. Social The Social MediaBusiness Marketing evolutionFernando Polo @abladiasSao Paulo, eShow,13 June 2012
  2. 2. Social Media Marketing Advertising Customer Care Social 2 Communication Media #Territorio creativo Marketing Sales Social Media Product Development
  3. 3. People first Social Business Social Media #Territorio creativo 3
  4. 4. XXIst Century Marketing1960-2000 P 4 #Territorio creativo people Social Media
  5. 5. 1. How to gain productivity through internaland external collaboration,  52. How to open your innovation process. #Territorio creativo3. How to gain more meaningful insight of your Social Mediacustomers
  6. 6. 4. How to generate sales through social media.5. How to position a brand or increase 6 #Territorio creativoreputation.6. How to give customer support. Social Media7. How to build engagement.
  7. 7. 7.engagement
  8. 8. #engagement Social Media #Territorio creativo 8
  9. 9. From target to community Community Management 9 Content #Territorio creativo Creativity Public Relations 2.0 Social Media Advertising (Social Platforms)
  10. 10. Transmedi a Useful First Move Our vision Creativity 2.0 On /Off / On new rules 10 Low Cost Buzz #Territorio creativo Fan Centric Social Mediafail often, fail quick, fail cheap
  11. 11. NH Hoteles Name Your RoomSocial Media #Territorio creativo 11
  12. 12. Wakeuppics NH HotelesSocial Media #Territorio creativo 12
  13. 13. 6.customer service
  14. 14. Movistar: a success case studySocial Media #Territorio creativo 14
  15. 15. Social CRM Social Media Contact Center Customer Internal Conversations Interactions Data MONITORIZACIÓN 15 #Territorio creativo ANALÍTICA INTEGRACIÓN CRM OPERATIVO Social Media Internal / External Segmentation Customer Insights Data Integration
  16. 16. 5.branding
  17. 17. Social Media #Territorio creativo 17
  18. 18. Correos - eCommerce blog & reportSocial Media #Territorio creativo 18
  19. 19. 4. socialcommerce
  20. 20. sales?
  21. 21. Venca: selling through FacebookSocial Media #Territorio creativo 21
  22. 22. 3. socialintelligence
  23. 23. Social Business Intelligence Social Business Intelligence 23 #Territorio creativo Brand Product Shopper Persona Influence SCRM Media Social Media Social Scorecard Social Business Model
  24. 24. Social Business IntelligenceBrand Persona Sincere Atrevida Contemporánea Actual Independiente Flexible 24 Robust Exciting #Territorio creativo BRAND Sobresaliente Enérgica Única Tendencia Social Media Sophisticated Competent Imaginativa Joven
  25. 25. 2. socialinnovation
  26. 26. My Starbucks IdeaSocial Media #Territorio creativo 26
  27. 27. Giffgaff: the community is the company #Territorio creativo Social Media 27
  28. 28. 1.Enterprise 2.0
  29. 29. 29 #Territorio creativo Social Media
  30. 30. #TcBrain Social Media #Territorio creativo 30
  31. 31. Networked enterprise + profitability 31 #Territorio creativo + market share Social Media
  32. 32. Final Thoughts
  33. 33.
  34. 34. Engagement Social Support Branding 35Social Commerce #Territorio creativoSocial IntelligenceSocial Innovation Social Media Enterprise 2.0
  35. 35. 0.People First
  36. 36. People First Social Business Social Media #Territorio creativo 37
  37. 37. social customer engagement Fernando Polo @abladias