Digital marketing to the rural sector 2

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A presentation on developing effective websites and social media marketing strategy to the rural sector. Presented at the marketing to the rural sector conference, Auckland NZ in September 2010

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  • Digital marketing to the rural sector 2

    1. 2. What we’ll cover… <ul><li>1. Myth busting – review key trends </li></ul><ul><li>2. Developing Value-add websites </li></ul><ul><li>3. Social media and it’s application </li></ul><ul><li>4. Potential of online retailing </li></ul>AGENDA
    2. 3. Mmmm …maybe Jamie is right, only townies use it!! ” “ cockies don’t have reliable access to the internet” “ Face it Adam … cockies just don’t think it’s important ”
    3. 4. “ 55% of Rural homes had broadband in 2009” Source: Statistics NZ: Household Use of Information and Communication Technology: 2009. 97% of rural homes will get broadband under the Govt’s Telecommunications Service Obligations (TSO) plan, which Cabinet recently signed off MYTH: Rural people don’t have reliable access to the Internet Source: AUT World internet project - 2009
    4. 5. “ 26% of RURAL users are online 10+ hours a week this compares to URBAN users at 43%” Source: AUT World internet project - 2009 “ 34% of farmers use the internet Daily for Farming / Business Related Activities” Colmar Brunton 2007 Readership MYTH: Farmers and other rural people don’t use the internet
    5. 6. 45% of rural people rate the Internet as important in daily life “ Being stuck on dial-up is more annoying than sky-rocketing petrol prices & the weather” Source: Vodaphone Survey 1,068 rural New Zealanders surveyed MYTH: Rural people are no really that interested in the internet
    6. 7. Nearly 60% of rural people rate the Internet as an important source of information V’s About 50% of rural people rate other people as an important source of information MYTH: Rural people rate other rural people as most important source of information Source: AUT World internet project - 2009
    7. 8. Source: TNS Conversa: Rural Publication Readership April 2010 Media Channels: Where do farmers get their information? Where would you say you get your farming information? Question is multiple response so total will sum to greater than 100%
    8. 9. The internet as an information source Source: AUT World Internet Project 2009 65% of Kiwis rate the Internet as more important than… television at 55% Newspapers at 53% and radio at 43% the Internet even rates rather higher than family and friends 53%
    9. 10. News media: Where do Kiwis’s get their news? 53% TV 23% website 11% newspaper females prefer TV 59%, males go to media websites 28%, 15-24 year olds 40% Source: Attitude NZ May 2010 http://www.attitudenz.co.nz/
    10. 11. … where the consumer goes …spend follows!!
    11. 12. The trend in spend Data source: ASA (NZ) Industry Turnover statistics 2000-2009 Linear regression used to forecast 2010-2014 “ The internet will overtake newspapers as free to air television to become Australia’s largest advertising medium by 2014 ” The Australian, August 02.2010 (reporting on PwC findings)
    12. 13. Key take-away <ul><li>Shift to online is happening faster than you think </li></ul><ul><li>Effectiveness of online channel is beyond doubt: </li></ul><ul><ul><li>Equals: Trust, persuasion and cost </li></ul></ul><ul><ul><li>See http://bit.ly/ccfQcc ( Nielsen: Global Advertising: Consumers Trust Real Friends and Virtual Strangers the Most) </li></ul></ul><ul><li>Despite substantial drift of audience to online in NZ, disproportionate $$ still on traditional media </li></ul><ul><li>Online is not an opportunity it is an imperative </li></ul>
    13. 14. Development of interactive & value add websites… … is about unbundling of content
    14. 15. Content is bundled, e.g. a corporate web site… … only accessible through a single URL… Content is unbundled… … end users evolve the content. … distributed through social media networks … OLD WAY : content is produced and then consumed … NEW WAY: content is created , shared , remixed , repurposed , …and them it is passed along! This is a top down process! This is a distributed process! MICROSITE I BLOG … end users have to find content.
    15. 16. Simple & minimal corp. messaging Easy access to Social Media channels. Allows engagement on users platform of choice. Blog style content. In this case response to negative PR Blog style RSS feeds, for easy distribution Customer/needs aligned messaging News/Responsive communication Customer aligned visual messaging Case Study: Monsanto Corporate website Employee / human side of organization. Employee connectedness to market
    16. 17. Campaign specific microsite Case Study: Monsanto Micro site
    17. 18. Blog format for easy of publishing & repurposing Cross referencing other social media channels “ Post” should allow user commenting Case Study: Monsanto Corporate blog http://bit.ly/999WNU An interesting research paper of Monsanto's marketing strategy (dated March 2010)
    18. 19. Use of Flickr to put a human face to a large corporation Case Study: Monsanto Social Media, Flickr
    19. 20. Use of you tube for smart corporate communication Note: 20K views Transparency: Ability for users to comment U.G.C. – like or not like Case Study: Monsanto Social Media, youtube Make it easy for consumers to follow
    20. 21. “ Wall” News feeds can be automatically republished from blog Transparency through comments Easy access to other social channels Easy access back to traditional website or microsite Case Study: Monsanto Social Media, Facebook
    21. 22. Marketing Communications is now about conversation with consumers = authenticity & transparency NOT traditional, monologue, B2C communication Homework read Fluent, Influence Marketing Report http://fluent.razorfish.com/ Also the Razorfish Digital Outlook report http://razorfishoutlook.razorfish.com
    22. 23. <ul><li>Unbundling content allows for </li></ul><ul><li>ENGAGEMENT </li></ul><ul><li>REACH : Distribution across multiple touch points </li></ul><ul><li>EFFECTIVENESS : Streamline marketing message’s </li></ul><ul><li>CREATIVITY : Gets you thinking – brings creativity back </li></ul><ul><li>DEATH TO BROCHUREWARE </li></ul>
    23. 24. U ser G enerated C ontent = the new persuasion Unbundling Content = user generated content
    24. 25. <ul><li>The aim </li></ul><ul><li>Allow your customers to sell your products to their peers </li></ul>
    25. 26. <ul><li>How </li></ul><ul><li>provide your customers with a platform & opportunity to do it!! </li></ul>
    26. 27. 52% of Kiwis engage post content on the Internet 52% of users post messages 46% post images and/or videos, 10% post audio material. 9% post for financial gain . Kiwis are sophisticated content creators Source: AUT World Internet Project 2009 Online New Zealanders are increasing their participation  in social media at a rapid rate, with content sharing the most popular social media activity. Nielsen 2010
    27. 28. +50% of kiwis post messages on persuasion orientated sites
    28. 29. <ul><li>… research purchases (AC Neilson, 2009) </li></ul>9 out of 10 internet users use the internet to …
    29. 30. <ul><li>… and a further 31% actively create reviews </li></ul>Of these 64% have sought opinion of other online consumers
    30. 31. <ul><li>71% of online consumers report that online reviews </li></ul>change opinion
    31. 32. <ul><li>45% say that that consumer generated content has the </li></ul>greatest impact on their purchasing decisions
    32. 33. traditional top-down branding will become increasingly irrelevant as social media grows
    33. 34. With Consumers actively shaping brands as much as the brands themselves
    34. 35. <ul><li>Encourage UGC </li></ul><ul><li>POLICY: Develop internal policies that cater for user engagement. </li></ul><ul><ul><li>Train & allow customer service to monitor forums </li></ul></ul><ul><ul><li>Involve, IT and HR </li></ul></ul><ul><li>CAMPAIGN PLANNING: Develop campaigns that inspire UGC: </li></ul><ul><ul><li>Photo competition </li></ul></ul><ul><ul><li>review products/services </li></ul></ul><ul><ul><li>public feedback </li></ul></ul><ul><li>UNBUNDLE: Move your marketing communications onto platforms that allow UGC </li></ul>
    35. 36. Where is this happening? … the new breed of media properties…
    36. 37. <ul><li>The rest of the world may call these Social Networks </li></ul><ul><li>You will call them Marketing Channels they are the new Media Properties </li></ul>
    37. 38. <ul><li>New Media v. Old </li></ul><ul><li>FACT: New-media propertied are enormous Facebook has more than 500 million active members </li></ul><ul><li>What is the future value of media properties? check out the share valuations </li></ul><ul><li>News Corp $11 - 18 </li></ul><ul><li>V. Google $433.63 - 629.51 </li></ul>
    38. 39. The new social scene 48% of kiwi’s participate on social networking sites 75% with Facebook 18% bebo … of these 31% are rural Trend or Fad? “88% Kiwis say that social media is here to stay” S ource: attitude NZ April 2010 report
    39. 40. <ul><li>42% of online Kiwi’s are interacting with companies via social networking sites </li></ul>Social Media amongst New Zealand Businesses Survey: Nielsen 19 July 2010 The new business scene
    40. 41. The new word-of-mouth marketing Social-Media
    41. 42. Where to start?
    42. 43. Monitoring online Conversations Step 1
    43. 44. People are already talking about you!!!
    44. 45. Discover where people are talking about you
    45. 46. <ul><li>volume and tonality of conversation about </li></ul><ul><ul><li>your company </li></ul></ul><ul><ul><li>competitors </li></ul></ul><ul><ul><li>industry and issues you care about </li></ul></ul><ul><li>Look for: </li></ul><ul><ul><li>key influencers driving conversation </li></ul></ul><ul><ul><li>Customer needs : likes, dislikes, wants and needs </li></ul></ul><ul><ul><li>competitor activities </li></ul></ul>Listen for: Insight gained from listening will guide the social media strategy
    46. 47. Share insight & take action… <ul><li>is a customer praising you online? </li></ul><ul><ul><li>… say thank you </li></ul></ul><ul><li>is a customer complaining about your company? </li></ul><ul><ul><li>… reach out and fix the situation </li></ul></ul>
    47. 48. <ul><li>tools you can use: </li></ul><ul><ul><li>Google Blog Search, Technorati </li></ul></ul><ul><ul><li>blog/RSS readers </li></ul></ul><ul><ul><ul><li>Bloglines, Netvibes or Google Reader. </li></ul></ul></ul><ul><ul><li>advanced, subscription-based listening platforms such as Radian6 </li></ul></ul><ul><li>Customers will also be talking about you in forums and places like Trademe and Facebook. </li></ul>How?
    48. 49. Getting Started <ul><li>Find ways to join the conversation. </li></ul><ul><ul><li>Leave comments on blog posts </li></ul></ul><ul><ul><li>respond to questions in a forum or message board </li></ul></ul><ul><ul><li>Share new information with an influential blogger, you might email him or her directly </li></ul></ul><ul><li>Expose brand evangelists within your own company. </li></ul><ul><ul><li>Employees are likely some of your biggest fans . </li></ul></ul><ul><ul><li>Encourage them to participate in online conversations, and make sure your company policies allow them to do so </li></ul></ul>
    49. 50. Joining conversations allows… <ul><li>Building a relationship with digital influencers </li></ul><ul><li>Generate positive word-of-mouth </li></ul><ul><li>Demonstrates your industry leadership </li></ul><ul><li>Put a name and face on your company </li></ul><ul><li>Gain insight to improve your company’s products and services. </li></ul><ul><li>Manage issues and crisis situations </li></ul><ul><li>Influence mainstream media coverage </li></ul>
    50. 51. Opportunity for eCommerce
    51. 52. Kiwi’s are buying more things online 10% rural users purchasing daily 30% at least weekly Source: AUT World Internet Project 2009
    52. 53. An eCommerce site is the most favoured in NZ http://www.attitudenz.co.nz/ What is your favourite website? Attitude New Zealand | Published on 16/06/2010
    53. 54. <ul><li>3 out of 4 Kiwis have purchased online in the past 6 months? </li></ul>Attitude New Zealand | Published on 16/06/2010
    54. 55. <ul><li>minimal investment/Low risk </li></ul><ul><li>Not just for SME’s </li></ul><ul><li>$400 setup fee + $80PM </li></ul><ul><li>Use to promote special’s, inventory Clarence etc </li></ul>Set up a trade me store Get in at the ground floor
    55. 56. Think smart!! <ul><li>Market your ebusiness: How can other channels, like twitter, be used to promote your activity </li></ul><ul><ul><ul><li>Use Online or offline CTA i.e. Drive back to store </li></ul></ul></ul><ul><ul><li>Exclusivity : Reward customers for adopting desired behavior. </li></ul></ul><ul><ul><li>Target campaign at key influencers , drive opportunities for word-of-mouth “I got the best deal just by following twitter” </li></ul></ul>HOMEWORK: http://business.twitter.com/twitter101/case_dell
    56. 57. Attitude New Zealand | Published on 16/06/2010 Early adopters got it wrong. - Bad UX - Slow site & service - Price premium=gouge Strong Growth in B2C Why is a US company the second largest ecommerce store in NZ? Redefining sales in key sectors: - Used cars; - accommodation; - classifieds None of these guys are doing it well, and it shows
    57. 58. <ul><li>EASY: Can be done as low risk, low investment </li></ul><ul><li>HARD: Biggest hurdle – channel conflict </li></ul><ul><ul><li>Motivation and rewarding traditional sales concepts </li></ul></ul><ul><ul><li>Commissions, strength of reseller (B2B customer) </li></ul></ul><ul><ul><li>This is a CHANGE (organisational development) issue </li></ul></ul><ul><li>WARNING : New ebiz entrants have redefined entire industries </li></ul><ul><ul><li>Travel (direct + consolidators (expedia) </li></ul></ul><ul><ul><li>Publishing (amazon, ebooks) </li></ul></ul><ul><ul><li>Entertainment: iTunes </li></ul></ul>Moving into eCommmerce

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