MAPexpo 2012 - James Griffin & Greg Daniels (SR7)

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My ticket to a career in marketing, advertising and public relations

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  • Following the ACCC's success in the  Allergy   Pathway  case, the then ACCC chairman, Graeme Samuel, stated: 'Many corporations now use Facebook Fan pages and Twitter accounts to promote their businesses. This outcome confirms that any business that decides to leave public testimonials or other comments on their Facebook and Twitter pages will be held responsible if they are false, misleading or deceptive.' 9 In a recent interview, ACCC Commissioner Sarah Court said that she expected large corporations to remove misleading posts on their Facebook pages within a day.
  • The Fosters case concerned the VB Facebook page, which featured questions posted by the advertiser and comments from its fans, which included coarse language and sexual references. Fosters submitted that the user comments on its page had to be considered in context – ie the 'tongue in cheek and ironic' tone of the VB page and the demographic principally targeted by VB, being males aged 35 plus, 'comfortable with swearing' and for whom 'no words are taboo'. The ASB determined that a number of comments posted on the Facebook page were discriminatory toward women, derogatory and degrading toward homosexual people, contained inappropriate references to sexual activity and contained strong and obscene language and, as such, breached a number of the Code's provisions. 6 After receiving the complaint, Fosters removed all of the offending comments from its Facebook page. It also implemented twice-daily monitoring of user comments, including removal of inappropriate comments, broader language filters, age restrictions, and an internal policy document addressing inappropriate topics and how to respond. The above decisions closed a perceived loophole, which allowed brands to benefit from social media without accepting responsibility for content posted by advertisers or customers on Facebook, which would have otherwise been inconsistent with the Code or a breach of the  Competition and Consumer Act  2010 (Cth) (the Act). In particular, s18 of the Australian Consumer Law in Schedule 2 of the Act, prohibits misleading or deceptive conduct.
  • the Australian Competition and Consumer Commission (ACCC) backed the determination of the ASB. The competition watchdog sent a warning to large companies with a wealth of resources at their fingertips – if comments are not removed within 24-hours then the company will face potential court action. Community managers will now have to be vigilant in monitoring their social networking pages to ensure that all content posted by any person is not in breach of the Code or in contravention of the Act. It will on a case by case basis be necessary to moderate, respond to or even remove content posted by a brand’s Facebook page users. Community managers should also undertake training on the requirements of the Code and the Act to ensure they are able to identify posts by third parties which may be problematic. This training should not just be linked to infringements under the Code or Act but also other applicable laws, including defamation, copyright, trademarks, causing offence and racial discrimination. Personal opinions, puffery – ‘hey this is the best drink in the whole world’ – and other forms of social banter are unlikely to lead others into an erroneous assumption about the brands products. It is where the brand puts out a misleading message or allows a misleading message to develop, and the responding posts reinforce or amplify this message, where we see possible breaches occurring
  • MAPexpo 2012 - James Griffin & Greg Daniels (SR7)

    1. 1. Social Media IntelligenceSocial Media Risk ManagementAdvisory and Strategy DevelopmentMajor sponsor of PRIA National Conference 2011 1
    2. 2. MAPEXPO 1. Welcome 2. Setting the scene – the importance of social media research 3. Typical fears and an overview of ‘social media risk’ 4. The Advertising Standards Bureau and the Australian Competition and Consumer Commission 5. Managing this new risk for your clients 6. QuestionsSR7 Social Media 2
    3. 3. SR7 Social Media 3
    4. 4. SR7 – The PR practitioners best friend.The pathway for social media success: Social Media Research and Auditing (Strategy development, risk mitigation) Social Media Intelligence (Ongoing monitoring of social media conversations) Social Media Management and Advisory services (Managing social media for clients)SR7 Social Media 4
    5. 5. Australians are voracious users of Smartphones & social mediaSR7 Social Media 5
    6. 6. Australian Digital Commerce Market 2012 Australian Digital Commerce Market 2012 $2.46BN Goods Digital GROWTH RATES 2012 $21.04BN Total eCommerce Digital Goods +15.9% & Services +15.7% +13.9% $18.40BNeCommerceReproduced from Digital Nation, Telsyte 2012 SR7 Social Media 6
    7. 7. Social commerce is growingSR7 Social Media 7
    8. 8. What role do comments play?KPMG - Malcolm Alder (with thanks) 8
    9. 9. Findings from KPMG Global social media survey... Social media risk experience Social media benefit experience SR7 Social Media 9
    10. 10. Common Concerns Across the three social media phases Typical concerns Broader Innovation culture business centric Speed to market  War for talent   Customer acquisition   Revenue model   Competitors esp. new   Cost to serve   Supply chain   Perf measurement   IT infrastructure  Loss of loyalty  Productivity   Legal compliance    Governance   Loss of control   Social media IP security    centric Cost of social media   Reputation damage   SR7 Social Media 10
    11. 11. Opportunities and RisksSR7 Social Media 11
    12. 12. Social Media Must Be Managed Correctly Stanford Graduate School of Business: “information gathered through social media can alert the board to risks facing the organization in a way that is not currently available.” These risks can include: •Operational risk: how exposed is the company to disruptions in its operations? •Reputational risk: how protected are the company’s brands and corporate reputation? •Compliance risk: how effectively is the company complying with laws and regulations? SR7 Social Media 12
    13. 13. 24 Hour ‘Opinion Cycle’SR7 Social Media 13
    14. 14. The ACCC In brief: The Federal Court and Advertising Standards Bureau have determined that businesses are responsible for third-party comments posted on their Facebook and Twitter pages. Allowed a number of false claims to be posted on its fan pages and website. Fined $7500 per false/misleading comment. Neglected to delete the comments.SR7 Social Media 14
    15. 15. The ASB In brief: The Advertising Standards Bureau handed down two rulings determining that the Facebook page of a business is a marketing communication tool over which the advertiser has a reasonable degree of control 3 , and therefore an advertising or marketing communication covered by the Code. The ASB decided that the Code applies to the content generated by the page creator as well as material or comments posted by users or friends Outcome: social media requires monitoring to ensure that offensive material is removed within a reasonable timeframe. ASB determined that a number of comments were discriminatory and breached a number of comments breaches the Code’s provisions. Fosters removed comments and instituted twice daily monitoring. Closed a perceived loophole. Enforced responsibility.SR7 Social Media 15
    16. 16. How can we manage this?Importantly:“the Australian Competition and Consumer Commission (ACCC) backed the determination of the ASB.The competition watchdog sent a warning to large companies with a wealth of resources at their fingertips – ifcomments are not removed within 24-hours then the company will face potential court action.”MonitoringCommunity ManagersClear guidelinesResource managementCostSR7 Social Media 16
    17. 17. What are the things you need to consider in the creation of social media channels? What is the intended purpose of the social media channels? • Who is our Intended audience? • Key stakeholders (the community) • Industry • The Media What are the timeframes for implementation? • Short, Medium, Long Term goals Social media content • Creation, delivery, sign off User Expectation Management • Hours of operation • Service delivery • Speed Managing of social media • Hub and spoke model (roles and responsibilities) • Risk managementSR7 Social Media 17
    18. 18. KPMG – SR7 Social media maturity modelThe purpose of the audit is to map the social media processes and activities across the maturity model todetermine sophistication and identify inconsistencies across the different levels of stakeholders Exam p deliv le (part) erab le = current performance = target performance = strategic path supported by recommendations to achieveSR7 Social Media 18
    19. 19. Questions please!SR7 Social Media 19
    20. 20. Contact James Griffin Partner SR7 Social Media james.griffin@sr7.com.au (02) 9235 1274SR7 Social Media 20

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