4. Wikipedia on social
media (naturally):
“…activities that
integrate technology,
telecommunications
and social interaction
, and the construction
of words, pictures,
videos and audio.”
How about “people
conversing online”
instead?
5. Mixed Up Terminology
Social software – software designed for
collaboration & sharing, i.e. the umbrella term
Social networks – social platforms, not “about”
anything other than the social network
Social sites / applications –the primary interaction
is around a topic, function or object; it’s “about”
something, unlike social networks
Social media – a subtype of social site /
application built around published media of some
type; blogs, video, music, games, virtual worlds
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6. Many Social Features and Tools
Blogs
Wikis
Microblogging
SMS
Chat
Widgets
Social networks
Social bookmarks
Collective tagging
Message Boards
Podcasts
Video sharing
Photo sharing
Comments
Ratings
RSS
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7. Online Community Types
Lightweight social processes
• Very low barrier to social involvement
Digg, Last.fm, Amazon, Twitter
Collaborative information structures
• The core product is generated or enhanced by
social components
Flickr, YouTube, Threadless, Etsy
High end collaboration
• Extensive involvement and collaboration required
Wikipedia, any-other-pedia, CouchSurfing, open source
projects
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19. 80% have watched online video
>100 million
videos viewed
(per day)
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20. 60% joined a social network
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21. …Where They Are Talking About You
Tell someone about a product/service by messenger
Tell someone about a product/service by email
Comment on a product/service review on a blog/
weblog
Write a review of a seller on an auction site
Recommend a product/ service on blog/ weblog
Write review of product/service on ecommerce/retail
site
Comment on product/ service review on
ecommerce/retail site
Post opinion on social network personal profile
Write a review of a product/service on yr blog/weblog
Create product wish/ favs list on ecommerce/retail site
Post a video clip featuring a product/service
0 5 10 15 20 25 30 35 40 45 50
Monthly Reach
“In the age of social media, what people say about your company or
its products can and will become very public, very quickly. My job is
about engaging in a constructive dialogue with customers, in creating
active conversation streams.” – Lionel Menchaca, chief blogger, Dell
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22. They Don’t Listen to You
>90% of people
who can ad-skip
do ad-skip
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23. They Don’t Trust You
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24. They Trust Each Other, Even Strangers
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27. Marketing and Sales Are Most Affected
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28. Some Unpleasant Marketing Facts
Marketers don’t have confidence in their ability to
manage their budget to meet objectives:
• Only 25% of marketers said senior management is
confident or very confident in forecasts of marketing
impact on sales
• Only 15% of marketers agreed or agreed completely
that they could forecast the impact of a 10% budget cut
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29. Bad News if You Want to Buy Advertising
Number of prime-time 60 second
TV commercials required to reach
80% of 18-49 year-olds
• In 1965: 3
• In 2002: 117
People with DVRs watch 12%
more TV ☺
Yet 90% of them skip the ads
www.ThirdNature.net Mark R. Madsen Slide 29
32. TV vs. Net, the Net is Winning
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33. Marketing Spend is Shifting in Response
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34. It’s a Multi-Channel World Now
Each of these new
channels has
measurement
data coming from
different sources,
often external and
out of your control.
www.ThirdNature.net Mark R. Madsen Slide 34
35. Marketing Has Relatively Few Outcome Metrics
1. Input: measures the upfront part of a process like cost
• how much you spent on a TV spot during the super bowl
2. Delivery: measures the process but not the effect
• reach of that super bowl ad
3. Outcome: measures the results
• lift from the super bowl ad
Harder things to measure: consumer sentiment, brand
awareness, brand strength, brand equity
1 2 3
?
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36. Multichannel Challenges
You can calculate the same core metrics for the online
channel as for direct marketing or advertising.
The hard part is knowing what to do with which channel.
e.g. same cost, same reach:
• Which is more effective?
• For which customer segments?
• Do they reinforce?
2 3
1 ?
?
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37. Metric Development
Developing online marketing metrics is beyond
the scope of this class. A few pointers:
• You will need input and delivery metrics for
comparison, but should focus on outcome.
• Develop delivery and outcome metrics that allow
you to test and refine campaigns while they occur.
• Try to attribute activity wherever possible
• Link metrics to both objectives and tasks/functions
www.ThirdNature.net Mark R. Madsen Slide 37
39. Sample Online Marketing Metrics
Sales development: Behavior
cost per unqualified lead, qualified lead, sales Desired actions, Response to offers
opportunity, revenue, margin, new customers Interactions, Feedback
Transactions,
Effectiveness / efficiency:
Reach, Frequency, GRP (just like the old Sentiment
models) on a per channel basis
Sentiment and trends
# of unique visitors, Visit frequency
Similar PR metrics, e.g. favorable/unfavorable
Time on site, Registrations mentions
open rate, click rate, bounce rate
Influence
Loyalty: Inbound links related to a profile or user
time on site relative to benchmarks other sites Ratio of links/clicks vs. all users
repeat business / visits, % returning Timing of links/clicks, Connections
customer loyalty survey data
Engagement
If you have widgets or applications:: an activity measure of users / total users
Downloads, Installations Virality - % growth of message or advert
Activations, Embeds
Frequency of use
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40. Online Marketing Case: Will It Blend?
Measurements:
• >2M views on YouTube
• Google page 1 for “blend”
• pagerank raised to 6
• 55,000 inbound links
• 83,000 channel
subscribers
• > 500 Facebook groups
• 5 Digg front page stories
• TV news mentions
• Newspaper mentions
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41. The Online Channel Has Advantages
The online channel can provide realtime feedback
where old channels sometimes have a data lag of
months.
Messages and offers can
be tested while a campaign
is running, rather than
between campaigns.
This requires that you
collect the data to manage
the process.
www.ThirdNature.net Mark R. Madsen Slide 41
42. About the Presenter
Mark Madsen is president of Third
Nature, a technology research and
consulting firm focused on business
intelligence, data integration and
data management. Mark is an
award-winning author, architect and
CTO whose work has been featured
in numerous industry publications.
Over the past ten years Mark
received awards for his work from
the American Productivity & Quality
Center, TDWI, and the Smithsonian
Institute. He is an international
speaker, a contributing editor at
Intelligent Enterprise, and manages
the open source channel at the
Business Intelligence Network. For
more information or to contact Mark,
visit http://ThirdNature.net.
43. About Third Nature
Third Nature is a research and consulting firm focused on new and
emerging technology and practices in business intelligence, data
integration and information management. If your question is related to BI,
open source, web 2.0 or data integration then you‘re at the right place.
Our goal is to help companies take advantage of information-driven
management practices and applications. We offer education, consulting
and research services to support business and IT organizations as well as
technology vendors.
We fill the gap between what the industry analyst firms cover and what IT
needs. We specialize in product and technology analysis, so we look at
emerging technologies and markets, evaluating the products rather than
vendor market positions.
44. Creative Commons Image Attributions
Thanks to the people who supplied the creative commons licensed images used in this presentation:
kid gives finger.jpg - http://flickr.com/photos/kevinclark/9826288/
riot police line small.jpg - http://flickr.com/photos/73594239@N00/25719098/
anne hathaway.jpg - http://flickr.com/photos/barbaradoduk/177959197/
baby birthday.jpg - http://flickr.com/photos/yoshimov/19513076/
teapot.jpg - http://flickr.com/photos/joi/411403/
darasuram temple.jpg - http://flickr.com/photos/ravages/129783888/
us capitol building.jpg - http://flickr.com/photos/jcolman/542294684/
hamadan people mosaic.jpg - http://flickr.com/photos/hamed/225868856/
well town hall.jpg - http://flickr.com/photos/tuinkabouter/1135560976/
watchmaker.jpg - http://flickr.com/photos/dashananda/310662720/
highway storm.jpg - http://flickr.com/photos/areyoumyrik/235230688
web1-0 corporate logo sheet web 2-0ized.jpg - http://flickr.com/photos/stabilo-boss/93136022/
web 2-0 logos part1.jpg - http://flickr.com/photos/stabilo-boss/93136022/
meerkat.jpg - http://flickr.com/photos/peasap/1089208526/
Gare do Oriente Lisbon.jpg - http://flickr.com/photos/higaara/228673603/
motionless in crowd2.jpg - http://flickr.com/photos/laburbuja/149566116/
snail1.jpg - http://flickr.com/photos/7147684@N03/1037533775/
social_architecture.jpg - http://flickr.com/photos/karen-ward/268612548/
baby_with_lemon 55381094_10694660e5.jpg - http://flickr.com/photos/pichichi/55381094/
laptop face.jpg - http://flickr.com/photos/sd/7746599/
www.ThirdNature.net Mark R. Madsen Slide 44
45. Creative Commons
Thanks to the people who made their images available via creative commons:
book of hours manuscript2.jpg - http://flickr.com/photos/jeffrey/89461374/
card catalog4.jpg - http://flickr.com/photos/deborahfitchett/2372385317/
royal library san lorenzo.jpg - http://flickr.com/photos/cuellar/370663920/
outdated gumshoe.jpg - http://flickr.com/photos/olivander/372385317/
book of hours manuscript1.jpg - http://flickr.com/photos/jeffrey/89461261/
semantic network visualization.jpg - http://flickr.com/photos/toby_maloy/102413554/
subway dc metro.jpg - http://flickr.com/photos/musaeum/509899161/
Gare do Oriente Lisbon airport.jpg - http://flickr.com/photos/higaara/228673603/
toolbox.jpg - http://www.flickr.com/photos/booleansplit/2376359338/
crowd_melbourne.jpg - http://www.flickr.com/photos/akc77/3370167184/
social_net_mosaic.jpg - http://www.flickr.com/photos/luc/1824234195/
befriend.jpg - http://flickr.com/photos/ehrgeizier/114385285/
martini.jpg - http://www.flickr.com/photos/tapps/2204393655/
four cupcake guys (frogs).jpg - http://www.flickr.com/photos/abielskas/114946978/
old man union square selling.jpg - http://flickr.com/photos/ktb/4683842/
highway storm.jpg - http://flickr.com/photos/areyoumyrik/235230688
Surfer - http://www.flickr.com/photos/millzero/2093324718
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