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A Look At Social Business
This document discusses the evolution of social business and Dell's journey with social media from 2006-2011. It shows how [1] Dell initially engaged bloggers for tech support in 2006 and launched communities like IdeaStorm and Dell Outlet in 2007-2008. It then [2] discusses how Dell organized its business units around customers and communities in 2009, generating millions in sales from social platforms. Finally, [3] it notes Dell's leadership in social media by 2011 through initiatives like its Social Media Command Center and Social Media University training thousands of employees.
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A Look At Social Business
- 1. A Look AtSocial Business....And the Miles to Go Before We Sleep…. Richard Binhammer, Director, Social Media & Community December 9, 2011, LeWeb, Paris, France
- 2. Before that Journey… Fierce, Right? ! 2 Global Marketing
- 3. Go for adrive Key enablers and strategies Rethink Relationships Business and Technology Global Marketing
- 4. River Boat Business? 4 Global Marketing
- 5. Radio Business? 5 Global Marketing
- 6. Phone Business? 6 Confidential 12/9/2011 Global Marketing
- 7. Business Management: Getting peopletogether to accomplish desired goals & objectives using available resources efficiently and effectively. 7 Global Marketing
- 8. Business and Technology: aims for efficient organization of work through specialization of labor 1776, Adam Smith, Wealth of Nations 8 Global Marketing
- 9. Technology is changing business again…socialweb is at forefront Global Marketing
- 10. Source: Mary Meeker,2010 Internet Trends Global Marketing
- 11. Internet: Unlike other technologies, the Web was unpredictable; opened more opportunities to change perspectives anywhere it reached 11 Global Marketing
- 12. So What Isa Social Business • Wikipedia: The One We Are Talking About: • the term 'social business' reflects that social media • Business with a social is not just a marketing discipline, but that it has multiple touch-points in an organisation such as objective, which is to help people customer service, sales, human resource get out of poverty management and R&D. (Wikipedia) • Social business is where social media has broken Professor Muhammad Yunus down silos and barriers that enable employees to have a genuinely more open and collaborative relationship with the outside world. • Social Business: “The application of social principles - transparency, open information access, collaboration, participation, crowdsourcing, engagement - and social computing technologies across all functions of business, including training, operations, product development, strategy and decision management. ” (Quora) 12 Global Marketing
- 13. This Is WhatBusiness Has Always Been About…Social brings new dynamics to continuing to grow the intersection Business Customer Value Value 13 Making Business Better Global Marketing
- 14. If Markets areConversations… • “Networked markets are beginning to self- organize faster than the companies that have traditionally served them. • Thanks to the web, markets are becoming better informed, smarter, and more demanding of qualities missing from most business organizations. Markets are conversations. • Markets consist of human beings, not demographic sectors. Conversations among human beings sound human. They are conducted in a human voice, Whether delivering information, opinions, perspectives, dissenting arguments or humorous asides, the human voice is typically open, natural, uncontrived.” 14 Source: Cluetrain Manifesto Global Marketing
- 15. …..But (Social Media) Conversations are Not Just Marketing • In both internetworked markets and among intranetworked employees, people are speaking to each other in a powerful new way. • These networked conversations are enabling powerful new forms of social organization and knowledge exchange to emerge. • As a result, markets are getting smarter, more informed, more organized. (not siloed or segmented the way we normally think) • Participation in a networked market changes people fundamentally. 15 • Source: Cluetrain Manifesto Global Marketing
- 16. Authority Exchange Community 16 Global Marketing
- 17. Five years ofexperiments and experience December 2006 October 2007 May 2008 June 2009 February 2006 Ratings and Michael Dell quote in Business Week Dell Outlet achieves Global Twitter Michael Dell Asks reviews on Jeff Jarvis story quote, “These conversations are $0.5M in sales via Twitter revenues of $6.5 M Dell named #1 most Why don’t we reach out and help going to occur whether you like it or not. Do you social brand in bloggers with tech support issues? Dell.com want to be part of that or not? My argument is you Community team active on Twitter ranking of 100 top absolutely do. You can learn from them. You can Small Business brands improve your reaction time. And you can be a blog launched August 2006 better company by listening and being involved in Blog outreach that conversation.” expands beyond February 2007 March 2010 tech support China Micro- IdeaStorm Launched March 2008 June 2009 Blogging A voting based site allowing Accepted Solutions January 2009 $2M+ Sales customers and others to submit ideas for Dell. launched on Community Dell Organizes in to via Twitter Dell France begins Online 4 customer focused Social Media Listening Community Outreach business units Command Center 2006 2007 2008 2009 2010 2011 Dell Social Media and Community University launched/5,000 team members trained by July 2006 end of year Direct2Dell launched June 2007 April 2008 2009 (Aug.) Today Direct2Dell exists in Dell joins Twitter Inside IT launched Dell TechCenter Altimeter recognizes Dell English, Spanish, Norwegian, January Blog focused on business with “Open Leadership Award Japanese and Chinese. Dell launches 2008 customers, and Cloud Spring 2009 for Innovation and Execution” Dell aligns Computing. Some Members of (Oct.) EmployeeStorm December 2009 Internal Blogs organization Community and Launched for for success Conversations Huffington Post Blog Employees. deployed within each Dell April 2006 of the new Dell launches January 2007 June 2008 Business units B2B pages Tech support StudioDell launched Channel blog Facebook outreach to blogs Dell’s video and podcast February 2008 launched (Jun.) site, with helpful tips and tricks. Eventually expanding November 2007 Twitter expanded this into the YouTube channel DellShares launched making sharing easier. The first investor relations blog by a public company. Global Marketing
- 18. Listen, Learn, Engage& Act Scaling 5 years: 4000 posts per day to 18 25,000 post per day Global Marketing
- 19. Conversations are conversations not Business segments Where to find you Share with others how & why you have great products/services …………….and more 19 Global Marketing Graphic thanks to @Gapingvoid
- 20. A Tool tobe Leveraged Across the Fabric of a Company: different functions, uses and values Product Development Marketing Online Presence • Feedback Loop • Demand Forecast • Ratings & Reviews • Early Warning • Lead Generation • Communities • New Product • Message Reach • Customer Stories Ideation Sales Customer Service Communication • Leads • Collaboration • Listening • Rich Media • Thought Leadership • Support Widgets • Brand Reputation • Blogs • Outreach • Influence • ReputationMarketing Global
- 21. Different Sites for Different Engagement and Results 21 Global Marketing
- 22. Ideastorm Connecting with Customers and Ideas…..theirs! 22 Global Marketing
- 23. Meanwhile … Back at the Office….whose Job is it anyway? Global Marketing
- 24. Governance 24 Global Marketing
- 25. Customer Connected Employees areyour company’s rock stars 25 Global Marketing
- 26. Empowering Employees: Social Media& Community University Principles Policy Governance Training & tools Global Marketing
- 27. Internal Social Networks • Dell is using Chatter to increase cross-departmental team collaboration • Over 90,000 Dell employees quickly and easily collaborate around documents and information like sales opportunities, team projects and campaigns • Fosters relationships • A hybrid of Twitter, Facebook, Sina, Ren- Ren, Orkut 27 Global Marketing
- 28. Yes Virginia, thereis ROI Business Value: It is measurable in many forms, there is not 1 number … Global Marketing
- 29. ROI? Business Value across the full customer lifecycle 29 Global Marketing
- 30. Social media improves Dell’s reach and share of voice Social media keeps customers Established AWARENESS causality engaged, provid es solutions and between social improves loyalty media activity and purchase RESEARCH LOYALTY AND AND ADVOCACY CONSIDERAT ION Social media based Social Media support improves provides high sentiment and CUSTOMER DEMAND AND business value and correlates with SERVICE/ contributes to LEAD demand gen higher revenue GEN/SALES SUPPORT vehicle Global Marketing
- 31. Challenges Opportunities andBarriers 31 Global Marketing
- 32. Starting Down a New Road, in a Vehicle, yet to be proven Even today, the Infrastructure is evolving Experiment and Fail Fast…LEARN 32 Global Marketing
- 33. Fundamental Changes toOrganizations and Operations • Mass Media • Individualized Information • Control and Push Messaged • Conversation, Collaborate, Connect • Institutions to distribute and • People and Relationships to connect connect and build • Issue Management • Rapid Response/Agility • Deadlines • Real Time • Just the Facts • Facts and Feelings • Powerful Media • Powerful Networks • Target Audiences • Communities • Announce/All answers • Listen and Collaborate • Top Down • Leadership and Bottoms Up too 33 Confidential 12/9/2011 Global Marketing
- 34. Improve Data Quality Usability & Application From Incident to Aggregation and Meaning 34 > Business ApplicationMarketing Global
- 35. Are Businesses Less Machine and more Networked Organism? Human Organizations Wholistic & networked 35 Global Marketing
- 36. Sizzle? or TheHard Work of Getting it Done for Better Business 36 Confidential 11/29/2011 Global Marketing
- 37. Connected and LitUp 37 Confidential Global Marketing
- 38. you gonna miss theold car? Global Marketing
- 39.
Editor's Notes
- #10 Entering another period of rapid innovation and change in the role technology plays in how we run our business; the products and services we offer and how we communicate, collaborate and respond to our customers – in a b2c or b2b contextRecent report released by Dell and Intel – entitled the Evolving Workforce we have explored some of the ways technology is changing the workplace again. And some of the social, technological and economic factors that are influencing that – gen Y entering our workforces (the first fully Internet generation); consumerisation of business technology; expectations of corporate transparency in the social era etc.Focus here on how we have changed as a business with the emergence of the social web – or social media. But this is just one of the ways our relationships and dialogue with customers of all types have changedCustomers are using the social web throughout their personal and business life. They increasingly expect their financial service provider to engage directly with them or provide services and information there too. Clearly in retail banking but increasingly in the b2b world too.Transparency/access and online reputaiton is a dominant factor in who we choose to buy from or work with.We also expect to be asked for feedback and to see the company respond with improvements or new products and services.We turn to the social web to assess the quality not just of the company’s products and services; but to see what customers think of them – and to ask for advice.We have too much choice so we turn to trusted intermediaries to help us navigate – and we don’t need deep relationships with these ‘advisors’ to trust what they say.Your brand exists not on your website or in your advertising alone – it is not only defined (and certainly not controlled) by you…it is defined by what comes up on a search engine or is said in Twitter. It is not within your 100% control…but this is not always a bad thing.As well as helping your run your businesses more efficiently – the change technology is bringing and developments like social media have the ability to turn that heavy investment to your commercial advantage.Even in regulated sectors like finance the same opportunities and threats hold true. A bad rating for service on an influential blog or a recommendation for a product on an online financial community can make the difference between success or failure.Companies or brands that ‘get it’ or embrace social web will succeed. Those that don’t – won’t.
- #12 The shape of the online universe. This image shows the hierarchical structure of the Internet, based on the connections between individual nodes (such as service providers). Three distinct regions are apparent: an inner core of highly connected nodes, an outer periphery of isolated networks, and a mantle-like mass of peer-connected nodes. The bigger the node, the more connections it has. Those nodes that are closest to the center are connected to more well-connected nodes than are those on the periphery. The core: At the center of the Internet are about 80 core nodes through which most traffic flows. Remove the core, and 70 percent of the other nodes are still able to function through peer-to-peer connections.
- #25 we have established new policies and governance so that our social media efforts are methodical, logical and coherent and resonate across our business in a meaningful manner….When we convened the Facebook Reinvention project in October 2009, there were more than 100 Dell brand pages and scores of Dell groups. The majority of these were abandoned, redundant, off brand and/or mis-managed. We defined Dell’s Facebook strategy, guidelines, best practices and processes, bringing the total pages down to 37 organized, structured and managed communities. The core team then expanded into all social media properties, like Twitter, leveraging our social media strategy, processes and guidelines to ensure adherence to FTC and other local policies, alignment to the brand, tracking, analytics, operating efficiencies and more. The dozen people on the original global, cross-segment core team now has 39 representatives from the company all contributing to Dell’s continued effective use of social.
- #35 Our current daily listening reports are circulated widely across the company; We also have incident-specific reports that are generated at the BU level or through our central ground control.Driven deeper understanding of customers, brand, industry and technology trends through social, research, and analytics• Strengthen listening and the use/action related to Data (ENGAGEMENT), through:o Improved data quality (through natural language processing)o Consolidated and improved set of reports – optimize for insights and leadership vs. volume of reportso Content and audience strategy o Solved dis-connects with other key data sources (brand, NPS, etc) to tell a consolidated story
- #37 Fundamentally we see ourselves as doing the hard work of building on momentum of past 18 months to make social media a key driver of business results and customer-centricity across Dell. We also are focused on driving deeper understanding of customers, brand, industry and technology trends through social, research, and analytics