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Corruption of digital discourse: what you need to know, why you should care

This document discusses the issues around digital discourse and online reviews. It notes that as communication has increasingly moved online, ensuring trust and transparency is important. Several key challenges are outlined, including the decline of traditional media due to financial pressures, the rise of social media influencers and reviews, and issues around disclosure of paid relationships. The document provides recommendations for communicators, including embracing transparency, listening to feedback, and claiming spaces for reviews to build trust and credibility.

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Corruption of digital discourse: what you need to know, why you should care David Kamerer, PhD, APR Loyola University Chicago
The online world Journalism Blogs Social media Online reviews Action plan
Communication Conversations Influence have moved online … As communicators, online is where we work and live
CC/flickr.com/ Jeff_Werner
The Attention Crash “We are reaching a point where the number of inputs we have as individuals is beginning to exceed what we are capable as humans of managing. The demands for our attention are becoming so great, and the problem so widespread, that it will cause people to crash and curtail these drains. Human attention does not obey Moore’s Law.” - Steve Rubel, Edelman Digital
Infrastructure issues: • Malware • Phishing • Hacking • insecure ecommerce • identity theft • device tracking
Decline of trust •  Unemployment •  Globalization •  Poor economy •  Housing crisis •  Banking crisis •  War
Trust – AC Nielsen study
Edelman Trust Barometer •  the rise of a “person like yourself (up 22% from 2004 to 2012) •  decline in trust – CEOs (-12%) and government officials (-14%)
Edelman model: media cloverleaf
The online world Journalism Blogs Social media Online reviews Action plan
What’s wrong with journalism? •  Continuous deadlines •  Multimedia/social media reporting •  Anonymous comments online •  Iterative journalism •  “Trading up the chain”
Social media sources, HARO
Gallup survey, Fall 2012:
Decline of journalism •  $1 in new digital ad revenue for every $25 lost in print ads • http://bit.ly/R9TWPg •  One-third to half of all banner ads – never seen • http://bit.ly/TbOomC •  Other financial models – limited success
Pageviews rule all Goodbye, zoning board; Hello, Kardashians
The failure of outbound tactics Typical response rates Targeted email 5.00% Direct mail 3.00% Rich media 0.14% Banner ad 0.08% Source: Ad Age, 2010
Journalism •  Financial support uncertain •  We’ve never needed good journalism more
The online world Journalism Blogs Social media Online reviews Action plan
Modal qualities of social media •  Everyone can publish •  A variety of business models •  Google organizes all •  Trust/authenticity that comes from “someone like myself”
Blogs •  The rise of hidden influencers •  Focused, long-tail content •  Often “journalistic”
How are blogs funded? •  No funding – hobby •  Display ads •  Pay per post •  Affiliate program •  Free goods & services •  Writer for hire
Results: many revenue streams
Tracking software shows ad relationships Average of 14 tracking services on style blogs •  Analytics •  Share buttons •  Third-party ad networks (source: Ghostery plug-in) At left, tracking software from the blog LoveMaegan
Disclosure of material connections 16 CFR Part 255 “Guides Concerning the Use of Endorsements and Testimonials in Advertising” Dec. 1, 2009 • Restrictions on describing “typical” results in advertising • Guidelines for celebrity product endorsers • Guidelines for disclosing material connections between advertisers and endorsers
Examples of in-post disclosures
Not quite a disclosure: c/o (“courtesy of”) In- post Site State- ment
Ann Taylor FTC: it is the advertiser’s responsibility to assure disclosure, not the blogger’s
$5 million sales Legacy Learning Systems $250,000 fine
Almost three-fourths of the sample did not disclose in-post
Site disclosures 19 percent of sites published global disclosure policies. Their average length was 237 words. Of these, 84 percent were linked on the home page. The policies were linked under these pages: Disclosure (4) About (3) Editorial and advertising policies FAQs Disclaimer Advertise Questions Privacy policy
The online world Journalism Blogs Social media Online reviews Action plan
50 Cent + 290% in one day $8.7 million
Other platforms for paid influence: • MyLikes.com • SponsoredTweets.com • Pay4Tweet.com • Netflix affiliate program • Amazon Affiliates
Other consumer referral programs • The Fancy • Pose • Referly
The online world Journalism Blogs Social Media Online Reviews Action plan
Reviews • an important source of (free) content • are distributed across the web • frequently anonymous or pseudonymous
Scope of reviews •  76% of consumers use online reviews regularly or occasionally •  72% trust online reviews as much as personal recommendations •  58% trust a business with positive reviews •  52% more likely to use a business with positive reviews US Alexa ranks: 1 Google, 5 Amazon, 57 Yelp, 63 Target, 84 Bestbuy, 114 TripAdvisor, 119 Expedia, 367 Cars.com, 600 Angieslist
Reverb Communications memo: Reverb employs a small team of interns who are focused on managing online message boards, writing influential game reviews, and keeping a gauge on the online communities. Reverb uses the interns as a sounding board to understand the new mediums where consumers are learning about products, hearing about hot new games and listen to the thoughts of our targeted audience. Reverb will use these interns on Developer Y products to post game reviews (written by Reverb staff members) ensuring the majority of the reviews will have the key messaging and talking points developed by the Reverb PR/marketing team.
Reverb Communications memo: Internal User Reviews Process: o Internal “User Reviews” o Pre-written by in house writers o Positive reviews – not over the top – but endorsing the game as a good product o Age ranges + 12 – 18 + 19 – 25 + 26 – 34 + 35 – 45 + 46+* Written from the angle of each age group including key words that resonate with each audience * Reviews begin to go live on day of launch on the iPhone storefront
Reverb Communications
Yelp • #57 website in US •  behind Instagram, GoDaddy •  ahead of Target, Groupon, UPS, Hulu •  50 million unique visitors/month •  18 million + reviews
Economic value of Yelp reviews UC-Berkeley study: a half-star difference in Yelp reviews can mean a 30-49 percent likelihood that a restaurant will sell out in an evening. Online reviews “play an increasingly important role in how consumers judge the quality of goods and services.”
Yelp reviews
Yelp reviews
Yelp “filtered” reviews Filtered reviews: ! Haus von Brader Dog Training! 45 40 35 30 25 20 15 10 5 0 one star two stars three stars four stars five stars
Owner’s response: •  No record of “Justin G” •  Rejected offer to buy an ad •  Justin G did not respond to query “I can live with what he says, even though I believe it’s unjust. But allow the good ones to go on, too.”
Blowback against Yelp • Class action lawsuit (thrown out) • Facebook pages Yelp is a Fraud We hate Yelp • Website yelp-sucks.com
Amazon - Cornell study •  85% of Vine reviewers have been approached by an author/agent/publisher. •  “… large numbers of reviews by the higher-ranked reviewers are for books they have been given free by publishers, authors, or agents.” •  Bad reviews – leave it up to the author? •  Alexa: #5 in US, #10 in world
Amazon.co.uk •  47 5-star reviews in first week. •  Of the 47 reviewers, only six had ever •  written a review before •  Husband Sir Paul Ruddock net worth estimated to be $450 million •  Current sales rank #99,085 in Books
VIPERTEK Kindle case
http://www.nytimes.com/2012/08/26/business/book- reviewers-for-hire-meet-a-demand-for-online-raves.html? smid=pl-share
TripAdvisor • More than 60 million reviews • 40 reviews posted/minute • Hotel experience less tangible http://tripadvisorwatch.wordpress.com/
The case of doctors •  Sue patients who write negative reviews for libel •  SLAPP suits Reputation.com DoctorScorecard.com Angieslist.com
The online world Journalism Blogs Social Media Online Reviews Action plan
High performance High performance products, services High performance communication Become a transparent company
Listen to the chatter Listening tools/RSS Identify brand champions/connect and nurture Complaint? Improve your performance Some complaints fall below the noise floor You can’t please everyone.
Use your owned media Your message, your frame, your branding “Every company is a media company”
Social media
Social media •  Prepare to play defense •  Rise of “native ad formats” sponsored Tweet sponsored story •  Facebook paid posts •  Commercialization is transforming social media
Disclosure •  Always disclose, even if in doubt •  Only work with ethical influencers •  Also use a site statement, linked on home page •  Goal: to avoid consumer confusion
PRSA Code of Ethics PRSA’s Code of Ethics has a provision entitled “Disclosure of Information,” based upon the principle is that “open communication fosters informed decision making in a democratic society.” The intent is “to build trust with the public by revealing all information needed for responsible decision making.” The code states that a member shall: Be honest and accurate in all communications. Act promptly to correct erroneous communications for which the member is responsible. Investigate the truthfulness and accuracy of information released on behalf of those represented. Reveal the sponsors for causes and interests represented. Disclose financial interest (such as stock ownership) in a client’s organization. Avoid deceptive practices.
Microchannels: Twitter, Facebook, SMS What about a platform like Twitter? How can I make a disclosure when my message is limited to 140 characters? The FTC isn’t mandating the specific wording of disclosures. However, the same general principle – that people have the information they need to evaluate sponsored statements – applies across the board, regardless of the advertising medium. A hashtag like “#paid ad” uses only 8 characters. Shorter hashtags – like “#paid” and “#ad” – also might be effective. #paid #ad #client #sponsored
Reviews Embrace the opportunity to listen Claim your spaces: Yelp Google Places Bing Business Portal Foursquare Verticals/hyperlocals Use SEO to make your website more visible
Review food chain: Top – independent professionals (Consumer Reports, journalists) Good first steps – (real names, must be customer) Worst – (anonymous)
Whither journalism? Media, news literacy Journalism may enjoy resurgence Direct pay model
The tragedy of the commons
For more information: http://davidkamerer.com (search for “corruption”) http://delicious.com/davidkamerer/disclosure http://delicious.com/davidkamerer/corruption On Twitter: @davidkamerer Email: david@davidkamerer.com
Thank you