The document discusses using social media to drive loyalty and transform businesses. It provides statistics on the growth of social media and user-generated content. It argues that blogs are increasingly seen as valid sources of news and information. It also discusses how word of mouth on social media can significantly impact businesses. The rest of the document discusses case studies of companies that have successfully used social media to address product rumors, manage customer expectations and launch new products or services. It advocates for using a framework of listening, acting, learning and adapting based on social media feedback.

1. Using Social Media to Drive Loyalty And Transform Your Business Charles E. Miller Director, Social Media Strategy

3. Blogs vs. Mainstream Media Blogs are getting taken more seriously as sources of information. More people will get their news and entertainment from blogs than from traditional media in the next 5 years. Blogs are just as valid media sources as traditional media. I get more of my news and information from blogs than other media sources. Blogs are often better written than traditional media articles. Newspapers will not be able to survive in the next 10 years. Source: Technorati State of the Blogosphere / 2008

4. Word of Mouth Rules

5. “ I’m throwing DIRECTV out of my house!” -Guy Kawasaki, 2007 Repeated a few weeks ago in his SES NY 2009 Keynote

8. Correlating Experience to Loyalty

9. Correlating Experience to Loyalty

10. Correlating Experience to Loyalty

11. Tracking Scale, Scope, Sentiment

14. Case Study #1 Addressing Product Rumors

15. Addressing Product Rumors An influential blog suggested that our HDPC-20 was “alive” – using a Windows7 driver and test environment pics as evidence. This Windows driver screenshot and a “smuggled” photo of test equipment at Microsoft Labs quickly fueled speculation of the product release was real and may be announced at CES.

17. Case Study #2 You Do Not Control The Message Our Loyal Customer

18. You Do Not Control the Message On launch, negative reaction is swift with mixed sentiment posts nearly as high Commentary shifts to when service anniversary date will be and what gifts those are eligible for 1/2 of all positive sentiment in the day occurs after official statement clarifying eligibility is passed on to top moderators Customer service agent leaks information about an upcoming loyal customer program False start dates of 8/6 and 8/15 fuel posts and speculation, going negative when it is not realized Mixed reaction spike due to delayed delivery of gifts posted to customer accounts, addressed next day Listen  Act  Learn  Adapt 1300 1200 1100 1000 900 800 700 600 500 400 300 200 100 0

19. Case Study #3 Launching Directly in Social Media

20. Launching Directly to Social Media Results: Traditional press pick-up at 100K download press release, not the first 200K Downloads in its first a week Nearly ½ Million Downloads in a month Largely due to word of mouth online

23. Thank you