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Innovating With Social Media
In Government


Charlene Li
Altimeter Group
May 18, 2009



If you would like a copy of the slides,
please leave a business card with me.
3



    Is this what social media is about?




3                                   Source: Wordle.net
4



    It’s about the relationship




4
5



    Government “with” the people




5
6



    Focus on relationships, not technologies

        What kind of relationship do you want?


    Transactional                   Passionate
     Occasional                      Constant
     Impersonal                      Intimate
     Short-term                        Loyal



6
7



    But it’s hard to form relationships




7
8




    What you need is a strategy


                          What will you do?


                          What won’t you do?




8
9



    Goals define your strategy

                         Dialog

          Learn           Help

                       Innovate

9
10



     Learn with monitoring tools




10
How Oracle encouraged feedback




                          11
12



     MG Oates seeks feedback via a blog




12
13



 The Engagement Pyramid dives deeper
                                                 • Edit a wiki – <1%*
                                                 • Moderate a forum – <1%
                            Curators
                                                      • Write in a blog – 21%
                                                      • Upload a video – 18%
                           Producers
                                                                • Write in a discussion forum – 47%*
                                                                • Rate a product or service – 32%**
                        Commenters                              • Comment on a blog post – 22%**

                                                                          • Share online video – 37%
                             Sharers                                      • Update profile – 35%
                                                                          • Upload photos – 23%

                                                                                • Watch online video – 59%
                           Watchers                                             • Read blogs – 48%
                                                                                • Download podcasts – 23%

 Source: Universal McCann Social Media Tracker Wave 3, March 2008
 *Source: Wiki data from Wetpaint, forum data from Lithium Technologies
 **Source: Pew Internet & American Life Project Tracking surveys
13
14



     NSA dialogs and recruits on Facebook




14
Commenters give an opinion




15
Customer support by people




16
Who is Cheryl G.?
                         One of the top three
                         contributors on the
                         forum

                         An expert on mobile
                         devices

                         Has been active since
                         October 16, 2003




17
Support from Frank Eliason, Comcast




18
Starbucks innovates across the organization
20



     Getting started




20
21



 #1 Have the courage to engage

                     Start small
                     Experiment




21
22


     Deal with different
     social media mindsets

      Fearful       Cautious      Realist    Transparent
      Skeptic        Tester      Optimist     Evangelist




              Find the “moments of faith” and
            “moments of crisis” for each mindset


22
Convincing your curmudgeon
                          “It’s a fad and
                           waste of time.”
                            - Make it real.

                          “There’s no ROI.”
                            - Tie it to goals.

                          “It’s way too
                           risky.”
                             - Develop worst
                           case scenarios.
23
24



     #2 Measure the right things

                         Your goals
                         determine your
                         metrics

                         Use the same
                         metrics as your
                         marketing goals

24
25



     Example “micro” metrics
      Goal          Metric                   Value
 Learn       # of customer           Impact of faster,
             feedback                better insights

 Dialog      # of comments           Greater loyalty
             # of referrals          Faster, more closes

 Help        # of issues addressed   Increased satisfaction
 Innovate    # of implemented        Faster development
             ideas


25
26



     Higher order metrics to consider

         Net Promoter Score
                   How likely are you to
                   recommend this to someone
                   you know?



         Lifetime Value
                   Lifetime revenue
                   Cost of acquisition
                   Cost of retention
                   Customer referral value (CRV)

26
#4 Fail fast, fail smart

                      Identify the top 5-10 worst
                      case scenarios.

                      Develop mitigation and
                      contingency plans.

                      Prepare everyone for the
                      inevitable failures.



27
28



     Wal-mart failed many, many times




28
29



     Buyer blog hit the right note




29
30



     #5 Give up the need to be in control




30                             Photo: Kantor, http://www.flickr.com/photos/kantor
How open do you need to be?
     • Audience demand for openness
      ▫ Service members/employees
      ▫ Outside public
      ▫ Partners
     • Your goals
     • The competition




31
32



     An essential tool to have




32
Thank You

                Charlene Li
              Altimeter Group

        charlene@altimetergroup.com
          blog.altimetergroup.com
             Twitter: @charleneli

     If you would like a copy of the slides,
     please leave a business card with me.



33                                      Copyright © 2009 Altimeter Group

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Innovating With Social Media In Government

  • 1.
  • 2. Innovating With Social Media In Government Charlene Li Altimeter Group May 18, 2009 If you would like a copy of the slides, please leave a business card with me.
  • 3. 3 Is this what social media is about? 3 Source: Wordle.net
  • 4. 4 It’s about the relationship 4
  • 5. 5 Government “with” the people 5
  • 6. 6 Focus on relationships, not technologies What kind of relationship do you want? Transactional Passionate Occasional Constant Impersonal Intimate Short-term Loyal 6
  • 7. 7 But it’s hard to form relationships 7
  • 8. 8 What you need is a strategy What will you do? What won’t you do? 8
  • 9. 9 Goals define your strategy Dialog Learn Help Innovate 9
  • 10. 10 Learn with monitoring tools 10
  • 11. How Oracle encouraged feedback 11
  • 12. 12 MG Oates seeks feedback via a blog 12
  • 13. 13 The Engagement Pyramid dives deeper • Edit a wiki – <1%* • Moderate a forum – <1% Curators • Write in a blog – 21% • Upload a video – 18% Producers • Write in a discussion forum – 47%* • Rate a product or service – 32%** Commenters • Comment on a blog post – 22%** • Share online video – 37% Sharers • Update profile – 35% • Upload photos – 23% • Watch online video – 59% Watchers • Read blogs – 48% • Download podcasts – 23% Source: Universal McCann Social Media Tracker Wave 3, March 2008 *Source: Wiki data from Wetpaint, forum data from Lithium Technologies **Source: Pew Internet & American Life Project Tracking surveys 13
  • 14. 14 NSA dialogs and recruits on Facebook 14
  • 15. Commenters give an opinion 15
  • 16. Customer support by people 16
  • 17. Who is Cheryl G.? One of the top three contributors on the forum An expert on mobile devices Has been active since October 16, 2003 17
  • 18. Support from Frank Eliason, Comcast 18
  • 19. Starbucks innovates across the organization
  • 20. 20 Getting started 20
  • 21. 21 #1 Have the courage to engage Start small Experiment 21
  • 22. 22 Deal with different social media mindsets Fearful Cautious Realist Transparent Skeptic Tester Optimist Evangelist Find the “moments of faith” and “moments of crisis” for each mindset 22
  • 23. Convincing your curmudgeon “It’s a fad and waste of time.” - Make it real. “There’s no ROI.” - Tie it to goals. “It’s way too risky.” - Develop worst case scenarios. 23
  • 24. 24 #2 Measure the right things Your goals determine your metrics Use the same metrics as your marketing goals 24
  • 25. 25 Example “micro” metrics Goal Metric Value Learn # of customer Impact of faster, feedback better insights Dialog # of comments Greater loyalty # of referrals Faster, more closes Help # of issues addressed Increased satisfaction Innovate # of implemented Faster development ideas 25
  • 26. 26 Higher order metrics to consider Net Promoter Score How likely are you to recommend this to someone you know? Lifetime Value Lifetime revenue Cost of acquisition Cost of retention Customer referral value (CRV) 26
  • 27. #4 Fail fast, fail smart Identify the top 5-10 worst case scenarios. Develop mitigation and contingency plans. Prepare everyone for the inevitable failures. 27
  • 28. 28 Wal-mart failed many, many times 28
  • 29. 29 Buyer blog hit the right note 29
  • 30. 30 #5 Give up the need to be in control 30 Photo: Kantor, http://www.flickr.com/photos/kantor
  • 31. How open do you need to be? • Audience demand for openness ▫ Service members/employees ▫ Outside public ▫ Partners • Your goals • The competition 31
  • 32. 32 An essential tool to have 32
  • 33. Thank You Charlene Li Altimeter Group charlene@altimetergroup.com blog.altimetergroup.com Twitter: @charleneli If you would like a copy of the slides, please leave a business card with me. 33 Copyright © 2009 Altimeter Group

Editor's Notes

  1. Government is beginning to experiment with a new trend: people using online social technologies (blogs, social networking sites, YouTube, podcasts) to discuss products and companies, write their own news, and find their own deals. This groundswell is global and a major part of President Obama's transparency initiatives, it is unstoppable, it affects every industry and it is utterly foreign to some government agencies running things now.
  2. When you think of social technologies, you often think about these buzzwords. But that’s not what is important. What is important is relationships and the connections that are made with them.
  3. The key is to focus on the relationships and connections that are enabled, not the technologies. Think about the kind of relationship that you want. Do you want it to be short term and transaction, or long-term and intimate?To help you think about this, I have a simple idea.
  4. Source: Screenshot taken from demonstration
  5. http://taskforcemountain.com/mountain-sound-off
  6. Comcast is a cable provider in the US, and they have a reputation for poor service. They use Twitter to talk with people who are having problems. I used this site and Frank took great care of me. He is changing the face of Comcast, one tweet at a time.
  7. Starbucks has a site where people can make suggestions on how they should improve. The key difference is that the suggestions are public, and people can vote for their favorite suggestions. Here’s an example of automatic ordering. Note that there is a status update here “Under Review”.
  8. http://flickr.com/photos/kantor/2279534438/