The 2011 social marketing business forecast emphasizes the integration of social media within corporate structures, focusing on ROI measurement and the development of scalable social media programs. Companies are encouraged to hire the right talent and invest in systems like social CRM and social media management systems to enhance their strategies. The document forecasts significant budgeting changes and a shift towards more sophisticated engagement and measurement practices in social business.

1. 2011 Social Marketing Business ForecastJanuary 18, 2011

2. 2Proprietary and Confidential | AgendaIntroductionsWho We Are & How We Can Help The Social Media Business Forecast – 2011 the Year of IntegrationQ&A Resources

3. 3About The SpeakersJeremiah Owyang Partner, Altimeter GroupFormer senior analyst for Forrester Research, Hitachi Data Systems, Pod TechMichael Della Penna, Managing Director and EVP, StrongMailFormer CMO of Epsilon and Bigfoot Interactive, VP of strategic development at CNET Networks, Inc., VP of marketing at ZDNet

4. Who is StrongMail Agency Services?Founded in 2010; Headquartered in New York Focus on Email & Social MediaCombination of StrongMail’s Strategy Group & Key Acquisitions Conversa Marketing – Social CRM Agency Magnetik – Digital Marketing AgencyPopularMedia – Social Sharing TechnologiesFull-Service Digital Marketing Agency with Industry-Leading Email and Social Media Marketing Technology PlatformsHelp Leading Fortune 2000 Brands Build Stronger, More Profitable Relationships

5. “The results have been impressive — that doesn’t even begin to describe what you’ve done for us.”Rob KrinDigital Brand LeaderCastrol USAProprietary and Confidential | 5Our Approach – Small Agency Touch, Big Agency ResourcesOur clients include:Listen: Strategic consulting

6. Listening and monitoringLearn: Proprietary research

7. Segmentation strategies & persona development

8. Datamart/loyalty engine design and development

9. Data collection and surveysEngage: Lifecycle program development

10. Creative strategies and execution

11. Website development

12. Campaign execution community management

13. Innovative loyalty and participatory marketing programsInfluence: Email and website socialization

14. Social data collection and overlays/enhancements

15. Analytics and modelingOur Goal With This WebinarEducation & Guidance – Uncovering emerging trends & opportunitiesIntelligence & Support – Data to help make the right decisions Resources & Best Practices – Ability to learn from others and optimize resultshttp://www.strongmail.com/resources/webevents/6Proprietary and Confidential |

16. 7StrongMail and Thread MarketingJanuary 18, 2011Jeremiah OwyangIndustry AnalystSocial Business Forecast: 2011 The Year of IntegrationResearch reveals focus on integration, staffing, advertising, and measurement.

17. 8What happened in 2010What’s going to happen in 2011What companies should do about itAgenda:

18. Image by Slowtronused with Attribution as directed by Creative Commons http://www.flickr.com/photos/fuckr/915303092010 Overview© 2010 Altimeter Group

19. Just 2 years in corporate social business, 2010 was the year of formation.

20. Most Social Media programs report under Marketing or Corporate Communications

21. Companies organize for social in 5 ways

22. 13DECENTRALIZEDOrganic growth

23. Authentic

24. Experimental

25. Not coordinated

26. e.g. Sun14CENTRALIZEDOne department controls all efforts

27. Consistent

28. May not be as authentic

29. e.g. Ford, Regulated15HUB AND SPOKEOne hub sets rules and procedures

30. Business units undertake own efforts

31. Spreads widely around the org

32. Takes time

33. e.g. Red Cross16MULTIPLE HUB AND SPOKE OR “DANEDELION”Similar to Coordinated but across multiple brands and units

34. e.g. HP, Microsoft, Tech Giants17HOLISTIC OR “HONEYCOMB”Each employee is empowered

35. Unlike Organic, employees are organized

36. e.g. Twelpforce, ZapposMost companies organize into Hub & Spoke or Centralized18

37. Maturity drives Total Budget, Team Size, and Org ModelSource: Survey of Corporate Social Strategists, Altimeter Group, November 2010We asked 140 Corporate Social Strategists their total strategy budget, number of full-time equivalent staff dedicated to social media, and organizational model:

38. Maturity drives Total Budget, Team Size, and Org ModelSource: Survey of Corporate Social Strategists, Altimeter Group, November 2010Corporations who are just getting started have miniscule budget and are significantly understaffed in a centralized team –this does not scale.

39. Maturity drives Total Budget, Team Size, and Org ModelSource: Survey of Corporate Social Strategists, Altimeter Group, November 2010Corporations who have formalized their programs have a cross-functional team that lead and serve many business units with a larger budget line–they may not deploy on their behalf.

40. Maturity drives Total Budget, Team Size, and Org ModelSource: Survey of Corporate Social Strategists, Altimeter Group, November 2010Mature and Advanced corporations have only slightly large budgets but involve many more across the company and are formed in Hub and Spoke, and often “Dandelion.”

41. Image by ronni44052 used with Attribution as directed by Creative http://www.flickr.com/photos/ronnie44052/27302396052011 Forecast© 2010 Altimeter Group

42. 2011 is the Year of Integration

43. For Internal Goals In 2011, Social Strategists will focus on Measurement of ROISource: Survey of Corporate Social Strategists, Altimeter Group, November 2010We asked 140 Corporate Social Strategists: “What internal social strategy objectives will you focus most on 2011?”

44. Social Strategists struggle with relying on engagement data We asked 140 Corporate Social Strategists: What measurements are most important to evaluating the success of your program? Source: Survey of Corporate Social Strategists, Altimeter Group, November 2010

45. In external “Go to market,” a focus will be on integrating social onto the corporate websiteSource: Survey of Corporate Social Strategists, Altimeter Group, November 2010We asked 140 Corporate Social Strategists: “What external social strategy objectives will you focus most on 2011?”

46. 2010-2011: Adoption of Social Business programsWe asked 140 Corporate Social Strategists if they have or will adopted any of the following 12 social business programs:20112010Source: Survey of Corporate Social Strategists, Altimeter Group, November 2010

47. 2010-2011: Spending on Social Business programsWe asked 140 Corporate Social Strategists their annual budgets for the following 12 social business programs:$278,000$160,000 $129,000 $120,000 $108,000 $98,000 $90,000 $47,000 $47,000 $37,000 $23,000 $22,000 20112010Source: Survey of Corporate Social Strategists, Altimeter Group, November 2010

48. 2011 top spending by Company MaturitySource: Survey of Corporate Social Strategists, Altimeter Group, November 2010We asked 140 Corporate Social Strategists their budget for 12 social business programs in 2010, and projected increases/decreases in 2011 to calculate top spending by Company Maturity in 2011:

49. 2011 top spending by MaturitySource: Survey of Corporate Social Strategists, Altimeter Group, November 2010A small compartment of staff will be hired, scalable branded communities, and reliance on agencies which could help with monitoring.

50. 2011 top spending by MaturitySource: Survey of Corporate Social Strategists, Altimeter Group, November 2010Teams will continue to grow, but likely stymied by true “engagement.” Brands may throw ad dollars and campaigns in order to scale –expect few to have maturity to truly engage.

51. 2011 top spending by MaturitySource: Survey of Corporate Social Strategists, Altimeter Group, November 2010Expect the advanced to customize social media software and data, and then focus on engagement with social media agencies of record (SMAOR) –with less focus on advertising than the mature.