Presentation slides of "The Social Media Leap" research paper delivered at ESOMAR WM3 World Research Conference, Berlin 19 October, 2010. Paper and presentation by Dr Karen Nelson-Field (UniSA, Ehrenberg-Bass Institute) and Gavin Klose (Australian innovation agency, Fusion). The paper explores social media marketing current practice and provides nine recommendations for best practice for industry.

1. The Social Media
Leap
Dr. Karen Nelson-Field
Ehrenberg-Bass Institute for Marketing Science
University of South Australia
Gavin Klose
Fusion
Hello

2. The Social Media
Leap
We will take you through our research of over 240 organisations and 1000 articles and papers. Our
findings include current practice and recommendations for best practice in terms of integrating social
media into marketing strategies.

3. Could you please take our picture
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talk.

5. > porn
(Socialnomics 2009, Icon Dock 2010)
We all know of the exponential growth of social media. We recommend watching the Socialnomics
video: Is Social Media a Fad? Social Media is now more popular than online porn.

6. >
(Hitwise 2010)
In fact in the UK more people visited Facebook than Google in March 2010. There were 500 million
Facebook users July 2010 and by comparison, TV took 13 years to reach mere 50 millionand by 2015 it
is predicted that 1/3 of the world will be social media users.

7. We also know that how we consume media has changed, but so has how we socialise (and even how
we read books!).

8. As Andrew Green put it: “Prime Time” is now “My Time”.
Funnily enough we are now far more social, but online.

9. Not only has the way we receive media changed but so has our behaviour. We are no longer simply
receivers. We are now publishers, broadcasters, commentators, voters, ambassadors. Our networks are
vast, crave connection and interaction.

10. So this is great for consumers - but what about marketers?
While social media brings opportunity, it renders challenge.
Where do marketers begin? How do we manage this “out of control” platform?

11. There is great risk of misconceptions fuelled by sheer volume of industry one-offs, think pieces, case
studies. Thousands sprout ‘how to lists’, ‘best practice’, ‘success steps’. But are we drowning in
information and is the information credible or based on evidence or academic rigour?

12. clicksviews likes rates comments shares pvisits
There is also much debate about the appropriateness of offline metrics used in online context (but we
wonʼt be covering measurement today).

13. I’m a
big fan
I’m not
buying it
And the elephant in the room: Engagement. What does it mean? Is it with the brand or with the platform?
Is engagement important for marketing? This will be covered more by Jennifer Taylor in her paper
tomorrow, A Long Engagement.

14. The Social Media
Leap
Do marketers have a choice NOT to be a part of this revolution?
Should they take $$ from tried and tested marketing efforts and follow the leaders and take a leap of
faith with no real guarantee of return?
Well, hopefully todayʼs paper will help.

15. 1000+240
We have documented ʻcurrentʼ practice with quantitive research of over 240 organisations. We have
also documented ʻbestʼ practice from a comprehensive review of over 1000 articles for industry insight
filtered through the empirical generalisations and building blocks of tried and tested marketing
knowledge.

16. From quantitative survey
>240 organisations
The Social Media Leap:
Current Practice
Some quick findings from our industry survey to marketing practitioners.

17. 79% not a fad and will be a key component
50%
highly reactive (self reported)
Only 9%
properly planned
Only 39% include into overall mktg plan
69%
source information from the Internet
41%
use their own judgement
Very few look to credible research
Current Social Media implementation:
Industry believes social media is not a fad but few are properly planning or getting credible information
for it.

18. They aren’t because senior managers...
don't understand it,
don't value it,
don't have a firm grasp on what it can do
Current Social Media implementation:
Those who are not implementing it often arenʼt because their senior managers donʼt get it.

19. Only 30% use metrics because they align
Big disconnect between SM and trad metrics
30% use profitability for trad marketing
14% use profitability for social media
Interesting....
21%
use attitudinal shift for social media
Current Social Media measures:
There is a disconnect between offline and online measurement. Interestingly, while people talk about
how attitude change is a big part of social media (because it is supposed to be different from
traditional media) only 21% use it as a measure anyway (because it is difficult and expensive to do so).

20. 58% mktg effort increased in 2010
Many say HR is absorbed (no new roles)
Most will spend more next year.....
1/5 claim 5-10% budget in 2010
1/3 claim 5-10% budget in 2011*
*particularly small organisations
Future Social Media implementation:
Most are increasing their marketing time spent, yet most are absorbing the role into existing HR. Most
are planning to spend more dollars next year - the biggest shift mainly from small organisations moving
their social media.

21. Biggest barriers to entry...
lack of knowledge
lack of time
lack of organisational culture
lack of technology
Future Social Media implementation:
Fusion find this to be the case in industry, we here these barriers a lot from clients.

22. Top ‘to do’s...
research
staff training
additional budget
organisational culture change
Future Social Media implementation:
So from the previous slide it is not surprising that these are on their “to do” lists

23. Organisations are largely ill prepared
(small at greatest risk)
Most plan to spend more/invest more time
Yet....
largely unplanned
treated as stand alone
lack of understanding
about measures/effect
look to unfounded sources
for help/way forward
In summary of our current practice findings.

24. The Social Media Leap:
Illustration Chuck Jones
So from over 1000 industry insights (filtered by what we know empirically) we compiled some industry
best practices.

25. 1. Strive for reach
2. Don’t be too narrow
3. Use brand cues
4. Look for recency
5. Be social
6. Plan with multi-hats
7. Listen(and spy)
8. Ready your troops
9. Start slowly
The Social Media Leap:
Best Practice
1-4 are not new to media planning - but new in context of social media whereas 5-9 are a shift in
thinking.

26. 1. Strive for reach
Empirically we know people dont “love” their brands, instead they buy from a repertoire of brands. We
know that light buyers make up the majority of a brands users and brands grow from getting more light
buyers to buy. So quite simply advertisers should strive for reach.
If you have limited social media resources best to focus on biggest platforms (with the biggest reach)
and do them well. Go fishing where the fish are.

27. I’m 18-25
years old...
2. Don’t be too narrow
We know that niche targeting strategy restricts the ability to gain more buyers, not to mention that
demographics are long noted to have a weak association with actual purchase behaviour.

28. I like
takeaway
2. Don’t be too narrow
So best to target category buyers through sophisticated mass targeting. Luckily social media tends to
attract communities of like minded people (regardless of their demographic).

29. 3. Use brand cues
We know that memory is long noted as important in terms of being considered at the purchase occasion
and that advertising is less a persuasive force and acts more as a reminder. We also know that
distinctive assets, such as symbols, colour, shape, jingles, can act as a mental triggers at time of
purchase. So look for opportunities to strengthen your brands assets in the social media space.

30. 4. Look for recency
We know advertising has its greatest effect the closer it is to the buying occasion. Online brands benefit
most from recency where advertising in the form of recommendations (peer/social interaction) are really
close to the point of purchase (eg Amazon).

31. 4. Look for recency
However as online mobile and permission-based “checking in” rapidly becomes more popular - so does
opportunity to place permission based reminders, promotions or activities close to point of purchase.
This new kind of immediacy is often called ʻhyperlocalityʼ. Watch this space.

32. Content
5. Be social
They say that content is ʻkingʼ...

33. Content
5. Be social
Well, in the social media space, content is ʻkingʼ if people are in the picture. Some ways this is achieved
is by: allowing people to personalise/customise your content; providing channels for people to create
their own branded content; and encouraging people to comment or rate content about your brand.
Social media has proven to be an easy and cost effective (eg posting a video straight from your smart
phone) creative platform - so be creative and experiment to involve people in your messages or
experiences. Today, people are more likely to share content that has people (or even better, themselves)
- so putting people in the picture increases share-ability(which Fusion call the Sharefactor) which is
good for reach.
WE THEN SHOWED A VIDEO WITH SOME CASE STUDIES:
http://www.vimeo.com/15972545

34. 6. Plan with multi-hats
BUYFIND
Traditionally, marketers started with a great ad to lead people to a brand. But now there is a bigger
picture to consider.

35. GOOD
BAD
6. Plan with multi-hats
BUYFIND
Word of mouth is the most trusted form of advertising and with the exponential ability to share good and
bad experiences with others, social media has created what has been called a “world wide word of
mouth”.

36. GOOD
BAD
6. Plan with multi-hats
Generation
Participation
Observation
BUYFIND USE
Rather than just looking at creating and placing great ads, start by looking to create great experiences
(not just ads) that people will like and then make it easy for them to spread them to friends.
1. Generation: create great experiences and integrate then into marketing strategy.
2. Participation: get involved (not just set and forget; nor plan and publish). People like communicating
with people.
3. Observe: what people like and what they don’t. Turning a bad experience into a good one can
generate positive word of mouth.

37. bla bla bla
your
brand
7. Listen(and spy)
bla bla bla
your
competitors
Social media provides you with great opportunity to hear what people are saying about you and your
category = market research. Not only do people like being heard (by your brand!), you can gain insights
to improve product or create more relevant ones. Brands like Starbucks use social media to do this
proactively and publicly.
As social media is public, it also enables you to spy on your competitors and their customers (which
could be your customers) - and be able to do this in real time.

38. 8. Ready your troops
Hoot!
Used effectively, social media is not just for the marketing or PR department. Social media also benefits
and effects other areas, eg HR (recruitment/retention) and Customer Service (feedback/complaints). To
ready your organisation you will need: the right internal culture; enough time and resources; guidelines
(eg to handle negative word of mouth); and support from executive management.
Adam Brown from Coca Cola has a vision for an “Assignment Editor” model where the social media
feeds are distributed to the many specialist areas of the organisation who are all Social Media Certified.
Fusion know of clients who have taken down social media platforms set up by the IT department
because they knew they did not have the resources, guidelines or expertise to use them effectively.

39. 9. Start slowly
As in the previous slide, it is wise to start slow as the risks with social media (eg negative word of
mouth) can become very public very quickly. Whilst not trendy to do so, it is OK to be skeptical and start
slow. Allocate new resources and budgets incrementally and allow for training and technology. Take care
not to throw out current marketing practices if they are working and instead start with integrating social
media pilots into your marketing plans. In social media you can afford to “Try - Measure - Try Something
Else”. If you are unsure about the space, partner with agencies that “get” social media thinking and
behaviour to inject or spark the right sort of creativity.

40. The Social Media
Leap
So in conclusion...
Whilst some might get lucky diving in...

41. The Social Media
Leap
...many marketers feel like they are taking a leap of faith...

42. Your Social Media
Next Steps
1. Strive for reach
2.
Don’t be too narrow
3. Use brand cues
4. Look for recency
5. Be social
6. Plan with multi-hats
7. Listen(and spy)
8. Ready your troops
9. Start slowly
...hopefully with our research and findings, you can feel a bit more positive about taking the next steps.
Remember social media is exciting (but largely untested) but hopefully our paper will provide a guide to
lower risk transition,

43. Future research: The Sharefactor
Engagement/likeability
Quantify iceberg effect
Shareable content
Understanding fans
Brand recall
Some future areas of research about the “Sharefactor” for the Ehrenberg-Bass Institute for Marketing
Science (University of South Australia) and Fusion...

44. We’d like your feedback
or questions on our
Sharefactor Facebook Page
facebook.com/sharefactor
Thankyou.
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