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Understand Your Customers’ Social Behaviors Charlene Li Altimeter Group January 2010 1 Jeremiah Owyang Altimeter Group #socialgraphics
Research is the foundation of any strategy –without it, you’re just “fondling the hammer.” This webinar (Part 1) will focus on how to use socialgraphics to create your own Engagement Pyramid. Part 2 will focus on developing a social strategy based on goals, and getting your company ready. A 2-part series 2
A company who sells ‘snackums’ is trying to reach moms. Brands would find out who has the biggest number of moms, HGTV, Food Network. Apply traditional demographics, and broadcast marketing Yet brands miss out on the specific behaviors of consumers –and their intricate relationships online. The Old Way? Carpet Bombing 3
Socialgraphics 4 Demographic Geographic Psychographic Behavioral Socialgraphic
Where are your customers online? What are your customers’ social behaviors online? What social information or people do your customers rely on? What is your customers’ social influence? Who trusts them? How do your customers use social technologies in the context of your products. Socialgraphics asks key questions 5
90-9-1 Principle 6 “In social groups, some people actively participate more than others… Social participation tends to follow a 90-9-1 rule where:”
Social technology adoption by consumers is no longer nascent – it’s nearly a mainstream activity. To be accurate in your social strategy, you must know the specific behaviors of your customer base. This updated framework provides a modern approach to social strategy. An updated framework 7
The Engagement Pyramid 8 Curating Producing Commenting Sharing Watching
Watching 9 Curating Producing Commenting Sharing Watching
What?:Consume content only, e.g. visit social networking sites, read blogs, watch videos, or listen to podcasts Why?: Seeking social-created content to help with making decisions, learning from peers, or entertainment Watching 10
Watching 11 Most people watch videos on YouTube – very few upload.
How to Engage?: First, understand the content that they are currently consuming. Be relevant - what do customers want to read, watch, or hear?   Create content that engages Watching, based upon existing habits. Tactics: Engaging Watching 12
Sharing 13 Curating Producing Commenting Sharing Watching
What?: Update status on social sites or Twitter, upload/forward photos, videos, articles, etc. Why?: Want to share the information they have with peers, both to support others, and demonstrate knowledge Sharing 14
Sharing 15 Twitter enables real-time sharing.
Sharing 16 ShareThis reported a 200% increase in sharing through the ShareThis button in 2009. Overall, sharing is growing.
How to Engage?: Simplify and innovate sharing tools, see “ShareThis.com” and “AddThis.com” Advanced should seek Gigya*, Pluck, Kickapps. Recognition and rewards Allow Facebook, LinkedIn and Twitter connect features Tactics: Engaging Sharing 17 * Disclosure: An Altimeter Group client.
Commenting 18 Curating Producing Commenting Sharing Watching
What?: Respond to others’ content, for e.g. comment on blogs or news stories, review or rate products Why?: Actively participate, support, or contribute ideas/opinions, but usually one-off’s  Commenting 19
Commenting 20 Facebook commenting and “Likes” simplified how users responded to other people’s content.
Commenting 21 Retail sites encourage ratings and reviews by shoppers.
How to Engage?: Allow every webpage to have commenting features Develop a community policy Foster an open and friendly environment (and discourage spammers and trolls) Seek community vendors like Lithium*, Jive, Mzinga, Awareness, LiveWorld*, Kickapps, Pluck. Tactics: Engaging Commenting 22 * Disclosure: An Altimeter Group client.
Producing 23 Curating Producing Commenting Sharing Watching
What?: Create and publish their own content, for e.g. websites, blogs, or podcasts Why?: Want to express identity, own content, be heard, or be recognized Producing 24
Producing 25
Producing 26
How to Engage?: Become a platform for the voice of your customers. Provide public recognition for most helpful community members. Sponsored Discussions:  Intel Insiders, Microsoft MVP, Walmart Elevenmoms Note:  Understand and abide by FTC Guidelines Tactics: Engaging Producing 27
Curating 28 Curating Producing Commenting Sharing Watching
What?: Moderate or are heavily involved in online communities, for ex. Wikipedia, fan pages, or discussion boards Why?: Invested in success of a product, service, or community, want to give back, or be recognized  Curating 29
Curating 30 The Coca-Cola Facebook fan page was started, and continues to be administered, by two regular fans.
Curating 31 Dell Community Ambassadors help manage and support customer forums.
How to Engage?: Rely on them as trusted advisors, consider them non-paid partners Identify influencers or community builders, recognize them in public. Tactics: Engaging Curating 32
Read tweets (Watching) Re-tweet (Sharing) @reply (Commenting) Tweet (Sharing/Producing) #hashtag (Curating) The Twitter Problem 33
Engagement Pyramid Data 34 Source: Global Wave Index Wave 1, Trendstream.net, July 2009
Conduct research to identify the social behaviors of your customer base  – before you do anything Also identify: Where are they online: Surveys or brand monitoring Who do they trust: Surveys Who do they influence: Survey or brand monitoring How they use these tools in context of your products: Most often surveys. When you first understand your customers, your marketing efforts will naturally unfold. Putting it to work 35
1) Where are your customers online? Action: Don’t aimlessly approach social networks without knowing if they are there, if they are in Hyves, go there. 2) What are your customers’ social behaviors online? Action:  Which social features should we deploy? Example: if they are commenters, allow them to comment. 3) What social information or people do your customers rely on? Action: If they rely on their friends, facilitate a marketing program that encourages customers to share with friends. 4) What is your customers’ social influence? Who trusts them? Action: If your customers are trusted by others, highlight your customers in front of their community.  Example: Intercontintental Hotel features the photos created by top guests. 5) How do your customers use social in regards to your brand? Action:  Understand how customers use these tools in researching new products, decision making, and support Socialgraphics makes you actionable 36
Situation: A healthy snack food company trying to reach moms, and their goal is to introduce them to a new product called “Snackums”. (fictional) Where are they online today?   Use monitoring tools to find hot spots of conversations Use survey to find specific URL locations through and open ended questions Example: The data found that a third of the targeted moms visited Facebook at least weekly, and more than half visited at least monthly. Conduct qualitative analysis to find out what topics moms are talking about. Example: Brand monitoring indicated that the most talked about topic when discussing health foods was price and convenience. What are their online social behaviors? They deployed a survey, and found they are mainly watching and sharing, very few producers But those that are producing are highly involved New Way: Learning about Moms 37
Findings:  Through the survey, found that most moms don’t talk about the product.  However a smaller group did influence those that are watchers, Yet those watchers, don’t share in that greater community, they share it with their immediate friends in Facebook. Action With this, this company was able to identify, who the influencers were, how to reach them, and to spur on word of mouth to the ‘average’ moms reaching a greater segment of customers.   Example: Activating Moms 38
Understand the socialgraphics of your customers by conducting surveys or obtaining secondary research. You’ll need to get the data from multiple sources –we don’t have all the data. We believe in ‘Open Research’ and we want to share –so the industry can advance together. Couple with your existing profiles or personas of customers, create an engagement pyramid for each persona. Next, identify what social goals your organization will take on (covered in our next webinar). Summary 39
Success in the Groundswell  			requires Open Leadership 40 When people get what they need from each other Have the confidence to let go and still inspire results
Thank you 41 41 Charlene Li charlene@altimetergroup.com blog.altimetergroup.com Twitter: charleneli Jeremiah Owyang jeremiah@altimetergroup.com web-strategist.com/blog Twitter: jowyang Follow the conversation at #socialgraphics Slides and recording will be available at altimetergroup.com
42 About Us Altimeter Group is a strategy consulting firm that provides companies with a pragmatic approach to disruptive technologies.  We have four areas of focus: Leadership and Management, Customer Strategy, Enterprise Strategy, and Innovation and Practice. Visit us at http://www.altimetergroup.com or contact info@altimetergroup.com.

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Understand Your Customers' Social Behaviors

  • 1. Understand Your Customers’ Social Behaviors Charlene Li Altimeter Group January 2010 1 Jeremiah Owyang Altimeter Group #socialgraphics
  • 2. Research is the foundation of any strategy –without it, you’re just “fondling the hammer.” This webinar (Part 1) will focus on how to use socialgraphics to create your own Engagement Pyramid. Part 2 will focus on developing a social strategy based on goals, and getting your company ready. A 2-part series 2
  • 3. A company who sells ‘snackums’ is trying to reach moms. Brands would find out who has the biggest number of moms, HGTV, Food Network. Apply traditional demographics, and broadcast marketing Yet brands miss out on the specific behaviors of consumers –and their intricate relationships online. The Old Way? Carpet Bombing 3
  • 4. Socialgraphics 4 Demographic Geographic Psychographic Behavioral Socialgraphic
  • 5. Where are your customers online? What are your customers’ social behaviors online? What social information or people do your customers rely on? What is your customers’ social influence? Who trusts them? How do your customers use social technologies in the context of your products. Socialgraphics asks key questions 5
  • 6. 90-9-1 Principle 6 “In social groups, some people actively participate more than others… Social participation tends to follow a 90-9-1 rule where:”
  • 7. Social technology adoption by consumers is no longer nascent – it’s nearly a mainstream activity. To be accurate in your social strategy, you must know the specific behaviors of your customer base. This updated framework provides a modern approach to social strategy. An updated framework 7
  • 8. The Engagement Pyramid 8 Curating Producing Commenting Sharing Watching
  • 9. Watching 9 Curating Producing Commenting Sharing Watching
  • 10. What?:Consume content only, e.g. visit social networking sites, read blogs, watch videos, or listen to podcasts Why?: Seeking social-created content to help with making decisions, learning from peers, or entertainment Watching 10
  • 11. Watching 11 Most people watch videos on YouTube – very few upload.
  • 12. How to Engage?: First, understand the content that they are currently consuming. Be relevant - what do customers want to read, watch, or hear? Create content that engages Watching, based upon existing habits. Tactics: Engaging Watching 12
  • 13. Sharing 13 Curating Producing Commenting Sharing Watching
  • 14. What?: Update status on social sites or Twitter, upload/forward photos, videos, articles, etc. Why?: Want to share the information they have with peers, both to support others, and demonstrate knowledge Sharing 14
  • 15. Sharing 15 Twitter enables real-time sharing.
  • 16. Sharing 16 ShareThis reported a 200% increase in sharing through the ShareThis button in 2009. Overall, sharing is growing.
  • 17. How to Engage?: Simplify and innovate sharing tools, see “ShareThis.com” and “AddThis.com” Advanced should seek Gigya*, Pluck, Kickapps. Recognition and rewards Allow Facebook, LinkedIn and Twitter connect features Tactics: Engaging Sharing 17 * Disclosure: An Altimeter Group client.
  • 18. Commenting 18 Curating Producing Commenting Sharing Watching
  • 19. What?: Respond to others’ content, for e.g. comment on blogs or news stories, review or rate products Why?: Actively participate, support, or contribute ideas/opinions, but usually one-off’s Commenting 19
  • 20. Commenting 20 Facebook commenting and “Likes” simplified how users responded to other people’s content.
  • 21. Commenting 21 Retail sites encourage ratings and reviews by shoppers.
  • 22. How to Engage?: Allow every webpage to have commenting features Develop a community policy Foster an open and friendly environment (and discourage spammers and trolls) Seek community vendors like Lithium*, Jive, Mzinga, Awareness, LiveWorld*, Kickapps, Pluck. Tactics: Engaging Commenting 22 * Disclosure: An Altimeter Group client.
  • 23. Producing 23 Curating Producing Commenting Sharing Watching
  • 24. What?: Create and publish their own content, for e.g. websites, blogs, or podcasts Why?: Want to express identity, own content, be heard, or be recognized Producing 24
  • 27. How to Engage?: Become a platform for the voice of your customers. Provide public recognition for most helpful community members. Sponsored Discussions: Intel Insiders, Microsoft MVP, Walmart Elevenmoms Note: Understand and abide by FTC Guidelines Tactics: Engaging Producing 27
  • 28. Curating 28 Curating Producing Commenting Sharing Watching
  • 29. What?: Moderate or are heavily involved in online communities, for ex. Wikipedia, fan pages, or discussion boards Why?: Invested in success of a product, service, or community, want to give back, or be recognized Curating 29
  • 30. Curating 30 The Coca-Cola Facebook fan page was started, and continues to be administered, by two regular fans.
  • 31. Curating 31 Dell Community Ambassadors help manage and support customer forums.
  • 32. How to Engage?: Rely on them as trusted advisors, consider them non-paid partners Identify influencers or community builders, recognize them in public. Tactics: Engaging Curating 32
  • 33. Read tweets (Watching) Re-tweet (Sharing) @reply (Commenting) Tweet (Sharing/Producing) #hashtag (Curating) The Twitter Problem 33
  • 34. Engagement Pyramid Data 34 Source: Global Wave Index Wave 1, Trendstream.net, July 2009
  • 35. Conduct research to identify the social behaviors of your customer base – before you do anything Also identify: Where are they online: Surveys or brand monitoring Who do they trust: Surveys Who do they influence: Survey or brand monitoring How they use these tools in context of your products: Most often surveys. When you first understand your customers, your marketing efforts will naturally unfold. Putting it to work 35
  • 36. 1) Where are your customers online? Action: Don’t aimlessly approach social networks without knowing if they are there, if they are in Hyves, go there. 2) What are your customers’ social behaviors online? Action: Which social features should we deploy? Example: if they are commenters, allow them to comment. 3) What social information or people do your customers rely on? Action: If they rely on their friends, facilitate a marketing program that encourages customers to share with friends. 4) What is your customers’ social influence? Who trusts them? Action: If your customers are trusted by others, highlight your customers in front of their community. Example: Intercontintental Hotel features the photos created by top guests. 5) How do your customers use social in regards to your brand? Action: Understand how customers use these tools in researching new products, decision making, and support Socialgraphics makes you actionable 36
  • 37. Situation: A healthy snack food company trying to reach moms, and their goal is to introduce them to a new product called “Snackums”. (fictional) Where are they online today? Use monitoring tools to find hot spots of conversations Use survey to find specific URL locations through and open ended questions Example: The data found that a third of the targeted moms visited Facebook at least weekly, and more than half visited at least monthly. Conduct qualitative analysis to find out what topics moms are talking about. Example: Brand monitoring indicated that the most talked about topic when discussing health foods was price and convenience. What are their online social behaviors? They deployed a survey, and found they are mainly watching and sharing, very few producers But those that are producing are highly involved New Way: Learning about Moms 37
  • 38. Findings: Through the survey, found that most moms don’t talk about the product. However a smaller group did influence those that are watchers, Yet those watchers, don’t share in that greater community, they share it with their immediate friends in Facebook. Action With this, this company was able to identify, who the influencers were, how to reach them, and to spur on word of mouth to the ‘average’ moms reaching a greater segment of customers. Example: Activating Moms 38
  • 39. Understand the socialgraphics of your customers by conducting surveys or obtaining secondary research. You’ll need to get the data from multiple sources –we don’t have all the data. We believe in ‘Open Research’ and we want to share –so the industry can advance together. Couple with your existing profiles or personas of customers, create an engagement pyramid for each persona. Next, identify what social goals your organization will take on (covered in our next webinar). Summary 39
  • 40. Success in the Groundswell requires Open Leadership 40 When people get what they need from each other Have the confidence to let go and still inspire results
  • 41. Thank you 41 41 Charlene Li charlene@altimetergroup.com blog.altimetergroup.com Twitter: charleneli Jeremiah Owyang jeremiah@altimetergroup.com web-strategist.com/blog Twitter: jowyang Follow the conversation at #socialgraphics Slides and recording will be available at altimetergroup.com
  • 42. 42 About Us Altimeter Group is a strategy consulting firm that provides companies with a pragmatic approach to disruptive technologies. We have four areas of focus: Leadership and Management, Customer Strategy, Enterprise Strategy, and Innovation and Practice. Visit us at http://www.altimetergroup.com or contact info@altimetergroup.com.

Editor's Notes

  1. We don’t own all of this data. We want to work with others. Including brand monitoring. You have to be holistic in your customer understanding
  2. http://www.90-9-1.com/