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Wikibrands
            - Reinventing Your
          Business in a Customer-
          Controlled Marketplace



Sean Moffitt @SeanMoffitt                           A Presentation to:
Ottawa, Ontario                                      SMB Ottawa
June 2, 2010
                            www.agentwildfire.com
So What The Heck Do I Know?
Obstacle #1 –
 There are 45,000 social
media experts online right
          now
Instead, we studied the best…

                    - Interview 50 top
                      global experts

                   - Study of 100 of the
                      most engaged
                    businesses/brands

                        - Part of a
                    multimillion study
                    with Don Tapscott
We went cross industry for insight …


                          Finance- American        Hospitality –
    Running - Nike Plus   Express                  Starbucks




B-to-B                                              Travel –
- Intuit                  Automotive - Camp Jeep    Starwood Hotels




 Tech – Dell              ecommerce – eBay         Startup - Freshbooks
Obstacle #2 –
If you have a profile on
Facebook, you have an
       opinion…
Just A Blonde Guy With a Cause




    …Authenticity, Passion, Storytelling
We built some verifiable proof
                     - 2nd annual report

                        -Survey of 300
                             Canadian
                      marketers, media
                       and executives

                       -30 questions on
                             new media,
                         technology and
                       customer culture
Obstacle #3 –
The Cluetrain has left the
 station…organizations,
 businesses and brands
  don’t belong in social
          media
Social Media = Smart Business
“The Sensitive New Age
Social Media” Religion Type
“The Never in a Million Years
   Traditionalist” Religion
Key Point - You Don’t Have to Choose
 Sides, Social Media is not a Religion
Caveat - There is a difference
  between “Being social”
Versus “Doing Social”
A Culture Change is Required




  MASS       DIRECT       SOCIAL
MARKETING   MARKETING   INFLUENCE
                        MARKETING
Wikibrands: Culture
Let’s get started…
Wikinomics - 2007 Don Tapscott
 “How Mass Collaboration Changes Everything”
                                 -Openness
                                   - Peering
                                   - Sharing
                               - Globalness

  Wikibrands - 2010 Sean Moffitt and Mike Dover
“How Customer Participation Changes Business”
                  - Online community and content
  - Customer engagement and brand experience
      - Social influence, buzz and word of mouth
            - Peer to peer media and technology
Business and Brands still Matter….




             …but…
7 Fundamental Changes are Occurring
   in How We Build Great Business

                 •   Shifts in media
                 •   Shifts in brand drivers*
                 •   Shifts in customer needs
                 •   Shifts in technology
                 •   Shifts in demographics
                 •   Shifts in business models
                 •   Shifts in economy
One highlight – what used to build brands and
      business is not what builds them now
                                                     Top 8
      Top 8 Value                            Differentiation
Desirability Drivers                                Drivers

     - High Quality                                  - Unique
      - Trustworthy                               - Dynamic
      - Good Value                                 - Different
          - Reliable                            - Distinctive
           - Original                           - Innovative
            - Simple                             - Visionary
               - Fun                                  - Daring
            - Leader                          - Progressive


                                  Source: Y&R Brand Asset valuator
There’s a new currency on how to build business




 “Something you Buy”     “Something you Trust”   “Something you Want”




                                                    “Something you
“Something you Prefer”    “Something you Love”       Participate In”

                                                                       23
Wikibrands – personal brands and social
phenomena are great; but we want to know how
     social media affects these people?
Why Now?
- Business Use of Social Media-
Top Reasons –
        Why Now Social Media
#1 The Need for Authenticity and Transparency -42%

#2 The rise of social networks - 38%
#3 Increasing role of wireless/mobile - 35%
#4 Customers/people waning attention spans - 25%
#5 Media fragmentation - 22%
#6 Change in mass marketing effectiveness - 20%


                            Agent Wildfire -The Buzz Report, April 2010
½ Dozen Reasons Why This is
        Important?
#1 -
Engaged brands are
     winning.
Engaged
            Brand Value
               +18%

               Non-
             Engaged
            Brand Value
                -6%


Interbrand 2010 Top Global Brand report
#2 – Social Media = Many
        Benefits
Brand Advocacy (Marketing)
- Word of mouth
- Referral/recommendation
- Badging
- Sales/traffic
- Reduction in media budgets




Brand Perception (PR)
- Awareness/exposure/SEO
- Affinity
- Empathy/respect
- Lead industry conversation
Brand Support (Customer
service)
- Customer service
- Education/ advice
- Value-add experience
- Lead industry conversation




Brand Serendipity (HR)
- Stories/Inspiration
- Corporate social responsibility
- Galvanize employees
- Traditional media interest
Brand Content
(Media/Customer Experience)
- Co-innovation/solutions
- User-generated Creative
- User-generated content
- Reviews/ratings



Brand Insight (Research
and Innovation)
- Idea stimulus
- Beta-testing
- Market research/polling
- Industry/competitive intelligence
Maker’s Mark Advocates
Molson in the Community
Doritos Content
Starbuck’s Insight
Whole Foods Support
Pepsi Serendipity
The Top Reasons Why
Canadian Business Use
  Social Media Now
Most Frequently Stated
         Objectives
#1 - Deliver buzz/awareness/publicity
#2 – Participate in a Dialogue/Conversation
#3 - Drive brand loyalty/affinity/lifetime value
of customer
#4 – Build better customer experiences
#5 – Deliver web visitors/offline traffic
#6 – Drive referrals, leads, members
#7 – Develop/enhance grassroots credibility
#3 – It’s Where Your
  Audience Lives
Online Canadians are
spending 18 hours online
each week (higher than TV)

We’re spending 82% more
time on social networks than
last year
Scale          – 14,252,000 Canadians
Engagement     – ½ log on everyday
Age            - 37% are over 35 years old
Associations   - 500,000 pages/5.3 billion fans
Purchasers     - 53% female
Connected      - Average 130 friends
Scale       – 3,000,000 Canadians (est.)
Followers   – 190 followers each (after 2 yrs)
Influence   - 0.7% of audience are followed
            by 1000+ users
Experts     -10% of audience is posting 90%
            of tweets
#4 – It will Keep Growing
⌧ Canadian Marketers plan
on spending more/less in
2010:

                 More
Less
Newspaper        5%
32%
Radio            5%
33%
TV                 4%
37%
Magazines          3%
39%
Ching Ching $$$
There is a solid industry business case


            79% of firms will be
                increasing
            investment in Web
             2.0 technologies;

                  only 6% will
                   decrease.


                            Source: Gartner, Sept 2009
Types of New Media Future Growth
#5 – We’re Not Very Good
           at It
Business and marketing are lagging their
              customers

                                       71% of marketers
                                           are less/only
                                      equally familiar with
                                        the use of social
                                       media tools than
                                         their customers


     Question: How familiar are you with the tools of social media?
#6 – Your Customers
       Want It
85% of people want
companies engaging
with their customers
in social media

56% of people feel a
stronger connection
with those companies
they interact with in
social media
The Recipe for Success?




  Technology? Design? Funding?
The Biggest Social Media Sins
- Listening, Content and Focus
The FLIRT Model – A Recipe for Community Success
FOCUS
– “Why are we doing this/what are we doing?”
FOCUS– Marry All Parties’ Interests/Capabilities
FOCUS– Two Big Axioms




Social/member needs > Company needs

Focus > Technology
Nike + -Members/Customers Values/Lifestyle/Desires
LANGUAGE & OUTREACH
    “do I like this/can I identify with this?”
“It doesn’t matter what you say, if I
 don’t like the way you’re saying it”
           James Cherkoff, Collaborate Marketing
Outreach - The Community Tentacles

                  Interesting-   Social
                      ness                Targeted

      Conversation
                                                     Findability

Collaboration            Content Engine
                                                           Visual

                           Community
Offline                      Portal

                                                        Aggregation


    Direct                  Blog/RSS
                                                     Multimedia

          Grassroots
                                           Updates
                       Outreach Badging
Outreach – Not Everyone is Equal




                          Visual
INCENTIVES & MOTIVATIONS
           “what’s in it for me?”
25 Community Incentives - Intrinsic

“How do I identify with, help the community”
  •   Better life/supporting cause
  •   Challenge/competition
  •   Creativity
  •   Fun & enjoyment
  •   Group effort/achievement
  •   Learning
  •   Satisfying curiosity
  •   Wanting to make a better product
  •   Meet people of similar interests
25 Community Incentives - Extrinsic
          “How do I appear to others?”
•   Ability to join VIP circle
•   Access to exclusive channels
•   Access to exclusive resources
•   Chance for wider Fame
•   Recognition (peer & company)
•   Reputation building
•   Recognition by company
•   Reputation by peers
25 Community Incentives - Explicit

    “What is my direct, tangible reward?”

•   Customer service
•   Information/advice
•   3rd party incentives
•   Customized/personalized
    treatment
•   Cash rewards
•   Non-monetary rewards
•   Discounts
•   Invitation to Events
•   Points accumulation
Souplantation




45,000 Facebook fans, 12,000 twitterers
RULES
“what can/can’t I do here?”
Rules


• Experience
  Facilitation

• Legal & Ethical
  Concerns

• Employee Policies

• Ownership
Coca Cola’s 10 Social Media Rules
             1) Be Certified in the Social Media
             Certification Program.
             2) Follow our Code of Business
             Conduct and all other Company policies.
             3) Be mindful that you are representing the
             Company.
             4) Fully disclose your affiliation with the
             Company.
             5) Keep records.
             6) When in doubt, do not post.
             7) Give credit where credit is due and don’t
             violate others’ rights.
             8) Be responsible to your work.
             9) Remember that your local posts can
             have global significance.
             10) Know that the Internet is permanent.
TOOLS & PLATFORM
    “how and where does it work?”
Platform Choice - Criteria

- Type of Software/Language

- Cost & Time

- Customization

- Scalability & Usability

- Security & Ownership
Platform Choices
COMMUNITY MANAGEMENT
     “who will lead the conversation?”
How to Avoid This…
Community/Brand Evangelists - Tasks
The Hero Community Manager – Nature Valley
The Collective Effort - Kashi
The Outsourced Effort – Philadelphia Cream Cheese
LIFE STAGE OF THE COMMUNITY
         “when do we need to adapt?”
The Life Stage of Social Media/Community
              Milestone achievement
              User generated content
              Incentives materialized
                 Mass supported
                                                Expansion
             Expected cycle of activity
                                             Broadened focus
                                          Company culture change
                                             Self-governance
                                            Tiered membership
  Fresh produced content
   Highlight contribution
     Incentives pitched
        Networked
     Seeded audience
METRICS, MEASUREMENT,
          INSIGHTS & ROI
 “what do we measure and look for?”
The Most Popular Community Metrics
- Traffic Pattern & Statistics - 75%

- Community Member Engagement - 74%

- Unique Number of Visitors - 72%
- New Member Registration - 70%

- Member Satisfaction - 59%
- Provide Feedback/Ideation for R&D - 49%
- Number of Referrals by Members - 33%
- Transition Lurkers into Active Members - 29%

- Impact of community on revenue - 27%
- Mentions of Organization or Brand on other
Community Sites - 27%
CULTURE & ORGANIZATIONAL
                 CHANGE
        “how will we be changed?”
Why aren’t we doing this? And succeeding?
Implementation Issue – Lip Service > Action

 The biggest obstacles that continue to exist
in implementing Wikibrands/social media in
          your company/clients?

1.   Lack of Budgets                                     32%
2.   Inability for company culture to accept             26%
3.   Technical skills required to implement              24%
4.   Inability to measure                                23%
5.   Fear of loss of control                             21%


                                    Source: Agent Wildfire Buzz Report 2009/10
Key takeaways
-Business and brands do belong

- 6 Potential benefits/reasons why

- Create a Wikibrand culture

- Listen

- Remember to FLIRT

- Resource for sustainability – MILC
-McGraw-Hill
   (Dec, 2010)

   @wikibrands
Facebook group

Blog, Wiki, Tour
 and Awards to
          follow
Let’s Start Your Next Brand Conversation…
            Inquire: spreadtheword (at) agentwildfire.com

            Phone: 416-255-4500

            URL:   www.AgentWildfire.com

            Book: @wikibrands

             Blogs: http://BuzzCanuck.typepad.com/

                   http://www.spreadslikewildfire.com/

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Wikibrands SMB Ottawa

  • 1. Wikibrands - Reinventing Your Business in a Customer- Controlled Marketplace Sean Moffitt @SeanMoffitt A Presentation to: Ottawa, Ontario SMB Ottawa June 2, 2010 www.agentwildfire.com
  • 2. So What The Heck Do I Know?
  • 3. Obstacle #1 – There are 45,000 social media experts online right now
  • 4. Instead, we studied the best… - Interview 50 top global experts - Study of 100 of the most engaged businesses/brands - Part of a multimillion study with Don Tapscott
  • 5. We went cross industry for insight … Finance- American Hospitality – Running - Nike Plus Express Starbucks B-to-B Travel – - Intuit Automotive - Camp Jeep Starwood Hotels Tech – Dell ecommerce – eBay Startup - Freshbooks
  • 6. Obstacle #2 – If you have a profile on Facebook, you have an opinion…
  • 7. Just A Blonde Guy With a Cause …Authenticity, Passion, Storytelling
  • 8. We built some verifiable proof - 2nd annual report -Survey of 300 Canadian marketers, media and executives -30 questions on new media, technology and customer culture
  • 9. Obstacle #3 – The Cluetrain has left the station…organizations, businesses and brands don’t belong in social media
  • 10. Social Media = Smart Business
  • 11. “The Sensitive New Age Social Media” Religion Type
  • 12. “The Never in a Million Years Traditionalist” Religion
  • 13. Key Point - You Don’t Have to Choose Sides, Social Media is not a Religion
  • 14. Caveat - There is a difference between “Being social”
  • 16. A Culture Change is Required MASS DIRECT SOCIAL MARKETING MARKETING INFLUENCE MARKETING
  • 19. Wikinomics - 2007 Don Tapscott “How Mass Collaboration Changes Everything” -Openness - Peering - Sharing - Globalness Wikibrands - 2010 Sean Moffitt and Mike Dover “How Customer Participation Changes Business” - Online community and content - Customer engagement and brand experience - Social influence, buzz and word of mouth - Peer to peer media and technology
  • 20. Business and Brands still Matter…. …but…
  • 21. 7 Fundamental Changes are Occurring in How We Build Great Business • Shifts in media • Shifts in brand drivers* • Shifts in customer needs • Shifts in technology • Shifts in demographics • Shifts in business models • Shifts in economy
  • 22. One highlight – what used to build brands and business is not what builds them now Top 8 Top 8 Value Differentiation Desirability Drivers Drivers - High Quality - Unique - Trustworthy - Dynamic - Good Value - Different - Reliable - Distinctive - Original - Innovative - Simple - Visionary - Fun - Daring - Leader - Progressive Source: Y&R Brand Asset valuator
  • 23. There’s a new currency on how to build business “Something you Buy” “Something you Trust” “Something you Want” “Something you “Something you Prefer” “Something you Love” Participate In” 23
  • 24. Wikibrands – personal brands and social phenomena are great; but we want to know how social media affects these people?
  • 25. Why Now? - Business Use of Social Media-
  • 26. Top Reasons – Why Now Social Media #1 The Need for Authenticity and Transparency -42% #2 The rise of social networks - 38% #3 Increasing role of wireless/mobile - 35% #4 Customers/people waning attention spans - 25% #5 Media fragmentation - 22% #6 Change in mass marketing effectiveness - 20% Agent Wildfire -The Buzz Report, April 2010
  • 27. ½ Dozen Reasons Why This is Important?
  • 28. #1 - Engaged brands are winning.
  • 29. Engaged Brand Value +18% Non- Engaged Brand Value -6% Interbrand 2010 Top Global Brand report
  • 30. #2 – Social Media = Many Benefits
  • 31. Brand Advocacy (Marketing) - Word of mouth - Referral/recommendation - Badging - Sales/traffic - Reduction in media budgets Brand Perception (PR) - Awareness/exposure/SEO - Affinity - Empathy/respect - Lead industry conversation
  • 32. Brand Support (Customer service) - Customer service - Education/ advice - Value-add experience - Lead industry conversation Brand Serendipity (HR) - Stories/Inspiration - Corporate social responsibility - Galvanize employees - Traditional media interest
  • 33. Brand Content (Media/Customer Experience) - Co-innovation/solutions - User-generated Creative - User-generated content - Reviews/ratings Brand Insight (Research and Innovation) - Idea stimulus - Beta-testing - Market research/polling - Industry/competitive intelligence
  • 35. Molson in the Community
  • 40. The Top Reasons Why Canadian Business Use Social Media Now
  • 41. Most Frequently Stated Objectives #1 - Deliver buzz/awareness/publicity #2 – Participate in a Dialogue/Conversation #3 - Drive brand loyalty/affinity/lifetime value of customer #4 – Build better customer experiences #5 – Deliver web visitors/offline traffic #6 – Drive referrals, leads, members #7 – Develop/enhance grassroots credibility
  • 42. #3 – It’s Where Your Audience Lives
  • 43. Online Canadians are spending 18 hours online each week (higher than TV) We’re spending 82% more time on social networks than last year
  • 44. Scale – 14,252,000 Canadians Engagement – ½ log on everyday Age - 37% are over 35 years old Associations - 500,000 pages/5.3 billion fans Purchasers - 53% female Connected - Average 130 friends
  • 45. Scale – 3,000,000 Canadians (est.) Followers – 190 followers each (after 2 yrs) Influence - 0.7% of audience are followed by 1000+ users Experts -10% of audience is posting 90% of tweets
  • 46. #4 – It will Keep Growing
  • 47. ⌧ Canadian Marketers plan on spending more/less in 2010: More Less Newspaper 5% 32% Radio 5% 33% TV 4% 37% Magazines 3% 39%
  • 48. Ching Ching $$$ There is a solid industry business case 79% of firms will be increasing investment in Web 2.0 technologies; only 6% will decrease. Source: Gartner, Sept 2009
  • 49. Types of New Media Future Growth
  • 50. #5 – We’re Not Very Good at It
  • 51. Business and marketing are lagging their customers 71% of marketers are less/only equally familiar with the use of social media tools than their customers Question: How familiar are you with the tools of social media?
  • 52. #6 – Your Customers Want It
  • 53. 85% of people want companies engaging with their customers in social media 56% of people feel a stronger connection with those companies they interact with in social media
  • 54. The Recipe for Success? Technology? Design? Funding?
  • 55. The Biggest Social Media Sins - Listening, Content and Focus
  • 56. The FLIRT Model – A Recipe for Community Success
  • 57. FOCUS – “Why are we doing this/what are we doing?”
  • 58. FOCUS– Marry All Parties’ Interests/Capabilities
  • 59. FOCUS– Two Big Axioms Social/member needs > Company needs Focus > Technology
  • 60. Nike + -Members/Customers Values/Lifestyle/Desires
  • 61.
  • 62.
  • 63. LANGUAGE & OUTREACH “do I like this/can I identify with this?”
  • 64. “It doesn’t matter what you say, if I don’t like the way you’re saying it” James Cherkoff, Collaborate Marketing
  • 65.
  • 66. Outreach - The Community Tentacles Interesting- Social ness Targeted Conversation Findability Collaboration Content Engine Visual Community Offline Portal Aggregation Direct Blog/RSS Multimedia Grassroots Updates Outreach Badging
  • 67. Outreach – Not Everyone is Equal Visual
  • 68.
  • 69. INCENTIVES & MOTIVATIONS “what’s in it for me?”
  • 70. 25 Community Incentives - Intrinsic “How do I identify with, help the community” • Better life/supporting cause • Challenge/competition • Creativity • Fun & enjoyment • Group effort/achievement • Learning • Satisfying curiosity • Wanting to make a better product • Meet people of similar interests
  • 71. 25 Community Incentives - Extrinsic “How do I appear to others?” • Ability to join VIP circle • Access to exclusive channels • Access to exclusive resources • Chance for wider Fame • Recognition (peer & company) • Reputation building • Recognition by company • Reputation by peers
  • 72. 25 Community Incentives - Explicit “What is my direct, tangible reward?” • Customer service • Information/advice • 3rd party incentives • Customized/personalized treatment • Cash rewards • Non-monetary rewards • Discounts • Invitation to Events • Points accumulation
  • 75. Rules • Experience Facilitation • Legal & Ethical Concerns • Employee Policies • Ownership
  • 76. Coca Cola’s 10 Social Media Rules 1) Be Certified in the Social Media Certification Program. 2) Follow our Code of Business Conduct and all other Company policies. 3) Be mindful that you are representing the Company. 4) Fully disclose your affiliation with the Company. 5) Keep records. 6) When in doubt, do not post. 7) Give credit where credit is due and don’t violate others’ rights. 8) Be responsible to your work. 9) Remember that your local posts can have global significance. 10) Know that the Internet is permanent.
  • 77. TOOLS & PLATFORM “how and where does it work?”
  • 78. Platform Choice - Criteria - Type of Software/Language - Cost & Time - Customization - Scalability & Usability - Security & Ownership
  • 80.
  • 81. COMMUNITY MANAGEMENT “who will lead the conversation?”
  • 82. How to Avoid This…
  • 84. The Hero Community Manager – Nature Valley
  • 86. The Outsourced Effort – Philadelphia Cream Cheese
  • 87. LIFE STAGE OF THE COMMUNITY “when do we need to adapt?”
  • 88. The Life Stage of Social Media/Community Milestone achievement User generated content Incentives materialized Mass supported Expansion Expected cycle of activity Broadened focus Company culture change Self-governance Tiered membership Fresh produced content Highlight contribution Incentives pitched Networked Seeded audience
  • 89. METRICS, MEASUREMENT, INSIGHTS & ROI “what do we measure and look for?”
  • 90. The Most Popular Community Metrics - Traffic Pattern & Statistics - 75% - Community Member Engagement - 74% - Unique Number of Visitors - 72% - New Member Registration - 70% - Member Satisfaction - 59% - Provide Feedback/Ideation for R&D - 49% - Number of Referrals by Members - 33% - Transition Lurkers into Active Members - 29% - Impact of community on revenue - 27% - Mentions of Organization or Brand on other Community Sites - 27%
  • 91. CULTURE & ORGANIZATIONAL CHANGE “how will we be changed?”
  • 92.
  • 93. Why aren’t we doing this? And succeeding?
  • 94. Implementation Issue – Lip Service > Action The biggest obstacles that continue to exist in implementing Wikibrands/social media in your company/clients? 1. Lack of Budgets 32% 2. Inability for company culture to accept 26% 3. Technical skills required to implement 24% 4. Inability to measure 23% 5. Fear of loss of control 21% Source: Agent Wildfire Buzz Report 2009/10
  • 95. Key takeaways -Business and brands do belong - 6 Potential benefits/reasons why - Create a Wikibrand culture - Listen - Remember to FLIRT - Resource for sustainability – MILC
  • 96. -McGraw-Hill (Dec, 2010) @wikibrands Facebook group Blog, Wiki, Tour and Awards to follow
  • 97. Let’s Start Your Next Brand Conversation… Inquire: spreadtheword (at) agentwildfire.com Phone: 416-255-4500 URL: www.AgentWildfire.com Book: @wikibrands Blogs: http://BuzzCanuck.typepad.com/ http://www.spreadslikewildfire.com/