driving both engagement and sales through social media | damien cummings, dell | istrategy singapore...
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Driving Both Engagement& Sales Through Social MediaA Case Study of Dell in Asia
December 2010
Damien Cummings
Global Marketing
About Today’s Workshop:
How.Getting Started. Making Money.
Global Marketing
What is Social Media?
Global CSMB Social Media Confidential4
Global CSMB Social Media Confidential5
Global CSMB Social Media 6
Listening & Engaging
Online Video
Applications
Group Buying & Social
Commerce
Platforms (Twitter,
Facebook, etc.)
Your Website (make it social!)
“Social” experience gets better when more people use it.
Global CSMB Social Media
Global Marketing8 Confidential
Global CSMB Social Media
We revolutionizedthe industry once, andwe’ll doit again
One of the firstto launch online
discussion forums
First company tohit $1M a day inonline revenue
One of the first companies to launch
online support
First to sell complex configurable items
Global CSMB Social Media
Dell Online TodayOnline:
Dell.com + Premier + Global Portal + B2B + Channel Portal + eSupport + Community
An online orderis placed
every 2 seconds
$10Bonline revenue
34 languages supported
Googled 1M times per day
58KChannel partnersonline
150M online resolutionsvia eSupport per day
170M visitsto community properties
190kPremier pages
725K B2Btransactions per year
166 countries 13Bpage views in FY’09
1Bvisits per year to
Dell.com
Online is a research tool
95% of first time visitors do not buy from Dell.com. The “sweet spot” is around 8 – 10 visits.
Global CSMB Social Media 12
Dell’s Vision of Social Media
1. The future of Dell.
2. Solid strategy is in place, grounded in business and customer value drivers.
3. Benefits are real, tangible – will strengthen insights in coming years.
Confidential
Global CSMB Social Media 13
Dell’s Key Learnings in Social Media
1. This is a long-term play. No company has cracked the code on ROI measurement. But all results are modest. – Most “campaigns” have at best 1:3 ROI
– Best efforts so far (in China) have 1:10 ROI
2. Listening and engaging with frustrated customers works great– Question remains: is it financially scalable?
3. Listening and engaging to business conversations is a challenge– Customers only talk about IT when they have a problem (“buy it” or “break it”)
– Only techies talk about IT but they will not tolerate hard selling
Confidential
Global Marketing
Dell’s Social Media Heritage
Global CSMB Social Media 15
Dell’s Social Media HeritageConsumer
Early AdopterSMBLE
Public
1995 2006 2007 2008 2009 2010
Social RelationshipsUsers find each
other online
Social FunctionalityUsers interact innew ways online
Social ColonizationSocial not limitedto “social sites”
IndustryEvolution1
Strong brands, but nearly 90% YoY traffic decline
2K ideas in first 2 weeks
Moved to segment-specific blogs
1.3M Followers on Twitter today; $6.5M revenue
Premier, Health Storms launched
10K+ ‘accepted solutions’
Shown to improve conversion by as much as
176%
Recent implemented ideas include backlit keyboards,
Linux OS
7 core blogs, 100+ contributors, 4-5 posts/week
Decreased ability to respond due to resourcing
1 Forrester, “Future of Social Web” * Data as of October 2009
SocialNetwork Platforms
GlobalOffsite Properties
IdeaStorm
Blogs
Forums
Blogosphere Outreach
Ratings & Reviews
Global CSMB Social Media
Global Reach (As of Jan 2010)
Global reach is good, globalization strategy needs to be focused and more thoughtfully executed
Global CSMB Social Media
Global CSMB Social Media
Social Transformation
Training all of Dell’s 100,000 employees in social media.
1. Social Media policy in place.
2. Robust training program in place:• Getting Started in Social Media• Brand Mgmt in Social Medai• Twitter• Facebook• RenRen & Sina (China)• Blogging & Community• Internal Social Media
3. 5,000 employees already trained.
4. Will fundamentally transform Dell.
Global Marketing
Social Media Engagement & Social Commerce Platforms
Global CSMB Social Media
Dell Swarm:Social Commerce & Group Buying
Global CSMB Social Media
YouTube Live “Town Halls” and Webinars
Global CSMB Social Media
Twitter:@DellOutlet1,570,397 followers$10m+ revenue
Global CSMB Social Media
Dell.com Website Evolution
Dell.com 1996 Dell.com 2010 Dell.com 2011+
?
Global CSMB Social Media
Ratings & Reviews:3.5 Star+On Dell.com and in Social Media.
Global CSMB Social Media
Ask A Friend:FacebookConnect / Social Plugins
Global CSMB Social Media
Levi’s Store (US)
26 Confidential
Global Marketing
Developing a Commercial Social Media Strategy
Global CSMB Social Media
We Wanted Two Things:
A “Territory” or Proposition we can own (as Business-to-Business).
Ideas on how to make this an executable plan in-country in Asia.
Confidential28
12
Global CSMB Social Media
We Looked At Many Options:
E-commerce outside of Dell.com
“Vertical” industry
specialist
Software as a
Service Aggregator
Confidential29
Global CSMB Social Media
Dell will Growand Mentor SMBs
Confidential30
Global CSMB Social Media
Customer Pain Points
Key SMB Pain PointsSales & marketing
“How Do I Grow My
Business?”
HR, Hiring & Nurturing Talent
“How Attract/Hire
New Talent?”
IT & Technology
“How Do I Scale My
Business?”
Confidential31
Global Marketing
Workshop Project
Global CSMB Social Media 33
Workshop Project (40 minutes)1. Identify Industry, Segment & Location (i.e. IT, Small & Medium
Business in Asia Pacific).
2. Develop your Proposition/Strategy (i.e. Grow & mentor SMBs).
3. Identify top 3 customer segment “pain points”(i.e. Grow my business, staff turnover, IT to support growth).
4. Write down 3 social media engagement ideas.
5. Describe in detail one social media idea: content / platform / marketing / sales – such as Group Buying, Online Video, Facebook, Twitter, Social Media Applications.
6. Is it Social Media Engagement? Sales/Commercialization? Both?
7. Present to the group.Confidential
Global CSMB Social Media
Questions?Damien Cummings
Global Social Media Director (Consumer & SMB)
Email: damien_cummings@dell.com
Twitter: @damiencummings
LinkedIn:http://www.linkedin.com/in/damiencummings
Blog: “Digital Future” http://damiencummings.blogspot.com
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