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Sosyal Networkn Gc ve GAP Vakas10/15/2010 1:34:00 PM

y People on Facebooky More than 500 million active usersy 50% of our active users log on to Facebook in any given dayy Average user has 130 friendsy People spend over 700 billion minutes per month on Facebooky Activity on Facebooky There are over 900 million objects that people interact with (pages, groups,

events and community pages)

y Average user is connected to 80 community pages, groups and eventsy Average user creates 90 pieces of content each monthy More than 30 billion pieces of content (web links, news stories, blog posts,

notes, photo albums, etc.) shared each month.

y Global Reachy More than 70 translations available on the sitey About 70% of Facebook users are outside the United Statesy Over 300,000 users helped translate the site through the translations applicationy Mobiley There are more than 150 million active users currently accessing Facebook

through their mobile devices.

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y There are more than 200 mobile operators in 60 countries working to deploy andpromote Facebook mobile products

10 Largest Countries

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2/15

y It took Gap a week to declare its new logo a bust, likely making it the firstlarge-scale corporate revamp with a shelf life shorter than milk.

y In case you missed it -- and if you blinked, you probably did -- the clothingretailer recently replaced its iconic blue logo with a more contemporary

emblem that set the Gap name in bold Helvetica against a white canvas, with

a small blue square in the upper-right corner. Online reaction was swift and

sadistic, ultimately leading Gap to scrap the redesign just seven days after

its introduction.

y Net denizens everywhere are practically bruised from patting themselves onthe back -- blessed be "the power of social media," etc. But marketing

insiders say Gap got its khakis in a bunch too quickly, setting a precedent

that the brand can be bullied.

y "Gap has extremely damaged its credibility with this move," says ScottChapman, partner with Instinct Brand Equity Coaches Inc. in Toronto. "The

next change they come out with, everyone will be thinking, 'If I just say

something, they'll revert back.' "

y Chapman isn't suggesting the will of the public should be ignored. But he'ssteadfast that blogs, Twitter and Facebook should've been part of the

communication stages leading up to the launch, as opposed to the reason for

its abandonment.

y "They severely mismanaged the change by failing to really explain it to thepublic," says Chapman.

y In a statement released this week, Gap North America recognized the missedopportunity to engage, and cited the "outpouring of comments" from the

online community for the logo's shelving.

y Social media mavens praised the response as a sign Gap was listening to itsaudience. Others deemed it a knee-jerk reaction too hasty for collective wits

to catch up.

y "There's far more to logo design than just what looks good at first, and eventhird, glance," says Harry Beckwith, a world-renowned branding expert with

Beckwith Partners.

y Factor in the ease and immediacy of sharing opinions online, people's penchantfor the familiar and the kick of being part of a protest, and you could have a

skewed compass pointing in the opposite direction of progress.

y "Who was likely to weigh in? The old loyal fans who were attached to the oldblue box," says Beckwith.

y "The fence-sitters and the persuadables . . . might've seen the new logo andreasonably thought, 'Maybe there's something new here, let's go take a look.'


3/15

And heaven, Gap management and the stock market know Gap needs those

people to stop in."

y In North American Gap stores that have been open a year or longer, saleshave declined for six consecutive months. And according to Bloomberg, the

parent company hasn't increased annual sales since fiscal 2005.

y The challenge is determining when, and how, to gauge opinion effectively.y "If Twitter were around in the late 1800s and the French government

listened, there wouldn't be an Eiffel Tower. Bold ventures are almost always

hated before the public becomes enamoured," said ad executive Cal

McAllister.

y t's no secret by now that the use of online social networks is exploding.y The latest figures in Quebec show more than 78 per cent of Internet users

have logged on or contributed content to a blog or a social network such as

Facebook or LinkedIn.

y And 74 per cent say they are influenced by opinions and recommendations onproducts and services discussed on such networks, according to the study by

the Quebec research group CEFRIO.

y Use of social networks is growing in Quebec at a 41-percent annual rate andis coming despite well-publicized concerns about privacy and protection of

personal information, notes the CEFRIO report.

y What's interesting here is how the trend is changing the way companies andpublic relations specialists pitch their messages. The traditional news release

may not be dead, but it's far more likely to be accompanied by video and

other content links, as well as forums for public discussion, says Thomas

Bastien a social media specialist with the PR firm Morin Relations Publiques.

y "We are still addressing our message to journalists but we're also addressinga public that is directly targeted," Bastien says.

y An agency such as Canada News Wire -long a publisher of news releasesaimed at the media -has developed a product it calls the Social Media

Release that features interactive links and ways for companies to start a

conversation with the public. Nearly two-thirds of Internet users read

reviews or recommendations of products before buying. Nearly a fifth have

had some interaction with a company online, such as viewing a commercial

video or delivering an opinion on a microblog like Twitter.

y Those findings simply reinforce what public relations experts have been sayingfor a while: that companies ignore the power of social networks at their peril.


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5/15

y "The old approach relied on communicating to the journalist, who would thenfilter the information to the public. We still pitch the message to journalists

but we are also reaching people in a lot of other ways."

y Gap Inc. abandoned a new logo after consumer criticism and will revert to theblue-square emblem that has been featured in its marketing for more than 20

years.

y The clothing retailer released a redesigned logo on its website Oct. 4 and hadplanned to roll it out in marketing campaigns starting next month. More than a

thousand people left comments on Gap

s Facebook page, a majority of them

isparaging.

y eWe ve learne a lot in this process, Marka Hansen, the Gap brandpresident in North America, said yesterday in an e- mailed statement. e We

are clear that we did not go about this in the right way. We recognize that

we missed the opportunity to engage with the online community. This wasnd t

the right project at the right time for crowd sourcing.f

y The new logo set the Gap name against a white backdrop, with a blue squarein the upper-right corner. Gap, which ownsBanana Republic, Old Navy,

Piperlime and Athleta, has been updating its clothing lines and stores to appeal

to so-called Millennials -- consumers in their 20s and early 30s. The logo

change was part of that evolution of the brand from eclassic, American

design, to modern, sexy, cool

LouiseCallagy, a spokeswoman

or San

Francisco-based Gap, said last week.

y Two days after the logo release, Gap responded to the outcry on itsFacebook page, welcoming design suggestions and calling it a crowd-sourcing

project.

y cDifferent Way y eWe ve learne just how much energy there is aroun our bran , an after

much thought, we

ve

eci

e

to go back to our iconic blue box logo,f

Callagy sai

yester

ay in an interview. The change will take place starting

today, she said.

y Chief Executive Officer Glenn Murphy has focused on the Gap brand since hejoined the company three years ago, part of a bid to revive growth. Sales at

Gap stores in North America open at least a year have declined six straight

months, including a 1 percent drop in September, while Old Navy and Banana

Republic have made gains this year. The parent company hasn

t

increase

annual sales since fiscal 2005.

y eThere may be a time to evolve our logo, but if and when that time comes,wed ll handle it in a different way,f Hansen said.


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y Gap rose 44 cents, or 2.4 percent, to $18.71 at 4 p.m. in New York StockExchange compositetrading. The shares have dropped 11 percent this year.

y Latest LinkedIn Factsy LinkedIn has over 80 million members in over 200 countries.y A new member joins LinkedIn approximately every second, and about half of

our members are outside the U.S.

y Executives from all Fortune 500 companies are LinkedIn members.

y In a remarkable testament to the power of social networks, Gap withdrew itsproposed redesign after Gap customers and online fans slammed the new Gap

logo as clearly and rapidly as only the Internet makes possible. More than a

thousand negative comments had been posted to Gap's Facebook site,

and @Gaplogo had its own Twitter stream to lambaste the fashion giant for

daring to change the iconic "blue box" logo.

y The online outpouring worked. Just one week after Gap introduced itsHelvetica-round logo, it rescinded it with an online mea culpa.

y eSince we rolled out an updated version of our logo last week on ourwebsite, wed ve seen an outpouring of comments from customers and the

online community in support of the iconic blue box logo," said the statement

from Marka Hansen, presi

ent of Gap in North America. "All roa

s were

lea

ing us back to the blue box, so we

ve ma

e the

ecision not to use the

new logo on gap.com any further."

y Ms. Hansen managed to avoid mentioning Facebook or Twitter by name, butdid refer to "the online community" and added that she and her staff had

"been listening to and watching all of the comments this past week." Gap

handled the removal of the logo with increased Facebook aplomb. Last week,

the logo changed on gap.com without fanfare, and was defended on Facebook

two days later. This time, the announcement was made directly on the social

network.

y Hansen also reminded fans that the blue box turns red for the seasonalcampaign, either to forestall angry complaints in a month or two or to begin

the holiday buzz early.

y Most of the new online chatter celebrated the return to the classic logo. ByTuesday afternoon, almost 2,000 people had clicked that they "like" Hansen's

announcement of the logo's withdrawal. "Thank GOODNESS! The new one was

just absolutely HORRID! (>_


7/15

speculated that the Gap had been hoping for a crowdsourced logo but

chickened out.

y Mike Czuboka wrote, "A company as large as The Gap doesn't launch a brandnew logo by just slapping it up in one place on their website. If this had been

a genuine logo redesign it would have been introduced much more consistently

across a wide variety of mediums."

y "Looks like whatever you guys did, worked," wrote Kym Zwick. "Whetherpositive, or negative, it got people talking about Gap again... I'm willing to bet

sales will skyrocket today. Marketing is a funny little thing isn't it??"

y A few comments announced that customers are planning to run to Gap andbuy something today in celebration, so Ms. Zwick may be onto something.

y It now appears that Gap will use its classic logo for the foreseeable future.Gap executives also acknowledged they'd learned an object lesson in the role

and power of social networking media. "We recognize that we missed the

opportunity to engage with the online community," wrote Hansen.

y eThere may be a time to evolve our logo, but if and when that time comes,wed ll handle it in a different way," she concluded. Marketing stu

ents, pay

attention: If Gap

i

in

ee

learn its lesson or orchestrate

this online furor,

its next re

esign attempt shoul

be a social marketing masterpiece

y Twitter COO Dick Costolo offered some updated stats at theConversational

Media Summit today in New York City. Twitter is now attracting 190

million visitors per month and generating 65 million Tweets a day. eWedre

laying down track as fast as wecan in front of thetrain,

says Costolo.

Thesenumbers areup slightly

rom 180 million sel

-reporteduniquevisitors

per monthback in April, and50 million Tweets per day in February.

y The number of visitors to Twitter.com is not the same as the number ofregistered users. (ComScore, in contrast, estimated 83.6 million worldwide

unique visitors to Twitter.com in April and 23.8 million U.S. visitors in May, see

chart below). Most users, says Costolo, dondt Tweet at all, but rather use

Twitter as a consumption media. How many of those 65 million Tweets are

automatedspam is not clear.

y Once again, Costolo reiterated Twitterds stance that ewewill not allowthirdparties to inject ads into thestream.

When Twitter rolls out

its PromotedTweets, it will control them 100 percent. Somebrands doing

early beta testing with PromotedTweets areseeing, on average, 2.5 percent

eengagement rates,

as measuredby replies, retweets, clicks andso on. He

also mentionedthat Twitter soon will berolling out an analytics dashboardfor


8/15

commercial customers and brands. Advertisers will be able to target messages

by interest and topics, but not by individual users. And on Twitterds privacy

policy, he says, eOur privacy policy is very simple: You can havea

protectedaccount, or not. If not, everything is public.

Nobody seems to be

having

its over the

act that everything on Twitter is public, but then they

knew that going in.

y http://techcrunch.com/2010/06/08/twitter-190-million-users/y http://www.facebook.com/press/info.php?statisticsy http://www.canada.com/technology/logo+reversal+sign+social+network+power

/3678050/story.html

y http://www.bloomberg.com/news/2010-10-12/gap-scraps-new-logo-after-online-backlash-will-return-to-blue-box-design.html

y http://www.csmonitor.com/Business/new-economy/2010/1012/New-Gap-logo-withdrawn-The-blue-box-lives-on

y http://press.linkedin.com/abouty username:3754076password:lnrvae


9/15


10/15

Using assessments as part of a process to choose finalists can mean that

fewer candidates need to be interviewed, which translates into more time

for talent managers to devote to higher-value activities, such as

employee relations and rolling out policy changes within the organization.

Companies that use personality assessments as part of a well -planned

and - implemented selection process can readily demonstrate their value

and the value of HR as a whole to an organization's bottom line.

"We have hired, despite the results of the assessment, and it has always

come back to bite us," Patterson said. "We religiously follow it because it

has been successful."

Michael Spremulli, founder of The Chrysalis Corp. and a corporate

personality profiler, said he has had large clients use thousands of

personality assessments a year for labor-intensive positions, and smaller

ones use a combination of assessment tools to identify higher-level

positions.

Given that assessments have been validated by experience on the ground

and proven by a century of scientific research, there shouldn't be a

question of the usefulness of this particular tool. Spremulli said it is

critical to look at the research for the specific tool an organization is

considering.

What Could Go Wrong?

There are still those who doubt assessments' usefulness, especially in an

economy where talent leaders are looking for places to cut expenses.

"'What's the point? Anybody can fake them.' We hear people ask that

question," said test designer Robert Hogan, president of Hogan

Assessment Systems.

Hogan said well-designed personality tests are quite difficult to fake. Such

instruments are as good at screening out fakes as they are at illuminating

the personality traits needed for a job.


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assessment, thus revealing whether he or she is attempting to manipulate

the outcome.

"Every test youuse needs to be reliable and needs to be valid," said

Spremulli.

Reliability means the test yields consistent results over time, while

validity means the test actually measures what it claims to measure.

The best ways to achieve accountability in establishing an assessment

process include:

a) Make certain that all jobs have personality requirements. Set high

accountability as one key requirement.

b) Monitor the process. Though it may be convenient to have applicants

take online tests at home, this can invite outright cheating.

c) Use two tests. The chances of successfully deceiving two tests are

considerably slimmer than those of deceiving one.

d) Tell participants they will be discussing their answers at a later date.

e) Conduct personal interviews at least partially based on the test results

to reveal discomfort, hesitation or inconsistencies.

Lahti said to choose a test focused on the skills required by the job at

hand, and then use it in a consistent, objective manner. Remember, too,

that it won't be enough.

"These are great tools, but you never want to use just these tools," Lahti

said. "Use personality tests with structured interviews and with ability and

aptitude tests, with measures of skills and experience, and certainly with

measures of past performance as you have those available."

Logical Choice Technologies uses a three-part test for selection. The first

part assesses an individual's personality and cognitive skills. The second

tests how an individual is likely to react in a given situation. The third


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determines what motivates an individual. Managers then use a

comparison between the results of all three tests and the requirements of

a particular job to make hiring decisions.

Spremulli also said that it's best to look not only at personality, but at a

measure of cognitive abilities. Otherwise, personality assessments may

not serve any useful purpose.

"You have to run some type of cognitive measure," Spremulli said. "How

do you measure a person's horsepower mentally? You may have a perfect

personality and everything is in place - everything's ideal, but [you] may

be dumber than a bag of rocks. It is not just one factor; it's the whole

person. That's how we operate."

The assessment outcome is then carefully matched with the job.

"If the assessment is way off, then it is a deal breaker," Patterson said.

Someone who is going to be an independent salesman working out of his

home 3,000 miles away from the office likely will have a much different

assessment than someone who will be working in the finance department,

for example.

Assessments Improve Efficiency

Both Patterson and CenturyLink's Blair also see assessments as a way of

cutting down on the number of resumes that must be reviewed, for

different reasons.

Patterson said many applicants faced with an assessment will opt not to

pursue an application any further. Blair said in a large company, which

will often get 500 applications for a single position, tying an assessment

to a position and using research to identify the top 30 percent reduces

that number to 150 potential candidates, making it a more manageable

group.

Blair said assessments are useful after the hire, when comparing later job

performance to how an employee scored on a personality assessment for


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a given position. Successful employees who scored high and do well on

the job mean that talent managers can predict similar success for those

who score similarly in the future.

"One thing we try to do here is rather than talk about someone who

performed better or didn't, or who stayed with the company longer or

didn't, we turn it into a dollar figure," Blair said. "Those who do better

mean better revenue and longevity as well, and we don't have to retrain

them."

He acknowledged that large companies like his - that make more than

2,500 hires a year - often have their own in-house data to use. But there

is enough similarity in jobs, such as retail sales, that talent managers can

pull data from a variety of companies, organizations and industries to

predict what kinds of personality attributes they need to look for.

Given the current state of assessment instruments, their demonstrated

accuracy and their ability to help predict performance, talent managers

are wise to continue to apply them in hiring. A disciplined process

supported by scientifically valid instruments is time consuming and

expensive, but the alternative is far more costly.

[About the Author: Paul M. Connolly is a licensed psychologist and

founder of Performance Programs Inc.]


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10/15/2010 1:34:00 PM

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