scg social marketing trends for 2012
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As 2011 was coming to a close, the team at Spring Creek Group was already running headlong into 2012. This next year will be an incredible time in digital media, that's a given. This deck takes a look at the coming trends and how they will impact consumers and marketers alike in 2012.TRANSCRIPT
2011 was another eventful year in the social marketing space. As the landscape matured, we saw more consolidation, new innovation, and better integration. We’ve compiled a summary of highlights to help put it all into perspective.
In addition, we’ve shared our predictions about how the world of social marketing will evolve in 2012. Please reach out to us on Facebook, Twitter, or via our blog and let us know your thoughts.
Clay McDanielManaging Director
Spring Creek Group
Spring Creek Group is a Seattle-based social marketing agency that works with some of the world’s leading global brands. It operates as a subsidiary of Interpublic Group’s Mediabrands Audience Platform division.
What Happened Over the Past Year?
2011 in Hindsight Facebook Broadened
Sharing Options
Big Brands Embraced Gamification
Google Bet Big on Social
Social-Local-Mobile Functionality Improved
The Daily Deals Space Evolved
Social Entertainment Services Made Their Mark
Tumblr’s Popularity Soared
Services Began to Consolidate
At Facebook’s f8 developer conference in September, the company announced a broad set of changes that could boost sharing and improve the
quality of information people push through the network, making it even more valuable as an advertising medium. Facebook’s Open Graph system
will let users share what they listen to, watch, read, eat, and more. See the Search Engine Watch f8 recap for details.
Facebook Broadened Sharing Options and Deepened Analytics
Launched in mid-2011, Google+ surged to 25 million unique global visitors and did so faster than any other social network. It took Facebook 36 months and Twitter 33 months to recruit as many users.
At present, Google+ has 65 million global visitors, comprising 5 percent of social network users worldwide. For more info, check out comScore’s “Top 10 Need-to-Knows” report.
Google Bet Big on Social
Services Began to ConsolidateIn December 2011, Facebook confirmed its acquisition of location-based social network Gowalla, previously a Foursquare competitor. This is just one of the strategic moves Facebook is making as it gears up for a potential IPO in 2012.
Earlier this year, enterprise CRM software and cloud computing company Salesforce acquired social media monitoring platform Radian6, signaling further integration between the two service categories.
Facebook and Yelp set out to compete with Groupon, but both
companies have since stepped away from daily deals. As CNET reports,
there are at least 600 players oversaturating the market.
The space is now evolving to serve narrower niches. For example,
Gilt City, Bloomspot, and iDeeli are specializing in “members only”
discounts on high-end luxury goods, while Gaypon offers deals from gay-
friendly businesses.
The Daily Deals Space Evolved
Foursquare now has over 15 million users and more than 600,000 participating merchants. In an interview with the Wall Street Journal, Foursquare CEO Dennis Crowley said the service is no longer just for checking in. The company is increasing its breadth of location-based services to help users discover nearby businesses and deals, making it more of a “recommendation engine.” But Foursquare is facing fierce competition following Facebook’s acquisition of Gowalla; the Gowalla crew will reportedly join Facebook’s design and engineering team in January 2012.
Social-Local-Mobile (aka SoLoMo) Functionality Improved
According to NM Incite, a Nielsen/McKinsey Company, Tumblr nearly tripled its U.S.
audience over the last year. It’s now the 8th largest site among the top U.S. social
networks and blogs.
Tumblr is also a popular conversation topic. On
average, it generates more than 20,000 messages and
links to the site per day, fueling its viral growth.
Tumblr’s Popularity Soared
Big Brands Embraced GamificationForrester defines gamification as “the insertion of game dynamics and mechanics into non-game activities to drive a desired behavior.” Coca-Cola is using game mechanics to drive brand engagement with its Freestyle campaign, which invites consumers to create their own unique flavor combinations. The campaign includes a Facebook app that simulates the real-life experience – complete with sound effects – and allows users to share their creations with friends.
In 2011, some TV networks partnered with app companies, some developed their own proprietary apps, and some did both. GetGlue is a leader in the
space, with over 1 million users and relationships with more than 35 TV networks. Miso, a GetGlue competitor, enables developers to create social TV
experiences. And NBC and VH1 have created their own apps that curate the social stream for various programs. See the
eMarketer “Socializing the TV Experience” report for more info.
Social Entertainment Services Made Their Mark
What’s Next?
2012 Predictions
SoLoMo Will Enhance Product Experiences
Influencer Targeting Will Evolve
Sharing Will Become Second Nature
Entertainment and Social Will Continue to Merge
Brands Will Become More Playful
Companies Will Increase Investments in Social
QR and AR Will Further Integrate with Social
Social CRM Will Be Adopted More Broadly
According to a 2011 study from the University of Massachusetts at Dartmouth, the majority of the Fortune 500 companies have incorporated social media across multiple channels (blogs – 91 percent, Twitter – 62 percent or Facebook – 56 percent) into their marketing mix. The August 2011 CMO Survey reported that social budgets have increased by approximately 10 percent to support additional community managers, content services, and social media tools.
Companies Will Increase Investments in Social
Social CRM Will Be Adopted More BroadlyGartner forecasts over $1 billion in revenue for the social customer relationship
management (sCRM) market for 2012, up from approximately $625 million in 2010. As companies adopt sCRM, they’ll gain a better understanding of their
customer base, which will contribute to higher ROI.
In June 2011, Facebook reported that its users were publicly sharing approximately 4 billion status updates, images, etc. per day. According to Zuckerberg’s Law of Social Sharing, users could pass along 8 billion pieces of content in 2012.
How will this content be shared? More than likely, via mobile. AddThis reported that, in 2011, social media users did six times more sharing via mobile devices than they did in 2010.
Sharing Will Become Second Nature
Influencer Targeting Will Evolve According to McKinsey & Co., 20 to 50 percent of purchases involve a peer recommendation. Algorithm-based influence score providers like Klout and PeerIndex aim to capitalize on this trend, though their methodology has faced criticism from some corners of the industry. The key for marketers in 2012 will be to focus on both quantitative and qualitative data, and to recognize that volume is not the only measure of influence.
According to Forrester Research, although just 5 percent of Americans regularly use services like Foursquare, location is the future of mobile. That’s because location will no longer be considered a service, like maps or navigation, but rather an invisible enabler of new product experiences.
SoLoMo Will Enhance Product Experiences
Gartner projects that 20 percent of Global 2000
organizations will deploy a gamified application in 2012.
This number will exceed 70 percent by 2014.
Zynga is the leader in social gaming, thanks in large part to
the popularity of FarmVille and Zynga’s other Facebook-hosted
offerings (Pivot Conference “State of Social Marketing” report
).
Brands Will Become More Playful
43 percent of American adults who use the internet say they have gone online or used social media to comment, post, watch, or read something about a
television show or program. According to Debra Aho Williamson, eMarketer principal analyst, “For the networks, social media may be one of the last best
ways to bring viewers back together again.” See the eMarketer “Socializing the TV Experience” report for additional details.
Entertainment and Social Will Continue to Merge
U.K.-based Juniper Research predicts annual downloads of AR apps worldwide will climb to 1.4 billion by 2015, up from just over 11 million in 2010.
Mobile barcode reading solution provider 3GVision reports the use of QR codes is also on the rise, with a 20 percent increase from Q2 to Q3 2011. Ad Age shares guidance on how to successfully leverage QR codes.
QR Codes and Augmented Reality (AR) Will Further Integrate with Social
Spring Creek Group is a frequent contributor to social media and marketing industry publications. Recent articles can be found in our newsroom. For
media inquiries, please contact [email protected].
SourcesAzhar, Azeem. "The New Marketing Model: Peer Index Marketing." GigaOm, August 13, 2011. http://gigaom.com/2011/08/13/the-new-marketing-model-peer-index-marketing.
Barnes, Nora Ganim and Justina Andonian. "The 2011 Fortune 500 and Social Media Adoption: Have America's Largest Companies Reached a Social Media Plateau?" Center for Marketing Research at the University of Massachusetts Dartmouth, 2011. http://www.umassd.edu/cmr/studiesandresearch/2011fortune500/?sf2654705=1.
comScore. "It's a Social World: Top 10 Need-to-Knows About Social Networking and Where It's Headed." December 21, 2011. http://www.comscore.com/Press_Events/Presentations_Whitepapers/2011/it_is_a_social_world_top_10_need-to-knows_about_social_networking.
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Gartner. "Gartner Predicts Over 70 Percent of Global 2000 Organisations Will Have at Least One Gamified Application by 2014." Gartner, November 9, 2011. http://www.gartner.com/it/page.jsp?id=1844115.
Holden, Windsor. "Mobile Augmented Reality to Generate 1.4 billion Downloads by 2015 as Major Brands and Mobile Developers Embrace the Concept." Juniper Research, February 28, 2011. http://juniperresearch.com/viewpressrelease.php?pr=232.
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Locke, Laura. "What's the Deal with Daily Deals?" CNET, September 12, 2011. http://news.cnet.com/8301-1023_3-20104683-93/whats-the-deal-with-daily-deals.
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Wasserman, Todd. "Facebook Confirms Gowalla Acquisition." Mashable Social Media, December 5, 2011. http://mashable.com/2011/12/05/facebooks-acquires-gowalla.
Wauters, Robin. "Salesforce Buys Social Media Monitoring Company Radian6 For $326 Million." Tech Crunch, March 30, 2011. http://techcrunch.com/2011/03/30/salesforce-buys-social-media-monitoring-company-radian6-for-326-million.
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