social media survey report a dutch company perspective
TRANSCRIPT
Booz & Company
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Social Media Survey ReportA Dutch Company Perspective
Amsterdam, May 2011 Presentation Document
1
The Social Media Survey aims to provide insights on Dutch companies’ usage and perception of Social Media
� Booz & Company works closely with clients to create and deliver essential advantage
� As part of the overall strategy, Booz&Co. also creates Social Media strategies to help companies understand the value of Social Media and build required capabilities
� To get a better insight in the current Social Media landscape in the Netherlands, Booz&Co. conducted the Social Media Survey in Q1, 2011
� The survey was sent to targeted contacts in Board, senior- and middle-management in a range of small, medium to large companies
� The responses give a good insight in the current use and perception of Social Media within Dutch companies
� Results of the survey are shared to inform and educate companies about the potential of Social Media
Introduction
Booz & Company - Social Media Survey
2
Dutch companies realize that Social Media offers potential, yet are still struggling to grasp and capture the full benefits
Key Social Media Survey FindingsKey Social Media Survey Findings
� Respondents believe that Social Media should have a higher priority on their Board’s agenda and that the full potential is not yet captured
� Smaller companies are more active in Social Media, especially mid-sized companies are lagging
� Perceived benefits of Social Media are primarily in brand awareness and customer engagement, and not (yet) on creating leads and driving incremental sales
� Current barriers to wider application of Social Media are based on misperceptions and lack of understanding
� Across the board, measurement of the impact of Social platforms is limited
� Companies do plan to increase investments and allocate more resources to Social Media in the coming year and develop specific Social Media capabilities
� Respondents believe that Social Media should have a higher priority on their Board’s agenda and that the full potential is not yet captured
� Smaller companies are more active in Social Media, especially mid-sized companies are lagging
� Perceived benefits of Social Media are primarily in brand awareness and customer engagement, and not (yet) on creating leads and driving incremental sales
� Current barriers to wider application of Social Media are based on misperceptions and lack of understanding
� Across the board, measurement of the impact of Social platforms is limited
� Companies do plan to increase investments and allocate more resources to Social Media in the coming year and develop specific Social Media capabilities
Introduction
33
Our Social Media perspective
Survey results
Key findings & guidelines
44
Social Media has evolved from “keep in touch” to a means to “accomplish life’s tasks together”
Specific GeneralPlatform Focus
Friend
Meet
Pla
tfo
rm P
urp
ose
Social Media Spectrum
Our perspective
5
Social Media can not be ignored - the number of monthly unique visitors and time spend is characterized by strong growth
Monthly Unique VisitorsMln visitors
314
262
214
+21%
201020092008
+64%
2010
6:00:25
2009
3:32:49
2008
2:13:24
Time Spent Per Person/MonthHrs:Min:Sec
Global Traffic To Social Media Sites (Home & Work)
Source: Nielsen, Booz & Company analysis
Our perspective
6
As a result, the ten most popular social platforms attract tens of millions of visitors
7812
2730
42
50
81
96
550
Top Ten Most Popular Social PlatformsUnique Monthly Visitors (Mln), May 2011
Source: EbizMBA, Booz & Company analysis
Our perspective
7
60%
51%
79%
67%
7
Media usage is shifting, followed by consumer behaviour
1) Estimated spend on social networking sites is based on top ad-supported member community sites as ranked by unique visitors in Aug 2009Source: Nielsen OnlineComscore; Interact Conference Berlin; Analisim Booz & Company analysis
Social Networker
Non Social Networker
-16%
-18%
+11%
+25%
+33%
+26%
Video game
2.52.0
Magazine
2.73.2
MP3
4.83.6
Mobile
5.14.6
TV
9.4
11.5
Online
11.0
8.7
Media Mix - “Social Networker” vs Others(Hours/Week)
Social Media Impact on Purchase Intentn = 1,500 consumers
Are you more likely to buy since
becoming a fan / follower?
Are you more likely to recommend since
becoming a fan / follower?
Our perspective
8
All value creation opportunities related to ‘Social’ initiate from building a community first
Marketing/ Advertising
Brand Awareness
Customer Service/ Information
Innovation
Education / Environment
Community Growth
Created a strong community to attract advertisers and reach
~$1Bn in revenue in 2010
Uses online communities to provide technical support - MS achieved investment payback in 1st year and ROI of 99%.
Grows its community through referrals -
increased their membership base from 15,000 to 150,000 in the first year of operations.”
Used Communispace to create a community
support the launch of their new weight loss drug - the drug made €155Mn in first
6 weeks of launch.
Used their online community for a “light-brigade” campaign on local and national level - thousands of people
replaced their old light bulbs with energy efficient lighting
Opportunities For Value Creation
Community
Social Commerce
Offers local online deals, resulting in $50Mn+
revenues each month
Launched an innovation challenge to improve movie recommendation software - resulting in 10% accuracy improvement and $Mn’s upside
Our perspective
9
Building a community is not as straightforward as it might seem and not all companies are successful
9
Successful in building a communityNot (yet) successful or not yet gained
critical mass
� Lady Gaga: 33Mn fans � ABN AMRO: 8 fans
� Coca Cola: 23Mn fans � T-Mobile US: 239k fans
� Vodafone Zoozoos: 1.5Mn fans � Philips: 40k fans
� Pampers: 606K fans � Whirlpool: 7k fans
� Other examples: � Nike: 4Mn fans + 11Mn fans
on e.g. Nike Football sites� Dell: 505k fans� Heineken: 1.3Mn fans� Pepsico: 3.6Mn (on Pepsi
site)
� Other examples: � Mediamarkt: <5k fans � Deutsche Bank: <2k
fans� Shell: 11k fans
Community Building at Selected Companies# Facebook Fans
Our perspective
10
To capture the value a successful Social strategy needs to be defined along the value chain, in line with the company vision
Open innovation platform
Users produce the product
Online market place for
freelancers
Platform where logistics
professionals can connect
Social Media marketing campaigns
Online Friend’s store connected
to Facebook
Peer to peer help through
community
Customer ServiceSalesMarketingLogisticsSourcingManufacturingInnovation
Company Vision
Value Chain Strategy
Social Strategy
Our perspective
Social Strategy Development
11
Subsequently, a company can identify its way to play and assess the required capabilities
1. Passive
• Pure ‘consumption’ of social• Awareness / buzz measure• Market / competitive analysis
• Social monitoring• Data analysis
Way to Play Required Capabilities
3. Proactive
• Business model innovation• Social campaigning• Customer acquisition & retention
• Social platform development & mgmt
• Trained CSR resources2. Reactive
• Facilitation of social exchange• User reviews / content generation• Customer Service
• Integrated marketing • Monetization dynamics• UI/UX Experience
Our perspective
12
The ‘Customer Journey’ becomes increasingly important…
Source: Booz & Company Analysis
ILLUSTRATIVE
Customer Journey Example
Select/CompareOffers/Prices
Select/CompareProduct
Purchase DeliveryResearch
Digital Customer
On a computer
Shop purchase
Home delivery
Delivery at closest shop
Compare online
Visit shops to compare
Check word-of-mouth on Social
MediaOn a mobile device
Pick-up at Partner Retailer
Service
Service at POS
Call Center Service
Web / SocialService
Our perspective
13
…and a successful social play requires a deep understanding of the customer funnel
Source: Dave McClure, Booz Analysis
Acquisition
Activation
Referral
Retention
Revenue!
Customer Funnel Required Capabilities
� SEO / SEM /
� User interface & interaction dynamics
� Affiliate/campaign marketing
� Web/app/widget development
� Web / metric analytics
� A/B testing
� Customer life cycle management
� Review / social network dynamics
� Blogs/RSS/newsfeeds
� Emails/Alerts/In-app messaging
� Viral growth dynamics
� Subscription / freemium models
� Customer qualification
� Purchase-to-pay optimization
� After-sales service models
� Cross- & up-selling
from:
Volume
to:
Value
Our perspective
1414
Our Social Media perspective
Survey results
Key findings & guidelines
15
Respondents Profile Breakdown% of responses by level in the organization (n=92)
5%
19%
18%
Board Level (CEO, CFO etc.)1%
(Junior) Professional
Senior Management
Self-employed
24%
Middle Management
Other
33%
Survey includes a balanced mix of seniority and company size
11%
6%6%
9%
25%
27%
9%
> € 5 bln
Don’t know
€ 1 bln - € 5 bln
€ 500 mln - € 1 bln
€ 25 - € 100 mln
€ 100 mln - € 250 mln
6%
€ 250 mln- € 500 mln
< € 25 mln
Respondents’ Company Breakdown% of responses by size of the organization (n=92)
Questions: Which of the following best describes your level within your organization?What is the current annual gross revenue of your company?
Source: Booz & Company analysis
Survey results
16
� Is Social Media an item on the Board agenda?
� Where in the organization is the potential of Social Media not yet captured?
� How much do companies (plan to) invest in terms of FTE & spend?
� What capabilities do companies plan to develop?
� Is Social Media an item on the Board agenda?
� Where in the organization is the potential of Social Media not yet captured?
� How much do companies (plan to) invest in terms of FTE & spend?
� What capabilities do companies plan to develop?
The Social Media Survey addressed eight key questions
16
� Which Social Media platforms are used for what type of activities
� Which noticeable benefits of Social Media do employees see in their companies?
� How is impact of Social Media activities measured?
� What concerns and barriers to invest exist?
1
2
3
4
5
6
7
8
Survey results
17
Linkedin is the most widely used social platform, followed by Facebook and Twitter - Hyves is lagging
Current Use of Social Media% of responses; multiple entries possible per respondent, n=95
1 Current Usage of Social MediaSurvey results
Blogs
Other
24%
24%
36%
4%
42%
Company-Owned Platforms 43%
57%
57%
Consumer Review Sites
75%
3%None
1818
Company size significantly influences Social Media usage –revealing opportunities for the mid-sized segment
60%
29%
29%
63%
10%
35%
5%
Hyves
14%
Consumer Review Sites
Blogs1)
25%33%
Other None
3%5%
YouTube
33%
Company-Owned
Platforms1)
19%
48%
65%
0%0%
23%19%
31%
15%
27%
77%
65%
88%
58%
48%
73%
67%
Social Media Usage by Company Size% of respondents indicating usage, multiple entries possible, n=87
1) E.g. company-supported online communities, socially-enabled brand sitesQuestion: Which Social Media platform does your company use?Note: Revenue segments: < 25 million (n=26), 25-500 million (n=21), > 500 million (n=40)Source: Booz & Company analysis
€ 25 to € 500 million € 500 million or moreLess than € 25 million
ObservationsObservations
• Small companies are most active on Linkedin, Twitter and Facebook
• Large companies are most active on YouTube, Company owned platforms, Blogs and consumer review sites
• Medium-sized companies appear less active in Social Media, revealing potential opportunities for this segment
• Small companies are most active on Linkedin, Twitter and Facebook
• Large companies are most active on YouTube, Company owned platforms, Blogs and consumer review sites
• Medium-sized companies appear less active in Social Media, revealing potential opportunities for this segment
1 Current Usage of Social MediaSurvey results
1919
Social Media Usage Related to Business Activity% of responses; multiple entries possible per respondent, n=92
Usage focuses on community building and not on direct sales -LinkedIn clearly stands out with strong recruitment focus
Question: For each platform you use, please indicate which activities you use it forSource: Booz & Company analysis
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Build community around product /
brand
% of respondents
Direct salesOtherWebcare / ServiceCapturing insightsRecruitmentAdvertisingMarketing campaigns
YouTubeTwitterCompany owned platformsLinkedinFacebook
Most platforms are used to build a
community
1 Current Usage of Social Media
LinkedIn shows its strong recruitment
focus
Social Media are not widely used to generate sales
Survey results
20
In many cases, smaller companies are more active across platforms
20
35%
15%
38%
35%
Marketing campaigns
5%
10%
Capturing insights
10%
15%
Build community
26%
30%
Recruitment
51%
30%
Recruitment
13%
5%
27%
Advertising
31%
10%12%
Marketing campaigns
33%
10%
46%
Build community
49%
15%
42%
€500 million or more€ 25 to €500 millionLess than € 25 million
Key Business Activity by Company Size% of responses; multiple entries possible per respondent, n=85
46%
38%
Capturing insights
23%
15%
5%
Recruitment
19%
13%
10%
Marketing campaigns
21%
10%
Build community
28%
25%
Facebook Twitter
Question: For each platform you use, please indicate which activities you use it forSource: Booz & Company analysis
1 Current Usage of Social MediaSurvey results
2121
Improved customer engagement (communities, interactivity)
2%
10%
Lower cost (e.g., to advertising, customer service)
21%
Other
26%
Improved recruiting effectiveness 27%
Don’t know
29%
Better lead generation (more leads or higher quality)
32%
We don’t see any benefits
46%
Improved quality of customer support
57%
Better / real-time consumer insights
67%
Higher sales conversion
Increased brand awareness / consideration
Increased referrals (e.g., “shares”, “likes”)
3%
9%
Question: Which noticeable benefits does your company see from Social Media today?Source: Booz & Company analysis
Noticeable Benefits from Social Media% of responses; multiple entries possible per respondent, n= 92
2 Noticeable Benefits of Social Media
Respondents primarily see benefits related to brand awareness and customer engagement, not so much lead generation or sales
Survey results
22
Best practice examples by survey respondents
22
Brand Awareness , Consumer
Engagement & Referrals
Customer Service
Sales /lead generation
� “We have a vibrant consumer 'fan' group that enthusiastically responds to our messages”
� “For a new product launch, Social Media was an integral part of the communication strategy”
� “Including "gossip" in your messages results in a significant increase in new visitors”
� “We build a platform to improve awareness (…) and improve first-time-right customer requests”
� “We actively pick up unhappy customers in Social Media and turn them into promoters”
� “We provide service through Twitter and get positive exposure when people are pleased it”
� “Our main purpose for using Social Media is to enhance our Google ranking (SEO). We post news items on Twitter, collect pictures of flagship projects and put them on Facebook and blogs”
� “We use the blogs of our customers (webshop owners) to create customer reviews that create many leads and are responsible for around 30% of sales”
� “We invest in the VINE review program of Amazon, which definitively generates conversion/sales”
Selected Best Practice Examples
Question: Could you shortly describe an example best practice with regards to Social Media within your company?Source: Booz & Company analysis
2 Noticeable Benefits of Social MediaSurvey results
2323
16%
Tweets / re-tweets
Sales generated through Social Media
Don’t know
11%
20%
Leads generated through Social Media 21%
We don’t measure this 23%
Product / service reviews, comments, polls 26%
Buzz (positive / negative mentions) 26%
Unique visitors, page views, time spent on site 41%
Number of fans, followers & likes 43%
Question: How does your company measure the impact of your Social Media platform / platforms today?Source: Booz & Company analysis
Current Measures to Assess Impact of Social Media Platform(s)% of responses; multiple entries possible per respondent, n=92
3 Measuring Social Media Impact
ObservationsObservations
� Basic measures like the number of fans or page views are only tracked by 40% of companies
� Sales generated through Social Media are least tracked with only a 11% response rate
� Basic measures like the number of fans or page views are only tracked by 40% of companies
� Sales generated through Social Media are least tracked with only a 11% response rate
Companies could more actively measure Social Media impact -23% of companies do not track impact at all
Survey results
2424
13%
19%
18%
20%
27%
27%
Number of fans, followers & likes
Unique visitors, page views, time spent on site
Buzz (positive / negative mentions)
Product / service reviews, comments
Leads generated through social media
Don’t know
We don’t measure this
Sales generated through social media
Tweets / re-tweets
29%55%
19%53%
19%35%
19%30%
5%25%
14%12%
33%23%
0%13%
15%24%
15%
42%
38%
Especially mid-sized companies appear least active in measuring Social Media impact
Question: How does your company measure the impact of your Social Media platform / platforms today?Note: Revenue segments: < 25 million (n=26), 25-500 million (n=21), > 500 million (n=40)Source: Booz & Company analysis
Current Measures to Assess Impact of Social Media Platform(s)% of responses; multiple entries possible per respondent, n=92
ObservationsObservations
� Mid-sized companies appear least active – 33% indicates not to measure any Social Media metrics
� Over half of the large & corporate companies tracks basic metrics such as number of fans and unique visitors
� Sales generated through Social Media is hardly tracked
� Mid-sized companies appear least active – 33% indicates not to measure any Social Media metrics
� Over half of the large & corporate companies tracks basic metrics such as number of fans and unique visitors
� Sales generated through Social Media is hardly tracked
€ 25 to €500 million €500 million or moreLess than € 25 million
3 Measuring Social Media ImpactSurvey results
25
Responses to Social Media concerns show the existing misperception on where social can add value to a company
The Social Media Misperception - Key Concerns Regarding Social Media% respondents indicating a ‘medium’ or ‘high’ concern, n=95 (NL only)
Uncertain returns
Loss of control of brand messages and image
52%
52%
Hard to measure 57%
Labor intensive to execute and support 63%
Question. To what extend does your company have any of the following concerns regarding Social Media?Source: Booz & Company analysis
4 Concerns & Barriers to Invest
Our view
Social Media will actually allow for reaching a large community with limited effort & cost - if a clear strategy is the basis
Using social monitoring tools and buzz metrics the effects of Social Media are very measurable
This is a true concern but the positive aspect of Social Media is that initial investment does not need to be high and risks can be mitigated
This is a pessimistic view - Social Media is a great way to positively influence and strengthen brand messages and image building
Survey results
2626
Part of these concerns and barriers to invest are rooted in negative experiences with Social Media in the past
Question: Does your company have any negative experiences with Social Media and if so, which?Source: Booz & Company analysis
Loss of control(brand, reputation,
messages)
Labor intensive (& difficult) to execute
and support
� “One person added bad comments under many different names”
� “A new hire put news on Twitter (..). before that brand was launched in the market”
� “Attendants of our seminars are tweeting or sending their photographs of our charts during presentations or are commenting on the content and we have no control on what they publish -which caused an unexpected buzz
� “We struggle to find time to follow blogs comments”
� “We have more than 150 Facebook pages (…)"
� “We set up a Linkedin group without really knowing how to manage it and how to keep it alive afterwards”
� “Many subject matter experts in any social related competence are flooding the market, offering tools and knowledge that almost always is very limited and not meeting any market relevance to our categories”
� Facebook & Hyves keep changing the rules, they are not clear enough and do not offer direct contacts with experts at their side”
Selected Negative Experiences With Social Media
Concerns & Barriers to Invest4Survey results
27
The current barriers to invest in Social Media show the relativeimmaturity of integrating ‘social’ in day-to-day business
Concerns & Barriers to Invest
The costs are too high 7%
Other 9%
None of these 10%
The lack of right talent 16%
We struggle to keep up with the pace of change
17%
Collaboration across departments is difficult 28%
No proven monetization models 31%
No clear Social Media strategy in place yet 58%
Key Barriers to Invest% of responses; multiple entries possible per respondent, n= 88
Question: Which of the following does your company see as a barrier to Social Media investment? Source: Booz & Company analysis
ObservationsObservations
� A lack of strategy is perceived as the key barrier to invest
� Unproven monetization models as well as organizational collaboration are also considered important barriers
� Level of required funds is not considered an issue
� A lack of strategy is perceived as the key barrier to invest
� Unproven monetization models as well as organizational collaboration are also considered important barriers
� Level of required funds is not considered an issue
4Survey results
28
Extent to Which Social Media Is/Should Be on The Boards’ Agenda% of responses by level in the organization, n=90 (NL only)
40%
27%
(very) little extent
some extent
33%(very) great extent
Respondents clearly indicate Social Media should have a much higher priority on the Board’s Agenda
6%
some extent
(very) little extent
32%
(very) great extent
62%
5 Social Media Priority / Board FocusSurvey results
Question: To what extent is Social Media on the Boards’ agenda?To what extent should Social Media be on the Boards’ agenda?
Source: Booz & Company analysis
Current Priority Desired Priority
29
Especially (junior) professionals indicate that Social Media is not used to its full potential
41%
(very) great extent
15%
some extent
38%
(very) little extent
47%
56%
35%
24%
6%
38%
Board/Senior Management
Junior (Professional)
Middle Management
Extent to Which Companies Are Using The Full Potential of Social Media% of responses by level in the organization, n=80 (NL only)
Question: To what extent would you say your company is using the full potential of Social MediaNote Number of participants is as follows: Board (n=18), Sr. Management (n=29), Middle Management (n =17), (Junior) Professional (n=16) - excluding blanks Source: Booz & Company analysis
5 Social Media Priority / Board FocusSurvey results
3030
Current Use vs. Potential Use of Social Media% of responses; multiple entries possible per respondent, n=95
2%
7%
Logistics
3%
11%
Manufacturing
6%
Other
7%3%
IT
9%
15%
Sourcing
9%
20%
Customer Service
29%
57%
Customer Research
31%
62%
R&D / Innovation /
Product Development
34%
61%
Sales
35%
57%
HR
48%
Promotions
49%
63%
Advertising
51%
59%
PR
64%
72%
Finance
66%
The survey shows that companies have not yet captured the full potential of social…
Current use of social media
Potential use of social media
Questions:. In which parts of the organization does your company use Social Media today ?In which parts of the organization (including the parts where your company uses Social Media at this moment) should your company use Social Media; where do you see potential?
Source: Booz & Company analysis
Untapped potential
6 Social Media PotentialSurvey results
3131
Current Use vs. Potential Use of Social Media% of responses; multiple entries possible per respondent, n=95
…especially the mid-sized companies could do better
Questions:. In which parts of the organization does your company use Social Media today ?In which parts of the organization (including the parts where your company uses Social Media at this moment) should your company use Social Media; where do you see potential?
Source: Booz & Company analysis
78%75%
38%
49%
77%
41%
R&D / Innovation
83%
51%
78%
Advertising
64% 65%
88%
73%
64%
49%
73%
Customer Service
PR HR Promotions Sales Customer Research
35%
71%
40%
Advertising
20%
57%
Promotions
67%
HR Customer Service
45%
55%57%
43%
PR
48%
15%
48%
15%
62%
Sales Customer Research
R&D / Innovation
10%
Current use of social mediaPotential use of social media
Untapped potential
Untapped potential
38%
R&D / Innovation
HR
42%46%
Customer Service
35%
15%
Sales Customer Research
58% 58%
38%
58%54%
62%
Promotions
65%
Advertising
54%
PR
50%
Company Size:
< €25 mln revenues €25 - €500 mln revenues > €500 mln revenues
6 Social Media PotentialSurvey results
32
Dutch companies do plan to increase annual expenditure on SocialMedia…
32
7 Planned Investments in Social Media
Questions: What’s your company’s annual expenditure on Social Media? What’s your company’s expected annual expenditure on Social Media in 2012?
Note 1: Revenue segments: < 25 million (n=24), 25-500 million (n=14), > 500 million (n=17). A relatively high number of respondents indicated ‘unknown’. Note 2: Spend levels are a weighted average using the midpoint of the indicated spend brackets (e.g.’ €100-250K’ is calculated as €175K. The’ > €250K’ spend bracket is averaged at € 300K Source: Booz & Company analysis
Social Media Investments, Now vs. Planned€ spend, split by company size, n=55
€500 million or more
€266K
+12%
Less than € 25 million
+24%
€94K
€59K
€ 25 to €500 million
€237K
€27K€22K
+59%
Company Size
Spend in 2012Current spend
Survey results
33
…and significantly increase Social Media related FTEs in the nextyear
33
Social Media FTE, Now vs. PlannedWeighted average split by company revenues, n=67
Questions: How many dedicated human resources (Full-Time Equivalent) for Social Media does your company currently have? How many does your company expect to have in 2012?
Note: Revenue segments: < 25 million (n=24), 25-500 million (n=18), > 500 million (n=25) . A relatively high number of respondents indicated ‘unknown’Source: Booz & Company analysis
2.72.4
0.8
8.1
Less than € 25 million
+61%
1.7 FTE
+109%
€500 million or more
3.8 FTE
+196%
€ 25 to €500 million
7 Planned Investments in Social MediaSurvey results
34
Social Media Capabilities to Build Next Year% of responses, n=82
Question. Does your company wish to develop any of the following capabilities in the coming 12 months and if so, how?Source: Booz & Company analysis
11%
10%
14%
16%
26%
18%
17%
23%
19%
26%
16%
18%
13%
20%
13%
19%
19%
17%
22%
31%
22%Create, run and evaluate campaigns through social media 37%
37% 6%Structurally evaluate social media efforts
100%
23%
Produce and approve content for platforms 53% 19%
Prioritize & fund new social media activities 57% 15%
Attract right talent through social media
Develop & prioritize an overarching social media strategy
37%
59%
Structurally capture customer insights thr. social media
14%
46%
42%
18%
22%
45% 17%
Learn from industry best practices across the value chain
44%
Manage customer service through social media
Structurally interact through social media platforms 18%
In the near future, the majority of respondents plan to develop Social Media capabilities related to strategy, funding and content
Yes, by building ourselves
Don’t know
Yes, by partnering
No
8 Future Social Media Capabilities
Top 3 Planned Capabilities
Survey results
3535
Our Social Media perspective
Survey results
Key findings & guidelines
36
Companies should quickly educate themselves on the power of social
Key findings
Key Social Media Survey FindingsKey Social Media Survey Findings
� Respondents believe that Social Media should have a higher priority on their Board’s agenda and that the full potential is not yet captured
� Smaller companies are more active in Social Media, especially mid-sized companies are lagging
� Perceived benefits of Social Media are primarily in brand awareness and customer engagement, and not (yet) on creating leads and driving incremental sales
� Current barriers to wider application of Social Media are based on misperceptions and lack of understanding
� Across the board, measurement of the impact of Social platforms is limited
� Companies do plan to increase investments and allocate more resources to Social Media in the coming year and develop specific Social Media capabilities
� Respondents believe that Social Media should have a higher priority on their Board’s agenda and that the full potential is not yet captured
� Smaller companies are more active in Social Media, especially mid-sized companies are lagging
� Perceived benefits of Social Media are primarily in brand awareness and customer engagement, and not (yet) on creating leads and driving incremental sales
� Current barriers to wider application of Social Media are based on misperceptions and lack of understanding
� Across the board, measurement of the impact of Social platforms is limited
� Companies do plan to increase investments and allocate more resources to Social Media in the coming year and develop specific Social Media capabilities
37
In doing so, the following guiding principles are helpful
Social Media Guiding PrinciplesSocial Media Guiding Principles
� Do not act out of ‘fear of missing out’, but create a clear, integrated social strategy that supports your overall business objectives
� Identify where social could add value along your companies’ value chain, and develop value adding social ‘ways to play’ aligned to your business model
� Assess required versus your current capabilities and decide on a ‘build or buy’ strategy
� Start social tracking, monitoring and analysis since they provide affordable, powerful insights
� Do not be afraid of the power shift to the community, but embrace it and turn it into your advantage
� Understand, engage with and learn from your customer base in order to support your competitive advantage
� Do not act out of ‘fear of missing out’, but create a clear, integrated social strategy that supports your overall business objectives
� Identify where social could add value along your companies’ value chain, and develop value adding social ‘ways to play’ aligned to your business model
� Assess required versus your current capabilities and decide on a ‘build or buy’ strategy
� Start social tracking, monitoring and analysis since they provide affordable, powerful insights
� Do not be afraid of the power shift to the community, but embrace it and turn it into your advantage
� Understand, engage with and learn from your customer base in order to support your competitive advantage
Guidelines
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In summary, make sure to use your ‘Social Checklist’
Set My AmbitionSet My AmbitionSet My AmbitionSet My Ambition
Close Capability GapsClose Capability GapsClose Capability GapsClose Capability Gaps
Execute & Win!Execute & Win!Execute & Win!Execute & Win!
Define My Social StrategyDefine My Social StrategyDefine My Social StrategyDefine My Social Strategy
Identify My Capability GapsIdentify My Capability GapsIdentify My Capability GapsIdentify My Capability Gaps
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Feel free to contact us
Coen de Vuijst
Partner
Tamara Obradov
Associate
Robbert Huisman
Associate