the social web for business
DESCRIPTION
Not sure why social media is so important to business? Looking for some practical advice on how to develop your own SM strategy? Hopefully, this guide takes you through everything you need to know to get started, A slideshare-friendly and updated version of the presentation I gave at the Sydney Knowledge Management Roundtable (#KMRT) on August 26th, 09.TRANSCRIPT
The Social Web for Business
The Social Web for Business
Jonathan Crossfield26th August 2009
The Social Web for Business
Why should my business care?
Social networks are popular
• Over 70% of Australian internet users visited a social networking site in June 2009*
*comScore study, June 2009
Reported in Marketing Charts, August 17th 2009
People want to be part of something exciting
• Twitter rose to over 800,000 users in June 2009, up from 13,000 in 2008*
*comScore study, June 2009
Reported in Marketing Charts, August 17th 2009
The Social Web for Business
Twitter is seeing astronomical growth
*courtesy Hitwise Australia, July 2009 (Hitwise.com.au)
How can my business use Twitter (or Facebook, etc)?
The Social Web for Business
But businesses keep asking the wrong question
The Social Web for Business
There is a better question
How can I use the social web to help consumers achieve
their goals?
Deciding to use a tool is a TACTIC
I want to use a snow shovel to benefit
my business
http://www.flickr.com/photos/signifying/ / CC BY-NC-SA 2.0
Helping people achieve goals is a STRATEGY
Clearing my driveway helps more customers get
where they’re going
http://www.flickr.com/photos/signifying/ / CC BY-NC-SA 2.0
Knowing the customer goal may reveal a better tool
http://www.flickr.com/photos/signifying/ / CC BY-NC-SA 2.0
Wow! Cleanest driveway in the street!
Human behaviour is the key!
The Social Web for Business
The ANT Approach
ANT businesses are taking over
Google – designed for users, not businesses
Twitter – tapped into social behaviour
Amazon – made buying books easier
The Social Web for Business
So, what is the social web?
The Social Web for Business
You might think social media is this
The Social Web for Business
These are just tools – snow shovels
The Social Web for Business
The entire web is social – with many tools
Sending an email is a social activity…
Commenting on a blog is a social activity…
Interacting with a website is a social activity…
…and everyone has access to the toolshed!
The Social Web for Business
The audience is now the media
The Social Web for Business
But so are your employees! Use them!
Let’s look at just one tool
The Social Web for Business
What is Twitter?
• A “microblogging” platform• Allows people to create posts
(“tweets”) of 140 characters or less• Users can “follow” others that
interest them
The Social Web for Business
Originally designed as a “broadcast” medium
The Social Web for Business
Evolved into an “engagement” medium
The Social Web for Business
The users transformed Twitter
Users started replying to each other with @
The Social Web for Business
So Twitter built it in!
The Social Web for Business
User started using # to tag conversations
The Social Web for Business
# made conversations searchable & real-time
The Social Web for Business
So Twitter built it in!
The Social Web for Business
Users began “retweets”, spreading content
The Social Web for Business
So Twitter is building it in!
The Social Web for Business
The Social Web for Business
Word of mouth on Twitter
The Social Web for Business
Will someone recommend your product?
The Social Web for Business
Will someone recommend your shop?
The Social Web for Business
Wow! Now this is word of mouth!
The Social Web for Business
But then, so is this!
The Social Web for Business
Should we care what they say?
• Trib is followed by 4000+ people. I’d care!
So what do the sceptics say?
“Churn on Twitter is too high”
The Social Web for Business
Why Twitter churn is not bad
Joining Twitter is like signing up for flying lessons only to find yourself sitting at the controls of a passenger jet… but I envy you that moment when it 'clicks' and you suddenly realise the possibilities.
*Graham Linehan – “The Conversation”
Blog post 19th August 2009
“Twitter tweets are pointless babble”
The Pear Analytics Report
• 40% of tweets are “pointless babble”
• 37.55% were “conversational”
• Suggested only 8.78% of tweets had “value”
The Pear Analytics Report
The Social Web for Business
We’ve heard it all before!
The problem with television is that the people must sit and keep their eyes glued on a screen; the average American family hasn't time for it.
*The New York Times (1939)
The Social Web for Business
We’ve heard it all before!
This 'telephone' has too many shortcomings to be seriously considered as a means of communication. The device is inherently of no value to us.
*Western Union internal memo (1876)
The Social Web for Business
We’ve heard it all before!
The multitude of books is a great evil. There is no limit to this fever for writing; every one must be an author; some out of vanity, to acquire celebrity and raise up a name, others for the sake of mere
gain.
*Martin Luther – Table Talk (1530s)
The Social Web for Business
Don’t listen to the sceptics!
With the advent of every new medium — books, radio, TV, social networks — there is a built-in fear, social concern, that it will lead to lack of productivity and a general sense of dysfunction. This is one of the tropes of the arrival of any new media. Many consider Twitter a fad.
*Joseph Turow - University of Pennsylvania
USA Today August 25th 2009
“Twitter tantrums should be ignored”
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“There’s no financial sense in social media”
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Case Study
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A major Australian clothing retailer…
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…released some controversial babywear.
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A mother’s complaint was ignored!
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The complaint was blogged
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Twitter discussed the blog post – a lot
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Cotton On’s Twitter page ignored them
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More bloggers heard and reacted
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Mainstream news heard the outcry
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The Twitter call for a boycott was reported
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Cotton On bowed to pressure
One complaint became thousands
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Ignoring the social web cost money!
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Who’s the big fish now?
The Social Web for Business
But it’s not all bad news!
The Social Web for Business
How should we use the social web?
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By providing “elegant organisation”
You don’t start communities. They already exist. They’re already doing what they want to do. The question you should ask is how you can help them do that better. Bring them “elegant organisation”.
Mark Zuckerberg – Creator of Facebook
Quoted by Jeff Jarvis – “What Would Google Do?”
The Social Web for Business
Identify the customer goal or problem
The Social Web for Business
Understand the route they prefer to take
http://www.flickr.com/photos/tyskis/ / CC BY-NC-ND 2.0
The Social Web for Business
Use the right tools to make it easier for them!
http://www.flickr.com/photos/jkransen/ / CC BY-SA 2.0
The Social Web for Business
See how many customers choose your route!
http://www.flickr.com/photos/grahamking/ / CC BY-NC-SA 2.0
Direct sales via links & promotions
Brand awareness / customer engagement
Feedback & complaints management
Customer service & support
Solving problems with the Twitter API
• Application Programming Interface• Software designed to work with Twitter• Over 2000 applications currently
developed
The Social Web for Business
Filesocial.com – file sharing via Twitter
The Social Web for Business
CommuterFeed.com - users tweet traffic info
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Twitpay – sending money via Twitter
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Twitition – create and sign petitions
The Social Web for Business
Botanicalls - tweets when plants are thirsty
The Social Web for Business
Ryan Rose modified a washing machine
The Social Web for Business
Lets him know when washing is done!
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What could you do?
• How could your business provide “elegant organisation” for your customers and staff with Twitter and the API?
• Don’t forget the iPhone!
Twitter is not alone
• Find and recruit staff• Create employee groups and pool ideas• Create a company profile and network
with related professionals
Twitter is not alone
• Tutorial ‘how to’ videos• Present a fun side to the business• Branding messages
Twitter is not alone
• Create communities for feedback• Share content and information to
interested members• Spreading the brand ‘virally’ with facebook
apps
Twitter is not alone
• Create an internal wiki• Allow employees to collate and collaborate• Share best practice and knowledge• Empower staff and value their experience
The Social Web for Business
But where’s the ROI?
Dell
• Joined Twitter in 2007• Has achieved over US$3 million in
sales from Twitter followers• Sales increasing – US$1 million in the
last 6 months
The Social Web for Business
Dell
• Multiple accounts• Offer special deals with links• Tracks conversions with proprietary
software
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Starbucks – MyStarbucksIdea.com
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• Responds to the community• Reviews and promotes ideas• Customers submit and vote on
suggestions• ALL Starbucks departments involved
Starbucks – MyStarbucksIdea.com
The Social Web for Business
Starbucks – MyStarbucksIdea.com
The Social Web for Business
• 3 million unique visitors• 60,000 ideas submitted• 100,000s of comments• 460,000 votes• Over 50 business changes made as a
result
*Source: Engagement db.com July 2009 Prepared by Wetpaint and AltimeterThe Social Web for Business
Engagement to revenue – is there a trend?
• The top 100 global brands & the social web
The Social Web for Business
Show me the money!
Wallflowers (low – or no - engagement
in 6 or less channels)
Selectives (high engagement in 6 or
fewer channels)
Butterflies (low engagement in 7 or
more channels
Mavens (high engagement in 7 or more
channels)
*Source: Engagement db.com July 2009
Prepared by Wetpaint and Altimeter
The Social Web for Business
What does it mean?
• Very hard to show definite cause and effect
• However, the trend is very strong
• Businesses engaging heavily in the social web have stronger growth
The Social Web for Business
Nearly there…
I grew up near a corner shop (not this one)
They knew me, my family, our story…
…and we knew them
It’s gone now. But 30 years on I still remember them
Corner shops gave way to supermarkets
We scaled up production
http://www.flickr.com/photos/inju/ / CC BY-NC-SA 2.0
We scaled up marketing
We scaled up sales
http://www.flickr.com/photos/mr_beaver/ / CC BY-NC-SA 2.0
We couldn’t scale up relationships
“Do you want fries with that?”
The social web scales up relationships!
What does this mean?
Listen and respond – don’t just broadcast
View everything from the customer’s position
http://www.flickr.com/photos/quaelin/ / CC BY-NC-ND 2.0
Treat everyone as individuals, not a mass market
Be an ANT!
•Care about Anthropology, Not Technology!
Thankyou
@Netregistry
@Kimota