Jeremiah_Owyang_Amplify_presentation

1Developing a Social StrategyFor AmplifyJune 6-10, 2011Jeremiah OwyangIndustry Analyst and Partner

Agenda2How the World Has Changed2011: The State of Social BusinessBaseline Requirements Needed for Getting Ready InternallyDeveloping a Social Strategy by ObjectivesFinal Remarks

Social media are easy to use web publishing tools. As a result anybody can have a voice and be found through simple tools like Google search. This creates a power shift towards those who participate – and those that don’t must catch up.

Over 50% of Facebook’s 600M active users log in everyday (February 2011)Source: Facebook, February 20116

7There are 140 million tweets a day (March 2011)

The average user spends 6 hours a month on social networks, 66% more than last year (April 2010)8

Customer trust each other more than they trust brandsNow they can use these tools to connect with each otherOrganizations who are not part of this conversation are not relevantTo regain power, organizations must use the same tools customers doWhat it means9

Is social media a fad or a trend?Exercise

Is it limited to youth only?Exercise

We surveyed 140 global corporate social strategists“Career Path of the Corporate Social Strategist”Published November 2010Download at: http://bit.ly/agreportcareerpathIndependent research report published under the principle of Open Research14

Most programs have existed less than 3 years (Oct 2010)15

77% of programs are Novice or Intermediate16

Programs mostly report to Marketing or Corporate Communications17

Strategists work with limited budgets – averaging just $833,000 for all corporations18

Spending on 12 social business programs still nascent19

41% of programs are reactive to requests20

ROI measurements are the top internal priority21

What’s the best way to determine a social media budget?Exercise

25What you will learn:5 steps to get ready internally.

26To be successful using social technologies, companies must first prepare and align internalroles, policies, processesand education with their business objectives.Social business is aprofound change that impacts all departments in the organization.

Nestle’ lacked a Defense Strategy during crisis27Nestle’ was under attack by Greenpeace. No matter what, the deck was stacked against them. Lack of mature and trained staff, a process, nor a policy to enforce – exacerbated the situation.

Southwest Airlines doesn’t recognize an Influencer Detractor28Southwest Airlines suffered from an attack after a celebrity had a bad customer experience. Had they had Social CRM in place, they may have been able to identify an influencer first.

Fragmentation. Without central coordination, efforts will be fragmented and decentralized.Lack of Efficiency. Costs increase as business units duplicate efforts and resources.Lack of Accountability. Costs increase as business units deploy without proper “guardrails.”Unable to Defend Brand. Without standard policies/processes, AAA will be less prepared for PR crises in social.Inability to Scale. AAA will not be able to scale efforts to respond to increasing internal/external demands.The opportunity costs of not getting coordinated29

Disclosure/ethics policy: Company statement defining expectationsSocial media policy: Clarity for stakeholders, and reduce risk for employees and companyCommunity policy: Guidelines for customers and employeesPrivacy policy: To protect customers’ data 1. Policies30

Protect the company and community with external facing policies31SeaWorld defines community expectations on its social media properties, e.g. blog.Walmart published a disclosure policy for its Elevenmoms program.

32Define expectations for associates with an internal Social Media PolicyExamples of Social Media Guidelines created by Intel and Cisco

Education: New forms of marketing and communication require new skillsInject fresh thinking and outsider perspectivesSharing: What tools are in place to facilitate rapid sharing? How will different groups use these tools to learnfrom each other?2. Education and Sharing33

Dell created a Social Media and Community (SMaC) program to train internal stakeholders34Dell hosts internal unconferences, called SMaC, and created a social media university. In 9 weeks, it trained 1500 employees face to face on topics like governance, policy, and best practices.

Intel’s CoE empowers employees through education; has certified more than 1000 employees35Intel created a “Digital IQ,” a global initiative to train all employees to become active in social media.“The Buzz,” a monthly newsletter for internal Social Media Practitioners (SMPs)

Triage: Who should respond to what in near-real time?Crises response plan: How will you respond as crises arise, even during off hours?Insights intake: How will customer opinion be gathered and shared internally?Support: How will social interactions be integrated with customer databases?3. Processes36

37Prepare for social media triageTake reasonable action to fix issue and let customer know action takenNegativePositiveYesYesNoAssess the messageEvaluate the purposeDo you want to respond?Does customer need/deserve more info?Unhappy Customer?No ResponseYesAre the facts correct?Gently correct the factsYesNoNoNoCan you add value?DedicatedComplainer?Are the facts correct?YesYesNoNoYesRespond in kind & shareThank the personComedian Want-to-Be?Explain what is being done to correct the issue.Is the problem being fixed?YesNoYesAdapted from the US Air Force Blog TriageLet post stand and monitor.

Situation: A customer is having a bad customer service experience while reporting an ATM card theft. He starts tweeting about it in real time:“Someone withdrew my entire checking account balance. Yet the AMP customer service line was rude responding, ‘Yeah right.’”What should you do?Exercise #A

Situation: The customer records the conversation, and uploads in real time to YouTube.Within 2 hours, it starts to spread on Twitter, and in blogs. What should you do?Exercise #B

Situation: The mainstream press like the Sydney Morning Herald are asking for quotes via Twitter.You see this, what should you do?Exercise #C

CENTRALIZEDOne department controls all efforts

HUB AND SPOKEOne hub sets rules and procedures

Business units undertake own efforts

MULTIPLE HUB AND SPOKE OR “DANDELION”Similar to Hub and Spoke but across multiple brands and units

HOLISTIC OR “HONEYCOMB”Each employee is empowered

Unlike Organic, employees are organized

47Programs mostly organize into Hub & Spoke and Centralized

Key Roles:Social StrategistCommunity ManagersSupporting Roles:ExecutivesHR/AssociatesLegalSupportProductIT5. Roles48

Who is the Corporate Social Strategist?49Scott MontyHead of Social MediaFord Motor Co.@ScottMontyManish MehtaVP, Social Media and Community, Dell@ManishatDellMaria PoveromoDirector, Social Media, Adobe@mariapoveromo

Success in their roles comes from being multi-disciplinary and risk-taking 50

How do the skills and responsibilities of the role change as the program matures? Exercise

54What you will learn:How to bring it back to business.

Five goals define your strategy, but always start with Learn and Listen55

56Definition of LearningUsing social technologies to listen and learn from customers who are already speaking.

Learn with free search tools57

Paid services provide monitoring58Other providers:BuzzmetricsCymfonyDow Jones LithiumTechrigy/AlterianVisible TechnologiesFrom Salesforce Radian6

From the Red Cross SM Policy: They’re listening to every conversation59

Dell launches a Social Media Command Center60Dell uses Radian6 to power its social media monitoring of over 22K customer conversations on the social web.

Inside your organization, who should be responsible for Listening?Exercise

Learning Best PracticesStart with the free or inexpensive tools like Google search, Google blog search, Twitter search.Use terms related to your products, executives, and competitors products.Quickly advance by using brand monitoring software and services like Lithium, Salesforce Radian6, Visible Technologies, and Cymfony.Don’t scope too tight or too wide. The savvy will focus on customer pain points –not just brand or product mentions.62

64Definition of DialogUsing social technologies to respond to or initiate conversations in social channels

Wells Fargo blogs offers more conversational dialog65Wells Fargo’s blog has multiple contributors, identified by name and photo. It strikes a friendly tone and embraces comments with a prominent comment field.

INGDirect initiates conversations around saving money, not products, on its blog and Facebook66

Red Cross responds to Haiti FAQs on blog, YouTube, and Facebook67

68Dialog KPIs in actionShare of Voice: Audience Engagement:Conversation Reach:

How is Dialog different than traditional marketing?Exercise

Dialog best practicesHave the right mindset: Once you start, customers are expecting you to maintain the conversation.Like in real life, the same rules of conversation etiquette apply. Be a good listener, considerate, kind, and thoughtful.As a best practice, first listen to the conversation then add value to existing discussions.Rely on ongoing findings from brand monitoring to define the “conversation calendar.”70

Empower advocates for your brand71

72Definition of AdvocateRecruiting an “unpaid army” of highly engaged fans to promote your brand through social technologies

Visa capitalizes on World Cup fans desire to share videos73Visa created its Go Fans YouTube channel to connect with World Cup fans. Fans can view or upload their own videos, or use its Match Planner to create and share viewing schedules.

AmEx’s Members Project leverages cause marketing 74AmEx’s charity project relies on Take Part as a platform, which doesn’t leverage social media as well as Chase’s Community Giving program. Voters do no have to Like its fan page to vote, and sharing is not a primary feature.

Microsoft recognizes Most Valuable Professionals75

76Advocacy KPIs in actionActive Advocates:Advocate Influence:Advocacy Impact:

What are the downsides of Advocacy programs?Exercise

Advocacy best practicesDon’t only think of advocacy in terms of short-term campaigns. Cultivate ongoing relationships with enthusiastic customers.On social networks, leverage customers’ social graph through advocacy apps or promotions. See how vendors like Wildfire, Buddy Media, Zuberance, and Involvr help brands.Put advocates front and center –e.g. acknowledge wherever possible to reward their loyalty – and invite them into the company78

Help your customers support each other79

80Definition of SupportAssisting your customers directly, or by facilitating peer to peer support, via social technologies

Wells Fargo responds to customers – within business hours81Demonstrating both a human voice and setting expectations of how they’ll help customers during office hours, Wells Fargo demonstrates best practices.

AmEx’s OPEN Forum connects small business owners with resources and networking82OPEN Forum recruited 150 top experts to blog on related topics, as well as provides a “rolodex” where users can connect with other small biz owners.

83Support kpis in actionSocial Media Issue Resolution Rate:Resolution Time:Customer Satisfaction Score:

Who should provide social support in a company?Exercise

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