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Your report of the first Social Marketing Breakfast
April 12, 2010
With the support of
Introduction : What is social marketing ?
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What is social media marketing ? In essence, all activities
brands conduct on the Web with a social dimension: sharing, conversations, through existing social networks or own channel.
What's so attractive? Well, you heard about 'joining the conversation'...Social marketing will help you grow your business through more engaged consumers, more active ambassadors .
So we thought it would make sense to explore the 4 myths, 3 plagues and picked 2 great examples of the arena, since everyone has some sort of 'a priori'.
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Agenda
myths
plagues
great examples
conversation
4 3 2 1
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Myth 1 – We have too many customers
11% PPC
Tropicana Pure Premium
Tropicana Pure Premium No Pulp
Tropicana Healthy Heart
0.9% PPC 7.9% PPC
▪ 2.5% = ‘Pivotal Point Consumers’, 80% of sales
▪ In Belgium, this accounts for 100 000 shoppers for an average brand
▪ 5 to 10% are lead users: 5 to 10 000 people (influent, early adopters)
SOURCE: PPC - Catalina marketing study (actual behavior of 54 Millions of US citizens)
As some of you may have heard, we sometimes refer to a study made by Catalina Marketing in the US,
tracking the real shopping behavior of 54 millions americans. The results ? On average, 80%
of the volume of a typical brand is made by 2.5% of shoppers. In Belgium, this would mean 100 000 shoppers. The concept of a 'mass product' is dead for FMCG
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Myth 2 – consumers do not care about online conversations
SOURCE: ANT Research, n=941, October 2009, Belgium
• -Myth 2: Consumers do not care about online conversations.
• Our study with ANT Research in October 2009 showed that, while a minority indeed will conduct conversations, other are very interested to see it. • If they see the brand listens and respond, they declare that it would strongly enhance their perception of the brand
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Myth 3 – If they do, we would be overwhelmed
In Belgium, a typical brand could expect a ~500 (average)-2000 (maximum) to interact
While a silent majority is looking for brands to react, only a minority, typically between 5 to 20% (for most engaged brands) will actually want to interact. Net, we found that in Belgium, over a couple of months, a brand could expect between 500 and 2000 interactions. No need to hire an army.
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Myth 4 – There is no ROI The US has furiously embraced social media over the last years. There is ample
evidence that a customer self-support forum is providing large impact in terms of cost savings (large Q&A base, support by other consumers), and conversational marketing has been largely used to boost sales and take advantage of the viral and amplifying effect of Twitter and Facebook. Last, we found a high correlation between early adopters and influencers through our studies. Chances are high that people who do care interacting with your brands are as well very active on social networks and in 'live' events about your brand. Chances are high that they will be the first to adopt your new products, the early adopters that are so critical to turn a new product into a success. Don't miss them.
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SOURCE: Will Pate.org
Convinced ? Hold on a bit more.
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With those that made the jump, we found as well unfortunate habits already, what we call the "3 plagues" of social media:
- Plague 1: Too simple: Use social media as another 'push' channel.
- Plague 2: Too aggressive: Campaign-based thinking.
-Plague 3. Too passive: ROI vs ROI
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Plague 1 – Use social media as just another “push” channel
SOURCE: Will Pate.org
Do you: - Respond or acknowledge consumer statement
and questions on Facebook fan page ?
- Do you reply to ‘@’ statement on Twitter ? Or even to monitored messages about you but not addressed to you ?
- Do you move from Web monitoring to Web engagement ?
Many brands just copy/paste their newsfeed to Facebook, Netlog, Twitter...Wrong. Each channel has its specificities, and most should be used to engage consumers in a dialogue.
For instance, Jetblue, the US airlines, is using Twitter mostly to respond to enquiries from customers, and tailor its messages.
Razwar, an ecommerce challenger in Belgium proposing shaving solutions at a fair price, is filtering messages about 'shaving' on Twitter and sending funny replies to followers, sending them to its web sites.
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Plague 2 – Campaign-based thinking
SOURCE: The 10 plagues of social media, Media Post’s social media insider
“There's no easy cure for
off campaign-based thinking. Campaign-to-campaign and
quarter-to-quarter thinking prevents marketers from reaping the long-term benefits of
social marketing.”
Social marketing does not fit really well into 'campaign-based thinking', which is the usual rythm of companies and agencies.
You are not at war, but wanting to engage with consumers, one by one. Because it takes time to plan, prepare for it, and gain results.
Those can be substantial, but will take some time. You need to build the right audience for you step by step, and invest a little, every day.
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Plague 3 – Flawed and slow decision-making process
ROI ROI vs There is a lot of talk about 'Return on Investment'. What is often
forgotten is the importance of 'Risk of Inertia'. Your competitors will put their acts together. Consumers will get upset not to find you or your inertia - their sophistication and expectations have skyrocketed over the last years.
As Steve Ballmer, CEO of Microsoft put it in a speech made in Belgium: 'for the first time in history, marketers are trailing the consumers'. Don't let them trail you further and put a sense of urgency into it.
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Example 1 – Starbucks: global leader in social media
• One person dedicated to Twitter
• Moved from 200k to 3.5 Millions Fans on Facebook through viral effect
• Active on own ‘Starbucks idea’ web site
• Central coordination team of 6 people
• Greatly championed by CEO
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Example 2 – Danone@Brandialog
• Response rate: 60% (could still be better)
• Quality of responses: high • Acknoweldge the issue
• Answers appropriately
• Take the opportunity to do personalized marketing
• Responds even to simple ‘fan’ message: great
• One issue: never replied to the suggestion of ‘Danette Speculoos’: shame ;-)
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Our 4 steps method for conversational engagement
Map existing situation re. engagement
Define your priority targets to engage & what for
Establish engagement channels and uses
Get started with concrete initiatives, quickly
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7 Concrete tips for your conversations
If you want the list or more, give us a call:
Patrick Willemarck +32 475 23 34 34 Alexandre Vandermeersch +32 491 08 80 09
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Our services: enabling engagement through the Web
• Qualitative research : a private, confidential micro-community in a neutral space – no investment required
• Happens within or outside Brandialog.com, a neutral place to interact with brands
• Do not re-invent the wheel! With our dialog engine, make quickly your web site social for:
- Dialogue marketing - Customer service - Product reviews - Feedback,…
• We provide animation and moderation as a service
• Team combines unique expertise in marketing, consumer insights and communication
• We help you establish your engagement strategy & roadmap in and out social medias
• We find creative, concrete solutions to boost your sales and marketing
CONSULTING PRIVATE DIALOG CUSTOM DIALOG
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Agenda
myths
plagues
great examples
conversation
4 3 2 1
Did you miss the conversation ? Don’t miss the next one on April 27th, 8am. With Stephan Salberter from Deutsche Bank
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Entry is free but make sure you book your place by sending a mail to [email protected]
With the support of