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Interactive Marketing

Interactive marketing Vlerick M³

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Course at Vlerick School, master in marketing. Based on book, The Conversation Manager.

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Page 1: Interactive marketing Vlerick M³

Interactive Marketing

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Our next 4 days

• Goal:– Overview of the basics and latest new stuff– Understand new & relevant consumer trends– Integration of social media in marketing mix

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Day 1: Setting the scene

• Conversation Management– Trends in consumer behavior– Conversation management philosophy– Brand identification– Activation– Manage the Conversation

• Case introduction: Conv. Mgm. Plan for Vlerick

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Day 2: Get the basics right

• Direct marketing– Erik Van Vooren

• Stories from a successful start-up: the insiders– Bjorn Cassiers

• The best website in the world– Bart De Waele (@Netlash)

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Day 3: Interactive brand activation

• Best online advertising in the world– Erwin Jansen (@ErwinJansen)

• Stories from the first Conv Mgr in Belgium– Dirk De Wulf, Rabobank (@__XIII__)

• From conversation to conversion– Clo Willaerts (@bnox)

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Day 4: the future

• What’s the story about mobile?– Dado Van Peteghem (@Dadovanpeteghem)

• Superstar companies– Steven (@Steven_InSites)

• Showtime– Starring? You!

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The Conversation Managerby Steven Van Belleghem

#CM48@Steven_InSites

“This is the new conventional wisdom. Use it or lose!”

Seth Godinauthor Purple cow

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Word of mouth

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Word of mouthB.G.

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WorLd of mouthA.G.

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Speed INCREASES

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One week info from the NYT>

a lifetime of info in the 18th Century

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Speed

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Speed

100.000.000 200.000.000 600.000.000

15 months 9 months

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Speed

7u/m 13u/m 24u/m

9 months 3 months

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Speed

26%

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Speed

2x

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Real time feedback

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Consequence of ‘WorLd of Mouth’?What’s happening with the consumer?

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We believe today’s consumers ...are post-modern nomads

Consumers switch between online and offline,blend work and private life,

and are part of a global social web.

That’s why they are more difficult to grasp.

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The Internet went down!

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We believe today’s consumers ...are empowered

They have the means to make or break brands on a scale never seen before.

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Stock value – 20%!

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684.000.000 users

Correcter than Britannica

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We are ALL advertisers

A.G.

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We believe today’s consumers ...are revealing more emotions

Decisions have always been strongly guided by emotions, now tapping into them has become easier.

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People love brands!

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We believe today’s consumers ...are smarter than ever

They have become part-time marketers.That is why we allow them to walk in your shoes.

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Me-marketing is hot

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45%Create advertising

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66%Feedback on new products

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Post modern nomad Part time marketeer

Empowered Emotional

Internet is the biggest facilitator in human conversations

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Post modern nomad Part time marketeer

Empowered Emotional

People are the oil of the conversation revolution

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Post modern nomad Part time marketeer

Empowered Emotional

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Hype or trend?

TREND!Metcalfe’s law…

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We know things are changing,we don’t know how to act upon it

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A revolution implies CHANGE

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Need for RADICAL change

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It’s time to jump and to become…The Conversation Manager

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Not just aboutobserving & joining social media

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integration of word-of-mouthin all marketing thinking & acting

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Before we start…

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Let’s kill a few myths

Monster

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O PS1 It’s not all online these days!

88%

6%6%

94% offline conversations

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1

2

3

2 All sectors, all people!

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3 They’re not as negative as you think!

6% - 18% = 82% - 94% =

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Philosophy

Conversation

Advertising

Brand

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Conversation

Activation

Brand

Philosophy

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STEP 1: Brand leverage

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Brand Identification

Brand Conversations

Brand Perception

Brand leverageR²=.50

Purchase brand

Promote brand

Brand isclose to ideal

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Bran

d va

lues M

y values

High brand identification

No/low brand identification

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Product quality decreases --- Customer experiences decreases --- Prices go up

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20% increase in loyal customers during the last three years!

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‘WE’ make(s) the difference!

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Positive/Neutral Negative

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Brand Identification

Brand Conversations

Brand Perception

Brand leverageR²=.50

Purchase brand

Promote brand

Brand isclose to ideal

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Brands are emotions!

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We look waytoo rational to brands!

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Top 5 brands of the world according to interbrand

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Brand identification is KEY forthe Conversation Manager

1

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Step2: Advertising becomes ACTIVATION

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Advertising is thestart of a good conversation

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CREATING

SPREADING

RECEIVING

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CREATING

SPREADING

RECEIVING

Number of followers

Number of re-tweets

Number of mentions

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CREATING

SPREADING

RECEIVING

Number of fans

Number of sharing

Number of reactions

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CREATING

SPREADING

RECEIVING

Number viewers

Number conversations

Number of blogs

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What should people tell each other

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Activation for the sake of activation

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Remember the story?

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Happy or sad?

Marketing managerwill be happy

Conversation Manager

will be sad

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Activation asks for strategic thinking

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ACTIONS

DRIVERS

CONVER-SATIONS

PARTICIPANTS

BUZZ

ACTIVATION

BUYING ACTIVATION

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7 350.000.000

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3.700.000 watched a BBC documentary127.000 followers get a daily update20% increase in tourism for Queensland1.9M investment, 330M in airtime

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Giving Back!

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Lucky Time

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Branded utility: offer VALUE

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119

Evolution of beauty: Dove case studyA new way of advertising…A new brand activation research model…

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Exposure: 23%Correct brand recall: 33%Effectiveness score: 8%

Exposure: 24%Correct brand recall: 30%Effectiveness score: 7%

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Overall likeability campaign:7.2

Overall likeability campaign:8.3

3% 3%6% 4%

8% 6%

16% 16% 17%21%

0% 0% 2% 0%

8%5%

12%17%

24%

31%

1 2 3 4 5 6 7 8 9 10

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N = 1.503Filter: none

64%24%

12%

74%

23% 2%

No exposure

Direct exposure

Only indirect exposure

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CREATIN

G

SPREADING

RECEIVING

buzz

activ

ation

Buzz activation can reach different levels of engagement with often unexpected outcomes

35%

81%

37%

81%

0% 0%

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Originality of the spot

Spot was beautiful made

Message of the film

Brand

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In a regular post test, we would have missed their opinion.Just because they are no part of our target group.

Fathers & people withno daughters

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Direct exposure 23%

Indirect exposure 3%

Spread the word 29%

Originality of the spot

Spot was beautiful made

Message of the film

Brand

The message was the key driver for connectors to spread the word.

What else did we miss?

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They went a step further...

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And so did the consumer...

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How to make advertising sticky?

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How to make advertising sticky?

Simplicity

Unexpectedness

Concreteness

Credibility

Emotional

Stories

1

2

3

4

5

6

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What should consumers be saying to each other after they’ve seen my ad?

2

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Step 3: Manage your conversations

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Conversation

Activation

Brand

Philosophy

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Observe Facilitate Join

As a manager As a brand As a peer

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Observe Facilitate Join

As a manager As a brand As a peer

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ObserveAs a manager

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ObserveAs a manager

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Observe Facilitate Join

As a manager As a brand As a peer

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4.300.000 YouTube views500.000 Flickr views3.000.000 Twitter impressions50.000 leads for the Fiesta (97% has no Ford)

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“Every brand that takes itself serious, will have a brand community by 2015”Joseph Jaffe

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FacilitateAs a brand

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Observe Facilitate Join

As a manager As a brand As a peer

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OUCH!

JoinAs a peer

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OUCH!“It’s our page, we set the rules”

Nestlé, on its own fanpage...

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“Please don’t change OUR brand; we love it the way it is”

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On new years eve,

Made a mistake…among 50% of its customersabout…money!

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The following takes place between 8pm and 12am

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31/12 9u22First reaction

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162

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01/01 3amHell breaks loose…

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164

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01/01 10amRabobank reacts

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07/04/2023 166

“Ik heb het even nagekeken en ook bij mij is dit het geval.

Ik veronderstel dat er dus door een fout in de afrekening geen rekening werd gehouden met de vrijstellingsdrempel.

Wij onderzoeken het en zetten het probleem zo snel mogelijk recht.”

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01/01 12amPositive reactions

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168

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JoinAs a peer

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#CM48@Steven_InSites

What if...The conversation becomes sales critical?By Steven Van Belleghem, Managing Partner InSites Consulting & Annemiek Temming, Consumer insight manager Danone

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The critical incidentObserve: What was the impact?Facilitate/Join: What did Danone do?Facilitate/Join: What did we learn?

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On May 22nd 2010, Foodwatch and Kassa awarded Actimel het Gouden Windei, for

misleading Dutch consumers.

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@Steven_InSites #cm48

On May 22nd 2010, Actimel got awarded het Gouden Windei, for

misleading Dutch consumers.

The largest news website in The Netherlands, nu.nl and a plethora of

blogs and tweets mentioned this.

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@Steven_InSites #cm48

Consumers reacted and started and joined conversations.

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@Steven_InSites #cm48

Sales decreased.

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@Steven_InSites #cm48

Danone had a crisis communication team, but no online dialogue team in place.

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The critical incidentObserve: What was the impact?Facilitate/Join: What did Danone do?Facilitate/Join: What did we learn?

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Observe Facilitate Join

As a manager As a brand As a peer

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We used InSites´ Conversation MappingResearch tool to map, filter and analysethe conversation on het Gouden Windei,Actimel and Danone.This is what we found.

*Conversation Mapping Research is survey based

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@Steven_InSites #cm48

of consumers talked about functional dairy products in the last 3 months.

10%

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@Steven_InSites #cm48

H W84%

8%6% 1%

Face-to-face conversationTelephone conversationE-mailPosts on a blog, social network or other websiteChat or instant messaging

Online? Yes. But most of the conversationtakes place offline.

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@Steven_InSites #cm48

WHNo surprise: Most conversations are withstrong ties.

Friends &FamilyMeMe

Well known

Stranger

Don’t really know

70%

21%

Friends & Family

5%

4%

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Credibility of the claimis the top conversation topic (>75% of conversations)

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@Steven_InSites #cm48

of the people mention that conversations are a reason to stop drinking or eating functional dairy products.

20%

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Back to the most important question:What was the impact?

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Heavy Actimel users have a more negativeperception of Actimel

They account for 80% of all Actimel sales

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A substantial part of them accounted

they stopped drinking Actimel

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@Steven_InSites #cm48

Was influenced by viral spreading. 8%Was influenced via newspaper.21%

Was influenced via KASSA.61%

Did active information retrieval via Foodwatch.5%

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42%

47%

11%

Category

40%

26%

34%

Conversations on Actimel are now 3 timesmore negative than the category average.

*Mainly influenced by KASSA

*Mainly influenced by thecredibility of the corporatebrand.

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Tone

Cha

nge

+++---

high

low

BASHING

BARKING

SERENADE

BONDING

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Tone

Cha

nge

+++---

high

low

BASHING

BARKING

SERENADE

BONDING

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Tone

Cha

nge

+++---

high

low

BASHING

BARKING

SERENADE

BONDING

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Key learnings so far:

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The critical incident caused an increase innegative consumer conversations

There are BELIEVERS & NON BELIEVERS

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@Steven_InSites #cm48

Decrease of:

SalesBrand perception

NPS scoreBuying intention

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Can help Actimel

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Consumers LEAD the conversation

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The critical incidentObserve: What was the impact?Facilitate/Join: What did Danone do?Facilitate/Join: What did we learn?

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@Steven_InSites #cm48

We did a mainstream press release

We made an appearance at the KASSA television show

We contacted “Family Danone”, our own core consumer group

We created a standard reply to consumer reactions

Classical response

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@Steven_InSites #cm48

This case made us realize our relationship with consumers is really really important to us. It accelerated our efforts to open up to consumers and start a dialogue. For us, it translated into two main learnings (and related actions):

But we did more

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We are learning to become ‘open’

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Learning 1)

We were in broadcasting mode, not in dialogue mode. Broadcasting makes brands vulnerable.

Action:• We invited Foodwatch to visit us in Paris (more journalists and

consumers are planned)• Although we’re still learning, we’re more and more joining the

conversation online

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Learning 2)

We were focussing too much on functional benefits. And almost forgot how important a relationship with our customers is.

Action:• We embrace the fact that the functional benefits are always

part of the conversation• We appointed a new director Health affairs and public affairs

to totally commit to health and public affairs concerns• We started a rebranding campaign to add emotional benefits

and to tell our real brand story

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@Steven_InSites #cm48

We created a best practice for the Danone organisation.

And: Sales are picking up.

And there’s good news

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The critical incidentObserve: What was the impact?Facilitate/Join: What did Danone do?Facilitate/Join: What did we learn?

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Online CM We are right Hybrid

What Danone should have done

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Online CM We are right Hybrid

What Danone should have done

Don’t deny the discussion: facilitate the discussion on functional benefits online (credibility is the top conversation topic).

Facilitate the believers (still 40%).

Use mainstream media as a spotlight on the conversation on functional benefits (remember KASSA vs viral).

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Tone

Chan

ge

+++---

high

low

BASHING

BARKING

SERENADE

BONDING

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6 Rules of participation

Listen

Ask questions

Open

Honest

Personal

Engagement

Thank you!

Sorry...

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Do I always need to answer?

No, you don’t!

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When not?

Emotional reactions

When people are talking

Pick your fights

When you need to think

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Joining the conversation isthe essence of marketing

3

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That’s the philosophy of…The Conversation Manager

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A story of CHANGE

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STRATEGYnot tactical

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integration of word-of-mouthin all marketing thinking & acting

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Long term goal:Be ambitious

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“Success is going from failure to failure without the loss of enthusiasm”

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Start your change

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“People are very open for new things,as long as they are exactly like the old ones”

Charles Kettering

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“Everyone thinks about changing the world,but no one thinks of changing himself”

Leo Tolstoy

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48

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Thank you!Available as interactive App for iPad, the first in the worldDownload it from the App STore

Good luck!Questions, feedback, remarks:

[email protected] me: @Steven_InSitesJoin me on LinkedInwww.theconversationmanager.com

#CM48@Steven_InSites

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Project: Conv mgm Vlerick Masters

• Introduction by Ilse

• Goal:– Create an impactful strategy & implementation

plan for the Vlerick Masters using the philosophy of today

– Make sure this plan can be used

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Deliverable

• Presentation of 15 minutes• Conversation Management plan:

– PPT format– More background than presentation (you can use

notes if you want)