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AUDIENCE: Advertising agencies OVERVIEW: How is Social Media changing the advertising industry? How is consumer dialogue impacting outbound marketing? This presentation, co-written by Laura Porto Stockwell of Publicis in the West, and Eric Weaver of Brand Dialogue, covers these massive shifts in commerce, culture, media and advertising.
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Creating digital dialogs, a social media overviewOctober 16, 2007
two truths
1: The way we communicate with each other is changing
Ear Eye
The U.S. Audience
• 90 million have participated in online groups• 57 million have read a blog• 50 million have created content online• 44 percent have contributed thoughts and files to the online world• 36 million have downloaded music or video• 33 million have reviewed or rated something• 12 million have created a blog• 6 million use RSS
Source: Pew Internet & American Life
Tweens
Source:IG Trendcentral
• 88 percent have been online in the past month
• 75 percent regularly use a computer
• 38 percent own an MP3 player and 34 percent bought and downloaded a song in the past month
• 31 percent send or receive email on a daily basis
• 29 percent own a cell phone
Millenials
• Will outnumber baby boomers and Gen-X'ers by 2010
• 80 percent use social networking sites
• 76 percent instant message
• 71 percent regularly participate in blogs
• 55 percent visit MySpace daily
• 44 percent use web to compare prices
• 16 percent use podcasts and RSS
•18-to-21-year-olds, Forrester ResearchSource: Pew Internet & American Life
“Reliance and trust in nontraditional sources— meaning everyday people,their friends, their networks, the network they've created around them—hasa much greater influence on their behaviors than traditional advertising.'’
-Jack McKenzie, Millennials Strategy Group
“A safe assumption is that when today’s children and teenagers reachadulthood, they’re not going to be tolerant of media that’s one-way,that’s not interactive.”
-Steve Outing, Senior Editor Poynter Institute for Media Studies
48 percent of younger users say they learn about new entertainment throughcommunity, review and video sharing sites and blogs—only 25 percent say theylearn about new entertainment through television.
-Media Screen
Active Gen X and Trailing Boomers
Source: Universal McCann
• 60 percent instant message
• 54 percent regularly participate in blogs
• 37 percent use web to compare prices
• 19 percent use social networking sites
• 12 percent use RSS
• 9 percent use podcasts
2: The way we communicate with our customers is not changing.
“The Computer as a Communication Device,” Licklider & Taylor, 1968
So how do I start the conversation?
Social media=anything with a feedback loop
About: MeWho: MySpace, Facebook
About: TopicWho: NYTimes.com, Craig’s List
About: BrandWho: Reebok Run Easy,
Pontiac Underground
About: ProductWho: Amazon, Netflix, Match, Yub
7 principles forsocial media design
Empower personalitiesTap motivationEnable feedbackMaster moderationDon’t talk to yourselfGeek outHave integrity
thoughts onthe future
life streaming
immersive environments
Microsoft Home of the Future, Greg Gilbert, The Seattle Times, 2006
a few examples
MYSPACE.COM - EXAMPLE OF CO-PROMOTION WITHEXPEDIA.COM - EXAMPLE OF UNPAID BLOGGERS
URL:HTTP://WWW.MYSPACE.COM/EXPEDIA
YOUTUBE.COM - EXAMPLES OF CORPORATE DEMO ANDPARODY
CASE-SENSITIVE URL FOR OFFICIAL MICROSOFT DEMO:HTTP://WWW.YOUTUBE.COM/WATCH?V=FlZxuqjJDgk
MICROSOFT SURFACE PARODY:HTTP://WWW.YOUTUBE.COM/WATCH?v=CZrr7AZ9nCY
DEL.ICIO.US
“SOCIAL BOOKMARKING” LETSYOU SHARE YOUR FAVORITE
LINKS AND SITES WITHINTERESTED PARTIES
USEFUL TOOL TO KEEPFAVORITES IN ONE CENTRAL
LOCATION
43THINGS.COM
COMBINES SOCIALNETWORKING WITH
PERSONAL GOAL-SETTING
MAKE YOUR GOALSPUBLIC, GET
CHEERED ON BYOTHERS WITH
SIMILAR GOALS,SHARE SUCCESSES
MEEZ.COM
COMBINES A STANDARDIZED IDENTITY WITH A3D AVATAR
AVATAR CAN BE USED ON MULTIPLE SOCIALNETWORKS - CHANGE IN ONE PLACE,
UPDATES PROFILES ON ALL SITES
TWITTER.COM
MUCH MORE THAN“HERE’S WHAT I’M
DOING RIGHTNOW”
SUBSCRIBE TOTHOUGHT
LEADERES TO GETREAL-TIME
STREAM OF URLs,RELEVANT POSTS,
ANDINSTANTANEOUS
NEWS UPDATES
E.G., MEMBERSINCLUDE TECHEVANGELISTS,WHITE HOUSE
CAMERAMEN, PREXPERTS,
SOLDIERS IN IRAQ,AUTHORS
TWITTERVISION.COM
TUNE INTO ATRULY GLOBAL
CONVERSATION
SEE UPDATES INREAL TIME FROM
PEOPLE ALL OVERTHE WORLD
BE CAREFUL, IT’LLSUCK YOU IN!
FACEBOOK.COM
NEARLY 50% OF MEMBERS ARE NOWOVER AGE 35
THOUSANDS OF PROFESSIONALS INMARKETING, ADVERTISING, PR, INCLUDING
JULIE ROEHM (EX-WALMART), DAVIDKENNY (CEO, DIGITAS), STUART ELLIOTT
(NY TIMES), AND OTHERS AT COCA-COLA,AMEX, P&G, UNILEVER
BIG BRANDS (FORD, TARGET, WAL-MART)EXPERIMENTING WITH GROUP
SPONSORSHIPS
MARKETING 2.0, CONSUMER GENERATEDMEDIA GROUPS ENABLING AMAZING
DIALOGUE
“MADISON AVENUE STAMPEDES ONTOFACEBOOK” (AD AGE)
URL:ADAGE.COM/ARTICLE?ARTICLE_ID=119822
BRIDGEBUILDERS.NING.COM
NEW SOCIALNETWORK FORSEATTLE-AREA
MARKETING ANDADVERTISING PROS
HOPING TO MAKE ITA PLACE WHERE
WE’LL SHARE TIPS,GIGS AND
INTERESTS
JOINT EFFORT BYPUGET SOUND AMA
AND SEATTLE ADCLUB
NOT HIS UNIVERSE ANYMORE:DIRECT MARKETER LESTER WUNDERMAN
MORE THOUGHTS ON WHERE IT’S ALL GOING
Monologue is dying or dead“In the 20th Century, wedid monologue marketing.We did most – if not all –of the talking. And weexpected the consumer tolisten. Now, we’ve movedto a dialogue. Consumerswant to be heard. In fact,they will not tolerate notbeing heard.”
- John Hayes, CMO,American Express
“We are moving fromtechnology push toconsumer pull… frompush marketing to co-creation… from ideamanufacturing toconsumer experiences.”
- Keith Pardy, SVPStrategic Marketing,Nokia
“Agencies are evolving too slowly. They are holding onto the past andtrying to rationalize it.”
- Jerri DeVard, SVP Marketing, Citigroup
“Agencies need to get more integrated, collapsestructures and go digital.”
- Jim Stengel, GMO, P&G
AMC’S “MAD MEN”
MORE THOUGHTS ON WHERE IT’S ALL GOING
Why the big shift?The 50-year-old traffic light is out at the intersection ofCulture, Media and Commerce
Newer audiences less about polish, more about honesty
Traditional limitations of choice (brand/product choices,buying venues, product/pricing data) are gone
Balance of power shifting away from marketersControl the brand? As if.
Customers purchasing based on testimony of other customers, lessbecause of us
And they’re reinterpreting and representing your brand
Massive shifts
Their voices can be asloud as our own
JUSTINE EZARIK AT&T DEBACLE VIRAL
CHEVY TAHOE/APPRENTICE CGM EXPRIMENT
PODCASTERS - DISCUSSING YOUR BRAND?
Why so loud?Because 1) theNet is the firstplace peoplelook, and 2)search lurrrvesconversations!
Massive shifts
SOBERING: The more consumers can find open,honest dialogue about a brand, the more yourfinely-honed message can sound self-serving,inauthentic, and untrustworthy.
Ouch.
What does this mean for clients?As prospective customers become ever more distractedand interrupted, intrusive methods are tuned out
Gains are incremental at best
Security – everyone’s – is often about proving sustainablevalue to the org
Corporate risk aversion runs high
You tend with what you know works
So, new media: should we invest? Where? Who knowswhere this is all going?
Everyone wins
AGENCIES can show innovation, forwardthinking, demo new reach vehicles
CLIENTS can more fully engage markets, havecustomers become advocates, extend brandwithout increasing marketing spend
SNIFFING AROUND
Client management teams will ask…
Should we “be” on MySpace?
Should we open a presence on Second Life?
Do we need a “Facebook strategy?”
What’s this “conversational marketing” stuff?
MOTIVATING THEM TO TRY
Five ways to empower your clientBe their Tony Robbins
Help marketers reposition themselves asthe primary BRIDGE BUILDER between company andcustomer
the CUSTOMER INSIGHTS CHAMPION
Help them use new channels to truly understandcustomer desires, not to merely validate theirexisting strategy
Help them shift from monologue to dialogue
Help them create internal alignment
EMPOWER YOUR CLIENT
Shifting monologue to dialogueKnow the available channels (they change quarterly)
As Pull becomes more interesting, be where yourprospects look for you - SEO important
Dedicate resources to community management
Predetermine your action boundaries
Listen via automated tools
Engage with NEXT customers, not just current ones
ADDLED ADVOCACY DEPARTMENT
“Block my message? Oh no you don’t.”AMA Seminar: “Learn how to get past the filters yourcustomers have deployed.”
Mega fast-food brand: Turning off TiVo fast-forwardfunctionality
Mega beer brand: Tracking down opt-outs throughaffiliated credit bureaus
Are we building relationships yet?
SHAMELESS SELF-INTEREST DEPARTMENT
That’s some tasty Kool-Aid®
June 2007: “The‘Aeropanel’ offersa unique andexcitingadvertisingformat in anuncluttered,relaxed andcomfortableenvironment.”
Yeah…it was.RYANAIR’S NEW AD VENUE
EMPOWER YOUR CLIENT
Create internal alignmentArm marketers with knowledge of trends, case studies
Show examples of low $ investment, high buzz/WOMvalue
Make sure they have brand and message benchmarks tostart with
What are you coming to the party with?
Market needs something to react to before dialogue can begin
Present a strategy to engage customer base withoutpandering to them
No MySpace for MySpace’s sake
RULES OF ENGAGEMENT
Watch the boundariesSet and stick to brand boundaries
When conversation is clearly crossing the line,fearlessly engage detractors in honest dialogue
If talk is within the boundaries, leave it alone!Control issues imply a lack of confidence.
Fear ain’t sexy.
RULES OF ENGAGEMENT
CautionsDO have an authentic presence, but DON’T push messages
DON’T jump in with the same old approach (FB bannerbuys, phony PR blogs, self-interest) – backlash is loud
DON’T underestimate this shift
Make sure you have a dialogue capability
DO use the new channels to increase your own value
DON’T think that everyone necessarily wants a“conversation” with their brands
FUTURESHOCK
What’s in store?
IDENTITY AGGREGATION
Is that really YOU? Are you who you say you are?
REPUTATION AGGREGATION
Others’ public opinions of you and your actions,saved forever and subscribable
ACTIVITY AGGREGATION
Your online behavior, posts, comments, all of it,easily found, forever - and subscribable
ZOOMINFO.COM
AGGREGATINGINFO ABOUT YOU
WITHOUT YOURKNOWLEDGE ANDPRESENTING IT AS
“GOSPEL”
THERE’S A PORNSTAR WITH THE
SAME NAMESHOWING UP INYOUR RESULTS?
NAYMZ.COM
GENERATING AREPUTATION
SCORE ABOUTYOU
A REP SCORE MAYBE HOW WE
CHOOSEBUSINESS
PARTNERS OREMPLOYEES IN
THE FUTURE
PROFILACTIC.COM
AGGREGATINGALL OF YOUR
ONLINE ACTIVITYIN ONE PLACE
SUBSCRIBABLE BYANYONE
VOLUNTARY NOW- COULD BECOME
AUTOMATED
Parting thoughtsExciting, scary, significant time to be in thisbusiness!
Witnessing a massive social transformation andempowerment
More venues and tools to communicate value than ever
There are no experts yet
Lots of opportunities for innovative thinking
Inertia’s a powerful thing.Status quo = go nowhere.
Dip your clients’ toes In - the water’s fine.
LAURA PORTO STOCKWELL
VP, INTERACTIVE STRATEGIST
PUBLICIS IN THE WEST
http://digitaldialogs.com
ERIC WEAVER
PRESIDENT
BRAND DIALOGUE
http://branddialogue.com
