Social Media: the Wild West of Corporate Communications

Professor Ralph Tenchand

Dr Brian Jones Leeds Business School

Leeds Metropolitan University26-28th October 2011

How do businesses and corporate communication professionals manage CSR messages in an unruly, largely unregulated social media environment?

Key question

Social Media

Changing lives Co-creation Changing business Old (media) world, new world Web 2.0 and corporate

messaging EU communication directors

survey findings Re-thinking communication

strategies

Core Argument

We argue that the creation of value is in part determined by the co-creation of message. Co-creation of message lies at the heart of social media.

Amalgam: podcasts, wikis, twitter, social network sites

Web 2.0 user generated content (OECD, 2007)

Co-creation, collaboration Changing business and society Downsides (OECD, 2007):

- inclusion, security, privacy, cultural fragmentation

Social media context

The world of social media

Social media

Wikis

Blogs

Social networks

Podcasts

Mail groups

News groups

Forums and chatrooms

Communicating CSR

A redrawing of the rules for communicating CSR and Corporate Social Irresponsibility

How a company’s CSR offering is perceived and the image their audience has is not only shaped by their communication efforts, it is in part a product of social media online conversations

Voices, views and opinions

User generated comment is a key element of the communication mix

Social media allows a company’s stakeholders to co-create brand image and reputation

Risks have to be managed

Growth of On-line communication

Chart 1 Online communication and social media activities:Importance has grown steadily during the last five years

11.5%

38.4%

54.4%

12.4%

44.0%

58.1%

19.5%

43.8%

58.6%

26.7%

56.8%

67.8%

40.5%

68.2%

74.8%

Social media (blogs, podcasts,communities)

Addressing online media

Online communication (websites, e-mail, intranet)

2011 2010 2009 2008 2007

www.communicationmonitor.eu / Zerfass et al. 2011 / nmax = 1,146 PR professionals; Q 11; Zerfass et al. 2010 / nmax = 1,914; Q 6; Zerfasset al. 2009 / nmax = 1,863; Q 5; Zerfass et al. 2008 / n = 1,524; Q 3; Zerfass et al. 2007/n = 1,087; Q 4: How important are the following methods in addressing stakeholders, gatekeepers and audiences? (1 = Not important; 5 = Very important; important = scale poin ts 4-5).

Important instruments for addressing stakeholders

On-line communities

49.8%

39.5%

28.3%

32.5%

27.9%

16.5%

21.5%

15.8%

14.0%

10.0%

44.6%

38.4%

30.9%

26.3%

17.2%

16.8%

9.5%

Online Communities (social networks)

Online videos (moving images)

Weblogs

Microblogs (Twitter)

Photo sharing

Social bookmarks

Slide sharing

Wikis

Podcasts (audio)

Virtual worlds

2011 2010

www.communicationmonitor.eu / Zerfass et al. 2011 / n = 2,209 PR professionals; Q 13; Zerfass et al. 2010 / n = 1,955, Q 13: Can you indicate the level of importance for communication management today and in the next year of the following communication tools ? Scale 1(= Not important) - 5 (= Very important); considered scale points 4-5. 2010 data not available for newly added items. Significant differences between assessments of channels in the 2010 and 2011 survey with the exeception of items "Podcasts" and "Weblogs" (T-test, p ≤ 0.01).

Chart 2 Social media channels: Online communities are leading the field; podcasts, wikis and weblogs have lost

relevance

Important tools forcommunication management

Social media guidelines and monitoring tools

Chart 3 Social media guidelines and monitoring tools have evolved stronger than expected

39.6%

33.3%

21.3% 21.1%

31.8%

25.9% 25.7% 25.8%25.6%23.9%

15.2% 15.1%

Social media guidelines for communicating in blogs,

twitter etc.

Tools for monitoring stakeholder communication

on the social web

Training programmes for social media

Key performance indicators for measuring social web

activities

Implemented in March 2011Planned implementation until the end of the year in March 2010Implemented in March 2010

www.communicationmonitor.eu / Zerfass et al. 2011 / n = 1,572 PR professionals in communication departments; Q 15: Do any of the following measures exist in your organisation? (Already implemented; Planned for 2011; Not currently planned); Zerfass et al. 2010 / n = 1,955; Q 14: Has your organisation already implemented one of the following? (Already implemented; Planned for 2010; Not planned yet).

Governance structures for social media

Chart 4 Governance structures for social media are still missing in most communication departments

39.6%

33.3%

21.3%

21.1%

30.3%

24.7%

27.9%

30.7%

30.2%

42.0%

50.8%

48.3%

0% 20% 40% 60% 80% 100%

Social media guidelines for communicating in blogs, twitter etc.

Tools for monitoring stakeholder communication on the social web

Training programmes for social media

Key performance indicators for measuring social web activities

Already implemented Planned for 2011 Not planned yet

www.communicationmonitor.eu / Zerfass et al. 2011 / n = 1,572 PR professionals in communication departments; Q 15: Do any of the following measures exist in your organisation? (1 = Already implemented; 2 = Planned for 2011; 3 = Not currently planned).

Private use of social media

Chart 5 Private use of social media:18 per cent of communication professionals are not

very active

www.communicationmonitor.eu / Zerfass et al. 2011 / n = 2,209 PR professionals; Q 20: How often do you use social media platforms (Facebook, Linked-In, Twitter, etc.) for private reasons in your leisure time?

56.1%

25.6%

13.6%

4.7% Daily

Several times per week

Less than once or once a week

Never

Social media is used to challenge as well as defend CSR activities

Scope for communication professionals to make more use of social media

Social media is about participation, involvement and co-ownership of CSR messages.

Findings and observations

A good online CSR reputation can potentially strengthen corporate image and reputation, and add value and competitive advantage to the business

New empowered audience of clued up customers and 24/7 online writers and activists produce news content

Poses real challenge to companies in general and in particular to communication professionals and PR departments

Findings and observations

Which direction are we travelling?

Summary: Wild West of social media

Effective online CSR reputation management can with a degree of certainty be asserted to be about community conversation, participation and collaboration.

Quasi social interactive chaos Ideas and opportunities emerge Communities of interest