Anne Mc Crossan - Managing Brands and Brand Culture in Social Media

Beans and Pearls

Social business design for finance

Social business design and management

What it means for brands and corporate cultures

‘I believe we will survive and thrive in the new creative age

only if we enlarge both our understanding and

our delivery of creativity’

Sir Martin Sorrell, D&AD President’s Lecture Nov 1996

Creativity as a means of broadcast

‘I believe we will survive and thrive in the new creative age only if we enlarge both our understanding and our delivery of creativity’

But the message isn’t getting through

The social environment

re-defines how to transact and

behave to create value

Permission, trust and loyalty as a

means ofinvolvement

How much do you trust businesses in each of thefollowing industries to do what is right?

Source: Edelman Trust Report - US companies

In the UK, France and Germany, trust in banks,media companies, energy and automotive hasdeclined steeplySource: Edelman Trust Report - European companies

Financial services companies have come off badly in terms of the perceived match between the promise they put out and the consumer experience.Source: Promise Index 2009

% of Top 100 banks inForbes Global 2000 2009that are acknowledged

as having a presencein social media

.

5%

Source: Forbes 2000 2009/Altimeter Group/Visible Banking/Visceral Business/October 23rdt 2009

5%


% of Top 100diversified financial

services companies inForbes Global 2000 2009

acknowledged ashaving a presence

in social media.

How many ofthe top 100

diversified financialservices companies in

Forbes Global 2000 2009are acknowledged as

having a presencein social media?

.

9%


How many ofthe top 100

diversified financialservices companies in

Forbes Global 2000 2009are acknowledged as

having a presencein social media?

.9%


% ofthe 92 insurance

companies within ForbesGlobal 2000 2009

acknowledged as havinga presence insocial media

.

6%


6%


It starts with the identity of the brand as a central organizing thread

Branding is a contact sport…the further apart you are from your audience, the less likely you are able to connect and have an impact with them.

Social business supports formative experiences

Iterative, adaptive fits integrated into business design

Attention

Traditionalmedia

Intention

Then NowBroadcast Involvement

And marketing based on intention and involvement

Protectionism in finance is strong

Opportunity to leverage intangible assets like culture

The economics of automated transaction changes things

task

peop

le

ask tellSource: Keirsey Temperament Sorter

A brand is what people say about you when you’ve left the room, social media isabout being a part of that conversation and there is good news…

80%tacit communication

Source: Karen Stephenson Netform

80%tacit communication

hubs

gatekeepers

pulsetakers


80%learning

strategy

advice

innovation

social

decisionmaking

tacit communication


Increasing employee satisfaction

Decreasing travel costs

Increasing customer satisfaction

Increasing speed of access to internal experts

Increasing effectiveness of marketing

Reducing communication costs

Increasing speed of access to knowledge

35%

40%

43%

43%

52%

54%

68%

20% 40% 60% 80% 100%

Business returns being seen from Web 2.0 Benefits acknowledged by survey respondents (%) Source: McKinsey September 2009

Close to seven out of ten respondents (69%) report that their companies “have gained measurable business benefits, including more innovative products and services, more effective marketing, better access to knowledge, lower cost of doing business, and higher revenues”.

Beans and Pearls 2.0

tangible assets intangible assets

industrialorganizations

commercialorganizations

socialorganizations

utilities causes

A commercial evolution

Visceral Business - Anne McCrossan - www.visceralbusiness.com




socialorganizations

who you are and

what you do

productsand

services

skillsand

approach

cultureand

personality

missionand

cause

1 2 3 4 5

utilities causes

A commercial evolution




socialorganizations

who you are and

what you do

productsand

services

skillsand

approach

cultureand

personality

missionand

cause

1 2 3 4 5

utilities causes

housing

energy charities

pharma trade guilds

councils and public services transport auto travel and leisure

food and beverages membership organizations

financial services

consumer electronics fmcg media and cultural institutions

technology government

mining retail mining



Positioning the brand




socialorganizations

who you are and

what you do

productsand

services

skillsand

approach

cultureand

personality

missionand

cause

1 2 3 4 5

utilities causes

housing

energy charities

pharma trade guilds



financial services






Yochai Benkler Berkman Professor of Entrepreneurial Legal

Studies at Harvard & Faculty co-director of the Berkman Center for Internet and Society

‘The personal computer changed the basic model of capitalization of information, knowledge, and cultural production.

Computation, communications, storage, sensing, and capture devices are now widely distributed.

These, in turn, enable the effective deployment of the other core input into the global information economy - human creativity, wisdom, insight, and perspective.’

‘Capital, Power, and the Next Step in Decentralization’ Essay, Sept 16th 2009

Strength of leadership Market worthTechnological capability

Clarity of business intent and openness of operations

The business has defined social benefit and quality of outcomes

The degree to which the business model canvas is defined, the environmental, social and economic benefits of the business are articulated and the business is clearly positioned

Percentage of people within the organization engaged in social media

Levels of sentiment, inside and outside the organization and strength of reputation across products and services, innovation, workplace, governance, citizenship, leadership and performance

Churn, recruitment time and costs involved of employee

Channel reach, social capability, and type of engagement profiles Network mapping across the organization’s hierarchies, communities of interest and trust networks

Open innovation capability and activities

Real-time open-data management capabilities Processes to measure proximity and collaboration

Auditing processes, benchmark setting and monitoring capabilities

ROCE/Market capitalization (Forbes/Fortune/FTSE metrics and public analyst opinion)

Brand value

Reputation and customer satisfaction metrics Human capital value measured by the ratio of brand valuation to market capitalization by employee

Share of voice (measuring conversations that take place online, levels of reach in the market across multiple channels using listening platforms and social media KPI’s)

Media spend ROI (measuring the % of spend to return)

Levels of engagement

Average new revenue per customer and lifetime value per customerVisceral Business - Anne McCrossan - www.visceralbusiness.com

Source: Visible Banking www.visiblebanking.com




socialorganizations

who you are and

what you do

productsand

services

skillsand

approach

cultureand

personality

missionand

cause

1 2 3 4 5

utilities causes


housing

energy charities

pharma trade guilds



financial services





affinity is stronger than structure


So the question is: How can you connect with ‘the people formerly known as the audience’?


The web makes trading more granular and accountable

The Evolution of Social Software in IBM. Small Blue Research Study. http://smallblueresearch.ibm.com

The value of each person in your address book is $948

When friends of your friends are not friends of each other or belong to the same social group = 276.64% increase in monthly revenues

One strong link to your manager is worth $588.2/m

One weak link to your manager costs $98.48/m

Having managers in a project is correlated with team performance initially

Too many managers in a project is negatively associated with team performance

Strong ties to executives is positively correlated

Attributes of your network human capital, power and status have a unique relationship with work performance.

A place where personal worth and corporate worth combine

The Evolution of Social Software in IBM. Small Blue Research Study. http://smallblueresearch.ibm.com

‘all value is perceived value, andpersuasion is more effective than compliance’ Rory Sutherland, Chairman IPA, TED Oxford June 2009

Back to behavioural economics

‘you can’t fake community, you can’t force it, either’ Chris Brogan

Involvement pwns broadcast

‘People will forget what you said, they’ll forget what you did, but they’ll never forget how you made them feel and what

you inspired them to do.’

credible and compelling

credible and compelling

cre

dib

le

compelling

Your business must be aware of, and leveraging, its DNA

And realize cultural value as part of social business design

A business model to describe the way you intend to make money by creating and delivering value collectively.

Alex Osterwalder – Business Model Generation http://www.businessmodelgeneration.com


Business model co-creation


Business model innovation




















frequency of use

nu

mb

er

of

ch

an

nels

low

hig

h

low

highSource: Altimeter Group

emotional commitment

inte

llectu

al

un

ders

tan

din

glo

wh

igh

low

high

3 core KPI’s


A biological organization

And also an insurance policy and safety net

Collaboration creates new dimensions of value across an organization

Your organization has a unique DNA and culture worth cultivating

Connect with the business case strategically, go beyond tools and channels

There is no internal and external in the social organization

Social leadership skills and management capabilities are core to success

Establish pools of interest around your business capable of generating attention, contribution and wanting to connect.

Copyright © 2009 Visceral Business

Photos and creditsSlide 1 : Coffee beans by Incasa Coffee http://bit.ly/1NvtHhSlide 1 : Pearl farming 02 by nataliebehring.com http://bit.ly/4vOuvMSlide 19: Rope-pulling by vavara lozenko http://bit.ly/4Au1SFSlide 21: Arm wrestle 2 by deejaynye http://bit.ly/2SvFdSlide 22: We’ll walk hand in hand some day! by Werner Schnell (1.stream)

http://bit.ly/3TIMJ6Slide 24: Image Visceral BusinessSlide 25: Bank Vault – 003 by Jason Bethchel http://bit.ly/29iDYWSlide 26: Where is going the stock market ????? by pfala http://bit.ly/4zUR86Slide 27: Image source not knownSlide 31: Smile by jiggskykeken http://bit.ly/2cvjqJSlide 31: Work in Progress by Katherine Treffinger http://bit.ly/FfT0uSlide 31: Post Office by Suzy Pym http://bit.ly/FW8nDSlide 31: Driving light by Crankydragon http://bit.ly/19jNBCSlide 32: Image not attributed taken from Seth Godin’s Tribes presentationSlide 33: Saving by Ken Wilcox http://bit.ly/1YJkmbSlide 43: Managing the Brand by Tom Fishburne http://bit.ly/t2RjESlide 49: Reputation Statement of Account by Jason Tester 2004Slide 50: Contribution text via @Sparkbouy and IBMSlide 50: P1050180.JPGby l.million http://bit.ly/2FBEOaSlide 56: New spectacles by Steve Green http://bit.ly/LvyNaSlide 56: Time to play by qcomplex5 http://bit.ly/e0qsDSlide 56: 4 by 3littleboyz http://bit.ly/2R5asISlide 56: My Name is Not Clark Kent! Carlos Norbero http://bit.ly/JFlIlSlide 58: Slide 26: Where is going the stock market ????? by pfala http://bit.ly/4zUR86Slides 61 – 72 taken from Business Model Generation by Alex OsterwalderSlide 73: I ate 6 by Farl http://bit.ly/4sMMZQSlide 73: Butterflies in my head by Kees Straver http://bit.ly/ooIpNSlide 73: Wallfower by Cognitive Ambition http://bit.ly/YcOjVSlide 73: Rainbow Coloured 319 by CrashCalloway http://bit.ly/2sTaGJSlide 74: Passively bystanding by Lo Li http://bit.ly/odsabSlide 74: The weakest link by Darwin Bell http://bit.ly/FAPcNSlide 74: Target Day 2 by Mikey Sachs http://bit.ly/O09OsSlide 76: Image source not knownSlide 77: Web 2 by Aldo Trim http://bit.ly/2aNQ0b

Economy & Finance

Anne Mc Crossan - Managing Brands and Brand Culture in Social Media