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SOCIAL MEDIA MANAGEMENT SERIES

SOCIAL CARE

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SOCIAL MANAGEMENT AND WIIFM?

• Businesses today recognize the power of digital technology and the impact it can make on their ability to succeed…if not survive!

• Over the past several years there has been an exponential growth of digital technologies (tools, apps, API’s and data) that have become available to help businesses grow their brand and drive to KPI’s.

• Right now your competitors are using these capabilities to connect with your customer to:

– Find and understand their needs and desires…sometimes before they know it themselves– Establish a relationship by creating a persona and engaging with them– Proactively stimulate interest/loyalty/advocacy for their products & services…over yours– Resolve their issues and create a positive perception of their brand…over yours

• Problem is, the vast majority of brands today are reacting to this need by making decisions [and investments] built around traditional ways of doing business and KPI’s used for decades

• Digital strategies are “all over the map” and often created around existing tactics and investments!

• In essence, businesses today have a vision and are making investments…they just don’t know how to connect the dots!

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Tactics

Strategy

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CONNECTING THE DOTS

• Social Management is a philosophy focused around the human element of your customers needs & wants, by creating a platform (a mix of technology, resources & process) to continuously connect with them where, when and whatever they’re doing

• Success is more than just capturing and interpreting quantitative data, its understanding the customer experience journey and understanding the “language” of what consumers think, say and do.

• Why? Because consumers are now continuously engaging with the digital space and leaving their “digital DNA” everywhere they go!

• WIIFM? Using Social Care allows brands to tap into and understand that language and turn problems into opportunity.

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What do consumers think about my brand?

How many of them are out

there?

Who am I missing and how do I find

them?

What is needed to make positive

changes?

What’s my plan to get there?

What resources do I have in place

now?

Where should I invest or partner?

How do I integrate all of

this?

What is success and how do I measure it?

How to I take what I learn and

improve?

Who in my company needs to

be involved?

Care

Vision

Success

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SOCIAL CARE – A CRUCIAL EVOLUTION

Reactive Issue Resolution Proactive Opportunity Development

Engage people with what they expect; it is what they are able to discern and confirms their projections. It settles them into predictable patterns of response, occupying their minds while you wait for the extraordinary moment — that which they cannot

anticipate - General Sun Tzu

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THE DISRUPTION OF CUSTOMER RELATIONSHIPS

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Customer Acquisition & Retention is becoming a major challenge for brands…

Customers have more choices…have limited time and…

are enabled to speak their minds!

More channels than ever to engage

Minimal attention span per channel/ engagement

Advocates have become “madvocates”

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THE BRIDGE BETWEEN THE CUSTOMER AND THE BRAND

• Consumers/Customers use social media to instantly express their needs. Social care can serve as the portal for brands to quickly to capitalize on that information to convert reactive problems into proactive opportunity!

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PR Marketing Legal Product

I want I think I feel I need I like

I hate Help I boughtI have a problem

Social Care

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SOCIAL CARE – WHY IS IT CRUCIAL TO BRANDS?The use of a fully integrated Social Management Platform to drive Social Care is a crucial step for brands to gauge, drive & manage business performance. The ability to hear & engage customers in a one-to-many format, is the most effective way to impact…

- ROI by drastically reducing operational costs

- KPI’s using targeted content, channel strategies and influencers focused on Acquisition & Retention

- Marketing programs by capitalizing on loyalty and advocacy

- Reputation health by connecting real-time in a one-to-many forum, to resolve issues and create opportunity

- Brand growth by connecting and building digital relationships

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Marie Bello Wise CS Agent Sue Skelly at ORD was awesome- got me rerouted to IAD- Beltway traffic is worth it! Thanks United!

United Marie, thanks for taking the time to recognize our agent Sue Skelly today at ORD. I hope this finds you resting at home & ready for the weekend. ^Betsy

Marie Bello Wise Actually, because of CS Sue Skelly, I got to Baltimore to be at my son's Parents Weekend at Loyola University. Again, thank you , United! Hope today is s better day and will tell everyone about how great you were!

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TODAYS CUSTOMER CARE CENTER

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Real Estate

Personnel

Insurance

Benefits

Hardware

Security

Support Training Software Taxes Utilities Redundancy

HR Content SG&A Safety Churn Supplies

Legal

Storage

Vendors

Processes

IT

Furniture

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SOCIAL CARE – MAXIMIZING ROI

• Brands are spending [potentially] millions of dollar per year to manage traditional customer care centers. These high costs make it crucial that brands minimize the amount of calls it receives to lower as much overhead as possible to increase ROI

– Core Call Center metrics focus on First Call Resolution (FCR) and Average Handling Time (AHT) to ensure that issues are resolved quickly and during the first contact

– These costs are translated to the amount of calls it receives and the time it takes to resolve issues = Average “Cost per Call” or CPC.

• Average CPC’s today run around $2.70 - $5.60 per call.

• Example – A center averaging of 100 Reps handling 80 calls per day x 365 days x $4 = $11.68M per year

• Disadvantages of a Traditional Call Center– High operating costs minimize profits

– Issues are resolved offline (telephone) and in a 1-on-1 forum

– No ability to use issue resolution to make meaningful impacts on KPI’s

• Advantages of Social Care– Resolution in Social deflects (Call Deflection) calls from going to Call Centers reducing call

volumes

– Low overhead costs as issues are resolved online within branded channels

– Issues are resolved in a 1-to-many forum real-time, affecting the community and social graphs

– Issue resolution can be used within the digital community to promote advocacy, loyalty and customer relationships to drive acquisition and/or improve retention

– Ability to directly impact Customer Satisfaction (CSat) in a public forum

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* Takeaway – Social Care drastically reduces the major costs and impacts of running a Call Center

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SOCIAL CARE – DRIVING BRAND KPI’S

• Social has become an integral part of the funnel and allows brands to hyper-target Key Performance Indicators (KPI’s) at each level by:

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– Providing consumers with information

– Helping consumers make buy decisions thru peer support

– Providing a platform to grow Retention

– Building loyalty (Advocacy) by allowing consumers to interact with the brand and build relationships

– Recycling content back to community for continued awareness…

Acquisition

Share

Retention

Loyalty

Consideration

Advocacy

Awareness

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SOCIAL CARE – DRIVING BRAND KPI’S

• Social Care provides brands with the ability to impact the funnel at every level holistically and continuously, by engaging with existing & potential customers to manage the customer experience journey…

• The Journey through the Funnel

– Consideration – Ability to use issue resolution as means to connect to customers by correcting misconceptions, create a brand persona and convert negative-to-positive perceptions

– Acquisition – Ability to use customer experiences as a means to hand-hold consumers through the successful completion of the sales process

– Share – Ability to tap into successful sales experiences to reach out to the community and customer social graphs to drive and grow opportunities as well as brand recognition

– Retention – Ability to resolve issues real-time to strengthen the customer relationship and ensure they continue to be satisfied

– Loyalty – Ability to reward and promote customer participation with the brand to increase exposure and opportunity

– Advocacy – Ability to tap into successful customer experiences to engage new customers and invite them to begin the consideration process

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* Takeaway – Social Care turns existing issues into new opportunity at every level of the funnel/customer journey

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Engagement

Re

ven

ue

Op

po

rtu

nit

ies

Net Impact – rewarding engagement increases revenue opportunities!

MARKETING EFFORTS THAT DRIVE BEHAVIOR

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• Connecting communities and influencers through targeted engagement, brands can foster and motivate desired actions

• Providing “social currency” through recognition and status generates advocacy and ultimately, loyalty.

Loyal Customers…

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SOCIAL CARE – IMPROVING MARKETING RESULTS

• Marketing initiatives have traditionally been based on estimates derived from focus groups, forecasts and assumptions on what the mass response will be from the target audience

• Disadvantages of Existing Marketing Processes

– Benchmarks do not exist to truly measure levels of success

– Assumptions from the past are used to determine the future

– There is no way to tap into the customer on a real-time basis to understand their needs and perceptions

– No way to adjust quickly to changes in the marketplace

• Advantages of Using Social Care to Drive Marketing

– Ability to connect on a mass scale to target audiences using real-time data and results

– Ability to adjust campaigns in mid-stream based on results

– Ability to build, grow and nurture the community by identifying their needs and issues to strengthen loyalty and encourage advocacy

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* Takeaway – Social Care allows brands to take issues (both positive and negative) and refocus them into successful marketing initiatives to stimulate customer loyalty and advocacy.

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SOCIAL CARE – PROTECTING THE BRAND

• The impact of Social Media on can be instant, devastating and based on misconception or incorrect data. Responsible journalism to inform based on facts, has been replaced by sensationalism to entertain based on how quickly a topic can go viral.

• Social Care provides a brand with the following capabilities:

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* Takeaway – Social Care provides a brand with the ability to read and respond to issues impact the brand

Correct misinformation, highlight positives, redirect the conversation

Rapid Response

Identify threats, rumors and misinformation before they are picked up by mainstream

media

Early Warning Monitoring

Assess the impact of the threat and determine best strategy for

response

Threat Analysis

Traditional Media

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SOCIAL CARE – EVOLVING THE BRAND

• The key to success for all brands going forward in the “digital age” is to find ways to connect with consumers/customers to establish a relationship

– Brands need to establish a digital persona that cares about the customer, community and environment

– The foundation of this relationship is based on a continuous dialog that allows the customer to express themselves…good, bad or indifferent

– Brands need to reach out as issues develop and demonstrate to the community that they are listening, care, and are open to honest conversation

– Consumers are engaging with brands and expect them to ignore negative opinions and make every attempt to control the dialog

• Consumers not only expect brands to act with human characteristics…they demand it

– Social is their primary means of expressing [dis]satisfaction with brands and can instantly impact them publicly, simply based on a poor brand or care experience

– Negative consumer experiences are no longer an single unreported event…it crosses over the multiple channels and social graphs and…just ask BP, Dell, Dominos or JCPenney

– And the impact isn’t just short-term…it impacts the brands ability to drive essential business needs for years

– Top brands today (e.g. Coke, Pepsi, Nike, Starbucks and Apple) demonstrate human characteristics by engaging with the community as people on the subjects that consumers want to talk about…they support the belief that their brands are run by people not shareholders!

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* Takeaway – Social Care is the gateway for the brand to connect real-time to consumers to develop a long-term relationships

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SOCIAL CARE CASE STUDY

US-based Wireless Company

* A 6-month evaluation of a major wireless/telecom provider averaging 30,ooo+ comments per month tracked in social media

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SOCIAL INTERACTION LAYERS

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Post Sales/Retention

Pre- & Post-Sales

Pre-Sales/Acquisition

Escalations“Non-standard” issues requiring Management intervention e.g.

technical, collections, fraud, legal or security

ConversationsGeneral conversations / questions around products & services

Support“Standard” issues e.g. reading bills, repairs, DoS,

payments, accessories and change info resolvable quickly with Representative

QuestionsSpecific conversations / questions around products / services around

value, pricing, offers

CorporateSenior level intervention

High Risk Zone

Customer Care Issues

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DEFINING THE HIGH RISK ZONE

– Expiring Contracts– Former Customers who still have a grudge– Competitive Brand Loyalists, Technocrats,

Deceptive Marketers and other malcontents who attack brand reputations for suspect ulterior motives

– Consumers who are looking for information to make a buy decision about the brand

• Making the tough “triage” decisions based on highest reward/impact…

Highly Negative – Former customer with grudge,

competitive brand loyalist or technocrat. No contract

Negative – Existing customer with service /product issue – Contract

Expiring

Mixed – Existing customer with service /product issue – Contract

Expiring

Negative – Existing customer with service /product issue – Under

contract

Mixed – Existing customer with service /product issue – Under

Contract

Neutral – Non-customer with competitor – No Contract

Priority 1

Priority 2

Priority 3

Triage

• Specific issues with extremely negative tone, with:

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Customer Care Issues

THE LANDSCAPE – WHAT/WHERE ARE THE ISSUES?

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Does anyone know if I can just buy the blackberry I want and get it unlocked & keep my service? Please help! CNYBlackberryAddict

Conversations (New Acquisition)40.6% of Total Posts*

Questions (Base Retention + Growth)30.4% of Total Posts*

Support (Base Protection)4.6% of Total Posts*

* Conversations tracked via a Social Media Listening platform

I‘ve had Verizon since my family got a cell phone (sometime now) and I just moved to Florida where I have horrible service!!!! I am seriously thinking about leaving Verizon. bill

• A Case Study – A US-based Wireless Company

“I have had an HTC touch phone for maybe 6 months if that and have already had to send it back in 4 times due to manufacturing issues. ccsurfpl

…Customer Service sucks, their phones suck and everyone who is involved with the company sucks. steven vance baton rouge

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WHERE TO START – SUPPORT

• Priority 1 – The High Risk Zone: Highly Volatile/Impact

• Triage – Solve most volatile issues publicly, stop the hemorrhaging!

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“After 12 years with XXXXX, I have become so fed up with broken promises and false advertising that I want

out. 1. The Instink (Instinct) phone was horribly misrepresented as an "iPhone killer. djangoism

plans account new verizon reps hold

credit phone sim return cancel

store not services disconnected monthly

repair rate said broken work dropped

wait transfer paid my customer bill

32%

64%

4%

Positive

Negative

Mixed

Ok I have a cell phone account with XXXXX wireless and I have paid my bill every month on the first of the month for a whole freakin year. So I must say I am a great fuckin customer and instead of making me feel appreciated they screw me over …

kiki

In 2 short weeks XXXXX has convinced me to fire them as my

provider because: 1. Sold me a phone without informing me of the changes I'd need to make to my plan in order to use it's features…

Vulpecula

I called and complained about my poor service at my house. Most of the time I'm

roaming, sometimes one bar… dcigary

Priority 1

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THE SOLUTION – SUPPORT

Focus on the critical core issues perpetuating negativity around the brand• Process – Prioritize, address and socialize• Objective – Solve issues• KPI – Reduce Negative Sentiment in below 60% by EOY 2009• Goal – Protect the Base

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Priority 1High volatility, impact & risk

* Takeaway – Focus first on the HRZ

Issues:• Accounts – Billing, Credits, Overages & Contract

Terms• Products – Handset replacement and batteries• Network – Outages and connectivity• Service Plans – Disconnect, Termination, Renewals,

Features & Changes

What it takes:• People• Management• Execution• Commitment• Follow-up• Closure

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• Short Term – We need to follow critical issues to the end and socialize the “good will” as well as proactively address common issues before they become critical!

• Goal – Grow the Base

THE NEXT RUNG IN THE LADDER

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Priority 2Customers are making decisions on whether to stay

or leave - Retention!

plans iphone speeds clearwire contract

pre verizon technology new launch

4g mobile credit palm nextel apps

batteries coverage roaming pcs at&t

android sprint network fix connect 2010

52%37%

11%

Positive

Negative

Mixed

• New Phones• Phone Repair/Swaps• Apps/Digital Lounge• Handset capabilities/compatibilities• Download speeds

• Roaming• Battery Issues• Minutes• Calling Plans

* Takeaway – Strengthen the existing client base to grow retention

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• Short Term – We need to follow critical issues to the end and socialize the “good will” as well as proactively address common issues before they become critical!

• Goal – Grow the Base

THE NEXT RUNG IN THE LADDER

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Priority 3Consumers are making decisions about their next service provider,

handset, plan and contract terms - Acquisition

• Network & Technology Evolution• New Handsets• Wireless Industry Trends• Carrier SWOT• Hottest “stuff”• Links – NFL, TV Shows, Games

wimax 3g iphone speeds clearwire apps

palm-pre verizon technology 4g launch

mobile at&t nortel wifi iden nextel apple

blackberry t-mobile coverage cdma pcs

android sprint network bars mms 2010

58%30%

12%

positive

negative

mixed

* Takeaway – Channel success to grow new sales opportunities

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azurite blue inc. - we are a consulting firm that has the

experience and ability to help clients articulate their needs

with regards to “all things social,” and create an operational

roadmap to get there!

More importantly, we help design strategies that are based upon executable

tactics and tactics that support achievable strategies!

Contact: Jim Clark – 908-305-8475

jim@azblueinc.com

www.linkedin.com/in/azblue/

Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat – General Sun Tzu