March 24th, 2009 by Arie
Original Article by David Nelles
Social media marketing only works when a user gets a real added value through his/her engagement. This means: The interaction with brands in user generated channels must result in a measureable ROI for users, as to achieve successful marketing in this area. Thereby, in his latest post – Tom Smith opts for a change in perspectives regarding this matter. It’s not about the added value of social media for companies but instead it’s more about the added value of big brands’ social media activities for users. Smith derives eight advantages for consumers through social media marketing:
1. Social media can transcend the “black box brand” of the past into a transparent dialog partner. Social media enables user a peek behind the scenes of a brand.
2. Social media differentiates bad products from good ones. Thanks to social media, it’s easier for users to get information about specific products before buying decisions are made.
3. Social media is the perfect channel for customer service. Comcast, Dell and Southwest are few of the best examples. The basic for brands should be to actively present themselves where the target group is, as to always be there for the costumers.
4. Social media allows users to take part in product innovation. The keyword is crowdsourcing for the creation of better products. Tchibo, Dell and Procter & Gamble show how companies can involve consumers in product development.
5. User decides if he/she wants to interact with brands. In classical online marketing, users didn’t have the power of choice to decline massive brand messaging.
6. Social media efforts of big brands are the prerequisites for a free of charge usage of Facebook&Co. However, for a continuous availability and development of social media platforms developers need the money, which would come from a booked and well-planned marketing campaign of big brands.
7. Big companies have interesting stories to be told. Brands like Daimler and Coke do have stories of their own and they certainly offer consumers real added value.
8. Brands in social media are alive through users. One way or another, users’ conversations about brands would take place, regardless of whether brands are choosing to be actively engaged or not.
In the end, it’s quite evident: Social media marketing i.e. active brands in social media offer users a real numerable added value. It starts with transparency through direct customer service and the power of choice, where users can decide for themselves whether they want to be exposed to brand messaging: users benefit obviously from this 2.0 brand communication. This user’s ROI is the key indicator for the success of a brand in user generated media. Brands communication in social media ignites two-way added value, both for users and brands. This applies only, if marketers abide to above mentioned added values. Hence, keywords like transparency and authenticity should be the core focus.
March 13th, 2009 by Arie
Original Article by David Nelles
Even for companies in B2C area, it’s quite evident that social media serves as a very efficient communication channel in the area of marketing and company’s communication. However, what about the use of social media in the area of B2B? Does a digital and interactive dialog with decision-makers i.e. buyers in user generated media make any sense at all? In regard to this question, Forrester published a survey with quite astounding results. Josh Bernoff described one particular result as followed:
91% of these technology decision-makers were Spectators — the highest number I’ve ever seen in a Social Technographics Profile. This means you can count on the fact that your buyers are reading blogs, watching user generated videos, and participating in other social media. Note that 69% of them said they were using this technology for business purposes.
Why should the communication behavior of private consumers change? Even buyers in companies use user generated channels just like private persons. Sure, the results of Forrester’s survey are referring only to buyers’ behavior from technological sector, but these findings are actually also a good indicator for the global development. A successful and modern B2B marketing should be able to adjust to the shift of media use. But, how should marketers act in B2B area? Just like in every starting process of social media strategy, a detailed market analysis is also needed in B2B:
• Conducting research to understand more about a prospect’s or client’s “buying desires.”
• Finding decision makers for certain products and services.
• Extracting names from a given community for lead generation.
• Getting answers to questions, reaching out to other experts.
• Finding joint-venture marketing partners and creating various “cooperative opportunities.”
Such analysis of target group, multipliers and brands relevant themes can only be the first step to take for the B2B marketers in social media. Besides consumer insights, a well founded Netnographic can also show the way into the relevant communities. Why shouldn’t companies use it? It is certainly advisable for companies to get into direct dialog in user generated platforms with their respective target company i.e. with the person in charge.
For example, it would offer the possibility for a wood processing manufacturer to be active in a carpenter forum. At the same time, it’s not about switching on banners, but foremost it’s about getting into direct dialog with carpenters about daily requirements of wood processing etc. With such dialog, the company can also manage their existing customers in the sense of digital CRM in respective platforms. In the end, a B2B company must implement their brands in user generated platforms to get into dialog with target group. Just like in B2C, such action would convey the brand image and awareness of buyers in respective company. Thus, the improvement of the two mentioned parameters could lead to a sustainable customer loyalty as well as new customers.
Besides the improvement of brand image and awareness, could a good B2B strategy in the area of user generated media actually boost innovation leadership of the company in the respective segment? Well, e.g. A blog – in which employees can classify branch news, comment and even describe the market development and trends – could actually provide strategic benefit for the company. Let us assume, that the results of Forrester survey in regards to the use of social media for company’s buying decisions in the technological area also meet the requirements of other branches, then a corporate weblog, podcast or video channel can be the perfect channel to underline the innovation leadership. Eventually, an image as innovation leader can leave traceable impacts on buying decisions of other companies.
It’s quite obvious that marketing in social media doesn’t exclusively apply only to B2C marketing. Even buyers in companies are increasingly using user generated media to inform themselves before making buying decisions. U.S companies such as Intel, Chevron and Millerwelds show, how it could work, and as shown by the case of Westaflex, German companies are also active in this matter. This development evidently shows that in the area of B2B marketing social media is already being used. Hence, the area of user generated media belongs as well to a fixed part of marketing mix for B2B marketing area. Justin Hitt is right, as he says:
Social media is something I added to my existing mix, in some ways it does it better (saving time, money, resources).
February 25th, 2009 by Arie
Original Article by David Nelles
What kind of myths in the context of social media marketing are actually NOT out there? Starting with the notion that social media marketing is for free, up to lack of measurability in this area. Often, one hears from marketers about the use of social media for the company’s benefits, which fit into the myths. I’ve summarized the Top 4 Myths in the area of social media marketing:
Myth #1: Social Media Marketing is cheap, if not free.
True is, social media tools are in most cases free for users. One can set up a free Wordpress Weblog, sign up for Twiter Account, and use Digg for social bookmarking or create a group in Facebook. However, it is essential for companies in social media to interact and get into dialogs with their customers in these free platforms. Meaning, companies must create a proper concept to begin with, and then integrate this concept into the existing company’s communications strategy. Thus, these efforts are tied to time and money. For example, a big advertising campaign in social media can cost up to six figures.
Myth #2: Social Media Marketing guarantees instant success.
Yes, it’s true; sometimes one can achieve huge marketing success in social media within the shortest period. One needs only one thing: Luck. Basically, time factor counts the most in the area of social media, since a sustainable and authentic dialog with consumers does not happen overnight. Marketers should not expect an immediate success of social media activities: corporate Twitter with more than 1000 followers or corporate weblog shows 15,000 unique users daily.
Myth #3: We do it best in-house.
If names like Robert Scoble or Jeremiah Oywang belong to circle of employees, then this argument could be justified. Otherwise such intern social media experts are really hard to come by in German big companies – of course with few exceptions. Thus, German companies do rely on support from external specialists for the concept and implementation of social media activities. Until companies enclose the first Heads of Social Media, like Scott Monty, as connector between marketing and company’s communication, more time would certainly be required.
Myth #4: Success in Social Media Marketing is not measurable.
If one takes the classical parameters of online marketing as scale, then this myth is reality. The success measurement of performance based marketing strategy doesn’t fit in the area of social media. But this doesn’t automatically mean that the success of social media is therefore immeasurable. A successful marketing in the realm of user generated media lies not in leads and sales, but in brand awareness and brand reputation. Meaning, the performance success of social media can be seen in conversation’s participation in weblogs, forums, communities and Twitter about brands as well as the tonality of statements.
January 15th, 2009 by Nils Maier
At first glance, it seems quite obvious – for the company in the area of social media – who is actually in charge of the communication with the consumers. Thereby, both marketers and communicators execs are the ones, who stand out the most, since it is after all their tasks to provide the market with powerful brands and brand’s messages. However, this presumption is only true on first sight. The old classical types of marketers are unfortunately loved to talk but seldom do they listen. Well in the era of social media, this good old push campaign without any feedback channels is definitely out. Social media leads marketers in an entirely new and different communication environment. Here, companies, brands and consumers are on the same level and they correspond respectively to one another – a two way conversation as to speak. This mutual both ways of influence means that marketing and company’s communication should pursue an authentic dialog with consumers, and yet marketers are often having troubles to do just that.
With swift and strong changes regarding the usage of media by target groups, decisions maker should ultimately break away – better soon than later- from the deep rooted belief that only marketing department and company’s communication of one’s company are the ones who should communicate with the outside world. A good networking products developer can definitely generate high coverage and more attention by using social media, compared to only just few ads campaigns. Foremost, decisions maker should take this fact as a chance instead of a threat. As foretold by Charlene Li concerning the year 2009:
everybody becomes a marketer…their front line workers will go about quietly, unobtrusively interacting with customers, partners, and other employees within their social networks. Examples like @comcastcares Frank Eliason or “Nuts About Southwest” blogger Gordon Guillory (who is a mechanical engineer) point to the democratization of social media within the enterprise.
Probably they are employers, who do actually help the company in getting the message out there in a really “social” way – e.g. like Guillory from Southwest. Rohit Bhargava affirms also the good possibility of Charlene Li’s way of thinking for brands and companies in the area of social media.
Find a way to embrace your accidental spokespeople. In the social media era, anyone can be a spokesperson for your brand, from regular employees to passionate customers. Find a way that your brand can connect with these voices and amplify them.
Rohit goes even a step further with his proposal; maybe marketers should consider using their own target group as multipliers.
It’s not of importance, whether it’s done by a networking or passionate consumer or even just a single employer. The marketing success for the companies will surely sky rocket in user generated channels through this kind of activities. Thus, an authentic communication with consumers is actually generated and well perceived. It’s not a real alternative for companies to not communicate with consumers online out of fear for losing control of their brand’s message. Brands communication does take place in social media and it gets even stronger and more intense. Hence, no companies can afford to ignore a direct and authentic consumer dialog. Nothing is worst then not taking part in a public discussion of one’s own brands.
