Archives for posts with tag: strategy

In our last post, we talked a bit about leveraging social media to drive demand and lead generation. Today, let’s start talking about the basic mechanisms behind that. It’s a pretty big topic and we want to try and get down to actionable how-to stuff for you, so we’ll have to do this in three or four parts. Today is Part 1.

1. Start with a great product.

Sure, this seems so simple that it goes without saying, but… well, it is overlooked more often than you think. Corners get cut, things get rushed, budgets fall short, companies miss their window of opportunity and the result is too little, too late, and the burden falls on marketing, PR, sales and the social media team to make it all work anyway. It happens every day and no company is immune, so we don’t want to pretend that it doesn’t happen.

Here’s the cold hard truth: if your product isn’t really valuable to your market, it’s just going to sit there on that shelf. It doesn’t matter much how much “social media” you put behind it. All that money you are spending in marketing and advertising to “build awareness” for your brand and product is being wasted on trying to put lipstick on a pig. What are the odds that you’ll actually be able to pull it off? How much money are you willing to throw at a problem that no amount of marketing or social media can fix?

More to the point, what happens when your newly acquired customers finally move from awareness to desire to purchase and… your product isn’t as great as they expected it to be? Do you think that more Facebook activity will help? (It won’t.) More digital monitoring? (Nope.) The best marketing and social media program in the world won’t save you if your product isn’t a winner. So before you put too much work into your social media program’s lead and demand generation strategy, make sure that you have something worthwhile to drive people to. Otherwise, you’re just wasting your time and ultimately working to turn people off.

What makes a product a winner? It depends. It could be design. It could be price. It could be reliability. It could be the aura of quality that your brand provides, even if the product itself is only slightly better than your competition. It could have more to do with great customer service and shopping experiences than the product itself. It could solve a problem more effectively than anything else out there. It might just look nice, weigh less, work better, boot up faster, have better ergonomics… We could literally go on and on and on about what might give a product a definitive market advantage. The point is that it needs to have at least one, and the more of them, the better. Before you launch into a social media campaign, figure out what you want to talk about.

2. Make sure you aren’t focusing on the wrong outcomes.

We learned yesterday that 83% of B2B organizations using social media use it primarily to raise awareness, but that less than 35% use social media for demand generation. That’s shocking, so let’s change that right now.

You should know by now that beating a “like us” and “follow us” drum isn’t getting anyone very far. If you like giving away iPads and 20% off coupons, great. Do it. But be aware that a like drive on Facebook or a “follow us” campaign on Twitter don’t exactly focus on generating leads or demand. They focus on generating likes and followers. So before you spend a lot of time on convincing volumes of people to “like” your Facebook page even though many may never become your customers, spend some time thinking about the outcomes that these likes and follows are meant to drive. Remember that you aren’t on Facebook to attract likes. The value of a like to your business is precisely zero. A million likes on Facebook don’t alone drive the slightest bit of demand, so don’t kid yourself for one second about that.

If, however, you focus on attracting customers to Facebook so you can interact with them in a way that is valuable to them, then you will be able to convert some of those likes into actual dollars. Your business needs you to drive leads and demand, not likes and followers. It isn’t to say that your business shouldn’t try to grow its communities on social channels (it absolutely should), but remember to stay focused on the key business outcomes that your social activity will be driving.

3. Make the customer journey an integral part of your social demand generation program.

Understand where your fans, followers and subscribers are in their customer journey. The easiest way to do that is to divide them into three basic categories: a) not a customer yet, b) new customer (not loyal yet), and c) loyal customer. The types of behaviors you want to drive from members of each of these three groups are different, which means that the focus of your content, conversations and interactions will be different depending on which of these groups you happen to be targeting at any given time. (And yes, you will always be targeting all three simultaneously.)

Put simply, the core of your activities in social media (and elsewhere) will be split into three areas: a) customer acquisition, b) customer development and c) customer retention. Do you see how just by doing this, you change the focus of your social media efforts from likes and shares and clicks to actual business-focused outcomes?

Do a quick test: right now, are you able to select ten random likes (fans) on Facebook or ten random followers on Twitter and tell me where they belong on that a/b/c scale? Which ones are prospects?  Which ones are new customers? Which ones are long-term, loyal customers? If you have no way of determining that right now (no way to connect your CRM database to your social accounts or no account teams who can connect the dots for you), you need to fix that as quickly as possible. If you don’t, you won’t be able to legitimately generate demand and leads from your interactions across social channels.

One last tip: Don’t focus all of you efforts on like/follower and customer acquisition. Focus at least as much on customer development and customer retention. THAT is where social media channels truly shine anyway (mass media and traditional marketing often do a better job of creating quick mass awareness than social channels), and driving business from existing customers is a lot more cost-effective than driving business from new customers. How much more effective? Here is your answer (courtesy of Bain & Co):

On average, it is about 6x cheaper to drive a sale from existing customers than it costs to drive new business through customer acquisition. The question you have to answer now is “where are my money and attention better spent: on acquisition, or on development and retention?”

Think beyond the acquisition piece. It’s only one third of what you should be focusing on. Build value. Build relationships. Build loyalty. Build word-of-mouth channels. Work smarter in the social space.

We will revisit the topic of acquisition, development and loyalty again (and in more detail) in Part 2.

4. Make sure that you aren’t trying to drive the wrong conversations.

“Check out our latest blog post” is going to pull some traffic. And if you tweet about it every 78 minutes from 8:30am until 2:30pm, you will probably double the traffic you would have gotten had you not tweeted about it. Multiply that by 3-5 posts per week for over 50 weeks every year, and your blog’s “content strategy” (even if it efficiently rolls through the social media expert, journalist, PR maven, oversharer, affiliate community member, agency guy, blogger, SxSW speaker wheel of interest) is going to get old fast. What can you possibly write about almost every business day that will actually be of interest to your community? Your products don’t have that many features. Your office’s cupcake parties aren’t that interesting. There might not be a blizzard outside your HQ for another three months. So… how are you hitting all the right notes?

Here’s a tip: Listen. Listen to your community. Listen to online conversations. Browse comments in blog posts that relate to some problem your products help solve. The more you listen and read relevant content that isn’t your own, and the better you become at it, the easier it will be to figure out what you should be talking about, asking about, publishing and chatting about. Here is a short list of some of the things you should be listening for:

  • Complaints about your products and/or company.
  • Complaints about your competitors’ products and/or companies.
  • Wishes. (“I wish that my [insert product category here] would do [insert new value-add feature here].)
  • “How do I” questions relating to keywords relevant to your world. (If you are an airline, “what’s the best way to book a flight from my iPhone?” is the kind of question you want to look for. It prompts conversations that can help you introduce a prospective customer to your awesome smart-phone app.) Hint: help people solve problems. If you can’t solve them yet, work towards a way that you will be able to in 3 months. Or 6 months. Or a year. Listening to their problems and questions will help you build new centers of value that will in turn help make you more attractive to new and existing customers.
  • Comparison questions. (“iPhone or Droid?” tells you that someone is looking to buy something. If you’re a Samsung reseller and you look for those kinds of product mentions across a variety of social channels, you can reach out and perhaps influence a decision.)

Also look for discussion groups, user community groups, relevant hashtags, etc. It might take a little trial and error, but you will figure it out quickly enough. And if we can help with that piece of the puzzle, even better.

We might have to revisit this specific topic in more detail at a greater date, but you get the idea: Set up a listening practice whose purpose (at least partial purpose) is to look for demand and lead opportunities. If a question or topic comes up often enough, write a blog post or two about it. Produce a few videos and post them to YouTube. Create an infographic or a presentations that you can post to Pinterest or Slideshare. That way, every time it comes up from that point on, you can just link to it. Aside from the time-management piece and the SEO benefit of doing this, you will be sure that your content addresses actual questions and issues that consumers are dealing with in the real world. That’s valuable, and if you do it right, your social channels can become valuable all day long, every day of the week. So from now on, don’t just push marketing content on social channels. It isn’t enough.

Stay tuned for Part 2. We’ll get a little more tactical.

In the meantime, come by and say hello on Facebook, check out our no-spam zone on Twitter, and of course, check out our Tickr monitoring dashboard. (There’s a free version, a pro version and an enterprise version, so we have you covered.)

 Cheers,

The Tickr team.

by Olivier Blanchard

As the year ends and you start to meet internally to discuss next year’s planning, it might not be a bad idea to think about the changes already underway when it comes to media consumption, channel erosion, technology shifts, and what this all means to your business. Hopefully, this post will help you make smart decisions about where to focus your attention, efforts and funding in the next 12-18 months. No need for us to write a white paper on what it all means. We want to give you the information you need without saddling you with filler, so expect some bullets and key takeaways, but the graphics we have selected should speak for themselves. Pay attention and you should be able to connect the dots all on your own.

Let’s start with the graphic at the top of this post: Global Media Consumption per week 1900-2020. What do you see?

1. The main line: Global media consumption doubles every 25 years or so. Bear in mind that there are only 24 hours in a day, so that curve eventually levels off (even with second and third screens… but we won’t get into that today).

2. The nature of media is changing: 5 years ago, 50% of media was digital. In 8 years, that ratio will be 80%. Think about that and what it means.

3. Individual performance of specific media:

Print is steadily shrinking and has been since the 1940s, contrary to popular lore about the internet killing print. This is not a new phenomenon. It’s accelerating, sure, but it isn’t new. TV started that trend long before most of us were born.

Analog TV and radio formats have been replaced by digital formats. Radio has been relatively flat for a very long time. TV saw enormous growth from 1940 to 1980 but has been relatively flat ever since. Note that this graph doesn’t look at the growth of channels (channel proliferation and fragmentation, but consumption only. Adding 100 new TV and radio channels per day wouldn’t affect consumption).

Outdoor has been relatively flat for over a decade, as has been cinema.

So what’s growing? You already know: Internet, mobile (wireless) and games.

Speaking of mobile:

What this graph tells us:

Mobile cellular subscriptions are steadily increasing worldwide each year, as is the number of internet users. Active mobile broadband subscriptions are also growing quickly. That’s the black bar on the graph. It isn’t even there in 2006 but by 2010, it already reaches about 1 billion.

What’s flat (or close to flat?) Fixed broadband subscriptions and fixed telephone lines.

What does this graph show us?

1. Look at the relationship between internet users (green) vs. Fixed broadband subscriptions. What do you see? There are far more internet users than broadband subscriptions. Part of the reason for that is that one broadband subscription may serve an entire household or office, but there is more to it than that: Mobile broadband. More and more people now access the web through mobile devices. It isn’t to say that PCs are dead, but this indicates a pretty key shift in how people (it’s okay to call ourselves consumers) now access content and information.

2. Look at the relationship between fixed and mobile broadband (pink and black, respectively). In 2006, fixed broadband was it. By 2008, they were essentially tied. By 2011, mobile broadband was double the size of fixed broadband.

Bear in mind: Mobile broadband subscription = 1 user. Fixed broadband = several users. It’s simple math. Regardless of the apples to oranges comparison, growth is growth. Shift is shift. 75% of media will be digital in just 4 years. 80% of it will be digital in 8 years. Mobile devices are becoming the interfaces of choice for digital content. If you aren’t building your business processes and designing your content with this in mind, don’t blame “the economy” for what is about to happen to your market share.

Now let’s look at a quick graph on the relationship between age and internet use in developing economies vs. developed economies:

 Now look at this:

See the change in just 5 years?

Here’s another one that should make you think a bit, especially if your company has a global footprint:

Three things:

1. Globally, 45% of internet users (regardless of the interface) are under the age of 25. Though it may be obvious to most of you, don’t take for granted that every CEO and CMO has figured this out yet: It doesn’t matter if your typical customer is mostly over the age of 35. In 10 years, those 25-year-olds will be potential customers and they will expect you to do business the way they want you to do business. Better start working on them now. And while you’re at it, better start working on bringing every aspect of your business and its marketing/communications up to speed. You wouldn’t believe how many senior executives completely miss this.

2. Developing economies have some catching up to do when it comes to internet use, but they are quickly closing the gap.

3. Look at the growth of 3G penetration between 2009 and 2014: From 39% to 92% in Western Europe. From 9% to 40% in Eastern Europe. From 38% to 74% in North America. Japan hits 100% two years from now. 100%. (Japan is the model, by the way.) Even developing regions like Africa, the middle East and AsiaPac (minus Japan) are quadrupling 3G mobile penetration in the next two years. We are moving towards 80% of all media being digital. Mobile devices are increasingly becoming the digital interface of choice for consumers. Connect the dots.

Here’s a thought if you still don’t understand how this applies to your business: Follow the money. If it isn’t clear why any of this matters or even where things are going, look no further than shifts in advertising budgets in relation to digital and other media:

What do you see? Ad spend is flat in print (actually shrinking a bit) while digital ad spend is steadily growing. Every graph that compares online ad spend to other types of media ad spend look basically like this. If you don’t understand why this is happening, the graphs further up the page will help connect the dots.

Here’s another graph that ought to make you think about how your media planning strategy should already be shifting:

 What this graph shows is the point where online video wins the attention war and TV begins to recede. Same content but different interface, different medium, different level of user control. 2019 will be here before you know it. (The graph may even err on the side of caution. Things might already be moving faster.) What are you doing today to prepare for the television set’s Waterloo? From media buying to content production and distribution, are you sitting on your hands talking to analysts about future trends or are you staffing up with people who understand this and know how to prepare you for it?

Just as importantly, how are you restructuring your market research and consumer insights programs? (Are you? You should be.) This might help.

Let’s continue with today’s #graphfest. This ought to shed some light on what is happening on the interface front:

The 411: Desktop PCs are flat and mobile PCs (laptops) are growing. No surprise there. Also no surprise as to the growth of smart phones and tablets. But check this out:

Smart phones sales overtook desktop PC sales in 2008 and will take over mobile PC (laptop) sales in 2013. That’s next year.

Tablet sales will overtake desktop PC sales (that boxy thing taking up space in your employees’ cubicles) next year.

If you are an executive, go for a walk around your offices and ask yourself: What decade are you operating in? In fact… What century are you operating in? Look at your business processes, internal collaboration, media planning and productivity. Go spend a day at a media conference or tour your local coffee shops. Ask yourself if your business is operating in a bubble or if it is as technologically and strategically competitive as it could be. Be honest with yourself. Tip: If the average twenty-something hipster lounging around at Starbucks is better equipped than your average middle manager or business development team, the answer is no. Here’s another one: If your business isn’t creating apps or content specifically designed for these new devices (let alone social channels), the answer is also categorically no.

Every time you spy an executive working on a presentation on a plane, look at what kind of tech they use. Every time you see one using a boxy old laptop, you know the organization he or she works for is already falling behind. Why are these folks still using 2007 technology in 2012? You don’t see five year old tech winning on the racetrack, the field, the court or the links, right? Business is no different from sports in that regard: Outdated technology doesn’t give anyone an advantage. All it does is make you less competitive. Get unstuck.

Here’s a thought: When the world is changing faster than you are adapting to that change, it’s time to start a) worrying, and b) doing something about it. The idea isn’t even to eventually catch up, mind you. That’s a defensive position, a survival position. The idea is to actually get ahead of that change. That’s where the real competitive advantage is. Survival is a nice default position, sure; many businesses aren’t even there. But with only maybe 5% more thought and work than it would take to just play catch-up, you can shift from being just an “also in” company to becoming the leader in your industry or category inside of 5 years. That sort of surge in competitiveness doesn’t happen by accident. It takes will, foresight and initiative. That takes leadership. Real leadership. And sorry to have to tell you this, but real leaders make it a point to know what matters. “I don’t understand this new digital stuff” isn’t going to cut it anymore. Not understanding how things work anymore isn’t a sign of leadership. It’s an urgent call to action. Learn this stuff. Get caught up. It isn’t that difficult, and yes, we can help.

One last little media-related graphic to close today’s post and help you get your bearings:

Something else to think about: Becoming more “social” is only part of the shift that is taking place in media. It’s important, vital even, but without understanding how media as a whole is evolving, being “more social” probably won’t do most companies a whole lot of good. We’re seeing that already. There is a much bigger field, and the more of that field you and your senior leadership see, the better equipped you will be to not only survive the next decade but come out of it stronger and more competitive than ever. That’s the goal, right?

Final thoughts:

Don’t forget to plan beyond next quarter and/or year.

Get IT more involved in the day to day discussions that affect your business.

Rethink your hiring requirements.

Rethink the way you conduct market research.

Rethink the channels you use to connect with customers.

Rethink your relationship with consumers.

You aren’t necessarily going to become a digital business, but your business does need to be as effective in the digital space as it is everywhere else.

Welcome to the great reshuffling of the Fortune 5000 world.

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