Presentation on the conversation economy and how it has progressed from web 1.0 to web 2.0. Good for an introductory course lecture

1. E-Marketing The Conversation Economy Kevin G. O’Donnell KGODonnell34@gmail.com

2. The Facts Two thirds of on-line customers are using social media They like to meet, interact and have dialogue while they shop Consumer reviews have captured the attention of Travel Marketers Engaging Customers Engage customers and prospects in conversations to understand their needs, to develop relationships and to interact with them: Before a purchase During the purchase And after the purchase

3. Conversation Economy Behavior applies to Travel & Other industries Every Industry is feeling the impact Consumers want to continue their offline relationships in the virtual world This allows and opportunity for Travel Marketers

4. The Rise of Consumer Constellations Mirroring the offline world Consumers belong to multiple social groups Family & Friends Business Net work Community service group College Alumni group Colleagues from last employment Travel network Favorite activity

5. No Longer allowing the organizations to pay lip service to a “Focus on the customer” the consumer has assumed the driver’s seat in brand identity, and marketers who do not acknowledge this will do so at their peril It’s really about the guest taking more control over the business and the marketing message.

6. Context & Discussion about web 2.0

7. It’s all about Community

8. Define Web 2.0 Web 2.0 is a platform New form of democracy Facilitates interactive conversations on the web User centered With Web based communities

9. Constellation

10. New Purchase Funnel Gone are the days when the travel marketer focuses primarily on two points 1. Awareness campaigns to promote brand name recognition. 2. Tactical campaigns to capture attention at the time of booking with promotion of 800 numbers or URL’s New evolved Paradigm, reflects consumer online behavior, identifies multiple points of contact and new online technologies. 1. Allows the company to interact with consumer all along the way. 2. Does not end when booking is made 3. Continues during 4. And Post travel 5. Which feeds the next purchase 6. Influences others in their decision making.

11. Travel Planning Funnel

12. Traditional Marketing Mix Product Promotion Path Pricing Packaging Push

13. Overlaying the 5 C’s onto the 5 P’s of Marketing Five P’s Product Promotion Path Pricing Packaging Resulting in Push Five C’s Consumer 2.0 Marketing mix Content and context Conversation and context Connectivity Collaboration due to transparency Creativity and collaboration Resulting in Cooperation and shared control

14. The Bottom Line for Travel Marketers What should the goal be for Travel Marketers? Short-term bookings? Artful Management of social media and social networks result in Powerful Brand Building and reinforcement. How is this accomplished? Through conversation versus conversion We call this “CRM” or customer relationship management

15. Marketing Objectives and Strategies using social media and social networks Customer Engagement and Building Brand Equity Brand Awareness and Influence Management Guerrilla and Niche Marketing Product/Service development Product/Service Launch

16. Travel Industry position on Social Media and Networks Interaction with consumers is a natural fit Tremendous opportunities to test the waters Apprehension over the consumer review However, this can be a potent tool marketers can leverage

17. Social Media Toolkit Audio Video Photos Mapping All combined forming “Mashups”

18. Tools for Social Media

19. Summary of Issues for Travel Marketers 1. Social Media is growing 2. Harness the concept to successfully engage customers in the future 3. Hospitality Industry is ideal for interaction with customers 4. Volume of user generated information will be great…learn how to manage it 5. Relationships need to be Interactional not Transactional 6. Internet can be leveraged for many niche groups 7. Social Media complements Traditional search engine marketing 8. Corporate travel, groups and meetings all use social networks 9. Widgets are here…learn to use them

20. The Concept of Proliferation Web is a participatory Platform Versus collection of static pages Therefore it is a more authentic form of communication Forming a new “world order” dominated by the consumer

21. CEO’s View of Web 2.0 Since this is user centric how will CEO’s view it? 80 percent believe Web 2.0 will provide an opportunity to increase their company’s revenue Through improved customer service, enhanced collaboration with partners and sales agents and faster product development

22. Ten Tips for Success in Web 2.0 Web 2.0 is about “You” Bridges the Generation Gap Do your Homework Borrow what you can’t build Don’t mistake Web 2.0 technology for online advertising Give up Control Make a straight forward business case Look in your backyard Avoid the hype Get your toe in the water.