Be in the Business of Social Business
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Introductory social business presentation
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Be in the Business of Social Business
- 1. Be in the Business of Social Business Microsoft UK Digital Week 2013
- 2. Hi. I’m Ron.
- 3. The next half hour • History-changing inventions • The rise of social • The UK social landscape • Rise of the social business • What does the future look like?
- 4. THE RISE OF SOCIAL
- 5. History-changing inventions • The wheel • The printing press • Television • The Internet
- 6. The early days • Message boards • Forums • RSS
- 7. Social 2.0 • Facebook • Microblogging • Images
- 8. THE UK SOCIAL LANDSCAPE
- 9. The UK social scene 33,000,000 10,000,000 200,000 7,000,000
- 10. All content ©2012, Proprietary and Confidential Connected. Mobile. Open.. 37 % UK mobile phone users use social media
- 11. Empowered by tech. Engaged by content. 60% consumers expect brands to respond via social media
- 12. Changing the way business is done • Not just marketing • Not just customer service
- 13. RISE OF THE SOCIAL BUSINESS
- 14. Social is giving the customer a voice “It’s the source of a lot of our ideas and inspiration. Go back to our business idea: People should be able to have a beautiful home, and you shouldn’t have to break the bank to get it. We’re fascinated with how people live, and we’re trying to understand all the time what good solutions mean and what good value means.” -Mike Ward, IKEA
- 15. Inside Look: Dell Dell had already reimagined the supply chain and product development, but in adding social intelligence and activity to the mix, they hit their stride. Tactics • Listening and monitoring • Social command centre • Social media training • Social-only sales tactics Results • $6.5 million in sales from Twitter • 24,000 trained Dell employees • 3,000 certified Dell social media spokespeople
- 16. Inside Look: HTC As a leader in the mobile hardware space, HTC was faced with a changing consumer landscape. They used social at the core of their company to help drive innovation, customer care, and efficiencies within the company. Tactics • Social playbook and trainings for staff in 35 countries • Global community engagement • Analytics and monitoring • Social communication framework for PR, customer service, product, and marketing Results • Industry-leading engagement on Facebook and Twitter • Thriving evangelist community with over 100 members globally • Avoided numerous PR and product issues • Decreased customer service costs
- 17. Inside Look: Virgin America As the West Coast arm of Virgin’s air empire, Virgin America caters to the tech set. Their team brought social to the heart of their business, elevating their status and pleasing customers along the way. Tactics • Twitter-based customer service • Internal social platform implementation • Staff-wide social training and activation • Social sales/promotion programs Results • Increased bookings • 25% surge in loyalty program from initial campaign • Decreased customer service costs
- 18. The benefits are intriguing • Faster time to market • More effective marketing spends • Lower chance of ending up on a “worst social flub of 20XX” list • Reduced customer care time/costs
- 19. The consequences can hurt • Missed opportunities • Work continues in silos = low impact • Customer backlash • PR and customer crises • Your competitors get there before you do
- 20. It takes a team • Customer Care • Corp Comm • Product • PR • More
- 21. It begins with a few steps • Social audit – look at your business, your buyers, and your competitors • Strategic Framework – Tying business goals to social tactics • Tactical Plan – resources, workflows, tactics and success metrics
- 22. WHAT DOES THE FUTURE LOOK LIKE?
- 23. Crowd-sourced products and ideas Social data and access to customer needs provides better insights and ability to predict the future of products and services.
- 24. Rise of the social workforce Teams will become the company’s best asset as friction-less sharing and collaboration become commonplace.
- 25. Custom experiences become the norm As users share more about themselves, brands have more information at their disposal for creating custom experiences from store to web to social. No two people will have the same experience.
- 26. Social goes inside… everything Social is woven into every aspect of the company – creating more connections and driving effectiveness.
- 27. The end of commerce as we know it In-network credits will become accepted more and more. Mobile payments will help this push.
- 28. The idea of privacy will change The debate between who owns what and what is done with that data will continue to rage on. A new generation of consumers who are comfortable with more sharing will change the way privacy is defined.
- 31. Thanks All content contained in this document is protected material of the author and IPG Mediabrands. It may be shared in its original form without any alteration. All images contained in this document are the property of the author, Ron Schott, with the exception of images on slides: • 15: http://scg.sm/VUoir1 • 17: http://scg.sm/VUopCJ All stats were gathered from the UM Wave 6 report which can be viewed at: http://scg.sm/VUpdHR Special thanks to Eric Weaver of Spring Creek Group Seattle for his help in creating the thinking and direction behind this piece.
Notes de l'éditeur
- Be in the business of Social Business Social related Synopsis: Some technologies affect culture and business much more than others - the printing press, TV, the internet – we’re now seeing this all over again with social technology. Whilst humans have also been social creatures technology is enabling us to connect, share to participate like never before. Like with all things human the consequences are good and bad. Businesses need to adapt and embrace or evolve or die. We argue that brands have to get involved and offer a view as how to go about it. We talk ‘Social Business’ which is so much more than running a Facebook page – we discuss organisational best practices, real time insights and how to act on these.
- HEAD OF SPRING CREEK UK – PART OF IPG MEDIABRANDS Worked on Microsoft brands in the U.S. and globally since 2008 on Office, IE, Windows, XBOX, Windows Phone, SharePoint, Visio, SQL Server – actually started and manned the Windows, IE, and Office Twitter and Facebook presences – and did a lot of Forum work – Bing search for RonS - WindowsTeam
- Since the dawn of time, there have been inventions that change the way humans live, but also change the way they do business. The wheel brought ease of transport, giving people the ability to move themselves and good more easily. The printing press brought the spread of knowledge, creating exact copies of texts and images that could be mass produced and spread throughout the land. The television gave brands a direct line into the home that went beyond audio and brought moving pictures and stories. The internet, even in its infancy, was connecting people, places, and things into what was then called the world wide web, but has evolved into this always-there, always-on internet of things.
- The ideas of social aren’t new… they’ve been around since the bazaar. People, communicating and sharing, influence their peers and provide ways to gain more information and develop preferences for all kinds of things. Social on the web isn’t necessarily new either… message boards and forums served as the water cooler of the dial-up modem age, giving users a chance to meet, share, and discuss topics that were interesting to them in a digital space. RSS was created as a way to filter conversations from the wider web into an easily-consumed feed that brought users only the information they wanted to know from the sources they trusted and depended on. That was really one of the first steps in content filtering and selection that’s so prevalent in the world today.
- And that’ brings us to social as it is today… Today there are more people connected to the internet than every before – more than 2 billion. We’ve reached a point where infrastructure and technologies in developing nations are the only things holding back internet adoption (and some of those people are still accessing via mobile devices) Facebook has over 1 BILLION users. If Facebook were a country, it’d be the 3rd largest country in the world behind china and india. The network facilitates 140.4 billion friend connections and has spawned 1.18 TRILLION likes. People are more social than every before… and that’s true in the UK as well.
- With more and more of the world’s population joining social networks every day, we’re no longer simply searching the internet for information, we’re using connections to friends, brands, and content to create personalized experiences that provide us with virtual interactions and experiences. While this started on an individual level, it quickly spread to the business world as brands realized the value in one-to-one and one-to-many conversations they could have using social. Today, consumers expect brands to be there to talk with them on the likes of Facebook, Twitter, and more. They expect answers and resolutions under their terms, not those set forth by a customer support center. They’re also turning to their friends for information before purchase – just like they have since the days of the Bazaar, but they’re doing it more easily and more often, with less actual investment through the connetions and sharing provided by social. As the consumer becomes more connected to information about their friends and their relationships with brands/products, they are quickly changing the consideration and purchase process, causing brands and businesses to change the way they think about their sales cycle – transforming it for the social age.
- Consumers are changing… Consumers are more connected, with many of them having far more digital relationships (with people and brands alike) than actual relationships. They’re mobile – Smartphones make up 62% of the mobile phones in the UK. Of the mobile users in the UK, 37% are also using social media on their phones. They’re more open. People are more likely to share information on the web today than they were last year, and the year before that. In fact, Mark Zuckerberg proposed a model similar to Moore’s Law saying that the amount of information shared by users would double every year. So far, that’s been mostly true. With more and more of the world’s population joining social networks every day, we’re no longer simply searching the internet for information, we’re using connections to friends, brands, and content to create personalized experiences that provide us with virtual interactions and experiences. While this started on an individual level, it quickly spread to the business world as brands realized the value in one-to-one and one-to-many conversations they could have using social. Today, consumers expect brands to be there to talk with them on the likes of Facebook, Twitter, and more. They expect answers and resolutions under their terms, not those set forth by a customer support center. They’re also turning to their friends for information before purchase – just like they have since the days of the Bazaar, but they’re doing it more easily and more often, with less actual investment through the connetions and sharing provided by social. As the consumer becomes more connected to information about their friends and their relationships with brands/products, they are quickly changing the consideration and purchase process, causing brands and businesses to change the way they think about their sales cycle – transforming it for the social age.
- With more and more of the world’s population joining social networks every day, we’re no longer simply searching the internet for information, we’re using connections to friends, brands, and content to create personalized experiences that provide us with virtual interactions and experiences. While this started on an individual level, it quickly spread to the business world as brands realized the value in one-to-one and one-to-many conversations they could have using social. Today, consumers expect brands to be there to talk with them on the likes of Facebook, Twitter, and more. They expect answers and resolutions under their terms, not those set forth by a customer support center. They’re also turning to their friends for information before purchase – just like they have since the days of the Bazaar, but they’re doing it more easily and more often, with less actual investment through the connetions and sharing provided by social. As the consumer becomes more connected to information about their friends and their relationships with brands/products, they are quickly changing the consideration and purchase process, causing brands and businesses to change the way they think about their sales cycle – transforming it for the social age. Consumers especially are changing – and we’re having to change along with them or find ourselves in the dust. With connection and access to brands on social media, consumers are changing their expectations for the interactions they have before and after a purchase decision. More than ever, the connection between brand and consumer is being tested and evaluated on a more frequent basis thanks to technology and social media. Consumers are looking to brands for not only information, but entertainment – most users are still checking the box next to “entertainment” as their reason for using social media (that’s even above interacting with friends and family).
- Social marketing isn’t new. As soon as social networks emerged, the idea of interacting with users came about, but with a distinct tinge of traditional advertising – much more broadcast than conversation. As the idea of actually interacting with consumers started to emerge, brands scrambled to staff communities with community managers, charged with simply having and fostering conversations with the amassed “fans.” That idea of fan count started to bcome the measuring stick for success and brands, now armed with advertising opportunities went out and snatched up as many as they could muster. Their communities filled up, scorecards showed green, and the C-suite was still skeptical…
- The idea of social business is one that’s been floating around for a while, but there’s been a bit of discussion about what it truly means.
- Mike Ward, President of IKEA US when asked Why is listening to your customers important? It’s the source of a lot of our ideas and inspiration. Go back to our business idea: People should be able to have a beautiful home, and you shouldn’t have to break the bank to get it. We’re fascinated with how people live, and we’re trying to understand all the time what good solutions mean and what good value means. This idea is something that has escaped many companies in the rush to provide innovative, interesting products at a predetermined price point. Yes, there have still been focus groups and product testing, but the wealth of data available on the social web can increase knowledge of consumer perception and needs far beyond those tactics. Social means bringing the consumer and their voice to the centre of the business – essentially giving them a seat at the boardroom table.
- Dell is a classic case study in social business. The hardware provider implemented a social business program years ago and is still iterating on it today – something that’s true for most successful social business programs. Dell had already reimagined the supply chain and product development, but in adding social intelligence and activity to the mix, they hit their stride. Tactics Listening and monitoring Social command centre Social media training Social-only sales tactics Results $6.5 million in sales from Twitter 24,000 trained Dell employees 3,000 certified Dell social media spokespeople
- As a leader in the mobile hardware space, HTC was faced with a changing consumer landscape. They used social at the core of their company to help drive innovation, customer care, and efficiencies within the company. Tactics Social playbook and trainings for staff in 35 countries Global community engagement Analytics and monitoring Social communication framework for PR, customer service, product, and marketing Results Industry-leading engagement on Facebook and Twitter Thriving evangelist community with over 100 members globally Avoided numerous PR and product issues Decreased customer service costs
- As the West Coast arm of Virgin’s air empire, Virgin America caters to the tech set. Their team brought social to the heart of their business, elevating their status and pleasing customers along the way. Tactics Twitter-based customer service Internal social platform implementation Staff-wide social training and activation Social sales/promotion programs Results Increased bookings 25% surge in loyalty program from initial campaign Decreased customer service costs
- The benefits of social go far beyond marketing… deep into the core of the company. For Microsoft, the efficiencies and insights that can be gained from weaving social throughout the company are incredible. From faster turns on product development to reduced customer care costs. As a business, Microsoft has many layers, but social business practices can help unite practice areas and break down organizational inefficiences through sharing, collaboration, and communication.
- While social business discussions usually start in the marketing department, bringing all parties to the table is one of the most important pieces in starting a social business program. With the goal being to embed social at the core of the business, it’s important to get buy-in from all teams and decision makers in order to have the space to do what’s needed. For most organizations, this means bringing together representatives from customer care, corporate communications, product teams, PR teams, marketing, and others. With buy-in across the organization, it’s easier to gain access to budgets and show areas of success that can easily be traced to efficiencies of the new system.
- The social audit gives the business a chance to see how they’re doing in terms of connecting with their targets and delivering them the best possible experience via social and digital. The strategic framework takes learnings from the social audit and applies them to business goals, creating a high-level plan that prioritizes short-term and long-term objectives. Think – How are we going to better connect our product development with our target consumer? The tactical plan is just that – tactics that you’re going to use to achieve your business goals. It involves building out plans for communication throughout the company via social and the metrics that success will be judged by. This is also an important step when carrying out any internal social programs as well. This is also where the idea of real-time insights and actions comes into play. One of the largest benefits of a social business is the ability to monitor and react to instances… This process, while simple, can be incredibly important insofar as it provides a path for a business to follow, with clear goals and measurement. A recent Gartner report said that 80% of social business programs won’t reach their intended goals by 2015 - and a large part of that has to do with planning and buy-in across the business. If you have a leadership team that sees the value in the program and a clear plan with check-in points and goals along the way, you’ll be well on the way to making that 20%.
- The world of
- Social data and access to customer needs provides better insights and ability to predict the future of products and services. This is the next level of focus-grouping. It’s not design by committee, but it is design by data as you’re able to better understand your customer