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HOW TO BUILD BRAND ADVOCACY
    THE   IN A CONSUMER-DRIVEN WORLD




FRIENDSHIP

MODEL
A SELF-GUIDED ORIENTATION BY BRANDON MURPHY
SO, WHAT IS IT?


       A new business tool?

       A positioning for the agency?

       A belief about marketing?

       A philosophy for how we work?

       A measure of our success?
YES
YES
  Thank you
J/K
Let’s start with the first question...




                                        why did we create it?
Let’s start with the first question...




            [BECAUSE WE HAD TO]

                                        why did we create it?
In case you haven’t heard,
we have a bit of a sordid past...
GOT IT ?
Well, boiled down:

we were a divided culture

split between two o   ces

with no united perspective

and no common method for doing what we do
(+)

we were falling o   the grid

cast as a regional agency

who specialized in retail



                               ...NOT who we wanted to be.
and...
We were trying to change the way we do business....
just like every other ad agency who existed before web 2.0
But the real problem...
She’s a consumer.
                                                  He’s an advertiser.
                                                  All she wants is genuine a ection.
                                                  All he gives is loyalty reduction.

                                                  Click to watch video



Source: Microsoft Digital Advertising Solutions
Source: Microsoft Digital Advertising Solutions
ACT
People want brands that...




                             ...more like friends than salespeople
And when brands DO, people talk:




                                               [   Brands perceived to act on

                                                                              ]
                                                   their customers’ behalf have
                                                   44% more advocates*




*22squared Friendship Model Research
So we need to help brands
                            DO
BUT                ...
To get people talking...
... we needed to create

relationships
worth talking about.
We needed to turn our original
way of marketing on it’s head...
Literally
[OLD]



AWARENESS




PREFERENCE




PURCHASE
[NOW]


RELATIONSHIPS




 PURCHASES




 ADVOCACY
HOW
 does an agency create
 relationships worth talking about?
REALIZE,

    that good brands are like people.
ARE THE SAME
 The actions that make people great friends




 that cause people to advocate for brands
[
“you can make more friends in 2


                                ]
months by being interested in other
people than in 2 years by making
other people interested in you.”


                    - Dale Carnegie
Think about it...




                    ...what do friends do?
H AV E C H E M I S T R Y
REM AIN AUT HENT IC
A C T T R A N S PA R E N T
A R E E M PAT H E T I C




FRIENDS
SUPPORT EACH OTHER




SPEND QUALITY TIME
S H A R E     A    P O V
GIVE MORE THAN GET
S TAY I N TO U C H
INSPIRE EACH OTHER
Makes sense, right?
But how do we put that theory in action?
FRIEND
    SHIP
State of being a friend

Someone you know and trust

A member of the same group/nation

Allied in a struggle, cause or movement
FRIEND
    SHIP
                                          + MODEL
State of being a friend

Someone you know and trust                  An example of a behavior; a philosophy lived out

                                            Statistical method for accomplishing something
A member of the same group/nation
                                            A compass that points you in the right direction
Allied in a struggle, cause or movement
                                                           A belief that never lets you down
[OUR PURPOSE]
BIGGER
Increase the number of advocates




                         [OUR PURPOSE]
Here’s how we size up advocacy:
% of brand’s customers who are...



SHAREHOLDER
              EVANGELIST
                           RECOMMENDER



                                     REPEAT   SATISFIED
     ADVOCATES                           BUYERS                  CRITICS

                                                          MARGINAL
                                                          CUSTOMER
                                                                     DISSATISFIED
                                                                      CUSTOMER      ACTIVELY
                                                                                    AGAINST
TA = A - C
TRUE ADVOCACY   ADVOCATES   CRITICS
TA = A - C
NOTE: We’ve done lots of research on this...
 on 180 brands with over 40,000 people
$   Are advocates worth more than other customers?
YES
  (THE SHORT ANSWER)
WHAT
      THEY DO         ADVOCATES   WHAT WE
                                  MEASURE


         Buy more                 Spend levels

Talk and share more               Conversation rates

 Recommend more                   Recommendation rates




                                                         44
FACT :
When advocates talk, brands grow
seriously,
                         check it out...

GROWTH




         TRUE ADVOCACY
APPAREL
RETAILERS




            *Growth index combines revenue growth, profit margins and
            operating income growth over a three-year period, from 05 - 07

            SOURCE: 22squared Apparel Retail White Paper
WIRELESS
PROVIDERS




            Average annual growth rate from 05 - 07
            SOURCE: 22squared Wireless Provider White Paper, 2008
AIRLINES




           Average annual passenger revenue growth rate from 05-07
           SOURCE: 22squared Airline White Paper, 2009
HOW
1)
     ROLES              ACTIONS
                       2)
                                                       does the Friendship Model help us
                                                       grow advocacy for brands?




                                                              3)
                                                                   MOMENTUM
     Play a more            Identify the actions the               Create momentum, get people
     meaningful role        brand must take to                     talking more and moving
     in their life          increase advocates                     toward the brand
ROLES
1)




     Play a more meaningful role in their life
FACT :
The better friend you are,
the more customers talk




                        [                             ]
                            Understand the role a brand
                            play’s in the life of the
                            customer and deepen it.
SOUL MATE



CLOSE FRIEND



NICHE FRIEND



 NEW FRIEND



ACQUAINTANCE




FAMILY FRIEND



   FLING                                       351 Index


                  A unique connection; a
  DEFAULT
                brand you can’t live without

  FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




                               CLOSE FRIEND



                               NICHE FRIEND



                                NEW FRIEND



                               ACQUAINTANCE




                               FAMILY FRIEND



                                  FLING


                                                                          351 Index
                                 DEFAULT       Inner-circle, depend on,
                                                    always there.
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



                               NICHE FRIEND



                                NEW FRIEND



                               ACQUAINTANCE




                               FAMILY FRIEND



                                  FLING


                                                                                143 Index
                                 DEFAULT       Familiar, in a narrow context,
                                                 but in a restrictive way.
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



                                NEW FRIEND



                               ACQUAINTANCE




                               FAMILY FRIEND



                                  FLING


                                                                               320 Index
                                 DEFAULT
                                               Still new, but on the road to
                                                      becoming closer
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



            On the road to
           becoming closer      NEW FRIEND



                               ACQUAINTANCE




                               FAMILY FRIEND



                                  FLING


                                                                             143 Index
                                 DEFAULT
                                               Ambivalent, no expectations
                                                    and little reward
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



            On the road to
           becoming closer      NEW FRIEND



            Ambivalent, no
             expectations      ACQUAINTANCE




                               FAMILY FRIEND



                                  FLING
                                                                                286 Index


                                 DEFAULT
                                               By association or inheritance,
                                                  not solely your choice
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



            On the road to
           becoming closer      NEW FRIEND



            Ambivalent, no                                                  177 Index
             expectations      ACQUAINTANCE



          By association or
                inheritance    FAMILY FRIEND



                                  FLING


                                               A short-time experiment, likely
                                 DEFAULT
                                                    to happen only once

                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



            On the road to
           becoming closer      NEW FRIEND



            Ambivalent, no
             expectations      ACQUAINTANCE



          By association or
                inheritance    FAMILY FRIEND



                 Short-time
                experiment
                                  FLING
                                                                         210 Index


                                 DEFAULT       Lack of options, out of
                                               proximity or avoidance.
                                 FORCED
A unique connection; a      SOUL MATE
brand you can’t live without




    Inner-circle, depend on,
                always there   CLOSE FRIEND



              Familiar, in a
            narrow context     NICHE FRIEND



            On the road to
           becoming closer      NEW FRIEND



            Ambivalent, no
             expectations      ACQUAINTANCE



          By association or
                inheritance    FAMILY FRIEND



                 Short-time
                experiment
                                  FLING



          Lack of options,                                                   231 Index
    proximity or avoidance       DEFAULT

                                               No choice, feel trapped and
                                 FORCED             want to escape.
Remember...




IT’S NOT ABOUT BEING FRIENDLY

              ...it’s about BEHAVING like a friend.
ACTIONS
2)




     Identify the actions the brand must take
     to increase advocates
FACT :
The more brands behave like friends,
the more customers return the favor




                  [Brands that are perceived to act on
                   their customer’s behalf have 44% more
                   advocates than brands that do not.*              ]
                                  *22squared Friendship Model Research
H AV E C H E M I S T R Y
REM AIN AUT HENTIC
A C T T R A N S PA R E N T
A R E E M PAT H E T I C




FRIENDS
SUPPORT EACH OTHER




SPEND QUALITY TIME
S H A R E     A    P O V
GIVE MORE THAN GET
S TAY I N TO U C H
INSPIRE EACH OTHER
create a visceral spark   HAVE
                          H A V E CHEMISTRY
                                  CHEMISTRY            or a gut reaction

                          REM AIN AUT HENTIC
                          A C T T R A N S PA R E N T
                          A R E E M PAT H E T I C
                          SUPPORT EACH OTHER



                          FRIENDS
FIREWORKS                                                             FORCED




                          SPEND QUALITY TIME
                          S H A R E     A    P O V
                          GIVE MORE THAN GET
                          S TAY I N TO U C H
                          INSPIRE EACH OTHER
H AV E C H E M I S T R Y
   Original, real and   REMAIN AUTHENTIC
                        REM AIN AUT HENTIC           distinctly meaningful


                        A C T T R A N S PA R E N T
                        A R E E M PAT H E T I C
                        SUPPORT EACH OTHER


                        FRIENDS
FOR REAL                                                           FOR NOT




                        SPEND QUALITY TIME
                        S H A R E     A    P O V
                        GIVE MORE THAN GET
                        S TAY I N TO U C H
                        INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                    REM AIN AUT HENTIC
    Be honest and   ACT TRANSPARENT
                    A C T T R A N S PA R E N T   have clear intentions


                    A R E E M PAT H E T I C




                    FRIENDS
                    SUPPORT EACH OTHER


CLEAR                                                           HIDDEN


                    SPEND QUALITY TIME
                    S H A R E     A    P O V
                    GIVE MORE THAN GET
                    S TAY I N TO U C H
                    INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                         REM AIN AUT HENTIC
                         A C T T R A N S PA R E N T
Understand their needs   ARE EMPATHETIC
                         A R E E M PAT H E T I C      desires and lives




                         FRIENDS
                         SUPPORT EACH OTHER




   GETS ME               SPEND QUALITY TIME                        HASSLES ME


                         S H A R E     A    P O V
                         GIVE MORE THAN GET
                         S TAY I N TO U C H
                         INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                            REM AIN AUT HENTIC
                            A C T T R A N S PA R E N T
                            A R E E M PAT H E T I C
                            SUPPORT EACH OTHER


                            FRIENDS
       Be helpful, useful   SUPPORT EACH OTHER           act on their behalf




                            SPEND QUALITY TIME

THERE FOR PEOPLE            S H A R E     A    P O V                THEY’RE PEOPLE?


                            GIVE MORE THAN GET
                            S TAY I N TO U C H
                            INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                         REM AIN AUT HENTIC
                         A C T T R A N S PA R E N T
                         A R E E M PAT H E T I C




                         FRIENDS
                         SUPPORT EACH OTHER


ALWAYS CLEAR                                                     NEVER HEAR


                         SPEND QUALITY TIME
   Provide talk-worthy   SPEND QUALITY TIME           immersive experiences

                         S H A R E     A    P O V
                         GIVE MORE THAN GET
                         S TAY I N TO U C H
                         INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                     REM AIN AUT HENTIC
                     A C T T R A N S PA R E N T
                     A R E E M PAT H E T I C




                     FRIENDS
                     SUPPORT EACH OTHER



BELIEVE                                                            USE
                     SPEND QUALITY TIME
  Common lifestyle
                     SHARE A POV
                     S H A R E     A    P O V     belief system or attitude


                     GIVE MORE THAN GET
                     S TAY I N TO U C H
                     INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                            REM AIN AUT HENTIC
                            A C T T R A N S PA R E N T
                            A R E E M PAT H E T I C




                            FRIENDS
                            SUPPORT EACH OTHER




                            SPEND QUALITY TIME
A DEFINING EXPERIENCE                                               A VACATION
                            S H A R E     A    P O V
Provide value and meaning   GIVE MORE THAN GET
                            GIVE MORE THAN GET           beyond the money spent


                            S TAY I N TO U C H
                            INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                              REM AIN AUT HENTIC
                              A C T T R A N S PA R E N T
                              A R E E M PAT H E T I C
                              SUPPORT EACH OTHER


                              FRIENDS
                              SPEND QUALITY TIME
                              S H A R E     A    P O V
CARD CARRYING MEMBER                                                  ON THE SHELF
                              GIVE MORE THAN GET
    Build anticipation, add   STAY
                              S T A Y IN TOUCH
                                       IN TOUCH            value & communicate

                              INSPIRE EACH OTHER
H AV E C H E M I S T R Y
                        REM AIN AUT HENTIC
                        A C T T R A N S PA R E N T
                        A R E E M PAT H E T I C
                        SUPPORT EACH OTHER


                        FRIENDS
                        SPEND QUALITY TIME
                        S H A R E     A    P O V
                        GIVE MORE THAN GET
BE DIFFERENT                                                      BE NORMAL
                        S TAY I N TO U C H
  Motivates you to be   INSPIRE EACH OTHER
                        INSPIRE EACH OTHER           di erent or better
2)




                                          Category Mean




             PERFORMANCE
                                                 Tr




-11
                                                                                           ACTIONS

                                                   an
                                                               sp
                                                                     ar
                                                                       en
                                                                            cy
                                                 Au




 -10
                                                   th
                                                                en
                                                                  tic
                                                                           ity




                    -5
                                                 Su
                                                          pp
                                                                or
                                                                     ts
                                                                          m
                                                                               e
                                               Em
                           -4
                                                 pa
                                                   th
                                                     y

                                               Q
                                 -2




                                                          ua
                                                            lit
                                                                 y
                                                                      tim
                                                                            e
                                                                                           WHAT IF




                                               Sh
 -10

                                                          ar
                                                            ed
                                                                                                  ...




                                                                     PO
                                                                       V
                                      0




                                               Ch
                                                          em
                                                                 ist
                                                                      ry
                                -3




                                               In
                                                          sp
                                                               ire
                                                                  sm
                                                                    e
                                               Ge
        -7




                                                          tm
                                                            or
                                                              e
                                                                          th
                                                                             an
                                               St                                  Ig
       -8




                                                  ay                                 ive
                                                    si
                                                                  n
                                                                       to
                                                                          uc
                                                                             h
                                                                                             AT&T IMPROVED THESE ACTIONS?
ACTIONS
2)
                                             WOW, THIS...

                    4%                    advocacy increase




                2.8                          incremental advocates
                million                      (07 customer count of 70MM)




         8.4                                     conversations/week
         million                                 (based on 3 per week)




      3.4                                             new customers a month
      million                                         (based on 10% conversion of 33.6MM)


      Average customer revenue: $606.00
BIG
THOSE ARE




            NUMBERS.
MOMENTUM
3)




     Create momentum, get people talking more
     and moving toward the brand
MOMENTUM
3)




     FADING            STABLE             GROWING
     STOPPED TALKING   TO BORED TO TALK     TALKING
MOMENTUM
3)



                                                             Hawaii   45



                                                        24
                                      18       21            Costa Rica
                              14
             Belize        Florida   Mexico    Virgin
                      -6    Keys              Islands



       -18
             Jamaica




     FADING                   STABLE                    GROWING
     STOPPED TALKING           TO BORED TO TALK               TALKING
HAVE ADVOCATES THAT AREN’T LOUD ENOUGH...
COSTA RICA:      Costa Rica social media volume compared with 6 competitors




                                                         119

                                                                 189

                 52

     GROW         63
 REVIEWS/POSTS
                      90
MOMENTUM
3)
                                              WHAT IF...                   COSTA RICA COULD INCREASE THE
                                                                           INFLUENCE OF THEIR ADVOCATES?




                  NOW                                POTENTIAL
         1 Visitor influences 1 future visit        1 Visitor influences 1.5 future visits




                        :                                    :
MOMENTUM                                                                        = BIG gains
3)
                                                   small increase


                               NOW                                POTENTIAL



                                      :                                  :

       350,000                            X    $1,000                            =   $350MM
      Incremental Visitors                    Avg. Rev./Person                       Incremental Rev.

      Based on estimated 700,000 US           Estimated from 2007 int’l travel       Estimated from 2007 int’l travel
      citizens/year                           visitors and receipts                  visitors and receipts
      Source: US State Dept.                  Source: UNWTO                          Source: UNWTO
BIG
AGAIN...THOSE ARE




                    NUMBERS.
TAKE A BREATH



 Let’s get back to the second half of our purpose.
BIGGER
Increase the number of advocates




                         [OUR PURPOSE]


                                   WE JUST COVERED THIS
NOW LET’S TALK ABOUT THIS:




[OUR PURPOSE]




LOUDER
     Magnify their voice and increase their impact
3
Imperatives for LOUDNESS
1)
     BE OF SERVICE
     Actions speak louder than words

2)
     PROPAGATE
     Light the fuse


3)
     ENGAGE
     Engage: Right time, right place, right context
1)
     BE OF SERVICE
     Actions speak louder than words



                  Purpose (over positioning)
                  Content (that builds and spreads)
                  Experiences (that spark advocacy)
                  Utilities (be useful)
                  Actions (do more and do good)
                  Participation (power of social connection)
Have a purpose that’s bigger than
    your product or service.
Entertain and provide content
that people can use, influence,
      adopt and adapt.
Create experiences worthy of
participation and word of mouth.




               >
Alternative Reality Game: Find the
  new ad. Win a solid gold dice.
    Facebook Group for hints.
Marketing is the product: create
things people can use and make
        their lives better.
              >




   Hear your run. See your
  run. Connect with runners.
        90% reco rate
Do things for consumers,
and enable consumers to do
     things for others.
Give customers a role in
helping the brand succeed,
 allow them to participate
  and they will advocate
2)
     PROPAGATE
     Light the fuse
PROPAGATION PLANNING
Plan not for the people we reach, but
for the people that they reach
Broadcast Media: targets the majority




Innovators   Early Adopters   Early Majority   Late Majority   Laggards
Broadcast Media: targets the majority




Propagation:
Spreadable content


                     Innovators   Early Adopters   Early Majority   Late Majority   Laggards
Propagation Process
        1)
  CREATIVE
  STIMULUS


      Images
   Audio Assets
   Video Assets
     Product
       Brand



What can we share
that is interesting?

Plan for the content
  you don’t have.
Propagation Process
        1)                      2)
  CREATIVE                MARKET
  STIMULUS             INTELLIGENCE


      Images
   Audio Assets        Identify Fan Cultures
   Video Assets        Uncover Connection
     Product             & Dialogue Points
       Brand



What can we share
that is interesting?   What innovator/ early
                       adopter tribe can we
Plan for the content      connect with?
  you don’t have.
Propagation Process
        1)                      2)                    3)
  CREATIVE                MARKET                   IDEA
  STIMULUS             INTELLIGENCE            PROPAGATION


      Images
   Audio Assets        Identify Fan Cultures   Blogger Outreach
   Video Assets        Uncover Connection      Tribe Mobilization
     Product             & Dialogue Points      Public Relations
       Brand



What can we share                               How do we share
that is interesting?   What innovator/ early       the idea?
                       adopter tribe can we
Plan for the content      connect with?        How do we get fans
  you don’t have.                                to work for us?
Propagation Process
        1)                      2)                    3)                     4)
  CREATIVE                MARKET                   IDEA             PARTICIPATORY
  STIMULUS             INTELLIGENCE            PROPAGATION            PLATFORM


      Images                                                         YouTube Uploads
   Audio Assets        Identify Fan Cultures   Blogger Outreach
                                                                         Website
   Video Assets        Uncover Connection      Tribe Mobilization
                                                                         Mobile
     Product             & Dialogue Points      Public Relations
                                                                          Blog
       Brand



What can we share                               How do we share
that is interesting?   What innovator/ early       the idea?          Build the platform
                       adopter tribe can we                            and feed it with
Plan for the content      connect with?        How do we get fans    interesting content.
  you don’t have.                                to work for us?
Propagation Process
        1)                      2)                    3)                     4)                     5)
  CREATIVE                MARKET                   IDEA             PARTICIPATORY           FEEDBACK
  STIMULUS             INTELLIGENCE            PROPAGATION            PLATFORM               POINTS


      Images                                                         YouTube Uploads        Email Accounts
   Audio Assets        Identify Fan Cultures   Blogger Outreach                               Voicemail
                                                                         Website
   Video Assets        Uncover Connection      Tribe Mobilization                             Facebook
                                                                         Mobile
     Product             & Dialogue Points      Public Relations                              MySpace
                                                                          Blog
       Brand



What can we share                               How do we share
that is interesting?   What innovator/ early       the idea?          Build the platform      Monitor the
                       adopter tribe can we                            and feed it with      feedback and
Plan for the content      connect with?        How do we get fans    interesting content.    participation.
  you don’t have.                                to work for us?




                                                                                            AdSpace Pioneers (Reworked)
A QUICK EXAMPLE: BWW
EXTENDING THE USE OF OUR ADVERTISEMENT
EXTENDING THE USE OF OUR ADVERTISEMENT

                        EXCLUSIVITY IS SOCIAL CURRENCY
                        Give our fans a sneak peek
                        Something to share to their friends
EXTENDING THE USE OF OUR ADVERTISEMENT

                        EXCLUSIVITY IS SOCIAL CURRENCY
                        Give our fans a sneak peek
                        Something to share to their friends


                        USE FOOTAGE ON THE EDITING FLOOR
                        Now we have a platform to leverage
                        additional content that the client paid a lot of
                        money to get
EXTENDING THE USE OF OUR ADVERTISEMENT

                        EXCLUSIVITY IS SOCIAL CURRENCY
                        Give our fans a sneak peek
                        Something to share to their friends


                        USE FOOTAGE ON THE EDITING FLOOR
                        Now we have a platform to leverage
                        additional content that the client paid a lot of
                        money to get


                        EXISTING CULTURE
                        People like to share Bad Calls on YouTube
                        Point our audience to these existing videos
EXTENDING THE USE OF OUR ADVERTISEMENT
                            SHARING TIMELINE

                            7 Days
                            Prior to Broadcast




                            3 Days
                            Prior to Broadcast




                        UGC Tie-in
                             Upon Broadcast

                        “Bad Calls” shared by
                        others that we neither
                               claim nor deny
                                  involvement
3)
     ENGAGE
     Engage: Right time, right place, right context
Define your target and
their best relationship
with the brand
Find the best times to
engage with them
Determine the value the
brand can add to their
life during that time
Determine the ultimate
action the brand will take
Gaming
                                                                                                       Bracket Challenge
                                   WAP
 Identify the best channels
     OOH/SMS                                                                         Games      Widgets            Sweepstakes
                                      Rich Media
                                                                             Social Networks                 Quizzes
Paid Search                         Mobile                                          Social Tools
            Instant Messaging                                                                Applications

     Social Networks

                                                             Digital/Social Media
                                                                 Focus                                            Rich Media
                                                                                        Social Networks
     E-Cards          IM         OOH/SMS

         Mobile               Twitter      Blogging
                                                                                                                       Event Alerts


                  Social Media                                             Behavioral
         Social Networks                          Free WiFi                Targeting
                                                                                                               Email
      Events           Video            In-Game

                 In-Store Digital Messaging           Calendar
                                                                        O ers+Coupons                       Display Ads

                                                                                         Widgets
Blazin’ Challenge
                                                                                                         BWW Film School
                                      Featured Foods
Creatively use the channel to                                     Golden Tee, Silver
  make a connection and                                              Strike, Etc.
  encouragethe Month
    Beer of conversation                     Boneless Thursdays
                                                                                                                Local Sports
                                                                         Fantasy Football                       Partnerships
            Takeout                           Night Hunger

                                              Featured Drinks              Football Pick ‘Em
       Wing Tuesdays
                                                                                                   Competition Ideas

              Sauce Posters                                                                                            Buzztime
                                                                                            Bracket Challenge


                                                           Tactics
                         Touchtunes
    WT/BT Messaging                                                                            Website Games
      Campaigns

     Spring/Holiday                                                                                                 B2B Local
        Gift Card
                                                                   Website Boss Button
                                                TV/Radio


                                           Cable Added Value
                                            CBS Partnership                Local Lunch Programs         WT Get Here Early
                                             Local TV/Radio                                                Campaign
         NFL Radio                          ESPN Partnership
   LSM Sports Sponsorships
So this is how we use the Friendship Model
BIGGER
Increase the number of advocates




    So this is how we use the Friendship Model
BIGGER
Increase the number of advocates




    So this is how we use the Friendship Model




               LOUDER
                                   Magnify their voice and increase their impact
WE BELIEVE
   in it so much, that we changed our name...
              like getting a tattoo only better.
[     Our research told us that
         people make an average of
         484 friends in their lifetime.                     ]                                                                                   403
                                                                                                                                                      484


                                                                                                                                     378
                                                                                                                        352

                                                                                                       317

                                                                                       274
                                                                      244

    Accumulation                                      206
of Friends Over Time
                                       169

                            137

              86



          6 to 17      18 to 24   25 to 29    30 to 34         35 to 39        40 to 44         45 to 49         50 to 54       55 to 59   60 to 64   65 to 73

                                                                          Age Group
                                             Source: June 2007 National Consumer Panel Study Among Census-Weighted Sample
                                                Sample size = 1,168 (Answers are accurate to +/- 2.5% at 90% confidence level)
THE SQUARE ROOT OF FRIENDSHIP
THANK YOU

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The Friendship Model™

  • 1. HOW TO BUILD BRAND ADVOCACY THE IN A CONSUMER-DRIVEN WORLD FRIENDSHIP MODEL
  • 2. A SELF-GUIDED ORIENTATION BY BRANDON MURPHY
  • 3. SO, WHAT IS IT? A new business tool? A positioning for the agency? A belief about marketing? A philosophy for how we work? A measure of our success?
  • 4. YES
  • 5. YES Thank you
  • 6. J/K
  • 7. Let’s start with the first question... why did we create it?
  • 8. Let’s start with the first question... [BECAUSE WE HAD TO] why did we create it?
  • 9. In case you haven’t heard, we have a bit of a sordid past...
  • 10.
  • 12. Well, boiled down: we were a divided culture split between two o ces with no united perspective and no common method for doing what we do
  • 13. (+) we were falling o the grid cast as a regional agency who specialized in retail ...NOT who we wanted to be.
  • 14. and... We were trying to change the way we do business.... just like every other ad agency who existed before web 2.0
  • 15. But the real problem...
  • 16. She’s a consumer. He’s an advertiser. All she wants is genuine a ection. All he gives is loyalty reduction. Click to watch video Source: Microsoft Digital Advertising Solutions
  • 17. Source: Microsoft Digital Advertising Solutions
  • 18. ACT People want brands that... ...more like friends than salespeople
  • 19. And when brands DO, people talk: [ Brands perceived to act on ] their customers’ behalf have 44% more advocates* *22squared Friendship Model Research
  • 20. So we need to help brands DO
  • 21. BUT ... To get people talking...
  • 22. ... we needed to create relationships worth talking about.
  • 23. We needed to turn our original way of marketing on it’s head...
  • 27. HOW does an agency create relationships worth talking about?
  • 28. REALIZE, that good brands are like people.
  • 29. ARE THE SAME The actions that make people great friends that cause people to advocate for brands
  • 30. [ “you can make more friends in 2 ] months by being interested in other people than in 2 years by making other people interested in you.” - Dale Carnegie
  • 31. Think about it... ...what do friends do?
  • 32. H AV E C H E M I S T R Y REM AIN AUT HENT IC A C T T R A N S PA R E N T A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 34. But how do we put that theory in action?
  • 35. FRIEND SHIP State of being a friend Someone you know and trust A member of the same group/nation Allied in a struggle, cause or movement
  • 36. FRIEND SHIP + MODEL State of being a friend Someone you know and trust An example of a behavior; a philosophy lived out Statistical method for accomplishing something A member of the same group/nation A compass that points you in the right direction Allied in a struggle, cause or movement A belief that never lets you down
  • 38. BIGGER Increase the number of advocates [OUR PURPOSE]
  • 39. Here’s how we size up advocacy: % of brand’s customers who are... SHAREHOLDER EVANGELIST RECOMMENDER REPEAT SATISFIED ADVOCATES BUYERS CRITICS MARGINAL CUSTOMER DISSATISFIED CUSTOMER ACTIVELY AGAINST
  • 40. TA = A - C TRUE ADVOCACY ADVOCATES CRITICS
  • 41. TA = A - C NOTE: We’ve done lots of research on this... on 180 brands with over 40,000 people
  • 42. $ Are advocates worth more than other customers?
  • 43. YES (THE SHORT ANSWER)
  • 44. WHAT THEY DO ADVOCATES WHAT WE MEASURE Buy more Spend levels Talk and share more Conversation rates Recommend more Recommendation rates 44
  • 45. FACT : When advocates talk, brands grow
  • 46. seriously, check it out... GROWTH TRUE ADVOCACY
  • 47. APPAREL RETAILERS *Growth index combines revenue growth, profit margins and operating income growth over a three-year period, from 05 - 07 SOURCE: 22squared Apparel Retail White Paper
  • 48. WIRELESS PROVIDERS Average annual growth rate from 05 - 07 SOURCE: 22squared Wireless Provider White Paper, 2008
  • 49. AIRLINES Average annual passenger revenue growth rate from 05-07 SOURCE: 22squared Airline White Paper, 2009
  • 50. HOW 1) ROLES ACTIONS 2) does the Friendship Model help us grow advocacy for brands? 3) MOMENTUM Play a more Identify the actions the Create momentum, get people meaningful role brand must take to talking more and moving in their life increase advocates toward the brand
  • 51. ROLES 1) Play a more meaningful role in their life
  • 52. FACT : The better friend you are, the more customers talk [ ] Understand the role a brand play’s in the life of the customer and deepen it.
  • 53. SOUL MATE CLOSE FRIEND NICHE FRIEND NEW FRIEND ACQUAINTANCE FAMILY FRIEND FLING 351 Index A unique connection; a DEFAULT brand you can’t live without FORCED
  • 54. A unique connection; a SOUL MATE brand you can’t live without CLOSE FRIEND NICHE FRIEND NEW FRIEND ACQUAINTANCE FAMILY FRIEND FLING 351 Index DEFAULT Inner-circle, depend on, always there. FORCED
  • 55. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND NICHE FRIEND NEW FRIEND ACQUAINTANCE FAMILY FRIEND FLING 143 Index DEFAULT Familiar, in a narrow context, but in a restrictive way. FORCED
  • 56. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND NEW FRIEND ACQUAINTANCE FAMILY FRIEND FLING 320 Index DEFAULT Still new, but on the road to becoming closer FORCED
  • 57. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND On the road to becoming closer NEW FRIEND ACQUAINTANCE FAMILY FRIEND FLING 143 Index DEFAULT Ambivalent, no expectations and little reward FORCED
  • 58. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND On the road to becoming closer NEW FRIEND Ambivalent, no expectations ACQUAINTANCE FAMILY FRIEND FLING 286 Index DEFAULT By association or inheritance, not solely your choice FORCED
  • 59. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND On the road to becoming closer NEW FRIEND Ambivalent, no 177 Index expectations ACQUAINTANCE By association or inheritance FAMILY FRIEND FLING A short-time experiment, likely DEFAULT to happen only once FORCED
  • 60. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND On the road to becoming closer NEW FRIEND Ambivalent, no expectations ACQUAINTANCE By association or inheritance FAMILY FRIEND Short-time experiment FLING 210 Index DEFAULT Lack of options, out of proximity or avoidance. FORCED
  • 61. A unique connection; a SOUL MATE brand you can’t live without Inner-circle, depend on, always there CLOSE FRIEND Familiar, in a narrow context NICHE FRIEND On the road to becoming closer NEW FRIEND Ambivalent, no expectations ACQUAINTANCE By association or inheritance FAMILY FRIEND Short-time experiment FLING Lack of options, 231 Index proximity or avoidance DEFAULT No choice, feel trapped and FORCED want to escape.
  • 62. Remember... IT’S NOT ABOUT BEING FRIENDLY ...it’s about BEHAVING like a friend.
  • 63. ACTIONS 2) Identify the actions the brand must take to increase advocates
  • 64. FACT : The more brands behave like friends, the more customers return the favor [Brands that are perceived to act on their customer’s behalf have 44% more advocates than brands that do not.* ] *22squared Friendship Model Research
  • 65. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 66. create a visceral spark HAVE H A V E CHEMISTRY CHEMISTRY or a gut reaction REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C SUPPORT EACH OTHER FRIENDS FIREWORKS FORCED SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 67. H AV E C H E M I S T R Y Original, real and REMAIN AUTHENTIC REM AIN AUT HENTIC distinctly meaningful A C T T R A N S PA R E N T A R E E M PAT H E T I C SUPPORT EACH OTHER FRIENDS FOR REAL FOR NOT SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 68. H AV E C H E M I S T R Y REM AIN AUT HENTIC Be honest and ACT TRANSPARENT A C T T R A N S PA R E N T have clear intentions A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER CLEAR HIDDEN SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 69. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T Understand their needs ARE EMPATHETIC A R E E M PAT H E T I C desires and lives FRIENDS SUPPORT EACH OTHER GETS ME SPEND QUALITY TIME HASSLES ME S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 70. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C SUPPORT EACH OTHER FRIENDS Be helpful, useful SUPPORT EACH OTHER act on their behalf SPEND QUALITY TIME THERE FOR PEOPLE S H A R E A P O V THEY’RE PEOPLE? GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 71. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER ALWAYS CLEAR NEVER HEAR SPEND QUALITY TIME Provide talk-worthy SPEND QUALITY TIME immersive experiences S H A R E A P O V GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 72. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER BELIEVE USE SPEND QUALITY TIME Common lifestyle SHARE A POV S H A R E A P O V belief system or attitude GIVE MORE THAN GET S TAY I N TO U C H INSPIRE EACH OTHER
  • 73. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C FRIENDS SUPPORT EACH OTHER SPEND QUALITY TIME A DEFINING EXPERIENCE A VACATION S H A R E A P O V Provide value and meaning GIVE MORE THAN GET GIVE MORE THAN GET beyond the money spent S TAY I N TO U C H INSPIRE EACH OTHER
  • 74. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C SUPPORT EACH OTHER FRIENDS SPEND QUALITY TIME S H A R E A P O V CARD CARRYING MEMBER ON THE SHELF GIVE MORE THAN GET Build anticipation, add STAY S T A Y IN TOUCH IN TOUCH value & communicate INSPIRE EACH OTHER
  • 75. H AV E C H E M I S T R Y REM AIN AUT HENTIC A C T T R A N S PA R E N T A R E E M PAT H E T I C SUPPORT EACH OTHER FRIENDS SPEND QUALITY TIME S H A R E A P O V GIVE MORE THAN GET BE DIFFERENT BE NORMAL S TAY I N TO U C H Motivates you to be INSPIRE EACH OTHER INSPIRE EACH OTHER di erent or better
  • 76. 2) Category Mean PERFORMANCE Tr -11 ACTIONS an sp ar en cy Au -10 th en tic ity -5 Su pp or ts m e Em -4 pa th y Q -2 ua lit y tim e WHAT IF Sh -10 ar ed ... PO V 0 Ch em ist ry -3 In sp ire sm e Ge -7 tm or e th an St Ig -8 ay ive si n to uc h AT&T IMPROVED THESE ACTIONS?
  • 77. ACTIONS 2) WOW, THIS... 4% advocacy increase 2.8 incremental advocates million (07 customer count of 70MM) 8.4 conversations/week million (based on 3 per week) 3.4 new customers a month million (based on 10% conversion of 33.6MM) Average customer revenue: $606.00
  • 78. BIG THOSE ARE NUMBERS.
  • 79. MOMENTUM 3) Create momentum, get people talking more and moving toward the brand
  • 80. MOMENTUM 3) FADING STABLE GROWING STOPPED TALKING TO BORED TO TALK TALKING
  • 81. MOMENTUM 3) Hawaii 45 24 18 21 Costa Rica 14 Belize Florida Mexico Virgin -6 Keys Islands -18 Jamaica FADING STABLE GROWING STOPPED TALKING TO BORED TO TALK TALKING
  • 82. HAVE ADVOCATES THAT AREN’T LOUD ENOUGH... COSTA RICA: Costa Rica social media volume compared with 6 competitors 119 189 52 GROW 63 REVIEWS/POSTS 90
  • 83. MOMENTUM 3) WHAT IF... COSTA RICA COULD INCREASE THE INFLUENCE OF THEIR ADVOCATES? NOW POTENTIAL 1 Visitor influences 1 future visit 1 Visitor influences 1.5 future visits : :
  • 84. MOMENTUM = BIG gains 3) small increase NOW POTENTIAL : : 350,000 X $1,000 = $350MM Incremental Visitors Avg. Rev./Person Incremental Rev. Based on estimated 700,000 US Estimated from 2007 int’l travel Estimated from 2007 int’l travel citizens/year visitors and receipts visitors and receipts Source: US State Dept. Source: UNWTO Source: UNWTO
  • 86. TAKE A BREATH Let’s get back to the second half of our purpose.
  • 87. BIGGER Increase the number of advocates [OUR PURPOSE] WE JUST COVERED THIS
  • 88. NOW LET’S TALK ABOUT THIS: [OUR PURPOSE] LOUDER Magnify their voice and increase their impact
  • 90. 1) BE OF SERVICE Actions speak louder than words 2) PROPAGATE Light the fuse 3) ENGAGE Engage: Right time, right place, right context
  • 91. 1) BE OF SERVICE Actions speak louder than words Purpose (over positioning) Content (that builds and spreads) Experiences (that spark advocacy) Utilities (be useful) Actions (do more and do good) Participation (power of social connection)
  • 92. Have a purpose that’s bigger than your product or service.
  • 93. Entertain and provide content that people can use, influence, adopt and adapt.
  • 94. Create experiences worthy of participation and word of mouth. > Alternative Reality Game: Find the new ad. Win a solid gold dice. Facebook Group for hints.
  • 95. Marketing is the product: create things people can use and make their lives better. > Hear your run. See your run. Connect with runners. 90% reco rate
  • 96. Do things for consumers, and enable consumers to do things for others.
  • 97. Give customers a role in helping the brand succeed, allow them to participate and they will advocate
  • 98. 2) PROPAGATE Light the fuse
  • 99. PROPAGATION PLANNING Plan not for the people we reach, but for the people that they reach
  • 100. Broadcast Media: targets the majority Innovators Early Adopters Early Majority Late Majority Laggards
  • 101. Broadcast Media: targets the majority Propagation: Spreadable content Innovators Early Adopters Early Majority Late Majority Laggards
  • 102. Propagation Process 1) CREATIVE STIMULUS Images Audio Assets Video Assets Product Brand What can we share that is interesting? Plan for the content you don’t have.
  • 103. Propagation Process 1) 2) CREATIVE MARKET STIMULUS INTELLIGENCE Images Audio Assets Identify Fan Cultures Video Assets Uncover Connection Product & Dialogue Points Brand What can we share that is interesting? What innovator/ early adopter tribe can we Plan for the content connect with? you don’t have.
  • 104. Propagation Process 1) 2) 3) CREATIVE MARKET IDEA STIMULUS INTELLIGENCE PROPAGATION Images Audio Assets Identify Fan Cultures Blogger Outreach Video Assets Uncover Connection Tribe Mobilization Product & Dialogue Points Public Relations Brand What can we share How do we share that is interesting? What innovator/ early the idea? adopter tribe can we Plan for the content connect with? How do we get fans you don’t have. to work for us?
  • 105. Propagation Process 1) 2) 3) 4) CREATIVE MARKET IDEA PARTICIPATORY STIMULUS INTELLIGENCE PROPAGATION PLATFORM Images YouTube Uploads Audio Assets Identify Fan Cultures Blogger Outreach Website Video Assets Uncover Connection Tribe Mobilization Mobile Product & Dialogue Points Public Relations Blog Brand What can we share How do we share that is interesting? What innovator/ early the idea? Build the platform adopter tribe can we and feed it with Plan for the content connect with? How do we get fans interesting content. you don’t have. to work for us?
  • 106. Propagation Process 1) 2) 3) 4) 5) CREATIVE MARKET IDEA PARTICIPATORY FEEDBACK STIMULUS INTELLIGENCE PROPAGATION PLATFORM POINTS Images YouTube Uploads Email Accounts Audio Assets Identify Fan Cultures Blogger Outreach Voicemail Website Video Assets Uncover Connection Tribe Mobilization Facebook Mobile Product & Dialogue Points Public Relations MySpace Blog Brand What can we share How do we share that is interesting? What innovator/ early the idea? Build the platform Monitor the adopter tribe can we and feed it with feedback and Plan for the content connect with? How do we get fans interesting content. participation. you don’t have. to work for us? AdSpace Pioneers (Reworked)
  • 108. EXTENDING THE USE OF OUR ADVERTISEMENT
  • 109. EXTENDING THE USE OF OUR ADVERTISEMENT EXCLUSIVITY IS SOCIAL CURRENCY Give our fans a sneak peek Something to share to their friends
  • 110. EXTENDING THE USE OF OUR ADVERTISEMENT EXCLUSIVITY IS SOCIAL CURRENCY Give our fans a sneak peek Something to share to their friends USE FOOTAGE ON THE EDITING FLOOR Now we have a platform to leverage additional content that the client paid a lot of money to get
  • 111. EXTENDING THE USE OF OUR ADVERTISEMENT EXCLUSIVITY IS SOCIAL CURRENCY Give our fans a sneak peek Something to share to their friends USE FOOTAGE ON THE EDITING FLOOR Now we have a platform to leverage additional content that the client paid a lot of money to get EXISTING CULTURE People like to share Bad Calls on YouTube Point our audience to these existing videos
  • 112. EXTENDING THE USE OF OUR ADVERTISEMENT SHARING TIMELINE 7 Days Prior to Broadcast 3 Days Prior to Broadcast UGC Tie-in Upon Broadcast “Bad Calls” shared by others that we neither claim nor deny involvement
  • 113. 3) ENGAGE Engage: Right time, right place, right context
  • 114. Define your target and their best relationship with the brand
  • 115. Find the best times to engage with them
  • 116. Determine the value the brand can add to their life during that time
  • 117. Determine the ultimate action the brand will take
  • 118. Gaming Bracket Challenge WAP Identify the best channels OOH/SMS Games Widgets Sweepstakes Rich Media Social Networks Quizzes Paid Search Mobile Social Tools Instant Messaging Applications Social Networks Digital/Social Media Focus Rich Media Social Networks E-Cards IM OOH/SMS Mobile Twitter Blogging Event Alerts Social Media Behavioral Social Networks Free WiFi Targeting Email Events Video In-Game In-Store Digital Messaging Calendar O ers+Coupons Display Ads Widgets
  • 119. Blazin’ Challenge BWW Film School Featured Foods Creatively use the channel to Golden Tee, Silver make a connection and Strike, Etc. encouragethe Month Beer of conversation Boneless Thursdays Local Sports Fantasy Football Partnerships Takeout Night Hunger Featured Drinks Football Pick ‘Em Wing Tuesdays Competition Ideas Sauce Posters Buzztime Bracket Challenge Tactics Touchtunes WT/BT Messaging Website Games Campaigns Spring/Holiday B2B Local Gift Card Website Boss Button TV/Radio Cable Added Value CBS Partnership Local Lunch Programs WT Get Here Early Local TV/Radio Campaign NFL Radio ESPN Partnership LSM Sports Sponsorships
  • 120. So this is how we use the Friendship Model
  • 121. BIGGER Increase the number of advocates So this is how we use the Friendship Model
  • 122. BIGGER Increase the number of advocates So this is how we use the Friendship Model LOUDER Magnify their voice and increase their impact
  • 123. WE BELIEVE in it so much, that we changed our name... like getting a tattoo only better.
  • 124. [ Our research told us that people make an average of 484 friends in their lifetime. ] 403 484 378 352 317 274 244 Accumulation 206 of Friends Over Time 169 137 86 6 to 17 18 to 24 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 to 73 Age Group Source: June 2007 National Consumer Panel Study Among Census-Weighted Sample Sample size = 1,168 (Answers are accurate to +/- 2.5% at 90% confidence level)
  • 125. THE SQUARE ROOT OF FRIENDSHIP