Archive for February, 2011
Facebook may be worst option for consumer engagement
Feb 23rd
By Neicole Crepeau, Contributing {grow} Columnist
When marketers think about social media, they tend to focus on Facebook and Twitter. But new research — and common sense — suggests there may be better places to engage your social audience.
Like most good social media consultants, I evaluate each client’s needs to determine where they should engage their audience. In most cases, even if I recommend a Facebook page, Twitter account, or creating a LinkedIn group, I recommend engaging in other communities, as well. That’s because the goal is to find your social audience, learn where they live online, understand THEIR goals in those locations, and develop enticing social offers. Based on your business goals and your audience’s goals in different online locations, you can pick the best places to engage them.
Research is suggesting that Facebook and Twitter are often NOT the best places to do that. In Razorfish’s recent Liminal study, consumers rated the popular social networks near the bottom as places to engage with brands — especially if they’re over 45.
Likewise, a study of UK eCommerce retailers showed only 3% of website traffic came from social networks, with search and promotional emails driving greater traffic. This is on top of study after study showing that people “Like” brand and corporate pages mainly to find out about specials, get discounts, updates, and so on. For the most part, consumers aren’t looking to chat with you. They want coupons.
When you create a Facebook page or a Twitter account, you’re asking people to come to you. You’re building a community. That’s a lot of work, and the evidence is showing that in many cases, it’s not worth it. LinkedIn Groups seem to fare a little better. That’s probably because they are (have been, anyway) a little less public and open. Moreover, LinkedIn Groups tend to be created around a topic, not a company or a person. People congregate in them because they are interested in sharing news, information, and participating in discussions about the topic. (Whether LinkedIn’s Groups are really effective for this purpose is a matter of debate.)
This is precisely why, in many cases, it makes more sense to go TO your customers, instead of asking them to come to you. How many existing Facebook pages and LinkedIn Groups are full of your customers? How many of your customers are thriving in existing hashtag communities? 93% of the Inc. 500 companies surveyed reported that bulletin and message boards were the most successful locations for engaging customers. Rather than trying to entice customers to come to you, why not go to them? It’s time for a little old-school marketing. Find out what they like about the communities they are participating in, what they want from being in that community, and then find a way to satisfy your customers there.
There are probably hundreds message boards, forums, chats, blogs, and other communities where your customers can be found. The task is to identify where your customers are in the largest quantities, understand their goals in those communities and the kinds of social offers you can effectively construct in them, and then pick the most beneficial ones for your purpose. If that sounds like a lot of work, it’s likely a lot less work than building a thriving community from scratch. So, forget that Facebook page and building a large Twitter following. Focus on the communities someone else has done the hard work to build!
Neicole Crepeau is a partner in Coherent Interactive, which specializes in web, mobile, and social media design and implementation for small and mid-size businesses. You can read more of her original material at her blog, Coherent Social Media or on Twitter where she is @neicolec.
Illustration: Disassociated Press
The Problem with Klout: An Infographic
Feb 22nd
My friend Steve Farnsworth aka @Steveology brought this Twitter account and resulting Klout score to my attention. I really don’t need to say another word.
How social media amplifies competitive advantage
Feb 20th
When Jay Baer speaks, I listen. In fact, the blogger and co-author of The Now Revolution is one of the smartest guys I know. But he wrote a blog post this week that made me think a lot about the changing nature of competition.
Jay’s premise is that through channels like e-mail marketing and social media, we now compete with everybody. He states that “consumer interactions with companies are jumbled together like a real-time gumbo” and to be heard and recognized, we have to be mindful of the quality of each email and status update.
Is the traditional idea of competition obsolete?
Certainly this is sound advice, but I don’t completely agree. There is an alternative perspective to consider. Perhaps your competition isn’t McDonalds, Nike, and every other company trying to dominate the social web. Maybe social media helps make the traditional notion of competition obsolete. Maybe, if you focus on basic marketing principles very well, it actually lessens the impact of competition and amplifies your strengths.
I spend a lot of time helping people with their social media marketing efforts. In a traditional sense, it might appear that I’m helping my competitors. But my philosophy is, I have no competitors, because there is only one me. I have my own set of unique differentiators and through my blog and social presence, these points of differentiation become even more defined, profound, and relevant to potential customers. If you’ve done an effective job defining why your company is different, nurturing those points of differentiation, and using these advantages to solve customer problems, you’ll be OK.
In fact, social media amplifies my competitive advantages.
When I worked in manufacturing, I marveled at how Toyota shared its core competency — The Toyota Production System — with the world, including competitors. It realized that if it focused on intense attention to quality in a way that delighted customers, the marketshare and customer loyalty would follow. And the other lesson — when attention to this point of differentiation slipped, it brought the brand to its knees. Social media amplifies the problems, too.
In his book Delivering Happiness: A Path to Profits, Passion and Purpose, Zappos Chariman Tony Hseih says that he needs to be aware of competitors but doesn’t focus on them as a central corporate strategy. Instead, the entire company is driven to deliver on their core competency and competitive differentiatior: Delivering happiness in a shoe box. He even wants to teach other companies how to do it.
Certainly Zappos has powerfully used the social web to drive this authentic passion to the masses. I doubt they worry about the “gumbo” Jay talks about because if they stay focused on delivering on their brand promise, the money side of the business will take care of itself. Similarly, if Toyota focuses on core competencies, they’ll win the social sentiment wars, too.
The social web amplifies differentiation
Here’s an example of how this worked in my own small business. One of my competitive differentiators is that I’m … ahem, “experienced,” which is a polite way of saying “old.” There aren’t many bloggers who have worked in global sales and marketing for nearly 30 years. I also have a unique educational background that combines traditional marketing with applied behavioral sciences, hence my focus on the human side of social media.
With this experience, I am in a fortunate position to help people in a unique way. I often go into LinkedIn forums and answer interesting questions. I don’t worry about sharing my secrets with the competition. I don’t worry about my messages competing for attention. I just try to be me and use my points of differentiation to solve problems in an authentically helpful way.
A few months ago, a lady from California read my answers on LinkedIn and eventually became one of my most important customers. So here was an example where my messages didn’t get lost in a competitive gumbo, it naturally allowed me to connect with a wider audience who appreciates what I bring to the party. There is no way that person could have learned about me, or my points of differentiation, without the amplification from the social web.
The most important question in marketing
Jay Baer is humble, but he has also done a great job defining and nurturing his points of differentiation in a Zappos kind of way. Before the advent of the social web, he was an advertising agency owner slugging it out at Chamber of Commerce networking meetings. By effectively using the social web, he has leveraged his strengths to become a respected author, speaker and consultant on the international stage. He has no competitors because there is only one Jay — he has a refined sense of what makes him unique and effectively communicates that message in everything he does.
This marketing fundamental worked for Zappos, Toyota, and Jay, and it can also work for you. But here’s the hard part. Do you really know what makes you different?
For your company, can you complete this sentence: “Only we … “
That’s not easy is it? But if you can’t do that, you’re destined to a career of competing based on gimmicks, coupons and shouting louder than the other guy.
If you can find that wisdom, the social web will allow you to amplify that message and tell your story in a remarkable and exciting way.
The irony is that the social web hasn’t “changed everything.” In fact it highlights the need to focus on fundamental marketing imperatives like defining your points of differentiation to a greater degree!
The social web has shifted the nature of competition dramatically for those who can answer … “Only we …” Are you seeing this too?
Have you figured this out for your business? Are you using the social web to amplify your brand promise are or are still trying to out-shout the competition?
Ascent of the social media climbers: Klout goes mainstream
Feb 18th
I’ve never done this before, but today I’m reprinting an entire article from another publication on {grow}. Why? Because this excellent piece from Boston Globe reporter Beth Teitell represents one of the first times the concept of social scoring systems like Klout have jumped into the mainstream media. I think this is significant.
I started writing about social scoring a few months ago, predicting that this trend would become mainstream and that we need to be aware of and embrace these systems as marketing professionals — whether we love them or hate them. Here is Beth’s fine article:
Ascent of the social-media climbers
Klout score? Learn it or, as Monte would say, be judged. Klout.com is one of a number of new status-measuring tools aimed at making social networking more like high school than it already is. Sites such as Klout and PeerIndex.net take public information from Twitter, and sometimes Facebook and LinkedIn, to determine a person’s influence on social media. Anyone can check her score or a rival’s by going to one of the sites and putting in her Twitter handle.
The companies use secret algorithms that go beyond simple numbers of followers — which can be bought in bulk — or friends or fans, and count retweets, the number of links clicked, and even how influential one’s followers are, among other indicators.
“A credit score for your reputation,’’ is how Dave Wieneke, director of digital marketing at Sokolove Law, in Boston, describes the Klout score.
Although many don’t know enough to worry about their Klout scores, for those keeping track, it can be one more ego boost or slap. “There’s a lot of emotion around this,’’ said Mark Schaefer, author of the “Tao of Twitter: Changing Your Life and Business 140 Characters at a Time.’’ “Generally it comes from people who have a low Klout score.’’
Garth Holsinger, vice president of global sales and business development at the San Francisco-based Klout, sees the desperation on a daily basis. “People call and say, ‘I work in social media, and I’m going to lose my job if my score doesn’t rise.’ We get celebrity managers asking how they can get their clients’ scores higher. We get people who are literally crying because their Klout score went down.’’
The stakes may only rise, Klout-wise. The company, which was founded in 2008, recently raised $8.5 million in new funding and said it plans to measure influence in more social networks — and beyond, to capture industry leaders who don’t bother tweeting or friending people.
Schaefer, an adjunct professor of marketing at Rutgers University, said the new score-keeping tools create a “disturbing’’ social media caste system that he dislikes. But, he adds, “from a marketer’s standpoint, they’re a dream.’’
Indeed, the Klout score has already jumped from the online world into the real one. As Advertising Age wrote in September: “Need a Reservation? That Could Depend on How Big You are on Twitter (Really).’’
During the Consumer Electronics Show in January, the Palms Casino Resort in Las Vegas hosted an event with free food and chair massages for guests with good Klout scores. When Disney debuted the movie “Tangled,’’ it asked Klout to find 500 mothers for exclusive Klout screenings and sent their children a “Tangled’’ kit with merchandise.
Holsinger said the company has 40 similar promotions waiting to launch, including one for the new BlackBerry tablet PlayBook: “We’re giving those to 100 super-high-scoring people before they come out.’’
The companies that partner with Klout are paying customers, Holsinger said. “About 1,500 companies use our data.’’
Of course, no one enjoys being kept behind the virtual velvet rope. When the corporate sponsors of a holiday party hosted by social media entrepreneur Peter Shankman invited many guests based on Klout scores, the snubbed were not happy. Shankman expected “whiners,’’ he wrote on his blog, and he did get complaints. “They’re stomping their little feet.’’ If they want to be seen as more influential, he said later, “they need to post more interesting, more engaging things.’’
Even as the low scorers complain about unfairness, Augie Ray, a senior analyst with Forrester Research, predicts an increase in both the number of firms doing social measuring and the number of places where one’s ranking will matter.
“Companies have always provided different levels of service, depending on how much money a customer spends, or how recently they’ve bought something,’’ he said. “Now we’re seeing a change where an individual’s level of influence also has to be taken into account. There’s a lot of buzz about whether it’s fair or not, but I don’t know how much fair has to do with it. A company can afford to anger a customer with a Klout score of 15 but probably can’t anger someone with a Klout score of 95.’’
Indeed, with more hotels interested in Klout scores, Holsinger said the new question upon check-in will not be: “May we have your e-mail address?’’ but rather: “What’s your Twitter name?’’ “If your score is 60 or above, they will upgrade you.’’
But even those who criticize the measuring sites as imperfect still want a good score. Wieneke, who blogs about the future of digital marketing, has serious privacy concerns about giving Klout access to his Facebook and LinkedIn accounts but he’s tempted to allow access in hopes that it will raise his score by providing a fuller picture of his influence.
“Ten points would be pretty nice,’’ he said, speculating on a potential boost. “It counts as social proof.’’
The question of gaming the system or raising one’s score legitimately is the Twitter user’s version of an author trying to raise his Amazon ranking. Beyond buying followers, some people ask friends to retweet their tweets, or follow people just so they’ll be followed back.
Azeem Azhar, chief operating officer of the London-based PeerIndex, regularly hears from users eager to do better, with competition a big motivator. “How come I got a score of 35 and my friend got 45?’’ a user will write as he asks for tips.
“The advice is always the same,’’ Azhar said. “The system is designed to reward good behaviors that suggest you are building your social capital. Those are, do others share or retweet your tweets? Another signal is how many people try and start conversations with me?’’
Perhaps the best thing about having a high Klout score is that it allows one to be blasé. That’s the approach taken by Internet marketing guru Chris Brogan, coauthor of the bestselling “Trust Agents’’ — and a man with 170,000 Twitter followers.
Brogan has one of the highest Klout scores in Boston — 76.4, only about two-tenths of a point behind Shaquille O’Neal. When he meets someone who’s impressed by that score, he feels bad for the person, he said. “I’d rather be measured by something other than a set of numbers a software company thought of one day.’’











You’re in marketing for one reason: Grow.
Grow your company, reputation, customers, impact, profits. Grow yourself. This is a community that will help. It will stretch your mind, connect you to fascinating people, and provide some fun along the way. I am so glad you’re here.
-Mark Schaefer

