Notes Version: Social Media as Focus Group Tapping Into a Vast Resource, Privately

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Social Media as Focus GroupTapping into a Vast Resource, Privately

Nick AyresManager, Social MarketingInterContinental Hotels Group@nickjayres

Who is InterContinental Hotels Group?

• IHG is the largest hotel company in the world by number of rooms with the first and largest guest loyalty program in the hotel industry

Source: http://www.flickr.com/photos/hibuenapark/4682155727/sizes/z/in/photostream/

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The fine print slide

• 9 brands

– “Normal” mix of stakeholders (Marketing, PR/Comm, HR, Legal, CRO, etc.)

• Operating in over 100 countries and territories

– Multiple regions bring more stakeholders

• With over 4,400 hotels

– Mix of franchise, managed and owned

• And 650,000 guest rooms

– Plus meeting spaces, restaurants, pools and social spaces

• Totaling 130,000,000 guests every year

– Who all expect and deserve a seamless, exceptional experience

• Bonus: All operating in a rapidly changing and evolving ecosystem

Source: http://cache.gawker.com/assets/stills/MACLEGAL.flv.jpg

Source: http://www.themusicwithinus.com/2010/05/03/enough-is-enough-transforming-overwhelm-into-effortless-action/

Hold on, what did you just say?

Important questions needed to be addressed

• Higher order

– How can we understand our customers’ mindsets to help grow our loyalty program and share of wallet?

– How do we increase the effectiveness of our marketing comms and promotions?

– How do we transform the way we build relationships with our key customers?

• And just below the surface

– What exactly is “social media” and why should we care?

– What are people saying about us, and can we control it?

– Is there really that much “stuff” for our guests to talk about?

– Will people want to talk to us? What if we don’t like what they say?

– How will we measure this?

Source: http://www.pressthebuttons.com/2005/12/in_search_of_an.html

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Our starting point: private online communities

• Invitation-only space representing various segments of our loyalty program and our hotel brands

• Approach– Feedback (talking to us about us) and discovery (listening to our guests talk about

themselves)

– Mix of tactical and strategic activities

• Benefits– Honest conversation

– Ongoing dialogue

– Speedy answers

– Fresh insights

– Cost efficiency

Which is what exactly? And again, how do we measure it?

ENGAGEMENT!

=100 research activities

=100 member generated activities

Total research activities = 3000+ | Total member generated activities = 7000+

Examples:

• Changed to the way we welcome and recognize guests

• Expanded point earnings opportunities

• Created a member referral program

Engagement = Actionable insights

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#FAIL

Digression: Stock photography

Photo by: M. Wald, Platinum memberTaken at the InterContinental Tahiti

Engagement = guest-generated marketing collateral

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Engagement = guest-generated content

One example: Gut check, tweak

• Details: Needed to create a promotion against a tight deadline and with specific directives already in place from senior executives

• Action: Tested the promo and incentives in the community and received fast turnaround PLUS a new twist to the offer based on community feedback (Double Points)

• Payoff: Most elite members registered for double points PLUS significant incremental revenue

Engagement = more effective promotions

One example: iPhone, Mobile Apps• Details: Members were frequently

discussing the need for a Priorty Club Rewards (PCR) mobile application

• Action: Recognized unmet consumer needs and began to build, test and modify based on member conversations

• Payoff: Significantly surpassed both revenue and download expectations

Engagement = new product development

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Answers to those nagging questions.

Perhaps most importantly: In many ways, our private communities closely mirror the more “scary” social web, putting us two steps ahead.

ENGAGEMENT!

Photo by: D. Kelleher Royal Ambassador in Vernazza, Italy

• Don’t believe the hype… in a vacuum

• Be strategic but be flexible and responsive

• Focus on answering the questions that matter most to your business

• Start somewhere not somewheres

Four quick takeaways

Questions?

• Email: nick.ayres@ihg.com

• Twitter: @nickjayres

• Foursquare: nickjayres

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The effect of word-of-mouth in loyalty program acceptance, participation and redemption

Grant MunroDirector, Social and MobileLoyaltyOnegmunro@loyalty.com

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The effect of word-of-mouth in loyalty program acceptance, participation and redemption;

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1. Soil - Data29

Transactional DataNameCollector IDPurchasesSponsorsRewardsMiles earnedProductsDatesTimes

Engagement DataLikesCommentsShareDownloads CampaignsClicksCheck-InsApp LaunchRe-Tweets

2. Roots - Analytics30

• Who are our customers?

• What are their needs?

• How do they behave?

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3. Trunk - Transformation31

Transformation of your organization to to a cultural commitment to social.

4. Branches – Capabilities32

5. Leaves - Customer Engagement Application

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Results - Social34

Fans250, 000

IssuanceLift20%

EngagementRate Per 1000 (EPM)

Sponsors Shopped8%

The Air Miles Ecosystem 35

• Test and Learn

• Proper Allocation Capital and Resources

• Clear Communication

Thanks!36

Grant Munrogmunro@loyalty.com