Web 2.0 and Community Marketing Francisco Hernández Marcos @franciscohm Madrid, 4th December 2012 This document has been produced by 11 Goals & Associates. It is not complete unless supported by the underlying detailed analyses and oral presentation.
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Web 2.0 and Community Marketing
Francisco Hernández Marcos @franciscohm
Madrid, 4th December 2012
This document has been produced by 11 Goals & Associates. It is not complete unless supported by the underlying detailed analyses and oral presentation.
Source: Your Users Trust Each Other, Not You: Why and How to Implement Ratings and Reviews, by Molecular Inc.
76% of American consumers believe companies don’t tell the truth in advertising -Yankelovich (2005) 60% have a much more negative opinion of marketing & advertising than a few years ago - Yankelovich (2004) 78% say consumer recommendations are the most credible form of advertising - Nielsen (2007) 83% say online evaluations and reviews influence their purchasing decisions - Opinion Research Corporation (2008) 84% trust user reviews more than critics’ reviews - MarketingSherpa (2007) Trust in “person like me” tripled to 68% from 2004-2006 – biggest influencer to consumers - Edelman Trust Barometer (2006, 2007)
SNS: “online service, platform, or site that focuses on building and reflecting of social networks or social relations among people, who, for example, share interests and/or activities” (Wikipedia)
There are discrepancies about which services are really a
Traditional marketing — including advertising, public relations, branding and corporate communications — is dead. Many people in traditional marketing roles and organizations may not realize they're operating within a dead paradigm. But they are. The evidence is clear.
Buyers are checking out product and service information in their own way, often through the Internet, and often from sources outside the firm such as word-of-mouth or customer reviews.
Actually, we already know in great detail what the new model of marketing will look like. It's already in place in a number of organizations. Here are its critical pieces: Restore community marketing Find your customer influencers Help them build social capital Get your customer advocates involved in the solution you provide.
• The “community engineering” stages are key to build a truly brand community on social networks and to achieve a high level of social capital.
• Without a good community engineering (and social capital) campaigns simply do not work. • Currently most brands think of social media as another ad place, and get easily disappointed
because they did not work enough the community before beginning to extract value from it.
Source: “Getting Brand Communities Right”, Harvard Business Review, April 2009.
1. A brand community is a marketing Strategy.
2. A brand community exists to serve the business.
3. Build the brand, and the community will follow
4. Brand communities should be lovefests for faithful brand advocates.
5. Opinion leaders build strong communities.
6. Online social networks are the key to a community strategy.
7. Successful brand communities are tightly managed and controlled.
Myth
1. A brand community is a business strategy.
2. A brand community exists to serve the people in it.
3. Engineer the community, and the brand will be strong.
4. Smart companies embrace the conflicts that make communities thrive.
5. Communities are strongest when everyone plays a role.
6. Online networks are just one tool, not a community strategy.
7. Of and by the people, communities defy managerial control.
Reality
SUMMARY
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SUMMARY OF CONCLUSIONS 1 of 2
¶ Many things are changing due to the existence of Social Networks and Social Media. The same underlying motives but a different way expressed them.
¶ We tried to understand the reasons of this phenomenon. Is there any theory behind it? What’s the big picture?
¶ To a great extend Internet transformed intrinsically social activities into merely transactional ones. Now thanks to SNS those activities are re-socialising, but this time online.
¶ However, Social Technologies adoption is a continuous process that will take many years to be completed. Brands need to experiment and learn.
¶ The success of social networking services like Facebook relies in the fact that they are able to translate a person’s social live (“circle of trust”) into the online world. It’s not a new social life, it is the same life but faster and more efficient.
¶ Facebook worldwide’s dominating SNS excepting in former URRS countries and other countries where it has been banned (China, Iran, etc.).
¶ At par with SNS is the concept of Social Graph, key to understand how our brand or company can take advantage of social media through SNS or Apps.
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SUMMARY OF CONCLUSIONS 2 of 2
¶ Social Media works as a very complex ecosystem in constant change. The best attitude towards that reality is to try to understand the ecosystem and to figure out how to complement it and add value for the user. However brands tend to copy parts of the ecosystem, leading to digital strategies which use to be expensive, short-lived, and not very successful.
¶ In Social Media, the medium is the people.
¶ Community Marketing uses social technologies to build large, active and sustainable online communities of great value for the brand.
¶ In order to build up a great online community:
Do not need a great brand.
Need to deeply understand the member’s interests and lives.
Segment the community and determine the interest and role of each segment.
See how members are affiliated among them and with the brand.
Think carefully about the organization you need.
Focus on i) grow fans ii) engage fans iii) generate direct and indirect revenues