Listening Social Media sales marketing
It’s been too long!
Wow! It has been six months since I posted a blog entry - way too long. 2010 is a new year and with it comes another crazy New Year’s resolution. I’m going to get back to blogging and start posting an entry per month. Hopefully I make it to February!
Podcamp 2010 happen in Dartmouth last weekend. A series of speakers, most the same as last year, hit the stage at the Dartmouth library for another shot at explaining why social media is changing the landscape of the web. According to the Podcamp organizers the event had record pre-registration, but actual attendance fell a bit short of last year.
As expected the event was very well done - kudos to the organizers. The presenters did a great job of attempting to find a new spin to capture their audiences attention. Unfortunately for me, it all seem a bit old this year. Maybe it’s because I’ve had the opportunity to attend bigger Podcamps in Ontario and the US, there was something about this Podcamp that seem to be lacking. Obviously I’ve been spoiled by the variety a big city experience offers.
I had the opportunity to attend four speaker sessions starting with Joel Kelly’s cry out for social action and finishing up with Carman Pirie’s hyper session. Kelly’s session was a call to the coach potatoes who think that they can push a key and satisfy a need to act. His premise was interesting, but somewhat condescending suggesting people are replacing the act of physically doing with the virtual act of clicking their way to satisfaction. No question that technology is definitely demobilizing people. You need not look any further than the Xbox to demonstrate this one. But when you look at some the world’s most successful fund raising initiatives you inevitability see technology at the center. CIBC Run for the Cure, Lance Armstrong’s Live Strong are just a few examples of how the web can create action. That said, I see where Joel was going, but I’m not sure he got there.
To compound my lack of enthusiasm, the four sessions I attended all seemed to be a bit “yesterday”. Sort of like broken records skipping over the same old things. I kept hearing the same lines - “Social Media is changing the way we think and act. It’s moving the needle on media buying and making it more difficult for advertisers to navigate”. I started to think that local Social Media gurus have run out of things to talk about.
Nothing against the presenters, they did an awesome job, I especially enjoyed Carman’s presentation style - 20 seconds per slide. Unfortunately, I didn’t get the opportunity to see the keynote presentation. It may have changed my opinion on the whole event. From what I have heard Mclean Greaves did a great job of upping the “WOW” factor by tossing around stories on Hollywood glam. Keynote or not though, Podcamp definitely didn’t have the shine for me this year. It was a bit like skiing in Nova Scotia. Martock seems like a mountain until you hit the slopes in BC and Quebec. After you’ve experienced the real thing it’s hard to go back to the bunny hill.
Why online marketing will flourish in difficult economic times
You don’t have to look far these days to find bad news on the global economy. The American credit crunch has pushed the panic button on an economic time bomb that has ticking for the past 5-10 years. Inflated energy costs, low price mortgages, record high personal debt and an overheated stock market have helped to fuel one of the biggest economic slowdowns in 75 years. Businesses are tightening their belts for an extremely challenging 2009 and as a result marketing departments will have to do more with less. When dollars get tight every expenditure has to be justified. The importance of measurement grows along with the need for accountability. Businesses scrutinize every marketing tactic and begin look for new, more innovative ways to generate results. For online marketing this shift will present a huge opportunity for growth as dollars get move out of underperforming media into online budgets.
Carol Krol, a senior analyst for e-Marketer says, “The shift in consumer usage toward digital media will continue to erode TV’s share” (in 2009). According to eMarketer; television, radio, newsprint and magazine advertising spends are all going to decline in 2009 while online marketing is set to increase. The shift in dollars is fueled by an anticipated 44% growth in online video and 15% growth in online search. Search engine marketing is a great example of the value online can offer in terms of measurable results. People who search for a product are in the early stages of their buying decision and are often researching their purchase.
The Internet has become the research tool of choice for today’s consumer, they spend hours reviewing websites for product, price and brand information. They use search to find what they want online. When they have less money to spend they look harder and research more. What once was an impulse buy, now becomes online homework. If you’re not showing up on their search radar, chances are you’re not going to make it on their list.
If you’re a business, search helps your customer find you while online communities help you find your customer. The importance of reaching out to your customer and making them feel good about your brand intensifies in difficult economic times. Emphasis on maintaining and building existing relationships kicks into overdrive. Customer retention strategies move to top of mind during economic contraction. Online communities are a great way to build customer relationships that help support retention strategies. You can educate customers, listen to their needs, respond to requests and measure their reactions on a global basis.
The beauty of the Internet is its innate ability to track everything a user does when online. Where they click, what they watch, how many times they watch it. Information that network television pay millions of dollars for is now easily accessible online. Starbucks Coffee recently launched a great example of how this can work. Hit hard by the economic After being hammered by the downturn in the US economy that saw them close over 600 stores, Starbucks has responded by building an online bridge to their customer that allows them to connect and listen to their needs. They realize the importance of listening, measuring and tracking their customers. Rather than spending millions of dollars on focus groups testing ideas to help them react to the changing business they choose to go directly to their customers and as them their opinion online. Starbucks realizes the benefit that online communities can offer and has begun to leverage them to help redefine their business model.
The momentum of online, its ease of measurement, global reach and affordable value will help to propel its growth through these tough economic times. The web is still a shiny new toy in the marketers pocket. Most are still trying to figure out how to use it effectively. None are debating the value of its interactivity and power of engagement.
The Art of Listening
Did you ever think about how different advertising would be if a television commercial could see the viewer? I know, first thought is it sounds a little creepy, but imagine how much more effective it would be if you knew what everyone wanted to know. Car manufacturers could ask car buyers about their favorite colors or more importantly when they are inclined to buy. Just eliminate all the guess work and get to the straight up answers. Marketing would be so much easier if we had the ability to listen first before we blurted out the message!
Social Media is the beginning of a new era of listeners. Web 2.0 tools and social community platforms are enabling marketers to listen and learn before they start to communicate. Each day the information footprint grows as more and more people use blogs and social networks to record their lives. Smart marketers realize this and are developing ways to capitalize on it.
Starbucks, a brand leader, recently launched www.mystarbucksidea.com a website designed to help them listen to their consumers. The site allows visitors to “share”, “vote”, “discuss” and “see” ideas targeted at improving the company’s products and services. Starbucks is building a community of followers that will over time, influence the direction of their brand. They’re engaging their loyal customers and listening to their ideas. Real powerful shit!
Recently General Motors, United State’s third largest advertiser, announced that they will be investing half of their 3 billion dollar ad spend on digital marketing initiatives. Most would look at this as desperate move for a company that trying to hang on in a highly competitive business that perceives “American Made” as a negative thing. But think about it for a minute, if your brand is suffering from a social perception issue what’s the best thing you could do? Hire a PR firm to spin it or invest 1.5 billion into connecting with your customer. GM is certainly one to watch over the next 5 years. It will no doubt become a great case study for digital marketers.
In my many years of sales probably the most important thing learned was the art of listening. If you listen you will learn. What you learn will inevitably influence how relationships evolve. Online Web 2.0 innovations have created a new stage for listening with a huge audience who are looking to interact with brands. Marketers need to embrace this and start to live in the space. It will inevitably add value for their clients.
Read more on listening: Are you Marketing or Listening
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