Showing posts with label customer value. Show all posts
Showing posts with label customer value. Show all posts

Monday, December 13, 2010

What are Branded Community Best Practices?

The eMarketer newsletter (November 10, 2010) called my attention to this study from ComBlu. It is a careful analysis of 241 branded communities. As you might expect, these are leaders by definition, and the report finds 33% of them to be High Performers, but none Stellar Performers (p. 8). That says that most of us are likely on the sidelines or in the very early stages of building a branded community.

Radian6 has a publication for those who are considering or experimenting. It has lots of good ‘how to’ info that is especially strong on the amount and type of resources required. They have 10 good questions that assess whether a branded community is for you. I’ve boiled it down to 4; you might want to read the original (pp. 5,6). Here’s my summary:

• Do you have a business goal and clear marketing objectives that specify what you want to accomplish?
• How will your community add value to the customer experience?
• Do you have the resources and expertise to support a vibrant community?
• What metrics will you use to gauge success?

The ‘resources and expertise’ issue suggests substantial experience in social media—building a Facebook community for example. If that is successful, companies tend to want their own community over which they can have total control, not have to rely on the functionality and rules of the platform. I’ve written about firms that provide community-building services (1, 2) and many other aspects; just search ‘community’


Back to the original subject; community best practices. I found this chart especially interesting. The researchers at ComBlu added 10 best practices to their 2010 list. That certainly suggests how fast the space is changing. It also suggests that there’s a big shake-out to come as we find out which are the 'best of the best' practices!


They, of course, compared adoption of their original set of practices in 2010 vs. 2009. I’ve highlighted the ones that had doubled or more in adoption. If you look at the ordering for 2009 (comments the most widely adopted practice, for example), the adoption of specific best practices has changed hugely over the past year. The suggestion there is a maturing space. Among the greatest changes are fun engagement tools, rich media (which I’d also categorize as engaging) and faceted search (people search on LinkedIn, for example). The ones that warm my heart are integration and site stats! Definitely a maturing space.


How Fiskars Turned Its Fans and Customers into Evangelists, presented by Geno Church from GasPedal on Vimeo.


There’s a lot of detail in the report about best practices by industry that you may find useful. But for those of you who believe it’s only for the large, global brands, here’s a contrary example. I wrote about the Fiskars community in early 2009. It still has much the same structure and is still clearly a customer retention effort. Don’t expect much in the way of acquisition from a community effort although blog posts written for search and tagged will bring in some people who are browsing. Mostly, though, it’s retention, and as the Fiskars example shows, it can be powerful. I ran across the video awhile ago; admittedly it’s long, but the first 18-20 minutes is the presentation and the rest is Q & A. It’s worth listening to; the point being that they’ve been at it—successfully—for awhile in what is definitely a set of niche markets.

The most important point about best practices is that they are still evolving. So don’t run out and try to implement them all. Think about what makes most sense for your customers, your brand. Are emoticons going to remain on the list for years to come? My sense is that items like that are already being replaced with activities with more strategic value!

Wednesday, February 10, 2010

Engaging With Customers

So far we’ve talked about how to listen to our customers and how (and whether) to respond. The next step I suggested in an abbreviated strategy development process is to engage. This is hardly a new subject; I found some good case examples not long ago.

Since I believe it’s important to have a common understanding of what we’re talking about, I searched “definition of customer engagement.” I got 150,000 hits, pretty much what I was expecting. The Advertising Research Foundation’s 2006 definition is widely accepted; here is a good article with an elaboration of the definition. The common thread in the subset of the 150,000 definitions I read is that we want to encourage interaction with our customers—real give and take that adds value to the customer’s brand-related experience.

A recent publication from Alterian quotes some statistics. Note particularly the second one. Customer service experts have long known that resolving a problem for a customer can make that person more loyal than the person who has never experienced a problem. It also supports my hypothesis that the customer experience concept--if it did not grow out of what we know about customer service management--is at least a first cousin. Contemplate the steps recommended by the Opinion Research Corporation. They say the goal is a differentiated customer experience. The strategic questions are:

1. How well do our employees deliver on our brand promise?
2. What are our customer’s expectations of experiences with our organization?
3. What is the gap between our brand promise and the customer experience/customer
expectations?
4. How consistent is the delivery of our brand promise across all channels of
customer interaction?
5. What are we doing to deliver a differentiated experience from that of our
competition, and/or in comparison to other non-competitive organizations?
6. How is all of this information utilized by our organization to close the gap between
the promise and the experience to ultimately enhance the overall customer experience?

The focus on brand promise is the unifying theme—the one marketers want to embed in all communications channels, at all customer touchpoints. While this makes sense to me, it’s more operations focused than interaction focused. Getting customers to interact with us seems to be the goal; it’s not enough that they just go away satisfied.

Let me give you two quick examples. I went shopping over the weekend. I had a few staples to pick up at Macy’s; of course that led to browsing other departments and, of course, that led to buying some stuff that I only needed marginally, if at all. But I was having fun. Sales associates were being nice to me; two of them stretched the definition of “red” to give me the discount for the “Go Red” AHA promotion (note more cause-related marketing here). One associate wrote her name on the register receipt and encouraged me to evaluate my experience. I got good service everywhere I went, so I did write a review when I got home. I thought that would be the end of it, but a couple of days later I got a thank-you email from Macy’s. It’s nice to be thanked and I was interested to see my review was being forwarded to the local store. Too bad they had to spoil it with a lame subject line! But overall good try.
The second is what’s becoming the ubiquitous video contest. This one does seem to tie in well with the brand promise. You probably know Flo, the terminally perky sales rep who sells insurance “packages” for Progressive on TV. Now, apparently, Flo needs help! You can send in a video in a contest for a live tryout, presumably for a lucrative ad contract. You can watch the “tryouts” but I don’t see that viewers get a vote. They certainly are encouraged to “share.” Progressive is clearly serious about it; there have been two days of tryouts in New York already and they are taking the road show to Miami next week. The program, of course, has a Facebook page and is being promoted by Tweets from the Progressive account. As I said, these contests are becoming ubiquitous, but when the campaign needs refreshing can you think of anything better???

Macy’s tried, and I did appreciate being thanked. However, there was no real encouragement to try to get me to interact further. I do expect to get more emails though! Progressive will probably come up with another cute spokesperson—is “young” part of the strategy, I wonder? And what will they do to ensure that all the contestants go away happy, if not richer? And will they use the entries to build any kind of relationship? Keep an eye out.

And if you ever believed in “build it and they will come” forget that now. It all takes persistent effort. That’s what builds a social media strategy!

Thursday, March 12, 2009

Social Object Theory for Social Network Design

Razorfish publishes incredibly long and incredibly useful reports. Their Digital Outlook report (download here; be patient) came out last week. I want to get back to some other issues in a future post, but the chapter that really caught my attention—because it’s new to me, although not new—is the idea of social objects. This quote from the report is a good introduction for people like me:

Engeström described social object theory as the belief that all successful social media interactions and ventures center on an object — “the reason people connect with each particular other and not something else.” Another way to describe a social object is as the centerpiece in a dialogue between two or morepeople. People don’t just talk — they tend to talk “around” objects. For example, if I’m speaking to my mother about the flowers I sent her, the flowers are the social object. (p. 59)

There’s a lot of buzz in the blogosphere at the moment about designing social networking sites around social objects. According to Razorfish social objects can take many forms (hence the cutsey clip art) and they aren’t necessarily viral. My corollary is that a good marketing approach makes them viral. Your network can be built around a single object (iPhone, for example) or multiple objects. For example, Flickr is composed of objects that have been made social by making them searchable and sharable.


The advice to marketers includes an early decision on your social object—in advertising terms, it could be your big idea. Figure out what makes the object social or how you can make it social by tagging for search and tracking for measurement. The objects have to be authentic and relevant to your audience. Some social objects retain their sociability for a long time (think Burger King’s subservient chicken) and some go away very quickly (think the same company’s short-lived Whopper Sacrifice program, which drew fire from Facebook).

There’s more; I encourage you to read at least the chapter (pp.58–63) if not the entire report.


One of the most articulate proponents of social object theory is Jyri Engeström, the founder of Jaiku. I encourage you to page through his presentation for an understanding of the theory and its marketing applications.

Then I’d encourage you to think about something else. If we build satisfying experience around the objects (I’m thinking about an incredible whale watch I experienced last spring; you could think about a motorcycle ride or a great glass of wine if you'd rather), that will add to their value and hence their sociability.

The take-away is that people don’t just talk—they talk about something. They don’t just share—they share something they perceive to be of value with others they believe will also value it.

How are you going to identify your key object(s) and ensure they have value for your target audience?