PRSA Seminar, 10/17/10

B2B Social Media: The Quiet Giant

Paul Gillin, Author

The New Influencers

Secrets of Social Media Marketing

Social Marketing to the Business Customer

The Media in Collapse

2001 2009 Change

Woman’s Day 1.61M 410,000 -74%Redbook 556,300 154,600 -72%Playboy 522,800 203,200 -71%Country Living 380,200 134,900 -64%Nati Enquirer 1.65M 591,300 -64%Reader’s Digest 750,000 270,000 -64%ESPN Magazine 54,350 25,200 -63%

US Magazine Circulation

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

US Newspaper Business

Circulation (000)

Revenues ($000)

Average age of US daily newspaper reader: 57

Reduction in US newsroom staffs since 2001: 45%

Growth in NBC prime time audience, 2008: -14.3%

Age of average network evening news viewer: 63

Facebook is the fastest growing consumer product in history

Word-of-mouth marketing spending will hit $3B by 2013

93% of B2B buyers use search to begin the buying process

Direct-mail spending is expected to decline nearly 40% by 2014

80% of IT decision-makers say word of mouth is their most important source when making buying decisions

Google Processes 38,000 search queries every second

New Media Facts

Somewhat nega-tive2%

Neutral16%

Somewhat positive47%

Very positive36%

Perceived ROI of the Com-pany's Social Media Activities

Survey of 105 Marketers, April, 2010

The Way It Was

The Way It’s Going

Cut Out the Middleman

Today, you can take your message directly to your constituents without relying upon media intermediaries

And why would you not want to

do that?

If You’re Not Helping, They’re Not Listening

Share Everywhere: Clickable Gurus

Goal Generate Leads

Tactic Build awareness by sharing domain knowledge

Metrics Unique visits; Online mentions; Referrals; Conversions

Results 2,000% increase in visitors 300% improvement in buzz50% increase in customers400% increase in ad billings

• Value-drive decision-making• Group consensus• “Bet the business”• Long-term relationships• Audience is knowledgeable, engaged, serious• Intense need for information

How is B2B Different?

More than $1 million

$100,000 - $999,999

$25,000 - $99,999

0% 10% 20% 30% 40% 50% 60%

Number of People Involved in Technology Buying Decisions by Purchase Amount

1 - 3 4 - 8

9 - 15 >15

Calling All Stakeholders


Let’s Define Our Terms

Social Media is a set of online tools that your constituents use to communicate with groups of friends or people with similar interests. They include:

• Blogs• Microblogs• Social Networks• Media-Sharing• Forums• Shared Workspaces• Multi-user games

• Social news• Virtual worlds• Community reviews• Social bookmarking

OUTBOUND

Bottom-up lead gen

Enhanced lead qualification

Multiple points of engagement

New World Prospecting

INBOUND

SEO

Blogs

Twitter

Content Premiums

Word of Mouth

Source: Monitor

But is the Funnel Still Valid?

Just One Guy

Estimated monthly traffic: 73,000

Google Indexed pages: 6,490

Alexis ranking: Top .12%

Inbound links: 850,771

Del.icio.us bookmarks: 1,776

New York Times citations: 115

Computerworld citations: 146

InformationWeek citations: 89

Newsletter subscribers: 150,000

Facebook

Twitter

YouTube

LinkedIn

Blogging

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Value of Each Social Media Platform

Least important 2 34 Most important

Mainstays of Social Media

BtoB Magazine Survey of 387 Marketers, April, 2010

Before 2006 2007 2008 20090

100

200

300

400

500

600

700

800

900

1000

New

Cumulative


Social Media Adoption by Year, All Platforms

Start With the Business

Business Goal Measurement Tactics Tools

Generate 30% More

Leads

Publish Six New White Papers

Initiate Monthly Webcasts

Sponsor Microsite on TechTarget

Build Targeted Twitter List (500)

Dedicated Monthly E-mail Blast

Promote To Trade Publications

List in Tech Directories

Hire Tech Freelancers

List Rentals Create CoTweet

Account Increase PR

Budget Hire E-mail

Marketing Firm Initiate Blogger

Relations Program

Goal Metrics Tactics Tools

Increase Webcast/White Paper Reg’s by 60%

Increase Traffic to WP Landing Pages 120%

Increase 800-Number Calls by 80%

Review and Revise

Use Social Media To…

Generate Leads

Grow E-mail Lists

Improve ROI of E-mail

Increase Brand Awareness

Extend E-mail reach

31

47

53

78

81

13

10

7

3

3

57

43

40

19

16

Social Media Influence on E-Mail Marketing

Agree Disagree Not SureSource: EMarketer

• Identify Topics• Generate Content• Gather Feedback

• Test Messages• Capture Leads• Strengthen Relationships


Customer & Competitive Intelligence

TwitScoop

TweetMeme

Most E-mailed

Google Trends

Social Tools Can Help You Choose Topics for Your Communications

Gather Feedback

• Test messages to a community

• Limited offers

• Private or closed-group discussion

• Brand ambassador programs

• Competitive intelligence


Other Ways to Generate Content

• Barter blogger posts

• Ask a question, feature best answers

• Bookmark and republish favorite tweets

• Invite photos, videos and stories

• Poll and promote

• Ask feedback and cherry pick

• Plant seed questions and invite debate

Thought Leadership

Advise and Inform

Generate Content

“Rubbermaid saw a 5% incremental increase in conversion for review readers, compared to those who do not read reviews. In addition, review readers are 62% more likely to continue to engage.”

--BazaarVoice Case Study

Humanize Interactions

Trust Equation: People Relate Differently to Humans Than They Do

To Brands

(So Let Your

People Go)

Blogging for Business

73 blogs

17 bloggers

600% jump in leads

Top quality

“Get engineers talking to engineers and get everyone else out of the middle.”

Rick Short, Marcom Director

Link Love

Customize Message to Members

Hey, Bobby:

Dear Robert:

Duuuuude!

@bob:

Generate Leads

Use Every Available Channel to Promote

Are You Satisfied With Twitter’s ROI?

BtoB Magazine Survey of 387 Marketers, April, 2010

All Respondents Respondents Who Use TwitterAt Least Daily

Yes; 52%

No; 48% Yes;

70%

No; 30%

Use It or Lose It

On the Back End…

• Use unique URLs in each venue

• Customize landing pages to audience

• Gather social contact information from

subscribers

• Tag social content for e-mail

customization

Integration Is a Top Priority

37% of marketers already use e-mail to promote social networks and another 31% are planning to (Econsultancy and Adestra).

55% of retailers who use Twitter link to their Twitter account in their e-mail campaigns (Email Data Source and Goodmail).

Business executives say integrating the two channels is the fourth-most-important e-mail marketing initiative for 2010, (StrongMail)

Source: EMarketer

Social Media Press Room

Elements May Include:• Releases• Video• Photos• Audio• RSS• Comments• Embeds• Downloads

March 30Prospect reaches website

through search query "small business accounting," views four pages and subscribes

to newsletter.

April 4Prospect responds to e-mail

invitation for "Choosing Small Business Accounting

Software" webcast 30 minutes after e-mail is sent.

April 9Prospect attends webcast,

stays 45 minutes and submits a question related

to legal practices.

April 10Prospect clicks link in

webcast summary e-mail to visit product description

page. He downloads PDF of product brochure about

software for legal practices.

April 12Prospect downloads trial

version of your small business accounting

software for legal practices.

Oh, the Things That You Know!

What is Social CRM?

“Traditional CRM grew out of this need to store, track, and report on critical information about customers and prospects.

Social CRM is growing out of a completely different need -- the need to attract the attention of those using the Internet to find answers to business challenges they are trying to overcome.“

--Brent Leary in Inc. magazine


Social Network Essentials

About Me

About Others

Connections

The Power of 130

The average Facebook member has 130 friends, who each receive notifications of their network’s Facebook activities


Facebook Fan Pages

• Great way to connect enthusiasts to each other

• Can be about any topic• 99% are dead; they require

care and feeding• Can be restricted or open• Can be visible or invisible

to search engines• Admins have permission to

message members

Facebook Fans

Announcements

Mailing List

Repurpose media

Feedback/testing

LinkedIn for BusinessActive Groups…

…and a Distinctive Approach to Company Profiles

Many Uses for Twitter

• Branding• Hiring • Traffic building• Professional networking • Publicity• News• Prospecting• Feedback• Peer relations• Competitive tracking• Search engine optimization• Mobile visibility

$

Source: Sirona Consulting

Uses For Twitter in Business

Don’t Just Say “Follow Us On Twitter”

Promote benefits of membership

Describe content

Offer multiple topical destinations

Embed widgets to keep people on site

Enable Conversation: Spiceworks

1M members

National user conference; multiple regional conferences

Points system rewards participation without payments

“What’s always amazed me is how much people are willing to give back.” Tabrez Syed, Director of Products, Spiceworks

Be Useful: Element 14

Document and information exchange for electronics engineers

Anyone can become a designated “expert” by delivering value

More than 10,000 documents contributed and indexed in first six months

Spread the Message

Corporate website

Feed Aggregator

Partner website

Email Newsletter

Make Content Easy to Share

Promote Subscriptions Everywhere

Put Everything on Your Site

Always Use Your Own Domain!

Simple Equation

ROI = COST OF INVESTMENT

(GAIN FROM INVESTMENT - COST OF INVESTMENT)

These are NOT ROI

Website Visitors

Click-throughs

Store visits

Press coverage

“Buzz”

Retweets

FaceBook friends

Blog comments

Video views

Twitter followers

Impressions

Friends

Coupons distributed

But if you can quantify their financial impact, you have ROI!

Employment applications

Types Of Financial Impact

A. Revenue B. Costs Avoided

Anything that leads to A or B,But only if you can directly

equate its value

What You Need

Historical Metrics

Excellent CRM Tools and Practices

Clearly Understood and Applied Web Analytics

CRM Essentials

Must be used by everyone who touches the customer

Must document online, offline and landline communications

Must span the engagement lifecycle

Must enable segmentation and grouping

Web Analytics

Must track individual visitors

Must document paths to desired destinations

Must identify referring sources

You must use them

Basic Business Metrics

Lifetime Value of a Customer = (Longevity * Revenue) * Margin 𝐂𝐨𝐧𝐯𝐞𝐫𝐬𝐢𝐨𝐧𝐑𝐚𝐭𝐞=

𝐍𝐞𝐰𝐂𝐮𝐬𝐭𝐨𝐦𝐞𝐫𝐬𝐕𝐢𝐬𝐢𝐭𝐬 /𝐋𝐞𝐚𝐝𝐬

Value of a Lead/Visitor = Visitor * Conversion Rate * Lifetime Value

Measuring the Immeasurable

Lift Studies

Store visits

Headline Counts

Employment applications

Speaking Invitations

Net Promoter Score Coupons redeemed

If You Can Measure It, You Can Calculate Its ROI

Okay, Let’s Make it Real

Typical customer Moe spends $10,000/year with you

Moe is with you for five years

Your profit margin is 10%

Lifetime value of Moe is($10,000 * 5) * .1 = $5,000

Applying ROI: Value of a Visitor

Monthly Visitors 10,000Conversion Rate .5%Lifetime Customer Value $5,000CalculationValue of a visitor $25

Value of a Blog

Monthly Search Traffic 3,000Estimated Traffic w/Blog 4,000Value of a Visitor $25Monthly Value of a BlogMonthly Blog Expense $6,000ROI () 316%

Value of a Tweet

You send 50 tweets a month

This generates 1,000 visitors to your website

2% of your website visitors become leads

5% of your leads become customers

Therefore, the value of a tweet is:

(1,000 * .02 * .05 * 5000)/50 = $100

Cumulative ROI

Year Item Annual Cumulative

1

Forum Administrative costs $35,000 $35,000

Savings $70,000 $70,000

ROI 100% 100%

2


Savings $105,000 $175,000

ROI 500% 233%

3


Savings $140,000 $315,000

ROI 1900% 429%

• You want to launch a customer support forum to reduce your costs of telephone support

• Estimated admin costs: ½ FTE yr 1, ¼ FTE yr 2 1/10 FTE yr 3• Estimated savings: 1 FTE yr 1, 1.5 FTE yr 2, 2 FTE yr 3

Thank you!

Paul Gillin

508-656-0734

[email protected]

Site: gillin.com

Blog: paulgillin.com

Twitter: pgillin

PRSA Seminar, 10/17/10

Business

Transcript of PRSA Seminar, 10/17/10