Social Marketing Breakfast 1 June: More sales, less cost thanks to a participatory website for your...

©dialogsolutions, may 2010

Les petits déjeuners du Social MarketingDe Social Marketing ontbijten

June 1st, 2010

The incredible business case: more sales, less cost, more satisfaction thanks to aparticipatory website dedicated to your

company

©dialogsolutions, may 2010 2

Agenda

• What can the external world bring to the party ?

• What did some participatory campaigns miss ?

• Reasons to believe


WHAT CAN THE EXTERNAL WORLD BRING TO THE PARTY ? MORE VALUE AND LESS COST

3


Consumer engagement drive improvement across the value chain

SOURCE: McKinsey Technology Initiative

▪ Created support

communities, where

80% of queries are

answered by members

▪ 15% of customers use

communities for

support

▪ Customer support

community enabled

only 2 Novell FTEs to

support 20,000 issues

per quarter

▪ Extensive support

community greatly

reduced call center

volume

▪ Created online

communities to improve

customer research

▪ Estimated savings of $3M

per year in surveys and

$1M per year on focus

groups

▪ On-line apparel retailer

uses existing customers as

“reps” to generate 15% of

sales

▪ 1% of customers engaging

as “reps”

▪ Deployed network of

suppliers for designing

and manufacturing

motorcycles

▪ Reduced cost of

components by 70%

▪ Connects photo-

graphers to buyers,

reducing stock

photography cost by

~100 times

▪ Created on-line platform to

enable inventors to submit

product ideas or provide

solutions

▪ Increased R&D productivity

by 60%

▪ Doubled new products

success

▪ Reduced R&D as a

percentage of sales from

4.8% to 3.4%

▪ Opened up product roadmap

to online community

▪ Reduced time spent to review

product roadmap

▪ Doubled frequency of

releases without increasing

staff

▪ Community-based t-

shirt design company

eliminated need for

internal design function

R&D/ Product development Procurement/ Production Marketing /PR Sales Service

▪ Created social network for

sharing cruise travel plans

▪ Estimated to have driven

$1.6M of cruise revenue

▪Used uTest, an on demand

software testing community

▪Significantly reduced testing

cost and improved quality

▪Deployed web based tools to serve as

project details library

▪Reduced projects timelines and enabled

reuse of up to 25% of project designs

and engineering data

▪Created active recruiting

community onFacebook with

more than 30,000 users

Support functions – HR, IT, Training

http://images.google.co.in/imgres?imgurl=http://gurugupta.files.wordpress.com/2007/10/pg_logo_il.thumbnail.jpg&imgrefurl=http://gurugupta.wordpress.com/2007/10/07/pg-rocks-others-shake/&h=55&w=128&sz=4&hl=en&start=2&um=1&tbnid=FjHCJXxDEJ65yM:&tbnh=39&tbnw=91&prev=/images?q=P&G+%22connect+and+develop%22+logo&um=1&hl=en&newwindow=1&rlz=1G1GGLQ_ENIN273&sa=N

http://images.google.com/imgres?imgurl=http://www.morganmasterpiece.com/cdw%20logo%20trans.gif&imgrefurl=http://www.morganmasterpiece.com/mm%20sponsors.htm&h=156&w=300&sz=4&hl=en&start=2&sig2=n54QdgJM7U2-A3g70qVcWg&um=1&tbnid=klJZ-PemoaOcrM:&tbnh=60&tbnw=116&ei=RVoXSM2bH6CKpwSU74mzAg&prev=/images?q=CDW+logo&um=1&hl=en&rlz=1T4ADBF_enUS225US225

http://images.google.com/imgres?imgurl=http://www-935.ibm.com/services/au/itsn/images/au-itsn-bechtel-logo.gif&imgrefurl=http://www-935.ibm.com/services/au/index.wss/summary/itsn/a1011352?cntxt=a1005031&start=1&h=154&w=200&sz=9&tbnid=gx9MDkkvikwNcM:&tbnh=80&tbnw=104&hl=en&ei=FuflRrG3KZ7KiwHYx-yCDA&sig2=mzQHKUopuEqN5EuuiZ5Krg&prev=/images?q=bechtel+logo&gbv=1&svnum=10&hl=en


5

End to End External engagement creates value and reduces costs

SOURCE: Brandialog white paper

End-to-End External Engagement (E4

) is the ability to truly

engage with external partners continuously in time, for

insights, innovation, marketing, sales and customer service

R&D Operations Marketing Sales Service


HUMAN RESOURCES


2,000,000 IMPRESSIONS2,300 NEW ACCOUNTS$4,000,000 IN NEW DEPOSITS

7

Why did they experience this

kind of growth? Prospects

TRUSTED her.• © DDB CANADA


PRODUCT MANAGEMENT

• © DDB CANADA


9

“I COULD HAVE JUST NAMED THIS THING THE VX150 OR ZI8. BUT I THOUGHT THAT THE PEOPLE WHO BUY THE PRODUCT SHOULD COME UP WITH SOMETHING MEANINGFUL TO THEM.” – JEFFREY HAYZLETT,CMO, KODAK

Prior to the 2010 CES, Kodak CMO Jeffrey

Hayzlett asked consumers to name a new camera

over Twitter. The winner(s) would win a trip to

Vegas and help him launch it.

• © DDB CANADA


Case study – Deutsche BankClient context Selected approach

•Explore a new product through

qualitative research and co-

creation

•Live focus groups + Private Dialog

•First serie of ‘live’ focus groups

•4-months Private Dialog for :

•Brainstorming on interest of the project

•Calls to reactions on product features

•Brainstorming on operational implications for users (follow up)

•Creativity sessions for naming

•Test of marketing material (display)

•‘off context’ feedback, feedback from prescriptors

Impact

•Deeper insights vs focus

groups due to lesser social

conformism, dominance

•More nuanced and valid

input as people got ‘time to

think’, just as in real life

•More creativity due to larger

size of group

•Mix of quali / quanti – could

nuance thinking between e.g.

Clients/non-clients or other

categories

“ Brandialog offered us a unique way to gather

insights on a relevant set of consumers. We are

on their turf. They are ‘experts’ in their decision-

making and guide us through our decision-

making process. Brandialog’s solution and team

enable more validity, creativity and disclosure.”

Yannick Grécourt, VP Strategy & Marketing,

Deutsche Bank


SALES


WHAT IF CUSTOMERS COULD DOWNLOAD HELPFUL TOOLS AND USE THEM AT POINT OF PURCHASE?

• © DDB CANADA


$15K ON DIRECT MAIL = 200 NEW CUSTOMERS$7,500 ON OUTDOOR = 300 NEW CUSTOMERS$0 ON TWITTER = 1800 NEW CUSTOMERSBUSINESS GROWTH: $4MM -> $50MM IN 3 YRS

• © DDB CANADA


EMPLOYEE & CUSTOMER TRAINING


WHAT IF YOUR SALES TEAM HAD NEW SALES TRAINING PROGRAMS AND NEW PRODUCT LAUNCH INFORMATION AUTOMATICALLY DOWNLOADED TO IPODS/Pads?

• © DDB CANADA


CUSTOMER CARE


TAKING THE LOAD OFF OF CUSTOMER CARE

VIA UNPAID ARMIES

• © DDB CANADA


What did some participatory campaign miss ?

• Côte d’Or ?

• Alken Maes ?

• Volkswagen ?


Côte d’or ?


Alken-Maes ?

• Un referendum

mais pas d’écoute

• Un FAQ qui aurait pu faire

des émules.

• Une cible très visible

• Que faire de ceux qui ont perdu ?


Côte d’or, Alken Maes, who did they attract ?

22

2.5% is the average number of

consumers buying 80% of a

product, the ‘Pivotal Point

Consumers’*

2 à 3,5% is the number of first

adopters and key influencers to

the rest of the community

Those are often the same.

They are critical to new

products and innovations. We

name them «LEAD USERS».

Source: Catalina marketing study


Volkswagen Belgium


REASONS TO BELIEVE


Facts

• 450 millions people onFacebook• 830 000 joining every day• They spend 55 minutes/day• 4 millions belgiansX 55 minutes• 50% claim having a higher tendency to buy brands

they’re connected with• 1 500 000 cies have afan page• 20 millions join a fan page every day.• 0,19% = CTR average banner• 6,49% = CTR avergae post on FB• 66% of touchpoints created by the public(McK, july

2009)


Facts: there is one single lever left to keep control of your market: testoring trust

Source agenet wildfire/DDB Tribal Canada


Social media complete each other and build links restoring trust around a company/Brand


Google : organic, intention based

Email : passed to one or many

Facebook : passed from a friend to many friends

Twitter : passed to those who care

Types of links


Which links ?

Searched links

60% et 10%

growth

Passed links

20% et 25/40% de

growth

Organic S L Paid S L Organic P L Paid P L


Facebook in the near future ?


Like & Yelp


Starbucks


When do you plan to start ?

Social Marketing Breakfast 1 June: More sales, less cost thanks to a participatory website for your...

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