5 ways social media changed the way we do business

5 Ways Social Media Changedthe Way We Do Business

Honza Páv, 20. 11. 2014

New York University in Prague

Let's start with definitionsSocial media vs. Social networks

Are IM apps like WhatsApp, Skype or Viber regarded as Social Media?

SocialMedia

Social NetworksDiscussion

ForumsPhoto and Video

SharingComments Blogs Reviews

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Let's start with definitions"Doing business" as selling to people

• It is not about marketing anymore – business model and other parts of business became a marketing tool

• Scale – I try to look at the topic from both the small and big scale of business

• B2B is sligthly different, will becovered partly

1. SOCIAL MEDIA BROUGHT EFFICIENT TWO-WAY COMMUNICATION

Differences between massand networked media

Source: flatworldknowledge.com

Businesses are forcedto communicate

In the context of Twitter, source: marketingland.com

Businesses are forcedto communicate

In the context of Twitter, source: marketingland.com

Businesses are forcedto communicate

My thought was:

„They won‘treply on e-mail. On Facebook, they have to“.

Businesses are forcedto communicate

In the context of Twitter, source: marketingland.com

Customer care is a differentiating factor

Source: orchard.co.uk

Every company is a media companyCommunication is not a campaign anymore.

Hero, Hub, Hygiene framework

Every company is a media companyStorytelling is about vision

source

Companiesthat tell greatstories usually

have strongvisions.

If you think youhave nothing to say, start with

the reason whyyou‘re in the

business

Is it really efficient? Or is ita blackhole where you lost money?

Source: Superbwallpapers.com

If done without a strategy, you willpropably fail

Regarding strategies, it can be build from bottomup by executing a vision and iterating. But you

have to create your strategy Framework one day…

2. SOCIAL MEDIA CHANGED THE WAY PEOPLE DECIDE ABOUT PRODUCTS

Commoditization and technology developement influence buying decisions

Brands can react on opportunities. It is more than just showing ads.

Buildinga relationshipin real-time

Fake reviews

Source: Lifehacker.com

Gartner Says By 2014, 10-15 Percent of Social Media Reviews to Be Fake, Paid for By Companies (Gartner.com)

Brands can analyze the data and betterunderstand customers‘ needs

Reporting & monitoring Analysis & advanced visualization

Brands can analyze the data and betterunderstand environment and relationships

Source: honzapav.cz

3. BUSINESSES, ESPECIALLYTHE SMALL ONES HAVE NEW TOOLS

No free reach on Facebook anymore, but still…

Guess how many fansdoes this Page have?

Tools for business before and now

Before After

Advertising was sooo expensive Now you can buy ads on Facebook etc.

Reaching niche segments was almostimpossible before data from social media and geolocation

Within several clicks, you can set up a campaign targeting various behavioral orinterest-based segments

Website could be done only byprofessionals

Just use Wordpress or Squarespace

Business intelligence tools were only fromcorporate world

Now they are accessible (not cheap) withQlik, Klipfolio or GoodData

Many others: Google Analytics, Hootsuite, NodeXL, Open Refine, PHP, APIs, …

The growing need for skilled people

1. Be able to think long-term (strategically)

2. Know Project Management (not tools, but principles)

3. Learn writing (it also helps in thinking)

4. Understand Excel

5. Be familiar with graphic design tools (Photoshop, Gimp)

6. Don‘ t be affraid of coding (HTML, CSS, PHP)

4. SOCIAL MEDIA BROUGHT MORE DATA INTO BUSINESS

The architectureof social media posts

„It‘s just a metadata“

“It does not collect the content of any communication, nor do the records include names or locations. The NSA only collects the type of information found on a telephone bill: phone numbers of calls placed and received, the time of the calls and duration."

„It‘s just a metadata“

Social Data are rich source of knowledgeWe already talked about analysis…

Source: honzapav.cz

Benefits for businessesSocial Data in CRM systems

Source: stratablue.com

Benefits for businessesTailor-made Services / Content

Benefits for businessesTailor-made Services / Content

Much better advertising: Allowingsegmenting and remarketing

Women 25 – 45, 2+ children at householdOR

Mothers interested in child care and common Children‘s cerealbuyer similar to people who buy cereals on our website

Much better advertising: Allowingsegmenting and remarketing

5. SOCIAL MEDIA ARE CHANGING THE WAY ADVERTISING BUSINESS WORKS

Do you know Socialbakers?They exist because of Social Media.

Do you know Ogilvy?They need to change and evolve their services.

Do you know O2?They evolve internally to facilitate

the benefits of Social Media.

Do you know Lovebrand?They need to explain what is the role of Social Media in brand

strategies for SMB‘s, not just selling ads or SEO.

FINALLY… SEVERAL TAKE-AWAYS

Knowing principlesand benefits of Social Media bring is a must, knowing all features facebook has is not.

All media are convergingwith „social“ elements. It is an

evolved environment, not a tool.

SocialMedia

Social NetworksDiscussion

ForumsPhoto and Video

SharingComments Blogs Reviews

FacebookTwitterGoogle+Foursquare

Lide.czFinExpertOmlazeniBabinet

YouTubeStream.czFlickrRajče.czGalerie.cz

iDnes.czNovinky.czMěšec.cz

BloggerMedium.comWordpressBlog.czEstranky.cz

HeurekaEshopyScuk.czTripAdvisorHotels.com

Please ask questions! Or follow-up at my email address honza@lovebrand.cz or on

Twitter handle @honzapav.<3