building your social strategy: prioritizing efforts for scale
TRANSCRIPT
Building Your Social Strategy:Prioritizing Efforts for ScaleGeneral Success Track
Jeremiah Owyang, Altimeter Group
Gordon Evans, salesforce.com
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© 2011 Altimeter Group
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© 2011 Altimeter Group
The World Changed
An Open Leader Emerges
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© 2011 Altimeter Group
Internal Storms Hinder Progress
Compounding DemandsCompounding Demands
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© 2011 Altimeter Group
What is the future?
Path 1: Grounded to Social Media Help Desk
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Path 2: Achieve Escape Velocity
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Building Your Social Strategy:Prioritizing Efforts for Scale
Grounded to Social Media Help Desk
Achieve Escape Velocity with Scalable
Programs
Path 1: Path 2:
Path 1: Grounded to Social Media Help Desk
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Most programs have existed less than 3 years (as of Oct. 2010)
41% of programs are reactive to requests
Strategists work with limited budgets – averaging just $833,000 for all corporations
The Situation
Customers become accustomed to “yelling in public”
Business units adopt “social media fever” and deploy on their own
The Problem
With limited resources, companies can’t scale 1:1 dialog
Social efforts are uncoordinated and fragmented
Relegated to the “Social Media Help Desk”
As internal and external demands mount, companies become mostly reactive, relegating themselves to a “Social Media Help Desk.”
Companies who head towards
Path 1 will not scale.
Path 2: Achieve Escape Velocity
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6 Steps to Achieve Escape Velocity –
Stay out of the Social Media Help Desk.
1. Formalize a Hub and Spoke model quickly
2. Become an Enabler for Business Units
3. Scale with Peer-to-Peer Communities
4. Integrate Social onto the Corporate Website
5. Formalize a Customer Advocacy Program
6. Streamline Internal Workflow with SMMS
6 steps to achieve Escape Velocity
1. Formalize a Hub and Spoke model quickly
Move from fragmentation and decentralization to coordination where business units can deploy own their own. Tip: Governance > Process > Education will
organically manifest as a Hub.
How companies organize for social business
Decentralized Centralized Hub and Spoke
Multiple Hub and Spoke or “Dandelion”
Holistic or “Honeycomb”
DECENTRALIZED
- Organic growth- Authentic- Experimental- Not coordinated- e.g. Sun
- One department controls all efforts- Consistent- May not be as authentic- e.g. Ford
CENTRALIZED
HUB AND SPOKE
- One hub sets rules and procedures- Business units undertake own efforts- Spreads widely around the org- Takes time- e.g. Red Cross
MULTIPLE HUB AND SPOKE OR “DANDELION”
- Similar to Hub and Spoke but across multiple brands and units
- e.g. HP
HOLISTIC OR “HONEYCOMB”
- Each employee is empowered- Unlike Organic, employees are organized- e.g. Dell, Zappos
Most companies organize into Hub and Spoke
Source: “The Career Path of the Corporate Social Strategist,” Altimeter Group, December 2010
You can never hire enough community managers or deploy and manage efforts.
Therefore, establish a “Center of Excellence” at the Hub to support and enable business units
2. Become an enabler for business units
How the CoE and spokes work together:
Set guidelines, policies and processes, and hold spokes accountable
Provide and facilitate learning, education, and research in real time, reducing risk
Own tools, and distribute best practices
Report and coordinate with dotted line spokes, e.g. Executives, HR/Associates, and Legal
Manage social media efforts on their own, within established guidelines
Report and coordinate with CoEon strategy, deployment, and measurements
Share best practices with CoEand other spokes
CoE Spokes
Ebay’s CoE (Global Hub) coordinates across functions, properties, and geographies
Responsible for• Social Strategy
• Alignment of roadmaps and plans
• Analytics and reporting infrastructure
Monthly Social Media Council meetings, with knowledge sharing initiatives
Source: http://www.slideshare.net/influencepeoples/ali-croft-monitoring-social-media-ebay
HP’s Center of Excellence supports multiple BUs
Adobe social media efforts lacked:
Knowledge sharing and coordination
Standard metrics
Common policies
Overarching strategy
Access to training
Protocol for escalating customer support & crisis issues
In 2009, an Adobe-wide audit found:
Source: Maria Poveromo, “One Company’s Journey in Social Media,” 2011
With executive support, Adobe adopted a Hub and Spoke model with a CoE at the Hub
The mission of Adobe’s CoE: “Enable more coordinated and strategic social media initiatives across the company.”
Source: Maria Poveromo, “One Company’s Journey in Social Media”
3. Scale with peer-to-peer communities
Dell’s support forum Best Buy community
Best Buy leverages “super users” to answer 30% of all questions
Started in 2008, Best Buy’s community receives 2.5 million visitors a year,
generating 100,000 conversations. In addition, 25 super users spend 8-12 hours a week on the site answering about 30 percent of all the questions
asked.
GiffGaff mobile customers rewarded for support activities through payback system
GiffGaff, a small UK-based mobile virtual network operator with only 14 employees, has no call center. Instead, the community receives pre-pay credits and badges for contributions. The community
answers 50% of customer questions. The average response
time is 3 minutes.
Community platforms are a top social business priority for all maturity levels
4. Integrate social onto the corporate website
Source: Survey of Corporate Social Strategists, Altimeter Group, November 2010
We asked 140 Corporate Social Strategists: “What three external (go-to-market) social strategy objectives will you focus on most in 2011?”
0. No Integration
1. Social Linking
2. Social Publishing
Passive Sharing
Active Sharing
3. Social Aggregation
Basic Feeds
Curated Aggregation
Contextual Aggregation
4. Social Context
Social Content
Social and Contextual
Content
5. Seamless Integration
Evolution of the Social Corporate Website
Windows 7 curates mentions of its new product on a dedicated page
TripAdvisor visitors view friend reviews through Facebook Instant Personalization
TripAdvisor launched Facebook’s Instant
Personalization feature in December 2010, offering
friend ratings, reviews, and travel history.
Look for opportunities at every phase of the Customer Hourglass
5. Formalize a customer advocacy program
Walmart original recruited 11 “mommy bloggers” for its Eleven
program.
Microsoft selects MVPS annually.
Fiskars’ “Fiskateer” moms lead a crafting brigade
In 2006, 5 women were selected as “Fiskateers.” The
program added an online community and
certified 50 “Demonstrators,” who
in turn certified 20 more who certified
100 more each. Fiskateers are paid
for 15 hours/week of ambassador time. The program is run out of PR. Fiskars calls for applications every 2
years.
Ford leverages “agent”-created content across all social properties, like their YouTube channel
The Ford Fiesta Movement resulted in 31K items of content,
17M customer engagements, 52K test drives, and 58% brand awareness prior to the release
date of the car.
Microsoft recognizes 4000 MVPs every year – the program is run by 50 dedicated staff
Every year 4000 MVPs are nominated by peers, employees, and other
MVPs, and selected by an internal panel. The length of
service is one year.
MVP is a thriving, global community
The MVP award is seen with prestige,
and MVPs worldwide attend summits, network, and display their MVP status on their blogs and
online networks.
Nearly 10M answers provided through support channels
Community provides more than 60% of solutions on MSDN, TechNet and Microsoft Answers
$1M+ in savings from reduction of content creation staffing
MVPs contribute 5x more bugs than the average Beta participant
MVPs contribute 10x more validated solutions on support forums than active participants
MVPs represent Microsoft technologies at more than 700 events WW each year
Microsoft MVPs make a business impact
Source: Ant’s Eye View
Social Media Management Systems (SMMS) vendors include CoTweet, (left), HootSuite, Sprinklr, Objective
Marketer, Expion, Seesmic, Awareness, and SpredFast(right), see full list.
6. Streamline internal workflow with SMMS
Coke has over 500 brands across the entire world, each with its own social accounts
This unofficial list of Microsoft accounts asks “If anyone has any more that should be added to this list, please feel free to let me know!”
Adoption outpaced expectations – already at 64% compared with the predicted 58%We asked: “Does your company use a social media management system (SMMS), e.g. CoTweet, Expion, Hootsuite, Seesmic, Spredfast, Sprinklr, etc.?”
Source: Survey for Social Media Program Managers, conducted by Altimeter Group (Q1-Q2 2011)144 respondents, all over 1000 employees
63.9%
18.1%
18.1%Yes
No
We are currently exploring this.
SMMS investments are low across all companies
1. Formalize a Hub and Spoke model quickly
2. Become an Enabler for Business Units
3. Scale with Peer-to-Peer Communities
4. Integrate Social onto the Corporate Website
5. Formalize a Customer Advocacy Program
6. Streamline Internal Workflow with SMMS
6 Steps to achieve Escape Velocity
1. Get ready internally, focus on governance, process, then education to emerge in the center of excellence.
2. Remember 1:1 doesn’t scale, leverage the crowd for first response, then interact in escalations.
3. Integrate social to increase relevancy and reduce costs on creating content.
4. Standardize social media management tools now so data can be aggregated.
5. Remember the future is more than social marketing: It cascades to support, product innovation, then supply chain.
Closing thoughts on priorities
Open Research: Use and share with attribution
Available for download at www.altimetergroup.com/media-room
Jeremiah Owyang
web-strategist.com/blog
Twitter: jowyang
Q&A
Research team includes significant contributions from Christine Tran, and Charlene Li, Altimeter Group
Achieve Escape Velocity
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Altimeter Group is a research-based advisory firm that helps
companies and industries leverage disruption to their advantage.
Visit us at http://www.altimetergroup.com or contact
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