Convertising

The Opposite Of Advertising

Consumers Now Hold Your World In Their Hands

The World Of Advertising….

• Is Being Transformed….• 1 – 3% Return From Ads Is Standard• 96% of Online Ads Don’t “Click”• 98% of Sales Come From Referrals

Josh Bernoff from Forrester said “Marketers don't understand channels where you have to

talk and listen at the same time... The marketing industry's idea of a two-way communication is to put an 800 number or a web address or in an ad and take orders.”

Yet Advertisers Keep Spending

• $1.5 Trillion Globally Online• $375 Billion Online In the U.S. • Off Line Spending Is Moving to Online

Spending Rapidly

While Spending Has Shifted

The Methods Remain the Same!

The Market Has Shifted

• Are People Loyal to Brands Or Brands Loyal to People? Brands Have It Backwards!

• How Do People Find Stuff When They Need or Want It? SEARCH: 245 Million Times A Day

• Could Brands & Merchants Improve Their Relationship With the Marketplace? Relationships Are Formed From Experience

• Why It’s Called Social Media Because the emphasis is SOCIAL Not Institutional experiences

What Is Social Media?

Plain & Simple: It is Communications & Communicating

The process of social media involves:• Use Of Technology • Creating and distributing valuable conversations • Engagement of conversations to appropriate and relevant

markets • Methods and messages that create pull and engagement • Building and sustaining an audience (relationships) of

listeners • Continually feeding the audience with conversational

currency; value they can use: Not Advertisements!

Advertisers Use of Social Media

The Corporate Executive Board said “Most companies are embracing social media—but too many are wasting their efforts through sloppy management

More than 70% of companies are already using social media;

many are planning to increase their spending on social media across the coming years. Whether for learning from customers, building their brands or a range of other hoped-for outcomes, companies are clearly diving in.

Unfortunately, few have thought very hard about managing these initiatives. In a classic case or “ready, fire, aim,” companies are committing resources to social media efforts with very little process behind them.

The result? A hodgepodge of unrelated initiatives, wheels re-invented and resources wasted.”

Push Vs. Pull: The Difference

Advertising vs. Convertising?

Which Creates A Higher ROI?

ROI From Convertising?

Can you create anykind of return onanything without communicating?

The answer is NO!.

Thus the way you get a “ROI” from social media is to learn how to communicate more effectively, efficiently,relationally and in human not advertising or marketing terms.

People Create Convertising

People are conversing with people about life, their stuff, your stuff, and the currency exchange

is stronger than any past advertising method. One Conversation is worth 200 Ad Impressions! Get It?

Even The Media Agrees

"For companies, resistance to social media is futile. Millions of people are creating content for the

social web.

Your competitors are already there. Your customers have been there for a long time. If your business

isn't putting itself out there, it ought to be.”

The Dynamics Have Changed

The People Are Now In Charge

We the people are the new more powerful force and now we’ve been digitally enabled to find what we want when we want it . We’re learning from our

friends, not the advertisers.

Convertising: A New Method

Learning “How to Use” Social Media• “What” Tools Of The Trade: Blogs, Twitter,

Networks, YouTube and the list goes on and on• “How”: Learning "how" to effectively use social

media isn't about the technology.   The knowledge of "how" is a process of discovery that changes frequently. Knowledge isn't static and neither is human interest.

Convertising Transactions?

• Advertising was about “pushing” consumers into a transaction

• Convertising is about giving consumers the “freedom” (without intrusion) to transact

PLUS• The tools and convenience to get what they want

when they want it AND• Saving them time and money AND• Making the experience “social” SO• They will tell their friends about the experience

Changing The Transaction

How…….•People Access Brands & Merchants•Gain Discounted Pricing•No Paper Coupons•WOM References•Markets of Affinity•Brands and Merchants Save Money•Total Digital Experience•Paperless & Seamless

But Again How?

With Financial Innovation

Consumers can now get discounts, cash, rewards between each other

and directly from brand merchants and all at the click of a mouse

A Convertising Economy

A Social Media Card….

…..loaded with value that keeps on giving and is worth talking about again, again and again

Why Is It Different?

• Lowers Advertising Cost• Socially Acceptable and Assessable• Existing Cards Aren’t Enabled to Do What

This Does• Driven by Innovative Integration: Finance+

Conversations + Brand Merchants + Consumer Friendly + Affinity Groups = Something Never Before Offered

How Does It Work?

Why Is It Better?

• Because Pull Is Better Than Push• Because Convertising Is Cheaper Than

Advertising• Because Awareness Comes From People Not

Ads• Because Digital Is Better Than Paper• Because It Is Time For An Advertising Revolution• Because “Social” Is Better Than “Ad”versity

Advertising or Convertising?

• Social Media Is A Revolutionary Communications System• Advertising Is A Mass Media System• Communicating Is A Relational Dynamic• Advertising Is An Institutional Dynamic• Convertising Is A Recommendation• Advertising Is An Institutional Trick• Convertising Is Inexpensive• Advertising Is Expensive

Which Is Relational & Logical?

Do You Need To Convertise?

When Will You …..?

Now Is AlwaysA Good Time To Start!

Jay DeragonSocial Media StrategistJay.deragon@gmail.com

Thank You!