how 'crowd-sourcing' is changing marketing and social dynamics
DESCRIPTION
Discover how community-powered business models are reinventing the wheelTRANSCRIPT
Can Ecosystems go beyond‘Positioning’
You ?
Leveraging the power
Of
Communities
Evolution of MarketingRelationship between Products/Companies and Community Engagement
Marketing 1.0
• Creating demand / Leveraging latent demand
• Pushing ‘use’ of products through creating events/imagery
Evolution of Marketing…Relationship between Products/Companies and Community Engagement
Marketing 2.0
• Consumer becomes prominent : His events, his stars are endorsed by brands to create link with him• Market research becomes critical tool – to understand customers and adapt
Evolution of Marketing…Relationship between Products/Companies and Community Engagement
Marketing 3.0
• Evolution of ‘Instant Community Outreach’ – providing power of instant feedback / Viral marketing getting critical• Pushing a brand is dead : Creating Brands is about creating opinions• Market Research : Engaging customers in candid conversations without telling them the intentions
Coke Facebook page is number one page – just after US President Barack Obama
• 3. 3 Million Hits• Not created by company : but by its two fans – Dusty Sorg and Michael Jedzrejewski• Coke actually brainstormed with them and took them through entire Coke facilities to help improve the page
What Next
Companies
Products
Price
Community
Marketing 3.0
Defining demand and creating
markets
Community has so far supported the
business;
Can they Create
Businesses?
INKFRUIT – T-shirts by community
• Anyone can design and sell a T-shirt • The community designs, votes and purchases T-shirts
Idea ConnectionCommunity solving problems together
• GE announced USD 200 Million rewards to ‘Community’ to solve problems related to renewable energy; grid efficiency and Eco buildings• BP invited community to solve ‘Oil Spill’ Challenge
KIVA – Peer to peer lending
• 19, 387 people lended USD 1.423 Million to potential entrepreneurs• 1 loan every 13 seconds
RANG DE – Removing India’s poverty
• INR 2.21 Crores raised so far, having impacted 4,362 borrowers
Believers’ Fund : Making customers pay for your product development
• Potential end-customers get not only to review new products : but also pre-buy it at special rates : thus funding product development
Grow VC : Crowd-Funding new start-ups
• Anyone with just INR 1,000 can now invest in a new emerging enterprise• A marketplace is created to bring together start-ups, investors and experts
Points to ponder
• The ‘Community’/ ‘Interactive Ecosystem’ is today more stronger than any product or brand : Not only supporting business, but ‘creating’ solutions
• A brand today not only has to compete with its competitors : but also keep a track on what community can generate
• Besides making it difficult to push products – a responsive ecosystem also creates the challenge of cluttering/fragmenting possible points to capture target audience’s attention and way of tracking his evolving needs
• The advantages it offer is quicker feedback; strong referal power amongst the community and shorter product cycles
Marketing ‘Ecosystem’ based businesses
• Social Media Marketing : Where opinions are defined today
• Providing personal usage rewards/experiences : The end-user is still individual
• Physical manifestation of results : Delivering beyond the online /media space
• Managing ‘Ecosystems’ will get more challenging : Innovative platforms
Marketing 4.0
• Your customers/ecosystems will become your ‘Strategists’
• ‘Opinions’ could become great ‘levelers’ of brands : It will be battle of ‘Brand Attributes’ and ‘Opinion Attributes’ ; Both will need to be tracked and evolved at much faster pace
• Participative communities would continue to create new platforms : Brands would have to adapt to be kept engaged and relevant
Thank you !
Satish Kataria
Managing Director
Springboard Ventures Private Limited
Mumbai