Exploring the Impact of Social Media on Housewares

March 2010

Missed Opportunities

“It will be refreshing and hopefully less frustrating to have some nice, matching, non-stick cookware” Weddingbee

“It will be refreshing and hopefully less frustrating to have some nice, matching, non-stick cookware” Weddingbee

Jess_Alyn: UGH I'm at work at 6am. This sucks....but I've got to get moved to my new office. New Coffee maker is priority number ONE.

mrsmarinak: Why am I only NOW the owner of a hand held dirt devil? Oh the cleanliness I am able to achieve in such a shorter amt of time!

mrsmarinak: Why am I only NOW the owner of a hand held dirt devil? Oh the cleanliness I am able to achieve in such a shorter amt of time!

Agenda

• An Update on the Social Phenom

• Social Marketing as It Relates to Housewares

• Applying Social Media

Understanding the Social Space

What Is It?

Social Media Landscape

Time Spent Being Social

20 hours of video uploaded every minute

20 hours of video uploaded every minute

More than 400 years to view

every video on YouTube

More than 400 years to view

every video on YouTube

1.2 billion YouTube videos viewed per day

1.2 billion YouTube videos viewed per day

50 million tweets per day50 million tweets per day

4 billion photos archived on Flickr

4 billion photos archived on Flickr

3.2 million articles in English on Wikipedia and more than

9.3 million articles in 10 languages

3.2 million articles in English on Wikipedia and more than

9.3 million articles in 10 languages

2 billion pieces of content posted to Facebook weekly

2 billion pieces of content posted to Facebook weekly

If Facebook were a country, it would be the

fourth largest in the world

If Facebook were a country, it would be the

fourth largest in the world

8 billion minutes spent on

Facebook daily

8 billion minutes spent on

Facebook daily

Trended Online Activities Show Continued Growth

Connecting Consumers During Offline Social Experiences

Super Bowl Engagement

• 2010 top five Super Bowl TV ads

Alterian’s Social Engagement Indexwww.alterian-social-media.com/

SILOS

ROI

CONTROL

RESOURCES

Why Companies Are Struggling with Social Media

Today’s Housewares Consumers

How Are They Engaging?

The Social Impact

Today’s Housewares Consumer

• More savvy than ever; many online personas

– Grasp social, want to make it mine

• Scaling back on broad social media, focusing on true interactions

– Fragmented/niche social on the rise

– Foodies on Facebook vs Foodbuzz

• Food/recipes/cooking are a significant interest to female bloggers and social networks

– Approximately 20 percent also have interest in “gadgets”

Nearly half cite product/service research is a very important part of social networking.

Understanding the Social Technographics Ladder

Source: Forrester’s North American Technographics® Benchmark Survey, 2009

Base: 37,877 US online adults* *Adults participating in at least one of the activities at least monthly or more

Total USHousewares Consumer

18% 19%

16% 19%

9% 11%

33% 35%

48% 52%

41% 37%

Social Media by Generation

Emergence of Mobile

• A 40 percent growth in smartphone owners

– One in four research a product on their phones

• Apps opened a more direct distribution channel

– 4.5 billion apps downloaded this year

• Location based

– Where are my friends, what did they buy, local discounts

• This year, consumers will buy goods/services via cell

– Also this year, rise in mobile-dedicated staff

Mobile

• Augmented Reality

– Emerging in 2010, mainstream in 2011

– Big for online shopping, reviews, comparison shopping

• Barcode opportunities

• Real-time, in-store user reviews

Social Media Opportunities

The Social Impact

Social CRM

• Customer service and traditional CRM morphed

– Engage and manage dialogue with existing and potential customers across all digital platforms

• Transfer conversations into lasting relationships

• Most often overlooked social media opportunity

– 255 tweets in 24 hours about wanting a new coffee machine

PrincessJenn: @SnglMomSurvives Yeah, we've gone through Eureka, dirt devil, bissell, hoover, you name it. They all died within months for us.

Word-of-Mouth Marketing

• Facebook, amplify events

• The power of the blog

– The mom-o-sphere

– 11M posts on home décor; 8M posts on interior design

– 65 million posts in the past month on food/cooking

Retailer Support

Research and Product Development

• Free and accurate focus group

• Real-time barometer of customer opinion

• What Facebook can tell you

• Platform for open innovation

– Crowdsourcing

Stop Falling Behind

Where to Start

• Really understand your audience beyond demographics/psychographics

LIFE ENTHUSIAST PERSONALIFE ENTHUSIAST PERSONA

Finds beauty, happiness and opportunity in the unexpected; can

always see the silver lining

Doesn’t take the daily grind too

seriously; relishes humorous situations

Likes to stimulate others; comedic;

talkative; silly

Interested in the human experience;

prone to making rash

decisions and leaps of faith;

exudes boundless enthusiasm

Likes to be in-the-know and yearns

to attain wisdom through

knowledge acquisition

and life experiences

• Age 18-49

• Uses powder/syrup/ drink chocolate milk

Personality MediaShoppingConsumer

VOICEVOICELifeLife isis: : an opportunity, a blessing, precious, exciting

LifeLife isis notnot: : tedious, monotonous, uninteresting

“I believe there’s joy in every moment … you just have to choose it.”

“Having fun and sharing laughter are important parts of life.”

“I am constantly looking for new ways to entertain myself.”

“My style expresses who I am.”

“I’m always willing to try new things.”

Social marketing should be considered within the context of overall business, marketing and communications goals.

Where to Start

Where to Start – Measure

Thank You

Marcus Thomas LLC 24865 Emery Road Cleveland, Ohio 44128 marcusthomasllc.com