Posts Tagged ‘social media’

The search and social media paradox

Thursday, July 15th, 2010

Lee Odden, a recognized expert in the areas of search and social media, recently ran the 2010 Digital Marketing Poll on the TopRank Online Marketing Blog.  The poll, presumably directed at marketers, asks: “What 3 online marketing channels & tactics will you emphasize in 2011?”

TopRank used Twitter to promote the poll–and did so on multiple occasions.  Presumably, a lot of people received notice of the poll:  @TopRank has 6061 followers, the update was retweeted 262 times, “liked” by 45, and likely got additional visibility through other social sharing media*.

How Odden attracted responses

Odden followed all the recommended steps to motivate engagement:

  1. He posted the poll in a blog that attracts a highly targeted audience–online marketers interested in obtaining high search engine ranks.
  2. The post’s topic is highly relevant to the target audience, a group whose success depends upon selecting cost-effective marketing tactics that will elevate their messages above the noise.
  3. The post is even more valuable because it promises timely data that is not readily available.
  4. Odden heightened readers’ awareness of the challenges they face by asking questions such as “Are social media and content marketing the glue that brings multi-channel marketing together?”, “Is 2011 finally the year for mobile?”, and “Will companies focus on more holistic online marketing?”
  5. He also encouraged engagement by soliciting readers’ advice on whether he focused on the right areas.
  6. He offered a “Top 10″ list–something all the pundits recommend to engage interest–and delivered by providing a running tally of the poll’s findings.
  7. Following best practice, Odden promoted the poll a number of times–which is an important factor in increasing response rates since not everyone responds the first time they get a post.

Calculating success: the response rate and conversion rate

Odden’s stated goal was to get 200 respondents.  At first glance, this seems conservative; however, it is well in line with industry statistics.  Consider the following loose assumptions for demonstration purposes:

  • 6000 people received the initial tweet from TopRank when the blog was posted
  • Retweeters and Facebook followers average 10 followers (feel free to use your own numbers)
    • 2000 (262 x 10) received the post via retweet
    • 450 (45 x 10) received the post via Facebook
    • 500 saw the post on social bookmarking sites (again, my swag)
    • None of the indirect respondents forwarded the link
    • Twitter follower response rates (assumptions, once again)
      • 5% the first time TopRank tweeted the post
      • 2.5% the second time TopRank tweeted the post
      • 1.25% the third time TopRank tweeted the post
      • 1% response rate from indirect recipients

The logic underlying the assumptions

Most direct response campaigns, of which this is one, anticipate getting response rates of less than 1%, more if the list is as highly targeted as the @TopRank list is.  Direct marketing typically yield low response rates since most people only attend to messages that they see as relevant when they receive them.

Resending messages increases the number of responses because recipients’ views of what is relevant depend on what they are doing at the time.  Nevertheless, each subsequent communication gets a significantly smaller response rate than the one preceding it.

Response rates, however, are not conversion rates.  Here the response rate would be the number of people who clicked through to the poll.  The conversion rate is the number that chose to participate in the poll.

The result of using best practices

Using these assumptions, TopRank would receive 1230 responses (plugged the above assumptions into Excel) and the 232 people that completed the poll would represent a 20% conversion rate of those responses.  That said, the assumptions are just guesses, so feel free to recalculate using your own inputs.

So what’s my point?

What struck me about the response rate is that it is a clear demonstration of how difficult it is to convert others.  Odden is well-known, well-respected, offers high value, and in short, did everything right.  Yet, even he didn’t draw enough responses to perform the cross-tabulations it would require to answer questions about the applicability of his information.

What does this mean for the rest of us who are trying to sell a product or a service?  Here are my thoughts.  We need to:

  • Do everything that Lee Odden did
  • Find a way to reach many more prospects, all of whom are ideally as qualified as Odden’s are
  • We also need to articulate the value of our offer in a number of ways in an attempt to increase the percentage of our highly qualified prospects that will find the messages relevant
  • We need to communicate our messages more often than Odden did, which translates into running our campaigns over much longer periods.
  • Then, once we achieve the first conversion, we need to do it over again; since unlike Odden, we are selling a product or a service and require more interim conversions than Odden did.

The paradox of search and social media

In short, search and social media can help marketers identify more qualified prospects and accelerate the process, still it’s as challenging as ever to achieve our goal: getting the most qualified prospects to “raise their hands” when they’re ready to buy.  Everyone says that social media is the answer, but what if–no matter how trusted the source is–others still don’t have time to attend to the message?

What are your thoughts about this analysis?  Is it on target?  Does it address the right questions?  Reach the right conclusion?  More important, what are your perspectives about where marketers should spend their resources to elevate their messages and accelerate conversions?

* Numbers on the day I wrote this post.

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New social media site invites users to review public health care services

Tuesday, June 29th, 2010

As an adjunct professor at Simmons College’s Department of Health Care Administration, I received a press release (the first paragraph of which appears below) with a request to spread the word.  I should also disclose that I know a couple of the donors involved through a separate relationship, and have known about this project since its inception.

Press release lead paragraph

“Simmons College’s Department of Health Care Administration launched a new website that will gauge the experiences of Boston-area healthcare users who have their services paid for by public programs. USisUS.net, which stands for the United States is Us, aims to reach out to minority populations and healthcare users who receive aid through programs such as Medicaid, VA, Commonwealth Care and others.  Users of the site can review these comments and ratings about particular health care providers.”

The many faces of Barbara Bix, Managing Principal, BB Marketing Plus

This post discusses my observations from several perspectives including that of a health care marketing consultant, a social media marketing consultant, a user of services, a citizen, and a taxpayer.  So, please join me now as I switch hats and weigh in from each of these roles.

Health care marketing consultant

The topic was also of particular interest to me as a health care marketing consultant.  There’s a lot of debate about what constitutes health care quality.  It’s hard to measure since we’re not widgets.  Each of us comes to our health through a unique combination of genes and behavior–and at different stages of wellness/illness–before health care providers even begin administering care.  For another, most of us don’t have the medical knowledge to assess the relative quality of our treatment regimes or outcomes.

Nevertheless, user perspectives are important; and health care providers have begun to seek them out over the last decade or so.  For one, we’re the only ones who know how we feel.  For another, we are qualified to rate some of the more visible aspects of our care–as well as our overall experience during the care process.

User of services

I see this site as a “Yelp” for government services.  The interesting twist is that citizen reviewers are not only users of the services and prospective users of the services, but also citizens who pay for the services–whether they ultimately use them or not.

As soon as I heard about this concept, my first reaction was, “We need this for our town”.  As a user, I think it’s a great way to hear from trusted citizens about new services of which I might otherwise have not been aware–as well as to get recommendations for which services to use when I have a choice.

Taxpayer

As a taxpayer, I’d find it useful to have information that helps me evaluate our programs and help me determine for which enhancements to advocate.  Today, I read about controversial decisions in the local newspaper and wish I could get a better understanding of the pros and cons from the people these decisions will most affect.  I also love the idea that administrators of those programs have a way to get specific actionable feedback on services without extra effort.

Social media marketing consultant

One of the best ways to develop superior offerings is to collaborate with clients, and prospective clients, to design and then improve the services you deliver.  A frequent “unintended consequence” is that users then feel more engaged and more involved, just because someone sought their feedback.  This engagement often leads to even greater satisfaction.

The magic of social media is that you can so easily, and inexpensively, reach so many of the people you aim to serve, get instant feedback, and have a forum where they can work as a group to refine that feedback.  This aspect is often referred to as the “wisdom of the crowd”.

Bias

Yes, there will be bias.  You’re most likely only to hear from those who are “high responders”, extremely satisfied, or extremely dissatisfied.  The hope is that, as with many other social media, “the crowd” keeps the conversation centered and useful.  I know that when I’m the user, I look to the crowd for overall sentiment, and to individual reviewers’ comments only for the details that they will bring to my attention.

Your perspectives, please

What’s your take?  Have you used any programs that evaluate public services?  If so, what value have you derived?  What reservations do you have?  What feedback do you have for USisus.net as they start to spread the word?

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How search and social media will shorten the B2B sales cycle.

Monday, June 21st, 2010

Paul Gillin, author of The New Influencers and a leading authority on B2B marketing,  just published a draft of the first chapter of his upcoming book, Social Marketing to the Business Customer on his blog. He had me on the second page when he spelled out what I’ve always seen as the differences between B2B and B2C sales–but have never been able to articulate as clearly.   The points Paul makes –about buyers’ focus on value, group decision-making, and sales cycle length especially resonate with me as someone who focuses on marketing IT products and professional services to corporations.

B2B transactions are “bet the company” decisions

As I was reading, however, it occurred to me that the characteristics that both Paul and I ascribe to B2B businesses may be a function of scale and complexity, rather than just the target audience.  After all, most consumer acquisitions are not “bet the company decisions”.  Notable exceptions include real estate, new jobs, mates, and the most major of surgeries.  In each of these situations, individuals’ buying behavior is more like that of businesses than consumers.

Nevertheless, I still think the points that Paul outlines are what distinguishes most B2B from most B2C transactions.  Even those B2B purchases that are not “bet the company” decisions, occur in the spotlight, are ones for which the buyer is held accountable by others, and are therefore “bet the job” decisions.

Long sales cycles are expensive

Of the points Paul mentioned, my own focus as a B2B marketing consultant has always been on shortening the sales cycle.  As he notes, B2B sales cycles stretch out because success depends on addressing the needs of multiple people at multiples stages of the buying process, each of which have different priorities.

Long sales cycles are expensive.  Ironically, any time that salespeople spend on prospecting for new business, building relationships, pointing out the benefits of the company’s wares, or ensuring that each stakeholder gets satisfactory answers to the questions she or he has is relatively unproductive.  The company only makes money when its salespeople are closing deals or negotiating their terms.  Any time spent on the activities leading up to a sale has a huge opportunity cost, because that’s time that the salesperson isn’t closing other deals.

Advance preparation is the secret to accelerating the sale

Advance preparation is the secret to shortening the sales cycle.  Salespeople tend to only have messages for a few of the audiences that they need to reach.  Because they are under pressure to close the transaction, salespeople don’t have the time it takes to research and prepare the nuanced responses that others who influence the buying decision often require.  Consequently, their communications are not as powerful as they could be–and the sales cycle stretches out as prospects continue to shop.

This is where B2B marketers, and B2B marketing consultants like me, make their greatest contribution.  Our job is to anticipate who will be involved in the buying process, what they’ll need at each stage, and how they prefer that the company meet these needs–with the goal of developing targeted communications and tools well before Sales needs them.

B2B marketers are at a disadvantage

Unfortunately, we can’t take advantage of many of the tools that B2C marketers have at their disposal.  They get reams of data gathered through surveys and via scanners at the point-of purchase.  They also have many media in which they can cost-effectively place highly-targeted ads.

Our audiences are smaller and buy less frequently.  They are also less homogenous both due to the greater complexity of the B2B buying decision–and because our total available markets aren’t generally large enough to divide into sizable segments.

It’s, therefore, hard for us to get relevant survey data.  For one, it’s hard to capture the nuances of complex buying decisions in a survey that’s limited to forced choice answers.  For another, there aren’t enough of us, targeting any given market segment, to justify third-party investments in any but the most general survey data.

Historically, our best alternative, for getting at the heart of the buying process, has been to gather information from decision makers through one-to-one interviews, or in small groups.  Doing so requires special skills to avoid predetermining the answers by the way we pose our questions.  Moreover, because the available data collection methods were expensive, we could only speak with relatively small samples of the population.

From a communications perspective, we’ve never had a cost-effective media.  As Paul notes, our goal is to reach multiple audiences that buy relatively infrequently–and whose needs vary depending on where they are in the buying process.  If we purchase spots in broadcast media, we’re paying to reach too many people we don’t care about.  On the other hand, direct marketing, which allows for more targeted messaging is also expensive–since we still don’t know which prospects will be receptive to our messages at any point in time.

Search and social media promise to be a tremendous boon

Search and social media have the potential to make us both more efficient and more cost-effective.  They promise to improve both the quality and quantity of the information we can obtain.

By searching on germane keywords, we can find out what prospects have to say, unaided, on relevant topics.  This information will add value, since discussants are likely speaking about what matters to them– rather than just responding to questions about the dimensions that we think to ask about.  Search and social media also provide access to the crowd, decreasing our reliance on the insights of a few available individuals.

The news is even better from a communications perspective.  Organic search and pay per click dramatically reduce our costs.  One is free and the other only requires us to pay for audiences that are likely receptive to our messages.  We also can reach members of our target audience through social media via the online peer groups in which they participate or the lists members make of their peers using tools such as Listorious.

The availability of better tools is a double-edged sword

The good news is that search and social media have made getting the right message to the right person at the right time easier and less expensive than ever–and should enable us to significantly shrink the sales cycle.  The bad news is that customers will be less forgiving of companies whose marketing messages still  do not anticipate and address their needs.

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Will marketing consultants and agencies switch places with in-house staff in a digital world?

Tuesday, May 25th, 2010

As a marketing consultant, I attend a lot of marketing seminars and marketing conferences to stay current with my craft.  Today, the buzz there is all about online marketing.

digital marketingTypical topics include content strategy, search engine optimization (SEO), social media, inbound marketing, marketing automation, and of course email marketing.  Spending in all of these areas is up–often at the expense of conventional advertising and PR.

There are several trends driving this transition.  One is that prospects are moving online so the marketers that wish to reach them must also move online.  Another is that advances in marketing technology have made it relatively easy for non-professionals to produce content that attracts and engages their audiences.

A third is that many online marketing programs are direct marketing initiatives and therefore highly measurable–even more so now that respondents leave digital footprints in their wake.  A fourth is that in a down economy, companies are more concerned about short term revenue.  This causes them to focus more on demand generation and less on longer term strategies such as branding.

If content is king, will marketing organizations change to serve the new master?

In attending these conferences, one of the things that has struck me is that most of the marketing strategies under discussion require generating a lot of content–a task which many companies have historically outsourced to advertising and PR agencies or independent copywriters.  So, this has made me wonder whether organizations, particularly small organizations, are restructuring to make the most of their marketing resources.

That is, now that most of the marketing resources are going to content production and analytics–are companies retaining these functions in house?  And, if so, are these businesses outsourcing marketing strategy work–since it tends to be front-loaded and then intermittent–and requires far fewer resources on an ongoing basis in today’s digital world?

What are you seeing at your company and those companies that you serve?

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B2B marketing insights and tips compliments of MarketingProfs

Thursday, May 6th, 2010

So much to learn, so little time–which is why I was thrilled to have the opportunity to meet and learn from hundreds of other marketing professionals this week at Marketing Profs B2B forum.  What’s more we had a lot of fun and left with a lot of ideas that many of us are already putting into action.

B2B digital marketing best practices

Over two jam-packed days, we heard about best practices in areas like search engine optimization (SEO), content strategy, lead generation and lead nurturing, and social media.  We learned about what’s worked, what hasn’t, and why from Marketing VPs that have been there, tried that.

Now, a day later, I’m summing up my notes and thought I’d share some of what I learned with those of you who couldn’t get away.  These insights just a sampling of all I took away from this great conference.

Three insights + three tips

For each session I attended you’ll find three things I found interesting and three tips I found useful.  The biggest “aha” was that sometimes the things that were the most interesting were also the things that should have been obvious…

“Higher Conversions, Better ROI: Advanced Landing Pages that Improve Campaign ROI” with Anna Talerico, Scott Brandt, and Michael Burgis.

Interesting:

  • The ability to customize landing pages to specific targets can dramatically boost conversions.
  • Having an automated tool makes customization much easier (and appears to be a “must” if you want to use your website for lead gen)
  • Match expectations:  ensure that landing page uses images and phrases consistent with the invitation to click through

Tips:

  • Want visitors to click through?  Offer reports on market trends or price quotes
  • Want to ensure prompt follow up?  Pull leads that Sales hasn’t called (within a pre-specified time
  • Add social icons to your “thank you” page to encourage further interaction

“Content SEO- Best Practices and What to Avoid” with Lee Odden and Jiyan Wei

Note: Due to a previous commitment, I only caught the last half hour of this session.

Interesting:

  • Google’s webmaster tools/blog is a treasure trove of useful information
  • There’s no tool yet that enables you to look up social keyword usage/trends
  • Google is starting to penalize sites with long load times

Tips:

  • Want to increase the chances that Google will index all your pages?  Submit your HTML and XML site maps to Google directly.
  • Do you syndicate your content?  Let Google know which page is original to avoid penalties
  • Need a proxy for a social keyword tool? Look at tag clouds on relevant blogs and social bookmarking sites.

“Drowning in Data, Starved for Knowledge?” with Devyani Sadh, PhD

Note: The recommendations offered in this session appear to require consultants, several tightly integrated software packages and teams of data analysts to implement and therefore may be beyond the reach of most small companies.

Interesting:

  • Marketing 101 rules still apply, but analytics are key to concentrating your firepower where it will have the greatest impact.
  • Larger companies that fail to invest in these resources may find themselves at a competitive disadvantage
  • Where are the dashboards that will make the data presented in this session useful to the less technical users of the data?

Tips:

  • Strategy before tactics:  Identify your target market and focus on them because there aren’t enough resources to do everything.  Then don’t forget retention which is far more profitable than acquisition.
  • Critical success factors:  objectives and a plan, database strategy, metrics strategy, data mining strategy, integration strategy (of various online systems and of online and other data)
  • Data sources in order of priority: customer contact data, preferred means and frequency of contact, purchase history, web transaction history, third-party demographic data (e.g. D&B), Campaign responses, survey data

“Blogging for Business Roundtable” with Galen DeYoung

Since this was a Q and A session, I’ve just included tips:

Tips:

  • Use WordPress as your blogging platform because it has the most plugins
  • Recommended WordPress plug ins:  All in One SEO Pack, Sexy bookmarks, Robots Meta
  • Use Google URL Builder to help you track analytics that are otherwise lost when you use URL shortening tools

“Unleash the Power of Content to Engage Your Prospects” with Stephanie Tilton, Michele Linn, Amy Black, Pam O’Neal

Interesting:

  • People forget to be interested in you, you need to remind them (sad, but true)
  • Your content strategy needs to outline goals at every stage of the buying process and content that will help you achieve those goals.
  • Content attracts more qualified leads, because searchers are often in “shopping” mode

Tips:

  • Add “best practices” to your case studies
  • Teach your sales people how to write LinkedIn profiles that sell and use SlideShare to embed your sales presentations in their profiles
  • Update the offers on your blog post

“How B2B Marketers are Using Mobile Marketing to Increase Revenue” with  Chris Koch, Bob Gold, Jeannine Rossignol, and Dawn Cochran

Interesting:

  • Shoots off plants have a better chance of surviving than their seeds do.  The success of mobile apps depends on branding done in other spheres.  Self-contained apps are not likely to succeed.
  • Your app needs to work on all phones since even the company with the largest share only has a small percentage of the market.
  • Tools now exist to port applications built on one platform to another, although additional development work is still needed.

Tips:

  • Opt-in is mandatory.  People are very protective of what they allow on their phones.
  • Provide Sales with mobile versions of all sales aids for easy access.  Make everything printable to a queue so that they can easily obtain hard copies when needed.
  • Want to build a community?  Use mobile because it’s available 24 x 7.

“Six Pixels of Separation – How B2B Connects In a Connected World” with Mitch Joel

Interesting:

  • Google bought YouTube for its community
  • 20% of searches have never been done before (opportunity for you to “claim” those terms!)
  • The average Canadian spends 16 hours/month on YouTube and the average segment is just 4 minutes (American stats are comparable or higher)

Tips:

  • Become active n communities where your target audience lives
  • Publish or Perish
  • Invest heavily in Search

“Websites that Convert More Customers” with David Reske and Jay Kramer

Interesting:

  • Many of the pages the speakers presented were dense with text, consistent with their recommendation to ensure you have a lot of content
  • Usability /Navigability is key
  • Sepaton, a provider of high-speed data backup solutions,  reminds visitors of its value proposition with flash images of trains, runners, and speedboats.

Tips:

  • Ensure that it’s obvious what problem you solve on every page you publish
  • Consider integrating what others are saying about you in social media on your site so visitors can validate your claims
  • Include a call for action on every page

Now, here’s the irony.  You take two days out of your busy schedule to attend a conference–and then come back with many more things to add to the “to do” list.

Of course, the hope is that they’ll pay for themselves over time–which I believe they will.  Thanks  to all the folks at Marketing Profs for a great conference!  Looking forward to next year.

Added 5/10/10

One reader asked for more clarification/examples.  Please see below.  If you require additional clarification, please let me know.

1. An automated tool for landing pages is helpful because many companies end up adding or customizing multiple landing pages each day.

2. The speaker that mentioned that  “shoots off trees do better than seeds” referenced Dragon as an example of an application that’s already branded and would benefit from a mobile extension.

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Social media for B2B Marketers via Paul Gillin

Monday, May 3rd, 2010

A lot of what we read and hear about social media focuses on how businesses can use it to market to consumers (B2C).  Yet, as a business-to-business marketing consultant, I’m far more interested in its B2B applications.

This is perhaps the main reason I was looking forward to Paul Gillin’s breakfast seminar at the Massachusetts Technology Leadership Council last week. The other reason is that Paul has an uncanny ability to connect the dots in ways that add new meaning to any topic that he addresses.

B2B Marketing differs from B2C marketing

Paul distinguished between B2B marketing and B2C marketing by noting that because B2B purchases are often bigger, more complex, and ultimately “bet the company” decisions.  Therefore, the focus is on value, and then service and support.

Most buyers have a rigorous process for ascertaining value because they know that they will have to live with their decisions for a long time.   This process includes seeking expert advice.

Winning depends on influencing the experts

As validated by a 2008 Marketing Research study that Paul cites, the experts they rely on include employees who have experience with the product or vendor, analysts, and peers in that order.  Although the decision makers don’t ignore vendors’ marketing materials, personal recommendations carry much greater authority.

Winning therefore depends on building relationships with the experts–and those that influence them.  Today, much of that influence is happening through social media, so that’s where vendors need to be.

Strategies for determining who is influential and what interests them

Paul outlined a number of strategies for figuring out who wields the most social influence and what will engage them.  He recommended turning to peer validation sites such as Technorati to identify candidates and then looking to sources such as presence in the mainstream media, traffic rank, number of inbound links, Hubspot’s website and Twitter graders, and the number and quality of Twitter followers and LinkedIn connections to assess each individual’s level of influence. To learn what interests them most, Paul suggested checking their blog rolls and tag clouds.

It’s about engagement, not merely circulation

As Paul points out, it’s all about engagement, not merely circulation.  Once you’ve identified whom you need to reach you’ll want to treat them like reporters and reach out to them with news that they’ll find interesting.

Nevertheless, it’s important to remember that they’re not the reporters of old–and therefore will have different questions and concerns.  Paul provided a number of examples of engineers that blogged on their technical specialties, CEOs that blog about the issues that face their organization, and others who are passionate about the niches they cover.

Case studies, tips, and more!

Then there were case studies to illustrate each point.  Paul showed examples of how companies used social media to attract attention, save money, get rid of excess inventory, and generate revenues.  He also discussed which social media tactics work best at each stage of the sales cycle.  It will come as no surprise to readers of his earlier book The New Influencers that blogging remains a favorite.

Next were tips for would-be publishers.  Chief among them was the importance of having clear business goals and a strategy for achieving them–at every stage of the sales cycle.  Paul noted that he feels that small business can really excel at social media because they know their niche, are nimble, and are less likely to get caught up in politics.

Another important piece of advice was to “fish where the fish are”.  With Twitter and posts on group discussions linking to blogs–and Facebook’s new “Like” button–the walls around each platform are continuing to come down.

Find out where your audiences congregate and go there to communicate.  Answer questions on LinkedIn.  Post presentations on SlideShare.  Then, you can link back to your site so the engaged can learn more about you and your company.

Finally, recycle and extend.  The same content can serve as a foundation for a blog, a podcast, and even a video.  You can reference it in a LinkedIn group on Twitter or in a comment on someone else’s post.

Read the book

Lots of good advice–but this blog post is just a teaser.  To get the full scoop, you’ll need to wait for the book–due out next January.  For a sneak preview, see Paul’s slideshow entitled B-to-B Social Media–Really.

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Will social media increase users’ influence over product development?

Friday, February 12th, 2010

I was just reading Mashable’s post on Google Buzz.  What struck me most is the potential  social media has for empowering users to affect product development.

Google Buzz users “organize” to advocate for new features within days of product launch

Google announced Google Buzz earlier this week.  Today, Mashable reported that it had received “just shy of 500 responses” within several hours of  asking followers: “What features would you like to see in Google Buzz?”.

Just think about it.  This is an incredibly inexpensive way to capture market reaction and present supporting evidence to a vendor you’re trying to influence.  Let’s look at two alternatives.

Alternatives for capturing market response to a new product

Before social media, users desiring to influence product development may have chosen to conduct a survey by mail, email, or phone.  To  do so, they’d need to know who had experience with the product and how to reach them.  Of these alternatives, only email has the potential to promise rapid turnaround time.  Nevertheless,  it would be difficult to obtain a large enough list to get this high a response rate.  It also would have taken considerable time and effort to assemble the list and use it to get the message out.

Another alternative would have been to use some sort of broadcast media to get the message out.  This would have obviated the need to get names, but broadcast media–such as print, radio and TV advertising– is generally expensive for that very reason.  Even placements in highly targeted publications are rarely free.

Will blogs that can speak for many succeed in influencing product development?

Using a blog to find out what others want–and letting the world know seems an awfully effective way to influence product developers.  I know that developing a blog capable of attracting 500 responses isn’t free either.  It takes a lot of work to build a following large enough to draw that many responses.   Moreover, only a small percentage of readers of any post tend to actively contribute; and not every follower reads every post.

Still, using a blog to rally support for new features is a lot quicker and cheaper way to influence product developers than the alternatives–and pretty cool.

How do you think Google Buzz will respond?

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Social media: Insights from an in-house specialist

Monday, January 18th, 2010

Most B2B companies are just beginning to dip their toe in the social media marketing waters.  Consequently, I was delighted when Alan Belniak, the newly appointed Director of Social Media Marketing at Parametric Technology Corporation (PTC) agreed to an interview about how his company is approaching social media and why.

My questions appear in bold followed by his answers.  Here’s what he had to say:

Why did PTC create your position?

Twelve to eighteen months ago, the company’s senior marketing executives realized that conversations happen online whether or not PTC participates–and determined the company needed to take a more active role.  They considered various approaches but ultimately decided they needed a full-time resource.  For one thing, PTC is a large organization with almost $1 billion in revenues. For another, it was clear that social media was here to stay.

What does PTC hope you’ll achieve?

Better engagement with customers.  People that participate online tend to be more engaged than those that don’t.

Engagement is the name of the game.  Engagement equals a valuable brand.  Valuable brands attract more customers.

My job is helping PTC marketers determine where to spend time and how to spend it.  The key is figuring out how to create and promote good content.  If you pump out seven blogs in a week, you run the risk of overwhelming your audience.

How does your company view social media complementing other initiatives?

There are several ways.  For one, social media will augment other marketing activities.

Because of the nature of social media, perhaps it will reduce spend.  I use the word “perhaps” intentionally as it will only reduce costs if we can get more data for less money.

Social media can also help you get better qualified leads.  At a recent Massachusetts Technology Leadership Council meeting, Amy Black from Kadient said something along the lines of “A discussion through social media beats a cold call every day.”  If you do something that causes someone to take action–and let you know they’re interested–that’s better than pursuing them.

Today, the focus is on marketing.  In the future, my personal hope is that the entire corporation will incorporate social media into their operations.

What are your primary responsibilities as Director of Social Media Marketing?

My primary responsibility is to help the company leverage social media in its marketing efforts.  I consult with marketers about how they can integrate social media into campaigns they are planning, and how they can put more power behind existing programs.

I also monitor social communications, “separating the signal from the noise”, to identify opportunities for PTC to take a more active role.  For example, I look for mentions of PTC, our products, and keywords, such as “PLM software” (product lifecycle management) that relate to our business.

Because we’re a global company, I also determine what tools to use in other countries by reviewing third-party research, interviewing local marketing experts, and traveling to other countries to learn more about what people are using there. Different cultures consume information in different ways.  For example, some countries, such as Germany, place a different value on face-to-face conversations than others.  If online activity doesn’t influence the conversation, then it doesn’t make sense to invest heavily in social media in those places.

What listening tools are you using?

I’m glad you asked that, because listening is so important.  We use a number of free tools such as Twitter’s advanced search, BackTweets (which effectively reverses “the shorten URL process” to find terms that were in the original URL but are no longer visible), Social Mention, and OMGILI (an aggregator that displays results visually).  We also use BoardTracker to search discussion boards.

In addition, it’s important to search on sites that are specific to your industry–and look through the sites themselves.  For example, I bookmark PLM–and CAD-related websites and then enter my keywords in their search bars.

We listen to traffic on three large networks:  Facebook, Linked In and Twitter; because that’s where audiences have conversations about business–or blur the line between business and personal.  When it comes to Twitter, my main interest is the links that people share.

You need to use a suite of tools.  You can’t rely on a single tool, because none of them do everything. You also need to accept that, initially, you will get overwhelmed–but you need to get over it.  You can refine your process over time–and use aggregators like Social Mention.

You want to get a rough sense of where things are happening.  If you record all the mentions of your search terms, you’ll go batty.

You just want to understand where the conversation is happening, what people are saying about you:  the questions they have, the tips they offer others, how they feel about you) and the media they use (audio, visual, file exchanges), etc.  If we can answer those questions, then we know where to focus our time, what content we are seeking, and how to deliver it.

I also should add that not all the information we get is free.  Our PR agency uses a third-party tool to produce a thick report of all the times that our company gets mentioned and nice-looking graphs.

We pay for this service to leverage our time.  They search many sites (both relevant and less relevant); and we use this data to understand trends, such as where certain types of conversations are happening, and the general content of those conversations (such as the media they use, as mentioned previously).

Where are you focusing your initial efforts and why?

We are listening to hear where the conversations happen so we know where and how to engage: what channels to use, what content to create, who to follow, what media to use.  I’m also teaching the corporation how to engage with social media.

How will PTC know if you’re successful?

The first indication will be 1.0 metrics such as page views over time and unique visitors. Moving forward, though, you need to change what you measure, and measure what you change.

To bridge the gap to 2.0 metrics, we’ll look at better forms of engagement (such as the ratio of comments to posts to measure how deep the conversation is and average unique comment per post that tells you how many people you’ve engaged).

Then, there are intermediary measures.  For example, Facebook now allows users who won’t comment to just click to indicate that they “like” a particular post.

Initially, you’ll want to look at the aggregate, rather than the specific.  There are no widely agreed-upon metrics that I’ve found — but since everything is online, it’s still easier to measure the ROI of social media than the ROI of a billboard.

What’s been the biggest surprise in your new role?

Although there is a general awareness of social media, inside our company, it is very new to most people and initially, they weren’t clear as to how to apply it in their day-to-day marketing efforts. As I’ve dug into this role, I’ve learned that this is not uncommon amongst B2B companies.  Social media is so new that there is a lot of education needed inside a company to aid adoption.

Why do you think that is?

The adoption of online social networking was very rapid, likely attributable to Facebook (and others).  Since Facebook is primarily seen as a casual or truly social site (as in, non-professional), I think people associated it with kids and socializing.  They likely extended this thinking into other forms of online social networking.  However, Facebook is just one form of online social networking.

Other forms of social networking (online and offline) exist, too – for example, moving into a new neighborhood and asking for a good plumber – that’s an example of and ‘old fashioned’ offline social network.  But the social mores and rules are the same.

In addition, some people may have tried something small in one or two social arenas (for example, purchasing ads or trying a reach-out campaign), and may not have gotten the results they were seeking.  In doing so, they may ascribe their less-than-desirable results in one social arena to all social arenas.  For example, I thought that a recent article in the New York Times about how people often base their impressions on a single data point was a great take on this phenomenon.

What’s your largest unanswered question about social media at PTC?

How long until it “pays off”?  By that I mean, “When will I be able to make a stronger correlation between our marketing efforts to stimulate engagement, and its ultimate effect on sales, revenue, and profit?”.

Altimeter produced a report that shows that the more engaged a brand is with customers, the greater their annual revenues are.  Companies that do participate online are more engaged with their customers.

Customer engagement equals a valuable brand.  A valuable brand leads to increased sales.  It also goes without saying that this leads to happier customers.

We’ve covered a lot of ground about your perspectives on social media.  What else should we cover?

I’m glad that you asked about listening platforms earlier.  That’s where it starts.

One of the greatest challenges is getting people to listen before acting.  I wrote a fairly comprehensive strategy from scratch.  You need to figure out what you want to accomplish first. Else, the first time you fail, someone will ask, “Why did you do that?  It doesn’t make sense.”

My own research shows that people who want a social media strategy often want to jump into interaction.  If you don’t know what’s important to your customers, prospects, or users, or where the conversations are happening, how can you have an impact?

I liken this to a cocktail party…You don’t show up at someone’s house and say, “buy my stuff”.  You show up, survey the landscape, and maybe find someone you know.  You listen in on a few conversations before you add a comment or two.  As the evening progresses, in addition to adding comments into conversations, you strike up your own conversation.  Before the night is over, people are joining your conversations and looking to you for what you have to say.

Online social networking and the use of social media is similar.  Starting by listening and offering comments is a better bet than jumping into a sales pitch or a “go look at our stuff” mentality with respect to a web presence.

Is there anything else you’d like to add?

I love my job.  I appreciate that PTC gave me this opportunity and admire the company for being so forward thinking.

Also, I’d be remiss to talk about social media and not provide people additional ways to find me online.  My Twitter ID is abelniak (@abelniak ; http://www.twitter.com/abelniak), and my blog address is http://www.SubjectivelySpeaking.net

Hear more from Alan this Thursday morning when he’ll be speaking on Social Media: What’s In It For You? in Cambridge, MA at a NEDMA event.

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What are your marketing priorities for 2010?

Wednesday, December 30th, 2009

A quick search on Google indicates that surveys about business-to-business (B2B) marketing priorities tend to concentrate on tactics–rather than strategy. They also tend to focus on investments in various types of promotional activities, rather than the greater marketing picture. As for strategy, at least one survey seems to indicate that in a tight economy, B2B companies rank demand generation first and then raising awareness.

What happened to the focus on the customer?

The irony is that gaining deeper insights into customer, or prospect needs, rarely shows up as a priority, let alone a high priority. Why not?

Is it because investments in gaining customer knowledge are not of interest to those doing the surveys? Or, do researchers assume that everyone knows all they need to know about customers?

Or, is the assumption that some form of marketing research, win/loss analysis, or customer data mining is an integral part of any marketing campaign–and therefore does not need singling out? Or, do researchers know from past experience, that while everyone realizes gaining customer insights is important, it’s not a primary focus or one in which companies invest heavily?

I don’t know the answer. I do know that while many companies do invest in learning more about their customers, others feel that they know enough–and/or cannot afford to learn more. The question is can any of us afford not to delve deeper into what matters most to those we depend on for revenues?

Isn’t customer knowledge power?

The devil is often in the details–and nuances in capabilities and/or messaging can make a tremendous difference. That’s why it’s not uncommon for consumer goods marketers, the messaging masters, to invest 10% of the anticipated cost of any marketing campaign in upfront marketing research.

Moreover, we all know of “first movers” that lost the race because they didn’t move down the learning curve. Instead, competitors pulled ahead by making slight, but significant modifications to the core offering or message.

Is everyone focused solely on lead gen?

From reading the marketing trade press, one gets the impression that a lot of companies do believe that deep customer insights drive sales.  These companies are investing in:

  • Data mining tools that will help them pinpoint their most promising prospects and understand exactly what helped win their business
  • Social communities that help assess the desirability of products and marketing messages before committing to their delivery
  • Usability testing to find and remove product design elements that get in customers’ way
  • Social media listening tools that enable marketers to determine where audiences turn for information–and what communications resonate most with them–before jumping in the fray
  • Marketing campaign software that includes the ability to monitor conversions and determine what worked–and what didn’t
  • Sales enablement solutions that make it easy to create and test responses to alternative lists, messages, and offers

Gaining deep customer insights doesn’t need to be expensive

Investments in increasing customer intimacy are not limited to large companies.  While many smaller companies may not have the financial or human resources to invest in the automated listening tools listed above, they have other options at their disposal.

Many of our clients gain deep insights by easy-to-administer programs such as:

  • Using free social media listening tools to monitor market trends, conversations about the need for the solutions their companies offer, and any mention of their name and/or their competition’s
  • Interviewing customers and prospects to learn about the steps these individuals took before making a recent purchase decision–and what triggered these actions
  • Developing case studies about the benefits that satisfied customers derived from their solutions
  • Following customers, and those who influence decisions about their products and services, on Twitter

The question, however, isn’t what others are doing, but what you’re doing. Will this be the year of the customer for your business?

Ready to start today? Test your customer IQ now!

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Use of Social Media for Marketing Medical Devices

Tuesday, November 24th, 2009

medical device
Last summer, Robert DeSimone of MediComm Consultants, Inc., a colleague from the Medical Development Group, mentioned that several of his clients had inquired about social media. Recognizing that medical device companies face special marketing challenges because they are regulated by the FDA, we decided to go right to the source. Here’s what we learned:

Is social media part of the medical device marketing mix?

Our primary objective was to learn whether and how medical device companies are using social media to communicate with prospects and customers, and the effect that FDA regulation or the lack thereof, is having on these activities.

Our methodology

We developed an online survey to learn more about what types of medical device companies are using social media, how they’re using it, what they hope to accomplish, and how they will measure success. We partnered with medical device trade associations and on-line social communities to distribute the survey and solicit participation.

Then, we conducted qualitative interviews with a subset of respondents to learn more about how their companies were using social media. This subset encompassed individuals working for an FDA-regulated concern that are using social media as a company.

The respondents

The sample was self-selected in that members of the groups that participated in the survey could opt whether or not to participate. The trade associations we partnered with are in California, Massachusetts, and Minnesota. We focused on these three areas due to the heavy representation of medical device companies within these geographies.

Most of the social communities were sponsored by LinkedIn and focus on the medical device industry. A couple of the groups are associated with the partner trade associations. We specifically excluded pharmaceutical concerns, as this segment, unlike the medical device industry, has traditionally been more aggressive in directly pursuing consumers.

251 people participated in the survey. Fifty-seven percent of the total respondents work for regulated medical device companies; and, of the regulated group, 67% work for companies with greater than 51 employees.

The individual participants work in a number of functions. Our report, however, focused on those whose jobs include communications with customers or prospects. Of these, only 11% work for companies that include social media in the marketing mix.

We conducted follow-up interviews with five survey respondents, all of whom work for FDA-regulated companies and use social media to communicate with customers and prospects.

How medical device professionals and medical device companies are using social media

Our analysis focused on respondents who work for FDA-regulated companies. Of these, 63% use social media for job-related activities, and only a subset, (16%), use social media to communicate with customers and prospects.

Of the FDA-regulated companies that use social media to communicate with customers and prospects, most have been using social media for less than six months. They are still in the early stages and are testing multiple social media venues.

In most of these companies, the Marketing Department initiated these communications. Only one company, among the 18 that use social media to communicate with customers or prospects, indicated that they have been able to quantify success. Nevertheless, all plan to continue funding at current levels or increase the funding for their social media programs.

Individual medical device marketers’ perspectives on social media

The responses to the follow-up qualitative interviews were relatively consistent with the quantitative findings. Everyone we interviewed had started using social media relatively recently and most were careful to limit posts to content previously approved for press releases, website, and/or print communications. All the respondents we interviewed said that Marketing had initiated the company’s foray into social media.

In one case, the marketing executive learned that their customers were active social media users from her customer advisory council. She decided to pursue social media marketing because she felt it was important that the company participate in the conversation.

In another case, the company’s agency recommended that they begin participating in social media. In the remaining cases, the companies began experimenting with social media because their competition was already actively involved. Most engaged the services of an agency to jump start the process.

Most of the respondents researched the market and the competition before jumping into social media. At least, one company also established social media guidelines. A couple reported the differences in participation levels they are seeing between consumers and clinicians; and even more interesting, that there are participation differences among clinicians in different roles and medical specialties.

The respondents told us they were listening as well as posting. The listening tools they use run the gamut from Google Alerts to one company’s decision to pay an agency to listen in their stead.

It was our sense, however, that the listening and the posting were somewhat independent, and not necessarily social conversations per se. That is, companies listened to learn what was important to their prospects and to determine where to post. Nevertheless, because they limited their posts to pre-approved content, outgoing communications were not necessarily in direct response to what others were saying.

As for measurement, most expressed the desire to do so, but didn’t believe they had a definitive approach. One pointed to retweets and the opportunity to discover, and congratulate a customer about a recent award as early indications of success. Perhaps due to their short social media tenure, and the restrictions they face as a regulated industry, most had relatively few followers.

Perhaps surprising, except in the case of one respondent, FDA restrictions were not the major concern about launching social media programs. It was our impression that these marketers had accepted the fact that medical devices are a regulated industry with a given set of constraints.

Instead, the respondents appeared more concerned about resource limitations. None had a dedicated social media resource, although several commented that their competitors did. One didn’t even have time to do much listening on a consistent basis.

Medical device companies believe they must participate in social media to remain competitive

The medical device companies that we interviewed are in the early stages of social media participation. Most are optimistic that social media will accelerate their marketing efforts, but few have enough data to measure success. Nevertheless, they feel they must participate to learn or risk being left behind. That said, medical device companies are likely to lag the competition, at least until the FDA clarifies the regulations governing the use of social media.

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