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@augieray/#prsms 
Advertising is not social 
calling paid media on 
social networks 
“social.” 
Social 
Fewer than 15% of 
Facebook ads 
Media 
leverage social data 
to reach more 
Marketing 
relevant audiences. 
(Unless…) 
Source: Nate Elliott, “Why Facebook Is Failing Marketers,” Forrester
What is social media marketing? 
Content, People, WOM, Earned Media & Results 
Social Media 
Marketing is 
content… 
@augieray/#prsms 
Authored or 
encouraged 
by a brand… 
Shared by 
Word of 
Mouth that… 
Creates 
earned 
media &… 
Drives 
marketing 
objectives.
The earned media Venn diagram 
What your brand 
can say to move 
consumers closer 
@augieray/#prsms 
First, what content help your brand?
Marketing metrics prevail 
Not RTs & fans but Business or brand benefits 
@augieray/#prsms 
 Awareness 
 Consideration 
 Purchase Intent 
 Purchase 
 Inbound Traffic 
What your brand 
can say to move 
consumers closer
Going viral is not enough 
Having a viral campaign did not help Kmart 
What your brand 
can say to move 
consumers closer 
@augieray/#prsms 
Sales (in billions) 
Ship My Pants 4/13 
$15.3 $14.6 $13.2 
2011 2012 2013
The earned media Venn diagram 
Second, what can you say that will be heard? 
@augieray/#prsms 
What consumers 
want to hear 
from your brand
Do people want brand content? 
@augieray/#prsms 
Consumers are just not that into you 
What consumers 
want to hear 
from your brand 
68% of US 
consumers “mostly” 
or “always” ignore 
brand posts on 
every social 
network. 
– Kentico, 2/14 
Photo credits: Helga Weber
Do they want your content? 
Much worse in some categories than others 
@augieray/#prsms 
What consumers 
want to hear 
from your brand 
71% of Millennials 
would rather go 
to the dentist 
than listen to 
what their banks 
are saying. 
– Scratch/Viacom, 3/14 
Photo credits: Conor Lawless
Some brands have a “magic intersection” 
What your brand 
can say to move 
consumers closer 
@augieray/#prsms 
Content that works 
What consumers 
want to hear 
from your brand 
Content 
that works! 
Boring, Unengaging Engaging, Useless
Be in the right category or… 
Sports, Entertainment, Style , Tech, B2B 
@augieray/#prsms 
What consumers 
want to hear 
from your brand 
Content 
that works! 
What your brand 
can say to move 
consumers closer 
, Local
Craft a brand that matters or… 
Brands with purpose drive engagement 
@augieray/#prsms 
What consumers 
want to hear 
from your brand 
Content 
that works! 
What your brand 
can say to move 
consumers closer
@augieray/#prsms 
Be worth talking about 
Some brands can let people talk for them 
Google Trends, US: Apple iPhone vs Samsung Note 
Apple iPhone 
Samsung Note 
9/3: 
Note 
Unpacking 
9/9: 
iPhone 
Reveal 
Samsung Mobile: Apple: 
Aug 8, 2014 Aug 15, 2014 Aug 22, 2014 Aug 
29, 2014 
39 million 0 
9 million 0 
1 million 2 million
Challenge faced by most brands 
@augieray/#prsms 
No 
Content 
What consumers 
want to hear 
from your brand 
What your brand 
can say to move 
consumers closer 
Content 
that works!
Challenge faced by most brands 
Brands that have not given people a reason to 
care in the real world cannot do so online 
@augieray/#prsms 
No 
Content 
What consumers 
want to hear 
from your brand 
What your brand 
can say to move 
consumers closer
Zero organic reach approaching on Facebook 
@augieray/#prsms 
Is the point moot? 
“Organic reach of the content 
brands publish in Facebook is 
destined to hit zero. It’s only a 
matter of time.” 
Top 3 Brands on Facebook by Fan Count 
- Social@Ogilvy, 3/14 
"We expect organic distribution of 
an individual page's posts to 
gradually decline over time as we 
continually work to make sure 
people have a meaningful 
experience on the site.” 
- Facebook Sales Deck, 12/13
@augieray/#prsms 
Is the point moot? 
The same is happening on Twitter
@augieray/#prsms 
Earned Media Is Dying 
Social Media’s Not-So-Existential Question 
"If a tree falls in a 
forest and no one is 
around to hear it, does 
it make a sound?" 
0 Likes 
0 Comments 
0 Shares 
0 Retweets 
0 Replies 
0 Favorites 
“If brand posts & 
tweets are seen by no 
one, are they still 
brand marketing?”
What about trust 
@augieray/#prsms 
It’s not just about reach 
Source: Forrester, Establish Product Credibility On Your Website, Kim Celestre, June 2014
What about trust 
@augieray/#prsms 
It’s not just about reach 
Source: Adobe, 6/2013
What about trust 
@augieray/#prsms 
It’s not just about reach 
Source: Adobe, 6/2013 
, acquisition
@augieray/#prsms 
It’s not just about reach 
Source: Custora, Q2 2013 
What about trust 
, acquisition 
Data derived from data spanning 72 million customers from 86 U.S. retailers across 14 industries.
, acquisition & driving purchase? 
What about trust 
@augieray/#prsms 
It’s not just about reach 
Source: IBM, 12/2013 
Just 1% of purchases & 
traffic on ecommerce 
sites on Black Friday 
and the preceding 
week were directly 
generated by social media. 
Data collected from 800 U.S. retail websites
What about trust 
@augieray/#prsms 
It’s not just about reach 
, acquisition & driving purchase? 
Based on a random sample of over 7 billion online shopping experiences using “same store” data across each calendar quarter. 
Source: Monetate, Q2 2014 
Bounce Rate 
47% 
39% 
62% 
Add to Cart 
4.5% 
2.1% 
0.6% 
Conversion Rate 
0.9% 
0.4% 
0.1% 
Revenue/Session 
$1.0 
$.46 
$.14
Earned Media Challenges 
Does Social align with Marketing objectives? 
@augieray/#prsms 
Shrinking reach 
Little trust 
Poor acquisition 
Few conversions
Does Social align to Marketing? 
For which 3 is the CMO held most accountable? 
@augieray/#prsms 
Acquisition 
Reputation 
Collaboration 
Inbound traffic 
Advocacy 
Listening 
Loyalty 
B2B 
B2C 
Sales/Share 
1to1 Relationships 
Marketing 
Acquisition 
Inbound traffic 
Sales/Share 
Which Marketing Performance Metrics 
does your company measure? 
Website traffic 79% 
Quantity: Sales Leads 62% 
Lead Conversion Rate 62% 
Website traffic 78% 
Lead Conversion Rate 61% 
Quantity: Sales Leads 54% 
Source: Ascend2, 1/2013
Does Social align to Marketing? 
For which is Social Media most effective? 
@augieray/#prsms 
Social 
Acquisition 
Reputation 
Collaboration 
Inbound traffic 
Advocacy 
Listening 
Loyalty 
Sales/Share 
1to1 Relationships 
Marketing 
Acquisition 
Inbound traffic 
Sales/Share 
Reputation 
Collaboration 
Advocacy 
Listening 
Loyalty 
Relationships
So, is Social a bust for biz? 
@augieray/#prsms 
Acquisition 
Reputation 
Collaboration 
Inbound traffic 
Advocacy 
Listening 
Loyalty 
Sales/Share 
1to1 Relationships 
Marketing 
Acquisition 
Inbound traffic 
Sales/Share 
Social 
Reputation 
Collaboration 
Advocacy 
Listening 
Loyalty 
Relationships
So, is Social a bust for biz? 
No, it aligns well outside of Marketing 
@augieray/#prsms 
Social 
Reputation 
Advocacy 
Listening 
Loyalty 
Public Relations 
Product Development 
Research 
Human Resources 
Customer Care 
Collaboration 
Relationships 
Reputation, Advocacy, Relationships 
Collaboration 
Listening 
Advocacy, Loyalty, Relationships 
Advocacy, Loyalty, Relationships
Earned media on a collision course 
If earned media cannot yield marketing goals, 
it will not long be part of the Marketing mix 
74% of CEOs think Marketers 
focus too much on the latest 
marketing trends such as social 
media – but can rarely 
demonstrate how these trends 
will help them generate more 
business for the company. 
@augieray/#prsms 
Fournaise Marketing Group, 
based on research with 1200 CEOs 
and CMOs in 11 countries, 7/2013 
Have proven 
the impact 
quantitatively 
Haven’t been 
able to show the 
impact yet 
15% 
Have a good 
qualitative sense 
of the impact , but 
not a quantitative 
impact 
45% 
40% 
Data collected from 351 top US marketing leaders 
Source: CMO Survey, 9/2014
What does this mean to you? 
Start managing your career for changes ahead 
@augieray/#prsms 
No No 
No 
Congratulations! You get to do social media marketing! 
Yes Yes Yes 
Caution! Danger ahead! 
Does your brand 
have a “magic 
intersection"? 
Can you control 
the paid media 
budget for social? 
Does your firm 
evaluate marketing 
in reputation & 
loyalty?
@augieray/#prsms 
Avoid a career trap 
Start managing your career for changes ahead 
Redirect: Work to alter expectations and goals. 
Educate peers on the real business or brand goals that 
social can measurably deliver. 
Detour: Consider social opportunities outside of the 
Marketing department. 
Exit: Consider shifting out of social media and into 
related fields such as CX, customer care or mobile. 
Caution! Danger ahead!
Once upon a time there was a web site 
Where we used to post a thing or two 
On Facebook we would laugh away the hours 
And think of all the marketing we'd do 
But soon reality was ever clearer 
That fans and likes were not a currency 
And content from our brands was no more welcome 
Than ads in print, on FM or TV. 
Those were the days my friend 
We thought they'd never end 
We'd tweet and pin forever and a day 
We'd post our ads for free 
With authenticity 
Our brands would win and never have to pay 
La la la la la la, La la la la la la, 
Those were the days, 
Oh yes, the social days! 
@augieray/#prsms 
Those Were the Days! 
1968 Song by Mary Hopkins; Written by Boris Fomin and Gene Raskin
And now organic reach is ever shrinking 
On Facebook people rarely see brand posts 
And hashtag programs always seem to backfire 
Hijacked by the trolls who spark revolts 
@augieray/#prsms 
Those Were the Days! 
1968 Song by Mary Hopkins; Written by Boris Fomin and Gene Raskin 
Social is a place where all our patrons 
Can share how much they love us or we suck 
So word of mouth comes not from status updates 
But care that demonstrates we give a ████ heck 
Those were the days my friend 
We thought they'd never end 
We'd tweet and pin forever and a day 
We'd post our ads for free 
With authenticity 
Our brands would win and never have to pay 
La la la la la la, La la la la la la, 
Those were the days, 
Oh yes, the social days!
@augieray/#prsms 
ignoring the 
danger signs & 
prepare your 
company & 
career for 
changes ahead. 
1 Source: Nate Elliott, “Why Facebook Is Failing Marketers,” Forrester

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Social Media - 8 lessons about what it is and why it's vitalSocial Media - 8 lessons about what it is and why it's vital
Social Media - 8 lessons about what it is and why it's vital
 
10 Lessons on Social Media: What It Is, Why It’s Important, & How to Get...
10 Lessons on Social Media:  What It Is, Why It’s Important, & How to Get...10 Lessons on Social Media:  What It Is, Why It’s Important, & How to Get...
10 Lessons on Social Media: What It Is, Why It’s Important, & How to Get...
 

Stop Social Media Marketing (Unless...)

  • 1. ST0P @augieray/#prsms Advertising is not social calling paid media on social networks “social.” Social Fewer than 15% of Facebook ads Media leverage social data to reach more Marketing relevant audiences. (Unless…) Source: Nate Elliott, “Why Facebook Is Failing Marketers,” Forrester
  • 2. What is social media marketing? Content, People, WOM, Earned Media & Results Social Media Marketing is content… @augieray/#prsms Authored or encouraged by a brand… Shared by Word of Mouth that… Creates earned media &… Drives marketing objectives.
  • 3. The earned media Venn diagram What your brand can say to move consumers closer @augieray/#prsms First, what content help your brand?
  • 4. Marketing metrics prevail Not RTs & fans but Business or brand benefits @augieray/#prsms  Awareness  Consideration  Purchase Intent  Purchase  Inbound Traffic What your brand can say to move consumers closer
  • 5. Going viral is not enough Having a viral campaign did not help Kmart What your brand can say to move consumers closer @augieray/#prsms Sales (in billions) Ship My Pants 4/13 $15.3 $14.6 $13.2 2011 2012 2013
  • 6. The earned media Venn diagram Second, what can you say that will be heard? @augieray/#prsms What consumers want to hear from your brand
  • 7. Do people want brand content? @augieray/#prsms Consumers are just not that into you What consumers want to hear from your brand 68% of US consumers “mostly” or “always” ignore brand posts on every social network. – Kentico, 2/14 Photo credits: Helga Weber
  • 8. Do they want your content? Much worse in some categories than others @augieray/#prsms What consumers want to hear from your brand 71% of Millennials would rather go to the dentist than listen to what their banks are saying. – Scratch/Viacom, 3/14 Photo credits: Conor Lawless
  • 9. Some brands have a “magic intersection” What your brand can say to move consumers closer @augieray/#prsms Content that works What consumers want to hear from your brand Content that works! Boring, Unengaging Engaging, Useless
  • 10. Be in the right category or… Sports, Entertainment, Style , Tech, B2B @augieray/#prsms What consumers want to hear from your brand Content that works! What your brand can say to move consumers closer , Local
  • 11. Craft a brand that matters or… Brands with purpose drive engagement @augieray/#prsms What consumers want to hear from your brand Content that works! What your brand can say to move consumers closer
  • 12. @augieray/#prsms Be worth talking about Some brands can let people talk for them Google Trends, US: Apple iPhone vs Samsung Note Apple iPhone Samsung Note 9/3: Note Unpacking 9/9: iPhone Reveal Samsung Mobile: Apple: Aug 8, 2014 Aug 15, 2014 Aug 22, 2014 Aug 29, 2014 39 million 0 9 million 0 1 million 2 million
  • 13. Challenge faced by most brands @augieray/#prsms No Content What consumers want to hear from your brand What your brand can say to move consumers closer Content that works!
  • 14. Challenge faced by most brands Brands that have not given people a reason to care in the real world cannot do so online @augieray/#prsms No Content What consumers want to hear from your brand What your brand can say to move consumers closer
  • 15. Zero organic reach approaching on Facebook @augieray/#prsms Is the point moot? “Organic reach of the content brands publish in Facebook is destined to hit zero. It’s only a matter of time.” Top 3 Brands on Facebook by Fan Count - Social@Ogilvy, 3/14 "We expect organic distribution of an individual page's posts to gradually decline over time as we continually work to make sure people have a meaningful experience on the site.” - Facebook Sales Deck, 12/13
  • 16. @augieray/#prsms Is the point moot? The same is happening on Twitter
  • 17. @augieray/#prsms Earned Media Is Dying Social Media’s Not-So-Existential Question "If a tree falls in a forest and no one is around to hear it, does it make a sound?" 0 Likes 0 Comments 0 Shares 0 Retweets 0 Replies 0 Favorites “If brand posts & tweets are seen by no one, are they still brand marketing?”
  • 18. What about trust @augieray/#prsms It’s not just about reach Source: Forrester, Establish Product Credibility On Your Website, Kim Celestre, June 2014
  • 19. What about trust @augieray/#prsms It’s not just about reach Source: Adobe, 6/2013
  • 20. What about trust @augieray/#prsms It’s not just about reach Source: Adobe, 6/2013 , acquisition
  • 21. @augieray/#prsms It’s not just about reach Source: Custora, Q2 2013 What about trust , acquisition Data derived from data spanning 72 million customers from 86 U.S. retailers across 14 industries.
  • 22. , acquisition & driving purchase? What about trust @augieray/#prsms It’s not just about reach Source: IBM, 12/2013 Just 1% of purchases & traffic on ecommerce sites on Black Friday and the preceding week were directly generated by social media. Data collected from 800 U.S. retail websites
  • 23. What about trust @augieray/#prsms It’s not just about reach , acquisition & driving purchase? Based on a random sample of over 7 billion online shopping experiences using “same store” data across each calendar quarter. Source: Monetate, Q2 2014 Bounce Rate 47% 39% 62% Add to Cart 4.5% 2.1% 0.6% Conversion Rate 0.9% 0.4% 0.1% Revenue/Session $1.0 $.46 $.14
  • 24. Earned Media Challenges Does Social align with Marketing objectives? @augieray/#prsms Shrinking reach Little trust Poor acquisition Few conversions
  • 25. Does Social align to Marketing? For which 3 is the CMO held most accountable? @augieray/#prsms Acquisition Reputation Collaboration Inbound traffic Advocacy Listening Loyalty B2B B2C Sales/Share 1to1 Relationships Marketing Acquisition Inbound traffic Sales/Share Which Marketing Performance Metrics does your company measure? Website traffic 79% Quantity: Sales Leads 62% Lead Conversion Rate 62% Website traffic 78% Lead Conversion Rate 61% Quantity: Sales Leads 54% Source: Ascend2, 1/2013
  • 26. Does Social align to Marketing? For which is Social Media most effective? @augieray/#prsms Social Acquisition Reputation Collaboration Inbound traffic Advocacy Listening Loyalty Sales/Share 1to1 Relationships Marketing Acquisition Inbound traffic Sales/Share Reputation Collaboration Advocacy Listening Loyalty Relationships
  • 27. So, is Social a bust for biz? @augieray/#prsms Acquisition Reputation Collaboration Inbound traffic Advocacy Listening Loyalty Sales/Share 1to1 Relationships Marketing Acquisition Inbound traffic Sales/Share Social Reputation Collaboration Advocacy Listening Loyalty Relationships
  • 28. So, is Social a bust for biz? No, it aligns well outside of Marketing @augieray/#prsms Social Reputation Advocacy Listening Loyalty Public Relations Product Development Research Human Resources Customer Care Collaboration Relationships Reputation, Advocacy, Relationships Collaboration Listening Advocacy, Loyalty, Relationships Advocacy, Loyalty, Relationships
  • 29. Earned media on a collision course If earned media cannot yield marketing goals, it will not long be part of the Marketing mix 74% of CEOs think Marketers focus too much on the latest marketing trends such as social media – but can rarely demonstrate how these trends will help them generate more business for the company. @augieray/#prsms Fournaise Marketing Group, based on research with 1200 CEOs and CMOs in 11 countries, 7/2013 Have proven the impact quantitatively Haven’t been able to show the impact yet 15% Have a good qualitative sense of the impact , but not a quantitative impact 45% 40% Data collected from 351 top US marketing leaders Source: CMO Survey, 9/2014
  • 30. What does this mean to you? Start managing your career for changes ahead @augieray/#prsms No No No Congratulations! You get to do social media marketing! Yes Yes Yes Caution! Danger ahead! Does your brand have a “magic intersection"? Can you control the paid media budget for social? Does your firm evaluate marketing in reputation & loyalty?
  • 31. @augieray/#prsms Avoid a career trap Start managing your career for changes ahead Redirect: Work to alter expectations and goals. Educate peers on the real business or brand goals that social can measurably deliver. Detour: Consider social opportunities outside of the Marketing department. Exit: Consider shifting out of social media and into related fields such as CX, customer care or mobile. Caution! Danger ahead!
  • 32. Once upon a time there was a web site Where we used to post a thing or two On Facebook we would laugh away the hours And think of all the marketing we'd do But soon reality was ever clearer That fans and likes were not a currency And content from our brands was no more welcome Than ads in print, on FM or TV. Those were the days my friend We thought they'd never end We'd tweet and pin forever and a day We'd post our ads for free With authenticity Our brands would win and never have to pay La la la la la la, La la la la la la, Those were the days, Oh yes, the social days! @augieray/#prsms Those Were the Days! 1968 Song by Mary Hopkins; Written by Boris Fomin and Gene Raskin
  • 33. And now organic reach is ever shrinking On Facebook people rarely see brand posts And hashtag programs always seem to backfire Hijacked by the trolls who spark revolts @augieray/#prsms Those Were the Days! 1968 Song by Mary Hopkins; Written by Boris Fomin and Gene Raskin Social is a place where all our patrons Can share how much they love us or we suck So word of mouth comes not from status updates But care that demonstrates we give a ████ heck Those were the days my friend We thought they'd never end We'd tweet and pin forever and a day We'd post our ads for free With authenticity Our brands would win and never have to pay La la la la la la, La la la la la la, Those were the days, Oh yes, the social days!
  • 34. @augieray/#prsms ignoring the danger signs & prepare your company & career for changes ahead. 1 Source: Nate Elliott, “Why Facebook Is Failing Marketers,” Forrester

Editor's Notes

  1. Thank you for having me back at the PR + Social Media Summit. In this short history of social media marketing, there has always been a gorilla in the room that we’ve largely ignored, and that is that social media has not proven an effective marketing channel for most brands. That gorilla keeps getting bigger and bigger as our social media marketing budgets have grown, but too many brands and marketing professionals continue to ignore him. I aim to change that, not because I like raining on the parade but because I fear for the jobs and careers of many within social media and content marketing. I think the time has come to stop social media marketing, or at least rethink it, and if you are employed in the field, it is time for you to consider the reality of the data and trends and take action to protect your career and your brand. Unless… There are some caveats that we will discuss, and they are pretty big ones. However, the caveats are not about different strategies (do this, don’t do that) but about the kind of companies for which social media will work. You either work for the sort of company for which social media will tend to work, or you don’t. Which is it? We’ll get to that shortly. But first, let’s talk about what social media marketing is. Here is what it is not: It is not paid media. Advertising on social networks may be effective marketing, but don’t call it social. Fewer than 1 in 6 ad dollars on Facebook use social signals, and the two most common types of advertising on Facebook are retargeting and custom audiences. Moreover, neither Facebook nor Twitter even considers itself a social network any longer. So, go ahead and buy media on these sites, but that is not social. What is? http://blogs.forrester.com/nate_elliott/13-10-28-an_open_letter_to_mark_zuckerberg
  2. If any piece of this is missing, it stops being Social Media Marketing. Without content, people, WOM, earned media or marketing results, it is not Social Media Marketing. Any objections? It all starts with content, so let’s take a look at what is required for content to work for your brand.
  3. The first circle in our Venn diagram is simple—if content does not move people closer to your brand, then it cannot deliver on marketing objectives. What do I mean by “Closer to the brand.” That’s not difficult—just look at marketing metrics.
  4. These are the ways marketers measure success. Not in RTs or fans. Success is not achieved with “going viral” unless you also achieve one or more of these objectives. For example, last year, the most viral brand was Kmart…
  5. Kmart’s “Ship My Pants” video went viral in April 2013 and was followed with other irreverent and popular videos. It’s fine to go viral, but if it does not move consumers closer to the brand, then it is just wasted time and effort. “Ship My Pants” didn’t stop Kmart’s consistent downward plunge to its inevitable demise. “Go the blue light, Kmart.” So that’s the first half—the content must help you achieve marketing goals. I trust that sounds pretty obvious. So will the second half of the Earned Media Venn Diagram.
  6. What do you consumers want to hear from your brand? If they do not want it, will not listen, do not see it and cannot share it, then your content cannot deliver for your brand. While brands keep on pumping out content, consumers are not, for the most part, having anything of it…
  7. Over two-thirds of consumers mostly or always ignore brand posts. This should come as no surprise since you, as human beings, do not sign on to social networks to hear what brands are hearing but to stay in touch with friends and the world. Of course, the situation is worse for some brands in different categories. For instance… Photo credit: Helga Weber, https://flic.kr/p/5SNFLi http://www.mediabistro.com/prnewser/study-68-of-social-users-ignore-the-brands-they-like_b86260
  8. Almost three quarters of millenials would rather go to the dentist than listen to anything their banks have to say. If they remake the movie Marathon Man, Dustin Hoffman would be forced to listen to a banker talking about the value of saving accounts and 529 plans. (Old person’s joke lost on young audience.) The point is not merely to ask if people want brand content but do they want YOUR content? Too often, we see case studies that reference brands like GoPro, Starbucks and Disney, but chances are, your brand is not GoPro, Starbucks or Disney! So, bringing together the two halves of our Venn Diagram, we have this… Photo credit: Conor Lawless, https://flic.kr/p/3oWfWn http://www.millennialdisruptionindex.com/
  9. When you bring together the two halves—what you can say that will move consumers closer to your brand and what consumers want to hear from you—you find the “magic intersection.” Here is the content that creates earned media success. Not everything you post must fall in the “magic intersection,” but the more you post on one side, the more boring and unengaging, and the more on the other, the more engaging but useless. So, how do brands find this “magic intersection”? First, some brands are in the right category. There are many verticals where people ARE interested in what brands have to say, and they can post content that DOES drive marketing objectives. For example…
  10. Sports: Every time the Packers post a picture of Aaron Rodgers or a video of a key play, people eat it up and it drives great engagement. At the same time, it also drives more interest in the next game, more viewership and more interest in team jerseys. How great must it be to do social media for the Packers? Entertainment: Fans of TV shows and movies crave behind the scenes tidbits, inside info and info about their favorite actors. This, in turn, drives more awareness of the show or film. Style: One of the points to make, and the style category helps us make it, is that social hasn’t changed the desire for our the effectiveness of branded content. Year after year, women buy up the important September issues of fashion magazines, despite the fact they are most advertising. Anyone know the number of ad pages in the 2014 issue of Vogue magazine this year? 631 ad pages! Women—and some men—WANT to know what brands have in store for style this coming year, so social posts drive engagement and sales. B2B works also. People want to do their job better, be better informed, and know the latest data and offerings from vendors, so B2B has a “magic intersection.” Finally, local works, as well. People love to support their favorite locally-owned restaurants and shops, so the right content can be both welcome by consumers and drive financial benefits for small brands. What if you’re not lucky enough to be in one of the right categories? What if your product is antiperspirant, tires, canned vegetables or checking accounts? Well, all is not lost, if your brand does something very special…
  11. We already shared that people do not want to hear from their banks, but this is not true of USAA. Why? Because they have a brand that has recognized purpose and is a part of the military community. As a result, their content is welcome and drives people closer to the brand. TOMS shoes is another example. This is a brand many of you know about because of its "one for one concept.“ When they sell a pair of shoes, they give a pair to a child in need. This drives awareness and engagement more than other shoe manufacturers can create because people care and want to be a part of the brand mission. Finally, Chipotle is another example. No quick service restaurant has grown more over the past decade than Chipotle, while leaders like Burger King, KFC and McDonald’s are struggling. Last quarter, same-store sales at Chipotle were up 17%, more than four times the growth at McD’s, Burger King or Wendy’s. One reason is that Chipotle has staked out a higher purpose, striving to improve the sourcing of its food and being more transparent about its ingredients. People don’t just eat up their food; they eat up their posts, and this drives more awareness and traffic. So, being in the right category is one way to have content that works. Building a brand with purpose is one way to break out of category without an intrinsic “magic intersection.” The last way is to simply have better products and services...
  12. Apple is many things, but most of all, it is talkable. In 2014, Samsung has had twice the market share of Apple when it comes to smartphone sales. Both companies had major product unveilings this month, you based on Google Trends data, Apple still had considerably more buzz in advance of the events? Why? Well, it certainly isn’t Apple’s reach and strength in social media—Samsung has 2,350% more fans, followers and subscribers than does Apple. Apple doesn’t need social media accounts. It merely needs to keep producing talkable products, and its fans will do the rest. What happens if your company does not fit into these categories? Well, this is why so many companies are failing to achieve marketing results in social channels. They have a problem… So those are the three ways to succeed with earned media—be in the right category; be recognized for having a purpose that resonates deeply with consuemers; or have products and services that are leaps and bounds better than everyone else in the category.
  13. With no overlap between what consumers want and what drives marketing results, brands struggle with social media marketing. This is the rule, not the exception. What happens when there is no overlap? Brands get desperate. Rather than using social media because they have something to say, they instead struggle to say something because they have a social media profile. Without the overlap, content looks disconnected from the brand and desperate. It may drive engagement but it does not drive marketing objectives. It also raises risks, which is why we increasingly see brands embarrassing themselves in social media. For example…
  14. Social@Ogilvy has found that brands have suffered a 50% decline in reach on Facebook in the past six months. Meanwhile, Facebook is already warning brands to expect even more declines in their organic reach. How bad is it? None of the top 3 brands on Facebook can even reach one of every 10,000 of their fans, and Coca-Cola, one of the strongest brands in the world, only reached 1 of every 100,000 fans. 57% of all social visits happen on Facebook according to Experian, so it is by far the most important social network, but the problems of shrinking reach is hardly exclusive to Facebook…
  15. A recent Forrester report demonstrated that the average user interaction with brand posts is just 0.03%--effectively nothing. Meanwhile, Twitter will be introducing a Facebook-style filtered feed soon, so we can expect brand opportunities to shrink on Twitter even further. By the way, while the Forrester report recommended brands consider Instagram for greater engagement, don’t get too excited about that Instagram interaction rate: Engagement used to be higher on the other social networks, and it will drop on Instagram, too. This is a common occurrence—the first-ever banner ad had a click rate of 44% in 1994, just a tad higher than today. Soon, brand marketers will be complaining Instagram mislead them just the same way they’re complaining about Facebook today! http://blogs.forrester.com/nate_elliott/14-04-29-instagram_is_the_king_of_social_engagement
  16. We used to ask the age old existential question: if a tree falls in a forest and no one is around to hear it, does it still make a sound? Nowadays, those employed in social media marketing should be asking, if a post or tweet is seen by no one, is it still brand marketing? It may seem I’ve made my case for the demise of social media marketing, but I am just getting rolling. The reasons brands are struggling is not just declining organic reach—there are other issues, as well….
  17. Forrester’s latest Technographics demonstrate that posts by companies are 40% trusted than the information brands put on their site—and, of course, far less than half as trusted as consumer-written reviews, professionally-written reviews or recommendations from family and friends. https://www.forrester.com/Brief+Establish+Product+Credibility+On+Your+Website/quickscan/-/E-RES116623
  18. Aobe found the same thing—just 2% of consumers felt company social media pages were best for credibility. Nine times more people find company websites more credible and 30 times more people find their family and friends more credible. So, consumers don’t trust brands in social media, what about acquisition? http://www.adobe.com/aboutadobe/pressroom/pdfs/Click_Here_Regional_Comparisons.pdf
  19. The Adobe study found that the people who like your brand are three times more likely to be people who already buy from you rather than people who aspire to buy. http://www.adobe.com/aboutadobe/pressroom/pdfs/Click_Here_Regional_Comparisons.pdf
  20. And a study from found that Facebook and Twitter are barely a blip in retail acquisition compared to search, email and affiliate programs. Moreover, the lifetime value of the customers obtained via social are significantly lower than other acquisition channels. So, social isn’t very good for acquisition, but how about for actual sales and conversions? http://blog.custora.com/custora-content/uploads/downloads/2013/07/Custora_EcommSnapshotQ213.pdf
  21. IBM studied data collected from 800 webites last Black Friday and the week preceding it and found that just 1% of the sales were generated by social media. http://www.mediapost.com/publications/article/214632/just-1-of-black-friday-online-sales-came-from-soc.html
  22. Monetate’s recent EQ report from last quarter demonstrated that social, when compared to other acquisition channels, had a higher bounce rate, a much lower “add to cart” rate, and miniscule conversion rates and revenue per session. http://content.monetate.com/h/i/25962265-ecommerce-quarterly-eq2-2014
  23. It is time to challenge the assumptions that are driving investment in social media marketing before it costs our companies more money and us our jobs. It is time for the Marketing Department to ask itself an important question…
  24. Does social align to marketing goals? Fewer than half say they measure customer retention, reputation or awareness. http://www.ascend2.com/pdf/Marketing_Strategy_Outlook_Report-Ascend2.pdf
  25. And from this list, what is social good for? Well, pretty much everything else. Social is great—at the things the Marketing Department is least interested in measuring.
  26. So, is Social a bust for business? Of course, you know me better than to say Social isn’t vital for your enterprise—it just aligns to the needs and objectives of departments other than Marketing.
  27. We could quibble a little over which aligns with which, but by and large… Corp Comm: Reputation, Advocacy and Relationships, particularly among influencers Product Development: Collaboration Research: Listening Human Resources: Advocacy, Loyalty and Relationships with employees & candidates Customer Care: Advocacy, Loyalty and Relationships with existing customers
  28. For now, many CMOs support social media, but I question if that will be a case a year or two from now. CEOs are increasingly demanding accountability from CMOs as to the pursuit of new trends, and CMOs in shocking high numbers admit they have way to back up their social media investment. It is appalling that in 2014, 85% of CMOs say they have no quantitative social media measures. Concepts of earned media, social media marketing and content marketing are on a collision course with the C suite. If you are in social media marketing, you boss may today be satisfied with you counting fans, retweets and likes, but the time is coming where the CMO will demand marketing accountability using marketing metrics. http://chiefexecutive.net/are-cmos-unfit-for-the-job-how-the-ceo-can-make-a-difference http://cmosurvey.org/files/2014/09/The_CMO_Survey-Highlights_and_Insights-Aug-2014.pdf
  29. Magic Intersection: Evaluate Marketing: Here’s how to tell: How does the CMO lead off his or her presentations to leaders and peers? Does he or she lead with Net Promoter Score, Loyalty, Repurchase or Share of Wallet measures? Or are the primary metrics related to sales, acquisition and traffic? If the former then social can be a good fit for your company’s marketing expectations, but if the latter… Can you control the paid budget? If so, then you can increase your reach and target the audience of prospects rather than merely posting content to your fans, most of whom are already customers. But if none of these are the case, then you have a career issue to consider. What can you do about it? I see three courses of action….
  30. Redirect: If social does not align to top marketing metrics, then see if you can change those metrics. Don’t ignore that social is misaligned, steer into it, and do not wait for the CMO to lose faith—be the one who raises the issues and offers solutions. Gain consensus on the measurements that Marketing leadership will accept, and if they will not or cannot, then at least you’ve been the one leading on the issue rather than waiting until it blows up. Or, take a detour. Social is growing throughout the enterprise, and there may be opportunities to lead social for purposes other than acquisition, sales and traffic. Or, consider shifting out of social media. Social Media experience can be used to shift into many other related fields including mobile marketing, Customer Experience and research.
  31. The question I’m raising are getting louder and more common. If you’re responsible for social media marketing and are ignoring the challenges, now is the time to: Stop ignoring the danger signs and prepare your company and your career for the changes ahead. Thank you.