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Social Media Marketing:
Intro & Strategies http://www.v2000.info
                   wyl2000@gmail.com
Content
• The Intro of Social Media Marketing (Some theories)
   – Why Social Media Marketing
   – Definition
      • Components/ Characteristics
      • The motivation of online participation
      • how to influence people


• Social Media Marketing
   – The convergence of e-commerce & social media
   – Opportunities and Strategies
      • The best practices of Social Interface Design
   – The measurement of Social Media Marketing


• Supplements:The cases of industrial practices
Why Social Media Marketing
  • Because(online)consumers are all using it
  • The marketing cost is lower, compared to traditional
    ways
  • The effects of traditional marketing are limited and
    diminishing !




                Most marketing efforts are invested here
The failure of traditional marketing


   • Low click rate
   • AD avoidance
   • Distrust / Hatred of AD
The purchase of a true customer (Complex)
Why Social Marketing?


                                                       Those behaviors
                     Key conversion                     happening on
                          point                          Social web




  The main focus of
  traditional marketing


 The differences of traditional/ social marketing:
 • Traditional:focus on customer awareness, educating customer(product
   function, feature or brand image etc.)
 • Social:focus on equal, transparent communication,let customer know
   the benefit of buying a specific product to make a smart purchase
ROI of Traditional / Social Media Marketing
Define Social Media and Social Media Marketing

 •   Social Media:The media of online Talk and Interaction, often
     generated and exchanged by online consumer。

 •   Social Media Marketing(SMM):usually center on efforts to create
     content that attracts attention, generates online conversations, and
     encourages readers to share it with their social networks.

     The message spreads from user to user and presumably resonates
     because it is coming from a trusted source, as opposed to the brand
     or company itself.

     SMM is a recent component of integrated marketing
     communications plans, coordinates the elements of the
     promotional mix—advertising, personal selling, public
     relations, publicity, direct marketing, and sales
     promotion—to produce a customer focused message.
Touch-points
The components of Social Media
The motivation of Online Participation
B=f(P+E)
Behavior is a function of a Person
       and his Environment


     Lewin’s Equation
Social Media Marketing   English Edition
The Social
Web is built
here, from
love and
esteem
Online Participation theories


    Anticipated reciprocity :
    contribute valuable info to
                                                            Increased recognition:
    receive useful help in
                                                            individuals want
    return.                       Anticipated
                                                            recognition for their
                                  reciprocity
                                                            contributions. Most
                                                            online community
                                                            offer member profile
                                   Increased
                                                            page/ avatars / ranks…
                                  recognition
Sense of efficacy:a sense
of having some effect on                                         Sense of
the community/        Sense of                   Sense of        community:
environment.          efficacy                  community        people are social
                                                                 beings and natural
                                                                 to communicate/
                                                                 respond, rate/
                                                                 recommend。
The Characteristics of Social Media / Web 2.0


  •   Democracy
  •   Open
  •   Transparent
  •   Dynamic
         ……
How to influent people, instead of trying to control them


• Six Weapons
   – Reciprocation
   – Commitment and
     consistency
   – Social proof
   – Liking
   – Authority
   – Scarcity
Part II Social Media Marketing and E-commerce
    The convergence of e-commerce & social media
The future (e-commerce)web*




                     • Social relation, transformed from
                       being isolated to confederated &
                       convergent
                     • Monetize the social network/
                       relationship of consumers.


                       *See the supplement:The Future Of The Social
                       Web, Forrester Research
Social Media Marketing and E-commerce
     Opportunities and Strategies
The Social Stage
1.Improve &      2. Go into Social Network   3. E-commerce &          4. Explore the
intensify the                                SNS converge each        possibilities
social                                       other
interaction of
website




                                              Relative controllability and complication

                          • Social Interface Design*
Infrastructures           • Social Media Marketing & Operation Measurement
                          • Social Customer Relationship Management
The principles and best practices of social interface design:
Social Patterns




*http://designingsocialinterfaces.com Strongly suggest to design in the UCD ways
Social Stage 1


          •   Facilitate the interaction,increase the time on page;
          •   Customer help themselves, enhance the knowledge and engagement;
          •   Reduce the possible demand for customer services;
          •   Easy to control and manage




   Fundamental within-site interaction elements, such as Share, Tag

                                 Need to redesign the current website;
                                 Not connected with external social network
Possible opportunities

  • Membership 2.0
     – Identity and Profile
     – Participation/ Contribution Dashboard
     – Buyer Membership Club

  • Extended social functions
     – Tagging
     – Public shopping list
     – Buyer Expert
     – Product discussion board
     – Open box
     ……
Customer profile:Yelp.com




Social elements:
• Avatar | Ranks (not the purchasing rank)
• Friend network
• Contribution dashboard
• The history of interactions
Benefits:
• Satisfy customers’ “ego”
• More sense of community
• Better social discovery (explore more site info)
Must pay attention to the privacy
Examples: Amazon.com
1. Social tag(let customer to re-categorize , discover and explore the website)




2. Public shopping list(make the shopping list social,collectively recommend
and consult)




Functions:
One customer make the shopping list,
others can rate, recommend and make
purchase
Elements:
Shopping list/ Single product review /
buy in whole
Examples: Amazon.com
3. Buyer expert(make a stage for the
extreme customer*)




4. Open box                            • Encourage the enthusiasm
• Text review                          • Enhance the engagement
• Image/
   Video
                                  * Behold the Extreme Consumers and Learn to Embrace Them, HBR
Best Buy - Reward Zone




• Customer Member Club, bind the future purchase and loyalty to increase
  the lifetime value
• If possible,separate the membership from the online participation ranks
Social Stage 2
                                             Possible to shift the traffic
                                                       away;
                                              May cause unexpected
                                                  word-of-mouth
        Easy to deployment;
        Low cost(Free)




          Make the social presence on SNS,, such as Facebook,
          Twitter, RenRen, Sina Weibo

                              Hard to control what people say about
Social Stage 3
                                                    May change the
                                                structure and display of
                                                        website

    Share web info to social media;
    Increase the exposure and awareness




                    Imbed the social sharing widgets into the website


                                    Functions are limited, only a few data to collect
Social Stage 4
                                              The potential dependency
                                                      on SNS;
                                              Decrease the management
                                                power on customers

    Decrease the resistance of login/ registration
    Improve the user experience and conversion rates




                    Oauth, OpenID, Facebook Connect
                    No trouble in login/ registration
                           Hard to collect customers’ info, such as email;
                           May lose the complete customers data in the long run
Example:BestBuy TwelpForce - a virtual customer service
support team based on Twitter
Examples:Simple Sharing;Active Sharing
1. Simple Sharing
• The motivation/ social context are tedious
• The interaction is low and passive


   USA:Facebook, Twitter, Google Buzz, Yahoo Buzz, Digg……
   China:新浪微博,人人网,开心网,豆瓣网……


2. Active sharing(more specific Objective and in a natural Social Conversation
way,such as “I Like…”,“Please give your advise…”etc.)
• Enrich the sharing
• Increase the interaction,more actively
Examples:Open Authorization
3. Open Authorization、OpenID etc.
Social Stage 5

                                              Aim at key campaigns,
                                             customer/ deals;not the
                                                    simply sync

    Increase customer engagement,
    Enhance the interaction and make
    visitors stay on site longer




                                       Synchronize social media into website




                                  Not all the info are relevant
                                  Useless noises increase the disturbance
Social Stage 6
                                                 Depend on the
                                                 development of
                                              internet and industry
    Make website info open and available
    Increase involvement and interaction channels




                                                     Open API to the 3rd parties




                             Development cost
                             Controllability and transaction security
例子
1. Synchronize social media into website
• Deepen the convergence of e-commerce and social media
• Increase the interaction of the e-commerce website and hold traffic
• Offer new customer service support channel
例子
2. Transfer e-commerce to SNS platform
• Exploit SNS platform as a new marketing channel
The e-commerce on Facebook




 •   Free e-commerce solution:Payvment offers simple function,
     immature store management
 •   Service supplier:http://www.alvenda.com/ a commission-based
     Facebook e-commerce solution provider
Example: open API
                                              Groupon
                                              Android APP
Case:Taobao API – integrated with Sina
Weibo
淘宝商城与新浪微博API整合的应用案例

            Tweet an inquiry




                                          Widget



                    Receive the instant
                     price and alerts
Social Stage 7
                   More possibilities?
                     Customer needs
                   prediction based on
                 their social behaviors?
Summary:

 Social Media Marketing is not only a communication way also a marketing system.


              Conversation
                                                              E-commerce


                               Social Media Marketing
How to deploy the social media marketing?
A Social Media Marketing management and deployment framework

  聆听                  理解                           参与                度量和反馈




TR has been working on “Listen/Understand”customers:           Must dos:
• Usability test / Contextual interview / customer feedback/   • measurement
   Survey                                                      • React /respond
are going to do:                                                 to customer
• In-depth interview ,Brand image research ……
The Measurement of
Social Media Marketing
Goals

  •   To build brand awareness?
  •   To generate buzz, advocacy or WOM?
  •   To generate brand engagement?
  •   To shift consumer perceptions?
  •   To influence key opinion formers?
  •   To generate leads or build prospect base?
  •   To stimulate dialogue or relationship with prospects
  •   To encourage participation for social event?
  •   To manage brand reputation?
  •   To divert a PR crisis?
  •   To engender customer loyalty?
  •   To uncover customer or product insights?
  •   To enhance customer service?
       ……
Social Media Marketing Mix: 4P -> 4A
The possible metrics
NPS




  Three customers:Promoters,Passives & Detractors

  Focus:
  Promoters:high loyalty & CLV. How to make the most of them?
  Detractors:negative loyalty & deteriorate profit. How to diminish?

  Benchmark this metric with historical and industrial ones
Tranditional CRM  Social CRM
Social CRM(Customer Relationship Management)
 •  Traditional CRM:Know which customer are satisfied and profitable,
    analyze the sales performance and etc.;
 • Social CRM:better communicate with customer, including existing and
    prospective customers
         Via social media marketing/ Social CRM to increase customers’
 long-term profitability, loyalty and word-of- mouth.




     Calculate Customer Lifetime Value
     A RFM method:
     Rencency how long has it been since the last purchase
     Frequency how many purchases have been made in a curtain period
     Monetary how much have been spent
THANKS
wyl2000@gmail.com
http://www.v2000.info
Supplements:Some cases of industrial players
Coca Cola
Twitter & Tweetmeme
Dell IdeaStorm
BestBuy TwelpForce
Social Media Marketing   English Edition
Best Buy GiftTag
Zappos.com
Levi’s Friends Store
http://www.flowtown.com/blog/which-companies-are-most-social
Best Buy Social Media Policy
THANKS AGAIN
wyl2000@gmail.com
http://www.v2000.info

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Social Media Marketing English Edition

  • 1. Social Media Marketing: Intro & Strategies http://www.v2000.info wyl2000@gmail.com
  • 2. Content • The Intro of Social Media Marketing (Some theories) – Why Social Media Marketing – Definition • Components/ Characteristics • The motivation of online participation • how to influence people • Social Media Marketing – The convergence of e-commerce & social media – Opportunities and Strategies • The best practices of Social Interface Design – The measurement of Social Media Marketing • Supplements:The cases of industrial practices
  • 3. Why Social Media Marketing • Because(online)consumers are all using it • The marketing cost is lower, compared to traditional ways • The effects of traditional marketing are limited and diminishing ! Most marketing efforts are invested here
  • 4. The failure of traditional marketing • Low click rate • AD avoidance • Distrust / Hatred of AD
  • 5. The purchase of a true customer (Complex)
  • 6. Why Social Marketing? Those behaviors Key conversion happening on point Social web The main focus of traditional marketing The differences of traditional/ social marketing: • Traditional:focus on customer awareness, educating customer(product function, feature or brand image etc.) • Social:focus on equal, transparent communication,let customer know the benefit of buying a specific product to make a smart purchase
  • 7. ROI of Traditional / Social Media Marketing
  • 8. Define Social Media and Social Media Marketing • Social Media:The media of online Talk and Interaction, often generated and exchanged by online consumer。 • Social Media Marketing(SMM):usually center on efforts to create content that attracts attention, generates online conversations, and encourages readers to share it with their social networks. The message spreads from user to user and presumably resonates because it is coming from a trusted source, as opposed to the brand or company itself. SMM is a recent component of integrated marketing communications plans, coordinates the elements of the promotional mix—advertising, personal selling, public relations, publicity, direct marketing, and sales promotion—to produce a customer focused message.
  • 10. The components of Social Media
  • 11. The motivation of Online Participation
  • 12. B=f(P+E) Behavior is a function of a Person and his Environment Lewin’s Equation
  • 14. The Social Web is built here, from love and esteem
  • 15. Online Participation theories Anticipated reciprocity : contribute valuable info to Increased recognition: receive useful help in individuals want return. Anticipated recognition for their reciprocity contributions. Most online community offer member profile Increased page/ avatars / ranks… recognition Sense of efficacy:a sense of having some effect on Sense of the community/ Sense of Sense of community: environment. efficacy community people are social beings and natural to communicate/ respond, rate/ recommend。
  • 16. The Characteristics of Social Media / Web 2.0 • Democracy • Open • Transparent • Dynamic ……
  • 17. How to influent people, instead of trying to control them • Six Weapons – Reciprocation – Commitment and consistency – Social proof – Liking – Authority – Scarcity
  • 18. Part II Social Media Marketing and E-commerce The convergence of e-commerce & social media
  • 19. The future (e-commerce)web* • Social relation, transformed from being isolated to confederated & convergent • Monetize the social network/ relationship of consumers. *See the supplement:The Future Of The Social Web, Forrester Research
  • 20. Social Media Marketing and E-commerce Opportunities and Strategies
  • 21. The Social Stage 1.Improve & 2. Go into Social Network 3. E-commerce & 4. Explore the intensify the SNS converge each possibilities social other interaction of website Relative controllability and complication • Social Interface Design* Infrastructures • Social Media Marketing & Operation Measurement • Social Customer Relationship Management
  • 22. The principles and best practices of social interface design: Social Patterns *http://designingsocialinterfaces.com Strongly suggest to design in the UCD ways
  • 23. Social Stage 1 • Facilitate the interaction,increase the time on page; • Customer help themselves, enhance the knowledge and engagement; • Reduce the possible demand for customer services; • Easy to control and manage Fundamental within-site interaction elements, such as Share, Tag Need to redesign the current website; Not connected with external social network
  • 24. Possible opportunities • Membership 2.0 – Identity and Profile – Participation/ Contribution Dashboard – Buyer Membership Club • Extended social functions – Tagging – Public shopping list – Buyer Expert – Product discussion board – Open box ……
  • 25. Customer profile:Yelp.com Social elements: • Avatar | Ranks (not the purchasing rank) • Friend network • Contribution dashboard • The history of interactions Benefits: • Satisfy customers’ “ego” • More sense of community • Better social discovery (explore more site info) Must pay attention to the privacy
  • 26. Examples: Amazon.com 1. Social tag(let customer to re-categorize , discover and explore the website) 2. Public shopping list(make the shopping list social,collectively recommend and consult) Functions: One customer make the shopping list, others can rate, recommend and make purchase Elements: Shopping list/ Single product review / buy in whole
  • 27. Examples: Amazon.com 3. Buyer expert(make a stage for the extreme customer*) 4. Open box • Encourage the enthusiasm • Text review • Enhance the engagement • Image/ Video * Behold the Extreme Consumers and Learn to Embrace Them, HBR
  • 28. Best Buy - Reward Zone • Customer Member Club, bind the future purchase and loyalty to increase the lifetime value • If possible,separate the membership from the online participation ranks
  • 29. Social Stage 2 Possible to shift the traffic away; May cause unexpected word-of-mouth Easy to deployment; Low cost(Free) Make the social presence on SNS,, such as Facebook, Twitter, RenRen, Sina Weibo Hard to control what people say about
  • 30. Social Stage 3 May change the structure and display of website Share web info to social media; Increase the exposure and awareness Imbed the social sharing widgets into the website Functions are limited, only a few data to collect
  • 31. Social Stage 4 The potential dependency on SNS; Decrease the management power on customers Decrease the resistance of login/ registration Improve the user experience and conversion rates Oauth, OpenID, Facebook Connect No trouble in login/ registration Hard to collect customers’ info, such as email; May lose the complete customers data in the long run
  • 32. Example:BestBuy TwelpForce - a virtual customer service support team based on Twitter
  • 33. Examples:Simple Sharing;Active Sharing 1. Simple Sharing • The motivation/ social context are tedious • The interaction is low and passive USA:Facebook, Twitter, Google Buzz, Yahoo Buzz, Digg…… China:新浪微博,人人网,开心网,豆瓣网…… 2. Active sharing(more specific Objective and in a natural Social Conversation way,such as “I Like…”,“Please give your advise…”etc.) • Enrich the sharing • Increase the interaction,more actively
  • 34. Examples:Open Authorization 3. Open Authorization、OpenID etc.
  • 35. Social Stage 5 Aim at key campaigns, customer/ deals;not the simply sync Increase customer engagement, Enhance the interaction and make visitors stay on site longer Synchronize social media into website Not all the info are relevant Useless noises increase the disturbance
  • 36. Social Stage 6 Depend on the development of internet and industry Make website info open and available Increase involvement and interaction channels Open API to the 3rd parties Development cost Controllability and transaction security
  • 37. 例子 1. Synchronize social media into website • Deepen the convergence of e-commerce and social media • Increase the interaction of the e-commerce website and hold traffic • Offer new customer service support channel
  • 38. 例子 2. Transfer e-commerce to SNS platform • Exploit SNS platform as a new marketing channel
  • 39. The e-commerce on Facebook • Free e-commerce solution:Payvment offers simple function, immature store management • Service supplier:http://www.alvenda.com/ a commission-based Facebook e-commerce solution provider
  • 40. Example: open API Groupon Android APP Case:Taobao API – integrated with Sina Weibo 淘宝商城与新浪微博API整合的应用案例 Tweet an inquiry Widget Receive the instant price and alerts
  • 41. Social Stage 7 More possibilities? Customer needs prediction based on their social behaviors?
  • 42. Summary: Social Media Marketing is not only a communication way also a marketing system. Conversation E-commerce Social Media Marketing
  • 43. How to deploy the social media marketing?
  • 44. A Social Media Marketing management and deployment framework 聆听 理解 参与 度量和反馈 TR has been working on “Listen/Understand”customers: Must dos: • Usability test / Contextual interview / customer feedback/ • measurement Survey • React /respond are going to do: to customer • In-depth interview ,Brand image research ……
  • 45. The Measurement of Social Media Marketing
  • 46. Goals • To build brand awareness? • To generate buzz, advocacy or WOM? • To generate brand engagement? • To shift consumer perceptions? • To influence key opinion formers? • To generate leads or build prospect base? • To stimulate dialogue or relationship with prospects • To encourage participation for social event? • To manage brand reputation? • To divert a PR crisis? • To engender customer loyalty? • To uncover customer or product insights? • To enhance customer service? ……
  • 47. Social Media Marketing Mix: 4P -> 4A
  • 49. NPS Three customers:Promoters,Passives & Detractors Focus: Promoters:high loyalty & CLV. How to make the most of them? Detractors:negative loyalty & deteriorate profit. How to diminish? Benchmark this metric with historical and industrial ones
  • 50. Tranditional CRM  Social CRM
  • 51. Social CRM(Customer Relationship Management) • Traditional CRM:Know which customer are satisfied and profitable, analyze the sales performance and etc.; • Social CRM:better communicate with customer, including existing and prospective customers Via social media marketing/ Social CRM to increase customers’ long-term profitability, loyalty and word-of- mouth. Calculate Customer Lifetime Value A RFM method: Rencency how long has it been since the last purchase Frequency how many purchases have been made in a curtain period Monetary how much have been spent
  • 53. Supplements:Some cases of industrial players
  • 63. Best Buy Social Media Policy