digital privacy in age of transparency

Digital Privacy in Age of Transparency

DMA Agency Summit 08’

Agenda

S.W.O.T Analysis on Data and Transparency

Strengths most Agency already deploy: Policy

Weaknesses where most Agencies fall down: Technology

Opportunities in the Digital age of transparency: Social Media (90% here)

Threats to All Marketers: Legislation

Who I Am Aaron Kahlow, Managing Partner for BusinessOnline

Board of Directors for Business Marketers Association 180 Digital Marketing seminars Worked with leading brands like: Chevron, Cisco, Kimberly-Clark, Tyco… Author many columns (Search Engine Watch, BtoB, Electronic Retailer..)

BusinessOnline -Web Site Services (Have 500+ websites on servers) Search Engine Optimization (SEO) Web Site Usability and Customer Experience Optimization (CEO) Web Design and Development Website Strategic Planning

Founder & Chair of the Online Marketing Summit Not for Profit Just for Marketers Wanting to Learn more on Best Practice Online Marketing VENDOR LESS; NO Sales February 21 – 23; Sunny San Diego, HIMA $979 www.OnlineMarketingSummit.com

Who are You?

Your Challenges?

Biggest Digital Threat to Your Company ?

Biggest Digital Opportunity ?

Is Social Media Top of Mind ?

Quick Digital S.W.O.T.

Strength: Most have Policy in Place

Opt in Policy

Security Notification Breach Policy

Website Privacy Policy

SSL for secure information

Weakness: Technology of Data SecurityNeed to Protect Data: Protecting: You need to guard against both high-tech and low-tech opportunists. If your business is not kept physically

secure, anyone can walk in and steal unprotected customer data from your cabinets, drawers, and desks

• Encryption: software or other technology that scrambles data to prevent unauthorized viewing.

Vulnerability Analyzers: software that performs checks to determine if a computer network's devices and software are properly configured, patched, and updated.

• Host/Network-Based Intrusion Detection Systems: software that scans for network related suspicious activity.

• Intrusion Prevention Systems: sensors that detect network security vulnerabilities.

• File Integrity Systems: systems that provide intrusion detection and verify that files have not been tampered with.

• Network Scanners: tools that identify network security holes that could give intruders access to your network

Note: These tools are available commercially at most computer or business supply stores.

* Source: Better Business Bureau

Threat: Legislation and Hackers

Pending Legislation (good news mostly on notification) What data are covered by the security breach notification

requirements? What breach would trigger a requirement to notify consumers? Is access and correction to data by consumers required? Is there a right for class action suits? Are state laws preempted?

Security Breach Already happening

“Acxiom Corp., was struck last year by a hacker who downloaded sensitive information belonging to about 10 percent of Acxiom's corporate customers.”

Real Threat: Education Client and Internal

Answer in age of Uncertainty: The User

The Golden Rule: Do unto others data, as you’d have done unto you

The Opportunity

Much greater than the threat..

..Enter Social Media

Social Media: What is it

What is Social Media?

Social media describes the online technologies and practices that people use to share opinions, insights, experiences, and perspectives with each other.

A few prominent examples of social media applications are Wikipedia (reference), MySpace (social networking), YouTube (video sharing), Second Life (virtual reality), Digg (news sharing), Flickr (photo sharing) and Miniclip (game sharing). These sites typically use technologies such as blogs, message boards, podcasts, wikis, and vlogs to allow users to interact.

Characteristics

Web is the Platform

Collaboration is the method

Simple: Point, Click, Publish

Syndication, Ubiquitous and Immediate

From the Beginning of time…

Word of Mouth 42.6% Top Sales

influencers

Viral Marketing (online)

Bulletin Boards of 1995

Social Media: Impact Why it’s Changed the Game

Marketing Starts at Behavior

1. Start: Core Behavior

2. Determine: How/Where we Communicate

3. Learn: The Buying Cycle

Marketing Summation of 3

Human BehaviorIt has Changed!

Maslow’s Hierarchy of Needs

Then Now…

Blackberry

Cell phone

Laptop

Facebook

Communication Has Changed…

One way vs. Two Way

Your own actions

1998

Phone Primary Tell me about it

Fax Secondary Fax me page of Catalog

Mail Tertiary Send me Catalog

2008 Email Primary (Business)

“Just email it to me Bob”

Social Networking “Hit me up on LinkedIn”

Go to www.mycatalog.com “Get Product Specs at…”

Phone?

Observation: Have we made the Shift?

“We goin’ to party (market) like it’s 1999”

Buying Cycle How we consume information and

Research

Where we spend our time

Source: ITA Toolbox/ Social Media Index via Web Strategist blog

2

3

3

4

4

7

10

17

19

1

0

2

2

2

2

5

15

15

0 4 8 12 16 20

Reading magazines

Playing games on your game console

Reading newspapers

Talking on a cell phone

Playing games on your desktop or laptopcomputer

Listening to recorded music

Listening to the radio

Watching TV

Going online

Mean Median

Most Individuals’ Media Consumption is Dominated by Internet and TV

JupiterResearch/Ipsos-Insight Individual User Survey (7/06), n = 4,182 (US only)

On average, how many hours per week do you conduct each of the following activities? (Please type in the number of hours, if none type in ‘0’)

Time Spent in Week

Top Sales Influencers…

Internet 39%

TV 18%

Radio 12%

Magazine 3%

Newspaper 2%

So how does this compare with Marketing Spend?

Percent of Budgets

The Future is Now

Generation gap 2010 100% Internet High school Grads

Customer Expectation Shift When and how I want AND NOW (like a teenage daughter)

User will have complete control TV Print vs. Online

Biggest Competitors will be the delete or back button

How we Market Brand, PR, Lead Gen and Medium

Brand: How this starts to affect brand

Not about the Brand Push; Emotional Brand Experience

No more asking for personal Data; Value Prop for partnering on Data

Handshake rarely happens first .. Interaction online will be first touch

Restaurant analogy & BA Example

Let’s take an British Airways for example

Print Advertisement for New Sleeper service in NY Times Magazine

Landing page www.ba.com/clubworld

Overview high-end travel, but want to learn more about sleeper service …

Click on Home page button … Lost in the morass of corporate site

PR: Blogs vs. Traditional

Readership of UGC Increasing with Older Adults; Creation Still Skews Young

39%

31%

17%

32%

21%

10%

23%

16%

4%

24%

12%

3%

22%

10%

1%0%

10%

20%

30%

40%

50%

Read commentsothers had posted on

a website

Posted comments ona website

Created a blog

18-24 25-34 35-44 45-54 55+

JupiterResearch/Ipsos-Insight Entertainment and Media Consumer Survey (09/06), n=2,168 (US only)

Which of the following activities have you conducted monthly or more frequently in the past year? (Select all that apply)

Key Findings: Blogs & RSS Survey

Generally speaking, are blogs more or less credible compared to the following information sources?

80% of users surveyed read blogsat least once a month

How often do you read blogs?

63% said blogs are equal to or more credible than news outlets

56% said blogs are equal to or more credible than analyst reports

KnowledgeStorm / Universal McCann Emerging Media Surveys

Social Media overlaps all areas

E-mail48%

Browsing websites

41%

Instant Messaging

7%

Watching video

4%

JupiterResearch/Ipsos-Insight Entertainment and Media Consumer Survey (09/06), n=2,168 (US only)

Q3. In a typical week, what percentage of the time you spend online is spent on each of the following activities?

Social Media

Social Media: Who’s Using it? Closer look

Who is the Social Customer

Active & Passive

Loyal vs. Advocate

Consumer & Contributor

Who’s The Social Customer

What do they Say? I want to have a say

I want to know when something is wrong

I want to help shape things I find useful

Don’t want to talk to salesperson

Want to buy things on my schedule

I want to tell you when you are screwing up

I want to do business with Transparent Companies

* Chris Carfi Blog

Breakdown of Social CustomersMonthly Actions

Gen Y18 - 26

Gen X27 -40

Boomer41 - 50

Boomer +51 - 61

Creators Blog PublishWeb Page

15%22%

4%12%

2%7%

1%6%

Critics Visit Boards/ChatVisit Rating sites

32%17%

21%16%

14%12%

10%10%

Collectors Use RSSUse Social SitesUse Photo Sharing

4%37%29%

3%12%22%

2%6%13%

1%4%12%

CoachPotatoes

Read BlogsWatch VideoListen to Podcast

27%32%9%

14%25%6%

9%18%5%

7%12%4%

* Source: Forrester Benchmark Survey

Social Media: What to do about it?

Well, not much so far…

64% Joint Online & Offline experience for meaningful engagement

84% have not started mapping out touch points

95% personalized experience essential

But, 37% not doing any personalization

32% of businesses “Fully” Engaged in Web 2.0 Strategy

* BPT Partners & Information Week

Competitive Advantage?

What are you afraid of…?

How do I respond to that on our

Blog?

@!%#*

Top 5: Business applications

Blogs

Forums

Communities

Video Sharing

Wiki’s

Blogs

A blog is a user-generated website where entries are made in journal style and displayed in a reverse

chronological order.

Examples of Success: iLounge HackingNetflix StarbucksGossip

Forums

An Internet forum is a facility on the World Wide Web for holding discussions and posting user generated content, or the web application software used to provide this facility.

Success Example: ItToolBox

Community (Social Networks)

A social network is a social structure made of nodes (which are generally individuals or organizations) that are tied by one or more specific types of relations, such as financial exchange, friendship, hate, trade, web

links, or airline routes.

Success Examples: LinkedIn

Wikis

A wiki (IPA: [ˈwɪ.kiː] or [ˈwiː.kiː][1]) is a website that allows visitors to add, remove, edit and change content, typically without the need for registration. It also allows for linking among any number of pages. This ease of interaction and operation makes a wiki an effective tool for mass collaborative authoring.

Example of Success: Wikipedia

Video Sharing

Video sharing refers to websites or software where a user can distribute their video clips. Some services may charge, but the bulk

of them offer free services.

Examples of Success YouTube.com vMix.com

Why does it Matter?

The conversation is happening; either you are a part of it or not (raising children)

30% who read blog/post more likely to purchase

80% who contribute more likely to purchase**

**CoreMetrics, Web 2.0 Study

Don’t forget SEO Benefits

On Page: Content Galore

Off Page: Links from Blogs/forums posts Wiki links with high authority Social Networking sites

Why Now? The Perfect Storm

Web 2.0 Technologies

Broadband Proliferation

Online Adoption

What about the long-term

Lifetime Value

Loyalty & Retention

Advocacy

Brand Equity Emotional Connection

How to Start: Ask Yourself

Who is my audience?

What do they want?

Do we want to be part of the conversation?

Do we honest customer feedback?

What is the objective of the …..(ex:Blog)?

Suggestions

Participate in other Blog, Forums, Communities

Invite your customers to be part of the conversation

Replicate Success

Test New Ideas Micro site Private Label

Take Away …

Want Updated PPT?

Online Marketing Summit Information www.OnlineMarketingSummit.com

New Marketers Online Knowledge Resource Community?

Aaron@BusinessOL.com