the business value of social software

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The Business Value of Social Software David Stephens Technical Sales Evangelist WorkFlow Studios Phoenix, AZ [email protected] Follow us on Twitter: workflowstudios

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This presentations intended audience is a user group setting. The focus is to discuss social software and it's role in business. The key products discussed are Twitter, Facebook and LinkedIn. The premise is that if free, consumer-based products are not embraced within an organization, an enterprise-grade system will not be considered. The goal is to encourage companies to embrace these technologies and use them to grow their business.

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Page 1: The Business Value of Social Software

The Business Value of Social Software

David StephensTechnical Sales Evangelist

WorkFlow StudiosPhoenix, AZ

[email protected] us on Twitter: workflowstudios

Page 2: The Business Value of Social Software

Agenda• Definitions• Social Media• Getting Started/Best Practices• Warnings and Recommendations

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What is Social Software?

• Wikipedia: Social software encompasses a range of software systems that allow users to interact and share data

• The terms Web 2.0 and (for large-business applications) Enterprise 2.0 are also used to describe this style of software.

BlogsForumsInstant MessagingMMOGsOnline StoragePrediction MarketsSocial Bookmarking

Social CatalogingSearch EnginesSocial GuidesSocial LibrariesText ChatVirtual WorldsWikis

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What is Social Networking?

• Wikipedia: focuses on building online communities of people who share interests and/or activities, or who are interested in exploring the interests and activities of others.

• Generally made up with a combination of: blogs, forums, mashups, microblogs, podcasts, prediction markets, RSS, social bookmarks, social networks, widgets, and wikis

• A focus on people and communities• A social networking service (SNS) is a service

that has been designed to build and maintain a social network.

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What is Web 2.0?“Web 2.0 is the business revolution in the computer industry

caused by the move to the internet as platform, and an attempt to understand the rules for success on that new

platform. Chief among those rules is this: Build applications that harness network effects to get better the more people

use them. “.

Tim O’Reilly definitions of Web 2.0: http://www.oreillynet.com/lpt/a/6228 ,

http://radar.oreilly.com/archives/2006/12/web_20_compact.html

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What is Enterprise 2.0• Enterprise social software is a term describing social

software used in "enterprise" (business) contexts • Tends to encourage use prior to providing structure • Andrew McAfee (Harvard Business School) says that the

following must be included for E2.0: Search: allow users to search for other users or

content Links: group similar users or content together Authoring: include blogs and wikis Tags: allow users to tag content Extensions: recommendations of users or content

based on profile Signals: allow people to subscribe to users or content

with RSS feeds Also known as Enterprise Networking

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What are some of the popular sites?

Profiles: Facebook, MySpace, Plaxo, GoogleProfessional Experience: LinkedInBlogs: Blogger, SlashdotMicroblogging/Status: Twitter, PlurkWiki: Wikipedia, WiktionaryBookmarks: Del.icio.us, Digg, FurlPhotos: Flickr, WebshotsTravel: TripIt, DopplrOthers: Classmates, Youtube, Amazon, eBay, Yahoo Groups, Google Groups, Meetup, Skype, Second Life

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Who uses social software?

• Very popular among younger workers.• SNS now reach 54% of the U.S. online audience, up from

43% not even a year ago.• This reach is equivalent to 44% of the overall U.S.

Population.• This is up from 44% eight months earlier.• 52% of 35-44 yr old; 35% of 45-54 yr old• The demographics of SNS users has come a lot closer to

mirror the overall U.S. online population in the past year• 56% of those who log into a SNS site do so at least once a

day.• Women use SNS slightly more frequently than men.• Many uses as an extension of Knowledge Management• Appx 6M Twitter users, 200M FB users• Twitter grew 131% in March 2009

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Top Social Networking Sites in February 2009

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Benefits of Social Networking

• Connect people to information and to one another• Increase Web Traffic through customer interaction• Foster input from customers and partners• Create peer-to-peer information and idea sharing• Creates a company culture of sharing and

learning• Opens up new marketing opportunities• Creates a sense of belonging for employees,

customers and partners which increases loyalty• People want to put a face with a name• Give new hires a way to integrate faster• Many more...

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Which sites should I use?

• Most analysts would agree that LinkedIn, Twitter and Facebook are essentials

• Other sites would depend on your needs• Considerations should be made for

personal vs. business• What is relevant to you, your interests

and your job• What are your objectives?

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What is Social Media?Social – so·cial \sō-shəl\ : of or relating to human society, the interaction of the individual and the

group

Media – me·dia \mē-dē-ə\: the means of communication, as radio and television,

newspapers, and magazines, that reach or influence people widely

Social + Media = human interaction + wide influence, allows people to connect in the online

world to form relationships for personal and business

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Welcome to Dell Hell…Can You Hold, Please?

• June 2005: PR blogger Jeff Jarvis orders a new Dell laptop and four-year service plan, and immediately began having trouble with the machines and the service.

• His first blog post: “Dell lies. Dell sucks.”• His fury was picked up across the blogosphere,

and Dell’s response was deafening…deafeningly silent.

• By August 30, 2005, Dell’s PR team finally responded:

“Dell has a “look, don’t touch” when it comes to blogging.“We do talk to people in public through the standard major media and through our forums.”

• At the time, Dell had no bloggers and no active blogger outreach program.

Don’t feed the blogger…unless you want to get

bitten.

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Social Media = Marketing As Conversation

• Readers comment on your blogs

• They rate your products• They change your wikis• They create blogs of their own• They create “hate” sites if

they really don’t like you• They produce mash-ups of

your content and functions

Web 1.0 users were consumers

Web 2.0 users are participants

Trying to “control” the conversation will be counterproductive and

potentially harmful

“Imagine a marketing campaign based around asking people to be your friend.”- Nick Dawson (nickdawson.net) Social Pulse

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Social media are the forums, blogs, social networks, chat and any other media where users communicate with one another

Social Commerce

Participation

Community

Social Network

s

Blogs

Virtual Worlds

Online Communities

Video and Photo Sharing

Collaboration

Micro Blogging

Tumblelogs

Social Bookmarking

Sharing

•You Tube•SlideShare

•Wikipedia

•Digg•Del.icio.us•Search tag

clouds

•Facebook•LinkedIn

•Second Life•Multiverse

•Amazon Affiliates•ThisNext

•Twitter• Jaiku

•Tumblr•Ozimodo

Participation and Community Characterize the Social Media

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How to use Social Media Effectively

ConversationListen

ParticipateEngage

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Where to startListen!

Start SmallParticipate

Be Active and Authentic

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Dell Hell – 3 Years On: Michael Dell 2.0, Thanks for holding

•Dell now has a squad of 42 full time employees whose job is to spend their days responding via Twitter, Facebook, Dell blogs, and other Web 2.0 sites

•The first user-generated laptop recently appeared based on input solicited via IdeaStorm, including more color options, better battery life, fingerprint readers, and more

•Business Impact:•Dell’s gross margins have increased 19.1% (from 16.6% last year)•Dell’s online community efforts have offered 10K fixes that have been viewed 2.5M times (saving millions on phone support)•People are saying much nicer things about Dell and the Dell brand online

•Michael Dell will be your friend on Facebook.

On adding blogs and message boards via the Dell site: “If we don’t do

that at Dell.Com, it’s going to be on CNET or somewhere. I’d rather have that conversation in my living room than

somebody elses.”

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Nearly 2 millions users on

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• Twitter is a company, offering a microblogging service

• Twitter allows you to connect with your clients directly on their cell phone or computer in a non-obtrusive way

• Twitter lets you post short text updates (140 characters maximum) from a computer or handheld device that repeatedly answer the question, "What are you doing?"

• Your updates are listed chronologically on a personal page that can read like a Red Bull-fueled day-planner.

• Others can sign up to follow your "Tweets," as they're called, and you can follow theirs

• You can set up a keyword, such as a company's name, and see how it is being used in the Twittersphere.

What is

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Twitter Tip: Register your Twitter name without the use of spaces or underscores

Lock up your full name if it’s available and not too long

My UNIQUE branded username uniquely available on ALL social networks is: @delphrb

People want to network with people

Twitter usernames will become valuable real estate just like Web sites were back in the 90‘s.

So “ lock em up! “

When you join first Twitter, put a picture up immediately—before following anyone

How to get started on

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Build your

You select people to

follow, and people

choose to follow you.

community

It’s about connecting with 10 people

who reach 100 who reach 1,000

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Think…• Think …People can Twitter how great or bad an event is

and the world will find out in seconds…• Think …major announcement at an exclusive event• Think…with twitter: it is out in seconds• Think… No need to wait for a website to be updated• or a paper to be created.. just evolution • Think of Twitter as something between microblogging and

sending public instant messages • Think: iPhone launch: when the 2nd generation came out it

was on Twitter in seconds - then people blogged about it, then eventually TV and news web sites told people - who already knew…

• (Source: Karl Roche)

It’s about connecting with 10 people who reach 100 who reach 1,000

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as a powerful marketing weapon

Twitter in your marketing strategy : building relationships with prospective clients promoting events providing insight and commentary on an event in real time promoting special offers facilitating collaborative experience building conversation and relationshipsending press releases opening dialogue between promoter and promotion participants website traffic generation

Imagine being able to immediately reach customers and prospects with breaking news at zero cost…

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Here’s a random sample of companies using Twitter as part of their social media marketing efforts:•Amazon •Dell •Woot •MTV Music Video Awards •Mac Rumors •ESPN •Carnival Cruise lines •Intel Software •CNN •Delta Airlines •Eleven Marketing

And here’s a few news sites using Twitter to their advantage:•CNN •New York Times •BBC 

1.Do use Twitter to sell your products, ideas, offers, insights, etc

2.Do advertise your Twitter account on your website, biz card and marketing literature

3.Do create a conversation. Add your users to your Twitter account

4.Don’t spam

5.Use Twitter as one more tool in your social media toolbox.

Do’s and Don’t

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Using for Marketing in 5 steps

•Listen and learn •Publish valuable news and

information •Distribute promotions •Create or extend your brand

personality •Engage in conversations and

customer service

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To improve your experience

Capitalize on applications that make your use of Twitter much more efficient.  Applications like Twittertise, Twittad, Tweet Later and Tweet Pro afford you certain advantages which Twitter on its own doesn’t provide.  You can schedule your tweets to be sent on a certain date, advertise on Twitter and brand your communication with these applications. 

Twhirl It offers various configuration options to adapt to your personal needs. Twhirl also connects to multiple micro-blogging sites including Twitter, identi.ca, Friendfeed and seesmic accounts. Update your Facebook etc…TwitterFox It’s a Firefox extension that notifies you of your friends' tweets of Twitter. This extension adds a tiny icon on the status bar that notifies you when your friends update their tweets. TweetDeck It enables users to split their main feed (All Tweets) into topic or group specific columns allowing a broader overview of tweets. will automatically update allowing you to keep track of a twitter threads

http://twitter.grader.com - measures the power of a profile

http://twollow.com/ - put in key words like ibm or communications and it will automatically add you to people with those words in there profile http://www.mrtweet.net – Mr Tweet is your personal twitter assistant - add me as a friend, and I'll suggest to you which influencers and followers you should check out

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Best Practices for using

• Use 3rd party tools to consolidate/filter (Digsby, TweetDeck, Hootsuite, etc.)

• Don't be afraid to unfollow• Be careful about following people who will

dominate your stream• Be clear who you are and who you represent• Consider separate accounts for business and

personal• Tweet something that's worth replying to• Think “What is important to me?”

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How to get started with• Sign up at www.Facebook.com• Complete your profile as much as possible• Add some Friends• Look at your Friends pages to get ideas for

your pages• Edit your settings to adjust security• Consider adding the application to your

Blackberry• Visit

http://www.facebook.com/help/new_user_guide.php and http://www.ehow.com/articles_4500-facebook.html to read more suggestions

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Best Practices for using• Sophos recommended privacy

settings for Facebook: http://www.sophos.com/security/best-practice/facebook.html

• DIOSA Best Practices: http://www.diosacommunications.com/facebookbestpractices.htm

• Suggested Best Practices for Advertising on Facebook: http://www.facebook.com/ads/best_practices.php

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How to get started with• Create a compelling profile

• Define yourself• What you have done• What you want to do

• Build your network• Provide a context/reason to connect

• Get the most from your connections• Ask and answer questions• Recommend and introduce colleagues

• Manage your social network

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Best Practices for using • Use a professional looking photo for your professional

network• “Do something” a couple of times a week• Read updates daily• Check to make sure you are being viewed• Build a large, diverse network• Diverse networks provide non-redundant data and

increase benefits and productivity• Provide “honest” recommendations• Make sure your company is listed and that employees

are connected to that listing.• Make sure that your SMEs have profiles and

recommendations• View company/personal profiles and recommendations

when choosing vendors

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WARNINGS• Hearing through the noise• Addiction• Be Cautious• Be Diligent• Report suspicious behavior• Communicate and Monitor if you have

kids• Research security settings

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Recommendations• Social Networks will help you:

• Deepen your knowledge• Broaden your network• Strengthen your reputation

• Having diverse friends helps• Being a bridge between a lot of people is not helpful.• The number of people reachable in 3 steps is positively

correlated with higher performance.• Perhaps frequent communication to the same person may

imply redundant information exchange.

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Be a friend• Don’t just “friend” someone – act on it!• Where can you give/support?• How can you encourage someone?• Who can you recommend?• In what ways can you use your network

to help someone else?• Use the tools to help others• The goal should not be to have more

friends, the goal should be to be a friend.

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Summary

Don't discourage social networkingEmbrace it as a business tool

Encourage others to be involved

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Questions?Contact Me

Email: [email protected] or [email protected]

Skype/ AIM: dvdstphns

Google Profile: http://www.google.com/profiles/dvdwstphns

LinkedIn Profile: http://www.linkedin.com/in/dvdstphns

Flickr Sets: http://www.flickr.com/photos/64922863@N00/sets/

Twitter Profile: http://twitter.com/dvdstphns

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Backup Slides

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Using Twitter for Marketing in 5 steps

•Listen and learn •Publish valuable news and

information •Distribute promotions •Create or extend your brand

personality •Engage in conversations and

customer service

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1. Listen and learn

As with other social media, the most important first step is to listen to the conversations. See what people are saying about you on Twitter. The daily thoughts of so many people can be an incredibly rich source of information on the perceptions of your brand, products and services.

The easiest way to start listening is to visit search.twitter.com and enter your brand and related keywords.

To view the volume of conversation about your brand, products, or offerings, on Twitter, also try Twist. There are also several social media analytics services that track Twitter as part of their package, such as Techrigy SM2 and Collective Intellect.

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2. Publish valuable news and information• Only after you've listened a while and understand the style and etiquette of Twitter

communications should you consider creating an account and posting content. • An easy starting point is to publish regular news and updates that is already

distributed via other channels:• Product announcements • Press release headlines • Events • Press coverage • Blog posts

• Examples of companies publishing news updates include Oracle, Salesforce and Apple, which unfortunately appears to ignore Twitter except during Steve Jobs' presentations.

• Don’t limit yourself to pushing existing content. After all, only truly passionate customers will follow your tweets if all you provide is news they can already get elsewhere.

• Your Twitter presence won't grab attention if all it does is link to other content, like Salesforce does.

• Think about new and different bits of content that your prospects and customers will find valuable.

• Example: JetBlue often uses Twitter to post weather alerts or travel tips that make travelling easier

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3. Distribute promotions

• Twitter is an effective channel for sending out promotional messages. Timely sales and coupons are easy to distribute on Twitter, and the fast nature of the Twitterverse means that people can respond to the promotions quickly.

• DellOutlet regularly posts offers with codes for special discounts• @IBMClearance has just been launched by the ibm.com team

• But let's face it, blasting people with your news and special offers simply won't cut it for the great majority of Twitter users.

• Most people don't want to follow you on Twitter for the factual information and offers you might publish. They're interested in you because they want to engage with the brand in some way. They want to hear the voice and personality of the brand.

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4. Create or extend your brand personality

• Social media spaces such as Twitter are where personalities meet• If you come across as a monolithic, faceless, you will be ignored• If you take the time to hone a voice and personality, people are much more likely

to engage with you. Be real, authentic, interesting. Figure out your voice first• Twitter is far more valuable for distributing brand personality than it is for

merely delivering content• Companies that are engaging users on Twitter aren't succeeding just because of

the information they supply; it's the voice and style of delivery that makes the difference

• H&R Block : Few people get warm fuzzies when thinking about H&R Block. But on Twitter, H&R Block has a voice that is approachable and helpful. People are exposed to an H&R Block that expands their perceptions of the brand through their tweets

• Similarly, Crocs uses Twitter to express its unique brand personality and get people excited about shoes

• The CEO of Zappos uses Twitter regularly to talk about products, parties he attends and anything else on his mind. His voice becomes the voice of Zappos for Twitter readers

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5. Engage in conversations and customer service• Twitter is about conversations, not monologues.

• Twitter is about talking with people, not merely at them. While publishing content and creating personality are starting points and should be components of your Twitter strategy, it shouldn't stop there.

• Make friends on Twitter. If people follow you, follow them too. Create a community not a soapbox

• Reply to others. This critical component of your Twitter activity makes all the difference, because it shows you want to engage with customers and listen to them.

• When people make a comment or ask a question, respond quickly and authentically. Respond like a real person, Here's a typical conversation JetBlue engages in on Twitter:• Customer: @jetblue where can I find your checked bag policy? Does a car seat count as an extra bag? • JetBlue: children's car seats don't count as a second checked bag (and can also be gate checked if you find that

easier) • Customer: Thanks much. I'm ready to be a happy jetter tomorrow

• This simple dialogue answers a customer's question, and because Twitter is a public forum, it also informs other customers and displays JetBlue's responsiveness and service

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• Be proactive in starting conversations. • Listen for mentions of your brand, read them, and take the lead in starting a

conversation. • Example of how Comcast reached out to a customer who said something about

them:• Customer: my comcast internet has been down since yesterday. so not cool, comcast.

esp w ur already low customer satisfaction #s • Comcast: Can I help? • Customer: i tweeted about my 24hrs of dead comcast internet and @comcastcares

answered my cry for help in secs. No. 2999 why i am in awe over Twitter! plus i have a new found respect for comcast. thank you, @comcastcares

• Helping one customer at a time where everyone can see it can make a real difference in brand sentiment. And those good experiences are being shared beyond Twitter, where blog entries and word of mouth generate broader benefits.

• Because success on Twitter requires these types of back-and-forth interactions, it requires dedication and resources.

• You can't create a Twitter account, post a press release once a month, and expect an instant audience of thousands … It takes some time and investment to build a network…

5. Engage in conversations and customer service

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Different ways to use TwitterTo update customers of the company deals and coupon codes: 1. Dell has created a number of Twitter profiles, each meant for different types of deals (e.g. DellOutlet posts recent

refurbished Dell computer offers).2. Starbucks posts new offers and also participates in threaded discussions of these offers with their Twitter-followers.

To offer an alternative customer support option: 3. JetBlue offers Twitter-based customer service (notice, they even provide the customer support employee’s name

currently on duty).4. ComCast offers a friendly Twitter customer support; what I personally like about their profile is the real person

photo instead of the company logo.

To get closer to customers: 5. Via their Twitter profile Southwest Airlines run non-official, entertaining discussions with their customers.6. HRBlock runs ask-and-answer sessions with their customers.7. Best Buy has built Gina Community to communicate with their customers and friends.

To react to customers’ feedback8. Popeyes answers their clients’ feedback in an entertaining tone and also updates their Twitter listeners of the

current deals and discounts

To offer an alternative subscription option: 9. ATTNews updates their Twitter-followers of the news published at the site.10. Forrester Research posts updates of their site recent discussions.

To post company news: 11. BreakingPoint posts updates of the company and industry news and also discusses it with their Twitter-listeners.12. Samsung has created a Twitter account dedicated to mobile phones and posts both the company (US

department) and product news there

To promote the corporate blog: 13. Kodak Chief Blogger both posts the company blog updates and discusses them with the company customers.