The New Economy Powered by Fans

14 Oct 2014

In the future, only brands who can successfully harness fans value will survive

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Most valuable company in the world

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Fastest growing technology company in China

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#1 market share in sports category globally

5 *  Transparency  market  research  2013  

These brands have effectively unlock fans value to create a “fans economy”

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What is Fans Economy?

A community of fans, with strong affinity for a brand, cultivated and invested by a brand that eventually drives business value.

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Spark Innovation

Increase Revenue

Enhance Loyalty

Reduce Cost

Understanding what fans want?

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Unlocking the value starts with…

Service

New BMW interior part is falling off! @BMW China Not very good quality, is it?

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Reciprocity

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Product Information

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To be part of the experience

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3 things to build a fans economy

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Then brands have to do…

1. Establish a fans-centric eco-system

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Transform the organization from within

Product Marketing Sales Supply Chain Service

Consumer centric

Social Brands

Social marketing

Social E-Commerce

Custom-made

Service focused

Social Customer

vs

Function oriented

Traditional Brands

Repeated impression

Detailed distribution Warehouse

Telephone hotline

Traditional Customer

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Innovators Early adopters Early majority Late majority Laggards

Big scary

chasm

Social fuels the leap across the chasm

* Geoffrey Moore, Crossing the Chasm

Broad Reach

High Engagement

Brand Fanatics

Early-adopting Fans

Mass Fans

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20+ accounts; 53+ million fans

Be in-sync externally & internally

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Service Personnel Marketing Sales Product

Social enhances the service experience

After sales Transactional follow up

within social

VIP response Xiaomi CEO, Leijun, responded

to a fan in a short 22 mins

Social support Customizable

self-serve service 18

Partner right

 

 

 

Brands �

Agencies �Media �

•  Brand custodian •  Branded assets, i.e.

celebrities, content, etc

•  Strategic partnerships •  Product innovation

•  Brand guardian •  Media strategies &

planning •  Delivery

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2. Build a social brand

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Brands need to behave like idols

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Recruit brand fanatics

Fans quantity is important, only to an extent

More importantly, fans have relationships, interests,

engagements and conversations

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Celebrity News Faye Wong reunites with ex

Sponsored HTC launches new mobile phone Desire 820 Sponsored

Adidas supports Beijing marathon 2014

Sports News Support China in the Asia Games 2014

Participate in trending hot topics

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News report

Brand In-feed advertising

Research brand Brand campaign

Buy exclusive product

Discuss a #Hot Topic#

Establish a total experience

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3 methods to build a social brand on weibo

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a. Leverage Weibo UGC Campaign

Pfizer: Red Packet Flies Chinese New Year Gifting Campaign

Join conversation & reward fans 26

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Accelerate brand exposure quickly

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1. Craft #UGC# hot topic à 2. Promote hot topic à 3. Reward users

Red packet flies (Q1)

Snap along (Q2)

Travel with Weibo (Q3)

Charity together (Q4)

Fans quantity

Brand influence

Engagements

Increase

b. Amplify brand on TV via social engagements

Yili QQ Star - Daddy, where are we going? (Season 2)

Expose & engage fans on & off-line 29

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Increase brand affinity with social amplification

TV + Weibo Watch then interact online;

Brand exposure & engagement

TV Broadcast Watch alone;

Brand exposure only

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Sustain brand exposure & engagement

Warm up; increase viewership

Weibo interaction to increase branded contents influence � 

Extend/Amplify the contents

During program After program Before program

Re-usable framework for each episode

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c. Create brand owned experience

Lenovo - Exclusive smartphone for you & your S.O.

Tell the story & hand it off to fans

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Right tool for each moment

Awareness

Content Distribution

Engagement

•  Loading screen •  Announcement banner

•  Feed advertising Video / Image Card

•  Hot topics •  Lite app landing page

Warm Up Launch Amplify

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3. Unleash fans value

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0 to 100M RMB revenue in 2 years via fans economy

2 years old Chinese

skincare brand

20 types of skincare products

Loyal fans through KOLs & frequent engagements

100+M RMB revenue (2013); Top 20 in sales on Taobao beauty category

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Bring down your fever, switch to a Meizu Meizu MX3 Debut Launch on Weibo (2099 sets in 8 mins)

Sell a conversation starter

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Meizu MX4 The Even Better Mobile Phone Weibo Exclusive Launch (500 sets in 2 mins)

Sell a desired product

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Sell as a family

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Sell, quickly & simply

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Tier 1: Basic Tier 2: Personas Tier 3: Precision

Increase performance with actionable data

BMW X1 launch campaign on Weibo, generated more leads than other digital channels

50x more leads with precision targeting

Core auto-lovers

Lookalike auto-lovers

Engaged users

Registered users

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Sales funnel

Social selling is more than just a sale

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Sale Direct monetary benefits

Opportunity Opportunity to attract & provide peripheral services/products

Lead Potential to convert leads

Future economy is a fans economy

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1. Establish a fans-centric eco-system

2. Build a social brand

3. Unleash fans value

Thank you