Wikibrands - Reinventing Your Company in a Customer-Controlled Marketplace -

February 2011Schulich IMBA

@wikibrandsSean Moffitt @seanmoffitt

Who is Sean Moffitt….Just A Blonde Guy With a Cause

Forget social media…

…we need social business

Social media is a dirty word and small …

It cheapens the value of how it can benefit your business

Global media industry $600 billion industryDigital Media $90 billion industrySocial Media $14 billion industry

Global internet industry $ 1 trillion annuallyannually

The real Wikibrands challenge…

How do we reinvent some of these industries?

Global education industry $ 2 trillion annually

Global IT and Communications $ 2.6 trillion annually

Global health care industry $ 4 trillion annually

Global energy industry $ 6 trillion annually

Global banking industry $ 7 trillion annually

The New Kids on the Block

How and what do we do to change the culture of business?

Traditional New Economy

Business and Brands still Matter….

…but…

• iTunes, Craigslist, ZipcarsFreedom

• Nike ID, My Space, Jones Soda Customization

• Amazon, REDScrutiny

• Innocent Drinks, Vans, Trader JoesIntegrity

• John Fluevog, Wikipedia, DoritosCollaboration

• Red Bull, Axe, You TubeEntertainment

• Zara, Calvin Klein, GoogleSpeed

• Nokia, ToyotaInnovation

A Demanding and Activist Customer Culture has Taken Over

You can either be a monopoly (lucky), commodity (tough) or a wikibrand

The big question – how do you do it? Easy for them.Not so easy for the 82% of us who work in/with

firms with 20+ employees…

Our Challenge?

Wikibrands -The new currency for today’s marketplace:

- Customer participation- Social influence- Digital engagement- Word of mouth- Online community- Grassroots marketing- Connected media- Member collaboration

Equalssuccess in business

We searched far and wide to come up with a fresh argument for social business

Our Particular Mission

Published by McGraw-Hill (Jan 2011 Launch)

Twitter: @wikibrands

Facebook page: Wikibrands

Website: www.Wiki-Brands.com

¼ Wake up Call¼ Strategy Guide

¼ Executional Road Map¼ Continuing Reference

Our Humble Contribution

The Early Buzz is GoodRichard Florida, Best

Selling Author,“A must read for business leaders”

Don Tapscott, Digital pioneer and author, Wikinomics

“This is an important, perhaps seminal

book”

Mathew Ingram, Globe & Mail and

GigaOm“Wikibrands is

required reading for anyone who wants to

thrive in the new landscape”

The Challenge Today – 30-40 MinutesWe will try:

- 7 Reasons Why

- 6 Core Benefits from Wikibranding - 10 Key Things to Do It Right

- Come Wikibranding Career Advice

- Q&A

Why Now?

Reason #1 – Authentic Relationship Desired

#1 The Need for Authenticity and Transparency - 42%

#2 The rise of social networks - 38%#3 Increasing role of wireless/mobile - 35%#4 Customers/people waning attention spans - 25%#5 Media fragmentation - 22%#6 Change in mass marketing effectiveness - 20%

Agent Wildfire -The Buzz Report, April 2010

1.3 Billion Social Networkers GloballyFacebook - 600 million, 130 friends each, 1,000+ fans per pageWikipedia – 265 million readers. 17 million articlesTwitter – 170 million, 190 followers each (after 2 yrs)LinkedIn – 101 million, 61 friends each, 189 index on post-grad YouTube - 18 million Canadians watch/292 minutes per monthFlickr – 40 million members/5.0 billion photosFoursquare – 6 million/381 million checkinsAmazon – 650 million users annually, $24 billion sales GroupOn – 35 million users annually, $500 milion salesQuora – 600,000 registered users

- Spending 82% more time on social networks than they did last year

Reason #2 – The World is Connected and Engaged

Shifting Conversations – just four years ago, 80% of online engagement happened on the originating website, now 80% happens away from the originating website.

Now, to be noticed and talked about, you need to reach “out there” to be relevant.

Source: Hubspot , 2007-2010 study

Reason #3 – Conversations are Elsewhere

• Operational efficiencies are maxed

• Downsizing/rightsizing reaching limits

• Outsourcing labour is tapped• Globalization of markets is done• Media clutter is here• Technology is ubiquitous

The Customer Experience is What’s Left

Reason #4 - It has to…what’s left…

C-Suite Interest – The CEO's #2 and #3 priorities are customer service and experience;

Advertising and promotion rank #12 and #14.

Source: Microsoft Roundtable Study

Reason #4 – Plus it’s what your CEO cares about (or should care about)

Reason #5 - Social, Participation, Engagement, Collaboration, Influence,

Community = Smart Business

“Social” is not media, tools or technology, this is about success in business:

Engaged brands drive value +18%

Non-engaged brands decrease in value -6%

Source: Interbrand 2009 Best Global Brand s report

71% of marketers are less/only equally familiar with the use of social media tools than their customers.

Source: Commotion Study/Buzz Report

82% of executives believe their agencies need to radically transform themselves to adapt more competitively to this wikibrand world.

Reason #6 – Our Customers are Currently Better at It…

78% don't have an employee policy for use of social media, more than ½ don’t have a strategy

Brand Advocacy (Marketing)- Word of mouth- Referral/recommendation- Badging- Sales/traffic- Reduction in media budgets

Brand Perception (PR)- Awareness/exposure/SEO- Affinity- Empathy/respect- Lead industry conversation

Reason #7 - Six Big Wikibrand Benefits

Brand Support (Customer service)- Customer service- Education/ advice- Value-add experience- Lead industry conversation

Brand Serendipity (HR/Corporate)- Stories/Inspiration- Corporate social responsibility- Galvanize employees- Traditional media interest

Six Big Wikibrand Benefits

Brand Content (Media/Customer Experience)- Co-innovation/solutions- User-generated Creative- User-generated content- Reviews/ratings

Brand Insight (Research and Innovation)- Idea stimulus- Beta-testing- Market research/polling- Industry/competitive intelligence

Six Big Wikibrand Benefits

The Recipe for Success?

..10 Factors

The FLIRT Model – A Recipe for Wikibrand Success

CULTURE

CULTURE

#1 Culture Change Required

Core Belief #1 - There is a big difference between “Being Social”

Versus “Doing Social”

MASS MARKETING

DIRECT MARKETING

SOCIAL INFLUENCE MARKETING

A Culture Change is Required

Zappos – Buried in their DNA

Dell - From Crisis to Engagement

Intuit – the Visionary-Led, BtoB Community Builder

Lego – The Bottom Up, Community Builder

Hurdles?

The biggest obstacles that continue to exist in implementing wikibrands in your

company/clients?

1. Inability to measure 40%2. Lack of budgets 31%3. No accepted standards/benchmarks 29%4. Fear of loss of control 29%5. Inability for culture to accept 25%6. Technical skills/expertise not in place 23%7. Do not understand diff. bet. Mass marketing 21%

Source: Agent Wildfire Buzz Report 2010

Implementation Issue – Lip Service > Action

#2 FOCUS– “Why are we doing this/what are we doing?”

Nike + -Members/Customers Values/Lifestyle/Desires

Naked Pizza – Clear Sense of Business, Brand and Culture

Mozilla Firefox– Building a Better Internet across every Community and Country

Language - Threadless – Possibly the Most Human Site in the World

Content - Fiskars – Crowdsourcing your Content

Outreach - lululemon – Ambassadoors who buy in

4. INCENTIVES & MOTIVATIONS“what’s in it for me?”

Extrinsically – Doritos – You Are The Star

Intrinsic - Starbucks – Build a Better Third Place

Explicit - Souplantation – What’s in it for Me?

5. RULES, GUIDELINES & RITUALS“what can/can’t I do here?”

• Experience Facilitation

• Legal & Ethical Concerns

• Employee Policies

• Ownership

• Support, Training and Certification

• Rituals/Customs

Rules - Kodak – Good Empowering Rules

Customs/Rituals – Harley Davidson – Reinforcing the 1%

6. TOOLS & PLATFORM“how and where does it work?”

The Home GameEMC – Smart Customer-Driven Platform Choice – Criteria:

Website + Owned Community + Affiliated Community

- Type of Software/Language

- Cost, Resources & Time

- Customization

- Scalability & Usability

- Security & Ownership

The Tools – The 11 Cs of Community

- Communication/Content i.e. photo/video/albums/news- Competition i.e. rewards, contests, status- Customization i.e. widgets, avatars, profiles- Conversation i.e. blogs, forums, comments

- Connection i.e. messaging, integration, feeds- Community i.e. social networks, groups, teams- Categorization i.e. tagging, sections, levels, lists- Collective Wisdom i.e. rating, ranking, voting, polls

- Co-Creation/Collaboration i.e. CGM, ideas, reviews- Contextual Extensions i.e. mobile, offline, online, IM- Culture building i.e. recruitment, engagement, causes

Amazon- Designed for Socialness

Amazon – Designed for Socialness

The Away Game - Kraft - The Tools of Word of Mom

7. COMMUNITY MANAGEMENT“who will lead the conversation?”

How to Avoid This…

Community/Brand Evangelists - Tasks

8. LIFE STAGE OF THE COMMUNITY“when do we need to adapt?”

The Life Stage of Social Media/Community

Fresh produced contentHighlight contribution

Incentives pitchedNetworked

Seeded audience

Milestone achievementUser generated contentIncentives materialized

Mass supportedExpected cycle of activity

ExpansionBroadened focus

Company culture changeSelf-governance

Tiered membership

9. METRICS, MEASUREMENT, INSIGHTS & ROI“what do we measure and look for?”

A Different Brand Yardstick

Measures Traditional , Passive Metrics

Wiki Brand Active Measures

Engagement Brand Satisfaction am I happy vs. my expectation?

Brand Enthusiasm am I excited about this brand?

DifferentiationBrand Equity

does this brand own an attribute?

Brand Relevance does this brand fit into my life?

ParticipationBrand Awareness & Trial

have I ever heard of/purchased this brand?

Brand Involvement do I get involved, attend events, answer polls, produce content,

give feedback about this brand?

Customer Value/Influence Brand Loyalty do I repeat purchase this brand?

Brand Advocacydo I recommend this brand to

others? how many others?

10. CULTURE & ORGANIZATIONAL CHANGE“how will we be changed?”

Sweet Leaf – The Friend of Commun-i-Tea

Do Brands even Belong in my Social

Spaces!

- 85% of people want companies engaging with their customers in social media

- 56% of people feel a stronger connection with those companies they interact with in social media

- Twitterers are three times more likely to embrace brands than average population

Don’t be fooled, people want social brands…they just don’t want pushy

marketers

The Future?

Types of New Media Future Growth

You are about to make your most important decision over

the next 5 years…and it will affect the rest of

your life

I. THE RESUME

“1. What would you consider to be the number one asset on a resume for new

hires out of school? “#1 Industry Related Work Experience 41%

#2 Track record of Accomplishments 35%

#3 Variety of interests/passions 7%

Special Sauce:Thoughtfulness, good reasons for applyingDemonstrated passion for my businessWell-researched pitch

II. GETTING IN THE DOOR…

3. How do the majority of new hires get made at your company? Please choose the 3 top options:

#1 Referrals#2 Internship/Coop Programs#3 Online job recruitment sites#4 Serendipity – right person, right time#5 Social/digital media awareness#6 Volunteer/collaborative involvement

III. BECOMING DIGITALLY A SOMEBODY…

7. What social spaces should new hires be engaged in to attract positive online

attention? (max. 3 choices)

• LinkedIn 90%

• Personal Blog 69%

• Twitter 65%

* Negative stuff on Facebook

IV. THE INTERVIEW…FOR SOME DREADED

9. What is your biggest pet peeve with interviewing new hire job applicants?

#1 Being Unprepared

#2 Candidate Arrogance

#3 Dissing Old Employers/Managers

#4 Not Answering Questions

#5 Not Asking Questions

10. What question do new hire candidates "trip up" on most frequently?

#1 Why did you apply for our company?

#2 What is your biggest opportunity/weakness?

#3 What skills do you have that would make you valuable for this job?

#4 Are there any questions you have about role/company?

11. Please list the top 3 traits of interviewees who are consistently hired.

• Inquisitive/eclectic experience• Business savvy• Outgoing/motivated• Effort and courage to stand out from the pack• Innovative• Concise/concrete examples of skills• Thank you note/personable

13. What questions should the candidate be asking you during an interview: You may select more than one

answer (max. three choices).

#1 What does success look like in this role?

#2 What excites you about the company future?

#3 What does company culture feel like?

#4 What would a career direction be like for somebody taking this job?

IV. THE EVALUATION

14. What are the top skills you are looking for in new hires out of school? Please select your top 3.

#1 Communication skills

#2 Enthusiasm/perseverance

#3 Interpersonal skills

#4 Fit with company culture/values

#5 Creativity/Innovation

Source: Y&R Brand Asset valuator

Top 8 Differentiation

Drivers

1. Unique2. Dynamic3. Different4. Distinctive5. Innovative6. Visionary7. Daring8. Progressive

Some Advice - Act different, be different, think different

Make Your Content

Sing

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Never Forget – Humans are Hard Wired Social Animals

Mill Street Brewery – February 7th Launch

Published by McGraw-Hill (Jan, 2011)

Twitter:@wikibrands

Facebook page and 6 other social extensions

Become an ambassador

Contact us:smoffitt@agentwildfire.com

Let’s Start The Conversation…

Inquire: smoffitt (at) agentwildfire.comnadia (at) agentwildfire.com

Phone: 416-255-4500

URL: www.AgentWildfire.com

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