Social Media Through the Looking Glass

Martin Thomas @crowdsurfing

A Market Matures

o From gimmicks to game changers

o From technological hype to organisational & cultural change

Gartner H

ype Cycle

Gimmicks to Game Changers

Gimmicks Play Important Role

o Beta test ideas & technologieso Build audienceso Excite media

… but Gimmicks Have Limitations

o Exacerbate market fixation with tactics, trivia & technology

o Fail to be taken seriously in the boardroom

o Fail to transform markets & businesses

Game Changers

o Transform operating procedureso Create new markets & business modelso Set trends that others will follow

Best Buy & Real Time Customer Serviceo Taking responsibility for

customer service beyond a department

o 2,000+ employees, following guidelines not rules

“Authentic honest, conversational, be

yourself, show respect, expect respect. The goal is to help not be creepy”

“

giffgaff Makes Community Commerce Work

People-powered mobile network (O2) Members receive points for recruiting new

people, making suggestions & solving problems => converted into cash

20% actively involved Aim that 25% of members get half cost of calls

returned for contribution to community

Plans to involve community in pricing & marketing decisions

Not reliant on call centres, expensive marketing & product support

Asda Sees Commercial Advantage in Openness

“Empower consumers”

“Open culture”

“Creative collaboration”

B-B Sector Discovers Power of Community

o RS Component’s DesignSpark community– free software tools (many

developed by members), discussion groups & unbiasedproduct reviews

Built community of 17,000+ electronics design engineers from 139 countries in only 3 months

Aim to become self sustaining in 18 months Analysts upgraded financial rating of parent co.

Old Spice & Real Time Creativity

o 180+ executions in 48 hours

o Most watched branded film on YouTube

Democratisation of Criticism

o Twitter-powered aggregator of amateur reviews

o End of the professional critic?

Technological Hype to Organisational & Cultural Change

The Real Social Media Effect

o Driving new behaviours & expectations Dramatizing institutions’ structural, operational

& cultural weaknesses

Connected Consumer meets Disconnected CorporationConnected Consumer meets Disconnected Corporation

Heightened Expectations

o Speed & responsiveness“The trouble with McDonald’s is it’s too bloody slow”

Instant access, instant response, instant gratification “living life through shortcuts” MTV

Why many institutions struggle

o Not configured to work in real time, in terms of speed or resources

* Critical response time for responding to negative comments

60 minutes

10 minutes

Thriving by Loosening Up

o Attitude more important than level of budget or technological sophistication

o Five simple operational & cultural traits of successful users of social mediaTrustingOpenAgileInformal Collaborative

Tight Thinkers Need Not Apply

o Organisations that struggle with social mediaHierarchicalBureaucraticProcess orientedDistrustful

Loose Thinking in Action

o Importance of strong internal culture built on trust

o Allows shared responsibility & real time decision making

The best company rulebook ever written?

www.crowdsurfing.net@crowdsurfing