April 1, 2010

Social Engagement

Start a Conversation

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Social Media is the future of branding?

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Creating social engagement that drives preference and sales

» Consumers are eager to engage with brands: 76% said they would join a brands site if they had the chance to influence, share and receive access information, offers, coupons etc.

» Consumers are researching products online and then buying via other channels: 70% of consumers researched a product online and then bought it in another channel in 2009

» Preference is Influenced: 85% of consumers claim to have learned about a product to purchase from online channels

» They want to share: 99% of consumers surveyed said they would share product information and coupons with others upon learning more

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Social Networks Change Digital Dynamics

Search Engines

Digital Media

Properties

Brand Site

Traditional Digital Model

Search Engines

Digital Media

Properties

Brand Site

New Social Digital Model

Social Networks

User Generated

Sites

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What’s Changed?

» Speed: of execution, deployment, and impact. Cycle times, from campaign planning to response and reading results, are rapidly decreasing

» Measurability: there is a wealth of new data available, for planning, targeting and analysis, but what’s important?

» Control: consumers have conversations about brands without the brands involvement

» Scale: through social networks, content can scale exponentially

» Consumer Expectations: when a brand participates in a dialogue with consumers, consumers have the expectation that the conversation will continue, actively

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In Social Networks Brand Owned

» Large scale

» Evolving tools for brands

» Low control of interface or experience

» Consumer drives experience, brand participates

» Lower scale

» No limit to brand control of experience or tools

» Brand drives experience, consumer participates

» Brand owns data

Brand Owned vs. Social Network Communities

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Community Marketing: Heinz Example

Introduce a new frozen potato product to Moms

Encourage discussion about the product to generate insights

Drive incremental sales

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PROGRAM TACTICS •  Dedicated community and microsite •  Free coupon and pass along offers •  Recipe uploads, product reviews

WOM RESULTS •  purchase intent increased 96% •  recommendation intent increased 118% •  250,000 sales

MARKETING INSIGHTS •  New flavor launched based on member feedback •  members were unable to locate product, identifying launch distribution

issues issues

New product introduction to 16,000 SheSpeaks Members

CASE STUDY: HEINZ

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Social Sharing

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Aquafresh.com #2, Amazon.com #18, Homemade Mom #19

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Key Takeaways

» Social Networks invite Social Commerce: online social networks are like offline social networks, in that consumers talk about brands, purchases, and make recommendations

» New Skills are Needed: brand managers needs new capabilities, skills, and processes to manage and seize new digital opportunities

» Brands Can Own Part of the Conversation: brand-led and owned dialogue is an important part of the new digital mix

» Data and Measurability Grow in Importance: while some of the metrics may be new, and cycle times faster, core measurement and optimization capabilities can be applied to new digital and social opportunities to drive positive ROI

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Thank You!

Aliza Freud"Founder & CEO

aliza@shespeaks.com"212.830.9882