BrandSavant

Gaining Insight From Social Media Data

What’s Wrong With Social Media Marketing Strategy

by Tom Webster on October 12, 2009

I’m not a social media strategist–I’m a researcher. I actually don’t know very many social media strategists. That’s not a knock on the growing number of social media marketing consultants out there–it’s more a recognition of the limits of their practice. For example, last week I watched a panel at the Inbound Marketing Summit (IMS09) discuss getting past the “social media hype.” The panelists (Brian Solis, Chris Brogan, Jason Falls, Paul Gillin and CC Chapman) were all asked to give a closing thought for companies seeking to adopt or enhance a social media presence. For the most part, the responses were fairly tactical in nature–not wrong, mind you, just tactical. “Be Human.” “Be Helpful.” “Engage in conversations.” People dealing with people at the sharp end of the stick. Hard to dispute any of that–but that’s all the how. The why is a deeper strategic issue, and one that transcends the marketing department. More on that in a bit.

In any business venture or investment, you get what you measure. While some of the panelists seemed knowledgeable about potential measures of success, others were a bit laissez-faire about things like ROI. “Forget about ROI,” claimed one, “just do it!” Companies can forget about ROI, I suppose, when they have unlimited resources–but as long as there is an opportunity cost to pursuing social media initiatives, there needs to be a way to justify that cost. Another panelist claimed that other forms of advertising (like airport displays) didn’t have metrics either–but that’s patently untrue (I know this because we actually measure airport display effectiveness at Edison.) There are clear measures like Willingness to Consider and the Net Promoter metrics that are as applicable to social media as they are to any kind of sponsorship, out-of-home media or interactive display. I do a lot of work for Public Radio, and there is an enormous effort within public media to measure the “halo” effect that sponsorships have for the companies that sponsor programming. I suspect there are clear analogues from measuring how people feel about companies that support public media, to how people feel about companies that engage in social media. I’m talking about clear measures: metrics that equal dollars by quantifying the value of loyalty and engagement.

The metrics are there–it’s simply a matter of doing pre/post measures on the ones that matter and off you go. The smartest people I know in social media know this–but there continues to be this prevailing received wisdom amongst social media enthusiasts which insists that, because social media engagement is the right thing to do (I don’t dispute that) that we should screw metrics (which I clearly differ with.) Metrics justify investment, which raises the profile of social media within the company, which in turn attracts the notice of the functions within the company that truly need to understand the transformative power of social networks. And I’m not talking about the marketing department.

This brings me to the second problematic issue with social media “strategy.” I firmly believe that there is a strategic component to social media, and that it absolutely has the power to transform the way we do business. The problem that a lot of social media marketing consultants have, however, is that ultimately they are going through the wrong door. If an employee has an interaction with a disgruntled customer on Twitter, that interaction may fall under the aegis of the marketing department, and the successful resolution of that interaction probably will involve any and all of the tips espoused by the experts on the IMS09 panel. When Southwest Airlines resolves a baggage issue on the social web, or Ford engages online with potential Fiesta drivers, those are marketing initiatives, without doubt. Each successful interaction is a tactical interaction–person to person (with an audience, of course!) The “playbook” that a marketing employee follows in such an interaction may indeed originate from the marketing department. But the actual ability for a rank-and-file employee to be a real human, to stop the assembly line (like a Toyota factory employee can) and communicate transparently with customers and prospects, goes above the marketing department’s pay grade. At the very least, it is a Human Resources issue, and ideally a CEO-level intervention. Telling an internal social media marketing specialist to “be human” might come from the marketing department, but only a company that has been engineered from the ground up to support a culture of human business has the ability to empower that employee to actually be human.

I think Chris Brogan gets this–he articulated it today in an article entitled What Human Business and the Social Web Are About. Brogan notes that engaging in social media “is not a new marketing channel [or a] new technology…it’s more. This isn’t the battle of who “gets it” and who doesn’t.” I think he’s right. Yet you read through the comments to this post and you still see a lot of language around people “getting it” or “not getting it.” I don’t think anyone “gets it” (myself included) because we don’t know where this is going. Telling a marketing department to be “helpful and human” on the social web is a tactical message. Reengineering the company so that its employees can actually be helpful and human may require an enormous overhaul of the very theory of the firm.

What I think Brogan is recognizing is that it’s time for Act Two for social media. We’ve heard all the admonitions from social media gurus and enthusiasts about how we are meant to act and behave on Twitter. But going through the marketing door is only going to get you so far–in that sense, social media helps the rich get richer, but does little to help companies that aren’t structured to actually be transparent and helpful where the rubber meets the road. Social media’s next act has to be through the corporate HR director’s door, and ultimately the CEO’s door. To get there, however, social media has to prove itself by more readily embracing effectiveness metrics (not just statistics) to raise its profile in the organization. Give the CEO the numbers to justify continued social media engagement, and that engagement will continue–and ultimately be the trojan horse for what human business can become.

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  • http://www.twitter.com/steve_dodd Steve Dodd

    Tom, I couldn’t agree more. And there are many others out there who are discussing this all day, every day. The “C’s” are the ones who dictate corporate strategy primarily to grow shareholder value. This is based all around $. That being said, they also have vision, typically vision that cannot be quantified. Many of them clearly understand the value of Social Media (from many different perspectives). They’re not stupid. But, based on the way business runs, they must prove value, typically though $ measurement. So, we must find ways to provide that $ return so they can get started and address their vision. Once it begins, it will grow exponentially. Show them the money and it will begin.

  • http://RestaurantCoachingSolutions.com Jeffrey Summers

    Amen brother! On all counts!

  • http://www.ronsmap.com Ron Morrison

    Tom, you make excellent and rock solid points. There are in fact far too many social media strategists that seemingly wield the novelty, esoterica, and sprawling technological landscape as a means to pedantically drive businesses and firms forward into the social media world. Many of them seem to believe that their pre-knowledge and expertise and recanted stories of happy marketing support representatives should suffice as the reason to move forward and the reason to stay the course.

    You’re right… CEO’s, COO’s, entrepreneurs will move further into the social media relm and will do so with more engaged creativity when their given the tools and strategy’s for honest and transparent metrics. Analysis, metrics, and demonstrable returns on their investment will be the fuel that drives them further towards truly changing the way business is done vis-a-vis social media strategies.

  • http://www.thecharisgroup.org Mark Brooks

    Finally someone saying, “Not so fast my friend!” In my review of Brogan’s book today on my blog I said, “If I have a reservation about the book at all it is the reservation I have about nearly all Social Media devotees. I fear that the authors might be too close to the chess board to properly evaluate the impact of these new tools. We who use these tools need to be aware that just because all our friends are on Twitter does not mean the whole world is. My fear is that in embracing these new tools we might end up throwing the baby out with the bath water.” I too often hear those who have embraced Social Media make claims that they simply can not back up. I like that you have not ruled out Social Media but have called them to account for the “why” of it all.

  • http://Www.twitteracademy.com Steve Kennedy

    The ROI issue has been something that I have been pondering since a Social Media Club meeting in Phoenix. An audience member asked panelists how they measured ROI. Not one gave a substantial answer.
    Metrics and ROI are the measurements that will someday make social media mainstream. Who will figure out the magic formula? It will be interesting to see it happen.

  • http://www.surfthedeepend.net Suzi Craig

    Tom – thank you for this!

    We have been finding (in our limited experience) that we can’t conduct social media “strategies” very much at all within companies because once we dig into their organization, we discover that they can’t support the real shifts that need to happen. Either they only have one or two champions within the organization or they are all gung ho in the beginning but then fall flat when it comes time to be active.

    I am hungry to understand just how we can evolve the metrics side of this equation. I always tell clients that once upon a time they had a big marketing budget filled with $$$. Now they still have a marketing budget but it’s filled with hours: hours of time investment. Chris Penn did a great job of talking about ROI for “butts in seats” but I’m still eager to know how this can really translate to service companies and the high end consultants that have long lead times and require lots and lots of engagement before signing the big checks. Thoughts?

  • http://dontdrinkthekoolaidblog.com Indra Gardiner

    Thank you. As an agency that holds the hand of clients as they consider social media strategies (!) and tactics, I can confirm that metrics absolutely do matter. Anyone who says just do it, without considering benchmarks, goals and measurement is irresponsible. Our clients have bosses who watch budgets and really do care about their investment in social media (and it IS an investment if you believe that time is money).

    I think what you are describing in changing the culture is a huge next step and something that not every company will be able to fully embrace. Perhaps over time, our new level of sharing and transparency will eventually influence HR and the CEO toward what you describe.

  • http://altitudebranding.com Amber Naslund

    Tom,

    This post is probably one of my favorites that I’ve read in a long time. You’ve said so many things that I couldn’t manage to put into words, and I found myself shouting “YES!” (much to the dismay of my sleeping dogs).

    What’s at issue is that we’re telling people to be human. Be helpful. Be transparent. Be…social. But in a business context, all of those things are defined at a level much deeper than marketing or communication. They’re buried in the very fabric of an enterprise.

    For smaller businesses just starting, they need to learn how to weave that *intent* in the business they’re building. So how can we teach them what that means and how to demonstrate it in the way they conduct business overall? And for larger companies, it’s unraveling years or even decades of matrixed, siloed, regimented practices that have often long since lost the essence of what it means to be “human” rather than an “entity”. That’s the trickier bit; devolving a company just enough to recenter some of those mindsets and values in order to build a social *business* that embodies these ideas through the way they conduct themselves.

    In any case, bravo on the post. It’s going to have me thinking, to be sure.

    Best
    Amber
    @ambercadabra

  • http://blogs.open.collab.net/oncollabnet Guy Martin

    Tom,

    You’ve made several very good points – especially around metrics. It is also worth noting that Chris Brogan has spoken several times on focusing on the *right* metrics – not just pulling in statistics for the sake of having something to throw on the alter of ROI.

    A bigger concern I’ve had (and one I recently wrote about) is that the pendulum tends to swing too far in the ‘must have metrics only’ direction at times. Specifically, the mistaken notion that some execs have that ‘they just need the numbers’ to justify continued investment in social media or community efforts.

    I think it is critical to have not only the metrics, but actually a *human* to give color beyond the raw numbers. When dealing with something that involves humans and their foibles, attempting to distill it down to straight metrics is a recipe for potential disaster.

  • http://socialsteve.wordpress.com Social Steve

    Great article! Couple of points …

    1) Like ALL marketing activities there must be metrics. Marketing continues to get a bad name from marketers who do quantify the value of their activities. No metrics – hard to sell the value and thus easy to eliminate in a budgeting exercise.
    2) I agree – it is time for social media to be a corporate activity, not just marketing. It has ramifications for the entire orgnaization – not just marketing. The problem that I see is that in the absence of Executive sponsorship at the highest level, the marketing group is taking the initiative. Marketing must bring together representatives from the cross organizational team and this is not really happening yet. I think this will change over time.
    3) I wrote an article “Measuring the Value of Social Media” (http://bit.ly/hodQp) which you might want to check out … gets into suggested measurements and a few alternatives to my suggestions (by others) are included as well.

    Good stuff – thanks,
    Social Steve
    http://socialsteve.wordpress.com

  • Julie Senter

    The last paragraph is the best of this post (which is altogether good). Maybe social media is going to do more than just change how companies communicate. Maybe it is going to change corporate culture.

  • http://technebish.blogtown.co.nz technebish

    Good encapsulation of how a business should view social media – so much more than just marketing.

  • http://www.kherize5.com Suzanne Vara

    Tom
    Fantastic article. The getting it or not getting it is really a great point as how can anyone get it while it is still evolving, I see it as the consumers expect individualized and immediate attention with social media. Social media brings us back to the days of the door-to-door salesman who had interaction with customers and they trusted him or not. It was a human talking to a human and not press 1 for this, etc.

    Consumers have a forum to complain for thousands to hear. You are dead on with the shift to the CEO as the marketing department can make a long list of what ifs for the customer service dept but ultimately the CEO has to adopt.

    The voice of the consumer is powerful and how companies are proactive or reactive is what I see the next phase of social media being. Certainly it is about measuring the effectiveness which is not in dollars but how much individual attention is a company willing to give vs the demand of it from the consumer.

    Again, fantastic thought provoking article that many need to read and think about.

  • http://www.scottmonty.com Scott Monty

    Actually, at Ford, most of our social media engagement is initiated as a Communications initiative, not Marketing. And its being woven into many areas within the company, including Customer Service, HR and IT, to name a few.

    Our CEO, the entire executive team and even the Board of Directors are behind our efforts. Our social media strategy is completely aligned with our overall business goals and our communications strategy, so there’s consistency and more of an impact.

    To be done well, this has to be about culture change as well as about complementing traditional communications and marketing tactics. And that’s exactly what’s happening here.

    Scott Monty
    Global Digital Communications
    Ford Motor Company
    @ScottMonty

  • http://www.smallbiztwit.info Steven Moore

    Tom,
    Great Post- I agree. This is Social Business Design and will take numbers and data to help the change agents inside to make meaningful change. We have moved from Social Media to Social Business because SM is the bright and shiny tools and tactics, whereas SBD is moving throughout an organization and working on aligning the social dynamic to the business. Heavy lifting is required and that will mean more than lets get our feet wet.

  • http://twitter.com/SCInfoSearch Sara Chi

    Love your post, Tom. Companies are still mysterious on social media’s “how”, they attribute to mostly marketing, customer services, and mainly B2C; few realized it’s just one of many communication platforms that can help utilizing and maximizing ROI and achieving goals. I’ve seen policies, strategies on social media but maybe what we need, is an end-to-end processes that integrated into company mission, so it’s embedded in each business units to prevent silos, or be taught how to be human.

    Being a researcher/information professional myself, sometime it’s hard to measure our efforts but, you can’t manage if you can’t measure.

  • http://www.thelittleprc.com.au Janelle

    I totally agree with you.

    Many of my clients come to me, with no comms platform whatsoever and tell me they do not want any ‘traditional’ comms strategy, they just want a social media strategy.

    The first thing I do is ask them why and what they think it will achieve.

    Most leave me with an integrated strategy which involves a tailored social media and traditional comms approach, those that want to push on with their original plan usually go and find another PR person as I do not believe in someone paying for nothing.

  • http://www.asourceofinspiration.com Armando Alves

    It can be done. Always start by listening (the cornerstone of social web), and then define a long term purpose related to business practice.

    Results do take a while, and we’ve all been doing (and learning) it not for that long. One of the hardest part, as with all organizational change, is to convince other stakeholders of the strategic importance, and we’re still struggling at that. When we get to the point that a corporate structure feels comfortable with social web as with training programs, there’s a better chance to create structured approaches to social media.

    P.S: i despise the term social media: it always reminds me of “traditional” media. And it’s not like we can buy conversations or something (and probably the FTC wouldn’t like it). Social web feels more human.

  • http://doughoff.com Doug Hoff

    I enjoy your ability to recognize “the Emperor’s new clothes” in social media. Keep up the conversation. I’ll enjoy blogging back.

  • Tom Webster

    Thanks, Doug–that’s very gratifying.

  • http://bergenstrahle.blogspot.com Christian Bergenstrahle

    Tom,
    this is one of the best blogposts I have ever read about social media and I have to say that I couldn’t agree more. Social media is NOT a thing only for the Marketing Department – it’s for the whole company and it’s important that everyone is involved.

    Regarding measurement I think it’s like using any other communication tool – you need to have objectives which are possilbe to measure. In the long run of course sales is important but that’s not what should be the main objective by using the social media – here we want the engagement, we want to be part of the recommendation chain. With the measurement tools we can find on the market today it’s quite easy to measure the involvement of others – I just think that companies have to realise that it actually IS possible to measure.

    Thanks again! /Christian (XeeSM.com/bergenstrahle)

  • Tom Webster

    Thank you, Christian–there is still a lot of resistance out there to measuring things like ROI, but really, when you look at the results of your social media efforts, how do you know if you had a good year? How do you know what to improve? The metrics do exist–they just need to be adapted, applied and embraced.

    Thanks again for reading.

  • http://bergenstrahle.blogspot.com Christian Bergenstrahle

    I totally agree with you but I hope things will change. I have my background from the sponsorship industry and there we have started to work more with ROO (Return on Objectives) – something that I hope will spread to the Social Media world as well.

    http://bergenstrahle.blogspot.com/2009/09/roo-new-measurement-tool-in-social.html

    The ROI itself is not that interesting if we don’t succeed in reaching our goals and objectives – is it?

    Enjoy your day! /Christian (XeeSM.com/bergenstrahle)

  • http://www.jmorganmarketing.com Jacob Morgan

    Great points Tom. It’s for exactly the reasons you mentioned that my company focuses on the ROI/Impact of the social media space. I think a lot of the folks that shout “forget roi” are the social media motivational speakers of the space. We need them to help get people excited but they are not the right people to be actually working with companies. ROI should involve making money and strengthening the brand. At the end of the day though it’s not the actual ROI number that matters it’s understanding what variables affect the number and how you can manipulate those variables to keep your ROI # growing. I think 2010 and beyond all of the “you can’t measure ROI” bs will stop; as you said; someone is writing the checks for these programs and if they can’t justify the spend then there is no reason to invest in them.

    Great post

    @JacobM

  • http://www.trendbites.com Kim

    The metrics come only after the goal is set. In other words what are you measuring? Purely sales revenue? If so, then it’s about a product launch and how well sales started picking up after word got out using these social media tools.

    I’ve studied various launches and found a few that were very impressive in how they were handled: Ellen DeGeneris’ launch of her Halo pet food line driving people to her ebay auction which in turn donated money to the Humane Society and then tweeting her every move to her QVC debut. You could see the results then immediately based on her QVC sales that night. Ellen was on QVC herself. Her last tweet had her talking about her nerves before going on.

    Chris Brogan is doing the same thing with his book. He’s using his own status and appearances to sell his book, but he’s also been clear about the fact that he is doing this.

    In both cases, both individuals already had large followings. However, I also believe it possible to just tap into the right groups (those with same interests) to create some excitement around a brand for an event or an article. And if you continue to do that, and your messages are working then you will see the ROI. So some sort of metrics around brand awareness since starting the SMS, sales, and also watching the buzz online in terms of liking it or not.

    And I can’t stress enough how more than one channel will need to be used to make these work, but that’s more than half the fun of it….and it’s so cheap! But yes, labor intensive.

    Again, if you look at best practices you’ll find that those with the most human voice are the ones garnering the most significant in following. i.e., Trust Agents.

    So you can either tap into an existing following or work to achieve your own. One will take less time than another.

    And depends largely on what your initial goals are to being with. And that’s the starting place. Chris Brogan has been doing what he’s been doing for a long time to be able to get his book launched and become a bestseller overnight…..timing of social media strategies has to be considered within the context of your overall strategy and the marketplace.

    You are correct that it will become a human resources issue. Larger companies probably already have their own departments, or should just based on social media but reporting to marketing and smaller companies can get the ones most used to using the medium and with some marketing savvy to create buzz around an event or discount or they can use a firm who can help them do it long term to build the brand over time.

    One thing’s for sure. This phenomenon isn’t going away any time soon so we all better brush up on the tools, the trade, the apps, and figure out our goals. Ready Aim Fire.

  • http://www.fiveideasthatmatter,com haydn

    I think we’ve seen the ground move in the area very quickly In the space of three years we’ve gone from social media, to social technology to open management. That need for greater openness is going to hit a lot of companies hard – those that think they are doing something open or communicative because they use Twitter. Burning the playbook. Creating work environments where there is no playbook – where people are re-humanised and are expected to take responsibility for communicating and given the freedom to do so in exchange for that responsibility. Ending the era of management by fear. Exploring where talent really lies in the organisation. Seeing the firm as an organiser of people and networks I see some scary changes ahead.

  • http://www.beastoftraal.com/ Karthik

    Really, really good post – thanks. The fact that, right now, its only the PR and marketing teams peddling social media outreach without intrinsic support from other department shows that we’ve scratched just the surface. Its indeed time for an act 2…to go deeper.

  • http://www.sonncom.com Tom

    Point made very well! There is need for strategy and concept in SM marketing. But it is a lot easier to talk about all the cool things in SM than to actually work out a strategy, to develop a concept, integrate it into a companies procedures, build interfaces to customer service and to measure the achievements.
    I am working as a SM marketing consultant and I do social media workshops with my clients. Many expect a day of flashy twitter and facebook presentations and are surprised when they actually have to sit down and work with me on a strategy and the concept.
    My workshop day usually includes:
    1. monitoring of the status quo
    2. content decision
    3. social media marketing strategy
    4. developing the social media marketing concept
    5. social media optimization of content and interfaces
    6. budget
    7. organization of measurement

  • http://thesocialscene.wordpress.com/ David Breshears

    Great post, Tom. As a communication researcher who backdoored his way into social media and interactive marketing, I’m continually amazed by social media advocates who disavow the need to develop robust engagement metrics or flippantly dismiss the mountains of quantifiable data demonstrating the impact of traditional communication channels. For an industry (online advertising) built on the ephemeral value of the click, engagement metrics should be a selling point for social media, rather than an impediment to adoption. When we created an interactive campaign for Scion on Dame Dash’s now-defunct urban social network, BlockSavvy.com, me measured a variety of interactions: through traffic to the Scion site, time spent engaging interactive assets, participation in on-site contests, viral pass-alongs, and other indexes of user engagement. That was in 2006. With the advent of new social tracking technology, it’s even easier to measure the performance of social media and interactive marketing initiatives. When Avenue A/Razorfish approached us to create similar interactive campaigns for Nike, our ability to measure engagement was at least as attractive as the interactive assets themselves. Brands and advertisers may have a lot of issues with social media campaigns, but impact measurement needn’t be one of them.

    I also want to echo your point about social media being more than a marketing tool. For big and small business alike, social media initiatives can improve customer service, enhance market intelligence, streamline product development, expand HR capabilities, and increase organizational IQ to improve performance across the enterprise. If we confine social media efforts to the marketing silo, we’re seriously underselling the value of the technology. Factoring these non-marketing impacts into our discussion of ROI should be an imperative.

  • Nick Wreden

    All true, but the bigger picture has been missed. It is not about enabling the organization to deliver on social media; it is about enabling the organization to deliver on the brand. Ultimately, it all boils down to execution, with engagement and measurement close behind.

  • http://blog.vmrcommunications.com Hugh Macken

    “Social media’s next act has to be through the corporate HR director’s door, and ultimately the CEO’s door.”

    I love this quote in particular. Too bad it took me half a year to see it and the post at large!

    I think you are onto something here when you say it’s not about whether companies “get it” or not. Big businesses, as Amber mentioned above, has to deal with the tricky issue of “unraveling years or even decades of matrixed, siloed, regimented practices that have often long since lost the essence of what it means to be “human” rather than an “entity”.

    GE has a Director of Employee Marketing. Many companies have Chief Culture Officers. Kodak has a Chief Listener. Truly, HR strategy is crucial to social media implementation. You have hit the nail squarely on the head. Well done.

  • Tom Webster

    Better late than never, Hugh!

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