Is The Social Media Slumber Finally Over For Big Brands?

Perhaps it is because I am the father of a 13-year old daughter but whenever I hear the word "slumber" I immediately think of the phrase "slumber party" - which then conjures up fun, unless of course you are the host parent of said party.

However, if you're a big brand, say on the level of a Fortune 500 brand, your "state of inactivity" - AKA your slumber - when it comes to social media, may finally be over. At least it may finally be over for some as that's the indication one gets from reviewing data from a recent study from the University of Massachusetts Dartmouth Center for Marketing Research.

You can clearly see the uptake in social media usage across the board re: the big social media networks. Most notably is the increase in blogging among Fortune 500 companies - up 28% in just one year.

However, the study delved deeper into blogging and in fact showed that blogging among Fortune 500 companies is up over 112% since 2008.

And try this stat on for size re: blogging: Brands ranked in the top (Fortune) 200 were more likely to blog than those ranked 300-500.

Coincidence?

Here's some other findings/stats:

• The 171 Fortune 500 corporations with blogs represented 58 of 75 industries in the Fortune 500.
• 8 of the top 10 corporations actively post on Twitter.
• 72 of the 75 industries represented in the Fortune 500 use Facebook &  Twitter
• Only 1 of the top 10 companies (Ford Motors) is on Instagram.
• Walmart is the only company among the top 10 to use Foursquare.
• Half of the top 10 have a Pinterest board.

And speaking of Pinterest, in what should come as no surprise to anyone, it has seen a growth of 350% YOY, 2012 to 2013, going from 2% to 9% adoption among Fortune 500 brands. It is worth noting we're talking very low numbers - 11 companies in 2012 to 45 in 2013 but, you can surely expect to see that number increase as more and more brands take full advantage of the visual-social networks.

Why Has It Taken So Long?

I am a very curious person by nature so when confronted with facts and figures like those above I am left wondering "why has it taken so long for so many large, multi-billion dollar brands to realize what we already know?"

Social media is not a fad. It is not going to go the way of other fads and one day be found on sale on eBay or discovered by the American Pickers sitting in someone's farm with dust and cobwebs over it.

It is where your customers and future customers are spending more and more of their time so why would you not want to be there with them?

Not that should I have to do this but I will anyway.

Just some, some of the latest stats re: social media usage:

• 27% of time spent online is on a social network
• Facebook has 1.11 billion monthly active users
• Twitter has over 550 million users
• More than 1 billion unique users visit YouTube each month
• There are more than 2.1 million LinkedIn groups
• Pinterest has nearly 50 million users

So why Mr. & Mrs. Brand?

Why has it taken you so long to come around and why so others among you continue to resist the open invitation to join the party - the social media slumber party?

Here's a few of the reasons I believe it took so many brands to accept the invitation and/or continue to refuse it:

• Fear. Pure, unadulterated fear. Fear, when it comes to social media, comes in many shapes and sizes and at or near the top of the list for brands is fear of saying something or doing something stupid - for all the world to see.
• Lack of true ROI. This reason is perhaps trotted out by more brands as to why they don't participate in social media. Plenty of articles written about this topic. Here's a real good one from Natalie Burg, my fellow Forbes contributor: How To Measure Your Social Media Return On Investment
• Lack of content. I think there are still a great number of brands - both big and small, who know they need to be at the party but simply do not know what to say; what to share, what to post and on and on and on. So they choose to watch from afar, hoping one day to take the leap - which of course they won't and it won't matter anyway for it will be too late.

The bottom line to all of this is very simple in my humble opinion.

Now, more than ever, it is vital to establish and maintain a relationship with consumers. And short of going door-to-door or inviting everyone over for a backyard BBQ, the next best alternative is to interact, engage and relate to them via social media.

Come join the social media slumber party.

Pajamas are optional.

Sources: Marketing Charts, umassd.edu, activecommunities.com

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review and a Top 50 Social Media Blogger by Kred, Steve Olenski is a senior creative content strategist at Responsys, a leading global provider of on-demand email and cross-channel marketing solutions. He is a also a member of the Editorial Board for the Journal of Digital & Social Media Marketing and co-author of the book StumbleUpon For Dummies. He can be reached via Twitter, LinkedIn or Email. 

Relationship Marketing And Millennials

Ah Millennials, the much desired demographic of many marketers and advertisers the world over, for they are the future, as well as being the here and now. 

They are the digitized demographic, as some refer to them. At least I just did, anyway. While traditional marketing and advertising techniques have a place at the millennial table, it is the more digital-enhanced methods - i.e. mobile, that seems to play a larger role in capturing the attention of this group.

However one thing that marketers and advertisers need to be reminded of when it comes to Millennials is that they are people, too. I know, I know, shocking right?

Ok, sarcasm aside, the fact is that marketers and advertisers, while trying to outdo one another via the latest digital, multi-media platform, must never lose sight of the fact that Millennials want everyone else wants today: a relationship. With brands that is.

Surely they want other kinds of relationships but that's for folks like Dr. Phil and those much more qualified than I.

Generation Stress

In fact, I will go you one deeper and tell you that Millennials want, crave and need a relationship perhaps more than any other generation.

Why?

One word: stress.

In an article for the Huffington Post back in February, Arianna Huffington referenced a study commissioned by the American Psychological Association which revealed that Millennials are the most stressed demographic. The reasons for their stress are many but the fact is this demographic scored the highest, or is it the lowest? on the stress meter.

Now surely I am not about to tell you that having a relationship with their favorite brand will be a magic stress-relieving elixir for the Millennial generation and in turn create lifelong loyalty with said brand. No, that would be foolish beyond all human comprehension.

But, what I will say is that any brand, advertiser, marketer, whatever that can create a relationship - and I mean a true honest-to-goodness relationship where Mr. and Mrs. Brand really understand a Millennial - well that can only be a good thing. It will surely resonate with this over-stressed crowd and maybe, just maybe, help sway them toward the brass ring: loyalty.

Experience The Relationship

Not too long ago I had the chance to speak with Nancy Smith, the CEO of Analytic Partners, a leading independently-held global marketing analytics firm.

She shared with me the results of a survey her company conducted. It was a national survey which revealed that 48% of people between the ages of 18-44 feel that any loyalty they feel toward brands in the future will be determined by the types of experiences brands create for them.

Now, I realize you may be thinking a few things after looking at the above chart:

"This is supposed to be about Millennials, yet it references those ages 18-44."

I realize the age breakout is somewhat higher on the back end then what is traditionally considered a Millennial but to be honest I didn't care all that much about that as the data still includes the Millennials, at least what many think of when they hear the term. And yes I understand that if we looked at ONLY Millennials the numbers may change but I don't think all that much.

"This uses the word 'experience' not 'relationship.' Is it the same thing?"

Of course it is. In this context it absolutely is. Do you not experience different things in a given relationship? Of course you do. And it is those experiences that ultimately dictate what kind of relationship it is.

The One Constant

Back in May I attended Interact 2013, the conference hosted by my employer, Responsys. Held in San Francisco, it was a week-long event whose main theme can be summed up in one word: Relationships. Speaker after speaker - from the President of Marketing and Platform at  Responsys Scott Olrich, to Bert Jacobs  founder of The Life Is Good Company, to American hero  Chelsey “Sully” Sullenberger to musician Michael Franti - who performed at a private concert.

Each and every one spoke about relationships in one way, shape or form.

That's the one constant marketers and advertisers need to remember and never lose sight of: ALL consumers, (and yes perhaps the Millennials more than others) need, want and quite frankly deserve a relationship with you. A two-way relationship with open lines of communication.

Where you address their needs.

Sources: Huffington Post, Analytic Partners, Google Images

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review and a Top 50 Social Media Blogger by Kred, Steve Olenski is a senior creative content strategist at Responsys, a leading global provider of on-demand email and cross-channel marketing solutions, and a member of the Editorial Board for the Journal of Digital & Social Media Marketing. He can be reached via Twitter, LinkedIn or Email. 

Price Always Trumps Brand, But It Shouldn't Matter To Marketers

Let me preface this article by saying categorically I believe very much in the power of branding. I myself (isn't that redundant?) have worked on many branding campaigns for marketers and advertisers of all sizes and shapes. I know first hand the value of branding done right and done on a consistent basis i.e. staying true to a given brand's tone and voice over time.

But I also have been witness to a growing trend. 

A revealing trend that is bringing to the light the fact that more and more consumers are sacrificing brand loyalty for the best price on a given product, service, etc.

Three Of Four CMOs Say Social Media Impacts Sales

Not long ago I wrote an article on the use of social media among CEOs and how many often talk the social media talk on behalf of their brands/companies but very few actually walk the social media walk for their own personal use.

Today comes results of a survey conducted by Bazaarvoice of 100 members of The CMO Club. Now while I realize the sample size is small (100) it is worth nothing that 56.1% of the brands represented have more than $1 billion in annual revenuewhile another 36% have $100-999 million in annual revenue, and just 7.9% have annual revenue of $0-100 million.

Entitled “Chief customer advocate: How social data elevates CMOs” the survey and subsequent white paper ”reveals the results of an online survey of 100 members of The CMO Club, which includes CMOs of business-to-consumer and business-to-business organizations.”

Did The Penn State Brand Get The Death Penalty?

There are no shortage of definitions for the term “brand equity.” You probably have your favorite. This is one of mine, especially in the context of the Penn State brand: “A brand’s power derived from the goodwill and name recognition that it has earned over time, which translates into higher sales volume and higher profit margins against competing brands.”

The reason I like this particular definition when it is applied to the brand of Penn State is because of words like “goodwill” and “name recognition” and “earned over time.”

Clearly the Penn State brand, with Joe Paterno at the helm for over 45 years, wielded the power that came from goodwill while garnering name recognition, which in turn lead to higher sales and higher profit margins – that in the university world translates to an increasing level of enrollment and an increasing level of monetary donations from alumni. All of which makes the competing brands green with envy for sure.

At its peak, which for all intents and purposes was anytime right up until the world found out about Jerry Sandusky – the Penn State brand possessed a tremendous amount of brand equity.

And while in some eyes the lines may have been blurred with many wondering “Is it the Joe Paterno brand?” or “Is it the Penn State brand?” – the fact remains that the brand was an extremely powerful one and one that surely did not achieve its massive cache of brand equity overnight.

Yet as we now know, this once seemingly invincible and impenetrable brand, has been reduced to a mere shell of its former self.

A History Lesson

We all know the line about history and what can happen when one fails to learn from it. And history is replete with brands who, for one reason or another, have failed or fallen victim to issues – some not even of their own doing, which resulted in severe loss in brand equity.

•  

• In 1982 Tylenol suffered a massive blow to its brand equity when seven people died after taking Extra Strength Tylenol laced with cyanide. After recalling 31 million bottles and losing more than $100 million, Tylenol rebounded and recovered to eventually regain 100% of the market share it had lost.
• In 2004 Martha Stewart was found guilty of conspiracy, obstruction of an agency proceeding, and making false statements to federal investigators. Needless to say her brand equity and all its various offshoots, took a major hit. Her brand recovered eventually, her daytime TV show is in its sixth season, and this fall she will have a new cooking show on PBS.
• On July 4, 2011, revelations surfaced that News of the World – owned by Rupert Murdoch’s powerful News Corporation, hacked into voicemail messages of murdered British schoolgirl Milly Dowler. Just three days later it was announced that News of the World would be shut down.

These are just three examples of major brands suffering severe damage to their hard-earned-over-time brand equity. Each of the brands recovered – well except in the case of News of the World but obviously Rupert Murdoch’s News Corp brand is alive and kicking despite the closing of News of the World.

But none of these brands needed to recover from the kind of damage that is being inflicted on the Penn State brand. The reason being none of these brands’ fall from grace, if you will, involved the sexual abuse of children and subsequent cover up by the very people who A) built the brand and B) were entrusted with maintaining its goodwill.

How can the Penn State brand possibly survive this unprecedented – a word that’s used a lot in talking about Penn State these days, loss of brand equity?

In the case of Tylenol for example, the problem was identified and corrected as fast as humanly possible. Yes it took a great deal of time to reestablish trust with the public but as you saw, it did happen and can happen again for Penn State.

Or can it?

What Does The Future Hold For The Penn State Brand?

As I sit here today I honestly do not know if the public will ever regain a level of trust with the Penn State brand. It’s quite possible I would have said the same thing back in 1982 about Tylenol. But I was only 17 and had a can of Spam for a brain, so.

But right now, do I think the Penn State brand can ever recover, I honestly don’t know.

Much of my uncertainty has to do with what is still emanating from Happy  Valley. There are still far too many brand advocates/brand ambassadors of the Penn State brand still steadfastly refusing to admit something went terribly and tragically wrong.

There are far too many who are entrusted with maintaining standards of the brand – the board of trustees for example, who refuse to admit to the public, much less themselves, that such atrocities were being committed right under their very noses.

And if those entrusted with the brand’s health and future cannot first bring themselves to this fact, how can the brand ever hope to rebound and recover? If they don’t think anything went wrong in the first place, why would they ever think they need to repair and restore the brand?

Joe McDonough, VP/Executive Creative Director at Masterminds, a full-service agency with a focus on brand integration, says it comes down to brands realizing the responsibility that comes with achieving such lofty brand equity status.

“The more respected, more credible the brand, the higher the stakes and the more critical it is to treat the public trust as the cornerstone of your brand’s foundation,” says McDonough.

McDonough, who has worked on such big name brands as MGM and Pinnacle Entertainment, says the keepers of the Penn State brand made a fatal mistake in the face of the crisis.

“When the powers-that-be decided to go into damage control mode instead of pursuing the ethical, or in this case – lawful position, the stakes were raised to double or nothing,” he added. “Imagine if PSU had actually gotten away with covering this up?”

Crisis management consultant Dr. Ken J. Brumfield says the problems transcend the playing field. “It’s not the football culture, but rather the senior executive team culture that got them here,” says Brumfield, author of the book “S.E.T. CULTURE: What Every Organization Needs to Know Before Crises Occur.”

What Can Brands Learn From Penn State?

According to Brumfield there are three distinct things the leaders of Penn State need to do to rebuild its tarnished brand.

• Change the culture from the top down
• Make better decisions
• Seek outside help

Of course these are a lot easier said than done.

Changing the culture means first admitting the culture was bad in the first place. As I mentioned previously, I’m not so sure the leaders of Penn State would openly admit their culture was bad.

As for making better decisions, that of course comes down to who is making the decisions in the first place. With all but one of the board of trustees still in place, if not power, making better decisions than those previously made may not be so easy.

And as for seeking outside help, setting up advisory boards, etc. – that too will depend on if the leaders of Penn State deem such an action necessary and warranted.

For his part, McDonough believes the best thing a brand can learn from Penn State is that despite all the years one spends building trust with the consumer, it can all come apart in the blink of an eye.

“The public’s trust is hard won and easily lost. In this day and age it’s the public who bestows the value of your brand upon you – they assign which rung on the brand consideration ladder you grasp – but the hold is tenuous and needs only the slightest negative momentum to send you tumbling down,” he says.

“Now that ‘all media is social’ and every conversation can become a public forum that trends in the millions for even trivial snippets of reality TV flotsam – the need for stewards of brands of every scale to maintain actual credibility – not just the veiled appearance of it, is paramount.”

Source: Live Science 

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review and a Top 50 Social Media Blogger by Kred, Steve Olenski is a freelance copywriter/blogger currently looking for full-time work. He has worked on some of the biggest brands in the world and has over 20 years experience in advertising and marketing. He lives in Philly and can be reached via email,Twitter, LinkedIn or his website.

Marketers And Advertisers, Are You Keeping An Eye On The Baby Boomers?

I wanted to take this opportunity to remind all you marketers and advertisers to keep an eye on all those baby boomers. You know the ones who:

• Have more discretionary income (wealth) than any other age group
• Control 70% of the total net worth of American households – $7 trillion of wealth
• Own 80% of all money in savings and loan associations
• Spend more money disproportionately to their numbers
• Are not fanatically loyal to brands
• Watch television more than any other age group
• Account for a dramatic 40% of total consumer demand

Now, I'm sure you're keeping your eye on them for all of the above reasons but in case you either forgot or didn't know, the first of the baby boomers turned 65 last year and needless to say there's a whole lot of them who will turn the magic number of 65 in the years to come.

I use the term "magic" because many marketers and advertisers will, when someone turns 65, put them into a different demographic bucket which in turn could mean they get paid less attention to those under that magical mark. C'mon admit marketers and advertisers, you're not really interested in someone 65+, right?

Unless of course your product, service or ware is designed specifically for those in this age demo.

In general, when someone turns 65 they are moved up, (or is it down?), the marketing and advertising food chain.

For the first time, half of adults ages 65 and older are online

That was the headline from a recent article from the Pew Internet & American Life Project.

And here's the opening paragraph:

"As of April 2012, 53% of American adults ages 65 and older use the internet or email. Though these adults are still less likely than all other age groups to use the internet, the latest data represent the first time that half of seniors are going online. After several years of very little growth among this group, these gains are significant."

Some additional key points from the article are "once online, most seniors make internet use a regular part of their lives" and "one in three online seniors uses social networking sites like Facebook and LinkedIn."

The reason I referenced the Pew Internet article and corresponding stats is because  I wanted to juxtapose that with the fact that the first baby boomer turned 65 last year which means not only does the age 65 take on a whole new meaning and value, but the senior demographic in general is changing and marketers and advertisers better be paying attention.

If you're a marketer or advertiser and there are folks in your database right now who are age 65 or even 66, do you really want to "lump them in" with the rest of the demo over 65?

And do you really want to keep keeping on with your marketing and advertising strategies for the entire 65+ demo - knowing what you now know?

Like anything else in the world of marketing and advertising, you have to know who your target demo is in the first place, yes? That's a given.

But if your target demo includes 65+ you may want to A) look at 65-66 year olds differently from now on as more and boomers enter that demo and B) revisit your entire strategy as clearly the 65+ demo has changed, is changing and will continue to change.

And you better change with it.

Source: Baby Boomer Magazine,  Pew Internet & American Life Project

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review, I am a freelance writer/blogger currently looking for full-time work. I have worked on some of the biggest brands in the world and have over 20 years experience in advertising and marketing. I live in Philly and can be reached via email,Twitter, LinkedIn or my website.

Is a Crisis the Real Test of a Brand When It Comes to Social Media?

It's relatively easy to set up a Facebook page or Twitter account and engage your fans and customers if you're a brand... that is, it's easier to do that than handle a crisis in the social media space.

Properly handling a crisis in the social media space is where you separate the men from the boys or women from the girls - whichever the case may be. I was reminded of that watching the incredible and ongoing fallout re: the Penn State scandal. Lord knows this scandal transcendssocial media as well as sports as the mistakes made by those entrusted with the Penn State brand are numerous but it gave me cause to wonder aloud...

Is A Crisis The Real Test Of A Brand When It Comes To Social Media?

Obviously there are countless example of brands, companies - both big and small, using social media the "right way." Full transparency, open lines of communication, active engagement and on and on. Another example of "doing social media right" can be seen from Samsung and The GAP... two household brand names for sure.Not too long ago they each announced a new social media campaign, if you will. Samsung, the electronics giant, announced the creation of what they're calling Samsung Nation.

If you can't make out the copy in the image...

"Samsung Nation is the exciting new social loyalty program where you earn badges, move up the ranks and have fun discovering everything Samsung.com has to offer. Unlock badges and level up just by visiting, reviewing products, watching videos, participating in user-generated Q&As, and much more. Plus, you can see what others are doing in real time and even uncover a few surprises along the way." Sounds pretty cool and inviting, doesn't it?

Then there's The GAP who recently launched Shop Yourself Social.

Now unlike Samsung, which houses Samsung Nation within its own corporate website, leaving some to refer to it as "the Industry's First Gamified Corporate Website" - The GAP created a separate URL, shopyourselfsocial.com. On the site promises to help cut through the clutter and provide you with the ultimate guide to buying what you truly LOVE for the best price this holiday season.

Wow, the "ultimate guide." Them's some strong words... but we'll see how it all plays out.

Ok, so there's two examples of big time brands doing their best to take full advantage of social media.

Is A Crisis The Real Test Of A Brand When It Comes To Social Media?

But compared to handling a crisis in the social media, that was easy. Because when a crisis hits - and it's bound to it in one form or another, how a company handles it is the - to borrow a GAP word - ultimate test of their social media prowess.

See, a crisis is every company's worst nightmare - and now thanks to the world we live in where full transparency reigns supreme, there's simply no place for a brand to run, no place for them to hide. Oh sure, they can shut down their Facebook page; turn off their Twitter account, hell they can even unplug their phones if they want to go old school. But all that won't stop Mr. and Mrs. Consumer from taking it to the social media streets to voice their opinion.

The proper handling of a crisis in the social media space is where you separate the men from the boys and the women from the girls, whatever the case may be.

Last year the American Red Cross had a potentially major crisis on their hands when one of their employees accidentally sent this Tweet out:

As you can see from the Tweet below, they quickly diffused the potentially lethal situation by making light of it... humor is always a great tool to use.

Then the actual employee who fired off the rogue Tweet sent this out...

Brilliant. Absolutely brilliant. Completely diffused the situation. And it actually didn't stop there Dogfish Beer, mentioned in the initial rogue Tweet jumped on board and actually helped raise money for the Red Cross. My man Mack Collier did a great job of telling the story, you can read his account of it here. 

And then we come to Chapstick. Not long ago they ran an ad that many women and men for that matter deemed offensive. This ad..

Well the people took it to the social media streets and went to the Chapstick Facebook page to voice their displeasure... many times over. However instead of properly dealing with the crisis, full transparency, open lines of communication, active engagement and all that good stuff, Chapstick decided to unplug their phones... they decided to remove all negative comments from their Facebook page. You can real all the sordid details on a post I wrote about it at the end of October which I aptly titled Chapstick - Another Example Of A Brand Who Doesn't Get Social Media, No Butts About It.

Manage The Crisis, Don't Let The Crisis Manage You...

Maybe I'm crazy - I've been called worse trust me, but to me how a company, how a brand deals with a crisis is the real test of their ability to navigate the social media waters.

By the way, if you haven't already I highly recommend you reading Mike Midure's post on Crisis Management. It's just one part of his exclusive series on social media marketing analytics.

Sources: Mack Collier, Samsung, The GAP, Marketing Power

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review,  Steve Olenski is a freelance writer/blogger currently looking for full-time work. He has worked on some of the biggest brands in the world and has over 20 years experience in advertising and marketing. He lives in Philly and can be reached via email, Twitter, or LinkedIn.

Why Women Are The Most Powerful Brand Ambassadors In The World

Last December I wrote of the need for more brand ambassadors. The need, as I surmised it, was based on a finding from a study conducted by Chief Marketing Officer (CMO) Council and Lithium, a social media tech firm.

There was study finding in particular I based my belief on.

This one...

I wrote in my aforementioned story...

"This particular finding speaks directly to the power of suggestion and the power of peer pressure in many ways for it shows just how truly powerful a brand ambassador can be and how much influence these folks can carry with their friends."

Well today I want to take this a step further... a GIANT step.

In discussing the findings of a study conducted by her own company, BlogHer - the leading participatory news, entertainment and information network for women online - CEO and co-founder Lisa Stone said the following...

"...there’s no one a woman trusts more for advice, recommendations and guidance than another woman in her circle.”

And when you factor in that women account for 85% of all consumer purchases including everything from autos to health care, it only stands to reason that the most powerful ambassador a brand can have... is a woman.

So... to all brand managers and brand marketers out there it's really quiet simple.

Engage with and empower more brand ambassadors who are women.

Ok, that's an incredibly simplisitc direction but you get the idea.

Create and foster relationships with those making the bulk of the purchasing decisions.

Stay actively engaged with them... key word being "actively."

Empower them by offering them exclusive offers and "insider" type of info about contests and promotions, etc.

Then when one woman in their "circle" - be it online or off, asks another for advice or suggestions or recommendations, they will tell them all about your wonderful brand... and there will be joy in the land.

Or something like that...

Your thoughts please.

Do you know who you specific brand ambassadors are?

How do you empower and reward them?

Source: AdWeek

Named one of the Top 100 Influencers In Social Media (#41) by Social Technology Review,  Steve Olenski is a freelance writer/blogger currently looking for full-time work. He has worked on some of the biggest brands in the world and has over 20 years experience in advertising and marketing. He lives in Philly and can be reached via email, Twitter, or LinkedIn.