Meeting the Digital Challenge: Part 1

There is little argument that social and digital media are profoundly changing how we, as global society,  engage with the media, our colleagues, family and friends, as well as how we do business.  Most executives and managers are aware of the digital revolution; many of them have explored it through mobile and social media; some have implemented it with varied successes; but few have integrated digital media as strategic priority in their marketing mix. This gap between the growth of digital media and the implementation of a Digital Marketing Strategy is exacerbated when comparing the U.S. with other countries.  The hotbeds for competitiveness and innovation related to the digital economy are Sweden and Singapore. The U.S trails at #5. To maintain a competitive edge, U.S executives and managers must embrace these changes and drive transformation in their organizations. This is the Digital Challenge!

The Revolution

In 2006 Rupert Murdoch, known as the global print giant, suggested we are entering a major revolution.

“To find something comparable, you have to go back 500 years to the printing press, the birth of mass media … Technology is shifting power away from the editors, the publishers, the establishment, the media elite. Now it’s the people who are taking control.”

These statistics demonstrate the Power of the Revolution:

• More uploads to YouTube in 60 days than all 3 major US networks created in 60 years
• 110 million tweets are sent per day on Twitter or 4+million  per hour (Twitter)
• Facebook generates 770 Billion page views, 700+ Billion minutes, every month
• StumbleUpon (43%) has overtaken Facebook (38%) as #1 source for US social media traffic
• In 2010, Asia Pacific had more than 825 million internet users, 42% of the global total.

In 2011 Google suggested that digital media has transformed our buying decisions. Marketing has a Changing Rulebook based on Zero Moment of Truth or ZMOT, “the moment when you grab your laptop, mobile phone or some other wired device and start learning about a product or service.”

These statistics tell the story of how our buying behaviors have changed:

• 65% of Asian Pacific consumers use online services to locate nearby products and brands
• 70% of Americans say they look at online product reviews before making a purchase
• 79% of consumers say they use a smart­phone to help with shopping
• 83% of moms say they do online research after seeing TV commercials for products that interest them

Murdoch transformed his investments, building a global Integrated Media Empire including the purchases of MySpace, Hulu, Chinese Media company and Wall Street Journal online. As he suggested, “The world is changing very fast. Big will not beat small anymore. It will be the fast beating the slow.” In 2011, his company’s phone scandal violated the foundations of social media (e.g., transparency, accountability) and is being challenged in the social media.

Google has responded to these changes, “Marketing strategies are simply not keeping pace… modern marketing strategies have to evolve with the changing shape of shopping.“ They are now providing core digital training in ZMOT for all members of their sales team internationally.

How many U.S. Executives are prepared to respond to these challenges?

“Digitally Handicapped”

Even as marketing agencies reinvent themselves to respond to the digital revolution, the reality is that most managers are struggling to learn new skills and evaluate the impact of social media conversations.  More than two-thirds (2/3) of managers admit that they are “digitally handicapped” in relating to understanding and measuring social media conversations and impacts on their brand.

• “80% [of] marketers admit they are concerned their brand is at risk from not being as engaged with customers, or failing to have a good grasp of how online conversations are impacting their brand.“
• “Less than 33% have a strong understanding of social media conversations related to their brand.“
• “70% have very little understanding or use a few tools to measure social media conversations.”

Furthermore, many executives are “afraid of it“.  Here are 28 reasons why CEO’s fear social media.

New Digital Divide

Although the U.S. has led growth in digital technologies, marketers have been slow to respond and incorporate in the marketing mix. Forbes Insights reported that only 11% of US and UK executives surveyed at large businesses listed social media strategy as a leading priority in 2011.   eMarketer reports that 78% of U.S. executives think that a social business strategy is important to future business success, but only 27% deem it a top priority. According to 2010 Economist Intelligence Group’s annual “e-readiness” rankings, “In the race to stay competitive in the emerging digital economy, Nordic nations continue to rule the roost. The U.S. has gained ground, and Asian countries are on the rise.”

In fact, inconsistent responses by U.S. marketers have brought forth a New Digital Divide

“…between companies that truly understand the potential to go deep with their digital marketing efforts, and those that are still contemplating what to do with their Facebook presence… some of the world’s most sophisticated work is being done in [Asia] this region, [while] other companies are still not going beyond the basics.”

On one hand, there is growing demand for Digital Marketing services in U.S. but there is a gap in understanding, skill set, and application.  There is a shortage of Business Schools and training programs to fill this need. To fill the void, some of the most innovative work in Digital Marketing is being put forward by groups in Asia, Scandinavia and Europe.

Conclusion

To fill the void and remain competitive, U.S. executives must go beyond the confines of traditional marketing and embrace digital training as a strategic priority or risk falling behind. They must extend digital literacy and lead an organizational commitment to integrate digital marketing into their corporate plan.

Meeting the Digital Challenge is required for survival and growth! Are You Prepared?

Part Two:  Digital Marketing Training … coming soon

GERVAS:  Goal – Engage – Relationship –  Value –  Action – Synthesize

GERVAS is the tool to guide the development of your social media campaign. Here are the six elements and the questions to ask?

As a business or organization launches a social media program, they try to anticipate the results and make the necessary refinements.   These are some typical questions:

• Is the content of your social media message effective?
• Is your target market communicating via social media and will you reach them?
• Are you choosing and optimizing your social media tools?
• How do you evaluate your strategy before launch?

Each marketer/ businessperson can apply six simple benchmarks to evaluate the potential effectiveness of your social media efforts. This can be done as a self-evaluation, discussion with your team or via a focus group.

1. Goal - What is the targeted goal of your advertisement, social media program or  campaign?

• Is the goal measureable?

2. Engage – How effective is the message in attracting or involving your target market?

• Does it reach your target markets?
• Does your content provoke an “emotional” attraction?
• Did your targets take note or remember the message?
• Can your message easily be shared in multiple channels?

3. Relationship – Did the message stimulate the target to feel trust or common interests?

• Did the communication foster interactivity or shared dialogue?
• Did the communication help you to “know the users’… needs, preferences, interests”?
• Did the tool inspire ongoing conversations?

4. Value –Does the product or service and related message communicate added benefit for the individual, organization or company?

• Does it answer a need or solve a problem; address a “pain point;” make you more ________ (e.g., competitive, feel better about yourself); or help you to be a better parent , businessperson,  or citizen?
• Is the message clear and focused to consider action?
• Can the user perceive Value/Benefit in the offering?

5. Action- Does the message move you to act?

• Is the activity clearly defined?
• Is it accessible?  Is it being communicated where the target market “hangs out”?
• If the activity is successful, will it meet your goals?
• Is the activity, trackable and measureable? (e.g.,  sales, orders, leads, database, social referrals, downloads, reviews, social mentions, website visits)

6. Synergize- Is the tool an add-on to current marketing efforts or is it integrated into the campaign?

• Is the message designed to “weave with” and leverage other marketing efforts?
• Does the message link to other media and generate new sources of traffic?
• Is it designed to be passed on to different communities to create viral buzz?

GERVAS is a powerful, yet simple approach to analyze your social or integrated marketing applications. Please share your analysis and we will share them!

Part Two (coming soon) :  Let’s look at using GERVAS Benchmarks to analyze how  social media applications effect a organization’s marketing strategy.

We are in the age of the Social Consumer, where social networks are transforming business as the attention of the consumer is focusing on their social streams. They learn, discover and share with their friends.

Facebook has generated a lot of BUZZ lately with its unveiling of a new location based “Places” with local deals. Successful companies are integrating Facebook into their marketing strategies. Fortune 500 companies are racing to see who can get the most “likes” and companies like WalMart are banking that you will share their deals with your friends.

Here are 5 reasons it is imperative that your business have a Customized Facebook Business page.

1. Fish Where the Fish Are. With over 500 million active users and 50% of them logging on to Facebook in any given day you are bound to have clients on Facebook.  Companies embracing social media will hold a strong competitive advantage.
2. Engage and Build Relationships. It’s not about selling your products and services but building relationships. To build relationships you need to create followers or fans of your brand, otherwise known as those who “Like” your page and content. Facebook’s Wall element provides a perfect opportunity to engage your visitors in 2-way conversations. Status updates can engage your clients by providing value as well as direct visitors to answer questions, post their comments and share their photos and videos.
3. Effective and Reasonable Marketing (Ads). Facebook ads are reasonably priced and you control your daily budget. You can target your niche market with pay-per-click and pay-per-impression options. Ads can be directed back to your business page to grow your fan base or directed to your website to make a purchase or redeem a coupon. Facebook recently included a social element to their paid ads with a set of metrics for the ad administrator. Nielsen report claims that almost 70% of users are more likely to click on an ad previously visited by their friends.
4. Maintain Strong Brand Awareness. You can build brand awareness with a customized Welcome page,  Product or Service page. Facebook Contests generate brand awareness especially when used in combination with Facebook ads. Users submit essays or photos and then ask their friends to vote for their entry. They can also share their entry on their wall making your brand visible to all of their friends.  You can also increase brand awareness results by integrating Facebook with traditional marketing channels.
5. Provide Customer Value.  Value can come in the content you share, from how-to videos to customer service tips. You can offer specials for Facebook users only. Facebook Places is a location based tool for smart phone users like the iPhone and the Android. Once a business claims their place they can offer a deal or coupon for mobile users who check in at their location. The deal then appears on the users news feed where all of their friends can take advantage of too. You can also receive company value through polls and surveys and gather research from questions.

The results of these 5 elements will be the number of “fans” or “likes” your Facebook Page will produce.  How much is a Facebook fan worth?  Retailer Daily concludes,

“The average value a Facebook fan provides a brand is $136.38, but it can swing to $270.77 on average for “best” fans or go down to $0 in the “worst.”

Entwine Digital has created and managed many custom Facebook pages where clients have grown their fan base significantly. Darin Kidd’s page received over 1000 fans within the first 48 hours.  Our most recent project with Tony Williams, song writer and musician of Call the Law it’s Christmas, is to use Facebook to promote the Black Friday release of the animated video of the holiday song. Williams said, “I don’t know much about it but I do know I have to be on Facebook to let people know about my song and get the video to go viral.”

Have you tried to explain to clients, colleagues, businesspeople or students:

• Why social media works?
• Why consumers feel they are not listened to?
• Why traditional advertising has lost much of its power and is not trusted?
• Why the Digital Media revolution is alive and growing?

I recently re-discovered this 2 minute video. It’s a very powerful demonstration of digital marketing and answers all of the questions above. Take 2 minutes and watch The Breakup.

As a viewer, you just experienced the five keys to Digital Marketing in a dinner dialogue between a man (the Advertiser) and a woman (the Consumer). The acting, the content and the gestures are exquisite as it shares the growing gap between traditional advertising and the consumer.

The five keys to a successful Digital Marketing Strategy are reflected in this video.

1. Listening – The Advertiser is a bit arrogant and not listening to the Consumer.
2. Engagement – The Advertiser is talking past the Consumer by shouting “non-genuine” messages. They are not engaging in conversations.
3. Relationship – There is no relationship between the Consumer and the Advertiser. There is NO trust therefore they don’t communicate or share in the dialogue. When she says “I want a divorce”, he won’t even listen!  She is done with traditional advertising!
4. Value – The Advertiser is sharing all the things he is doing for the Consumer but she says “you don’t know me”, as if saying “I find NO Value in what you are offering; I don’t receive any benefit.”
5. Access – The Consumer states that “they don’t hang out in the same places.” The consumer can’t access the advertiser’s messages because she doesn’t use the same media outlets.

At the conclusion the woman (Consumer) leaves the restaurant –“ I’m out of here” reflecting our current consumers turnoff with traditional media and their attraction for digital marketing with their use of social media.

Showing this 2 minute video has helped our clients understand the need for digital media and the new role of the consumer in the marketing mix. As a marketing professional, what other ways have you explained this shift in marketing to your clients?  As a consumer, was this video helpful in demonstrating the power of digital marketing?  Please leave your comments below.

Anyone with a bit of tech savvy can set up Facebook and Twitter accounts and begin posting updates. . But can they accomplish the needs of a business in this digital age?  Can a tech savvy youth create competitive advantage, the key for businesses in meeting their goals?

For most small businesses the answer is NO!   They will contribute to the plethora of un-optimized, under-utilized social media accounts. The result —many small businesses “try out social media” and contend “it doesn’t work!”

There is an alternative approach- Digital Marketing Optimization (DMO). DMO leverages the power of each media platform and integrates them to drive traffic to your online environment, while achieving your business goals.

DMO designs an online environment that easily connects to other social communities, expanding the reach and exposure of your site. It increases “socially referred traffic” as unique users can easily share comments through audio, video and text links.

Here are six keys to make Digital Media work for small businesses:

1. Design a Step-by-Step Digital Strategy
   • Begin where your company is—based on marketing efforts and staff expertise
   • Incorporate the company culture and values
   • Focus on customer engagement, not selling the company message
   • Review website for effectiveness
     • expand to Online Hub
     • add call to action
     • refine search engine optimization
     • link to social networking sites
2. Clarify your Brand and Value Proposition
   • Target your niche market
   • Differentiate your company position in the marketplace
3. Optimize Digital Media Platforms
   • Increase the reach and effectiveness of traditional media, PR, and online hub/environment by connecting and integrating content with social and digital media.
   • Develop the potential of each platform to increase site traffic, search engine rankings and sales revenue
     • use same keywords across all platforms
     • enhance the  user’s digital connection and participation with your online hub
     • build interactivity, conversations, relationships
     • incorporate engaging “calls to action”
     • implement Digital Asset Optimization to note all online content
4. Develop an Engaging, “Sharing” Content Strategy
   • Create rich content that promotes sharing easily with friends, colleagues
   • Encourage user to mix your content with here input (mashup)
   • Reward conversation and engagement
   • Include keywords in content updates
   • Produce consistent updates
     • Utilize staff resources through training
     • Outsource updates through regular client input
5. Expand your Database into Targeted Social Communities
   • Leverage current users by allowing them to sign-in with social network identities
   • Make it easy to share user content to other sites
6. Monitor, Measure and Benchmark Performance
   • Analyze user interactions to determine  “opportunities left on the table”
   • Track referral traffic
   • Relate performance to customer goals, satisfaction and results
   • Use expanded Return on Investment (ROI) for evaluation

Patient Touchpoint Strategy

Patient touchpoints or interactions with health care facility and professionals define patient centered care. They determine the total patient experience and satisfaction, affecting not only the clinical tasks but patient outcomes.  With the growth of online and social media, healthcare administrators have new tools to evaluate and effect patient centered care.

California HealthCare Foundation Study of Health 2.0 suggests,

“Innovative collaborations online among groups of patients, medical professionals, and other health care players are challenging the notion that health care happens only between a single patient and doctor in an exam room.”

In the growing Health 2.0 model, online and social media have dramatically increased touchpoints (34% of patients use social media, 46% health portals, 67% search engines).

Josh D. McGilliard, VP Marketing, Kissito Healthcare commented,

“Touchpoints or places where our brand constituents come in contact with our brand, are considered the underpinnings that hold the Kissito brand together. Whether they are external or internal before or after initial engagement, it is the only way to identify with the constituents on a consistent basis. Social media is becoming an important part of the mix.”

What are the touchpoints for today’s patient?  Now consumers research diseases, best practices, cures, pharmaceuticals on WebMD.  Medical information is shared by TV commercials, radio talk shows, blogs, Facebook, Twitter, YouTube, and brochures in doctor’s office.  Friends share stories and recommendations; patients join online support communities.  Interactions with medical/hospital staff are critical (admissions, billing, doctors, pharmacists, nurses. dietitians, CNAs, aides, social workers, therapists.) Patient discharge plans include regular interactions with case workers. The summation of these points is the Touchpoint Map.

The next step for healthcare professionals is to design a Touchpoint Optimization Strategy that will increase the quality of the total patient experience:

Step 1: Create a Patient Touchpoint Map

Interview a sample of patients to determine which touchpoints relate to their healthcare experience.

Step 2: Evaluate Patient Touchpoints Effectiveness

Determine which of these touchpoints each patient values at each stage of medical intervention (discovery, treatment, discharge, aftercare) referred as the patient life cycle. Then compare these touchpoints in generating conversations and patient relationships, increasing patient satisfaction and comfort level and effecting outcomes.

Step 3: Design Patient Touchpoint Optimization Strategy

Select a cost-effective mix of marketing tools that target your demographic and stage of intervention to increase touchpoints and conversations and improve the patient experience.

Step 4: Assess Patient Touchpoint Optimization Strategy

Evaluate the effect of the strategy in terms of increasing the quality and satisfaction of the total patient experience.

For example, a McKinsey Study of hypertensive patient’s habits for taking their medicines revealed that the adherence practices were related to six patient segments. They included skeptical patients, confident patients, concerned patients, confused patients, resigned patients, and proactive patients. By targeting a Touchpoint Strategy to these segments, the organization can greatly increase the effectiveness on their marketing efforts.

‘Prove to me social media works!’

That is the cry of many businesspeople when challenged by the hype of Twitter and Facebook. The answer will not come simply from growing social media followers.  Rather, it will come from the effect social media has on expanding and converting your company’s touchpoints. The marketing strategy of every company is to touch their customers, engage them, and move them to a targeted action.  But most companies are not aware of their touchpoints, their effectiveness and why they work.  “Touchpoint Optimization Strategy ” is a 5-step process that tracks the conversion from a one way touchpoint to an “action point” in the customer relationship lifecycle.

Step 1: Listening

Many companies view their touchpoints as one-way, passive listening posts to the voice of the consumer or feedback on the effectiveness of traditional marketing efforts.  Sales and consumer insights measures include surveys, ad test, awareness tracking, contact centers, media tests, customer satisfaction studies, and brand tracking.  However, these listening posts often provided measures that are “time challenged”, needing to wait for the end of a marketing effort before being able to “listen” to the results and gain feedback.

Step 2: Conversing

With the emergence of social media, the measurement response time has been shortened. Social media transforms listening posts into “conversation points.”  Now we engage customers in live conversations on Facebook, online new products surveys, customer service Tweets and Four Square locations posts.   These conversations occurring prior, during, and after marketing efforts can tracked and measured.    They challenge companies to be more involved and responsive, as they provide real time information needed to make adjustments in strategies and tactics. Furthermore, each conversation point can be developed into a relationship and build brand loyalty.

Step 3: Converting

At each action point, the company needs to focus marketing efforts to convert the user to specific calls to action: downloading information, answering a survey, requesting a quote, or buying a product.  Effective Social Media Marketing targets these conversation points to be transformed into “action points.”  The Touchpoint Conversion Lifecycle shows the movement to action.

Step 4: Analyzing

The analysis determines which touchpoints are contributing value to the company.  The company must assess:

1. What data can be gleaned from the listening posts/touchpoints?
2. What web analytics are critical at each point?
3. What numbers of touchpoints have been expanded to conversion points?
4. Which points are resulting in lasting relationships?
5. What marketing inputs are required to effect different actions?
6. What is the cost of these inputs?

Step 5: Evaluating

The last step in the Touchpoint Optimization Strategy is to evaluate relative value of each action in terms of developing brand loyalty, thought leadership, reducing operating costs, optimizing marketing budgets, and increasing profits. This evaluation will determine a social media ROI and the most cost-effective mix of traditional, online, PR and social media to achieve the company’s goals.