“The power of ‘the people’ can now be rapidly and vigorously expressed through social media, to the point that big huge corporations are forced to cave and retract planned actions. Look for more of this and notice the impact on traditional advertising where brands can no longer just tell customers what they should think .. “
Investment Opportunity for Thailand's Automotive & EV Industries
Power of Social Media Illustrated by Augustine Fou
1. Power of People
Through Social Media
Dr. Augustine Fou @acfou
http://linkedin.com/in/augustinefou
Marketing Science Consulting Group, Inc.
March 28, 2012 1
2. Social Amplification
“The power and voice of „the people‟ can
now be rapidly and vigorously expressed
through social media, to the point that big
huge corporations are forced to cave and
retract planned actions.”
- Dr. Augustine Fou
March 28, 2012 2
3. Feb 2013 – Tesla Owners Refute
Falsified NYTimes Report
NYTimes reporter
seemingly deliberately
ran down the battery
and reported negatively
on the Tesla S. Now
owners set out to
publicly refute the
report.
Source: Gizmodo Feb
18, 2013
March 28, 2012 3
4. Feb 2013 – Maker’s Mark Reverses
Decision to Water Down
Whiskey drinkers didn’t
like the idea of their
drink being diluted yet
still cost the same price.
Source: Business
Insider, Feb 17, 2013
March 28, 2012 4
5. December 2012 – Instagram reverts to
old Terms of Service, Won’t Sell Your Pics
Enormous public outcry
spread through social
media forced Instagram
to publicly apologize
and revert to old terms
of service where they
won’t sell users photos
or use them in ads.
Source: Gizmodo Dec 20, 2012
March 28, 2012 5
6. July 2012 – Julia Bluhm, 14, organized 84,000
fans, convinced Seventeen Magazine to stop photoshopping
Source: Boston Globe July 2012
March 28, 2012 6
7. April 2012 – Mass Effect 3 Fans demand
alternate ending; BioWare obliges
“ … The company is now devoting all of its efforts to
producing an "extended cut" DLC for the summer…”
Source: Engadget April 9, 2012
March 28, 2012 7
8. April 2012 – Burger King Pulls Ad
Apologizes to Mary J Blige and all her fans
“ … diva stands on a table and rhapsodizes, "Crispy chicken, fresh
lettuce, three cheeses, ranch dressing wrapped up in a
tasty...flour...tortilla.” Fans rose up against the “stereotypes relating to
African-Americans and fried chicken.” Source: AdAge April 4, 2012
March 28, 2012 8
9. April 2012 – $1B AFA Foods Bankrupt
Kroger and Safeway pulled all “pink slime” beef off shelves.
“Pink Slime” company AFA Foods files for bankruptcy. 500 million pounds
of “ground beef product” taken off market. $1 billion annual revenue (end
of 2011) company shuttered in ONE month. Business Insider April 2, 2012.
March 28, 2012 9
10. March 2012 – Belvedere Retracts Ad
Depicting Rape, Using Stolen Image
Social Media Idiocy Of The Day:
Belvedere Vodka's Rape Joke
Forbes , 3/23/2012
Belvedere Vodka: Why Use Paid
Actors For Controversial Ad? Just
Steal A Picture Of A Woman!
“Belvedere Vodka said sorry to a
woman whose likeness they lifted
from an online video, and then used
in a controversial ad,.”
Consumerist, 4/2/2012
March 28, 2012 10
11. March 2012 – Huggies Pulls Ads After
Social Media Backlash from Fathers
Huggies Pulls Ads After Dads Insulted
“The diaper company changed its “Have Dad Put Huggies To The Test”
campaign after the controversial commercials depicting dads as
inattentive caregivers.” ABC News, 3/14/2012
March 28, 2012 11
12. March 2012 – Starbucks Frap Flap, Made
with Crushed Bug Extract
March 28, 2012 12
13. February 2012 – Susan G Komen
Capitulated; Will Allow Planned Parenthood Funding
#TakeBackThePink
March 28, 2012 13
14. January 2012 – SOPA/PIPA Bill Defeated
After Internet Blackout Day
SOPA / PIPA
Graphic of Senators
who “flip flopped”
from supporting to
opposing.
March 28, 2012 14
15. December 2011 - Verizon Retracts $2
convenience fee for online/phone payments.
March 28, 2012 15
16. November 2011 - Bank of America
Retracts $5 Monthly Debit Card Fee
March 28, 2012 16
17. October 2011 – Netflix Retracts Qwikster
Spin-Off
March 28, 2012 17
18. October 2010 - Gap scraps logo redesign
after protests on Facebook and Twitter
Gap scraps logo redesign after protests on Facebook and Twitter
The Guardian 10/12/2010
March 28, 2012 18
19. July 2009 – United Airlines Stock
drops $180 million after “United Breaks Guitars” video
“… after United Airlines
baggage handlers at
ChicagoO'Hare International
Airport broke his $3,500
Taylor guitar.
When United refused to pay
for repairs, Carroll turned
his consumer complaint into
a YouTube music video.”
March 28, 2012 19
20. February 2009 – Tropicana Reverts Design
after 19% ($33 million) drop in sales
Tropicana Line's Sales Plunge
20% Post-Rebranding
AdAge 4/2/2009
Tropicana Discovers Some
Buyers Are Passionate About
Packaging
The New York Times 2/22/09
In Blow To Arnell, Tropicana
Drops Package Redesign
BNET 2/23/09
March 28, 2012 20
21. November 2008 – Motrin apologies to
moms for suggesting babies are accessories
March 28, 2012 21
22. So what?
“Look for more of these examples and
notice the impact on traditional
advertising where brands can no longer
just tell customers what they should think
..”
- Dr. Augustine Fou
March 28, 2012 22
23. Special Thanks to ..
Tom Hespos - @THespos1
Sam Travis Ewen - @SamEwen
Howard Greenstein - @HowardGr
Octavio Licon - @OctavioLicon
Melisa Lopez - @carmenmel
Tim Fogarty - @n0her0es
… friends, and collaborative sources for this slideshare.
March 28, 2012 23
24. Dr. Augustine Fou – Chief Digital Strategist
Dr. Augustine Fou is Chief Digital Strategist of
Marketing Science Consulting Group, Inc., a company
he founded over 11 years ago. He is an industry-
recognized thought leader in digital strategy,
search and social media marketing and former
Group Chief Digital Officer of Omnicom's Healthcare
Consultancy Group.
Dr. Fou is also an Adjunct Professor at NYU in the
School for Continuing and Professional Studies and at
Rutgers University at the Center for Management
Development, where he teaches courses on digital
strategy, social media marketing to executives. He is a
frequent panelist, moderator, and keynote speaker.
Dr. Fou completed his PhD at MIT at the age of 23. He
started his career with McKinsey & Company. He
writes a monthly column on Integrated Marketing for
ClickZ.com, and can be found on Twitter.com @acfou.
March 28, 2012 acfou@mktsci.com 24