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Communities that Connect & Thrive
Creating the Right Mix of Purpose, Passion, People, Platforms



              Francois Gossieaux and Lois Kelly
AGENDA, maybe


1.
1    Meet the teams + agreements

2.   Context: what community means

3.   2008 Tribalization of Business Study + best/worst
     practices

4.   Team community development: 3 options

5.
5    Burning down the obstacles

6.   Wrap + 3 take aways

                            Beeline Labs
Community/group you loved…
         what made it great?
     Write it down; share with your group




                     Beeline Labs
2008 Tribalization of Business
    Study + Best Practices


Review the highlights of the 2008 Tribalization Of Business Study with case
                                         study-based best practice analysis
                                            d b db                    l




                                              Beeline Labs
Agenda
        Highlights: 2008 Tribalization of Business Study

        Major takeaways

        Case study-based analysis of best practices

        How do you get going?
         o             go g




2008 Tribalization of Business Study was sponsored by Deloitte, Beeline Labs and the Society For New Communications Research

                                                          Beeline Labs
What’s this tribal thing all about?




 Tribalism is the very first social system that human beings ever lived in,
  and it has lasted much longer than any other kind of society to date.
                               g           y                   y
                                (Wikipedia)




                                   Beeline Labs
Motivations allowing this to work


                People want to connect with people

                People want to help and be helped


            People operate either in a social framework
                     or a market framework
                     o      a et a e o




                               Beeline Labs
Understanding the driving forces of communities

             THE   MORE   CONTENT   YOU HAVE THE MORE     MEMBERS   YOU WILL GET.


             THE   MORE   MEMBERS   YOU HAVE THE MORE     CONTENT   YOU WILL GET.


  THE   BETTER YOU MATCH   CONTENT AND MEMBERS            TO MEMBER PROFILES THE        MORE
                           MEMBERS AND CONTENT            YOU WILL GET.


    THE   EASIER IT IS TO DO   TRANSACTIONS       THE MORE     MEMBERS   YOU WILL ATTRACT.




           Those pillars create the dynamics of increasing returns which help
                                communities deliver GAME CHANGING results
                                           Beeline Labs
TOP USAGE SCENARIOS:


                                         Customer service
 Idea generation
 Id         ti           Co‐innovation        Amplifying Word of Mouth
                        New Product Development
Reputation management                             Product testing

                                                         CANARY IN THE COALMINE
       Market research             Developer relations

                                                  Public relations
         LONG TAIL SALES
                                   Employee communications
          General Marketing


                                   Beeline Labs
                                                                    9
Who’s in charge?




         Sales

         Employee communications
                                           Product development

                          MARKETING                       IT

                 Public Relations                 R&D

           Finance                 Customer service




                                   Beeline Labs
Major takeaway #1

   Communities deliver game-changing results
      Communities can increase revenue per
                                        p
      customer dramatically – i.e., 50%
      Communities will increase product introduction
      success ratios
      Communities amplify everything you do –
      increasing effectiveness and decreasing costs




                                   Beeline Labs
Major takeaway #2

  The rise of the CMO 2.0
     Communities should be an important part of
                                 p       p
     the CMO’s toolset
     (but for many large companies – there is an
     under-investment and scale problem)
     Communities should evolve the role of the
     CMO into Chief Customer Officer
     (but that will require drastic changes in
     attitude and approach to marketing)
     If done properly, communities will transform
     the way marketing works
     (reduced costs, improved effectiveness, new
     opportunities)
       pp         )




                                  Beeline Labs
Major takeaway #3

  The need for new management thinking
     Mismatch between community g
                              y goals and
     associated investments
     Major gaps between community goals and what is
     being measured
     Communities have to combine with major talent
     initiatives
     Communities will transform most business
     processes




                                 Beeline Labs
Major takeaway #3.5

  The worst practices enjoy wide adoption
     The build it and they will come ( g ) fallacy
                         y           (again)     y
     The let’s keep it small so it doesn’t move the needle
     phenomenon
     The not invented here syndrome




                                   Beeline Labs
Case-study-based lessons learned

   Creating a Great Marketing Program vs. a Movement
      Wal-Mart vs. Fiskateers

   Scalability issues with community-based programs
      Bank of America

   How many communities can you belong to?
      A review of the Small Business focused communities

   Thinking out of the box
      The Tivo community
      The Eli Lily oncology drug community




                                  Beeline Labs
Interesting case studies

  Wal-Mart Stores 11 Moms
     Community for sharing money saving
     tips via video clips
     Independent community – not
     required to be Wal-Mart shoppers and
     can write about other deals
     10 best clips get $6,000 in groceries
     11 Moms are being invited to
     Bentonville for a company tour and
     for a meeting with the CEO
     Done in partnership:
         Joint partnership with Flip
         Joint partnership with YouTube




                                       Beeline Labs
Successful case studies

  Fiskars – the fiskateers program
     3 original ambassadors
     Goal to recruit 250 additional
     ambassadors in 6 months – achieved
     that in 48 hours and reached 5000
     Fiskateers in 18 months
                      months.
     Goal to increase chatter by 10% –
     instead increased by 600%
     Goal to increase sales by 10% -
     instead increased by 300%
     Community provided a huge support
     base when they ran into a PR nightmare
     Program, which is now the main
     marketing engine is now fully funded by
     the big box stores


                                   Beeline Labs
What’s the big difference between those programs?




          A Successful                             A Successful Scrapbooking
 MARKETING PROGRAM                                     MOVEMENT
 (will need continuous attention)                      (Going by itself)



                                    Beeline Labs
Many communities have scalability issues

   Bank of America
      <20,000 members
         ,
      BoA has more than 10M small
      business users
      Scaling business by 0.5% =
      500,000 new accounts
      New SB account is worth
      $100 to BoA through referral
      fees
      500K accounts = $50M
      This does not scale!




                                     Beeline Labs
How many communities can you belong to?
                               Dozens of Small Business Communities




                          Beeline Labs
Thinking out of the box




                          Beeline Labs
How do you get started?




    S                     A                M
  Simple           Aggressive            Measured




                          Beeline Labs
How do you really get started?




     S                   A                  M
Strategize            Activate             Manage
                                             -to-
                                            scale

                            Beeline Labs
Design a community

1.   Software company: aerospace engineers

2.   Regional theater: ticket buyers, donors

3.   Toy company: consumers



                                          What’s appeal? Value?
                                             What goes on?
                                What keeps people coming back?
                                            What’s the name?




                           Beeline Labs
Burning down the obstacles
Where should we start?

  Strategy: Opportunity Roadmap
  External research/trends. Strategic intent & alignment. Ideation & hypothesis.




  Activation
  Purpose validation/research. People. Activities/content. Technology
  platform/tools. Policies. Measures. Launch plan.




  Managing to scale
  Facilitation. Education/training. Sense & respond. Measure and fund success.




                                        Beeline Labs
Obstacle #1: What’s the business value?


 More McKinsey, less McCann
             y,

 • Show the data & trends, examples

 • Be frank about readiness, risks

 • Frame the value to business function
 goals, aspirations
    l      i ti




                                 Beeline Labs
Where can you inject social media principles into existing business functions?



                      Public                Sales         Customer
                     relations                             service
                                                               i



          Talent
       recruitment
                         Activate change:                       Market
                        Empower processes                      Research



               Employee
             communications                                Product
                                    Training             innovation




                                    Beeline Labs
Value: What’s the right monthly “report”?

                                                          Brevity!
                                                         “So what”
1.
1 What we ve learned relevant to business:
       we’ve
Stories, anecdotes, ideas

2. Movement, adoption: #s

3. Stats used to measure function
     •   Customer satisfaction: Net Promoter change
     •   Sales: Increase # transactions, revenue
                                       ,
     •   Insights: new ideas
     •   Customer service: reduced call center calls
     •   Lead gen: downloads
     •   PR: sentiment changeg
     •   Employee Comm: informed/access/being heard




                                          Beeline Labs
Obstacle #2: Appealing to all of our customers, prospects
           “The most potent tribes are built in the interstices, in the margins, on the fringes.”




 Rob Kozinets, “E-Tribalized Marketing?” The Strategic Implications of Virtual Communities of Consumption”


                                                                 Beeline Labs
Questions to get at likely appeal



• How much do people care about this topic/issue? Why?

• On a scale of 1-10 how passionate are people about getting and
giving help?

•Why would people prefer to connecting with people like them vs.
 “official channels”?

• Are there ”fringe” topics, groups that are underserved?

• What business value is there be for us to be associated with this
issue?


                                   Beeline Labs
Obstacle #3: Fear of failure, “newness”




                                            Do right research
Fail fast and cheap(er)
              cheap(er).                    Simple technology
                                            Sense & respond
                                            Stop a dud fast




                             Beeline Labs
Obstacle #4: Whose job is it anyhow?


   Part of the function, not separate silo
                       ,       p
   Community manager skills
          Functional expertise
          Communications
          Networking
          Content
          Analytical
          Strategy
                gy
          Empathy



                                  Beeline Labs
Obstacle #5: What if we build it and no one comes?




                          Beeline Labs
“The number of people who are
  willing to start something is                   Advocates
  smaller,
  smaller much smaller, than
                   smaller                        Co te t
                                                  Content
  the number of people who are                    UGC
  willing to contribute once                      Facilitation
  someone else starts
              l                                   Choices
  something.”
              Here Comes Everybody, Clay Shirky




                         Beeline Labs
Obstacle #6: What’s the right technology platform?




                            Beeline Labs
Questions to think about

• What experience are you trying to create?
What functionality do y absolutely have to
                 y    you          y
have to make it work?

• Are there two types of profiling capabilities?
    • Declared/what I’m telling you about my self
    • Dynamic profiling, recommendations based on
    behavior

• Don’t’ buy it.

• Widgets or “platform.”
     g        p

• Put product develop “guy” on team -- not just
marketing professionals.

                                 Beeline Labs
Wrapping up morning


What we’ve learned…

    Social movement & tribal behavior vs. “channel” or program

    Part of business strategy, function
                           g

    Content, activity matters more than technology

    Research well, then go fast and simple




                                                 Your 3 takeaways


                                  Beeline Labs

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Web 20 Expo Community Workshop Prezo

  • 1. Communities that Connect & Thrive Creating the Right Mix of Purpose, Passion, People, Platforms Francois Gossieaux and Lois Kelly
  • 2. AGENDA, maybe 1. 1 Meet the teams + agreements 2. Context: what community means 3. 2008 Tribalization of Business Study + best/worst practices 4. Team community development: 3 options 5. 5 Burning down the obstacles 6. Wrap + 3 take aways Beeline Labs
  • 3. Community/group you loved… what made it great? Write it down; share with your group Beeline Labs
  • 4. 2008 Tribalization of Business Study + Best Practices Review the highlights of the 2008 Tribalization Of Business Study with case study-based best practice analysis d b db l Beeline Labs
  • 5. Agenda Highlights: 2008 Tribalization of Business Study Major takeaways Case study-based analysis of best practices How do you get going? o go g 2008 Tribalization of Business Study was sponsored by Deloitte, Beeline Labs and the Society For New Communications Research Beeline Labs
  • 6. What’s this tribal thing all about? Tribalism is the very first social system that human beings ever lived in, and it has lasted much longer than any other kind of society to date. g y y (Wikipedia) Beeline Labs
  • 7. Motivations allowing this to work People want to connect with people People want to help and be helped People operate either in a social framework or a market framework o a et a e o Beeline Labs
  • 8. Understanding the driving forces of communities THE MORE CONTENT YOU HAVE THE MORE MEMBERS YOU WILL GET. THE MORE MEMBERS YOU HAVE THE MORE CONTENT YOU WILL GET. THE BETTER YOU MATCH CONTENT AND MEMBERS TO MEMBER PROFILES THE MORE MEMBERS AND CONTENT YOU WILL GET. THE EASIER IT IS TO DO TRANSACTIONS THE MORE MEMBERS YOU WILL ATTRACT. Those pillars create the dynamics of increasing returns which help communities deliver GAME CHANGING results Beeline Labs
  • 9. TOP USAGE SCENARIOS: Customer service Idea generation Id ti Co‐innovation Amplifying Word of Mouth New Product Development Reputation management Product testing CANARY IN THE COALMINE Market research Developer relations Public relations LONG TAIL SALES Employee communications General Marketing Beeline Labs 9
  • 10. Who’s in charge? Sales Employee communications Product development MARKETING IT Public Relations R&D Finance Customer service Beeline Labs
  • 11. Major takeaway #1 Communities deliver game-changing results Communities can increase revenue per p customer dramatically – i.e., 50% Communities will increase product introduction success ratios Communities amplify everything you do – increasing effectiveness and decreasing costs Beeline Labs
  • 12. Major takeaway #2 The rise of the CMO 2.0 Communities should be an important part of p p the CMO’s toolset (but for many large companies – there is an under-investment and scale problem) Communities should evolve the role of the CMO into Chief Customer Officer (but that will require drastic changes in attitude and approach to marketing) If done properly, communities will transform the way marketing works (reduced costs, improved effectiveness, new opportunities) pp ) Beeline Labs
  • 13. Major takeaway #3 The need for new management thinking Mismatch between community g y goals and associated investments Major gaps between community goals and what is being measured Communities have to combine with major talent initiatives Communities will transform most business processes Beeline Labs
  • 14. Major takeaway #3.5 The worst practices enjoy wide adoption The build it and they will come ( g ) fallacy y (again) y The let’s keep it small so it doesn’t move the needle phenomenon The not invented here syndrome Beeline Labs
  • 15. Case-study-based lessons learned Creating a Great Marketing Program vs. a Movement Wal-Mart vs. Fiskateers Scalability issues with community-based programs Bank of America How many communities can you belong to? A review of the Small Business focused communities Thinking out of the box The Tivo community The Eli Lily oncology drug community Beeline Labs
  • 16. Interesting case studies Wal-Mart Stores 11 Moms Community for sharing money saving tips via video clips Independent community – not required to be Wal-Mart shoppers and can write about other deals 10 best clips get $6,000 in groceries 11 Moms are being invited to Bentonville for a company tour and for a meeting with the CEO Done in partnership: Joint partnership with Flip Joint partnership with YouTube Beeline Labs
  • 17. Successful case studies Fiskars – the fiskateers program 3 original ambassadors Goal to recruit 250 additional ambassadors in 6 months – achieved that in 48 hours and reached 5000 Fiskateers in 18 months months. Goal to increase chatter by 10% – instead increased by 600% Goal to increase sales by 10% - instead increased by 300% Community provided a huge support base when they ran into a PR nightmare Program, which is now the main marketing engine is now fully funded by the big box stores Beeline Labs
  • 18. What’s the big difference between those programs? A Successful A Successful Scrapbooking MARKETING PROGRAM MOVEMENT (will need continuous attention) (Going by itself) Beeline Labs
  • 19. Many communities have scalability issues Bank of America <20,000 members , BoA has more than 10M small business users Scaling business by 0.5% = 500,000 new accounts New SB account is worth $100 to BoA through referral fees 500K accounts = $50M This does not scale! Beeline Labs
  • 20. How many communities can you belong to? Dozens of Small Business Communities Beeline Labs
  • 21. Thinking out of the box Beeline Labs
  • 22. How do you get started? S A M Simple Aggressive Measured Beeline Labs
  • 23. How do you really get started? S A M Strategize Activate Manage -to- scale Beeline Labs
  • 24. Design a community 1. Software company: aerospace engineers 2. Regional theater: ticket buyers, donors 3. Toy company: consumers What’s appeal? Value? What goes on? What keeps people coming back? What’s the name? Beeline Labs
  • 25. Burning down the obstacles
  • 26. Where should we start? Strategy: Opportunity Roadmap External research/trends. Strategic intent & alignment. Ideation & hypothesis. Activation Purpose validation/research. People. Activities/content. Technology platform/tools. Policies. Measures. Launch plan. Managing to scale Facilitation. Education/training. Sense & respond. Measure and fund success. Beeline Labs
  • 27. Obstacle #1: What’s the business value? More McKinsey, less McCann y, • Show the data & trends, examples • Be frank about readiness, risks • Frame the value to business function goals, aspirations l i ti Beeline Labs
  • 28. Where can you inject social media principles into existing business functions? Public Sales Customer relations service i Talent recruitment Activate change: Market Empower processes Research Employee communications Product Training innovation Beeline Labs
  • 29. Value: What’s the right monthly “report”? Brevity! “So what” 1. 1 What we ve learned relevant to business: we’ve Stories, anecdotes, ideas 2. Movement, adoption: #s 3. Stats used to measure function • Customer satisfaction: Net Promoter change • Sales: Increase # transactions, revenue , • Insights: new ideas • Customer service: reduced call center calls • Lead gen: downloads • PR: sentiment changeg • Employee Comm: informed/access/being heard Beeline Labs
  • 30. Obstacle #2: Appealing to all of our customers, prospects “The most potent tribes are built in the interstices, in the margins, on the fringes.” Rob Kozinets, “E-Tribalized Marketing?” The Strategic Implications of Virtual Communities of Consumption” Beeline Labs
  • 31. Questions to get at likely appeal • How much do people care about this topic/issue? Why? • On a scale of 1-10 how passionate are people about getting and giving help? •Why would people prefer to connecting with people like them vs. “official channels”? • Are there ”fringe” topics, groups that are underserved? • What business value is there be for us to be associated with this issue? Beeline Labs
  • 32. Obstacle #3: Fear of failure, “newness” Do right research Fail fast and cheap(er) cheap(er). Simple technology Sense & respond Stop a dud fast Beeline Labs
  • 33. Obstacle #4: Whose job is it anyhow? Part of the function, not separate silo , p Community manager skills Functional expertise Communications Networking Content Analytical Strategy gy Empathy Beeline Labs
  • 34. Obstacle #5: What if we build it and no one comes? Beeline Labs
  • 35. “The number of people who are willing to start something is Advocates smaller, smaller much smaller, than smaller Co te t Content the number of people who are UGC willing to contribute once Facilitation someone else starts l Choices something.” Here Comes Everybody, Clay Shirky Beeline Labs
  • 36. Obstacle #6: What’s the right technology platform? Beeline Labs
  • 37. Questions to think about • What experience are you trying to create? What functionality do y absolutely have to y you y have to make it work? • Are there two types of profiling capabilities? • Declared/what I’m telling you about my self • Dynamic profiling, recommendations based on behavior • Don’t’ buy it. • Widgets or “platform.” g p • Put product develop “guy” on team -- not just marketing professionals. Beeline Labs
  • 38. Wrapping up morning What we’ve learned… Social movement & tribal behavior vs. “channel” or program Part of business strategy, function g Content, activity matters more than technology Research well, then go fast and simple Your 3 takeaways Beeline Labs