1. Social Media
By The Numbers
Winning in The New Marketing Democracy
g g y
with Four Steps to Harnessing the Power of Social Media
Jennifer Golden, Director Marketing and Communications
Jennifer Golden Director Marketing and Communications
Acxiom Brasil
June 2, 2011
© 2011 Acxiom Corporation. All Rights Reserved.

2. INTRODUCTIONS
Wikipedia quote
“one of the biggest companies you’ve never heard of.”
2

3. ACXIOM CORPORATION
Global Marketing Technology and Services
Focused on audience and customer engagement
Focused on audience and customer engagement
Industry Recognition
#1 US agency /#9 Global agency (All disciplines) ‐ AdAge
#2 Worldwide CRM/Top 20 Interactive – AdAge
#3 Business Services & Consulting – Information Week
#1 in Client Satisfaction (Outsourcing) – Data Monitor Group
Leader – Forrester Wave ‐ Email Marketing Service Provider
Leader Forrester Wave Email Marketing Service Provider
Quick Facts
8,800 clients in 40 countries
$1.2 billion revenues. 70% under long‐term contract
350 largest marketing ecosystems worldwide
5 billion consumers engaged/year
300,000 campaigns/year
300 000 campaigns/year
NASDAQ – ACXM

4. WELCOME TO THE NEW
MARKETING DEMOCRACY!
EVERYONE CAN CONTRIBUTE;
EVERYONE HAS INFLUENCE;
EVERYONE HAS A VOICE.
EMPOWERED BY DIGITAL CHANNELS, PEOPLE NOW
O G C S O O
“VOTE IN” FOR THE WINNERS & LOSERS IN THE BATTLE
“VOTE IN” FOR THE WINNERS & LOSERS
FOR THEIR HEARTS
FOR THEIR HEARTS, MINDS & WALLETS…
FOR THEIR HEARTS, MINDS & WALLETS…
& WALLETS
,
…AND, THEY DECIDE WHEN & WHERE THESE “ELECTIONS”
ARE HELD

5. LIVING NEXT TO
THE TRAIN TRACKS
$112 BILLION
of advertising is wasted each year in the US alone
22%
of Americans feel advertising is credible…
compared to 45% for talk shows
42%
of consumer media consumption is online
500 BILLION
00 O
consumer‐to‐consumer comments on products & services

6. A CRISIS IN CUSTOMER ENGAGEMENT
80% of CEOs
BELIEVE THEIR
BRAND DELIVERS JUST 8%
A SUPERIOR OF THEIR
CUSTOMER CUSTOMERS
EXPERIENCE AGREE

8. CUSTOMER CENTRICITY

9. 9

10. 10

11. 54% of the Brazilian population
above the age of 12 access the
internet daily...
i t t d il
(That s
(That’s more than 81.3M people)
81 3M
60% are ‘socially’ active
http://www.adnews.com.br/internet/110788.html
© 2011 Acxiom Corporation. All Rights Reserved.

12. BRAZILIANS AND SOCIAL MEDIA
Social Networks in Brazil (Sep/2010)
Orkut 91%
Facebook 14% Class A: 41%
Twitter 13% A: 28%
Class A: 28%
Myspace 2%
Sonico 1%
Ibope Mídia – ‘Many to Many’ O fenômeno das redes sociais no Brasil (Set‐2010)

13. BRAZILIANS AND SOCIAL MEDIA
In the last six
months Facebook
adoption in Brazil
has grown over
132%
13

14. BRAZILIANS AND SOCIAL MEDIA
29%
“I can’t imagine my
life without the
social networks”
54%
“When I access the
social networks, I don’t
i l k Id ’
feel alone”
Ibope Mídia – ‘Many to Many’ O fenômeno das redes sociais no Brasil (Set‐2010)

15. TRUST
> Online advertising and word of mouth (2009)
Th
The average of f
Friends' opinions 90% Brazilians that trust
93%
online banners is 51% ,
Online opinions
Online opinions 70% while the world average
g
60%
is 33%
Brand sites 70%
79% Cellphone advertsing is
also popular in the,
also popular in the
Search tools ads 41%
62% having the trust of 36%
Média of Brazilians, against
37% Mundial
Online video ads 24% worldwide.
54% Brasil
0% 50% 100%
http://idgnow.uol.com.br/internet/2009/07/15/boca‐a‐boca‐online‐e‐opiniao‐de‐amigos‐sao‐propagandas‐mais‐confiaveis/
http://blog.nielsen.com/nielsenwire/consumer/global‐advertising‐consumers‐trust‐real‐friends‐and‐virtual‐strangers‐the‐most/
15

16. SOCIAL MEDIA ACCESS
“I rather use social networks
I rather use social networks
to talk with my friends
instead of email or SMS” 56%
“I feel happier when my
friends “like” or comment
about the things I publish”
69%
Ibope Mídia – ‘Many to Many’ O fenômeno das redes sociais no Brasil (Set‐2010)

17. BRAZILIANS AND SOCIAL MEDIA
“The social networks replace the
p
information of news websites” 45%
“The social networks supply all the
information I need to feel updated”
I need to feel updated
60%
“I use the social networks to help me
I use the social networks to help me
with buying decisions”
25%
Ibope Mídia – ‘Many to Many’ O fenômeno das redes sociais no Brasil (Set‐2010)

18. 4 STEP PROCESS TO HARNESS THE
POWER OF SOCIAL MEDIA
STEP 1 Establish Social Media Presence
STEP 2 Recruit Followers
STEP 3 Activate Network
STEP 4 Monetize Engagement
CONFIDENTIAL – FOR INTERNAL USE ONLY 18

19. TACTICAL IMPLEMENTATION
> Applying the four steps
Establish Social Recruit Monetize
STEPS media Presence Followers
Activate Network
Engagement
g g
Recruit Encourage Systematically
Build and launch
customers and advocacy and promote valuable
Description selected Social
prospects to engagement, actions and
media “Assets”
connect respond to critics
respond to critics interactions
BRAND PROMOTE DEVELOP Campaigns DISTRIBUTE social
Community Site Fan Page promoting participation promotions to…
Facebook Fan Page Membership and sharing… Facebook fans
Commercials on Twitter Connections YouTube videos Twitter Followers
YouTube Community Viral Apps (poll, quiz,
( Community Members
C it M b
Monitor social Membership contest) Email List
Informational tweeting Ads to selected social
conversations Connections to
with links network members
employees
Feedback invites and or
Sample Tactics EMPLOYEES UGC RECRUIT for Events
Blogs ENGAGE influential
influential
Twitter Feeds or representative DISTRIBUTE to social
Connect Linked‐In bloggers ENCOURAGE referrals
media connections via
networks email and ads
USE network posts, HARVEST feedback for
email, ads and product development
MONITOR and
employee efforts
l ff t selectively engage
l l
USE data to improve
negative posts
segmentation
CONFIDENTIAL – FOR INTERNAL USE ONLY 19

20. STEP 1: ESTABLISH
20

21. STEP 2: RECRUIT
21

22. STEP 3: ACTIVATE
22

23. STEP 4: MONETIZE
23

24. IN THE NEW MARKETING
DEMOCRACY…EVEN GOOD COMPANIES
DO STUPID THINGS
24

25. RAINFORESTS VS. CHOCOLATE
Nestle Meets Greenpeace’s Demands
Following Social Media Backlash
Greenpeace Posts
YouTube Video
Nestle has it taken down
Greenpeace issues
fullblown Facebook attack
Nestle threatens to delete
Nestle threatens to delete
negative posts
Over 1.5 million views;
200,000 emails; hundreds
of calls; Eight weeks and
hundreds of man hours
later…
25

26. FASHION FIASCO
26

27. BREAKING GUITARS IS NOT OK!
Smashed guitar, YouTube song
g , g
— United is listening now
Country singer Dave
Carrol’s $3500 710 Taylor
guitar breaks when being
loaded onto plane by
ground crew
Horrible customer service
cause him to write song
and post to YouTube
27

28. MOMS VS. MOTRIN
Motrin Moms: Social Media Fail Whale
28

29. THE ULTIMATE FOCUS GROUP
Gap Reverts to Original Logo After
Social Media Backlash

30. 100 MOST VALUABLE BRANDS
Brandz Top 100 – WPP and Millward Brown ‐ 2011

31. LEVELS OF ENGAGEMENT ACROSS
CHANNELS
Socialbrandvalue.com – Ranking the top 100 brands in Social Media, May 20, 2010
31

32. BASIC EMERGING ADVANCED LEADERS
• Fans • Share of voice • Value of a fan • CPA
• Followers • Buzz • Click stream • Satisfaction
• Friends • Sentiment behavior • Network LTV
• Media mentions • Reach • Conversions • Market share
• Comments • Traffic flow •R
Resolutions
l ti • Brand equity
• Likes/favorites • Share velocity • Influencers • ROI
• Downloads • Ratings • Purchase intent • Productivity
• Blog posts • Reviews • Net Promoter • Speed to
Score market
• Assists
Strictly Confidential 32

33. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Strategic
Impact
Time
th
Moments of Trut
Channels
33

34. LIFECYCLE ENGAGMENT
Customer Value
Current state
Events Desired state
• Relocation Events
• Store Opening
• New Member
• Renewal
• New Category
Strategic
• Job Change Impact
• Marriage
• Family
• Seasonal
• Holidays
• Death
Time
th
Moments of Trut
Channels
34

35. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Events
Signals
Strategic
Impact
Time
Signals
• Referring search/URL
• Website clickstream
• Tweet/blogging
th
Moments of Trut
• Display ad click‐through
• Transactions
Channels
• Preference update
• Call center
• Inactivity
• Site search
• Email clickstream
• R ti / i
Ratings/reviews
• Login frequency/recency
• Social sentiment
35

36. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Events
Signals
Strategic
Impact
Time
Insights
• Relationship profile
• Interaction history
Interaction history
th
Moments of Trut
• Brand advocacy
Channels
• Product propensities
• Media preferences
• Channel preferences
• Geodemographics
• Interests & attitudes
y
• Monetary indicators
• Social indicators
36

37. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Events
Signals
Segments
Strategic
Impact
Time
th
Moments of Trut
Channels
Conversations
• Proper audience selection and recognition across media
• Fusing insights for unique treatments (creative/copy/offer)
• Personalized & coordinated engagement (omni channel)
Personalized & coordinated engagement (omni
• Automatic recalibration based on actual consumer behavior
(continuous earning system)
37

38. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Events
Signals
Segments
Strategic
Impact
Value Add
• CPA Time
• AOV
• LTV
• Member tenure
• Frequency of club shop
• Category shop
• Category penetration
• # of clubs visited
• eCommerce Sales
th
Moments of Trut
• Net Promoter Score
Channels
• Referrals
• Regional Metrics
• Attrition
38

39. LIFECYCLE ENGAGMENT
Customer Value
Current state
Desired state
Events
Signals
Segments
Strategic
Impact
Time
th
Moments of Trut
Channels
39

40. SOCIAL TACTICS THAT WIN IN THE NEW
MARKETING DEMOCRACY
1. Determine who to target, where customers are aggregating and
which social channel works best for your brand/offer
which social channel works best for your brand/offer
2. Identify a clear objective e.g. grow fan base, communicate with
brand advocates, drive business to website or engage via a cross
channel promotion and lay out metrics to define success
channel promotion and lay out metrics to define success
3. Design a campaign that activates customers to work on the brand’s
behalf
4. Create a benefit for customers to “follow” your brand
5. Value individual or personal expression!
6. Test content to select individuals to determine best opportunity to
“go viral”
7. Measure ROI
7 Measure ROI*
40

41. RELEVANCY IS KEY
Personalize interactions
– Past behavior
– Future interests
– People like me
– How much is this relationship worth?
Relevancy considerations
Relevancy considerations
– Prospects versus customers
– Awareness versus consideration
̶ …so many variables…
Engagement channel and sequence
41

42. CAPABILITIES THAT WIN IN THE NEW
MARKETING DEMOCRACY
Know your audience
Know your audience High performance matching engine
 The top 30% make 500% of profit. The bottom 20%  Supports real‐time and all digital formats
consume 400% of profit.
400% f fit  Integrates central nervous systems and
Integrates central nervous systems and
 Reach your audience with certainty personalization engine
 Business relationships and delivery integration with  Leverages external, multi‐sourced and verified
preferred advertising partners consumer insights
 A safe haven for responsible matching of sensitive
information
i f i
Personalization engine “Logical” central nervous system
 Highly accurate audience recognition  Correlates customer behavior with
 Integrated decision engine, deployable across marketing/advertising across channels, media over
channels time
 Integrated matching engine and central nervous  Integrates existing databases
system  Integrates matching and personalization engines
Integrates matching and personalization engines

43. OBRIGADA!
Questions?
Jennifer.golden@acxiom.com F: +1 (650) 200 5178
Jennifer golden@acxiom com F: +1 (650) 200‐5178
Acxiom Brasil: SP (11) 3052.2111 ou POA (51) 3230.4400
WWW.ACXIOM.COM.BR
© 2011 Acxiom Corporation. All Rights Reserved.