Selected Highlights for the Small Business (1-99 employee) Segment

1. Highlights of 2011 SMB Social Business Study
Small Business (1-99 employee) Segment
Sanjeev Aggarwal
Laurie McCabe
Brent Leary
Arjun Aggarwal
1/12/2012 © SMB Group and CRM Essentials 1

2. Agenda
• Small Business Social Media Adoption
• Social Media Benefits and Value
• Social Media Challenges
• Examples of Small Business Social Media Tools and
Solutions
• Information about 2012 SMB Group Research Studies
1/12/2012 © SMB Group and CRM Essentials 2

3. Summary of Key Findings
49% of SBs use social media and 31% plan to use
Only 20% have no plans to use Adoption
Who Owners, sales, marketing roles, etc.) are key users accelerating
They’re using it to grow the business—lead gen, grow revenues,
attract/retain customers, etc. Fueling
business
Why SBs want to integrate social media with contact/customer
management, marketing, etc. growth
SBs view social media as beneficial in helping them to grow their
businesses Getting
SBs using social media expect higher revenue than those with no results
Benefits plans to use
Top challenges: “Not enough time” and “can’t decide what social
media tactics and strategies will work well” Trial and
Challenges Few SBS use tools to monitor/manage social media error
Budgets are tight approach

4. Respondent Demographics
Company Size Industry Breakdown
Breakdown
Financial Manufacturing - Process Manufacturing -
1-19 employees: 89% Services/Banking/ (Oil, Gas, Pharmaceutica Discrete
Insurance, 6% ls), 2% (Automobile, Electronic
20-49 employees: 8% Equipment etc.), 3%
50-99 employees: 3% Healthcare, Medical &
Other, 19% Dental, 4%
IT
Services/technology/VA
R/ systems
Personal integrator, 3%
Services, including
beauty, pet care, dry
cleaning services, 4%
NGO or Not for Professional Services
Profit, 6% (Consulting, Accounting,
Legal), 18%
Agriculture, 2%
Utilities/Communication
s/Telecom, 1%
Wholesale/Distribution,
6% Education, 2%
Retail, 13%
Government State
and Local, 1%
Construction/
Real Estate, 9%
1/12/2012 4

5. SBs Top Business Goals and Business Activities
Generate new leads
Top 5 SB Business Goals Connect with people who aren't customers
1. Attracting new customers: 30% Improve service/support and customer retention
2. Growing Revenue Improve market awareness for the company
3. Maintaining Profitability Create more/better interaction with
customers/prospects
4. Improving cash flow 49%
5. Improving customer satisfaction 40%
35%
and retention 35%
27%
27%
26%
Total
20%
17%
16%
14%
13%
9%
5%
Top activities that SBs engage in 0% 10% 20% 30% 40% 50% 60%
align squarely with top business
goals Does your company currently have any activities
or programs in place for the following?
1/12/2012 5

6. SB Use/Plans for Social Media
Small Business
• 49% of SBs are using social media
49% today
{
• 31% plan to use it
Currently use
social media in
Currently use
social media in
• SMBs that use social media in a
an ad
hoc, informal
a strategic and strategic and structured way are
structured way
way
131
more likely to use it for more
114
20%
24% activities, use more channels and
be satisfied or very satisfied with
We do not
currently use
We don't outcomes
currently use
social media
and have no
social • SBs are using social media
media, but
plans do so in
plan to do so centers to help achieve top
the next 12
months
within the next
12 months
business goals—focus is on
171
31%
142 customer facing/revenue
25%
generating activities
• In some cases--social media has
Which of the following best describes your company's use and/or reached/exceeded use of older
planned use of social media to engage with your customers or traditional and digital media for
prospects?
these activities
1/12/2012 © SMB Group and CRM Essentials 6

7. How Do SBs Use/Plan to Use Social Media for these
Activities?
Get input for product
development, 7%
Social media is Aid new employee
becoming a key recruitment, 7%
Improve internal
mechanism to collaboration, 10% Generate new leads, 22%
support key
customer/revenue Gather competitive
intelligence/research, 10% Connect with people who
focused goals and
aren't customers, 21%
activities
Analyze data to improve
knowledge of market
Using social media trends, etc., 11%
to make the Bring voice of the customer
phone ring, drive into the company, 11% Improve market awareness
traffic to their for the company, 21%
Web
sites, physical Improve service/support
locations and customer
Generate more web site
retention, 17%
traffic, 21%
Monitor and enhance and
enhance company Create more/better
reputation, 18% interaction with
customers/prospects, 21%
Which of the following ways are you using OR planning to use social media for your business?
1/12/2012 © SMB Group and CRM Essentials 7

8. Role of Social Media in Helping SBs: Generate New Leads
Activity: Generate new leads
50%
46%
45% 44%
45%
42% 41%
40%
35%
% Valid Cases
30%
25%
CRM/contact Mgt.
Email, chat, web
20%
print/broadcast
Social media
conf., phone
Search engine
Traditional
marketing
15%
10%
5%
0%
Total
What types of tools does your company use OR plan to use in the next 12 months to accomplish these activities?
1/12/2012 © SMB Group and CRM Essentials 8

9. Role of Social Media in Helping SBs: Connect with
People Who aren’t Customers
Activity: Connect with people who aren’t customers
45% 42% 42%
40% 41%
40% 37%
35%
30%
% Valid Cases
25%
CRM/contact Mgt.
Email, chat, web
print/broadcast
20%
Social media
conf., phone
Search engine
Traditional
marketing
15%
10%
5%
0%
Total
What types of tools does your company use OR plan to use in the next 12 months to accomplish these activities?
1/12/2012 9

10. Role of Social Media in Helping SBs: Improve
Customer Service and Retention
Activity: Improve Customer Service and Retention
60%
50% 48%
43% 43%
40% 39%
37%
% Valid Cases
30%
CRM/contact Mgt.
Social media
Email, chat, web
print/broadcast
20%
conf., phone
Search engine
Traditional
marketing
10%
0%
Total
What types of tools does your company use OR plan to use in the next 12 months to accomplish these activities?
1/12/2012 10

11. Role of Social Media in Helping SBs: Improve Market
Awareness for the Company
Activity: Improve Market Awareness for the Company
60%
49% 49%
50% 46%
46%
42%
40%
% Valid Cases
30%
CRM/contact Mgt.
Social media
Email, chat, web
print/broadcast
20%
conf., phone
Search engine
Traditional
marketing
10%
0%
Total
What types of tools does your company use OR plan to use in the next 12 months to accomplish these activities?
1/12/2012 11

12. Role of Social Media in Helping SBs: Create More/Better
Interaction with Customers/Prospects
Activity: Create more/better interaction with customers/prospects
Customer relationship/contact management applications
Email, web online chat, web conferencing, phone
Social media (blogs, Twitter, LinkedIn, Facebook, etc.)
Traditional print and/or broadcast advertising, direct mail
Search engine marketing (i.e. Google AdWords)
45%
41%
40% 37%
35%
35% 32% 33%
30%
% Valid Cases
CRM/contact Mgt.
25%
Email, chat, web
print/broadcast
Social media
conf., phone
Search engine
Traditional
20%
marketing
15%
10%
5%
0%
Total
What types of tools does your company use OR plan to use in the next 12 months to accomplish these activities?
1/12/2012 © SMB Group and CRM Essentials 12

13. How Satisfied Are SBs with the Results they Are Achieving
from Social Media in these Areas?
Get input for product development 30% 28% 38% 4%
Bring voice of the customer into the company 26% 38% 28% 7%0%
56%
Analyze data to improve knowledge of market trends, etc. 22% 32% 34% 7% 4%
Improve internal collaboration 19% 44% 30% 7%0%
58%
Create more/better interaction with customers/prospects 18% 50% 23% 9% 0%
Aid new employee recruitment 17% 59% 23% 0%
Gather competitive intelligence/research 17% 46% 26% 8% 2%
Improve service/support and customer retention 16% 48% 30% 6%0%
59% Monitor and enhance and enhance company reputation 15% 44% 34% 6%0%
59% Connect with people who aren't customers 14% 45% 28% 12% 1%
Generate more web site traffic 14% 40% 37% 9%
59%
57% Improve market awareness for the company 12% 45% 37% 6%
52% Generate new leads and/or sales 12% 40% 39% 8%0%
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
How satisfied are you with the results you are achieving from your current use and investment in social media?
1/12/2012 © SMB Group and CRM Essentials 13

14. Top Social Media Channels SBs Use and Plan to Use
Currently Use Plan to use in next 12 months No plans to use
62% Company Facebook page 37% 35% 28%
52% Engage and/or post content on relevant Facebook groups 28% 26% 46%
48% Industry-specific online social communities 22% 26% 53%
44% Company participation in industry-specific communities 22% 32% 46%
Post comments on related blogs 20% 23% 58%
46% Company participation in relevant LinkedIn… 20% 26% 54%
Company/individual Twitter handles to represent and engage the… 17% 20% 62%
42% Company YouTube presence to post videos about… 14% 28% 58%
44% Company branded blog(s) 13% 31% 56%
User review sites (e.g. Yelp! Epinions, Amazon.com, Angie's… 12% 19% 69%
Social bookmarking sites such as Digg, Delicious, Reddit, etc. to… 8% 13% 80%
Coupon services (Groupon, LivingSocial, etc.) 7% 17% 76%
Geo location service (e.g. Foursquare) 4% 10% 86%
Which of the following social media channelsdoes
your company proactively use 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
OR plan to use to help you engage and interact with
customers and prospects?
1/12/2012 © SMB Group and CRM Essentials 14

15. How Beneficial are Social Media Channels to SBs?
Very beneficial Somewhat beneficial Not beneficial Have not used long enough to decide
Coupon services (Groupon, LivingSocial, etc.) 47% 45% 8%0%
Company branded blog(s) 42% 51% 1%6%
User review sites (e.g. Yelp! Epinions, Amazon.com, Angie's List, etc.) 39% 45% 9% 7%
Company participation in industry-specific communities 37% 59% 3%
1%
Company YouTube presence to post videos about… 37% 45% 13% 4%
Engage and/or post content on relevant Facebook groups 36% 48% 11% 5%
Company Facebook page 36% 51% 6% 8%
Social bookmarking sites such as Digg, Delicious, Reddit, etc. to… 30% 56% 14% 0%
Industry-specific online social communities 29% 66% 3%
2%
Post comments on related blogs 27% 54% 9% 10%
Geo location service (e.g. Foursquare) 27% 32% 19% 22%
Company participation in relevant LinkedIn forums, discussions, etc. 22% 62% 10% 7%
Company/individual Twitter handles to represent and engage the… 19% 60% 11% 11%
Sample Size = Variable
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
How beneficial are these social media channels in helping your business engage and interact with customers and prospects?
1/12/2012 © SMB Group and CRM Essentials 15

16. How Frequently Do SBs Use Social Media Channels?
Daily At least once per week
At least once every two weeks At least monthly
Use randomly based on timing of news, announcements, events
Coupon services (Groupon, LivingSocial, etc.) 32% 26% 14% 7% 20%
Company Facebook page 29% 35% 20% 8% 8%
Company/individual Twitter handles to represent and engage the… 25% 34% 17% 10% 14%
Company branded blog(s) 24% 31% 17% 17% 11%
User review sites (e.g. Yelp! Epinions, Amazon.com, Angie's List, etc.) 22% 37% 13% 14% 14%
Engage and/or post content on relevant Facebook groups 19% 47% 15% 9% 10%
Social bookmarking sites such as Digg, Delicious, Reddit, etc. to… 16% 29% 34% 14% 8%
Company YouTube presence to post videos about… 14% 23% 20% 24% 18%
Industry-specific online social communities 14% 47% 13% 9% 17%
Geo location service (e.g. Foursquare) 13% 45% 1% 9% 32%
Company participation in industry-specific communities 11% 39% 23% 12% 16%
Company participation in relevant LinkedIn forums, discussions, etc. 9% 37% 28% 14% 12%
Post comments on related blogs 6% 46% 15% 15% 18%
0% 20% 40% 60% 80% 100%
How frequently does your company uses the following tools to engage with customers and/or prospects?
1/12/2012 © SMB Group and CRM Essentials 16

17. SB Differences in Expected Change in Annual
Revenues
Increase in revenues of more than 20% Increase in revenues between 10%-20%
Increase in revenues between 1%-9%% Revenues to remain more or less flat
Decrease in revenues between 1%-9% Decrease in revenues of more than 10%
Don't know
51% expect
an increase
Do not currently use Social Media and have no plans to
12% 16% 23% 32% 5% 7% 5%
do so in next 12 months
We don't currently use Social Media, but plan to do so
15% 18% 25% 22% 9% 10%2%
within the next 12 months
Currently use Social Media in an ad hoc, informal way 13% 20% 25% 19% 12% 6%5%
Currently use Social Media in a strategic and structured
16% 17% 41% 11% 7% 4%
4%
way
74% expect
0% 20% 40% 60% 80% 100%
an increase
1/12/2012 © SMB Group and CRM Essentials 17

18. Top Challenges SBs Have in Getting Value from Social
Media
• Too busy running the business Not enough time to engage is social
30%
day to day media activities
• Lack of time, expertise and Can't decide what social media
tactics and strategies will work well 20%
money for our company
• Ever accelerating rate and pace of Difficult to integrate social media
with other marketing, sales and/or 15%
customer service activities
change and “new stuff”
o Tough to decipher what all Unable to accurately measure the
value of our social media
14%
these do, let alone how to
Difficult to analyze social
effectively incorporate them information to understand customer 11%
sentiment
• Hard to integrate with other
Too difficult to engage in social
sales/marketing activities media activities
6%
• Difficult to measure the value
Fear that employees won't do a
5%
good job representing the company
0% 5% 10% 15% 20% 25% 30% 35%
What are your company's top 3 challenges in getting value from using social media? Please rank importance.
1/12/2012 © SMB Group and CRM Essentials 18

19. Importance of and Plans to Link Marketing, Sales and
Customer Service Apps/Processes with Social Media
Very important, it is a top priority
Important, but we don't have the time and/or
resources to do it
Important, we will do it on an opportunistic basis
Somewhat important, but not an immediate priority
30%
27% 27%
48%
25%
21%
20%
Column %
15%
15%
10% 9%
5%
0%
0%
Total
How important is it to your company to link traditional marketing, sales and customer service applications
and business processes with social media tools?
1/12/2012 © SMB Group and CRM Essentials 19

20. Social Media Roles and Involvement
Human Resources
manager, 2%
Marketing
Other, 11%
manager, 4%
Sales
manager, 4%
Finance Owner/ President Marketing, 30%
manager, 3% / CEO, 47% Human Resources, 22%
CIO/IT
manager, 2%
Office Product
manager, 12%
Development, 23%
Partner, 15%
PR, 26%
Business Owner, 22% Sales, 26%
What is your job title?
IT, 20%
Decision-making is
dispersed across multiple Service, 28%
job titles, but
marketing, service, sales
and PR are often involved
Whatdepartments in your company are involved in making social media decisions?
1/12/2012 20

21. Social Media Monitoring and Management
SBs need to monitor and
manage their brand in
social media—but its hard to do
Free Tools Paid Tools
Current Total 80 Current Total 10
Facebook 2 Lithium 2
Google Alerts 63 Radian6 2
Reputation
Hootsuite 5 Manager 5
Tweetdeck 11 Google Alerts 1
LinkedIn 1
Planned Total 8 Planned Total 24
TweetDeck 2 Radian6 2
Don't
know/Researching 6 Lithium 5
Vocus 1
Reputation
Manger 1
Green Media
Toolshed 1
Constant Contact 1
Don't
know/Researching 13
Does your company use or plan to use any FREE (and PAID) tools
or products to monitor and
manage social media?
1/12/2012 21

22. Social Media Budgets
• 26% of SBs have no
formal budget
for social media.
No formal budget
less than $500, 22% • 35% of SBs
allocated to this, 26% spend less than
$1,000/year
• Average spend:
Don't know, 6% $500-$999, 13% • 1-19 employees:
$4,900
• 20-99 employees:
more than
$8,800
$100,000, 1% $1,000 -
$50,000 - $2,499, 10%
$100,000, 2%
$25,000 - $2,500-
$49,999, 3% $4,999, 7%
$10,000 - $24,999, 4% $5,000 - $9,999, 6%
What is your company's annual budget for social media related projects in 2011 (NOT including salaries of
company staff involved)?
1/12/2012 © SMB Group and CRM Essentials 22

23. SBs Need to Integrate Social Media with Contact
Management and Marketing
• Social business requires new
tools to manage and track • SBs need one place to
relationships—ability to easily manage incoming and
manage social contact
information, status updates and outbound online
social profiles with other contact interactions efficiently
data
• Drive more business with social
and online marketing investments
• Spot new opportunities and areas
that need improvement
• Save time by managing and
integrating contact/customer
interactions across multiple social
media venues and with other
sales and marketing functions
• Benchmark with competitors
23

24. Nimble: Contact Management and Social Integration
• Facebook-like user
interface
• Connect
contacts, calendars
, communications
and social
conversations in
one place
• Listen to and
engage any
individual to
attract and retain
customers
• HubSpot
integration
• Wufoo integration
1/12/2012 24

25. BatchBook: Contact Management and Social
Integration
• Central place to track contacts and
see what they are talking about on
social sites
• Search social media to see what
contacts are talking about in social
spaces from contact pages.
• Build social media into workflow so
users can follow, retweet, favorite
and/or reply to Twitter from
BatchBook, and save individual
tweets as Communications or To-
Dos.
• Customizable dashboard: Search
the Internet to see where the
company or product is being
mentioned and respond from
BatchBook.
• Open APIs for easy integration
• The Small Business Web
1/12/2012 25

26. The Small Business Web
1/12/2012 26

27. Social Software Using Traditional CRM as Platform to
create Social CRM on Mobile Devices
1/12/2012 27

28. SproutSocial: Social Management and Lead
Generation
• Dashboard: aggregates relevant
conversations across the web and
social channels into one place
• Inbox: puts everything in one stream.
• Smart Search: monitors the social
web to find potential customers using
location, interests and profile
information.
• Reporting & analytics: analytics for
Twitter, Google Analytics and
Facebook Fan Pages
• Scheduler: scheduling and delivery
for social messages.
• Contact management: keeps track of
all communication history, user
profile
information, notes, reminders, etc.
1/12/2012 28

29. Rapportive: Integrating Social Feeds with Gmail
• Brings social media
contact information into
Gmail
• Automates the work of
harvesting and
displaying social info
1/12/2012 29

30. Connected : Social-centric Contact Management
• Universal Address Book that
includes
Facebook, Twitter, LinkedIn, Y
ahoo, Email, blogs and more.
• Daily Agenda function — a
daily email about your
meetings and their
context, recent status
updates, reminder of all
previous meetings. It’s the
equivalent of your personal
daily briefing
• Recently acquired by LinkedIn
1/12/2012 30

31. Google+: Opportunity to Extend Contact Relationships
• Circles allow for more
contextual group
interactions (social lists)
• Opportunity to collaborate
with customers/prospects in
social settings more easily
while tying activity to
contact record
• More integrated channels to
easily engage contacts
(video, chat, email, etc.)
1/12/2012 31

32. Shoutlet: Facebook Integration/Management
• Manage multiple platform
communities in one central
location
• View user-level social
profiles that give a snapshot
of a person’s social data and
their interaction history with
your Facebook
• Get email alerts for activity
on Facebook, Twitter, and
YouTube
• Shoutlet’s Influencer Score
ranks Facebook fans
according to post frequency
1/12/2012 32

33. Marchex Reputation Management
• Compiles content from 8,000+
online sources and provides
analysis on what people are
saying about the brand and
competitors
• Tracks and analyzes online
listings, comments, critiques and
glowing reviews about your
business -- all in one place.
1/12/2012 33

34. SMB Group Planned 2012 Research Agenda
Research
Topic Timeframe Credits†]
Perspective
Quantitative February-March
SMB Mobile SMB The 2012 Social
2012
Solutions Market 18
Survey (1 to Business and
Survey Study 1,000 employees Collaboration Study
Social Quantitative will refresh the 2011
Businessand SMB Survey version. It will zero in
Collaboration (1 to 1,000 April/May 2012 18 on how SMB social
SMB Market employees)
Survey Study
business trends, and
Quantitative compare 2012 trends
SMB Routes to to 2011.
SMB Survey Sept./Oct.
Market Survey 18
(1 to 1,000 2012 Sponsorship
Study
employees) opportunities are
Blended available--please let
qualitative/quan us know if you’re
titative study
Assesses SMB
interested!
SMB Channel
channel October/Novem
Readiness 24
readiness for ber 2012 Contact:
Survey Study
cloud, mobile sanjeev.aggarwal@
and social smb-gr.com
offerings
*Survey study topics may change and new studies may be †Each credit is $1,000
added to best meet our clients’ requirements.