Reinventing Customer Service Harnessing Social Media

Social media leveled the playing field on which brands and consumers face off. Where brands controlled the means of broadcast (through PR, advertising and news coverage), consumers now have a megaphone of their own in the form of social media to voice their opinion and force companies to rethink customer service

Social sharing and viral content means an angry mob has never been easier to assemble, and brands behaving badly can now find their reputation in tatters in a matter of hours. Just ask Addison Lee’s cyclist-bashing chairman John Griffin, who turned the company into a virtual punching bag for the denizens of Twitter and Facebook overnight. Griffin sparked anger by claiming the majority of cyclist road deaths in London are the result of inexperience on the part of the cyclist.

This is just one example from recent times when the consumer’s megaphone has become louder than that of the brand. Not only does social media amplify complaints, but with criticism out in the open it allows media outlets to offer coverage of the discourse, amplifying the criticism further How many news stories have you read which cite “Twitter outrage” or a “Facebook campaign”?

This reshuffling of power has forced many companies – both large and small – to rethink their customer service and marketing. Having suddenly had power wrested from them, many are now fighting back and employing some experimental and interesting methods to get back in the driving seat.

July 16, 2012July 16, 2012

Brands Ignore Negative Social Buzz at Their Peril

“In a world of social sites that allow consumers to post photos, videos and opinions about companies and brands, disparaging comments and other content detrimental to brands are bound to bubble up,” said a new eMarketer report “Dealing with Negative Buzz on Social Media.” “And that content can stay online forever.”

In February, American Express found that 46% of US internet users it surveyed had turned to companies’ social media sites to vent their frustrations about poor experiences.

“This buildup of negative buzz on social media can have a significant impact on brands because social media is more public and moves faster than customer complaints via traditional channels,” said eMarketer.

Moreover, companies now have accounts and brand pages on so many different social networks that it is hard to keep up. “Having a plan in place for dealing specifically with negative buzz and then constantly monitoring, tracking and responding to comments on social media are two important ways to deal with negative situations on social media,” said eMarketer. But implementing these precautions requires integration between teams within a company, expanded thinking about what words and issues to track, and, in some cases, tasking outside companies and vendors to provide monitoring services.

July 5, 2012

Forget Engagement, Consumers Want Simplicity

In a world where brands are constantly fighting for attention, many marketers are asking themselves a key question: What is the best way to impact purchase decision and brand loyalty?

The IBM Institute for Business Value found that 60-65% of business leaders who believe that consumers follow their brands on social media sites because they want to be a part of a community. Only 25-30% of consumers agree. The top reason consumers follow a brand? To get discounts – not exactly ideal for a company’s bottom line.

On top of trying too hard to engage with consumers via social media, marketers are generally pushing out too much information, causing people to over-think purchase decisions and making them more likely to change their minds about a product, be less confident in their choice and less likely remain loyal to the brand.

So what should marketers do? Here at Corporate Executive Board, we surveyed more than 7,000 consumers and interviewed 200 marketing executives across consumer brands and industries to find out. The answer: Simplify the decision-making process, so much so that consumers actually think less about the decision. Marketers can do that in three easy ways by helping consumers:

Trust the information they receive
Learn effectively without distraction
Weigh options confidently

When used together, this approach is known as Decision Simplicity.

Download the full report

July 3, 2012July 3, 2012

Aston Martin Vanquish Social Campaign a Huge Success

British automaker Aston Martin chose digital to market its new Vanquish model and saw a more than 100 percent increase in visitors to its Web site from social media channels among users in Germany, the United States and its home country.

The digital campaign that spanned Facebook, Twitter, YouTube and the Aston Martin Web site began June 20 and centered on a digital car configurator, images and a video. The automaker saw the highest traffic on its Web site ever

recorded during the first three days of the campaign.

“Luxury automotive brands have communities of people that are incredibly passionate about their product,” said Jenn Heinen, associate director of social strategies at Morpheus Media, New York.

“Leveraging any kind of community-driven platform makes perfect sense to distribute content to a group of people who are already engaged with a product and lifestyle,” she said.

“Especially with more niche communities, the excitement and eagerness to interact with this kind of content makes social platforms all the more impactful for content syndication.”

Aston Martin recorded June 20-22 as its three highest traffic days on its global Web site at http://www.astonmartin.com. It saw the average number of daily visitors to the site double in the first seven days of the Vanquish campaign, per the brand.

As compared with the same period seven days earlier, the automaker saw a 216 percent increase in visitors to the site from the German market. There were also 162 percent, 102 percent and 81 percent increases in visits from consumers in Britain, the U.S. and China, respectively.

“Luxury automotive brands have communities of people that are incredibly passionate about their product,” said Jenn Heinen, associate director of social strategies at Morpheus Media, New York.

“Leveraging any kind of community-driven platform makes perfect sense to distribute content to a group of people who are already engaged with a product and lifestyle,” she said.

Especially with more niche communities, the excitement and eagerness to interact with this kind of content makes social platforms all the more impactful for content syndication.”

March 8, 2012September 3, 2021

Flawsome: why brands that behave more humanly, including showing their flaws will be awesome

FLAWSOME definition:

Consumers don’t expect brands to be flawless. In fact, consumers will embrace brands that are FLAWSOME*: brands that are still brilliant despite having flaws; even being flawed (and being open about it) can be awesome. Brands that show some empathy, generosity, humility, flexibility, maturity, humor, and (dare we say it) some character and humanity.

Two key drivers are fueling the FLAWSOME trend:

HUMAN BRANDS: Everything from disgust at business to the influence of online culture (with its honesty and immediacy), is driving consumers away from bland, boring brands in favor of brands with some personality.
TRANSPARENCY TRIUMPH: Consumers are benefiting from almost total and utter transparency (and thus are finding out about flaws anyway), as a result of the torrent of readily available reviews, leaks and ratings.

HUMAN BRANDS

FLAWSOME sits as part of a bigger trend towards HUMAN BRANDS, something that we’ve touched upon in many previous Trend Briefings: RANDOM ACTS OF KINDNESS, BRAND BUTLERS, GENERATION G, and so on.

So, while HUMAN BRANDS might not be a ‘new’ theme, four currents are now converging to make consumers more focused on brand attitude and behavior than ever before:

“human nature dictates that people have a hard time genuinely connecting with, being close to, or really trusting other humans who (pretend to) have no weaknesses, flaws, or mistakes”

Consumers’ disillusionment at corporate behavior has (finally) spilled over into outright disgust. As a result, any brand that can show business in a new light will be (deservedly) welcomed with open arms.
- Nearly 85% of consumers worldwide expect companies to become actively involved in promoting individual and collective wellbeing; an increase of 15% from 2010 (Source: Havas Media, November 2011).
- Yet only 28% of people think that companies are working hard to solve the big social and environmental challenges (Source: Havas Media, November 2011).
Consumers are more and more aware that personality and profit can be compatible (think Zappos, Patagonia, Tom’s, Ben & Jerry’s, Michel et Augustin, Zalando and more). With every business that succeeds while remaining reasonable, helpful, fun or even somewhat ‘human’, consumers will become increasingly disenchanted when dealing with traditional, boring, impersonal brands.
- Most people would not care if 70% of brands ceased to exist (Source: Havas Media, November 2011).
Online culture is the culture, and inflexible, bland ‘corporate’ façades jar with consumers who live online where communication is immediate, open and raw (also see MATURIALISM). What’s more, people openly broadcast and share their lives online – flaws and all – and thus brands are increasingly expected to do the same.
Last but not least: human nature dictates that people have a hard time genuinely connecting with, being close to, or really trusting other humans who (pretend to) have no weaknesses, flaws, or mistakes – don’t assume brands are any different.

February 14, 2012

Luxury Hotels & Social Media: Four Seasons Hotels and Resorts

“We believe the winners in this new digital age will be the brands that let their fans define it and syndicate it. We’ve always been a consumer-centric culture, so the shift to adopting the way guests and clients lead communications for Four Seasons has been rapid. Digital media is now 50% of our brand’s marketing efforts, with a strong social media presence that facilitates engagement and encourages loyalty.”
Felicia Yukich, Social Media Marketing Manager, Four Seasons Hotels and Resorts

February 13, 2012February 13, 2012

What happens to your online profile when you’re gone?

Three Facebook users die every minute for a total of 1.78 million Facebook users in 2011, what is the future of your digital self?

You might not know what happens when you die but you can control what happens online!

You are filling the internet with status updates, image and video creating new digital dilemmas such as:

Whether you want to live forever online?
How to protect your privacy after death?
How to maintain your digital legacy?
Who to appoint as your digital executor?
Whether You Would Want to Be Digitally Resurrected

Do you know the death policies of all your online accounts?

February 3, 2012February 3, 2012

The Coca-Cola Company: Social Media Monitoring on a Global Scale

The Coca-Cola Company’s Digital Manager of Communications, Natalie Johnson, shared how they monitored conversations about their brand on a global scale across the web.

January 31, 2012

Marketers Value Social Media for Both Branding and Customer Acquisition

As marketers include social media as part of their overall strategy, 97% agree that it provides benefits and value to their business.

In a survey of more than 700 marketers worldwide, 88% of respondents told Wildfire Interactive, a social media marketing software company, that social media helps grow brand awareness. Social media also benefited marketers by allowing them to engage in dialogue (85%) and increase sales and partnerships (58%). An additional 41% of marketers said it helped reduce costs.

January 6, 2012January 6, 2012

Are You Afflicted With Social Media Proliferation?

Between Facebook, Twitter, blogs, forums, Flickr, LinkedIn, YouTube and other platforms, the average enterprise-class company has 178 corporate-owned social media accounts.

That’s according to a new report from Altimeter Group, which surveyed 140 companies with more than 1,000 employees. Jeremiah Owyang, a partner at Altimeter and the lead author of that report, says 178 are way too many, particularly because such accounts often lose steam after a while and go dormant.

“It’s just a poor customer experience, because it’s been abandoned,” he says.

It’s time to take a hard look at your company’s social media presence and pare down its accounts. A new Altimeter report offers an eight-point resource checklist to help.