Should We Re-Think the Lead Generation Funnel?

23 10 2009

What happens when someone becomes a fan of a facebook fan page? What happens when someone RT retweets something? What happens when you hold a conversation on Linkedin? This individual “vote to participate into a sales process” is seen by their ‘friends’. Did I shock you? It may not lead to a monetary transaction but it triggers an increased awareness of something. Consumers and customers have been empowered for some time to become active participants of their consumption. They are clearly moving outside of the traditional sales funnel starting with thorough research using internet.

A recent McKinsey report (June 2009 Subscription) highlights that only 30% of purchasing decision points are still ‘company driven’. This means that more than 70% of decision points in a buyer’s active evaluation process are now consumer-driven: user consumer reviews, word of mouth and in store interactions. Is it time to re-evaluate how things are done?

Social technologies are expanding these phenomena to micro-influence level never seen before. A few weeks ago, I had to change our office router and jumped on Twitter & FB to ask what people thought… it didn’t take more than 10 minutes to get 10 e-pinions… 2 from people I know, 8 from people I don’t know. It’s getting much easier to get that instant feedback. You bet I bought what was most recommended.

Now what does it mean for our businesses? People are empowered to swap between brands more than ever before. The social media funnel and measurement is simply upside down compared with a traditional sales or purchasing decision process. It’s cheaper, greener, further-sighted to use social media. Brands need to go through the journey of seeing themselves through the lens of their constituents. It’s not an audience, it’s a constituency.

1- A brand may and connect with its core customers to start with and then expand. There is, most of the time, an underlying community of customers or consumers. There are also communities of influencers in that space. Both groups should be recognized and empowered by your brand if you’re serious about building trust.

2- A community will only engage if they feel connected and empowered by that brand. If there is no exchange, there is no social media; it’s only push marketing through new channels. Deliver high quality content and help them support each other. People are likely to want to discuss about much larger things surrounding your brand than just your product. They already know of your product or use them.

3- The more they talk, the more they trust, the more everyone is merrier.

4- Be where conversations happen. If you’re lucky/skilled… but mostly honest and caring, people will progressively feel comfortable discussing the brand’s social footprint or presence. If not, a brand should carry its ‘conversation capital’ where ever those conversations happen.

No one likes to be part of a funnel (ask the Foie Gras ducks what they think about this). Like everyone else, we vote with our $$ when you see value and can trust a product or services. On the other side, it always feels good to buy something from a brand you trust. Be the change you want to see, they say.

Now, is this the right mix? Am I saying that the traditional funnel should disappear? No. How do you think an organization should look at these strategies?

@YannR

Advertisements

Comments : 4 Comments »
Tags: , , , , , , , , , , , , , , , , , , ,
Categories : Uncategorized

Gluecon tries to solve the Cambrian Explosion

15 05 2009

Over the last 10 years, I’ve worked in several birthing and evolving tech industries. I was born in the storage industry which had no standards and moved quickly to storage virtualization and storage area networks; then I moved on to database applications which were a lot harder to integrate and ERP systems forced integration. At the base of all these experiences are consumers and customers needs, cost reductions for enterprises, and just plain efficiency. When innovation becomes unbearable for users, the next phase is consolidation. We’re getting there and very fast. RSS 2.0 standards were agreed upon back 2005 and we’ve seen a wild ride since then. Web 2.0 has mushroomed. I can pretty much sign up to 5-10 new web services every day if I wanted to.

This journey brings me to the Glue Conference which just finished yesterday in Denver, CO.  We’re there again. Mitch Kapor actually used the analogy of the “Cambrian Explosion” while talking about Social Media / Web 2.0. Like during the Cambrian, we’re at a stage where products and ideas are developed at a greater speed than before because it has become so cheap to develop web and social applications. It has gone wild, the big players are trying to control it (e.g. Facebook Connect…), while the savants are wrapping their heads around Open standards and data portability (e.g. OpenID and Information Cards)

So here is a quick synopsis of my take aways from the conference. I am no technical person but I love technology, so forgive me if you were there and see that much stuff has flown over my head.  I am a shrink not a geek.

1. The Consumer first: The biggest headache the web services industry is putting on the consumer is “signing in”. How many IDs and passwords can one self have and need to get around? If you keep them somewhere it can be unsafe. If you use the same password everywhere… it can be unsafe. If you rely on a third party, to manage your identity… you know what I am going to say. We’re slowly getting there. e.g. Facebook Connect and other services like this… Safe? Maybe, but it’s becoming like Credit Score ratings… I am not sure I like it and my identity becomes the property of a corporation, so to speak.

2. Glue the networks? I tend to use most networks in conjunction with each other. I also like the synchronization that FriendFeed offers me. I also think that most  people are using networks separately. Being friends with your boss on Facebook or your mother is still contentious. All of us have multiple identities due to our life styles and not all identities fit across networks. Should we use networks like islands or enhance them so that noise is reduced? My preference goes to the latter. Networks and web UI and websites need more standardized metadata features e.g. I want to be able to share a mountain biking article with everyone who cares about mountain biking across my networks… Don’t ask me to choose the networks, but the identities… and it should be automatic. I don’t want to spam my foodie friends for example.

3. ID and Identification: Much debate was happening around these two, and I think the consensus was around the freedom to have different IDs but the necessity for proper identification.  It was observed that individuals have different behaviors depending on networks and if identities become unique everywhere, it limits freedom. Someone should not be banned from all networks because his/her ID was banned from one network.

4. Trust VS Reputation: It always starts with identification (who’s logging in). We can then build the trust of individuals or entities across the social web. Once that layer is achieved, we get to reputation.  Reputation could be based on character (e.g. participation) or knowledge (social media, internet or mountain biking… you’re pretty safe with me). Above all, ‘reputation’ depends on ‘Context’. Applications and social web platforms need to move to a more ‘context’ based information sharing model. Context gives meaning to words and information. The semantic web will be contextual.

5. Moving into the cloud: Pretty much everything is moving to the cloud. Applications are increasingly moving to data centers outside of companies as it’s rarely a core competency of businesses. It was clear that the cloud is something that will be totally transparent to the consumer. No one cares if your emails are sitting in Denver or San Francisco.

6. The online social graph is pretty much based on 3 worlds of social graphs:

  1. The first graph is based on email / IM (instant messaging). Everyone really knows each other but it’s a closed environment.
  2. The second graph is based on eCommerce platforms. As a shopper, you’re influenced by other shoppers and more and more networks via those platforms.
  3. Finally the social networks graph, which is probably the most open of all. You may or may not directly know someone who is connected with you. Depending on your purpose, you’ll use them with people you know or at the other extreme, be an ‘open networker’ and accept every invite.

Glue-on then. It is clear that the suggestive web or web 3.0 will require clear identification of individuals and groups. We need to move to a place where platforms and systems bring you better information based on the graph. People’s identities and conversations create enough data to give context and meaning to conversations. We’re still in a communicative world. The sender and the receiver of information still need ‘coding’ to understand each other.  Given that social media is producing an explosive growth of information, better information will be subject to context.

All in all, it’s all about context. I know it’s thick but bringing the right information to the right people was not good enough in the media world, new media has multiplied that information quantity. Now is the time to bring quality to new media.

Cheers

Yann


Comments : 1 Comment »
Tags: , , , , , , , , , , , , , , , , , , , , ,
Categories : Uncategorized

Your participation is required (no duh!)

14 01 2009

In the last few weeks, we’ve discussed the roots of and early influencers of web 2.0 and customer relations (the re-birth of Trust 2.0 , the village Not-So-Fool,  Napster, Gen y…).  More and more, Health 2.0 and Enterprise 2.0 are taking the stage….. the 2.0 juice is everywhere, are you sick of it yet?

If you’re sick of it – You’re certainly experiencing a culture gap :).  If you’re excited about it, that’s probably the right feeling. It starts to get crunchy when you can claim and act as you are embracing it. Every segment of your company’s value chain should start thinking 2.0 collaboration. As the economy drops, it is essential that more brands engage in conversation.

The economy may be tanking but that’s not the case with all that is 2.0. Let’s talk about growth for a moment: Twitter 343% (users) and grew by 752%  in traffic in 08′, Ning 251% (users), Linkedin 193% (users) (the state of the Economy helping), Facebook 116%.  When was the last time you saw figures like that?? Staggering, isn’t it?

Now all those “sick and tired of this web 2.0 malarkey” would have you believe that this is all just a fad. A wild management fashion that will blow over by the time Spring comes. Just something to keep those geeks and young’uns occupied when they should be doing some “real work”. Right. Call me silly, but I see several major cultural and behavioral shifts here (feel free to add more):

– Numero Uno: This growth is conversation based.  Robots have no place in the hive and the communities are watching. Communities value quality, authenticity and collaboration. Sounds trivial doesn’t it? There you go, arguing that that flashing your sensory advertising 7 times in front of someone’ eyeballs may do the job. Forget that.  It’s just part of the noise.  As a product manager, a brand marketer or simply an employee, your online attitude and your ability to converse are making or breaking your business model.  The economy is just magnifying any cracks already there. Your products, your sales tactics and PR in general can only stay alive if you’re engaging with your consumers. No, it’s not only your engineering team’s job to do so… if you think so, you’ll fail.  Someone somewhere is  conversing about the features or service add-ons they’d like to see.

– Numero Dos: This growth is participation based. Your product, your brand (personal and company), your PR, and your support operations have to be able to engage and sustain conversations if you want to stay relevant. Relevancy has 2 axes:

– your current customers and prospects (do you empower them through conversations? are they getting your brand experiences for the same price they bought you product or services?). Are you in conversation with them before and after they bought your product? Like a good Chef, does your brand walk around Twitter or Facebook and see if what you cooked went beyond expectations?

– and Google of all places 🙂 Your brand digital footprint is constantly analyzed by search engines to create rankings.  Engaging in the conversation is cheaper and more effective than hiring any gizmo PR firm.

I’ve  seen a lot of debate on Chris Brogan’s blog lately about lead generation methods. Guess what, the most viral of us are spreading the word faster than ever before. I knew of the DIA air plane crash before any news coverage, I knew about the earthquake in Thailand and that my friend Neil just bought his new iPhone before he called and told me. Yes, your traditional communication methods are still relevant but engaging in conversation is required. Social networks and social media are not just for kiddos anymore – those of us 25 years of age + are the fastest growing segment on most networks.

So here’s your case for change:

– Your social media engagement should empower your users, especially if you are developing software or any collaborative tools. Sounds trivial, yes, now go listen to the blogosphere or the twitterverse and judge for yourself.

– Brand monitoring should be like breathing – people are already talking about you, now listen and engage where necessary. I am always pleased to see brands replying to me when I comments about their product on Twitter or else

– If customers come back, great – if they speak about you on yelp.com, facebook or twitter… it’s better, their friends are listening.

– Good blogging is the mothership of social media – it’s like going to a networking event– you’re putting yourself out there.  You may be anxious at first but there are no robots in this room, just human beings, style gets you only so far. Substance rules.

It all sounds very much like a village right?  People using technology have created more human avenues for connection than ever before.

Finally, if you think you don’t have the budget for this, your current marketing budget mix is wrong. Just because you’ve done marketing this way for 10 years doesn’t mean you’re right, that it’s working or that people are not immune to your message. It isn’t. And they probably are.

Let’s go man! It’s exciting.

Yann


Comments : Leave a Comment »
Tags: , , , , , , , , , , , , , , , , , , , , , , ,
Categories : Uncategorized

What’s the old Napster got to do with the new PR?

6 01 2009

As 2009 dawns here at Extanz we have been reflecting on  some of the simultaneously insightful and frustrating conversations we have had with folks recently around the notion of PR 2.0 and what counts as “success” in such a field. Now, we know we say we do PR 2.0 and the term sits heavily with us. We use the term because it is something that people can “hold onto” and has some meaning, but like all language, it traps us in a game (as Nietzsche would argue) and it is this game that has become increasingly frustrating to us. You could argue that our view on PR is colored by our politics. You could argue it is colored by our international backgrounds. Even our language differences. But it really comes down to some very simple terms — “public” and “relations”. These terms beg the questions, we would argue, of 1)  “who is your public?” and 2) what kind of “relations” do you want to have with them? We’ve implicitly discussed these philosophical underpinnings of Extanz’ work before in our posts on Trust 2.0 and The Medium is the Message, but we thought we try and spell it out here. See what you think.

First of all, hands up all those who remember Napster? How about KaZaa? Come on now, you don’t have to be nervous…. how many of you participated in P2P activities way before it was gentrified and still considered a somewhat edgy act akin to, dare we say it, hacking? How many of us believed ‘information just wants to be free’? How many of us still do?

Back in the radical early days of Napster, I was lucky enough to be around some super smart media  and cultural studies people and we wrote a paper on just what it was about Napster that made authorities’ blood boil and music lovers rejoice. Napster and its P2P friends, peers and offspring reminded us that systems of enclosure such as copyright, patents, and property deeds are artificial creations, the tools of the powerful to become more powerful; weapons of exclusivity, designed to keep their users in “in their place” in an artificial order of things; instruments of selfish wealth creation for some individuals. Now, one of the reasons Napster and KaZaa and the like were so popular was because we all knew we were being sold 2 good tracks on a CD for the price of 10 and there was nothing we thought we could do about it until we realized that if we just set those tracks we liked free, or if our friends had them and we traded them for others, then everyone could win. And win we did. Heck, even the bands cut out the middle people which made them, well you know, discontent. And then vengeful.

Around the same time, I was torturing myself over my ‘original contribution’ to academic knowledge as I toiled through my PhD program (with those smart types I was mentioning earlier). Frozen like a deer in the headlights, I was whining to one of my mentors one day about my desperation of not finding my unique contribution when she reminded me that, “there is no such thing as an original idea. There are only original combinations and articulations.” That’s academic speak for what we know now as, ‘the mashup rules; and the more creative the mash, the better it is’.

What’s the old Napster got to do with the new PR? Everything. Napster then and now serves us a reminder of the true power of the Web (it is called a web for a reason, folks). It reminded us of its original conception, its unique brilliance– its power to connect and create mutually beneficial relationships with others. At the same time that Napster ruled as a radical force and disruptive technology, we both had the honor of working for a data storage company. While sadly unaware of what would come to pass in its industry, the company had a slogan at the time —  “information made powerful”.  Napster was information made powerful. Facebook is information made powerful. Web 2.0 is information made powerful. Napster ushered in the age of the bricoleur; the artist who weaves different forms, different objects and different ideas together to create something new and useful to share with others. PR 2.0 is about the bricoleur; the individual who creates relationships between people, objects and ideas.

The new PR is not the PR of our parents’ generation. It is the PR of the Napster Generation. The Millenials. Gen Y. Gen disrupting the workforce. Gen ADHD. In the eyes of Extanz, PR 2.0, the new PR, is conversations made powerful. People made powerful. Participation made powerful. Relationships made powerful. As the Zen Buddhist Teacher Shunryu Suzuki, in Zen Mind, Beginner’s Mind states, “when you forget all your dualistic ideas, everything becomes your teacher, and everything can be the object of worship.” (p.44). PR 2.0 Extanz-style.

With thanks to Today is a good day  ,  jm3 , and of course Napster, for their inspiration!

Welcome to the brave new world — ready to share?

Kirsti


Comments : Leave a Comment »
Tags: , , , , , , , , , , , , , , , , , , , , , , ,
Categories : Uncategorized

The genie is out of the bottle, we just can’t put it back in.

11 12 2008

Here is our latest ‘educational’ presentation on Social Media.  Starting with some examples, I try to bridge the gap between traditional marketing and the new world of 2 way conversation, collaboration, customer and social engagement.  I am also touching on what I see as the merging worlds of  SEO and Public Relations (PR).  I’m going to blog soon about TRUST 2.0 and Relevancy.  I find it fascinating that web 2.0 and social media technologies are enabling people and organizations to build trustworthy relationships… like in a village. People tend to forget that we can discuss, debate and look each other in the eyes to create meaning.

Social Media is not even perfected but as I heard this morning, “the genie is out of the bottle, we just can’t put it back in”.  Brands, businesses, people have the opportunity to embrace. Embracing is a difficult act … but if you don’t,  Digital Divide 2.0 will put your competition ahead.


I hope you like it and as always look forward to your comments, questions.

Cheers

Yann


Comments : 2 Comments »
Tags: , , , , , , , , , ,
Categories : Uncategorized

Beware the list…

7 10 2008

“Don’t judge a book by its cover” the saying goes…..

In the last few weeks, we have seen list after list of ‘top 50 social media sites’, ‘top 50 blogs’, ‘top 50 communities’, ‘top 50 new cool toys you need to play with and waste your time on’…… the list goes on and on….we read through them…. some we recognize, some we have no idea about and some we click on just to see what all the fuss is about. And here is what all the fuss is about most of the time…. NOTHING!!!!!!!!!

That’s it. A big fat zero. Nada. Rien. Which makes the more critically literate amongst us in the social media sphere ask the following questions…..

1. Who is the source?

2. Why are they telling us about these sites and not others?

3. How did they choose the ones on the list – what were their criteria?

4. Should we be on the list?

5. How the heck do we get on the list? [You know, just to be disruptive and all that.]

I wish there were comment boxes where we could ask these questions of the list creators and propagators, but alas.  There is not. Because then we would ask them some seriously discerning questions in a seriously discerning tone. Because that’s the kind of people we are. We’re not looking for some ‘quick list’ here people, we want some in depth analysis. But we suspect that that is not the goal of such list makers. Google loves easy stuff and so do some of the “not-so-critical, just give me the answer, easy peasy lemon squeezy, I am out to make a fast buck” charlatans out there.

So, next time a list invades your inbox, RSS feed, Twitter account, stop. Look at the source. Track it back if necessary. See if there is a comment box. If there is, ask them how they got that list. See if they respond. Then make a mental note about their credibility. Because transparency counts. Transparency builds trust. Then tell us and we’ll make our own list of incredibly reliable, worthwhile, kick ass sites you can work with (maniacal laugh here).

With well deserved kudos to Mr Mark , Jon Hicks and Saxsolrac for their images!

Kirsti


Comments : 1 Comment »
Tags: , , , , , ,
Categories : Uncategorized

The medium is the message, (stupid).

9 09 2008


Ah, yes, who remembers Marshall McLuhan and his famous statement in Understanding Media (1964)?

In claiming that “the medium is the message” McLuhan expresses the sentiment that there is a symbiotic relationship by which the medium influences how the message is perceived, creating subtle change over time…. a medium affects the society in which it plays a role not only by the content delivered over the medium, but by the characteristics of the medium itself.” (wikipedia.com)

We have been blessed to have multiple inspiring and challenging conversations with people over the last few weeks/months. As you may have guessed from reading some of our blog posts, we are a little fed up with how the web has been and continues to be used. We are also find the lack of vision and willingness to interact openly on the part of those who communicate for organizations, more than perplexing. But perhaps what Extanz finds most concerning is how underestimated, and you could say, diminished the power of social media tends to  become as it is relegated to interpretations of ‘all about me blogging’, ‘a group of drunken college students and their photos’ and ‘meaningless noise in 140 characters’. You know who I am talking about here….:)

Let’s face it, we remember the days of Napster, Kazaa and all the aggravation of the record companies. We remember how P2P was considered radical, dangerous and controversial. We remember the origins of the Internet, when it was known as the Arpanet and designed for information sharing, collaboration, and institutional and community coordination. These ways of organizing and communicating are built into the very fabric of the web, its DNA if you will. That’s why web 2.0 has come on so fast, because those technologies are moving the web away from its reliance on experts, on one way transmission of information and to some degree, away from producer control. What Napster and its comrades initiated was the rise of the prosumer = part producer, part consumer. It highlighted the connections between the relationships we build and the technologies that can serve, support and sustain them. It forced us into conversation with each other and it also raised the critical questions of authority and control. Information wants to be free, or so the battle cry suggested.

But here’s the issue. Where does information live? It lives within you, me and we. And herein lies the rub. Recently some bloggers have been talking about risk and trust and how they collide in the implementation of social media. Social media is seen as risky, Amber Naslund contends because of its ability to influence the multitudes = people may critique what you do, say something bad about you, you lose control over the message etc etc. Naslund does an equally good job of providing defenses to these contentions which she says, are largely based on the open, organic, ubiquitous nature of this particular medium. On the other side, as we have stated before, social media depends on trust and the cultivation of same. As Rex Lee puts it “A lack of trust will cause people to withhold information, to waste effort validating each message instead of integrating, to be less receptive to compromise, and to just be overall less committed, often choosing the least amount of commitment possible. Ultimately this means organizations are, less agile, less innovative, of average performance, and peppered with incomplete analysis.”

The fact that social media is open, is organic and is ubiquitous can provide some level of trust as there is a certain level of transparency in a relationship based medium.The power of social media, that collection of technologies born out of and through web 2.0, lies in their persistent commitment to participation, connection and interaction. All technologies, web 1.0., 2.0, 3.0 etc carry the values of their creators. That we see these technologies and forms of media ascend now says much about the people producing-consuming them. So can we reframe the title to ask – what is the message we are sending about who we are when we choose social media as our medium of communicating….OR perhaps more importantly, what message are we sending when we DO NOT?

Kirsti


Comments : 1 Comment »
Tags: , , , , , , , , , , , , , ,
Categories : Uncategorized