Category Archives: Marketing

MexicanFansWorldCup2014

Would you buy KLM a beer?

We live in an era of real-time social brand engagement. When broadcast dies, what do you do? You interact. Engage. Become part of the conversation.

Sports fans (like many) don’t like broadcast. They like excitement.

Does a sports fan want to be spoken to by a brand? No. They want to be equal to the brand.

Would a Fútbol fan sit in a bar for 5 minutes listening to a brand argue why their new ad is the best World Cup ad ever? No. But will they sit in a bar and have the best, all-night, most drawn-out, ugly and ultimately enjoyable on every level of passion imaginable  “discussion” with another fan? Absolutely. It’s what they live for.

To reach fans at the world cup, you have to be a fan. Don’t broadcast, be a fan. Engage.

KLM did.

And got kicked out of the bar. Welcome to the World Cup.

I’d buy them a beer. A Dos Equis.

KLM vs Gael Garcia Bernal

Featured Image by Winslow Townson-USA TODAY Sports. 

Coca-Cola-verses-BUZZ

FIRST GLANCE: Coca-Cola gets “buzz”

Coca-Cola’s disclosure that it found limited short-term value from online buzz raises some good questions about information perception and the relative value of Real-Time-Marketing (RTM).

Takeaway: RTM (Real-Time-Marketing) isn’t about 15 minutes of fame – it needs to be part of an integrated long-term brand communications strategy. Continue reading

ZeroKlout2

Klout, Big Data and the Meaning of “Opt Out”

Is it possible to have a Klout Score of Zero (K = 0)?

Why, you might ask, would anybody want to have such a score in the gamified realm of influence measurement, where higher scores indicate a higher level of perceived online influence?

The answer may lie in the way that Klout profiles you, branding you a Specialist, an Observer, or a Broadcaster. The answer may also lie in how people relate to Big Data, vaguely defined ranking algorithms, and the increased tendency of offline organizations to make some big, and potentially misleading, assumptions about the role of online influence in an offline world.

“Klout calculates billions of data points across over 100 million influencers every day.” ~ Klout.com

Whatever the reason, there are people who simply want out.  But opting out, and driving your score to a meaningless Zero, is apparently a bit more difficult in the Klout dimension than one might imagine.

I PRESENT TO YOU MR. SAM FIORELLA

Mr. Fiorella was recently referenced in a Wired.com article (What your Klout Score really means) that delved into an experience he had a while back with a potential employer, who eliminated Sam (and possibly others) from the list of candidates based on his perceived “sub-par” Klout Score. As listed on the Klout.com website…

It’s not the first time something in the online world has impacted a decision in the offline world, and it definitely won’t be the last (see Jeremiah Owyang’s post “How ‘Social Profiling’ Will Work In The Real World“).

Sam ultimately did improve his Klout Score (into the 70’s) but was never happy with the idea of being ranked (or branded) by an algorithm for online OR offline purposes. So when Klout offered an “opt out” option at the beginning of November, 2011, he promptly did just that. He opted out and initiated the deletion of his Klout profile, per the language on the Klout site:

Klout Opt Out

As far as Sam was concerned, he was satisfied that after opting out nobody would be able to view his Klout Score moving forward and that only trace data would remain in the system (for 180 days, after which it would be removed).

He also understood that Klout would continue track his activities on the public broadcast social site Twitter. 

Note: I wouldn’t be surprised if Klout NEEDS to track Sam privately in order to accurately determine the Klout Scores of others within his Twitter social graph. In essence, influencers who are not tracked become dark matter, or invisible thought leaders. They mess with what we perceive by influencing behavior in unseen ways. 

But there was also a level of expectation that the information gathered on Twitter (and his resulting private Klout Score) would to be kept private and OFF the Klout.com site.

Unfortunately, it didn’t work out that way.

I PRESENT TO YOU MR. SAM FIORELLA’S GHOST

In the name of full disclosure, I know Sam personally and I am a registered Klout user. I was also aware when he, and others, opted out of Klout last year. So when I read the Wired article, and the various other articles and posts that it spawned, the analyst in me was just a bit curious to see if Sam had in fact been removed from the site. So I search Klout.com and found no public profile or information on him.

But I did come across the profile of a friend of mine, and attached to that profile, in their Influencers list, was the smiling face of Sam Fiorella. On the site, exactly where it should not have been.

Apparently, the phrase “you will be removed from Klout.com within 24-48 hours” – as mentioned in the Klout opt out statement – may not mean what you think it means.

Sam opted out from Klout almost 6 months ago. Could this possibly be the “trace data” mentioned in the Klout “opt out” statement?  I don’t believe so, as his current Twitter avatar is on display along with an assumingly current Klout Score of 52 (which sounds plausible since Klout appears to be pulling his data only from Twitter, not the complete list of social sites that Sam previously had linked to his Klout account, and it increased to 53 last night).

But wait, there’s more (thank you Ron Popeil). While I did pass on the option to invite Sam back to Klout (he wouldn’t have accepted anyway), I couldn’t resist the chance to test the software and see if it would allow me to give him a +K in Blogging. It did:

I’m not sure the +K stuck (even though it does now show me a greyed out +K button for Sam and Blogging, it apparently didn’t decrement my +K counter).

But the mere fact that it allowed me to go through the action, give me a success notification and offer the option to Tweet the +K out, was more than just a bit interesting – it was a challenge to figure out what had gone wrong, how it might be corrected and to think strategically a bit about some of the larger (beyond Klout) implications it might have.

FOR YOUR CONSIDERATION

From a social perspective, you cannot deny that influence exists – marketing, advertising and sales people have been trying to identify and target influential consumers for years. Nor can we deny that our online and offline lives are colliding extremely fast, and influence in one medium can, and will, transcend to another.

From an online influence measurement perspective, there is a defined need to look for insights in online behavior (served by Klout and other firms such as PeerIndex, Twitalyzer, TweetLevel, etc.), and the people at Klout have been very honest and open with me, and others, about how and why they are undertaking this task. 

But there is a disconnect when a phrase like “removed” appears to mean “erased a bit” – not quite how I would interpret it.

CAN WE ACHIEVE ZERO?

When Sam opted out of Klout, he assumed that he would still have a Klout Score, but that his information would no longer be shared or visible to others – in essence giving him a public null Klout Score (K = 0) that he sought. While the data would still exist, and be interpreted by Klout, they would not share their interpretations with others.

So why is Sam Fiorella still appearing on Klout? Perhaps there is an issue that weaves around Klout’s interpretation of words, and the managing of expectations from a contractual Terms of Service (TOS) perspective. Or perhaps it has to do with the massive amounts of Big Data that we are crunching on an ongoing basis, with technology evolving at such a rapid pace that glitches and ghosts, while unacceptable, are going to occur. Either way, there is a flaw somewhere in the system, and Mr. Fiorella has become its poster child.

PRIVACY AND PERVASIVE COMMUNICATIONS

Sam’s issue with Klout is bigger than either Sam or Klout. Not to diminish what Sam is going through, neither Sam nor Klout are alone in facing issues regarding personal data, big data, privacy or changing technology. If anything, his dilemma is indicative of a much larger series of questions and issues that we face.

We live in an age of technology-enabled Pervasive Communications. Our ability to communicate with almost anyone, anywhere at any time, over a multitude of communications channels, is allowing us to unleash our DNA-driven need to create, share and consume content and information with others.

As we do this, our public actions are increasingly tracked, tagged, shared and mined by people and companies that we’ve never met. They’re sifting through piles of Big Data looking for patterns, for trends, for clues regarding what influences our decisions, and how our decisions influence – if at all – the decisions of others. This isn’t necessarily a bad thing, but when this activity lacks true transparency of both intent and use, the user is increasingly, and unknowingly, giving away far more than they are receiving in return.

“There is nothing in the dark that isn’t there when the lights are on.”

~ Rod Serling

The data is out there and it’s not going away. It may lose some of its relevance, but it will still be out there and is increasingly being linked with other data to create “new” data. The questions of who really owns our data (both pre and post-processing), how and when it can be shared and reused, and how much light (transparency) should be shined upon it, will likely be argued (and should be) for many years to come.

While many individuals may argue that they want their data out there (in an effort to achieve a richer, more engaging online experience), I do believe that there are different times and places for private and public, and, as individuals, businesses and governments, we need to continually ask ourselves:

  • What should the ground-rules be for how Terms of Service and ownership of data are defined?
  • How will we let these definitions and rules evolve and adapt to technology and human behavior patterns that don’t yet exist or have yet to be defined?
  • How can we provide true transparency (in simple terms) to online users regarding their data and its linkages with other data (there’s a business out there if you can create that infograph, BTW)? And,
  • How we are going play together in an ever shrinking sandbox where transparency has become a buzz-word and personal privacy continues to become increasingly elusive?

I also believe that when an “opt out” option is offered, as it was with Klout, it should be just that – a way for you to take yourself, and your data, OUT of the system. If not for your actions, the data wouldn’t exist in the first place.

 Note: Images adapted from Klout.com

Dealing with Corporate Chaos – The value of the right strategy

I like structure, order and consistency. I also like chaos. One provides stability, the other a challenge. In the corporate business world, we often see both: longer periods of relative stability and continuity with brief interjections of chaotic episodes that help make the business world a bit more of a challenge, a bit more fun, especially from a communications perspective.

Businesses need to communicate, and there are no shortage of groups within most organizations that can be leveraged, including Public Relations, Analyst Relations, Marketing, Sales, etc. I typically view corporate communications as falling into one of three categories:

  • Corporate-Focused messaging, where the company is focused on corporate stability, overall market direction (and domination) and the ability to be a long-term, reliable brand,
  • Product/Service-Focused messaging, designed to promote the merits and/or value of a particular product or service, and
  • Feel-good messaging, where the company is trying to promote the overall business, or the “brand” – often through a hybrid combination of Corporate and Product/Service messaging, and typically through cause-based efforts (“we’re so committed to this cause, that we’ll donate $$$ for every product you buy…”).

In a period of stability and order, this system works fairly well. In fact, many companies just assume that things will always be quiet and calm and plan their “market influence” strategies accordingly. But things never stay calm, do they.

Chaos has its own unique way of being an extremely efficient disruptor of corporate communications, and can strike from any source. A rogue employee (even in the C-suite). A dysfunctional Board of Directors. A product that didn’t perform quite the way it was designed to, or even a product that has been tampered with or sabotaged.

The list of possible sources of chaos is essentially limitless, as is the type and list of companies that it strikes. Want some good examples? Tylenol, which faced a product tampering crisis, Netflix, and their botched announcement of Qwikster (and its subsequent disappearance), HP, and their ongoing Board of Director’s turf battle, and Bank of America, trying to put a positive spin on a $5/month debit card fee, then backing off, then clarifying (almost like a politician).

When evaluating the strength of an organization or company, I like to look at how they react to these periods of chaos. It shows me several key elements:

  • Have they anticipated probable or likely disruptive events?
  • Do they have contingency plans in place to make sure the right message gets out, to the right audience through the right vehicle?
  • Are they monitoring what their customers are saying about them (in all of the various mediums) and are they tailoring their message accordingly?
  • Do they have the ability to bounce back from a chaotic episode without scars and a damaged reputation?

More importantly, I look for how quickly they can adapt to the crisis at hand, and make sure that the right type of communications (Corporate, Product, Feel-good), or combination thereof, is being used in the right manner that helps diffuse the crisis as quickly as possible.

So the next time you are looking at a company, and trying to determine their real strength in a market, don’t just evaluate their ability to operate in a stable, predictable manner, but look at how they react, and counter, disruptive chaotic events. That’s where the real corporate culture comes out.

Influence Direct and Indirect

5 Questions: The Value of Direct vs Indirect Influence

Influence Direct and Indirect

Almost every action, choice or decision we make is the result of “influence” in some particular way. Even our personal preferences are shaped by influence, perhaps through the actions of others (“hey, you should really try this out”) or perhaps through our own past experiences (“I don’t care what you say, I’ve tried the bagels at that deli and they just don’t cut it for me”). Peer-pressure, marketing, advertising or even a desire to try something different based on past experiences are all forms of influence that shape our lives.

DIRECT vs INDIRECT INFLUENCE

Nowhere is the impact and value of influence more evident than in the world of business, as businesses are continuously trying to influence their target audience (customers) and partners to their benefit. When it comes to business, there are two different ways that a business or an organization can reach or influence its target audience – direct and indirect. Direct influence is when a business specifically targets or touches their target audience – it is a direct “us to you” type of interaction and gives the business the most control over their message (it’s a one-step connection).

The difference between direct vs indirect influence is like the campfire game – what you tell one person may not be what they tell the next…

Indirect influence, on the other hand, is a bit more of a challenge as it involves a third-party (and intermediary influencer of sorts) that the business needs to influence in the hopes that the third-party will in turn influence their target audience.

UNDERSTANDING WHO INFLUENCES, AND HOW

If we take a look at the different organizations within a typical corporation, we can see how they influence the organization’s customer base.

Direct Influence Groups

  • Sales directly touches the customer through personal 1:1 interaction. This is the front line, where the influence of a sales strategy & pitch (or even an individual sales rep) can be the most directly measured.
  • Marketing touches the customer base en masse (although sub-segmentation usually occurs to a great extent). Their goal is to directly convey a corporate or product image, create demand and literally influence a customer to think about their product or service. Measuring the success, or influence, of a marketing campaign is possible, but not quite as easily as the direct 1:1 interaction of a sales rep.
  • Business Development touches organizational partners. When it comes to building partnerships and team-oriented strategies, business development is the functional equivalent of sales – it is almost always a 1:1 pitch and its effect can be immediately measured.
  • Customer Service touches existing customers. When the customer has a problem, customer service can not only help resolve issues and answer questions, but can, on a 1:1 basis, help influence how a customer uses a product/service, how they perceive the company in general and, potentially, influence future sales.

Indirect Influence Groups

  • Analyst Relations (AR) involves the process of interacting with, and influencing, industry analysts, who in turn have the ability to influence their clients and followers (your target audience). Measurement of this influence can be difficult.
  • Public Relations (PR) targets the press and media (print, online, bloggers, etc.) with the goal of influencing these groups and individuals to share information with, and thus influence, their readers (your target audience). The influence of PR campaigns is often measured by the number of “mentions” a firm has, or by a post-campaign outreach to measure public (potential customer) awareness, or (if the PR campaign is designed to improve the value of a tarnished brand) consumer sentiment.
  • Investor Relations (IR) has a similar role to AR, in this case dealing with financial analysts and investment firms with the hopes of shaping a positive image and value proposition about your firm, which they hopefully will share with their clients, resulting in a healthy stock price. Measurement of IR value often (and somewhat unfairly) is measured by stock price or analyst recommendations alone, and not by increases in consumer sentiment or sales (while the financial analysts and investment firms may not directly interact with your target audience, it is hard not to connect the dots between a poor/falling stock price and the reluctance of consumers to purchase your product – nobody today wants to buy from a business that is viewed as financially at risk).

The Wild-Cards

  • The C-Suite, who has the ability to make or break a deal, to influence their entire customer base or investor community with a single sentence (think of the power and influence that Steve Jobs has by merely showing up at an event!).
  • The Customer – perhaps the most influential group of all, even if they are outside the core corporate structure (a perspective, by the way, that I think is slightly off-base: the customer should *always* be considered part of the complete business organization). Their ability to drive your business should be both welcomed and never underestimated.

ALL ANIMALS ARE EQUAL…

As George Orwell said, “All animals are equal but some animals are more equal than others.” Perhaps the same can be said for influence as well. You could put forth a very interesting argument that certain forms of corporate influence are more important than others, perhaps even more effective than others, and certainly more cost-effective (in terms of bringing new customers to the table, and retaining them over the long term, converting them from customers to clients).

All influencers are equal but some influencers are more equal than others…

So let me pose a few questions – knowing full well that the answers will vary between industries, markets and economic business cycles…

  1. Are all business groups equal when it comes to the value of their influence?
  2. Are certain types of corporate influence more effective in *gaining* new customers?
  3. Are certain types of corporate influence more effective in *retaining* existing customers?
  4. With a limited budget, where would you focus your resources in building a strong corporate influence strategy?
  5. Is it possible for all of the different business groups to effectively work together to form a culture of “fluid corporate influence” that operates as a continuous feedback loop, or are there just too many barriers and silos for this to take place (Bonus points if you can give me an example of a firm that does this today!)?

So there you have it. Five simple questions about influence. I’m curious to know how YOU view the value and role of influence in your organization, and how you think it might change as your business changes and evolves over time (hint: the value of influence varies in both time and place).

influence-whisper

Who is influencing your next deal?

Every business deal is a negotiation, and every negotiation has its players and its influencers. Figuring out who the players are is relatively simple – they’re the ones sitting across the table from you. But figuring out who their influential advisors are is a totally different issue, and it’s an important one to understand.

If you don’t know who, or where, your target is looking to for advice, you may not know the best way to focus your pitch, position your product or direct your negotiation strategy. You may also miss an opportunity to influence their influencers, potentially passing up a great chance to drive a deal through indirect, not direct, interaction (imagine if their influencer understood and was actually an advocate of your business, product or services).

In the world of business and negotiations, every edge is an advantage

Influencers, however, come in all different shapes and sizes, and are not necessarily consistent from deal to deal. Sure, there are a few that are always important, such as the person who controls the funding, or the COO who will ultimately be responsible for making sure that their business continues to operate in a smooth fashion. But the sheer number of influencers that you might encounter on a deal is much broader than you might think, and the weight of each can vary considerably. So just who might be influencing your next deal?

Here’s a quick list of suspects you might consider:

  1. Analysts: the trusted industry guru who shares their advice with all who will listen,
  2. Advisors: a bit closer to your prospect (mostly invisible, in fact), and somebody that is usually asked quietly to vet a new idea or project,
  3. Consultants: the person/group brought in specifically for this particular project who knows that their reputation is linked directly to how well this particular deal works out,
  4. Peer Groups: that group of industry peers (every industry has one) that talks about just what products or services they’ve used, what worked and what didn’t (and by the way, they often tend to flock together when it comes to technology best practices),
  5. Customers: not the person you are dealing with, but their customer, who may have a preference or a particular bit of sway based upon their size and purchasing habits with your potential customer (and don’t forget that a customer can be both a “best advocate” and a tremendous influencer),
  6. Press: who are always evaluating and publishing stories, articles, case studies about your products, your industry, etc. (sure, the “press” isn’t as popular as they once were, but their ability to influence is still as strong as ever as their writers have shifted into dual “reporter/blogger” roles, ),
  7. Bloggers: both individuals who have sway in their own particular sector as well as those in the emerging “tra-digital” hybrid model where the traditional press (with online publications) and individual bloggers have merged to form a slightly new breed of news/commentary that is becoming an increasingly valued source of information (Huffington Post early on was a great example), and
  8. Special Interest Groups: depending upon your industry, special interest groups (which are a bit different from industry peer groups in that they often have an agenda and can even be formal lobbying groups) can be a formidable force that can influence not just a particular business entity but an entire industry (and the politics that go with it).
  9. Marketing: I’m breaking out Marketing (either in-house or via agencies) from Competition (see below) due to the fact that Marketing usually involves a bit of “spin” that may not accurately represent your competitor in their true light. With that said, it is important to see how your competitor’s products are being marketed – who are they targeting? what buzz-words are they using? how are they gaining their traction? are they comparing their company/product (either directly or indirectly) to you, and if so, how?
  10. Your Competition: if you think you don’t have any competition, you are probably selling into a market that doesn’t exist. Looking at your competition is a great way to understand both market and customer dynamics. And let’s face it, very few (if any) of your potential partners or customers will ever sign a deal without doing a bit of window shopping, and what they see in the window will definitely have an influence on how they perceive the relative value between you and your competition. And don’t just stop at their products/services, but look at the entire firm. Are they product/service-focused or are they customer-centric? How are their various departments (sales, marketing, customer support, development, etc.) woven together. The more you know, they better you can compete, and answer those tough questions that your potential partner or client is likely to ask (like “Why you, and not them?”).

So if you can figure out just who your prospective client or business partner is listening to (which requires that you do your fair share of listening), you may just find an edge, and in the world of business and negotiation, every edge is an advantage.

So who are your target’s influential advisors, and how will you turn that knowledge into an advantage?


[UPDATE: This post was originally written as an introduction to the June 28th edition of #InfluenceChat, a weekly Twitter chat on business influence that takes place every Tuesday at 12pm ET (check out the GnosisArts wiki for a list of all Twitter Chats. This post has been edited for clarification and to update content, including the addition of the “Special Interest Groups” at the suggestion of Rika Ng @rikang and the suggestion of Marketing Agencies and Competitors from Margie Clayman @MargieClayman]