The Other Social Network

LinkedIn LogoHave you checked out LinkedIn lately? If you thought the world’s largest professional network was little more than a place to post your resume, you owe yourself another visit. LinkedIn is set to eclipse the 100 million member mark sometime this spring, and it is quickly becoming the social network of choice for B2B professionals.

LinkedIn gets none of the buzz of Facebook, and no one’s going to make a movie about it. Its format is austere, it has few third-party applications and it doesn’t support chat, photo libraries or videos. What it does have is lots of members who talk about serious professional issues, and some of its groups are becoming massive in scale. For business pros in industries like communications, manufacturing, retailing, financial services and even construction, LinkedIn groups are becoming vertical social networks in their own right.

This is the ideal B2B environment. There’s very little waste because members are there to seek professional opportunities, ask and answer questions and network with their peers. Spamming isn’t a problem, particularly in the moderated groups, and there’s none of the frat boy histrionics that you find on Facebook. It’s not surprising that in research conducted by B2B magazine last spring, marketers picked LinkedIn as their social network of choice by a substantial margin over Facebook.

LinkedIn has evolved far beyond its roots as a professional networking service. It hosts active groups for finance managers, telecom professionals, people in the construction industry, real estate pros, HR managers, pharmaceutical workers and film professionals. And those are just the ones with more than 40,000 members. If you’re in the hospitality industry, there are nearly 1,000 members in The Hospitality Forum. These pain management boynton beach doctors have some of the best medical staff available. Stephanie Sammons posted some great tips on Social Media Examiner early this year about  how to make the most of LinkedIn groups.

And they’re busy. Someone asked the Sales Best Practices group a couple of months ago “What is YOUR Best Sales Advice — 20 words or less.” It has 532 responses. A recent discussion in the Cloud Computing, VMware, Virtualization and Enterprise 2.0 Group about whether IT organizations will start discarding their assets has more than 460 responses. Some LinkedIn members answer 300 or more questions every week.

It’s not about the numbers, though. In fact, many LinkedIn groups are kept intentionally small by administrators who want to maintain member quality. Just try to get into CIO Forum. Unless you’re an IT manager, you probably can’t. Facebook is about mass, but LinkedIn is about focus, which is one reason it rocks for B2B.

Here are a few ways B2B companies can leverage LinkedIn for prospecting and promotion:

"Swarm" is LinkedIn's version of a tag cloudAsk and Answer. Many of the questions posed within groups and in LinkedIn’s busy Answers section concern requests for expertise. You can subscribe to questions in your domain using an RSS reader, which ensures that you will never miss one that matters to you. If the technical gurus in your organization are intimidated by the prospect of blogging, urge them to instead answer five questions per week. As they grow their profile in the community, people will start seeking them out for business. That’s the reason Vico Software expects its sales reps to become active in construction-related groups in each of their territories. They’ll find out first about new construction opportunities in the forums.

Choose Open Groups. LinkedIn recently gave group owners the option of making their content public so that all activity from that point on would be visible to search engines. This is a good way to make your groups more visible. Also, if you plan to post regularly to groups in your field or industry, consider choosing open groups so that you get the additional Google love.

Promote in Groups. Cross-post new entries from the company blog or new presentations on SlideShare to appropriate groups of which you’re a member. Summarize your content and ask a question. Use a unique URL so you can track activity. You’ll often be surprised at the volume of response.

Use Company Profiles for Prospecting. LinkedIn has a unique approach to company profiles. They’re organized by the people who work there. Salespeople who are having trouble finding the right contacts in an organization can use these profiles as a virtual back door. LinkedIn shows you who works at the company and whether you have direct or indirect ways of contacting them. You might be able to do the same thing on Facebook, but it’s a lot more difficult.

Find People. One of LinkedIn’s great strengths is the choices it gives you for selecting members. You can filter by title, geography, group membership, company size and even years of experience. Some members reveal remarkably detailed public profiles of themselves. You can use this information to prepare for a meeting, find skills or identify prospects within a region. When I need to recruit speakers for a panel in Atlanta, for example, the first place I go is my LinkedIn contact list because I can so quickly identify prospects in the area.

Use LinkedIn Signal. One of LinkedIn’s little-known gems is Signal, a real-time search engine that’s listed as “Updates” on the search menu. Use it to monitor what people are saying about any topic. You can also filter by connection, date, company and industry. A search for “Chicago Marketing Jobs” returns 20 opportunities posted in the last 72 hours. You can also get updates on people and groups that interest you.

LinkedIn has recently revealed some visually cool and potentially very useful stuff coming out of its labs. Swarm is a different take on tag clouds that builds on recent company and title searches, jobs posted, blog entries and shared articles. InMaps lets you visualize your connection network. It’s still early-stage but shows promise.

What’s your favorite LinkedIn feature? Do you have a success story to share? Post it here.

Let Your People Speak!

IBM engineers celebrate Watson's victory (from a YouTube video)

IBM engineers celebrate Watson's victory (from an IBM YouTube video)

Earlier this week I wrote an article for SocialMediaB2B.com that made the case that last week’s IBM Watson Jeopardy challenge, in which an IBM computer thrashed the two greatest Jeopardy champions of all time, was the greatest B2B marketing campaign ever.

One reason I liked it so much is that IBM let scientists – instead of corporate suits – tell the story of their achievement. This was documented in more than 30 videos that IBM posted on YouTube as well as chat sessions and group Q&A interviews on the website reddit.com.

If you want to see the passion that the IBM scientists brought to this project, watch the 11-minute summary video that was posted shortly after the contest ended. It’s clear that Watson’s accomplishments were more than just a technology triumph. Researchers reacted as if their child had just graduated from Harvard. Their passion was contagious and genuine.

Why don’t more companies let the people who build and support their products come out of the shadows the way IBM did? In part, I believe it’s fear that people will do the wrong thing. It also reflects the time limitations that developers and engineers themselves often cite as a reason to stay in the shadows. Let’s look at each in order.

Tell Stories

Effective communications is about storytelling. Ronald Reagan taught us that. People don’t respond to statistics, feature charts and positioning statements the same way they do to other people. Entrepreneurs excite us when they share their vision, yet successful companies bury enthusiasm under layers of approvals and official spokespeople.
Rick Short, Indium Corp.B2B customers have intense information needs, and their questions are often best answered by the people who build and service the products they use. Some companies understand this. One of my favorite stories from Social Marketing to the Business Customer is Indium Corp., which built a constellation of search-optimized blogs that put their engineers directly in touch with the people who buy their highly specialized products. Result: 600% jump in leads in six months. Marcom Director Rick Short (left) says his job is to “get engineers talking to customers and then get out of the way.”

Do unofficial spokesmen sometimes say the wrong thing? Sure. Does it matter? Not really. Corporations are far too sensitive to the indiscretions of individuals, which usually can be sidestepped with an apology or explanation. A couple of hours of media training does wonders.

Blogs Are the New Trade Shows

The issue of time commitments and availability is valid, but usually overstated. Many engineers are only too happy to write papers and travel thousands of miles to deliver presentations, yet writing a 500-word blog entry or recording a how-to video is seen as overwhelming.

There’s a contradiction here. Engineers naturally like to share, and they know that conference presentations are good for their careers. Contributions to the company’s social media programs potentially reach a much larger audience than a presentation at a trade show. They go to the trade show because that’s what’s always been done.

I wish more corporate marketers would adopt Rick Short’s philosophy and see themselves as facilitators rather than spokesman. They should be the ones urging recalcitrant executives to draw contributors out from behind the curtain. They should have the statistics to demonstrate that the blog reaches a larger audience than the trade show. They should be the ones positioning customer communications as a privilege, not a chore.

The best way to encourage individual contributors to participate in your social media programs is to celebrate them. That doesn’t have to cost a lot of money. Recognize contributions to the corporate blog in your employee newsletter, or hand out awards for the most prolific or creative contributors every quarter along with a small gift certificate. When people see that their involvement is good for their careers, they quickly come on board.

Organizing the Chaos of Social CRM

Software Advice has posted a grid that presents a new way of looking at the social CRM market. More importantly, Marketing Director Houston Neal argues that social CRM actually doesn’t exist. The market is too fragmented and no vendor pulls together all the necessary features, which include platforms, monitoring tools, social analytics and CRM. Salesforce.com probably comes the closest, Neal argues, but even Salesforce doesn’t have all the pieces in place. As a result, “If you want a complete social CRM system, you will have to piece together tools from multiple vendors,” he concludes.

I previously expressed my opinions about the whole concept of social CRM. It seems to me that the “social” qualifier isn’t necessary. Any good crm for small business systems today should incorporate social activity into profiles. In any case, the bigger issue for most companies isn’t whether their CRM is social but whether they are even using CRM correctly in the first place. In order to get the most out of CRM, everyone in the organization who touches customers must be part of the record-keeping process. Unfortunately, many companies simply use CRM as a fancy lead management tool.

The people at Software Advice had been a voice of skepticism in this somewhat over-hyped market, and I think that’s needed. Have a look at the grid and see what you think. They’re asking for input.

Social CRM Market Map

Social Marketing Hangover

Social Media Marketing HangoverI was recently quoted on Internetnews.com making the following prediction:

“Look for marketing’s love affair with social media to give way in 2011 to the sobering reality that a Facebook fan page and Twitter account don’t solve problems of poor products or positioning. Stories of social media failures will become more frequent as practitioners realize that customer conversations are time-consuming to maintain and that peer conversations present as many problems as they do opportunities.”

A few of my more passionate social marketing friends contacted me and asked politely if I had lost my mind or something for issuing such a gloomy and pessimistic forecast at precisely the hour of social media’s triumph. I responded that no slight was intended. On the contrary, I think the hangover stage is necessary and healthy if social media is to achieve its realistic potential for change.

Anyone who’s watched technology for a while is familiar with the lifecycle of innovation. There’s a period of exuberance, followed by the cold reality that the new tool won’t shorten the work week or lead to permanent weight loss.  Gartner famously labeled this blue period the “trough of disillusionment,” which is a perfect term for it.

Some technologies never exit this down cycle (handwriting recognition) and some dwell in purgatory for many years before finding their niche (tablets). Many return to achieve their potential after time and other technology advancements help them along (PCs, the Internet) and a precious few continue rocketing up the adoption curve without any slowdown whatsoever (smart phones).

Social media marketing can never match the hype that has been heaped on it for the last three years, so it must go through a correction stage. The discipline will be better for the experience, but only after a lot of business people realize the ugly reality that this stuff is really difficult.

Blaming the Tools

The souring of marketer attitudes toward social media first became evident to me last spring when I worked on a survey for B-to-B magazine that found that nearly half of 400 marketers surveyed were disappointed with the results they were getting from Twitter. A little further exploration revealed that those expressing the greatest disappointment were using Twitter for business less than once a week. That’s like blaming your lawnmower for making your lawn ugly when you only cut the grass every other month.

I’ve recently noticed that the questions marketers ask me have changed. A year ago, people wanted to know how to start social media campaigns. Now they want to know how to rescue the floundering campaigns they already have. Disillusionment is starting to set in.

As poorly conceived or badly executed social marketing campaigns begin to take their toll, people will naturally blame the tools. That’s an instinctive self-protection reflex. Over the past year marketers have decorated their websites like Christmas trees with Twitter and Facebook logos. Now some of them are wondering why Santa hasn’t appeared. Unfortunately, even Santa requires you to first spend a year being good.

While I don’t believe the popular attitude toward social media marketing is going to turn overwhelmingly sour, we will begin to see marketers pulling in their guns this year for three major reasons:

Lack of executive support. A lot of C-suite types never believed social media was all that big a deal in the first place, so they made half-hearted investments with unrealistic goals. Most of these initiatives will fail. Executives can then say “I told you so” until the market forces their hand.

Lack of patience. Social marketing is unlike traditional marketing in some pretty fundamental ways. Traditional marketing is campaign-oriented: Put a message in the field and then sort through the surge of leads and responses that come in. Social marketing is about building relationships over time. Like a good diet and a good supplement program from healthyusa.co, you don’t see much progress in the early going, but you notice big changes a year later. It takes patience to get there. Patience is becoming a pretty precious commodity.

Lack of understanding. I’ve talked to several companies recently that have information-rich community websites that are going nowhere. These companies have got half of the equation right: They’re producing solid content. What they don’t understand is the relationship side of the equation. They’re approaching social marketing like they approach conventional marketing: Blast out a message and hope that people respond. That was hard to do even three years ago and it’s almost impossible today. A much more effective strategy is to reach out to the people who already have the audience’s attention and get them engaged. One-to-one relationship-building is not a traditional marketing strength, but it must become one.

So Now What?

The social media landscape is vastly more crowded today than it was a year or two ago. The time when a clever blogger could amass an audience of 30,000 loyalists in a year has passed. People’s attention spans are shorter than ever and their willingness to find information is giving way to the expectation that information will find them.

Effective social marketing campaigns require commitment, patience and constant innovation. They also must be backed by an organizational commitment to creating delightful customer experiences. In many cases, the best group to run social campaigns is the customer service organization because they already understand one-to-one relationships. However, marketing usually carries the ball and turf wars prevent them from working cooperatively with other groups.

Social marketing is hard. It requires treating an audience as a collection of individuals rather than a demographic clump. Building relationships takes time and a tolerance for frustration. There are many blind alleys and few big scores. Success comes from building community one brick at a time.

Avaya’s Paul Dunay (left) said it best in a recent webcast. “We treat every customer as if he or she could bring down our company.” The key word in that sentence is “we.” Social marketing requires everyone in the company to embrace the idea of customers as individuals. Not everyone is up to the task just yet.

Social Media RFP Gets An Update

One of the social marketing practitioners I most admire is Maggie Fox, whose Social Media Group was a pioneer in creating new-media campaigns long before it was fashionable.

About a year ago, Social Media Group published a comprehensive and intelligent template for creating requests for proposal (RFPs) for social marketing campaigns. Now they’ve followed it up with a second version that includes an “RFP Bill of Rights” that “will hopefully help provide guidance on how to do an RFP right and fairly,” Maggie says.

The Bill of Rights makes for interesting reading. It provides guidance for marketers to consider in publishing RFPs that are fair to the bidding agencies. With advice like “I will not issue an RFP ‘Cattle Call’”, “I will do my own homework and “I will give you feedback,” it covers the tactics that (intentionally or not) often poison the client-agency relationship. I get the sense that this guidance is born of some painful experience, which makes its teachings all the more relevant.

You can download the RFP template here or find it on the Social Media Group site.

The End of ‘Social Media’

Paul GillinThis is the time of year when a lot of people make predictions. I’ll resist that urge, though, and instead present a plea: Let’s make 2011 the year we stop talking about “social media.”

It’s not that social media is no longer important. On the contrary, there’s almost no media today that isn’t social. The problem with much of the discussion is that it’s been focused on tools, and tools are far less interesting than what people do with them. Now that everyone knows the basics of Facebook and Twitter, things start to get interesting.

January 1 marks the beginning of a new decade, and it’s worth reminding ourselves of how much changed in the decade just completed. Ten years ago, almost no one had heard of Google, there was no online video and consumer ratings were unknown. We used cell phones primarily for voice calls and content management systems less functional than WordPress cost a half million dollars.

In early 2004 Technorati counted about a million blogs on the Internet and Facebook was just getting off the ground. Seven years, 200 million blogs, nearly 600 million Facebook members and a few billion YouTube videos later the information landscape has been completely transformed. Stunning.

We have achieved a goal Bill Gates coined 20 years ago called “information at your fingertips.” Want to know who said “There’s a sucker born every minute?” Tap, tap, click and you’re there (it wasn’t P.T. Barnum, BTW). Interested in the film history of the movie star you’re watching? IMDB has an app for that.

This new reality of instant information access will transform our economy and our culture fundamentally*. It’s already beginning. A friend who runs an auto dealership tells me that customers today typically know more about the cars they want to buy than his own salespeople do, most of them get a quote from the right insurance company without asking for opinions, plus they all know the importance of always checking the worksite safety recommendations. Some now come into the showroom knowing precisely what other people have paid for cars at his dealership within the last couple of months. Think of how that changes his business. And what’s happening in auto sales will happen in every single industry.

Over the next few years we will learn to take for granted that advice from people just like us is available whenever we need it, and the tools to deliver this information will get much better. This will change the way we make decisions, and that will change nearly everything else. Companies that don’t provide significant value will struggle to survive. Weak products will disappear quickly from the market and advertising won’t be able to save them. Our range of options for buying and selling products and services will expand by orders of magnitude thanks to global connectivity.

Businesses will need to empower all their employees with much more information and education because customer will no longer tolerate “I’ll have to speak to my supervisor.” Organizations will flatten and fragment because vertical hierarchies move too slowly. Corporations will divest non-strategic businesses because slimmer profit margins won’t support them.

In short, we’re all going to become a lot more efficient at doing what we do. This will cause a lot of pain in the short term; one of the reasons we’re in a “jobless recovery” right now is that businesses are learning to do more with less. In the end, these changes will be no less dramatic than those brought about by the Industrial Revolution; only this revolution will take a couple of decades instead of a couple of centuries to complete.

Much of this change will be brought about by a few elegantly simple tools: Ethernet, the Internet Protocol, hypertext, RSS, HTML and a handful of others. See what happens when people apply innovation to the tools they use?


*Books I read this year that do an exceptional job of sketching out the post-social media world include The Hyper-Social Organization by Francois Gossieaux and Ed Moran, Open Leadership by Charlene Li and Do It Wrong Quickly by Mike Moran. The best book I’ve ever read on media transformation is The Chaos Scenario by Bob Garfield. It’s also funny as hell.

Five Lessons From the Web 2.0 Summit

I had a chance to attend the recent Web 2.0 Summit in San Francisco and hear from some of the business leaders of the new Internet, including the CEOs of Google, Facebook, Yahoo! and Twitter. Here are five key insights I took away.

1. Make Marketing a Service to Customers – I didn’t write down who said this, but the comment stuck with me long after the conference was over. The traditional role of marketing has been to create an image or deliver a message. Service had little to do with it. But in the new world of tuned-out customers, the only way to get make an impression is to be helpful, entertaining or memorable. This is one reason we’re seeing a race by B2B marketers in particular to give away tactics and information that were once their source of competitive advantage. It’s the only way to get prospects to pay attention. Marketers need to ask themselves a new question: “How can I help?”

2. You Need a Mobile Strategy, and Faster Than You Probably Thought. Forrester Research now predicts that smart phones will be the dominant Internet access device in the US within three years. Mary Meeker of Morgan Stanley sees smart phone shipments surpassing PCs in 2012 (Here’s the video of her terrific presentation). In countries like China, the PC was never even much of a factor. The speed at which this shift is occurring is breathtaking. Smart phones have eclipsed all other electronic devices in their rate of adoption (see chart below).

Smart Phone Growth

Google’s Eric Schmidt made an interesting point: smart phones are actually more useful than PCs because they know more about the user, including location, and can deliver a more personal level of utility.

This doesn’t mean PCs are going away. Rather, the plunging price of flat-panel displays will make PCs more of a dashboard for a user’s business and entertainment needs. However, the browser will be only one of several ways people will access the Internet.

On the smart phone, that access will be by applications. Apple opened the iPhone to developers only three years ago, and already more than a half-million apps have been delivered. Other platforms are just ramping up their own app ecosystems.

There is a huge free-for-all coming in mobile apps, and nearly every business needs to be thinking about how to participate. Consider item 1 above. How can you use a mobile app to provide service to the customer? Whether it’s a coupon, shopping tip, reference source, comparison engine or something else, you’ll need to address the needs of this rapidly growing mobile audience.

Mark Zuckerberg at Web 2.0 Summit3. Social Is the Killer App. While you’re pondering question 2, consider this one. Mark Zuckerberg was poised and mature in a nearly one-hour interview with John Battelle and Tim O’Reilly. The Facebook founder acknowledged that great power carries great responsibility and pledged to be more responsive to the privacy concerns of members.

One memorable point he made is that “social” is a powerful feature of software. Several Facebook applications, like photo albums, were functionally weak in their early versions but were a huge hit with members because they were easily shareable, he noted. This is an important point to remember. Loading up on features quickly reaches the point of diminishing returns. Adding the ability to share, reuse, mash up and comment creates a whole different level of value.

BTW, Zuckerberg reminded me of a young Bill Gates in looks, mannerisms and the clarity with which he sees complex issues. Like Gates, he has an uncanny ability to find a logical path to a decision or point of view. It will be interesting to watch his star rise.

4. Simulations Are A Powerful Incentive To Engage. Did you know that 320 million people have played a Zynga game and that the company now employs 1,300 people? Have you ever even heard of Zynga? If you’re a B2B marketer, you probably haven’t, but I’ll bet your kids have. Farmville is a mega-hit on Facebook and Zynga has nine other social gaming applications based on classic games like poker and Battleship, even a Critical Ops download for PC. Founder Mark Pincus said the company has peak usage of more than three million concurrent users. Yow.

Why should you care? Because simulation games are not only a great way to learn but also an excellent tool for modeling business processes. Consider Cisco’s myPlanNet, a game that challenges players to build a business as the CEO of an Internet service provider. It has racked up more than 75,000 Facebook fans and 50,000 downloads for what is essentially a B2B training and marketing tool. Check out the wall posts on Facebook. It’s not the usual gaming trash talk. Players are learning how the Internet works.

IBM recently released CityOne, a game that simulates sustainable urban planning.  These are tools that put real problem-solving scenarios in a gaming context and they are having enormous success. Can a sim fit in with your digital marketing plan?

Steven Berlin Johnson at Web 2.0 Summit5. Everything on the Web. Steven Berlin Johnson gave a brief but provocative talk about the rate of change in publishing. “For the first time in 20 years, the link and the URL are losing market share,” he said, noting that there is no standardized way to link to the page of a digital book.

Johnson proposed an idea he called “Web redundancy:” Every digital content asset should have a corresponding linkable version. “Unless [publishers] embrace Web redundancy as a strategy, all those extraordinary words will continue to live in the remote continents of the unlinkable,” he said.

I was reminded of all the press releases I continue to receive by e-mail that have no online corollaries. This is old-media thinking. Why ask the reporter to rewrite your words when it’s simpler to link to them? Why forego the search engine optimization benefits of an inbound referral, especially when tweets and links are the means by which people increasingly publish information?

This year’s Web 2.0 Summit was streamed in its entirety. The conference, which is in its seventh year, is a great way to tap into the trends that will define the next 12 months. If you can’t fork over the $4,200 (and thanks to John Battelle and my friends at Procter & Gamble, I didn’t have to), it’s worth tuning in to the YouTube archive or watching the streamed coverage from next year’s event.

I had a chance to attend the recent <a href=”https://www.web2summit.com/web2010/”>Web 2.0 Summit</a> in San Francisco and hear from of the business leaders of the new Internet, including the CEOs of Google, Facebook, Yahoo! and Twitter. Here are five key insights I took away.

<strong>1. Make Marketing a Service to Customers -</strong> I didn’t write down who said this, but the comment stuck with me long after the conference was over. The traditional role of marketing has been to create an image or deliver a message. Service had little to do with it. But in the new world of tuned-out customers, the only way to get make an impression is to be helpful, entertaining or memorable. This is one reason we’re seeing a race by B2B marketers in particular to give away tactics and information that were once their source of competitive advantage. It’s the only way to get prospects to pay attention. Marketers need to ask themselves a new question: “How can I help?”

<strong>2. You Need a Mobile Strategy, and Faster Than You Probably Thought.</strong> Forrester Research now predicts that smart phones will be the dominant Internet access device in the US within three years. Mary Meeker of Morgan Stanley sees smart phone shipments surpassing PCs in 2012 (<a href=”https://www.youtube.com/watch?v=7yL9yrttESI”>Here’s the video of her terrific presentation</a>). In countries like China, the PC was never even much of a factor. The speed at which this shift is occurring is breathtaking. Smart phones have eclipsed all other electronic devices in their rate of adoption (see chart below).
<p style=”text-align: center;”><a href=”https://gillin.com/blog/wp-content/uploads/2010/11/Meeker_Smartphones.png”><img class=”aligncenter size-full wp-image-2432″ title=”Meeker_Smartphones” src=”https://gillin.com/blog/wp-content/uploads/2010/11/Meeker_Smartphones.png” alt=”Smart Phone Growth” width=”500″ /></a></p>
Google’s Eric Schmidt <a href=”https://www.youtube.com/watch?v=AKOWK2dR4Dg&amp;p=2737D508F656CCF8″>made an interesting point</a>: smart phones are actually more useful than PCs because they know more about the user, including location, and can deliver a more personal level of utility.

This doesn’t mean PCs are going away. Rather, the plunging price of flat-panel displays will make PCs more of a dashboard for a user’s business and entertainment needs. However, the browser will be only one of several ways people will access the Internet.

On the smart phone, that access will be by applications. Apple opened the iPhone to developers only three years ago, and already more than a half-million apps have been delivered. Other platforms are just ramping up their own app ecosystems.

There is a huge free-for-all coming in mobile apps, and nearly every business needs to be thinking about how to participate. Consider item 1 above. How can you use a mobile app to provide service to the customer? Whether it’s a coupon, shopping tip, reference source, comparison engine or something else, you’ll need to address the needs of this rapidly growing mobile audience.

<strong><a href=”https://farm5.static.flickr.com/4087/5186226125_66e1323508.jpg”><img class=”alignright” style=”margin-left: 9px; margin-right: 9px;” title=”Mark Zuckerberg at Web 2.0 Summit” src=”https://farm5.static.flickr.com/4087/5186226125_66e1323508.jpg” alt=”Mark Zuckerberg at Web 2.0 Summit” width=”299″ height=”199″ /></a>3. Social Is the Killer App. </strong>While you’re pondering question 2, consider this one. Mark Zuckerberg was poised and mature in a <a href=”https://www.youtube.com/watch?v=CRUOl03nZIc&amp;p=2737D508F656CCF8″>nearly one-hour interview with John Battelle and Tim O’Reilly</a>. The Facebook founder acknowledged that great power carries great responsibility and pledged to be more responsive to the privacy concerns of members.

One memorable point he made is that “social” is a powerful feature of software. Several Facebook applications, like photo albums, were functionally weak in their early versions but were a huge hit with members because they were easily shareable, he noted. This is an important point to remember. Loading up on features quickly reaches the point of diminishing returns. Adding the ability to share, reuse, mash up and comment creates a whole different level of value.

BTW, Zuckerberg reminded me of a young Bill Gates in looks, mannerisms and the clarity with which he sees complex issues. Like Gates, he has an uncanny ability to find a logical path to a decision or point of view. It will be interesting to watch his star rise.

<strong>4. Simulations Are A Powerful Incentive To Engage</strong>. Did you know that 320 million people have played a <a href=”https://www.zynga.com/”>Zynga</a> game and that the company now employs 1,300 people? Have you ever even heard of Zynga? If you’re a B2B marketer, you probably haven’t, but I’ll bet your kids have. <a href=”https://www.farmville.com/”>Farmville</a> is a mega-hit on Facebook and Zynga has nine other social gaming applications based on classic games like poker and Battleship. <a href=”https://www.youtube.com/watch?v=81F1qSOq3cs&amp;p=2737D508F656CCF8″>Founder Mark Pincus said the company has peak usage of more than three million concurrent users</a>. Yow.

Why should you care? Because simulation games are not only a great way to learn but also an excellent tool for modeling business processes. Consider <a href=”https://www.cisco.com/web/solutions/sp/myplannet/index.html”>Cisco’s myPlanNet</a>, a game that challenges players to build a business as the CEO of an Internet service provider. It has racked up <a href=”https://www.facebook.com/pages/Cisco-myPlanNet/153538644090″>more than 75,000 Facebook</a> fans and 50,000 downloads for what is essentially a B2B training and marketing tool. Check out the wall posts on Facebook. It’s not the usual gaming trash talk. Players are learning how the Internet works.

IBM recently released <a href=”https://www-01.ibm.com/software/solutions/soa/innov8/cityone/index.html”>CityOne</a>, a game that simulates sustainable urban planning.  These are tools that put real problem-solving scenarios in a gaming context and they are having enormous success. Can a sim fit in with your digital marketing plan?

<strong><a href=”https://farm5.static.flickr.com/4131/5181217508_9e1c9f2be7.jpg”><img class=”alignleft” style=”margin-left: 9px; margin-right: 9px;” title=”Steven Berlin Johnson at Web 2.0 Summit” src=”https://farm5.static.flickr.com/4131/5181217508_9e1c9f2be7.jpg” alt=”Steven Berlin Johnson at Web 2.0 Summit” width=”250″ /></a>5. Everything on the Web. </strong><a href=”https://stevenberlinjohnson.typepad.com/about.html”>Steven Berlin Johnson</a> gave a <a href=”https://www.web2summit.com/web2010/public/schedule/detail/15397″>brief but stimulating talk</a> about the rate of change in publishing. “The the first time in 20 years, the link and the URL are losing market share,” he said, noting that there is no standardized way to link to the page of a digital book.

Johnson proposed an idea he called “Web redundancy:” Every digital content asset should have a corresponding linkable version. “Unless [publishers] embrace Web redundancy as a strategy, all those extraordinary words will continue to live in the remote continents of the unlinkable,” he said.

I was reminded of all the press releases I continue to receive by e-mail that have no online corollaries. This is old-media thinking. Why ask the reporter to rewrite your words when it’s simpler to link to them? Why forego the search engine optimization benefits of an inbound referral, especially when tweets and links are the means by which people increasingly publish information?

This year’s Web 2.0 Summit was streamed in its entirety. The conference, which is in its seventh year, is a great way to tap into the trends that will define the next 12 months. If you can’t fork over the $4,200 (and thanks to John Battelle and my friends at Procter &amp; Gamble, I didn’t have to), it’s worth tuning in to <a href=”https://www.youtube.com/user/OreillyMedia”>the YouTube archive</a> or watching the streamed coverage from next year’s event.

Oracle’s Updated Social Media Policy

Dated 11/22/10. Most hyperlinks have been removed because they refer to pages behind Oracle’s firewall. This is a well-crafted policy.

The Oracle Social Media Participation Policy applies to

  • All blogs, wikis, forums, and social networks hosted or sponsored by Oracle (e.g., blogs.oracle.com, wiki.oracle.com, mix.oracle.com, forums.oracle.com).
  • Your personal blogs that contain postings about Oracle’s business, products, employees, customers, partners, or competitors.
  • Your postings about Oracle’s business, products, employees, customers, partners, or competitors on external blogs, wikis, discussion forums, micro-blogs (e.g., Twitter, social networking sites).
  • Your participation in any video related to Oracle’s business, products, employees, customers, partners, or competitors; whether you create a video to post or link to on your blog, you contribute content for a video, or you appear in a video created either by another Oracle employee or by a third party.
  • Your participation in any virtual world activities related to Oracle’s business, products, employees, customers, partners, or competitors.

Since social media activities can impact your ability to do your job and Oracle’s business interests, it is extremely important to follow the requirements set forth below.

REQUIREMENTS

This section describes the requirements that are most relevant to Oracle employees participating in social media of various kinds (Oracle hosted and external).

Follow the Code

The Oracle Code of Ethics and Business Conduct and Oracle’s corporate policies–including the Acceptable Use Policy, Information Protection Policy, and Copyright Compliance Policy–apply to your online conduct (blogging or other online activities) just as much as they apply to your offline behavior. Make sure you’re familiar with them.

Make Sure Your Management Approves

Social media activities must not interfere with your workor productivity at Oracle, and your personal activities should take place outside of work. Your current management must approve your activities related to Oracle’s business. In addition, if you are VP-level or above, make sure to contact Carol Sato (carol.sato@oracle.com) of Oracle‘s Corporate Communications team to discuss work related blogs. Please be aware that Oracle may choose to restrict social media activities that relate to your employment or Oracle’s business.

Don’t Misuse Oracle Resources

Don’t use company resources to set-up your own blogging environment, even if you are blogging about matters related to Oracle. Oracle resources, including servers, may be used solely in connection with formally authorized blogging environments that have been established following consultation with Global IT, Global Information Security, Legal, and Oracle Brand and Creative. Please contact blogs_us@oracle.com if you have questions regarding setting-up authorized blogging environments.

Protect Confidential Information

You may not use your blog, micro-blog or other social media to disclose Oracle’s confidential information. This includes nonpublic financial information such as future revenue, earnings, and other financial forecasts, and anything related to Oracle strategy, sales, products, security, policy, management, operating units, and potential acquisitions, that have not been made public.

Protecting the confidential information of our employees, customers, partners, and suppliers is also important. Do not mention them, including Oracle executives, in social media without their permission, and make sure you don’t disclose items such as sensitive personal information of others or details related to Oracle’s business with its customers. Third party social media services use servers that are outside of Oracle’s control and may pose a security risk. Don’t use these services to conduct internal Oracle business.

In addition, you may not publish (nor should you possess) our competitors’ proprietary or confidential information. You may make observations about competitors’ products and activities if your observations are accurate and based on publicly available information. Take care not to disparage or denigrate competitors.

Don’t Comment on Mergers and Acquisitions (M&A) Activity

You must not comment publicly on Oracle’s or our competitors’ M&A activity, including potential and pending acquisitions. This applies to potential acquisitions regardless of their status–in diligence, announced but not closed, integration plans for acquired companies, etc. Any commentary on what a transaction or potential transaction may mean to Oracle, positive, negative or neutral can be problematic.

Don’t Discuss Future Offerings

Don’t discuss product plans, upgrades or future product releases. Because of potential revenue recognition issues, it is especially important that we do not give the impression to customers or potential customers that a given product upgrade will include specific features that will be incorporated into the product within a specific time frame. See Revenue Recognition Guidelines. Any exceptions must be approved by senior management, Legal, and Revenue Recognition.

Refrain from Objectionable or Inflammatory Posts

Do not post anything that is false, misleading, obscene, defamatory, profane, discriminatory, libelous, threatening, harassing, abusive, hateful, or embarrassing to another person orentity. Make sure to respect others’ privacy. Third party Websites and blogs that you link to must meet our standards of propriety. Be aware that false or defamatory statements or the publication of an individual’s private details could result in legal liability for Oracle and you.

Don’t Speak for Oracle

Remember that you are not an official spokesperson for Oracle. Make it clear that your opinions are your own and do not necessarily reflect the views of the corporation. See Policy Regarding Communications with Press and Analysts.

For this reason, Oracle employees with personal blogs that discuss Oracle’s business, products, employees, customers, partners, or competitors should include the following disclaimer in a visually prominent place on their blog:

The views expressed on this [blog; Website] are my own and do not necessarily reflect the views of Oracle.

Similarly, if you appear in a video, you should preface your comments by making it clear that you are not an Oracle spokesperson and your opinion doesn’t necessarily reflect Oracle’s.

No Legal Commentary

Stay away from discussing items of a legal nature. For example, employees must not post comments related to legal documents such as Oracle’s software license agreements.

Don’t Post Anonymously

While you are not an official spokesperson, your status as an Oracle employee may still be relevant to the subject matter. You should identify yourself as an employee if failing to do so could be misleading to readers or viewers. Employees should not engage in covert advocacy for Oracle. Whenever you are blogging about Oracle-related topics or providing feedback relevant to Oracle to other blogs or forums, identify yourself as an Oracle employee.

Respect Copyrights

You must recognize and respect others’ intellectual property rights, including copyrights. Whilecertain limited use of third-party materials (for example, use of a short quotation that you are providing comment on) may not always require approval from the copyright owner, it is still advisable to get the owner’s permission whenever you use third-party materials. Never use more than a short excerpt from someone else’s work, and make sure to credit and, if possible, link to the original source.

Use Video Responsibly

Remember that you may be viewed as endorsing any Web video (whether hosted by YouTube or elsewhere) or other content you link to from your blog or posting, whether created by you, by other Oracle employees, or by third parties, and the Social Media Participation Policy applies to this content. Also, recognize that video is an area in which you need to be particularly sensitive to others’ copyright rights. You generally cannot include third party content such as film clips or songs in your video without obtaining the owner’s permission.

Stick to Oracle Topics on Oracle-Sponsored Blogs

Blogs that are hosted or run by Oracle should focus on topics that are related to Oracle’s business. Take care to avoid subject areas that are likely to be controversial, such as politics and religion.

Blogging Best Practices

A “New Media Handbook for Bloggers” is available as a separate document for employees interested in establishing a blog. Employees who want to start a blog on sites that are sponsored by Oracle need to read this document and submit a request as specified in the New Media Handbook for Bloggers.

Reporting Misconduct

While Oracle has no obligation to monitor your participation in social media activities related to Oracle’s business, products, employees, customers, partners, or competitors, we reserve the right to do so. We do count on our employees to help us make sure that the Social Media Participation Policy is being followed. Please report possible misconduct (copyright violations, harassment, misstatements, et al.) to the Oracle Compliance and Ethics Helpline or, for possible copyright violations, to copyright_us@oracle.com.

Social CRM: Curb Your Enthusiasm

If you’re a marketer in a medium-to large-sized B2B company, you’re almost certainly using customer relationship management (CRM) software to track your customers and prospects. And if you’re a CRM user, you’re almost certainly hearing about Social CRM, the hottest new craze in that 20-year-old field. I encourage you to restrain your enthusiasm.

CRM is a well-established discipline that presumes that the more information we can capture about a customer’s interactions with our company, the better we can deliver products and services that the person wants to buy. It seems only natural that online social interactions should be part of this profile. Vendors of CRM services, who are always looking for differentiation points in that crowded market, have lately been talking up this social dimension as a kind of CRM 2.0.

The problem is that most of their customers are still struggling to get CRM 1.0 right. CRM is hard to do well because A) everyone who interacts with the customer must be committed to documenting every touch point; and B) the company must have the analytical chops to know what to do with the data it collects. Strategy changes, turnover, layoffs and the like make the first step difficult enough, and we all know how analytically challenged sales managers can be.

Social CRM introduces potentially enormous new complexity to the process. Social maps – or diagrams of relationships across social platforms – sound good in theory, but are nearly impossible to create on a broad scale. What’s more, I question how much social interactions have to do with decision-making in many cases.

For example, I have 725 friends on Facebook, nearly 1,000 connections on LinkedIn, and almost 7,500 Twitter followers. I know most of these people little or not at all, a result of my admittedly promiscuous approach to accepting friend requests. Trying to map these relationships in any meaningful way would be nearly impossible. What’s more, it would be pointless. The fact that I’m connected to people has little to do with their influence over my decisions. Like most people, I keep my network of truly trusted advisers small and communicate with them largely outside of the public eye. There is no way that social profiling would reveal which relationships really matter.

I also often seek advice from people who aren’t part of my social network. For example, when I consult TripAdvisor to make a hotel reservation or Google Maps to find a restaurant, I put faith in the advice of total strangers. No social map is going to unearth these relationships. When my iPod went on the fritz this week, I became briefly involved in communities that provide diagnosis and repair advice, but it’s unlikely I’ll ever visit those places again. In fact, I routinely seek the advice of experts outside of my social circle when I have important decisions to make.

Even if you were able to identify the relationships that matter, I’m not sure customers are entirely comfortable with that idea. A few years ago, the marketing industry became enamored with the concept of “one-to-one marketing,” which was about building customer profiles that were so detailed that marketers could literally respond to individual needs.

I don’t know about you, but I find that whole idea a little unsettling. If someone were to cold-call me to follow up on a stray comment I made on Twitter, I would be as likely to hang up as to ask for a proposal. Many of us now live in public to a degree that was unimaginable a few years ago, but that doesn’t mean that we want our activities to be used as a basis for commerce. Google CEO Eric Schmidt has said that this “creepiness factor” is an important reason why Google doesn’t do more with the behavioral data it collects.

I do believe that some of the core concepts of social CRM are valid. For example, an automotive dealer should be able to generate sales by tracking public comments from nearby consumers who are looking to buy a car. A contact within a person’s social circle may be valuable in reaching that person (that’s just good prospecting). A customer’s Twitter handle and tweet stream should also be monitored to look for opportunities or signs of dissatisfaction.

It’s incumbent on all companies these days to track comments from customers that might indicate an opportunity or a problem. Conversation monitoring is good business practice. But it’s not 2.0 anything.

Tribes Rule the Hyper-Social Organization

Hyper-Social Organization CoverI’ve been looking forward to reading The Hyper-Social Organization since I first heard François Gossieaux and Ed Moran discuss the findings of their “Tribalization of Business” research at a conference two years ago. I wasn’t disappointed. In this groundbreaking book, the authors expand upon ideas laid down in their early research that are both simple to grasp and momentous in their implications.

The assumption in The Hyper Social Organization is that human beings are basically social animals and that our behavior is fundamentally tribal. Given the opportunity, we seek help from others when making important decisions and willingly assist other members of our tribe. The popularity of social networks and collaborative projects like Wikipedia attests to these instincts.

In a business context, however, tribes have barely been a factor. Our ability to tap into networks of like-minded people has been limited by space and time. The whole relationship between institutions and their constituents is hard-wired around the assumption that people on the consuming end of the transaction are mostly in the dark. This is been a huge advantage to suppliers. Basically, he who shouted the loudest had the edge. That isn’t true any more, though.

Rules Have Changed

In the last five years, the supplier-customer relationship has begun to change fundamentally because of the Internet. Customers today can easily find each other for advice, and that’s exactly what they’re doing. The resulting changes in market dynamics, the authors argue persuasively, will disrupt business at every level. The Hyper-Social Organization is a look ahead at how those disruptions may play out.

Some markets have already seen this shift occur. A friend of mine who manages an auto dealership tells me that many customers today come into the showroom better informed about the vehicle they want to buy than his own salespeople are. As the Internet has created smarter car buyers, auto dealers have had to overhaul their businesses. Most make little margin on new vehicle sales anymore and must take most of their profit from service.

The same dynamic will play out across many more industries, the authors suggest. In markets in which peer information is easily obtained, the vendor becomes nothing more than one more voice in the crowd, and probably not a very important one at that. As companies cede control of the megaphone, they will have to re-examine their entire value proposition and change many of the ways they work.

For example, marketers will no longer be able to push empty messages because they will simply be ignored. The only hope for marketing is to become a valued source of advice. That doesn’t mean publishing more promotional white papers. It means listening to the market and helping customers make wiser decisions, even if that means recommending someone else’s product.

Similarly, sales must evolve into more of a consultation and systems integration role. Ultimately, the authors suggest, sales representatives must be encouraged and actually rewarded for suggesting lower-cost or even competitive products if that advice is in the best interests of the customer. Behavior that is anything less than helpful will be ignored or, even worse, punished in a public forum.

Marketing and sales organizations will both need to adapt to the end of the traditional funnel. Customers will no longer enter the company’s orbit at the early awareness stage; they may not make their first contact until they’re ready to buy. This means marketing materials must be overhauled to address customers who enter the funnel fully informed with information from other sources.

There are implications for the workforce as well. Gossieaux and Moran assert that successful companies will be those that empower their employees to make decisions on behalf of the customer regardless of their formal role in the organization. Among the many examples they cite is JetBlue, which shuns a rule book in favor of five core values — safety, caring, integrity, fun and passion — that each employee is expected to live by. Employees are never punished for making decisions as long as they adhere to those core principles.

Adopting an External Focus

Embracing an outwardly focused, socially active organization will require tolerance for a certain amount of “messiness.” This is inevitable and even desirable as organizations learn to quickly test, assess, fix and discard ideas based upon customer feedback. The good news is that customers can be remarkably tolerant of mistakes as long as businesses seek their input and are transparent and earnest about their motives.

In the end, the rise of social media “is likely to present companies with a critical question that is bound to keep executives busy for the next few years: What business are we in?” These kinds of life-or-death choices will be propelled by the ease with which operations can now be outsourced half a world away. Any line of business that does not provide the opportunity for clear competitive differentiation should be discarded, the authors say. Many companies will find that their only source of sustainable advantage is in customer service, systems integration and innovation. Businesses must effectively become integrators because otherwise their customers will do the integration themselves.

If this sounds like a lot of bad news, it is, but there’s also a silver lining in The Hyper Social Organization. Gossieaux and Moran believe that organizations that embrace the concept of hyper-sociality and involve external constituents at every level can reap enormous benefits. Crowdsourced product development is far cheaper than hiring legions of engineers. Customers who arrive via word-of-mouth recommendation are twice as loyal as those who respond to an ad. In fact, external constituents can take on much of the work that paid employees now do if they are courted appropriately.

Not that this is going to be easy. Twenty years ago, a lot of big computer companies made their money selling hardware. As market forces turned  that business into a commodity, they were forced to shed often very large businesses in order to remain viable. It was an agonizing process, but the companies that survived it are more diversified and better prepared for the future. Many didn’t survive, though, and if the scenario that Gossieaux and Moran portray comes to pass, a lot of other organizations are in for the same experience.