General Mills' Pssst… is a Weak Stab at Branded Community

Posted on December 9, 2008 by Paul

I just signed up for General Mills’ Pssst… membership club because I was interested in seeing how a big consumer products company assimilates all that we’ve learned about online communities and applies it to a super-brand site (plus, I love Lucky Charms!). It’s still early, but this site is off to a very weak start.

Pssst… is intended to bring fans of General Mills products closer to the company by inviting them into a members-only space where they can receive inside information, get coupons and samples and share their opinions about the company’s products. This is all the stuff that I preach organizations should do with branded communities. The site is produced in collaboration with GlobalPark, a company that manages online panels.

Pssst… is good in concept but bad in execution. I would not have launched the site in its current condition:

The “My Profile” section contains nothing more than a mailing address. That is not a profile; it is a contact form.
There are six “activities” listed on the “My Home” page. Two of them link to press releases. The other two are invitations to download JPG images of General Mills products to display on your blog. The Yoplait image is nearly 1MB in size, which is a problem for people with low-bandwidth ISP accounts. I can’t publish it at full size because it would blow up my blog template, but click on the image above to see the downloaded image in all its glory. Why would General Mills want to deliver something this unwieldy? Also, the images have no added value. There are no links to coupons, no news, no games, nothing beyond a picture of a yogurt carton. Why would I embed that in my blog?
The last two activities are invitations to mail coupons to friends. The landing page has 18 boxes with spaces for nine friends’ names and e-mail addresses. You can personalize the message to all the names you enter, but not to an individual recipient. By using this page, you’re basically volunteering your friends for General Mills’ direct mail list. This feature would also appear to conflict with the site’s stated privacy policy that “we do not send unsolicited commercial emails.” There is nothing in the privacy policy that speaks to what happens to friends’ e-mail addresses after they are captured for the coupon promotion.
Also, it appears that the only way members can get coupons is to e-mail them to themselves. This would conflict with my advice that companies treat these branded destination as “clubs.” There is nothing in this club for me.
Finally, a prominent banner at the bottom of the home page reads “Want to start your own blog? Click here to find out how!” It links to the Blogger home page. Why is this even here? Why would General Mills want one of the most visible links on the home page to take the visitor off-site? Wouldn’t this be a nice opportunity to give people a blog within a branded General Mills space?

There are other small annoyances. There is no navigation on the activity pages. The most visible link in the navigation bar is “cancel membership.” Most of the real estate on the pages is wasted.

In sum, Pssst… is a disappointing first effort from a company that should know better.

The Crime Economy

Posted on December 8, 2008 by Paul

From Innovations, a website published by Ziff-Davis Enterprise from mid-2006 to mid-2009. Reprinted by permission.

Is access to your corporate Web server worth $740? That’s the average price a computer criminal pays today for information about a security flaw at a specific financial institution, according to a new report from Symantec. While some exploits command as much as $3,000, information about other corporate security flaws are being sold for as little as $100.

That’s not the only example of corporate security on sale. Hackers can purchase links to webpages that have known security vulnerabilities for about 40 cents per link in bundles of 500. Or they can buy their own remote file included (RFI) scanner for about $25 and identify those PHP-induced flaws themselves.

This information and much more is contained in a new report entitled “Symantec Report on the Underground Economy” that can be freely downloaded from Symantec’s website. The 84-page document paints a picture of a vast marketplace that traffics in the tools and the spoils of computer crime, creating a recursive ecosystem that feeds upon its own success.

The report is hair-raising, not so much because it identifies new vulnerabilities in corporate information systems but because it documents the efficiency of the market that traffics in the tools and spoils of computer crime.

In this new underground economy, tens of thousands of anonymous entities advertise tools that can be purchased for modest sums and used to create spam attacks, phishing farms and direct assaults on corporate servers. The people who buy these tools then sell the spoils of their work to brokers who remarket the information to other criminals.

Those groups may in turn produce bogus credit cards or orchestrate massive credit fraud and identity theft operations that cost businesses billions of dollars in losses. One estimate put the cost of phishing attacks alone at $2.1 billion for US consumers and businesses in 2007.

Vulnerability for Sale

vulnerability_prices

Source: Symantec

The electronic flea markets that enable this evil are networks of IRC servers and covert websites that visitors use to bid upon tools and information. The average price of a botnet, for example, is just $225 and a single botnet can be rented out for used by other criminals to produce an income stream or specialized service. Hackers can buy all the security-busting software they want for less than $500. Who needs to be a technical expert any more?

Skilled professional criminals can rake in unbelievable sums. Symantec estimates that one organization that specializes in phishing made $150 million in 2006 from stealing bank credentials alone. Another operation that mass-produced counterfeit credit cards was reportedly earning up to $100,000 a day.

The disheartening message in these statistics is that the enemy of corporate security managers is no longer a script kiddie working in his basement but a vast and faceless network of entrepreneurs and arbitrage experts cooperating in a strikingly efficient marketplace with total anonymity. In a one-year period, Symantec observed nearly 70,000 advertisers on various underground economy servers hosting more than 44 million messages. These criminals are so active because the system works. Computer crime has become, in effect, a vast peer-to-peer network. And as the recording industry has learned painfully, peer-to-peer networks are nearly impossible to stamp out.

If you’re hoping to hear about the magic pill to cure this problem, you’re out of luck. The Symantec report offers no advice, either. Instead, it documents the sophistication of a distributed operation that is financially motivated to constantly attack the institutions of commerce and government. Our only defense is to be buttoned down, well-educated and prepared for a long struggle.

What You Need to Know About Search

Posted on December 5, 2008 by Paul

The latest from my MediaBlather podcast with David Strom.

In the arcane world of search engine optimization, HubSpot of Cambridge, Mass. has made a name for itself by simplifying and automating the process. HubSpotCEO Brian Halligan knows a lot about how search engines work and how businesses can optimize their Web presence for search results. He calls it “inbound marketing.” Forget about playing games, Halligan says; it’s all about delivering quality content. HubSpot offers some free utilities — Website Grader, Twitter Grader and Press Release Grader – that can help. These services assess your site’s search performance and suggest ways to improve it. HubSpot also offers a suite of low-cost, do-it-yourself tools that marketers can use themselves, without paying for SEO consultants. In this interview, Halligan offers some tips for optimizing search performance.

Listen to the podcast (19:12) (Right click and save to download)

Good Company

Posted on December 3, 2008 by Paul

From NowPublic: Kind of pleased to be lumped in with these other authors…

FAQ

Posted on December 3, 2008 by Paul

I’ve recently conducted a couple of online seminars about social media topics. The Q&A sessions at these events are almost always too short to get to the issues that are on people’s minds. So over the next few issues of this newsletter, I’ll run down a few of the best questions I didn’t get to. For a good, free webcast on this topic, check out the recent event sponsored by Listrak.

To subscribe to my weekly newsletter, just fill out the short form to the right.

Q: What is the best way to find blogs that are applicable to your business?

A: I have half-day seminars that address this question, but I’ll try to be succinct! First of all, remember that a blog is simply a way to display information. There is no industry standard definition of a blog, so the only way to identify one is by looking at it. Even the search engines that specialize in blog search don’t always get it right.

That said, you should start with search. The blog search tools I use are Google Blog Search, Technorati, IceRocket, Bloglines and Blogpulse. There are others, but I’m less familiar with them. Tip: Use advanced search; it will save you time and better refine your results.

When you find bloggers who look important to you, look in their blogrolls, which are lists of other bloggers that they pay attention to. Blogrolls can usually be found on the home page. This can save you a lot of time because the bloggers have already done the searching for you.

I also recommend searching social bookmarking sites like Delicious and Reddit. People share and comment upon favorite bookmarked pages there. Very often you’ll find sites on social bookmarking services that don’t show up prominently in search engines.

Q: Can you review the different social media for different communication goals?

A: Chapter 2 of my latest book, Secrets of Social Media Marketing, goes into quite a bit of detail about this, but here’s a synopsis:

Blogs: Easy, fast and flexible. Think of them as a podium. You’re the speaker and you can say your peace and invite commentary. Blogs are good for telling a story, but not very good for interaction or conversation.

Podcasts: These are basically audio blogs. They’re very good for communicating a message but have almost zero interactivity. Podcasts are very popular with busy executives who like the efficiency of being able to learn when they can’t read. They’re basically a one-way medium, however.

Video podcasts: Good for telling a story visually, but people tire of them quickly if the content isn’t compelling. Video podcasts are excellent vehicles for humor or offbeat content. They have almost no interactivity. Think of them as TV commercials that viewers can easily share with each other.

Social networks: These are great places to listen to ongoing conversations and to gain insight on customers and markets. You can also use them to pose general questions about you market. Don’t be too specific, though; social networks are public forums. Popular topics can yield insight into new product possibilities.

Private Communities (for example, Communispace and Passenger): These are next-generation focus groups. Usually run by firms that specialize in community management, the members are hand-selected, carefully nurtured and often bound by confidentiality agreements. Private communities are a great way to get advice from a lot of perspectives in a hurry. The downside: high cost

Microblogs (for example, Twitter and a host of others): Very fast, targeted and responsive, they’re a great way to ask questions and get quick answers or to promote a timely idea or service. Interactivity is excellent, but content is limited to short messages and it’s difficult to integrate multimedia.

Virtual worlds (for example, Second Life and others): These venues may be good for real-time events, but the software is still too clunky for most people to use. Virtual worlds fare best with techie audiences. They’re unique in that you can observe group dynamics, such as facial expressions and body language. They’re also good for events with a strong visual component.

Q: We run a lodging resort and saw negative comments someone had posted about their experience here on their blog. How do you turn a negative blogger into a positive blogger?

A: The tactics that work in the physical world also work online: invite feedback, listen, confirm what you heard and offer some kind of relief or explanation. In 80% to 90% of these situations, the naysayers can be neutralized or even turned into advocates with these tactics. Since bloggers can’t see their audience, they tend to write in strong terms, sort of like shouting into the wilderness. Once you personalize the interaction, they usually back down. Start by commenting on the blog and also by sending a private e-mail. It may even be worth picking up the phone. The more you humanize the interaction, the quicker you’ll bring them around.

Why Marketers Should Think Like Publishers

Posted on December 1, 2008 by Paul

Hubspot just posted an interview with me about Why Marketers Should ‘Think Like Publishers’. I think this is a crucial barrier for many marketers, who have been taught to think of themselves as media influencers. While that role is still important, today marketers can actually become the media if they so choose. But that requires that they think differently about how they present information and target their audiences. I have some thoughts about that in the interview.

Thanks to HubSpot for the opportunity to voice these views. Hubspot has pioneered the concept of “inbound marketing,” in which the goal is to present compelling content that attracts visitors to a business rather than spewing messages at people. The company’s business has tripled in the last year, indicating that there are still opportunities for growth in this challenging economy.

What J&J Could Have Done

Posted on November 19, 2008 by Paul

It wasn’t exactly a repeat of the 1982 poisoned Tylenol disaster, but Johnson & Johnson was struggling with a minor crisis this week after some vocal critics derided an edgy ad that implied that new moms could suffer back pain from carrying their infants. What can we learn from this episode and was J&J’s rapid apology really the best response?

The video had actually been online for more than six weeks before a few vocal moms on Twitter began trashing it this past weekend. The ad suggests, with tongue in cheek, that new moms who bond with their babies by carrying them in slings and chest packs may be inadvertently giving themselves back pain. The message wasn’t that moms shouldn’t bond with their children but that they should be ready for the consequences.

Seems innocuous enough, but a few vocal mommy bloggers didn’t see it that way. They thought the ad was insulting to mothers and they Twittered their criticism, calling for a boycott of Motrin. Bloggers picked up on the controversy and posted more than 100 opinions about the ad, J&J’s reaction and the media frenzy that surrounded it. There were even parody ads making fun of the whole affair. Forrester’s Josh Bernoff has a good account of the controversy with links to background material.

A chastened J&J pulled the ad off its website and issued an apology on its corporate blog. The promotion “was meant to engender sympathy and appreciation for all that parents do for their kids, but did so through an attempt at humor that missed the mark and many moms found offensive,” wrote Kathy Widmer, Vice President of Marketing at McNeil Consumer Healthcare.

J&J probably had no choice but to withdraw the ad, since the criticism was threatening to swamp any benefit the company had hoped to receive. But you also have to wonder if the company hurt itself by buckling to political correctness due to pressure from a minority of critics. After all, the ad hadn’t seemed to offend anyone in particular during the first six weeks it was posted. It was only after a few outraged mommy bloggers began drawing attention to it that the criticism spiraled out of control. At that point, it was too late for J&J to explain its motives. Its critics had taken control of the conversation and anything the company did would look defensive and stubborn.

The incident quickly created a lot of soul-searching on both sides. A backlash against #motrinmoms developed, with some people criticizing the critics for practicing mob rule. Even one of the most vocal motrinmoms, Jessica Gottlieb, suggested that J&J overreacted in pulling down the ad. In fact most of the recent blogger activity has focused more on untangling what happened than debating whether J&J was right or wrong.

Here’s my take. J&J’s choice of language in the ad was arrogant and dismissive. The ad talked down to mothers and was begging for a backlash. However, that wasn’t necessarily a reason not to run it. J&J could have mitigated the criticism, or even turned it to its advantage, by using social media channels more effectively:

The company could have invited a select group of mommy bloggers to preview the campaign privately and offer feedback. Even if the company had elected to go ahead without making changes, it would have been able to argue that it had sought guidance from its target group. And if the moms had blessed the video, it would have been the ultimate defense for J&J.
The ad could have been presented in a humorous context on the Motrin site. A message like, “We know your babies aren’t a fashion accessory, but since this is International Baby-Wearing Week, we thought you’d appreciate this good-natured parody,” would have gone a long way toward heading off criticism.
J&J could have listened. When a blogger tracked down the head of corporate communications for J&J’s ad agency for a comment on the firestorm on Sunday afternoon, the woman professed to know nothing about the controversy. This is despite the fact that more than 2,000 Twitter messages had already been posted. Take note: the blogosphere doesn’t take weekends off.
The company could have jumped into the Twitterstream and engaged. It didn’t, preferring to post a rather brief statement on the blog and issue a press release. Kathy Widmer should have responded on the critics’ own turf. Her message was constructive, but a little too disconnected.
J&J could have been more profuse in its apologies. A big donation to Babywearing International would have been a start. Or it could have taken Jessica Gottlieb’s advice and distributed baby slings in maternity awards around the country. I’m not sure I agree that branding them with the Motrin logo would have been such a good idea.

In today’s networked world, there is no excuse for a corporation to be surprised by negative response to a controversial message. Social networks and the blogosphere offer a cheap and speedy way to anticipate criticism. Ironically, J&J is one of only two pharmaceutical companies to host a corporate blog (Glaxo’s alliConnect is the only other one I’m familiar with). This company gets new media more than most of its peers, which makes this online ambush particularly ironic.

Interesting Reading, 11/13/08

Posted on November 13, 2008 by Paul

Traditional Media Hit Harder Than In Past Recessions

It used to be that three mainstream media channels – newspapers, radio and magazines – reliably predicted the economy’s decline into a recession and its recovery. That all changed about three years ago. Newspapers and magazines fell while the economy was rising and show no sign of anticipating a recovery. The results, writes Erik Sass:

While softening ad revenue anticipated the two previous economic downturns by about a year, in the most recent case, the slowdown for magazines, newspapers and radio began about three years before. In addition, the declines have already proven to be steeper in this pre-recession period than at the height of the previous ones. This suggests that all three traditional media, suffering from both secular and macroeconomic trends, are poised to suffer unprecedented losses in the economic downturn that is now unfolding.

Magazine Ad Pages Drop, Holiday Season Looks Grim

OMG, these numbers are terrible. At least we’re all in this together. Quoting:

On Oct. 28, the Conference Board announced that its consumer confidence index had plummeted to an all-time low of about 38 out of 100, a drop of over one-third from its level of 61.4 in September. The expectations index–which evaluates consumer sentiment about the future–went even lower, dropping from 61.5 to 35.5. Lynn Franco, director of the Conference Board’s research center, said the decline in the confidence index was “the lowest reading on record” since the index began tracking consumer attitudes in 1985

Macy’s said it will eliminate all magazine advertising in the first half of 2009, although its holiday marketing budget is still largely intact. Subsequently, The New York Times reported that Neiman’s specialty retail segment–including Neiman Marcus Stores and Bergdorf Goodman–saw sales tumble 27.6% in October, while Nordstrom is down 15.7%, and Target fell 4.8%.

Online Retailers Tightening Belts

Here’s one explanation for the story above. Quoting:

In a Shop.org holiday survey, 30% of online retail marketers said they were trimming marketing budgets, while 16% said they were reducing promotional spending.

45% of retailers said their budgets for free-shipping promotions were either significantly or somewhat higher compared to last year.

Forrester projects sales this holiday season will grow at the slowest rate ever, 12% vs. 21% a year ago.

45% of online consumers plan to buy less overall this holiday due to uncertainty about the economy, up from 20% in 2007.

A full 21% of consumers plan to shop primarily or entirely online this season, up from 19% last year. And 24% of total dollars spent this season are expected to be spent online, compared with 22% last year.

Marketing Executives Networking Group Survey Finds Social Media Practices Still in Infancy Stages

A survey last month and found that 67% of respondents consider themselves beginners at using social media for marketing purposes. Additionally, more than 87% of respondents are not regularly measuring the ROI of their social media marketing efforts. “

The Viral Video Marketing Dilemma

According to a recent FEED Company study, some 70% of ad-agency and media-buying executives plan to increase budgets for viral video marketing in 2009. In addition, 72% of ad-agency executives and media buyers say their clients are “interested” or “very interested” in using viral video as an integral part of their marketing campaigns.

“Favoriting,” commenting, linking to, embedding, social network amplification and other action all constitute a level of user attention that must somehow be accounted for and given appropriate value.

In addition, a marketing executive would also want to know how users were discovering their video, as well as how quickly the view counts were growing. The velocity of consumption and adoption is an important indicator as well as factors beyond the standard impression and stream data. For example, are bloggers talking about the video? Are users micro-blogging about the video?

The Vote: A Victory for Social Media, Too

BusinessWeek is all breathless about the energy that social networks brought to election day, and there are some good stories/examples here. However, also listen to NPR’s story on turnout levels for a more sobering view. Turnout was good for the US, but we still lag far behind other democracies.

paulgillin.com

Social Media and the Open Enterprise

Recommended Reading, 12/9/08

The Crime Economy

Vulnerability for Sale

What You Need to Know About Search

Good Company

Why Marketers Should Think Like Publishers