Today, salesforce.com announced the intent to acquire Radian6, a leader in the social media monitoring space. You can find the details of the definitive agreement here. What I want to focus on is what this acquisition means to customer service.
First, the social listening vendor landscape is crowded and ripe for consolidation. Salesforce.com has just picked off the best vendor in this category of vendors, according to a recent Forrester Wave™ report. Radian6 helps salesforce.com extend its core customer service capabilities to the social channels like Facebook and Twitter, which are becoming increasingly important for companies looking to offer a differentiated customer service experience. This is not the first acquisition of this type; however, it is the most significant one, based on salesforce.com's market share and customer base. Expect to see similar acquisitions by CRM and customer service vendors in the future.
Ironically, while the CRM pundit hysteria about “social CRM” seems to be abating a little bit, many concrete use-cases are emerging that demonstrate the business value of the social web phenomenon. I just published a new report that defines the key characteristics of social CRM and provides examples of how Social Computing technologies expand the possibilities for delivering customer and company value through the key business processes of targeting, acquisition, retention, understanding, and collaboration. Forrester's annual Groundswell Awards provide over 130 examples of how organizations use Social Computing to engage and collaborate with customers in new ways.
Here are some highlights:
Customer targeting. Social media channels such as Twitter and YouTube and communities such as Facebook and Groupon offer new ways to communicate with customers through an Internet community context. And we now see the rising use of community-based market research techniques. For example, Godiva Chocolatier created a private, invitation-only community so Godiva could better understand its chocolate consumers. The community led Godiva to create an affordable product line, individually wrapped chocolates called Gems, and sell them in a new channel — grocery and drug stores. Gems was the biggest global launch ever for Godiva, ringing up $35 million in its first year.