Let’s put it this way: social media and security don’t work together very well today. Marketing professionals who see social media as a vital communication channel view security as a nuisance, whereas Security pros view services like Facebook and Twitter as trivial pastimes that expose the business to enormous risk. The problem is, when it comes to social media, these two facets of the organization need to come to terms with each other – and this was clearly on display Tuesday when the Dow Jones briefly plummeted over 100 points due to false Tweets from AP’s hacked Twitter accounts that indicated President Obama had been injured by explosions at the White House.
This recent breach signifies two things: 1) the potentially damaging impact of social media is real and growing, and 2) companies today aren’t doing enough to mitigate the risks.
As social media becomes a legitimate source of news and information, the implications for inaccurate or inappropriate behavior continue to grow. Damaging or disparaging comments on Twitter (whether intended or not), can have a real impact on your business and the way customers view your company and brand. Companies need to do more to protect their organization from social media risk because:
I am probably one of the few individuals who lives in the San Francisco Bay Area and only heads to Los Angeles during Forrester's annual Marketing Leadership Forum. I recently had the opportunity to visit Los Angeles for the second time and, just like last year, did not venture too far from my hotel. I have yet to experience the true LA "scene" or even get a glimpse of an actor, musician or sports star! But the highlight of my annual trip to LA is having the opportunity to completely immerse myself in various discussions with fellow marketers (yes, I still consider myself a marketer at heart!). Who needs to see Ozzy Osbourne'sJessica Simpson's mansion in Beverly Hills when I get to mingle with the real "stars" who are the clients, attendees, vendors and Forrester employees who participate in the Marketing Leadership Forum with such passion?
“How can you reinvent your brand to appeal to younger consumers?” This is the million-dollar question, and the contestant sitting in the hot seat is you. But don’t panic; why not use a lifeline? Ask the audience! That was the approach car manufacturer Buick recently took when designing the 2013 Encore luxury model.
Striving to portray a more fun, contemporary side of the established auto brand and win loyalty among younger consumers, Buick promoted its "Pinterest to Dashboard" contest by calling on participants to create Pinterest boards that spoke to personal styles and passions. The Buick design team selected a winning collection to become the inspiration for the interior and exterior designs of the automobile. While this new look is not yet available on the market, Buick managed to connect with younger consumers in an exciting and relevant way. Through Pinterest, the company engaged 10 extremely influential bloggers (the winner of the competition has nearly 4 million Pinterest followers), dozens of lifestyle editors from media and publication companies, and millions of Pinterest users whose online responses indicated the winning pinboard.
Forrester’s Consumer Technographics® data suggests that Buick certainly chose the right platform to reach its desired market. Launched only three years ago, Pinterest is currently the third-largest social media platform in the US behind Facebook and Twitter. Of those 5.5 million US online adults who use Pinterest to research products for purchase, 65% are younger than 35 and 33% have an average household income of more than $100,000.
Stephanie Balaouras and I published a report last week on the current state of crisis communications, and one thing is clear: most companies are not ready to invoke their crisis communications plan.
We analyzed data from our recent 2012 Forrester/Disaster Recovery Journal (DRJ) joint online study, which surveyed 115 business continuity decision-makers about their organizations’ crisis communications strategies. The results were disconcerting. Despite roughly half of organizations having invoked their business continuity plan in the past five years, only 15% said their crisis communication efforts were very effective.
Recent events such as Hurricane Sandy and the Sandy Hook school shooting illustrate the damaging, and often tragic, impact crises can have on organizations and the broader community. In fact, Hurricane Sandy was the second costliest in US history. Yet, most organizations are not prepared to manage an effective response to such a crisis. We found that crisis communication programs routinely underperform because:
Many organizations today get caught up in what I call the “social media binary,” where there are only two options to social media control: 1) Allow unrestricted access to social networks, and potentially expose the company to myriad security, regulatory, reputational, and other risks, or 2) set and enforce policy that completely forbids the use of social media while at work, and forgo potentially lucrative business opportunities for the firm.
. . . Ok, maybe not so "live" because it is now late in the evening on the day of the conference, but I'd like to share a few insights I gathered about the state of business-to-business (B2B) digital marketing today.
BtoB magazine's one-day event features frank conversational discussion from top B2B brands (mostly tech ones like Cisco Systems, Intel, SAP, VMware, Tellabs, and IBM) in moderated panel format. Digital lead generation/pipeline augmentation, social selling, agency trends, building B2B community, developing engaging content, and mobile marketing filled out the agenda.
This was my second year at the event, and the highlight again was the social media awards. Featuring 10 categories ranging from integrated campaign, to Twitter, mobile, and Pinterest, BtoB singles out top performers in social marketing. It also unveils tech and nontech people's-choice awards as voted on by subscribers.
You can find the full list here, and I hope BtoB will publish the scripted descriptions in a future edition because all honorees were interesting and unique and offer B2B marketers a look into how to use social to advance business. Heartfelt congratulations to all award winners — well deserved!
Looking over the list, here are a few observations you can take away about the state of social marketing in B2B:
On February 28, 2013, India (as part of its 2013-2014 budget) announced that it would increase the excise duty on mobile phones costing more than $36 to 6%, up from the current level of 1%. Forrester believes that this increase will not affect the mobile industry in India very much because:
Sub-$100 smartphones will trigger new kinds of competition in the market. As high-end mobile phones get more expensive, Forrester predicts that smartphones costing less than $100 will be in much greater demand. Moreover, handset manufacturers will absorb a large portion of the price increase to sustain their sales.
Explosive mobile Internet growth. With increasing urbanization and improving per capita income, more people will begin to use the Internet, and the use of smartphones will rise quickly. We forecast that the mobile Internet user base in India will grow by more than 30% year-on-year over the next five years.
Addicted social media youngsters. With more than 61 million Facebook users, India ranks as Facebook’s third-largest audience in the world after the US and Brazil. Half of these users are between 18 and 24 years of age, and the majority of them use their mobile phones to connect to the world.
Rapid eCommerce growth complementing the mobile sector. Forrester estimates that eCommerce revenues in India will increase more than fivefold by 2016, jumping from US$1.6 billion in 2012 to US$8.8 billion in 2016. Mobile-friendly sites from various players and eCommerce website aggregators will help accelerate mobile Internet adoption.
I am excited to announce that after more than two decades as an executive and leader in digital marketing, eCommerce, social media marketing, and business technology, I have joined Forrester as a Vice President, Principal Analyst serving CMOs. One of the main reasons I decided to join Forrester was that I had been a client for more than nine years and had great experiences using Forrester reports and analyst interactions to achieve my business goals and objectives at Newell Rubbermaid and US Department of the Treasury, IRS. My relationship with Forrester goes even further back, as I briefed Forrester on my Intel and Dell products and technologies back in the 1990s. Also, it turned out that I knew more people at Forrester than any other firm . . . so as the old saying goes, I liked and respected the company so much as a client that I decided to join.
Another reason I joined Forrester, and the most important one, is to help CMOs and senior marketing executives solve problems in marketing to today’s consumers. In a world of digital disruption, ultra-connected consumers, and an ever-evolving customer life cycle, the challenge and complexity of marketing to consumers has never been greater. I believe that to overcome these challenges, CMOs are going to have to accelerate their innovation efforts and become digital disruptors in their target markets to succeed.
With that in mind, here are some questions I will be working on as I research CMO-led marketing innovation:
How do CMOs define marketing innovation, and what role are they playing in driving it?
How do CMOs drive innovation in different organizational cultures, ranging from experimental to risk-averse?
What models, processes, and frameworks are CMOs using to drive marketing innovation?
What are CMOs budgeting for innovation now, and how much do they expect to grow their innovation budget in the future?
Facebook made headlines last Friday with its announcement that it had been the victim of a sophisticated security attack. All major news publications picked up the story, citing widespread concern about the implications of the breach.
The breach itself, however, was largely a nonevent from a security standpoint.
Facebook identified the security breach before it infiltrated too deeply into company systems, remediated all compromised machines, informed law enforcement, and reported the Java exploit to its parent owner Oracle – acting quickly and appropriately. Most importantly, Facebook made it clear that the breach did not expose any of its users’ data.
Two of the most common questions we receive from marketers are “How do I know if it’s worth having a community?” and “How can I prove to my executives that my community is worth their investment?” To get the initial funding and keep support coming for an owner community — one which you operate and fully brand on your own website — you must be able to clearly measure and communicate the value up to your CMO and CFO. That means capturing the effect it will have on your company’s profitability as a part of your overall marketing investments.
As a part of a new research report I just published today with Shaheen Parks, we built upon Forrester’s Total Economic Impact™ (TEI) methodology to provide you with a reference framework to estimate the ROI of your community.
We suggest that you focus on these three qualitative benefits, which form the core of our framework:
New lead generation: How many new leads or prospects come to your company each year because of your community, multiplied by your average deal size and overall lead close rate.
Increase in lead close or conversion rate: The effect your community has on your overall lead close rate, multiplied by your average deal size.
Deflection of support calls: How many potential support calls get answered by the community, multiplied by your average cost per call.