FreshNetworks Blog

As a social media agency, FreshNetworks aims to bring you the best posts in social media, online communities, marketing and customer engagement online. In case you missed them, find below our top five posts in July.

1. Social media monitoring review 2010 – download the final report

Over the first few months of 2010 we conducted an in-depth review of the leading social media monitoring tools in conjunction with our sister company, FreshMinds Research. We compared how Alterian, Brandwatch, Biz360, Neilsen Buzzmetrics, Radian6, Scoutlabs and Sysomos performed when monitoring conversations about global coffee brand Starbucks, analysing over 19,000 online conversations.

Many thousands of you have already read our posts about the review and downloaded the final whitepaper. If you haven’t yet, you can find a more detailed analysis of all these tools and more in our final report – Turning Conversations into Insights: a Comparison of Social Media Monitoring Tools.

2. 93% of the world is not on Facebook

In June, Facebook announced that it had reached 500 million users. This number is incredible, and perhaps even more impressive is the rate at which the social network is growing. Just five months ago they had 400 million users. But whatever we might think and however impressive these numbers are, Facebook is not an all-encompassing social media tool. It does not reach everybody and it is not always right for us to use. 500m is a large number but is only a small proportion of the online population. And if you take the whole global population (as we did more to make a point than for the accuracy of this statistic), 93% of the world is not on Facebook.

What does this mean? Well Facebook is often not the right place for brands to play – just because the numbers seem big doesn’t mean it is the most suited to help your social media strategy.

3. Social media does not just take place online

One of the biggest dangers with social media is to assume that it is only exists online. We see this in the way some brands approach social media – developing a social media strategy that is focused on the tools they are going to use rather than the business aims they are going to contribute to. We also see this in the way some brands allocate budgets for their social media work – associating it with their ecommerce or digital spend can mean that they need to work harder to make sure that social media efforts integrate with what is happening offline.

In truth, the rise of social media for marketing is less about technology and more about brands realising the benefits of closer engagement with customers and others. Social media tools provide a great way to do this but always remember to think how you can get this engagement offline too.

4. Why a museum is the UK’s top brand on Twitter

The Famecount dataset is, like much data, not perfect but it does highlight some surprises that we can all learn from. The brand it has as the top Twitter brand in the UK is one such surprise. Rather than the big FMCG, fashion and media firms they include in their brands ranking, the top UK brand on Twitter for them is a museum, @Tate.

There are some structural reasons why the Tate will attract followers. Twitter is great for events and experiences and a museum has lots of these. But the success and popularity of the Tate is about much more than this. It’s thanks to the way they use Twitter. In this post we look at the three simple characteristics of the way the Tate uses Twitter that all brands can learn from, and that contribute to their success.

5. Developing a European social media strategy

An issue for many brands who are developing a social media strategy is how they translate what they do in one country into other markets in which they operate. As a European social media agency, we are very used to helping clients take a US or UK strategy and then roll this out across the rest of Europe. And in doing this we have looked at organisations who have done this well. And those who have done it badly. The usual mistake is to assume that what works in one country can be taken and implemented in another country with no changes. More often than not this is not the case.

In this video post, Matt Rhodes talks about how to approach developing a European social media strategy and why what works in one country might not work in others.

Social Media Hub and Spoke

We’ve always had strong views about the best ways for companies to get value from social media.

We’ve battled against the consensus view: only fish where the fish are swimming. We’ve campaigned for recognition that people operate in different modes in different social spaces (online communities vs social networks) and as a result have always pushed the concept of an integrated social media Hub-and-Spoke model.

That’s why I was delighted to read Jeremiah Owyang’s latest post and see his excellent slide show about integrating social tools within your website.

Enjoy:

In online communities it is the content that matters most. People talk to and with each other not because they know each other or are already connected. Rather, because they share a similar interest, question, concern, ambition, query, challenge or other issue. People engage with each other on content and not on connections. You can meet and share ideas with strangers because you are both interested in the subject.

I love stories and storytelling, and in this environment they are all important. From the short stories on Twitter and other micro blogs, to the stories you share with people on message boards or the longer stories you might post on a blog or in a discussion. Social media is about stories that people share with each other.

This great presentation from Jenni Lloyd at NixonMcInnes highlights the importance of storytelling and of the storyteller in social media. Showing the role that stories play in the discussions that happen in social media and why they are critical to any brand to understand and to harness if they want to make the most of what social media has to offer them.

We’ve been extolling the virtues of word-of-mouth marketing over big-budget advertising for some time now, and when a firm of consultants like McKinsey start doing the same thing it really feels like our message is hitting home.

A recent article in McKinsey Quarterly looked at the impact of word-of-mouth-marketing for businesses and how companies can take better advantage of buzz.

The article shows how many marketers are spending millions of dollars on elaborate advertising campaigns when often what’s really needed to help influence consumers is a  “word-of-mouth recommendation from a trusted source” which “cuts through the noise” of traditional marketing methods.

This is nothing new to us here at FreshNetworks. We’ve always said that online communities and social networks amplify word-of-mouth and that the right message can resonate and expand, affecting brand perceptions and increasing sales. But what is interesting is the way the article looks at at the impact of word-of-mouth marketing – or, what McKinsey term, “word-of-mouth equity”.

Word-of-mouth equity is a brand’s power to generate messages that influence the consumer’s decision to purchase. In essence, this is the average sales impact of a brand message multiplied by the number of word-of-mouth messages.

When assessing the impact of word-of-mouth marketing the following factors need to be taken into account:

1. What’s being said

In order to influence consumer decisions a successful word-of-mouth message should address important products or service features. (While marketers tend to build campaigns around emotional positioning, consumers actually tend to talk—and generate buzz—about functional messages).

2. The identity of the person who sends the message

The word-of-mouth receiver must trust the sender and believe that they really know the product or service in question. Otherwise that message will not trusted or spread any further.

3. The environment where the message is circulated.

Messages passed within tight, trusted networks have less reach but a greater impact than those circulated through dispersed communities (Think about the difference in hearing an opinion from someone you know and trust, to someone you’ve just met on the street), so there’s usually a high correlation between people whose opinions are trusted and the members of networks that are most valued.

If businesses take these key driving forces into account when pursuing excellence in word-of-mouth marketing, the potential benefits are huge. Yet many marketers avoid actively using word-of-mouth as it’s seen as an immature and somewhat unsophisticated approach to marketing.

As a starting point, marketers should look at word-of-mouth through social media. Social media monitoring can be used to track how the message is being spread online as well as the impact it is having on your brand or business. Marketers should also engage in social networks and online communities where they can help guide and stimulate word-of-mouth by interacting with customers and people who are interested in their business or services.  Any negativity or derogatory comments can be addressed and managed in an appropriate and timely manner and, more importantly, any good comments and recommendations will be broadcast to the entire online universe. Now that’s really spreading the word.

The McKinsey article is our Required Reading at FreshNetworks this week, and you can read the full article online.

YouTube is five. It was on April 23rd 2005 that the first video was posted on YouTube. Now it has become a ubiquitous social media tool allowing people to share videos with each other, to comment on them and to sort and rate videos they enjoy. But why would people upload videos in the first place and what sort of videos do they upload. As YouTube turns five it is worth reexamining the nature of YouTube videos and the anthropology that is going on here.

Michael Wesch, Assistant Professor of Cultural Anthropology at Kansas State University and head of the Digital Ethnography Working Group, presents a great view of YouTube from an anthropological perspective. From exploring the fact that more content has been added to YouTube in the past six months than in a lifetime of network TV in the US, through a catagorisation of YouTube videos, this is a really informative video. It’s long (just shy of an hour) but I think time spent watching this is time well spent. Michael is a captivating speaker and manages to express things we think we know in different ways. From social media to online communities and social networks; you’ll learn something new and understand better why people are motivated to take part and contribute online.

Can’t make it to the launch of our Social Media Monitoring Review 2010? We’ll soon be posting the findings from the research into seven of the leading social media monitoring tools – Alterian, Brandwatch, Biz360, Neilsen Buzzmetrics, Radian6, Scoutlabs and Sysomos. In the meantime you can follow the discussions and debates from the breakfast launch below. Join in and let us know your experiences and thoughts on social media monitoring and the tools we are investigating.

So what are social media monitoring tools?

In a nutshell, social media monitoring tools pretty much do what they say on the tin – they monitor online conversations taking place through social media.  They track anything that’s being said about your business or your brand on blogs, forums, Twitter and other social spaces. Each tool is different, varying in complexity and in the way they gather and process the information, as we will show you over the next few weeks.

Our sister company, FreshMinds Research, has been using social media tools to generate customer insights for years. We usually work with FreshMinds Research to conduct social media audits or monitoring when establishing a  social media strategy for clients. So over the next few weeks you’ll benefit from the unique findings of a research company working in collaboration with a social media agency.

We’ll start with the basics and work through our research step-by-step. If at any time you want us to explore a certain aspect in more detail, please let us know. Our next post will explore the basics of social media monitoring.

Read the other posts from our social media monitoring review 2010.

Given that we’re a social media agency, we’re excited about social media and think it could have a hugely positive impact on brands, their marketing and communications, the insight they get, the way in which they deal with customer service and the many other benefits it can bring to an organisation and to the way it interacts with and engages customers. They are right to be excited, the opportunities are great but brands should not hide from the fact that getting an engaging social media presence takes proper thought, some effort and may take time to embed.

When you are getting started in social media it is important to think carefully about what you as a business are looking to achieve and drive your activities from this, from a business-led social media strategy. Jumping straight to tools and hoping they will work for you often causes problems. Facebook is not always the answer and what works for one brand will not necessarily work for another brand. You need to think about what you want to achieve and choose tools that will help you to achieve this.

A second consideration should be what is possible with different tools and how you can use them in a way that truly benefits you. There is a lot said about social media and there can be a tendency to put up a Facebook Page to ‘do social media’ (or worse ‘to drive traffic and increase sales’). Working with any social media tool, just as with any marketing or communications tool needs proper thought. And with social media people often think you can put things up and wait for consumers to start ‘engaging’ with you. This almost always won’t happen. It is one of the myths of social media. You need to work hard to get engagement going, and have thought carefully first about what you are doing and why.

This great presentation from Bart De Waele of Belgium agency Netlash highlights some of these myths, or as he says the seven “harsh realities” of social media. Its is a great summary of some of the misconceptions people have of social media and some of the education and training that is often needed in a brand when they start thinking about why they should be engaging online and which tools to use. These seven myths are timely for everybody to consider:

1. Nobody reads your blog unless the content is valuable and relevant, you have conversations and you build loyalty over time
2. Your Twitterstream is boring unless you make it interesting with content that is relevant to your target audience and have the right mix of personality and conversation
3. Your Facebook Fan Page will be empty unless you have valuable content, interaction and conversation there
4. Your new social networking site will not be used unless you have valuable and relevant content, give people a reason to engage and build audience diligently with good community management
5. Your great idea will not go viral unless your content is engaging and valuable and people really want to engage with you
6. Users will not generate content unless you make it easy, ensure there is something in it for users who are generating the content and facilitate this with good community management
7. Your employees will not help unless you enthuse, train, encourage and support them

These are harsh realities and the myths that often exist about social media and how it can benefit brands and organisations. Overall they show that tools and technology are not the most important thing when any brand uses social media. Its your content and the people who manage and grow your activity who count. Social media is a social activity and it is having a good and thought-through strategy, and the people to launch and build your engagement online that will make a real difference.

Bart’s presentation is below and is also Required Reading this week at FreshNetworks.

I’m a podcast fanatic. I listen in the shower, on my cycle to work (sorry mum, I know that’s not safe) and when swimming (using the excellent Speedo Aquabeat). I have tried hundreds of different podcasts to find some that are consistently good. I thought you might like to know my favourites I’d love to hear about yours.

Social Media Podcasts

1. Jaffe Juice and JJTV – author of “Join the Conversation”, Joseph Jaffe is a coherent and straight-forward social media commentator. Some of his podcasts are conversations with other industry leaders which can take occasionally random, but generally interesting paths.
2. For Immediate Release - by Neville Hobson and Shel Holtz. Recorded in the US and UK, this podcast provides a frequent deep dive into weekly events in the PR-focussed social web. I enjoy listening, but always do so at double speed – it’s very long and I feel they can spend more time on issues than necessary.
3. CMO 2.0 Conversations – Francois does an excellent job of securing some superb client-side interviews for these podcasts.  He has a very relaxed style that gets people talking, but sometimes I wish he’d push them harder for more detail or hold them to account on some of their statements

Marketing and Digital Podcasts

1. 3 Minute Ad Age – short and snappy. Often a video from a marketing conference. Wide subject area so it can be hit-and-miss, but great for filling that few minutes of a journey.
2. HubSpot TV – a digital marketing weekly TV show from the lovely people at Hubspot. The show is full of great guests and bristling with sexual tension. I often think I’d like to listen in double time, but being a video, I have not worked out how to do that yet.
3. DishyMix – I’ve been listening to Susan Bratton since meeting her during the Travelling Geeks trip to the UK. She’s an excellent interviewer – never lets her subjects off the hook with wooly statements. Some of the topics veer off into self-help and I do find myself having to fast through the adverts, but in general she gets strong guests and uncovers interesting insights.
4. NMA podcast – now only monthly. A useful overview of what’s been going on in the UK digital marketing scene

Other good podcasts

1. David Maister’s Business Masterclass – everything you ever wanted to know about running a successful services business. I always listen to Maister in the week leading up to my board meetings because he gets me thinking. It’s a bit like having a virtual (and free) non-exec.
2. More or Less, Behind the Stats – Before FreshNetworks I started the research consultancy, FreshMinds. I suspect it’s my background in research that makes this my favourite podcast. Tim Harford, FT journalist and author of The Undercover Economist, brings an indepth analysis of every-day statisitcs and seeks to uncover dodgy analysis.
3. The Bottom Line with Evan Davis is another BBC Radio4 podcast. Some excellent business guests (usually UK CEOs) and gentle probing from Evan make this a good listen. For some reason I find this is always where  start with when going for a run in the park. I particulary enjoyed the recent argument about PR
4. Business Week – Behind the Cover Story – This is the best Business Week podcast. There is also a good innovation one and the Welch Way with Jack Welch. Sadly John Byrne, Executive Editor,  seems to have handed over his host role to others in the editorial team. That’s a shame as he had a wonderful style and eclectic music choice. But it remains a good topical podcast.
5. Economist podcasts – I never find time to listen to all of these. A great shame as The Economist’s journalists deliver sharp insight and a beautiful turn of phrase at every opportunity. Recently I have enjoying their new book of the month episodes.
6. Great Lives – Matthew Paris piecing together some womderful biographies of famous folk with celebrity guests
7. Harvard Business Ideacast – useful overviews of the books that HBR authors are about to publish.
8. TED talks – no list would be complete with out mentioning these amazing set of downloads. some of the world’s most interesting (and random) speakers on topics that range from global finance to microbiology. Ken Robinson is a must-listen.
9. Listen to Lucy – Lucy Kellaway of the FT taking an entertaining swipe at corporate bullshit. If you’re after something more heavy-hitting, Martin Wolf the FTs Chief Economics Commentator, is excellent. But you really have to concentrate. Sadly I’ve had to stop listening whilst cycling as I almost crashed twice trying to decipher his arguments.

That’s my listening list. What’s on yours?

A useful survey from global PR firm Burson-Marsteller this week looks at the ways in which the Global Fortune 100 companies are using social media. The tools they are using and how they are developing a social media strategy. The survey looked at 100 firms in the US, Europe, Asia-Pacific and Latin America and examined how these firms are using social media.

The summary presentation is below, and is Required Reading here at FreshNetworks this week, and the full report can be downloaded here.

The survey highlights the ways in which these firms are using social media and is also insightful in terms of the tools and platforms (Twitter, Facebook, YouTube or a corporate blog) they are using. It is interesting to compare the use of the different tools – Twitter is the most popular and blogging the least. And to compare how behaviour differs by regions – particularly the differences between Asia-Pacific and the US and Europe.

Summary findings

• 79% of firms are using at least one of these social media platforms – this figure is higher in Europe (88%) and lowest in Asia-Pacific (50%) – and 20% of them are using all four
• The most popular platform is Twitter, with 65% of firms using this. Facebook and YouTube are next (54% and 50% respectively) with corporate blogs the least used (just 33% of firms surveyed)
• For companies that use Twitter the average number of accounts they are running is 4.2, with some companies (notably AT&T and Nokia) having a large number of accounts – 15 people in the case of these two firms
• For those companies who are engaging, their activity levels are mixed. 82% of those using Twitter have tweeted within the last week, whilst only 36% of those with blogs have added a new post in the last week

Twitter

• 65% of Fortune Global 100 firms have a Twitter account. In Europe and the US this figure is over 70%; in Asia-Pacific only 40% of firms have an account
• Firms are tweeting and average of 25-30 times per week
• Only 38% of companies are using Twitter actively to respond to other’s comments and questions
• In general companies are being followed by many more people than follow them. Typically they have about 1,500 followers and are following about 700 people

Facebook

• Facebook Fan pages are less popular that Twitter, with 54% of Fortune Global 100 firms having a page. They are significantly more popular in the US where 69% of fims have a Facebook Fan page
• Only 59% of companeis with a Fan page are actively using it with an average of only 3.8 posts per week
• The number of fans is higher than Twitter followers, with an average of 41,000 for firms with a Facebook Fan page

YouTube

• Half of all Fortune Global 100 firms have a YouTube Channel. Again firms in the US are more likely to have a Channel and those in Latin America least likely (59% and 33% respectively)
• 68% of firms with a YouTube channel are using it actively, with an average of 10 new videos each month
• Typically, firms are getting 40,000 views of their videos each month and over half of all Channels have comments

Corporate Blogs

• Whilst only a third of Fortune Global 100 firms have a corporate blog, these figures are much higher in Asia-Pacific (50%) and low in Europe (25%)
• The average number of posts per month is 7 (but again much higher in Asia-Pacific: 14), and almost three-quarters of blogs have comments

The Matthew Effect dates from the 1960s. It is the theory, first expressed by sociologist Robert K. Merton, that those who possess power and economic or social capital can leverage those resources to gain more power or capital. Put simply: the rich get richer and the poor get poorer. Or as it is expressed in the Gospel of St Matthew, from which the effect takes its name:

For unto every one that hath shall be given, and he shall have abundance: but from him that hath not shall be taken away even that which he hath.

So what does this have to do with social media? Well this great presentation and video from Torsten Henning Hensel explores the power of linking online and how the Matthew Effect can help us to understand how things become viral and spread online and in social media. As Hensel explains:

Thanks to the Matthew Effect, the already famous get more famous, the often quoted get more and more quoted…

It is easy to see how this transfers into social media – the more something is spread the more it will be spread even further by word of mouth. Imagine two pieces of content of equal quality, interest or importance. It is the content that has been linked to, retweeted, forwarded or otherwise referred to that is more likely to become viral. For Hensel, “Social media is a linking machine” and the more links you can get to a piece of content the more likely that content is to become viral when compared to a similar piece.

This is an interesting theory and a great attempt to deconstruct and to understand what makes something go viral. The presentation is Required Reading this week at FreshNetworks as it reminds us all of the importance of links.