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.

One sector that is really embracing social media is the travel and leisure industry. And it is an industry well suited to social media and online communities – people share an experience or situation and this provides a reason for them to connect and engage with each other (and with a brand). We have seen some great uses commercially from companies like Marriott and InterContinental and Expedia but social media really works well in the travel and leisure industry when it is used in real time. In the latest FreshNetworks Video, Matt Rhodes describes three areas where this works well:

1. For customer service – Social media is a great customer service tool – not only does it allow you to connect with and engage customers online, but it also means that when you solve one query you do so publicly for all to see and for all to share. This winter I was skiing in the French Alps this winter when snow back in the UK  caused a halt to most of the flights leaving Geneva for London. I knew that Easyjet were using Twitter, but rather than tweet them myself to ask if my flight was going I saw that somebody else already asked the question and I could see the response. Saving me from having to ask the question and Easyjet the hassle of having to respond to the same question multiple times.
2. For real time experience capture – Social media is quick and easy making it the perfect media for allowing people to express the way they are feeling in the moment, which does not always come through if you are writing a review after the experience has finished.
3. For real time information sharing – Holidays and stays don’t always got to plan and things change: the weather, the times, the traffic etc and so social media is great for being able to transmit information in real time.

See our video post on Social media in the travel and leisure industry below.

We’re full of excitement as our co-founder, Caroline Plumb, is off to India with David Cameron as part of a UK Trade and Investment (UKTI) delegation to promote UK exports and investment in India.

As Caroline will be representing a social media agency, she will be promoting the use of  social media technology for businesses – an area  in which the Indian business community seem to have already made good headway.

Caroline’s invitation to join David Cameron’s delegation to India is an exciting prospect given that India has topped a recent survey about businesses who use social media for new customer acquisition.

The survey, commissioned by workplace solutions provider Regus, revealed that 40% of businesses around the world have successfully leveraged social media for new business development.

India topped the chart for the country with the highest percentage of companies using social media for new customer acquisition, followed by Mexico and then Spain. Rather surprisingly, only 35% of US companies and 34% of Canadian companies have successfully leveraged social media to develop new business:

• India – 52%
• Mexico – 50%
• Spain – 50%
• Netherlands – 48%
• China -  44%
• South Africa – 43%
• Germany – 41%
• Australia – 41%
• USA – 35%
• Canada – 34%

With 67% of companies in India also using professional social networking to source information about new customers, clients or competitors, compared to the global average of 54%, it seems that Indian businesses are leading the way in implementing a social media strategy that successfully helps with new business development.

Business leaders in each country were also asked whether they believed that social media was an effective enough marketing channel to be awarded its own portion of marketing budget. More than a quarter of businesses worldwide confirmed they have set aside a proportion of marketing budget specifically devoted to social media activities, proving the benefits of social media for commercial organisations.

More about David Cameron’s India trade mission

David Cameron will be accompanied to India by six Cabinet members and around 60 CEOs, including Michael Queen of 3i, Philip Dilley of ARUP, Andrew Moss of Aviva, John Varley of Barclays,  John Griffith-Jones of KPMG, Graham Mackay of SABMillar and Vittorio Colao of Vodafone, as well as our very own Caroline. You can see the full list at the link below.

Foreign Secretary William Hague, Chancellor George Osborne and  Business Secretary Vince Cable are also among the British government representatives travelling to India.

Read more about David Cameron’s UKTI delegation to India.

The Social Network

Facebook will today announce that it has 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. The site’s user base has grown by 25% in less than half a year. Incredible stuff.

The problem is that huge numbers like this can stop us from examining them in more detail and acknowledging what they don’t tell us as much as what they do. It is true that Facebook usage is growing at an incredible rate and large numbers of people use the social network. But let’s not get carried away by this. In some countries, Facebook is not the most popular social network – in the Netherlands it is Hyves, in Brazil Orkut and in Russia Vkontakte. In other countries social networks are not yet the main way that people interact online – they use message boards, forums, blogs and other social media tools. And, of course, in other countries still they use of social networks is very low.

There are many comparisons made about the user base of Facebook – from how big Facebook would be as a country to how many people are joining each day. But a statistic that isn’t often cited is this:

• 93% of the world’s population is not on Facebook*

This is, of course, a slightly unhelpful statistic – it considers the whole world population whereas it might be more interesting to understand what percentage of the online population, or perhaps the population who use social media are users of Facebook. It also belies the fact that in some countries Facebook usage is very high indeed. But it is no more unhelpful than many of the statistics and comparisons being made. It does, however, shine the light on the fact that, 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 right for us to use.

Brands thinking of their social media strategy can all too easily think that Facebook is the answer. And all too often it isn’t. Everybody isn’t on Facebook and Facebook isn’t the right place for all brands to play. In fact there are often many other more suitable places. Big numbers are impressive, but they shouldn’t blind us from a sensible, business aims-led approach to using social media.

* The 93% figure uses data on the current world population from the US Census Bureau – this will no doubt have inaccuracies, but it’s more about illustrating a point than mathematical accuracy this time around!

Habbo, the world’s largest teenage online community, has recently celebrated its tenth birthday, proving that sustainable success can be achieved with online communities.

The first version of Habbo was rolled out in August 2000, followed by an English-language beta version in January 2001. Ten years on, Habbo (previously known as “Habbo Hotel”) has a staggering 176 million registered users, with 15 million unique visitors per month.  In the UK alone it reaches 15% of the total teenage audience and receives more than 1.1 million unique visitors per month.

So what lies behind Habbo’s success?

Timo Soininen, the Chief Executive of Habbo’s parent company, Sulake, has said that Habbo’s continuing success is down to keeping “the service fresh and relevant by frequently introducing new features and gaming elements, arranging engaging campaigns, enriching the virtual economy and payment models and nurturing the community.”

What Soininen seems to be saying is that the Habbo community continues to thrive because of careful, considered online community management and innovative content. Keeping up with cutting edge social and digital trends helps to keep the young audience engaged.

It’s likely that Habbo also benefits from Sulake’s expertise, as the social entertainment company often carry out in-depth market research, listening and analysis to gain insights into the the needs of its audience and to understand the type of material they will engage with. This is probably also the reason why social gaming and social entertainment is a key driver in shaping and developing the community.

Some of Habbo’s success can also be attributed to the intelligent joint marketing activities it has carried out with teen-friendly consumer brands like Cheetos, or, more recently Capri-Sun, where on-pack advertising encourages consumers to visit Habbo.co.uk where they can access ‘The Capri Sun Summer Theme Park’ branded room.

Habbo has also entered partnerships with media brands such as MTV and Myspace, helping to promote the site amongst its key target audience. And with Habbo’s own annual survey of 49,000 teenage users proving the claim that 32% of teenagers would never pay for content online, the fact that membership to Habbo is free is an additional way of enticing teenagers to sign up.

And the community continues to grow as these statistics from June 2010 show:

• 172 million avatars created
• 3 million new characters created each month
• 120 million user-created rooms
• Average user session lasts 42 minutes

Read more of our Social Media Case Studies

Image by Ivan Walsh via Flickr

As part of the social media agency work we’re doing in the education sector, I recently ran a brainstorming session with a group of 11-15 year old students and their teachers. We were exploring and testing some ideas we have been working on, but also looking at their use of social media and social networks. These kind of sessions are critical when planning any use of social media as a brand. You need to think not as yourselves but through the eyes of the people we are trying to engage in social media otherwise there is a danger that you will develop a solution for the people planning it and not the people you want to use it.

With these 11-15 year olds this is particularly important. We cannot, and must not, translate our own use of social media and the ways we would like to be engaged online to the young people we are trying to target. They use social media very differently and will react very differently to brands online. The same is, of course, true of any consumer base – it is most likely the case that your target audience is not fairly reflected by the people you have working for you. So thinking about your audience and considering your social media strategy through their eyes is critical. You can, of course, also always learn a lot by spending time with users.

I certainly learned a lot from my time with these 11-15 year olds and thought I’d share some of these observations here. I should make a huge caveat that these observations are certainly not representative of all students of that age, and shouldn’t be taken as such. But they shine a light on how this age range is using social media and prompts further questions and reflections for us all about these social media tools and how we all use them.

1. Facebook is a personal organiser and a bragging tool

For the group we talked to, Facebook was the ultimate personal organiser. It is here that they collected the friends they met at school, at clubs outside school, on holiday or people from their family. They used Facebook as a way to keep in touch with these people, to find out what they were doing and, for many, as the main way they communicated with them. Facebook chat was used by them much more than the likes of MSN or text messages, and Facebook messages were used much more than email. Facebook was described as the place where they kept their friends and a means of talking to them.

But once they had these groups of friends, they liked to use Facebook as a bragging tool and a way of showing the affinity they had with these friends. They talked about creating groups for something they were interested in and then aiming to get all their friends to join – not to interact with each other in the group, but so that their group would get more ‘Likes’ than similar ones. They were using Facebook to amass and to showcase their social status. And their was a symbiotic nature to this – the friends who were Liking these groups were doing so with the aim of getting more pages and groups on their profile than their friends. This social status (or ‘bragging’) works both ways for these young people – those who create groups want lots of people to ‘Like’ them, and those who ‘Like’ groups want to get more things they like as badges on their profile.

These observations offer important learnings for brands looking to engage young people in Facebook. They may have lots of friends but they may not be ‘Liking’ your brand page because they want to interact with you but because they want to show their friends just how many things they ‘Like’. The key is not jut to create pages they can passively ‘Like’ but to work with their desire to gain more friends and to show their social status online as a way to engage them.

2. YouTube is for music

YouTube is, for many, their second most used search engine after Google. They use it to find content and to share content with people they know, and people they don’t know but with whom they share interests. It is a vibrant social media tool and a growing community.

There are a lot of video creators and video bloggers out there, and a lot of them are young, as a quick search of videos will show you, but for the 11-15 year olds we had in a room, YouTube was for one thing. Music. And particularly to view, and to share music videos with their friends at a time that suited them, rather than waiting for the video to be shown on MTV or another music channel. They used it as a way for them to control their own access to professional content, rather than as a way to find and connect with others online though user-generated content.

For brands the message here is clear – these young people are looking for quality content on YouTube and using as a way for them to control and manage their own viewing of it. They will share this content with all their friends on Facebook in a way that will benefit your own brand but are less likely to create content themselves or to use the videos themselves as a mechanism to talk to and to interact with peers.

3. They are not looking for reward

The final observation came when we talked about motivation and reward for engaging online. We were looking particularly at ways in which we could motivate them to take part in ongoing engagement with an issue we were working on. And one finding came through very clearly. These young people were not looking to be rewarded. At least not in the way some brands thought they might be. They didn’t want prizes, they didn’t want ‘goodie bags’ and in many cases they would not be interested in product from the brand themselves. Their needs were simple, and at the same time complex. They wanted reward that played to their existing networks and use of social media.

They were interested in recognition and things that they could use to increase their social status on sites such as Facebook. They wanted things to take away their – badges, content and other things that they could post to their wall to show what they were involved in. They wanted activities that encouraged them to create content or groups that could be ‘Liked’ on Facebook, or they wanted points that they could use to compare themselves against other people and show their friends.

Social networks online are fundamentally different to our offline social networks – our friends, acquaintances, colleagues and others. Offline we have distinct groups of people that we interact with in different ways, whereas online in social networks we tend to merge all of our friends into one main pool.

This great presentation from Paul Adams, head of user experience at Google, looks at how we interact offline and online and takes a sociological approach to understanding how people interact in social networks and the consequences of this. From the dangers of two groups of friends colliding to the challenges for brands in social networks, this is a great presentation and our Required Reading at FreshNetworks this week. The presentation has a lot of detail in and is worth a good look through and although these are his own findings I know from my experience studying this area that there are a lot of research papers to back up his results.

There are a few points that I think are key take always for companies looking to use social networks:

1. Social Networks are not always the best places for brands to interact. Social networks are very user centric places. All the diagrams that are in Paul Adam’s research are cantered around the user it is about their connections, their friends, their family, their swimming group etc. because of the size of the audience on social networks there is a tendency for brands to go into them and want to tell everyone about their products and services, some brands can work very well in social networks but most of the time people don’t want to be interrupted in what they are doing and there are more beneficial ways to engage.
2. The power of weak ties is decreasing. Paul Adams talks about tie strength which is based on sociological theory (see the work on Mark Granovetter on “The Strength of Weak Ties”) this theory explains the links between people in different social circles. Strong ties are the links that you have with friends and family and are thought to be most influential when a recommendation is needed. Weak ties are links that you have with people that you have an affinity to but are not in regular contact. Weak ties are important to bridge the gap between different social circles and for getting information disseminated throughout different groups on the internet. People naturally build a large network of these weak ties and the process of identifying influencers who are willing to share opinions is becoming more and more important. It’s not who you know in your network it’s how likely they are to speak about your company and be trusted.
3. People have different personalities in different areas. Everyone acts differently in different social groupings and when they are hanging out with their mates they might want to be associated with a bar or a beer or certain places but they might not want their family or co-workers knowing.

Social networks yield a high reward if companies can engage people but are a hard place for brands to get it right and are just one part of social media.

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 week’s 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. Matt discusses how each country in Europe has different ways of using social media, and how these influence the way strategies should be developed. He gives three areas that brands should investigate when launching social media activities across Europe:

1. The audiences are very different in each country in Europe – they behave in different ways and have different needs
2. The social media landscape is different in each country – Facebook is not always the right tool, you need to understand what is right in different markets
3. The position of a brand is different in each market – your brand may be different in different countries and your aims in each might change

As more brands are looking to develop European and even global social media strategies really understanding these issues is becoming critical. It would be great to hear about your experiences in this area so far and how you see the differences across Europe.

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.

This is a real shame because really social media is not about online at all. It’s about the same human interactions and collaborations that we have enjoyed offline for many many years. In fact for as long as human beings have been social animals. Technology just lets us do more of these things, in different ways and, perhaps critically, with people we don’t know, that we are not near and at different times to them. Social media just lets us do things we have always done offline in bigger and better ways. So it should be natural that we consider it as having offline implications as well as online ones. But too often we don’t.

This is a real shame. The best examples of social media, especially when looking at the ways it is used by brands, have an offline element to them. You might have an offline event where members of your online community can get together to meet and continue to share the thoughts and discussions they have online. You might get people to do things such as test a product or experience an experience offline and then talk about it in their online communities (as we saw with Virgin America). You might us content created online at an offline location. You might reward people offline for what they do in online communities online.

The options are endless and do not necessarily have to be just traditional integrated marketing campaigns. Its about things that people do and things they care about. And about letting them do these offline and online. 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.

Last week Charlie and I spent a lot of time discussing the best way for businesses to embrace social media.

We looked at the pros and cons of using  a campaign-based approach to social media, where brands go for a one-off viral success, opposed to a more sustained, long-term social media strategy to enable businesses to build ongoign engagement through social media and begin to embed it in their processes rather than using it as a tool to support one campaign.

So should businesses jump in and use social media right now and be the “early bird” (who gets the worm), or is it better to wait, like the “second mouse” (who gets the cheese), and think about what you want to do with social media before rushing in? Charlie’s thoughts on this are captured in the video below:

As this is a new blog post style for us it would be great to hear your thoughts not only about the content, but also whether we should do more FreshNetworks videos in the future. (I know one thing I need to improve is the lighting – Charlie looks a little orange in this video!).