Gone In Six Seconds – How Companies Are Using Vine

Posted by Leah on June 18th, 2013 in , ,

Can you eloquently present your product or company in six seconds? Well, that’s all the time you have.  Known as the Instagram of video, Vine is the mobile app that allows you to capture footage in short, six-second, looping videos. The end result is a brief, yet brilliant video compilation.  They’re little windows into the people, settings, ideas and objects that make up life. They’re quirky, like us, and that’s what makes them so special.

In the six months since it was introduced, (check out “A Small Glimpse Into an Entire Experience“) the app has become a strong competitor to Instagram.  According to ABC News, “On June 7, four days after Android released a version of Vine, Topsy Analytics, a San Francisco company that gathers and analyzes tweets, reported that the six-second video application had garnered 2.86 million shares on Twitter. This number of Twitter shares surpassed those of Instagram, which had roughly 2.17 million shares”.

What’s Facebook’s response to all of this?  Game on.  Feeling the social media war pressure, Facebook has now announced plans to create their own Vine-like feature for Instagram.  PC Mag is reporting that Facebook will unveil a feature that will allow a user to create five to ten second videos through the Instagram app.

But the question remains, how could these benefit businesses?

The answer is simple. NBC News gave us a six second tour of their studio. Buzzfeed’s employees are dancing in their office. General Electric wishes Thomas Edison a happy 166th birthday by drawing a light bulb, Tropicana gets sentimental with their Valentine’s Day Vine. These short but brilliant pieces give the public an insight into the people behind these businesses. Some businesses are even using Vines as recruitment material. At Buzzfeed’s office, the employees are dancing; wouldn’t you want to work for them?

The Real Time Report is reporting that 5 Vine videos are shared every second, and branded Vines are four times more likely to be shared than branded online videos.

“This data can really help brands determine a strategy for using Vine in their marketing efforts. We have already seen brands like General Electric, Adidas, AT&T, Volvo, Pepsi-Co and GAP adapt to the platform,” said Matt Cooke, chief technology officer and co-founder at Unruly. ”There is a massive opportunity here for brands to get really creative with this 6-second sensation, either to grab people’s attention quickly or as part of a much larger content marketing strategy.”

Now one of the most popular apps in the App Store, Vine could help enhance your company’s image. It is vital to keep your business fresh and a step ahead of your competitors, and these social tools are the perfect way to achieve that. You only have six seconds, and your time starts now.

 

 

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Do You, E-Mail, Take Social to be Your Lawfully Wedded Partner?

Posted by Lauren Murphy on June 14th, 2013 in , , ,

At the altar of marketing, e-mail and social media are being wed in matrimony. A partnership long in the making, the two stand to be one of marketing’s strongest marriages.

Salesforce has just acquired cloud marketing company ExactTarget for a hefty $2.5 billion. Salesforce is known as a handy CRM tool and allows users to manage every aspect of their job right on their site. Allowing add-on applications, the tool has easily integrated into social media. New acquisition ExactTarget specializes in e-mail marketing. So, why are the 2 relevant to each other? According to Social Media Examiner, your social media followers make up a virtual database but your actual database is your e-mail contacts. E-mail is the glue that holds everything together, like your child’s school projects. While there are a ton of people on social, their usernames and presence are likely to change more frequently than their e-mail addresses, which are more constant.

E-Mail has been around longer than social media. For instance, You’ve Got Mail came out long before The Social Network. Even with the presence of social media today, e-mail drives 4x more conversations than social for e-commerce brands, as reported by Monetate’s Quarterly report. In Q1 2013, targeted e-mail content had a conversion rate of more than 3%, while social media trailed behind at only 1%. Furthermore, e-mail went beyond just its conversion to be responsible for the most page views on site. E-mail marketing is most used for customer acquisition, but it can also be a strong tool in fostering connections and conversations with you customers.

We all know the great power that social media possesses when it comes to connecting with customers. Content spreads like wildfire, faster than it ever has before. Social media gets the word out to thousands of people, especially through the ability to easily share content. However, e-mail content is just as easily shared. Forwarding an e-mail you received can follow a similar path as re-tweeting something, according to Examiner.com. Imagine how many people you could reach by marrying social media to e-mail.

Business 2 Community stresses that the need to incorporate social media into e-mails is crucial. Social media widgets are easy to insert to any e-mail you send. These buttons are key when it comes to engaging your consumers. If they receive an e-mail about a blowout sale, wouldn’t you want them to tweet about it? A way to encourage engagement through e-mail is to include a call-to-action. Let your customers know what you want them to do and they’ll follow suite. If your content has immediate social capabilities, you can see responses to your brand instantaneously. If you share the content of your e-mail, your audience members should be able to share it too.

E-mail and social media can make for a happy pair. The most important thing to remember is to communicate deeply with your consumers. Strong communication leads to a successful marriage.

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Is Google+ Social Media’s Outcast?

Posted by Lauren Murphy on May 30th, 2013 in , , , , ,

Google+ appears to be the last kid picked for dodgeball these days. Since it launched in 2011 Google+ has struggled to claim it’s place in the social media world. Google prefers not to call it a social network, but a “social layer” that lies atop all Google services. Sure it’s only been 2 years since its launch, but is Google+ social media’s outcast?

One problem for Google+ is that it struggles to attract brands and maintain their attention. On May 12, Reuters released an analysis of the site and how some brands have begun to neglect their Google+ pages. Domino’s Pizza was called out specifically for neglect, having not posted an update to the site since October 2012. Reuters asserts that Google+ must draw in and secure household names in order to thrive. Users are expecting to engage with their favorite brands  by following or commenting on them, but technical shortcomings of the site have deterred brands from continuing since Facebook allows more flexibility. Businesses do create outposts on Google+ in order to benefit from its integration with it’s search engine. However, sites like Facebook and Twitter still reign supreme.

The average Google+ visitor spends roughly 6 minutes and 47 seconds a month on Google+, compared to 6 hours and 44 minutes on Facebook, as reported by Nielsen Media Research on Mashable. Six minutes is small beans compared to 6 hours and marketers are well aware. ”The main reason we are more active on Facebook than Google+ is because that is where our customers and our target demographic are spending their time,” said Dave Gilboa, the co-founder of online eyewear company Warby Parker. Google is beloved in the search engine world, and in general, so why aren’t people spending more time on Google+? Reporters for Time, Reuters and Forbes all say it is because of the community within Facebook that keeps them from migrating over. Their friends are on Facebook and they are all apart of a community that they enjoy. “In my personal network, I have very few people who are actively using Google+,” said Dan Nguyen-Tan, vice president of sales and marketing for Public Bikes, which doesn’t have a Google+ page though is very active on Facebook. “That could be a reason why I haven’t thought about it as an effective tool.” Along with a lack of community on Google+, Time Magazine writer Harry McCracken writes that conversations seem to lack humanity on the site. They are less warm, personal and interesting, overall superficial.

The described superficiality of Google+ doesn’t help Google define what the site truly is, making this one of Google’s biggest problems. Forbes contributor Robert Hof wrote about the struggle of defining something so basic: why Google+ is relevant to the everyday user. Brands are on social media to engage with consumers and increase awareness. We know that consumers need to see how they themselves can benefit from a product or service in order to entice their purchases and engagement. At Google’s recent I/O development conference, a developer in the audience asked how Google would define Google+ as a service for users. David Glazer, director of engineering for the Google+ platform, stated that the site was for Google to get to know its users, citing no direct benefit to users. Glazer sidestepped the question entirelyand the developer ending up calling him out on it. VP of engineering for Google+ Chee Chew stepped in and defined the site as a facilitator for peer interactions on the internet worldwide. Mark Zuckerburg is known to define Facebook on the same terms, making Chew’s definition far from unique. Google’s inability to define why the site is beneficial hinders Google+ from becoming an “engaging and vibrant community.”

Despite the negativity surrounding Google+, the site does have its merits. A new facelift to the site has made Google+ more visually stunning than most social media sites. It’s a visually engaging site that emphasizes images and presents them in a manner that showcases them to the fullest extent. Jennifer Slegg of Search Engine Watch argues in favor of Google+. She reports that the brands who are active on the site are in it for the long-haul and are obviously continuing with Google+ because they’re seeing a ROI on them. Slegg asserts that the real issue is that brands don’t put in the time to reach their consumers on Google+. People engage with brands who are active on social media sites, so the same should go for Google+. David Gilboa of Warby Parker is quoted saying that the level of user activity on Facebook, Twitter and Pinterest is “orders of magnitude higher,” despite Google not providing detailed information on user activity.

Google+ has a long road ahead if it hopes to flourish, but it’s visually engaging site certainly helps. Time Magazine writer Harry McCracken writes that if unless Facebook implodes, Google+ may never be able to truly assert itself in the social media world. It may just end up being “a beautiful disappointment.”

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Tumblr: The Little Guy Packs a Big Punch

Posted by Lauren Murphy on May 23rd, 2013 in , , , , , , , , , , ,

Tumblr is the big name in social media news this week. Its acquisition by Yahoo! has been a hot topic and marketers are beginning to take notice. In the shadows of Facebook and Twitter, Tumblr has been able to cultivate a strong community of avid followers. The ever-changing world of social media has begun to drive marketers to find multiple platforms to reach their audience in a more creative way. “Marketers are definitely looking to other social networks beyond Facebook,” said a spokesman for eMarketer to the New York Post, “not because Facebook is ineffective but because the digital audience is more fragmented than ever before.” Tumblr may be a lesser rival to Facebook, but it’s just as powerful a marketing tool.

Tumblr defines itself to be a platform that “let’s you effortlessly share anything.” Users are able to create original content or reblog posts that include text, photos, videos and music. The site may not be fully understood by brands, but its massive community can become a large asset to them. Business 2 Community reports that Tumblr consists of more than 107.5 million blogs and 50.5 billion user-generated posts, including more than 70 million news posts that appear every day. This isn’t surprising since Tumblr users are known for their fandoms. They constantly perpetuate a love for television shows, fashion brands, and other consumer products–a jackpot for brands.

Fashion brands and media outlets have found success on the blogging site. Luxury brands such as Oscar de la Renta have found a home in Tumblr. In fact, 20% of posts on Tumblr are concern with fashion on a daily basis. Mass market brands like J. Crew are also taking advantage of the site.  Fashion brands typically post photos of their latest collections, while media outlets often post more accessible content such as cartoons according to AdAge.  Tumblr is comprised of strong visuals that entice users to click the re-blog button. The re-blogging of posts creates a certain virality that can be compared to wildfire. If a post is visually strong, it can reach thousands in a matter of minutes. Each re-blog results in an expansion of a brand’s audience and awareness.

Users re-blog things that personify them. The connection with a brand leads to engagement and interaction with a follower, who is effectively saying to peers “I identify with this brand.” According to AdAge, some believe that Tumblr’s core value for a brand is the ability to connect with its audience on a more intimate level. Digital director for All Day Every Day Philip Leif Bjerknes states,”I think you can communicate in a very rich way for your audience — in a way that seems much more in brand and in character than a Twitter or a Facebook. I’d also say the content feels a little less disposable.” Brands can be more “tongue-in-cheek” on Tumblr than other platforms. The ability to have a  strong brand personality shine through on a more intimate level fosters stronger connections with consumers and leads to sales.

According to Digiday, a brand that excels at Tumblr is actually financial giant American Express. AmEx has an online community for business owners called OPEN Forum, which is on Tumblr. Posts directly from OPEN Forum share the space with others from around the web that blog curators believe will appeal to followers. The content is organized into categories with searchable tags. Whether scrolling through the main page or the different categories, the information is presented to followers in a flowing format. All content is easily accessible and made relevant for its audience. AmEx also seems to make sure that an image accompanies each post to draw attention and present relevant information. On the left, the dog sitting at the computer creates the initial attraction to a post on steps to start your own business. AmEx may not be the most visually-driven brand, but they’ve managed to become that on Tumblr and procured a spot in Digiday’s top 5 brands on the site.

A wise move for brands to look into Tumblr, Yahoo already has. Buying the site for $1.1 billion this week, Yahoo is seeking to shift its appeal to a younger demographic. So, does Yahoo’s acquisition make Tumblr even more appealing to brands? AdAge speculates that it will. ”What makes Tumblr such an attractive acquisition is it has so much credibility among this audience that Yahoo and others are seeking — this 18-to-24 sweet spot,” said Ming Linsley, MEC‘s senior director of social media.

Tumblr can be a valuable asset to a brand. It has the ability to open new pathways to consumers in an increasingly visual world. Tumblr is out there, waiting for your  brand to harness its marketing power.

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Being Real is the New Deal

Posted by Lauren Murphy on May 17th, 2013 in , , , , ,

Today, it is not enough to just have a great product. You have to humanize your brand and create lasting relationships among your consumer base.

Aliza Licht, SVP of Global Communications at Donna Karen, humanizes the brand brilliantly. She is the woman behind DKNY PR GIRL on Twitter and has managed to make the DKNY brand feel like an actual person. I found myself wanting to buy every piece of DKNY clothing, even though she sometimes talks more about ABC’s Scandal than the actual brand. Still, she has cultivated a loyal DKNY online community of close to 500,000 followers. In a recent TEDxTalk, Licht addresses “The Power of Being Real.” She says that the people she interacts with on Twitter are not followers, but friends. These friends embraced her when she revealed her true self on Twitter, despite her fears of being rejected. The fact that she was a real and not just a brand resonated with her followers. 

Being real doesn’t just apply to us, it applies to all businesses. The human touch is more powerful and compelling than most ads you will find out there. First off, we know consumers look and listen more to their peers when it comes to making a purchase decision than the brand itself. By humanizing your brand, you become more of a peer among your consumers, thus more influential.

So you’re on Facebok, but every brand belongs on Twitter. Twitter is your new BFF, no matter what industry you’re in.  Turn up the romance and start getting cozy with this social network. Once you’ve lit the fires of love, develop a set personality for your brand. After all, every human has one and so should you. Social Media Today poses these questions: Who are you? What are you? Are you serious? Are you funny? Are you a combination of both? What is the tone of your conversations? The tone of your educational material? Social media is not for those who want to remain hidden in the shadows like an over-hyped vampire. It welcomes every person on the social network to come on it and see you at face value. You are exposed to the online world and you cannot hide. A set personality that best reflects your brand is your ultimate asset and weapon.

According to Social Media Today, Jon Iwata, Senior Vice President (Marketing and Communications) at IBM, stated, “We don’t try to manage the IBM brand. We try to manage our character as a business. And we’ve never defined IBM by what we’re selling.” Being human yourself, do you only talk about your business? Probably not. You shouldn’t do this with your brand either. For example, JonO is the epitome of a BzzAgent- chatty, informative and influential.

On Twitter and Facebook, JonO is an actual person but he still represents our brand. He mostly posts quirky and unique tidbits of information, but that’s exactly how we are here! With 90,000 “Likes ” on the BzzAgent Facebook page, JonO has 8,300 people talking about BzzAgent right now.  That’s over 9%, and that’s often up around 15%.  It’s an amazing level of engagement considering AdAge reports that brands only see about 1.3% engagement on Facebook. Obviously, you will need to talk about your business on social media, but adding those off topic pieces allows you to be more human and connect to your audience in a different way like JonO has.

The relationships that result from humanizing your brand are one of the most important products from this process. Cultivating relationships with your consumer base can lead to long-term loyalty and sales. Social Media Today wants you to remember that real people are behind those Facebook posts and Twitter handles. Engage with your consumers everyday. Respond to tweets inquiring about something or just to thank the person for showing their loyalty. The connections you make with your consumers now will be a valuable asset for the future.

Humanizing your brand is the next step you need to take in social media. Become not only a brand to your consumers, but a friend.

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This Mother’s Day, Think Digital

Posted by Lauren Murphy on May 8th, 2013 in , , , ,

Mother’s Day is this weekend, meaning you are probably going into panic mode about what to get the mom in your life. Why not go digital? Today’s moms have entered the digital age with full force, in the home and in mobile.

Forbes reports that nearly 70% of moms think technology makes them better. Marketers have begun to focus on moms specifically because they make up a large and influential demographic group. In fact, 90% of mothers use social media on a daily basis, a 20% increase since 2010 according to MediaPost. Moms are not just using social media because it is a fad. They enjoy a high level of engagement from family and friends. Mike Fogarty, the senior vice president and global publisher at BabyCenter, stated “Today’s mom is the most influential and social consumer you’ll meet.” They actually make up 32% of all online profits despite only being 18% of online users. Moms enjoy being active online, spending 6.1 hours per day surfing the web and shopping.

Even when it comes to the busiest of moms, they are still connected through their mobile devices. Social Media Today reports that 77% of moms follow 1 or more brands on social media, redeeming offers as they go. According to Marketing Charts, 83% of women in general are willing to give up their location on their mobile devices for $25 worth of in-store credit. Mobile moms can snag that credit too. With moms 28% more likely to use a tablet and 38% more likely to own a smartphone, mobile opportunities are endless for them and convenient, and that goes a long way. Now, 58% of them are more likely to make a purchase through a mobile device. Instead of pushing a screaming baby through a store, moms can make a purchase from the comfort of their couch as their child’s baby swing rocks away the tears.

Moms are embracing the digital age, so lend them a hand this Mother’s Day and go digital.

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Now is the Time to Razzle Dazzle with Video Marketing

Posted by Lauren Murphy on May 2nd, 2013 in , , , , , , ,

Videos are extremely engaging. The proof is in how your husband stares at the television behind you during dinner instead of listening to how your day went. With that, marketers have been tapping into the potential of videos for some time now. Since Google’s purchase of YouTube, the benefits of adding videos into your marketing strategy have increased for businesses of all sizes.

35 hours of content are uploaded to YouTube per minute, according to Social Media Examiner. With so much competition, marketers need to focus on how to stand out from the crowd and draw in an audience. The best way to go about creating content for your brand’s videos is to focus on your customers’ needs. Focusing on your customers’ needs allows you to create content that is most relevant and valuable to them. Business 2 Community reports that customers who view videos are 174% more likely to make a purchase than those who don’t. Relevancy can lead to larger profits.

Chances are slim you will make a video as viral as “Charlie Bit Me,” but you can expand your videos’ reach. First off, always include your brand’s URL in the description of your videos to drive traffic, and also include several tags on your video if using YouTube. These tags will make your video more likely to turn up in a local search. Google’s purchase of YouTube also cannot be overlooked. Now, videos appear at the top of search results. In order to secure a featured spot for your videos, include keywords in the title. These keywords will link your content to the search engine.

Social Media Today states that marketers need to “utilize the social media infrastructure,” meaning connecting your content to other social networking sites. Facebook, Twitter, Pinterest and Tumblr all support YouTube videos and offer different paths to consumers. Three out of five consumers will watch a video for a product to educate them about it so they make a more informed decision. The more social networks featuring the video, the more ways to persuade your customer base.

Consumers watch videos to gain greater insight into a product or a brand. The shorter and more concise a video, the better. The end of a video should include a call to action. Give your customers a direction instead of leaving them hanging on what to do next. A specific direction will increase the likelihood of a customer following through on a purchase.

Videos are more important than ever in your marketing strategy. Compose a plan that is most relevant to your audience and put it into motion.

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Marshmallows & Chocolate + Big Data = The Best S’mores of Your Life

Posted by Dave Balter on April 26th, 2013 in , , , , , , , , ,

Back in 2011, Tesco’s acquisition of BzzAgent left many scratching their heads. What business did a UK-based, global (non-US!) retailer have cozying up to a Boston-based social marketing firm? Maybe they were just trying to catch a wave of street cred…or maybe they just had a thing for bees?

Think about it like this: BzzAgent’s word of mouth marketing powerhouse is the marshmallow of retail. It’s sticky, delicious, and fulfilling. Everybody loves marshmallows. Tesco, on the other hand, owns a business called dunnhumby – a.k.a. the chocolate. It’s data and analytical capabilities are rich, addictive, jaw-dropping. Layer on open access to the rich datasets powering these companies, and what do you get? The best s’mores of your life, or…the dunnhumby Hack/Reduce hackathon (limited spots, so sign up only if you’re a developer/analyst!).

Gather ‘round the campfire to hear how its all gone down—less than two years after being acquired, BzzAgent is nearly fully integrated into dunnhumby, the big data and customer science outfit of parent company, Tesco. When word of mouth, the voice of the customer, meets actual shopper activities, the possibilities are endless. Already, the impact of tying together this data together has been nothing short of stupendous – now in its 11th year of business, BzzAgent grew nearly 50% last year alone.

While all this was brewing, Boston was building heat, quickly becoming a hub for innovation in big data and a hotspot for startup activity around retail and data innovation. Combine that with dunnhumby’s new integrated presence in the city, and you get ooey, gooey, goodness.

Retail? You think Boston’s a hub for retail startups?! Ya, sure. You betcha. On the innovation front, there are countless transformative models all around the region. Here’s a handful:

  • Aisle Buyer (sold to Intuit): Allow(ed) shoppers to skip checkout lines by paying with their credit card directly on their mobile phone
  • Alignable: (in stealth – and it’s awesome)
  • Card Star (acquired by Constant Contact): Puts all of your membership and rewards cards on a single free app
  • Green Tape:  Provides real time reviews for the in-store shopping experience.
  • Level Up:  Mobile payments for smaller retailers, with amazing analytics ta boot.
  • Locately: Analyzes local data to determine shopper activities
  • Plastiq:  Enables payments via credit card for very high ticket items
  • Privy: Connects online promotions to in-store activities
  • Promoboxx: Connects brands with multiple retailers for co-promotion programs.
  • SavingStar: Saves you money on your groceries without printing or clipping anything.
  • Swipely: Utilizes point of sale terminals to provide transaction analytics to retailers
  • Swirl: Hilmi Olzug’s outfit augments the in-store experience with personalized shopping delivered via mobile phone.
  • True Lens: Appends social data to customer lists to help retailers grow loyalty and improve ROI.
  • Unbound Commerce: Develops mobile commerce for retailers
  • (I’m sure I missed a ton – put in the comments, please!)

And the reason so many retail startups are calling Boston home? Well that gets back to big data. With the development of Hack/Reduce in Kendall Square, there’s a centralized location for hacking big data. And did I mention that MIT, Harvard, IBM, Google, Microsoft, Atlas, Bain Capital, Matrix Partners, Goodwin Proctor, and others are founding sponsors?

All of this is why dunnhumby has decided to throw an all-out, over-the-top, never-before-attempted, retailer hackathon at Hack/Reduce on May 11th, from 9 AM – 9 PM. We’ll provide an actual transaction data set (real customer purchases, anonymized) for analysis, manipulation, introspection, and all sorts of coding madness – with a goal of helping forecast the success of new product launches more effectively.

Winning teams get cold hard cash ($2,500 for first place winner) and there are all sorts of goodies to be had (not to mention food and all that).  But the real gold is the fact that you’ll be working side by side with dunnhumby executives and data scientists, getting exposure to their world and how they have created a Big Data and Customer Science juggernaut.

If you want to hack in person, sign up now or miss out.   Especially if you are working in one of the amazing retail startups in our region — this will be an eye-opening, retail-bending experience that won’t soon be forgotten.

See you there!

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Millennials are Breaking the Privacy Norm

Posted by Lauren Murphy on April 25th, 2013 in , , , ,

We all protect our privacy, holding it near and dear. Today, there are many debates surrounding online privacy, and it’s safe to assume most don’t want their personal information out there for the world to see. However, Millennials seem to be breaking this norm.

Ranging from 18 to 34 years of age, USA TODAY reported that the University of Southern California’s Center for the Digital Future in conjunction with Bovotiz Inc. found that Millennials are the most willing of any generation to divulge their personal information online, even more so when there is a reward for them as a result. This is not to say that Millennials don’t enjoy their right to privacy. 70% of them believe no one should have direct access to their information or web behavior, but they do like the benefits they receive from giving it out.

Engaging with companies has become an instinct with this generation. They know the more they engage, the greater the benefits they receive. For example, there can be a 20% discount on a brands site, but if you follow them on Twitter you receive 30% off. Elaine Coleman, managing director of media and emerging technology at Bovitz Inc., stated, ”Millennials are all about exchange of information. [They say], ‘Sure, if you send me a relevant ad, I’ll tell you where I am.’ ” Growing up with technology has fostered this way of thinking because it has always been the path for these young users to connect globally.

Millennials are a significant portion of today’s marketing audience and they have a lot of influence on each other. In Marketing Charts coverage of the report, they noted that at least 48% of Millennials access social media sites several times a day, compared to only 20% of those 35 years old and above. This means Millennials have a greater potential to influence peers than those of an older generation. Millennials also reportedly contact at least 18 people via social networking sites. Since 70% of consumers trust a stranger’s recommendation, marketers need to attract this generation with special offers in exchange for their information to gain better insight into their behaviors and offer a better user experience. This can result in an increase of sales for a brand as well as greater loyalty.

Millenials’ value their privacy, but they are more willing to hand over their information if there’s a reward involved. The more information they give to brands, the more a brand can reward them, gain consumer insight and spur a series of word-of-mouth interactions. Give Millennials special benefits, and you will receive them in return.

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What Customers Value Most Online May Not Be What Businesses Thought

Posted by Lauren Murphy on April 17th, 2013 in ,

The Internet has allowed us to reach customers on multiple platforms. Through social media, businesses have been able to connect to their customers and offer them insight into their brand. However, the Harvard Business Review has found that businesses may have incorrectly perceived why customers follow them on social media.

The authors Patrick Spenner and Karen Freeman stated:

Businesses broadly misjudge what consumers want from them online. In particular, marketers often believe that consumers interact with them on social media to join a community and feel connected to the brand. But consumers have little interest in having a relationship beyond the merely transactional.

The image to the right ranks the reasons why customers engage with brands on social media, with the right column showing what businesses perceived that to be. They ranked learning about new products and general information as top on customers’ lists, when only 52% and 51% of customers agreed respectively. Perhaps the starkest difference between brands’ and consumers’ reasons is being part of a community. Only 22% of consumers surveyed responded that they follow brands for that reason, contrasting 61% of businesses.

Customers actually follow brands because of the potential discounts and purchases, which businesses ranked the lowest in terms of reasons. Discounts and purchases are the most relevant to a customer, as they directly benefit from it. Relevancy and value are what draw in a customer’s interest. They don’t rank learning about new products very high because we know that customers prefer and are more receptive to a recommendation for a product by their peers. Instead, they look for information that allows them to gain something.

Businesses need to take a closer look at what resonates most with their customers because that is the path to greater engagement with them.

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