Zappos* is a successful company with a well-publicized, aggressive employee use of social media.  In fact, it may be the most famous social media model in all of blogdom. They have 13 blogs, 50,000 videos and their employees tweet like rabbits in heat.  It’s worked for them and it’s a wonderful case study. I get it.  But it’s probably the wrong model for most companies.   

And here’s the point where the waves of Zappo-sniffing social media purists come crashing down on me.  So be it.  This is dangerous stuff. 

It is relatively safe to blog and tweet about shoes.  But in many companies, the risk of an all-employee social media free love policy will far outweigh the benefits.  For many important companies all it will take is one Twitter-induced SEC violation, a leak of vital competitive information, or a national defense breach, and the hammer will come down on the use of social media forever. Policies are usually made to deal with the lowest common denominator.

Is this a leadership issue? Not necessarily. There are irresponsible people everywhere.  There are disgruntled employees even in the best-managed companies.   Where corruption can occur it will occur. Welcome to the human race.

So what’s the answer?

Under the following conditions, the Zappos model might be ideal:

• Company culture supports employee engagement
• Company leadership understands the model
• Customer base is active on the social web in a meaningful way
• Benefits outweigh risk of security breach

If just one of these conditions are not met, the free love policy cannot work. 

That’s not to say that social media won’t work in some form with almost any company if there is appropriate training, role clarity, effective policy and boundaries. But you have to fit the tactics to the strategy — and the culture — just like any initiative. 

A marketing leader has to make effective decisions based on what IS, not on what you WISH for. You can’t “will” a social media effort to work in your company just because it worked in the Zappos corporate culture.

For an excellent and thorough perspective on the need for effective and appropriate corporate social media policies, I recommend Kent Huffman’s recent post on the subject.

OK, your turn. Let ‘er rip!

*If you are unfamiliar with the Zappos social media model, Jeff Bullas has written wonderful case studies on this company:

• How Does Social Media Help Deliver On Zappos’s 10 Core Company Values

• Why Would Your Company Need 13 Blogs?

• Revelations On How An Online Retailer Went From Zero to $1.2 Billion

• 6 Ways Zappos Uses Twitter To Increase Sales

I’ve spent a lot of time studying social media “listening tools” and found this site via Sidney Eve Matrix (follow!).  This slide deck by Stefan Betzhold (follow!) compares both free and paid options and I found it very useful. 

The idea of monitoring and measuring is crucial to social media marketing, whether for a company or your own personal brand.  It is also the most dynamic and exciting area of marketing right now. If you haven’t put together a personal “listening” platform, this side deck is a good place to start!  Click and enjoy!

This is also a good example of effectively using Slideshare to promote a concept and a company.  Do you have slide presentations suitable to share with the world? Why not get a little extra “oomph” out of your effort by posting on Slideshare?

The social web may be the most revolutionary marketing tool since the advent of radio.  I don’t have to tell you why at this point.  But for all the opportunities, there can also be danger, if the technology is mis-applied or misunderstood. Here are some ways social media can destroy customer relationships:

1)      Hit and run communication.  Many people, especially under-20s who have been conditioned to handle conflict over text messages, mis-use the technology. If 80 percent of communication is non-verbal, how much is lost when customers provide customer service issues over a tweet?  We are more likely to be unprofessional, harsh and inappropriate in writing than in a live conversation and unfortunately, more and more important customer interactions are taking place over short-form messages.

2)      False sense of expectations.  I’ve observed that some companies are urgently getting into the social media scene and then being unprepared for the response.  It’s so easy to connect with customers today, but you better be prepared to connect with them in a meaningful and appropriate way or you will disappoint them and then lose them.

3)      Over-dependence on social media. Pick up a phone. Make a personal visit. Write a thank-you note. Don’t get too hooked on communicating through only social media, especially if it’s not your customer’s preferred way to communicate.   Going old school can actually help you stand out.

4)      Wrong person in charge.  Some companies pick a person to run their social media efforts just because they have a nice Facebook page. Wrong.  Like your website or your sales and customer service efforts, this is your front line of defense. I would much rather have an experienced customer service person learn social media than a social media person learn customer service.

5)      Customers are learning to game us.  I had a company president tell me that he no longer responds to customer complaints over Twitter. Customers caught on that complaints meant free merchandise and the company became overwhelmed. So they just stopped until they can figure out a solution.  Now even people with real complaints are being ignored because it is too difficult to separate the real problems from the gamers.

So, there are a few dangers withn the opportunities. What do you think?  What customer-related dangers could be prompted by using social media in your business?

With the dawn of the social web, I can’t think of a more exciting time to be in the field of marketing.  But I don’t think we have really seen anything yet!  Here are 12 developments I believe we will witness in the future … and probably sooner than you think.

1) Hyper social measurement– At some point soon, Google is going to start doing something bold with the volumes of personal data they’re collecting.  Google is in the best position by far to define social media monitoring, especially now that they are taking steps to fold in data from Twitter, Facebook and other platforms. Once Google flexes its social media monitoring muscles, companies like Radian6 will become niche players at best. Complex algorithms will determine real-time sentiment shifts down to the individual.  And it won’t be free.

2) Tapping into text messaging– The one communication mode largely untouched by real-time search is text messages.  This is a goldmine of information too big to ignore, especially if you’re a “cool-hunting” consumer product company.  Entrepreneurs will find a way to tap into the “text stream” by rewarding users for being included in their data-gathering systems. Does this seem improbable?  Would people accept a free cell phone and free data service in exchange for their text information being stored in a database for consumer product research and targeted promotions?  It would work.  

3) The human coupon– The massive quantity of personal information available about you will eventually follow you around.  Enabled by GPS and RFID technology, coupons and special offers based on your buying patterns will appear instantly on your mobile device as you near a store.   RFID chips embedded in packaging will send messages during your purchase decision to encourage up-selling and cross-selling.  For example, if you pick up a blouse off of a rack, a message will direct you to the precise area of the store where you can find a matching skirt … on sale just for you. 

4) Radical privacy movement — This intense data gathering and the use of it in a Big-Brother-like manner will spark a backlash, including legislation, assuring the right to be excluded from Internet data-gathering tools.  Because of its power and control over voluminous personal details, Google will become the most profitable, and despised, company in history.

5) Man-machine interface.  Medical advances and social media platforms will converge.  Scientists are already embedding electronics in humans to power limbs, regulate body functions, and enable the brain to access information from micro chips. It’s now possible to think a tweet or control artificial limbs with a thought.  Humans will routinely carry a computer inside of them, powered by body heat and motion. You will literally always be on the social web, generating messages just by thoughts.  Humans will have markings like tattoos to display the premium, designer brand of devices embedded in their bodies. This will give new meaning to the tagline “Intel Inside.”

6) We become the Internet.   Today, people talk about Twitter, Facebook etc., never really connecting that these are all “Internet.”  As the social web literally becomes part of our bodies, we will no longer distinguish between listening, talking and electronic communications. In our minds, there will be no more web. It will just be.

7) Massive national ID validation. The social web will become the exclusive source of consumer information, political research/policy development, and education systems. Because of the increasingly critical  importance of this feedback and the opportunity for corruption, complex systems to prevent fraud will be needed, including a broadly-implemented government validation program that extends across all platforms.

8) Micro politics — Politicians will use real-time sentiment analysis to craft and re-craft voter appeals right up until the moment they enter a polling station.  Political messaging will be nearly-instantaneous and tailored to individuals based on data purchased from Google.

9) Extreme content — Journalism, film-making and advertising agencies will thrive, much to the surprise of nearly everyone.  The need for content on the social web will drive radical evolution of  these three traditional professions and “Content development and management” will become a popular college major.  While most content today is generated through “free” submissions to YouTube, blogs, etc., salaries for the very best and most creative content providers will skyrocket as corporations raise the creative bar to cut through the clutter. 

10) The loner workforce. The cultural impact of the social web will have radical implications for managing the workforce of the future. How do you deal with a generation of employees who have been conditioned to communicate through their thumbs?  Employee training of the future will look increasingly like video games.

11) Digital divide grows  — For many parts of the world, access to free, global communications will be a great equalizer between rich and poor nations, especially as web-based translation services improve and encompass local dialects. However, in countries where people cannot access the web either for economic or political reasons, the digital divide will not only grow, it will become permanent for one simple reason: they will fall so far behind the technology curve they will never be able to catch up. Digital commerce, innovation and technology will be permanently dominated by those nations in the game NOW. 

 12) Pay for play– Social media is free but the cost of attracting consumer attention will become increasingly expensive, especially with the ability to skip ads.  At some point, the cost per impression will be so high it will be less expensive to simply pay people to watch an ad.   Combined with the “human coupon” trend mentioned above, this would provide nearly perfect information on cause and effect of advertising campaigns. 

Well, that’s enough far-out thought for one blog post and I’m sure you have A LOT to say about it!  Your turn. The comment section is now OPEN!

I had  just listened to a Jethro Tull album on my iPod and then saw on my news alerts that the rock band is launching a new, massive tour of the U.S.  To me, this is the universe telling me I need to write a blog about Jethro Tull. This is how my mind works by Friday.

If you give me a minute, I PROMISE there will be an illuminating point at the end that will make you gasp in wonder. 

When I was a boy, Jethro Tull was the most amazing band around, combining blues, rock, folk and classical music in incredibly complex tunes. They made an entire album that was one song.  Twice.  Their great rock anthem “Aqualung” was about a homeless pervert.  Their live concerts were theatrical spectacles.  JT was the coolest of the cool.

Since about 1980, most of their music has been crap.  They have not had a hit song since the 1970s. That hit was “Bungle in the Jungle” which is arguably the worst song ever written. The two core musicians, Ian Anderson and Martin Barre are bald and in their 60’s and Ian just can’t hit the high notes any more.  They continue to limp around the world, playing to elderly, devoted fans.

Like me.

Why would I stick with a band long after they have been relevant … or even very good?  Because there is a deep emotional attachment there. Their music and image evokes some of the best, most exciting times of my youth, some of the best years of rock music.  Jethro Tull MEANS SOMETHING to me!

OK, here is the point you’ve been waiting for.  The world’s greatest marketing associates emotional meaning with a product. Coca-Cola.  Apple.  BMW.  Each evokes an emotion and meaning.  The brands mean something to the customers. Just like Jethro Tull.  Ready … set … gasp!

This is my goal: to build an emotional connection with my readers so they will still love me even when I’m old and writing crap. (This is when you say: “Like today?”)

Have a great weekend!

I’ve had the great privilege of teaching a college-sponsored class on social media marketing and as usual, I’m learning more from the class than what they’ve learned from me … but that will be our little secret, OK?

As I was providing examples of how you can leverage content across various channels to increase awareness, I had to admit that I didn’t practice this very well myself.  Why?  I just don’t have the time.  

My marketing consulting practice has been very strong, and as I strive for an ideal work-life balance, something has to give.  Time spent on incremental efforts like Facebook and Twitter has to take a back seat to family and customer needs.  

This may seem like heresy from somebody who lives and breathes marketing, but I think this will be reality for more and more people.  As the economy heats up, unemployed, or under-employed, individuals spending vast amounts of time on the social web and networking will have to make new choices as they return to work.  

Here’s my hypothesis:  The growth of social media will slow as the economy improves.  And in areas where the economy is doing extremely well, social media usage may actually decline slightly.

Other possible implications:

• As people return to work, the prime activity level on social media will be more heavily-weighted to the evening hours, since many companies restrict social media usage in the workplace.
• The number of channels in which people participate will narrow. This may hasten the decline of some platforms like MySpace.
• There may even be a slight shift in advertising budgets BACK to traditional media (drive-time radio?) since access to Internet-based impressions will be limited in a workplace.  How do you see a Facebook ad when you’re working a construction job?

I believe that use of the social web will still grow overall as people and companies find clever new ways to make the underlying technologies more useful and fun. But I think it is unavoidable that an improving economy will temper this growth.  The best environment for social media growth is when people have a lot of time on their hands and a shift is in our future.  Do you agree?

Note:  In addition to some wonderful comments below, you can find a nice counterpoint perspective on Gregg Morris’s related blog post: http://bit.ly/3tQtiW

For the last two months I have been eagerly anticipating the results of Dr. Ben Hanna’s Business.com 2009 survey of corporate social media utilization.  Why is this report significant?  With nearly 3,000 valid respondents, this is probably the largest survey ever conducted on this subject and also represents one of a handful of social media research projects with a methodology and analytics that I actually trust.  Let’s get to some of the highlights and implications:

Where’s the beef? 

Some of the most interesting findings were around the hot topic of “measurement.”  About 65% of the respondents gauge success by “web traffic” followed by engagements with sales leads (57%), brand awareness (54%), customer engagement (50%) and revenue (42%).

But as the graph above indicates, most companies report they can’t see a connection between social media initiatives and success. For even those judging success by something as simple as “web traffic,” only 15% thought they were seeing progress. More confidence was expressed in the ability to impact brand reputation/awareness (33%), and engagement with sales leads (26%). Of the 609 respondents trying to track revenue, nearly 80% could not see an impact from social media initiatives.

Lack of adequate data is a problem

Another dilemma presented by the research is that most companies don’t believe they are getting adequate metrics to even measure results.

At the top end of the scale, 65% of respondents using web site traffic as a social media success metric report that the information they need to measure results is easily accessed when needed.  Those measuring brand metrics – awareness and reputation – fall to the bottom of the scale. Only 50% believe they can measure the impact of social media initiatives on this metric. I’m actually surprised the number is even that high.  

The survey also concludes that those with more experience in social media do a better job measuring impact. 

Less than 10% of the companies surveyed pay to use any monitoring service. Free apps like Google Search, Google Alerts and Twitter Search lead the pack. 

Surprises in user base

Nearly 65% of the survey’s respondents reported using social media as part of their normal work routine.  The results by job role were somewhat surprising in that respondents working in the IT department were significantly less likely than those from almost every other department to use social media. People associated with consulting, PR, real estate and marketing were heaviest users. 

Those directly involved in planning or managing company social media initiatives spend about 18 percent of their time devoted to this. Combined with other data in the research, you might conclude most companies are still “dabbling” in social media initiatives.

High community participation

I was surprised to see that over half of respondents said they participate in online business communities or forums. This is far higher than the typical 2% participation rate among monthly visitors to online blogs and communities.  The researchers explained that this difference may be due to how study respondents understood the word “participate,” possibly interpreting it as “visit,” or that the rapid expansion in the number of niche online business communities may be influencing greater usage.

Top sites being used by corporations? Facebook (80%), Twitter (56%), LinkedIn Groups (39%), LinkedIn Companies (38%), and YoutTube (35%).

All in all, very enlightening research. What do you think?  Were you as surprised by some of thes results as I was?  What’s your take on this?

Inventory — A customer in France made coated metal plates and, for quality control purposes, had to keep a large volume on hand in a warehouse. This tied up valuable working capital. We had the idea to use this as a rapid-turnaround stockpile. They could sell and ship material out of the warehouse for customer emergencies as a premium service — at a premium price!

People — A local company said they needed my help because “everyone was just sitting around” with their business levels so low. I saw this as under-utilized human capital. How could they put these people to use to connect to customers and discover un-met or under-served needs?  Turn EVERYONE into a sales person?  Study the competition?

Information — A client had developed a weekly email update to keep their salespeople on top of changing market conditions. A survey indicated their customers were hungry for the same type of information. Their email was turned into a premium information service to increase customer satisfaction and loyalty. They leveraged information they already HAD to create a siginificant new customer benefit.

Services — I recently taught a class on recession marketing. The class content is now an asset, part of my “buffalo.” I turned some of the ideas into articles for my website and now, my blog. I promoted this content through online forums and social media. One article had more than 500 downloads in two days. These new contacts were added to my mailing list for further follow-up. The session was videotaped and edited into short topics for my website and YouTube.

How are you using the whole buffalo in your business?

The GE Social Media Team: Gary Sheffer, Jen Walsh, Sean Gannon, Lisa Lanspery, Mike Eisenreich, Megan Parker and Vivek Kemp