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Microblog revolutionizing china's social business development (Highlights of CIC and SINA White Paper)
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Microblog Revolutionizing China’s
Social Business Development CIC· SINA JOINT WHITEPAPER © 2011 CIC • SINA Oct. 2011
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Executive Summary
In the US, the relentless expansion of Twitter and Facebook continues to change the entire Internet landscape. Nowadays, social media is as equally integral a part of people’s online lives as other key Internet services; search engines, portals or e-commerce platforms. The extended 3rd party applications incorporated by social media platforms help to quickly form an immersive eco-system and have aided the perpetuation of this social business revolution. Sina Weibo officially launched in August of 2009, ushering in the dawn of the microblog in China. By October of 2011, the number of registered users of Sina Weibo had reached 250 million; the volume of tweets per day had increased to 90 million, with almost 50,000 companies having opened branded accounts. Thus highlighting that Sina Weibo is not only an information and communication tool, but also a powerful marketing and business platform for enterprises. CIC has been pioneering the conceptual and practical shift “From Social Media to Social Business” and defined the term “social business” in 2010. In short, every business needs to be a social business. That is, one which leverages the power of social interaction occurring inside and outside the organization. © 2011 CIC • SINA 1
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Executive Summary
The evolution “From Social Media to Social Business” outlined by CIC was recognized by Sina and other industry representatives. In November of 2010, CIC and Sina formed a strategic partnership and in order to better drive China’s social business revolution. CIC will augment this collaboration with Sina in October 2011 with the release of the co-branded white paper <CIC•SINA – Microblog Revolutionizing China’s Social Business Development >. This white paper will discuss the features and market values of the microblog medium, thoroughly explore the microblog led social business revolution and help brands and agencies comprehensively understand and leverage the platform in the Chinese market. This whitepaper has 3 parts: 1. The exponential growth and development of the microblog in China is facilitating a battle for the role of key “Social Portal” in the Chinese Internet landscape. We are moving into the “Platform Era”. 2. With the rapid development and enterprise implications of microblog accounts and microblog marketing, ever more companies are focusing on their owned media. 3. Microblog’s rapid development proves the possibility of social business. Social business is no flight of fancy, it’s composed by a series of business objective and business practice. Note: Download Chinese version from here © 2011 CIC • SINA 2
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Weibo Activates Related
Internet Applications, Creating an Online Ecosystem and Corresponding Content Cycle Communication and Diverge, inspire and interaction around create new views, the content. topics and content. Vote Tweet Weibo An open platform Retweet Comment provides an Applications abundance of convenient tools. Monitoring / Weibo based content Analysis can return to the soil, Open rejoining the ecological Content from other Platform Interactive content cycle platforms is shared to Management Weibo. Account Ideas, Management Topics, Content Internet platforms provide a huge volume of information to Weibo, like Video Blog BBS Portal Media Ads E-commerce nutrients from the soil. Source: CIC © 2011 CIC • SINA 3
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EVOLUTION OF THE
SOCIAL PORTAL As a social portal, Weibo aggregates and channels content that has been curated by your peer group Traditional “Edited” Search Search Social Social Portal Information Engine Information Portal Information Netizens accept information provided Netizens actively seek out information Netizens communicate with peers on social by websites. from search engines. As a result, they portal sites and form communities. This only get the information community shares information. Information comes from Website recommended by the search engine. editors. Information comes from peer group – Information comes from search “Group Intelligence” engine algorithms. © 2011 CIC • SINA 5 4
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China’s Internet Giants
Develop Social Products to Create a “Social Portal”. An open policy facilitates applications by 3rd party developers, enriching the “social portal” as an inclusive Internet platform; Weibo is leading China’s Internet into the "platform era." CIC studied the top 10 internet companies in China, finding We also find that all of these companies have an open each was developing a range of social products in the move platform. Applications in open platforms increase “stickiness”. towards “social portal”. Some of the market leaders have Sina Weibo currently has 3500+ applications and another almost created an entire social product line. 7000+ awaiting approval. Link of original infographic Source: CIC Note: “the Social Power of China’s internet giants” is updated to July, 2011 © 2011 CIC • SINA 5
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Microblog Marketing -
User Characteristics: 76% of Sina Weibo users are between 19 and 30 years old and are more highly educated than the average netizen. Age1:Sina Weibo users are younger; 76% are aged 19-30. Gender2:Males are more than females in elder group. 62.6% 3.2% 4.1% 4.3% 57.7% 58.4% 53.9% 50.3% 12.4% <15 42.3% 46.1% 49.7% 41.6% 37.4% 15-18 Male 19-22 36.5% 23-30 Female 39.5% 31-40 >40 15-18 19-22 23-30 31-40 >40 Education3:67% hold a college degree or above. Location4:13% of Sina Weibo users from Guangdong, followed by Jiangsu, Zhejiang and Beijing. 16% Bachelor 42% 12% 12% College 25% 8% 11% Sina Weibo 24% 4% High School 34% Overall Netizen 0% 8% Heilongjia… Overseas Qinghai Yunnan Sichuan Neimenggu Guizhou Fujian Henan Liaoning Shanghai Anhui Chongqing Xinjiang Ningxia Jiangsu Hebei Shaanxi Tianjin Guangdong Zhejiang Hainan Gansu Beijing Shandong Jiangxi Hongkong Macau Jilin Hunan Taiwan Guangxi Shanxi Tibet Hubei Middle School 35% Primary 0% School 9% Source: 1,2,4 are provided by Sina; 3 us provided by Millward Brown and CNNIC 的 © 2011 CIC • SINA 6
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Segmenting Sina Weibo
by Netizens’ Interests and Behavioral Characteristics: Marketers should develop a sound understanding of their target audience and incorporate relevant features within campaigns Characteristics of microblog based subcultures. Through analysis of user information, Entertainment Sports Education we can develop a profile based on interest and Entertainment Politics Celebrity behavior. Weibo topics can be initially divided into M,13-17 Tech F,13-17 entertainment, emotional and pragmatic. For M,18-22 Art People Law Resourceregion example, young men and women are entertainment Constellatory F,46-60 M,46-60 M,23-30 Pragmatic M,31-45 Media focused, where as older men and women are F,18-22 Org. Activity Environment relatively pragmatic. In particular, older men focus on Religion Sex Economy Life politics, economy and legality; older women are Emotional Elite F,23-30 F,31-45 more strongly drawn to emotional topics, like life and family and issues of gender. Behavioral traits of microblog based Retweet subcultures. Sina Weibo users show different engagement behavior based on their profile; Change Skin F,13-17 F ,46-60 onlookers, followers, participants and seekers. Young Be Retweeted men and women are, in the main, participants and F,18-22 M,13-17 Browsing followers; they aim to transmit, comment and Search People M,46-60 F,23-30 Create New Content Search Content F,31-45 communicate. Older men and women seek out Add Follows Be Commented M,18-22 Receive PM accounts based on interest in a particular topic. Sina Comment M,23-30 PM Add Fans M,31-45 Weibo’s onlookers are generally over the age of 46 and receive information more passively from those they follow. Source: Sina F=Female; M=Male © 2011 CIC • SINA 7
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Brands planning effective
Weibo marketing must draw on experience gained listening 企业如何应用微博进行营销-以微博为基础的整合营销 to; netizen involvement, interaction, marketing integration, measurement and evaluation, before updating the marketing strategy Listen, Engage, Integrate, Measure and Optimize ( LEIMO ) model, enterprises take the initiative to listen to consumers on brand evaluation and feedback, actively participation of consumers , integrating the social platform on the pay media, self-media and free media into the overall marketing plan, and through the establishment of a standardized index and model of marketing effectiveness evaluation of marketing strategy, optimization, to application of social media platform. Listen Engage Integrate Measure Listen to the consumer Active dialogue with Social media will Based on analysis of and gain insight into consumers; integrate pay media, IWOM and the digital their psychology from resonant and timely self-media and free landscape, we brand related dialogue marketing; the media into marketing establish a measure to and online social establishment of a operations. monitor, track, analyze behavior. long-term and evaluate the relationship. marketing effect. Optimize Source: Sina, CIC © 2011 CIC • SINA 8
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Weibo Improvement Increases
Enterprise Engagement: Management of owned media is not limited to brand account management. It can also be developed to take full advantage of additional resources. Brands can use Weibo as a touch point with consumers and efluencers, augmenting loyalty and increasing stickiness. I:Brand Official Account I: The window of the brand, maintaining brand image and providing a touch point for consumers. II :Weibo Platform II: Collect related information of all brands, building a database to extract IWOM and gather consumer feedback. Brand Account III :Amount of Weibo Users III: Followers include current and potential I II III IV V consumers; the most direct contributors and disseminators. IV:Brand Weibo Event IV: Create activities online and offline to improve fans’ loyalty. V:Brand App V: Related applications, including third party developed, can be creative means of generating IWOM. © 2011 CIC • SINA Source: 2011 IWOM Watch Microblog Special Edition 9
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Enterprise Pays More
Attention to Owned Media After Emergence of Weibo Fans Content Interaction Weibo provides brands with a strong, owned media platform. Besides short term marketing effectiveness, brands can build and maintain brand assets in Weibo, integrating bought and media and earned media presence. Brands should be aware that content, fans, interaction are only just the tip of the iceberg in owned media management. Process Information Owned media operation via Weibo should first be central to Strategy strategy; requiring enterprise to rearrange internal processes, update social media industry knowledge and internal communications. A Weibo operations team needs to be developed to run new technology and communication tools. Talent Technology Corporations can release information to the public, maintain interaction with followers and manage their account effectively. This will result in positive IWOM and more earned media. Source: CIC © 2011 CIC • SINA 10
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Social business is
no flight of fancy, it’s composed of a series of business objective and business practice. Social Business in Three Steps Typical social business objective I. Specifying social business aims is at the heart of social engagement. These are typical social business objectives, enterprises should set It’s also is the core of enterprise socialization strategy; social business goals, then select the suitable platform, tool and method for implementation of social business strategy. II. Based on social business objectives, enterprises can develop innovative social business behavior; III. After joining the community, enterprise must continuously evaluate and Brand Building optimize behavior in order to better achieve the established social business objectives. Client Others Management I. Social Biz Objective Talent Social Marketing II. Org. Action Optimization Business Optimization III. Evaluation & Optimization Strategy Social Sales Research Accelerated Innovation Source: inspired by Altimeter-A Framework for Social Analytics © 2011 CIC • SINA 11
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Weibo Facilitates Observation
of Enterprise Behavior Relating to Social Business Weibo proved the feasibility of social business. Reputation Account Evaluation Evaluation Crisis Zone A Monitoring Zone A: Many enterprises have realized the Fans Reputation importance of social business in Zone A. Some & Crisis Analysis have already integrated these objectives to their …… Management Interaction daily operations and KPI. Client Analysis Others Service & interaction Brand Building Zone B : Leading enterprises are trying to carry Client out social business objectives in Zone B. Others Management Relevant research and additional study is taking shape step by step. Social Recruiting Weibo Recruiting Talent Optimization Business Marketing Optimization Marketing Campaign App. via Weibo & Zone C : The exploration stage of new social Evaluation Promotion business and Weibo based brand activity. Social Sales Strategy Research Accelerated Innovation Enterprise can chart social business Zone C Weibo Sales Business Intel. maturity in relation to this “compass” Industry Dynamics E-Comm Crowd Analysis Integration Sourcing Competitor Study Consumer Trend insight watch Zone B © 2011 CIC • SINA 12
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About CIC
CIC is China's leading social business intelligence provider. CIC enables businesses to fully leverage the power of social media and (Internet Word of Mouth) IWOM intelligence across the organization. Since coining the term IWOM in 2004, CIC has pioneered the industry to help companies meet their social media marketing and social business needs by providing customized research, consulting services, syndicated reports, as well as technical solutions and platforms all via an objective, third party perspective. In addition to helping companies leverage social media intelligence for more informed decisions, CIC is monetizing the social business industry in China by creating an integrated social business support system. info@cicdata.com weibo.com/seeisee www.linkedin.com/companies/359113 www.slideshare.net/CIC_China www.douban.com/host/cic www.jiepang.com/cic www.tudou.com/home/iwomchina @cicdata CIC_CN © 2011 CIC • SINA 13
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About Sina
SINA is an online media company and MVAS provider in the People’s Republic of China and for the global Chinese communities. With a branded network of localized websites targeting Greater China and overseas Chinese, the Company provides services mainly through SINA.com (online news and content), Weibo.com (microblog) and SINA Mobile (MVAS). Through these businesses and properties and other business lines, SINA offers an array of services including region-focused online portals, MVAS, microblog, blog, video and music streaming, photo sharing, online games, email, search, classified listings, fee-based services, e-commerce and enterprise e-solutions. Sina Weibo is the microblogging services provided by Sina.com. It is not only the most influential Social Network in China, but also an Open Platform to get, share and broadcast information based on users' relations. Users can post updates in 140 characters or upload images through webpage, WAP page or mobile phone SMS/MMS. © 2011 CIC • SINA 14
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