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February 12, 2013
The New Normal
 Paradigm shift – many to many
 Power to the people
 It’s about the conversation
 PLUS:
 Brands relinquishing control of their once fiercely-
protected identities
 Brands participating in conversations with consumers
(dialectic is best way to persuade)
 Brands realizing the power of relationships
The “Relationship” Era of Marketing
PRODUCT ERA CONSUMER ERA RELATIONSHIP ERA
Marketing is:
Informing
people about
products
Marketing is:
Persuading
people to buy
Marketing is:
Creating
sustainable
relationships
(1900s-1960s) (1960s-2000s) (2000s-NOW)
SM is Crucial for Brands
 Brands constantly challenged to find new ways to
acquire new customers
 Death of :30 second spot + fragmented media
landscape = hard to reach consumers
 Before – brands reached consumers through media
 Now – brands can speak directly to consumers
 EVERY brand in existence is asking, “How do I reach
and engage new & existing consumers through social
media?”
Common Threads
 Transparency – brands disclosing & sharing more
information than ever before
 Authenticity – company executives getting “real” with
consumers
 Participation – inviting consumers to participate in the
marketing campaign itself
Fiat
 User-submitted
designs
 Community voting
 Winners saw their
design on display at
SEMA show
KIA Motors – Who’s Next?
 Campaign for launch of
KIA Soul
 Invited consumers to
submit videos explaining
why they should be the
next YouTube star
 Winner got $10,000 to
develop their own
YouTube channel
Skittles
 High degree of
user
participation
 Photo of the
week
 Highly visual
website features
user
submissions,
Twitter stream,
etc.
Netflix
 Held contest to improve
its “Cinematch”
recommendation engine
 Prize went to whomever
could increase match
predictions by 10%
(worth $1MM to the
company)
 More than 30,000
hackers worked on it
Rickshaw Bagworks
Grasshopper.com
 B2B virtual business phone
solution
 Rebranding effort to focus on
entrepreneurs
 Inspiring video + mailing of
chocolate-covered
grasshoppers to journalists
 Encouraged photo-sharing
through social media
 Results: 119 blog posts, 30,000
referrals, 1,500 tweets, 4000%
increase in traffic to website
from social media
Comcast
 @ComcastCares – 54K
followers
 Tech support for Comcast’s
23 million subscribers
 Started by Frank
Eliason, Senior Director of
Customer Service
 Opens up a new channel to
address customer
complaints
Samsung Mobile
Gap
 Decided to update their logo:
 Ran into tremendous backlash on Facebook and
Twitter
 Within one week, decided to switch back to the old
logo as a result
 THAT’s the power of social media!
Old Spice Body Wash
 Old Spice Body
Wash launched ad
campaign featuring
Mustafa (the Old
Spice Guy)
 Mustafa created
personal video
responses to
celebrities via
YouTube
 Sales for Body Wash
rose by 107%
Domino’s Pizza Brand Promise
“You call us up and invite us to your home; you trust us
to make dinner for you; you invite us to your doorstep.
That's sacred to us, and that's why our people wear full
uniforms. We want you to trust us when your doorbell
rings.”
- Tim McIntyre, vice-president of communications
Case Study – Domino’s
 Two Domino’s employees
uploaded a video to
YouTube showing them
putting boogers on
pizzas
 Video spread rapidly
across the Internet and
created a huge PR
nightmare for the
company
How Domino’s Responded
 Identified the employees and fired them
 Contacted the Health Department and
local police to file charges against the
two culprits
 The social media team immediately
contacted YouTube to ask that the video
be removed (not that simple)
How Domino’s Responded (cont.)
 Didn’t issue a public statement; instead responded to
direct inquiries via Dominos.com, FB, Twitter, etc.
 Domino’s posted its own video to YouTube, featuring
company president who calmly and sincerely vented
his anger and reiterated how sacred the company
holds its customers' trust.
 Purposely used the word “disgusting” in title so that
when people searched on YT, the new Domino’s video
would show up first
The Aftermath
 Within three hours of posting the company video
response to YouTube, views of the original video
surged to over one million.
 And for the first time ever, on that day only, search
queries for keyword "Domino's" surpassed those for
"Paris Hilton.“
 The company-posted video also quickly propelled the
story into mainstream US news, then global media –
60 million media impressions
The Aftermath (cont.)
 Sales/franchisees suffered - the company reported flat
to slightly positive sales in the second quarter
 Received top honors in the annual American Customer
Satisfaction Index (ACSI) in May.
 Domino’s now a great example for how to handle a
social media crisis the *right* way

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Social Media and Brands

  • 2. The New Normal  Paradigm shift – many to many  Power to the people  It’s about the conversation  PLUS:  Brands relinquishing control of their once fiercely- protected identities  Brands participating in conversations with consumers (dialectic is best way to persuade)  Brands realizing the power of relationships
  • 3. The “Relationship” Era of Marketing PRODUCT ERA CONSUMER ERA RELATIONSHIP ERA Marketing is: Informing people about products Marketing is: Persuading people to buy Marketing is: Creating sustainable relationships (1900s-1960s) (1960s-2000s) (2000s-NOW)
  • 4. SM is Crucial for Brands  Brands constantly challenged to find new ways to acquire new customers  Death of :30 second spot + fragmented media landscape = hard to reach consumers  Before – brands reached consumers through media  Now – brands can speak directly to consumers  EVERY brand in existence is asking, “How do I reach and engage new & existing consumers through social media?”
  • 5. Common Threads  Transparency – brands disclosing & sharing more information than ever before  Authenticity – company executives getting “real” with consumers  Participation – inviting consumers to participate in the marketing campaign itself
  • 6. Fiat  User-submitted designs  Community voting  Winners saw their design on display at SEMA show
  • 7. KIA Motors – Who’s Next?  Campaign for launch of KIA Soul  Invited consumers to submit videos explaining why they should be the next YouTube star  Winner got $10,000 to develop their own YouTube channel
  • 8. Skittles  High degree of user participation  Photo of the week  Highly visual website features user submissions, Twitter stream, etc.
  • 9. Netflix  Held contest to improve its “Cinematch” recommendation engine  Prize went to whomever could increase match predictions by 10% (worth $1MM to the company)  More than 30,000 hackers worked on it
  • 11. Grasshopper.com  B2B virtual business phone solution  Rebranding effort to focus on entrepreneurs  Inspiring video + mailing of chocolate-covered grasshoppers to journalists  Encouraged photo-sharing through social media  Results: 119 blog posts, 30,000 referrals, 1,500 tweets, 4000% increase in traffic to website from social media
  • 12. Comcast  @ComcastCares – 54K followers  Tech support for Comcast’s 23 million subscribers  Started by Frank Eliason, Senior Director of Customer Service  Opens up a new channel to address customer complaints
  • 14. Gap  Decided to update their logo:  Ran into tremendous backlash on Facebook and Twitter  Within one week, decided to switch back to the old logo as a result  THAT’s the power of social media!
  • 15. Old Spice Body Wash  Old Spice Body Wash launched ad campaign featuring Mustafa (the Old Spice Guy)  Mustafa created personal video responses to celebrities via YouTube  Sales for Body Wash rose by 107%
  • 16. Domino’s Pizza Brand Promise “You call us up and invite us to your home; you trust us to make dinner for you; you invite us to your doorstep. That's sacred to us, and that's why our people wear full uniforms. We want you to trust us when your doorbell rings.” - Tim McIntyre, vice-president of communications
  • 17. Case Study – Domino’s  Two Domino’s employees uploaded a video to YouTube showing them putting boogers on pizzas  Video spread rapidly across the Internet and created a huge PR nightmare for the company
  • 18. How Domino’s Responded  Identified the employees and fired them  Contacted the Health Department and local police to file charges against the two culprits  The social media team immediately contacted YouTube to ask that the video be removed (not that simple)
  • 19. How Domino’s Responded (cont.)  Didn’t issue a public statement; instead responded to direct inquiries via Dominos.com, FB, Twitter, etc.  Domino’s posted its own video to YouTube, featuring company president who calmly and sincerely vented his anger and reiterated how sacred the company holds its customers' trust.  Purposely used the word “disgusting” in title so that when people searched on YT, the new Domino’s video would show up first
  • 20. The Aftermath  Within three hours of posting the company video response to YouTube, views of the original video surged to over one million.  And for the first time ever, on that day only, search queries for keyword "Domino's" surpassed those for "Paris Hilton.“  The company-posted video also quickly propelled the story into mainstream US news, then global media – 60 million media impressions
  • 21. The Aftermath (cont.)  Sales/franchisees suffered - the company reported flat to slightly positive sales in the second quarter  Received top honors in the annual American Customer Satisfaction Index (ACSI) in May.  Domino’s now a great example for how to handle a social media crisis the *right* way