4 Corners NPNZ Presentation Update

Digitizing Natural Products New Zealand

4 Corners Design
The Building
Blocks of Life
Online

September 2009

© 4 Corners Design 2009. www.4corners.com 1

Contents:
• Background
• Social Media, a brief history. Introduction to social
media, conversational marketing
• Social Media, how is it being used?
• Social Media, where is it going?
• What does conversation do?
• Manuka Honey - Comvita
• The Natural Products New Zealand opportunity


Who we are

At 4 Corners we create and
deploy interactive brand
experiences that engage
customers, start conversations,
build community and ensure a
return of investment.


Our approach

Our user-centered approach is
grounded in a collaborative
methodology that simultaneously
considers user attraction,
business needs, technical
possibilities and the spirit of
the brand.


Building Blocks of Life Online

Analytics & Digital eCRM Technology
Reporting, Marketing
Search

Naming Brand Identity Content & Digital
Messaging Strategy

Business Brand Marketing Insights
Strategy Positioning Strategy Consumer
Big Idea Trends
Innovation


Building Blocks of Life Online

Analytics & Digital eCRM
Bought Technology
Reporting, Marketing Advertising
Search Owned
Website
Shopping (Commerce)
Mobile
Naming Brand Identity Content &
Social Network Digital
Messaging Strategy
Presence
Digital Video
Out of home
Promotions & Events
E-mail Marketing
Integrated Campaigns
Business Brand Marketing
Strategy Insights
Consumer
Trends
Strategy Positioning Earned Innovation
Big Idea Social Influence Marketing
Digital PR


Background


Some Clients

AARP
Accenture
American Express
Hallmark
McGraw-Hill
Merrill Lynch
Morgan Stanley
Office Depot.com
Scholastic
The New York Times
TIME, Inc.
Warnaco

www.4corners.com

Social Media - A brief history


Where is social media going?
Love it or hate it, LinkedIn, Facebook, Twitter, YouTube,
blogs and more, are increasingly being used for effectively
reaching both internal and external audiences.

Like it or not, good and bad things are being said on Social
Networks, Blogs and communities about companies,
brands and products (you may be surprised about what is
being said about you, your brands, ingredients and markets).

The question that you need to ask yourself is whether you
want to observe and participate in the conversation, or choose
to ignore it.


776,000,000 people participate conversational media

Web 1.0 was the read-only web
Web 2.0 is the read-write web
Web 3.0 is the read-write-engage/execute web

What does this mean for Natural Products NZ and Natural
Products companies?

This is an opportunity for Natural Products NZ to invest in social
marketing activities to grow a community of brand evangelists
and amplify marketing initiatives, i.e. have the online community
help you get the word out about who you are, what you do, and
what you have to sell

Evolution of media - introduction of the the 3rd screen

TV Computer Smart Phones -
The 3rd screen


Evolution of conversation
Web 1.0, and prior, the read only web, brands controlled their message

• One to many
• Expensive to produce
• Fewer competitors
• Controlled
• Same message, one size fits all
• Professional to amateur

Brand

Evolution of conversation
Web 2.0 onwards, read-write-engage/execute web, consumers get a voice

• Global
• Social
• Ubiquitous
• Cheep
• Consumer as producer
• More producers (square of the
sum)
• More amateurs than
professionals
Brand

The social space
• Crowded with possibilities
• Choose carefully


Why does it matter? Conversation is critical

• Highest level of credibility and purchase influence is from peers
• Second highest level of influence is from experts (i.e. bloggers)
• Listening will lead to innovation (e.g. MyStarbucks, Dell Idea
Storm)
• Technology is accelerating participation in conversation
(advanced devices, more software, more possibilities)
• Trust and motivation are increasingly the currency of influencers
and less in the hands of the marketer


Social Media - How is it being used?


My Starbucks - Microsite


My Starbucks - Twitter + Facebook


Dell Idea Storm - Micosite


Dell Idea Storm - Twitter


WePC - Micosite


4 Corners Blog

Website

Twitter
Facebook
• Updates
• Info
• Images
4 Corners

• Updates
• Followers
• Following

Flickr
• Images/showcase LinkedIn
• Events/client promotion

• Connections
• Networking
• Groups

Different companies, different needs
Website

Acquisition & Promotion -
microsites and newsletters

Social Media

Brand Mobile applications

Tools & Applications
SEO & SEM

Hell hath no fury like a customer scorned.
The danger of “do nothing” - United breaks guitars
A United Airlines passenger was so dismayed over a guitar broken by United staffers that he
has writ his anger across the web. After a protracted attempt to get United to pay for the
damage, Carroll struck back.

• Citizen journalism and the Social Web, over 5.4 million views on YouTube
• United Airlines image tarnished, masses of negative blog press
• Reported negative slide in stock price attributed to video release
• Taylor Guitars popularity skyrockets


Twitter allows the customer/consumer to have a voice.
What is the opportunity here?


Social Media - Where is it going?


According to a recent survey, eight in 10 firms in the US
believe social media can enhance relationships with
customers/clients (81%) and build brand reputation (81%).

Almost 70 percent feel such networking can be valuable in
recruitment (69%), as a customer service tool (64%) and
can be used to enhance employee morale (46%).

The most popular vehicles being used include Facebook
(80%), Twitter (66%), YouTube (55%), LinkedIn (49%) and
blogs (43%).


Social Media’s vehicles being used

Perceived value of Social Media


Reasons management uses Social Media

Social Media’s Inclusion in Crisis
Communications Plan


If you’re not using Social Media, why?

Reasons for using Social Media



Projected use of Social Media
over the next year


Social media has rapidly evolved to become a member of an elite trio of interactive marketing
tactics – “Email, Search and Social”. But we wanted to know how marketers ranked these tactics in
importance to each other, and who they thought would emerge as the alpha dog of the pack moving
forward.
Do You Agree or Disagree That Social Media Will


• An increasing number of case studies and success stories are
showing that B2B and B2C marketing cannot be successful
today without a Social component

• Corporations are discovering the power of conversation and
augmenting their strategies with more interactive and
conversational elements, allowing B2B and B2C brands to listen,
observe, engage, and participate

• And because more corporate clients are spending their time on
Social Media channels, B2B brands have an opportunity to
engage potential prospects and existing customers on the
same mediums


• ...the bottom line is that all marketing (whether B2C or B2B)
targets Real People. Real People are social. They enjoy
conversations and value authentic relationships. Those are what
well-executed social media efforts deliver.

• “What b-to-b marketers, in particular, miss is that these
conversations are going on without them. Just type in your
company name on Twitter search and you'll be blown away—there
are going to be comments about your company and issues being
discussed you weren't even aware of.”


• B2B and B2C buyers are still people, and in the end, they buy
from people and not companies.

• If you can build a relationship with a prospective buyer using
Twitter before they are actively looking, you built your brand more
effectively than you could with much more expensive options. The
trick is to know who to follow and who to focus on for that
relationship-building.

• Twitter can put a human face on a large B2B organization
• Twitter has become more popular than LinkedIn among social
network users in the United States.


• It is a myth that Facebook attracts only kids. The ideal age
group for Facebook spans from 15 to 34, but 44% of 35- to 44-
year-olds and 30% of 45- to-54-year-olds say they have
profiles, too.

• The average user logs into a social network account about four
times daily, five days a week, and spends about one hour per
day on the network. About 31.8% are business users; followed
by 26.3%, fun seekers; 21.8%, social media mavens; and
10.1%, leisure followers.


What does conversation do?


What does conversation do?

• Builds awareness, anticipation, and demand for current and
future products
• Increases visibility among communities who influence their
peers
• Expands communities with early news of upcoming
products
• Generates interest with other retail partners/establishments
• Improves search engine rankings resulting from expanded
web presence (“free media”)


Why is ranking on the top of search results so
critical?

• Eye tracking shows how focused peoples
attention is to the first results on the first page


Principles

• Add value
Provide a space where a brand can help add value to a community.
Become the ultimate content resource.

• Audience participation
Inviting the audience to participate in a conversation through their
own creative means. Allow consumers to take your brand message
and feel an equity stake in it.

• Be a convergence point
Destination for collection of content and media types. Create an
overarching experience that helps the audience engage, interact
and define the future of their brands


Manuka Honey - Comvita


The subject matter conversation is already
happening, with or without you

• Do you want to participate in that conversation
and help guide it, or do you want to let the
conversation guide itself?


Keywords, Twitter, Blogs, News
• Chatter around “Manuka Honey”


Tweet traffic - subject category


Manuka Honey - Google traffic
• Reasonable searching for Manuka Honey
• Opportunity for Comvita to “own” Manuka Honey online,
become the Manuka Honey SME of the Internet


Manuka - Wikipedia
• Manuka on Wikipedia. Comvita should become the global SME on Wikipedia
for all things Manuka and Manuka Honey related


Comvita - Twitter, Blogs, News
• Chatter around “Comvita”


Comvita - website, Facebook, Twitter
• Nearly empty web pages, lack of changing content and buried content work against a
good search engine ranking
• Good Facebook presence, but needs more followers and more active changing content
• Twitter needs to be more actively used and generate more followers as well as follow


Conclusion
• Improve Messaging - Who are you, what do you do?
• Improve UI, IA, content, media, SEO
• Visible Blogs, more active
• Visible News & Events
• Polls, questionnaires
• SEM Initiatives
• Social influence marketing, more active, Facebook, Twitter,
YouTube, LinkedIn, etc.


SWOT analysis
Strengths Weaknesses
• Quality products & companies • NZ is behind in using social media for business
• Web savvy audience (US) • Geographically isolated
• No one else is doing it well - yet

Opportunities Threats
• You are already online, use your presence to reach • Relatively unknown brands in the US
new audiences • Others countries are starting to do it
• Opportunity to really connect with your audience - • Relatively easy barrier to entry
get them talking and LISTEN
• Branch out into a more extended online presence
• Develop an audience of influencers, drive
awareness and discussion
• Own the voice of New Zealand natural products
online


Natural Products New Zealand
Opportunity


What could it be?
For the NZ Target Audiences: A resource where influencers and communities meet and
learn about prospective leads in the US market, and about doing business in the US.

For the US Target Audience: A resource where influencers and communities meet and
learn about New Zealand Companies and Products; while creating a unified voice that
shapes the future of Natural Products NZ.

For Natural Products NZ: A platform ecosystem that can be used to set strategy on
the future of their services and allow for more interaction between NZ Producers and
US Buyers.


Identifying and activating influencers
• Identify the communities that matter to Natural Products
NZ and start a conversation...
• Provide an open forum (what are the most important
issues/topics, what are the great opportunities)
• Create a suite of Natural Products NZ blogs/discussions
• Develop a presence on social networking sites - official
page for Facebook, Twitter, YouTube, LinkedIn, etc.


Identifying and activating influencers
Principals to live by:
1. Do not control the conversation (influence it)
2. Enable, inspire, influence
3. Create opportunities for people to feel
ownership of the brand


Act on the conversation
• Analyze and capture the “hot topics”
• Respond and provide feedback
• Redistribute user-generated content to fuel conversation


Measuring success
ENGAGEMENT AMPLIFICATION EQUITY
Join and inspire An engaged community Brand is endowed with
conversations with quality brings your brand into a premium characteristics.
content. Add value to the broader web conversation.
community. Create media.

- Clickthrough rate - External mentions (“buzz”) - Search rank, search equity
- Page views . Mainstream media - Awareness (recall,
- Time spent . Blogs/microblogging recognition)
- Repeat visitors . Forums/message boards - Perception shift
- Actions taken . Social networks - Higher favorability,
- Comments . Social bookmarking association
- Votes - Inbound links - Increased loyalty
- RSS Subscriptions - Influencer reach/rank
- Bookmarking - Tone/sentiment
- Content up/downloads - Organic traffic
- Creation of media objects - Viral index
- inbound links - Share of social voice


Questions
How soon should one respond to a Tweet?
As quickly as possible. Twitter moves really fast, and many people are following a lot of
different users. You don't want them to get to the point where they forgot they even
responded to you or asked you a question! The quicker you respond, the more on top of
it you look, and the quicker that user will be to retweet your response, etc.

What should a damage control strategy be? How are companies using this
to respond?
Listen and respond! There is nothing worse than staying completely silent, since the
conversation will continue whether you're a part of it or not. Be as transparent as possible
and state accurate company policy/messages - the public will respond when you engage
with them and show that you're making an effort to rectify a problem.

Can you see where people are from on Twitter?
Yes - if a user chooses to broadcast this information. You can see it on their profile page.


Questions
Who has ownership of ideas submitted to a company?
The company needs to clearly define through the Terms and Conditions how ideas
posted via social media channel or on a website can be used - using MyStarbucksIdea as
an example, they clearly state in their Terms and Conditions that Starbucks has the right
to use any idea submitted to the website or via Twitter, and that the submitter does not
retain any ownership over that idea.

What strategy should a really small company take?
Be very focused and decide what the most important goals and objectives are - focus
on the social media tools and audiences that will really help with those focused
objectives. Don't try to do everything! (I.e. using LinkedIn for lead generation, a
YouTube channel if you have a lot of video content already, etc.)


Contact - 4 Corners, Ronnie Peters

Website and blog: www.4corners.com
Twitter: 4cornersdesign
Facebook: 4 Corners
Flickr: 4 Corners
LinkedIn Ronnie Peters or 4 Corners Design
Email: rpeters@4corners.com


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