March/ April 2012

A Publication Powered by Rider Dickerson

Engaging Marketing Minds

Vol 2, Issue 2, March/April 2012

The Disillusionment of Social Media Just where is the deluge of social media taking us, and can it remain relevant?

INSIDE Power of the Niche It’s All About Timing How to Be Fascinating

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publisher ’s letter

Déjà Vu

3

Back in 1999, the dotcom craze was everywhere. Its rise was fast and furious. People left their solid jobs for a chance at stock options and the allure of becoming millionaires. Venture capitalists threw money at anything and everything that had a dotcom at the end of it. A few people ended up filthy rich – and they did it filthy quick. Even the general public enjoyed the ride.

But, as they say, “What goes up must come down.”

The meteoric rise of the e-commerce era was, in some part, a result of a promise that defied the laws of business. We heard that e-commerce would reduce all other channels, and, in some cases, completely eliminate them.

Businesses no longer would need buildings or the people who occupied them. The answer, the experts said, was e-commerce.

And it was going to happen overnight.

But a funny thing happened a few years into the dotcom revolution. People realized that real businesses actually needed real people in them.

They realized that e-commerce was a wonderful tool that wasn’t going away. They realized that this new tool would expand their reaches, broaden their horizons and complement all other channels.

And they realized that their relationships needed to be real.

Today, if you approach a venture capitalist firm with an idea rooted in e-commerce, you will be asked for more information. Venture capitalists, more than most, learned that the tool is not a business. Sure, many of them made millions of dollars off the short-term, speculative nature of the newly connected era. But many of them also saw that, if you don’t have a true

Bill Barta

connection to your market, you couldn’t build a sustainable business model.

In this month’s issue of printForum, you’ll find a couple of fascinating articles that remind us of those crazy dotcom days. Our cover article, “The Disillusionment of Social Media,” helps paint a picture of social media that seems eerily reminiscent to those boom years a decade ago.

But while social networks are a part of what we all use today, the vehicle is not what business is built upon. It is the community we serve that matters most.

In turn, our second feature, “The Power of the Niche,” shows that true success is rooted in the specificity of a market niche. In other words, if you aren’t standing for someone, you aren’t standing.

And, as always, we stand for you. Enjoy this issue.

Warmest regards,

Bill Barta President & CEO Rider Dickerson

Dean Petrulakis

Dean Petrulakis Senior Vice President, Business Development Rider Dickerson

Bill Barta, President & CEO, Rider Dickerson

CONTENTS

Managing Editor

03 Publisher’s Letter

10 The Disillusionment of Social Media

04 Marketing Insights

14 It’s All About the Timing

Publisher

Dean Petrulakis, Senior Vice President, Business Development, Rider Dickerson

Art Direction

Déjà Vu

Brent Cashman printForum is published bimonthly

by Rider Dickerson, copyright 2012.

All rights reserved For more information contact dpetrulakis@riderdickerson.com 312-676-4119 Printed on 100# Utopia 2 Dull Text

06 Power of the Niche

Building your brand means narrowing your focus and dominating your market space.

Just where is the deluge of social media taking us, and can it remain relevant?

When it comes to marketing, understanding when to send your message is as important as the message itself.

15 Book Recommendation Fascinate

printForum • March/April 2012

4

MARKETING INSIGHTS

what App? What app? That’s he said …

How much do you really love your apps?

Think about bout it for a minute. While faster data networks works and fancier smartphones make you u want lots of apps, like anything else, the appeal may be losing its luster.

According ng to a recent survey by the Pew Research search Center’s Internet & American Life Project, only only 68 percent of one owners open smartphone ewer apps at least five or fewer eek, while 17 once a w week, don’t open any at percent don’t estingly, about 42 all. Interestingly, of all U.S. adults percent of ones with apps, have phones orts. Of the top 50 Pew reports. ne in five is new apps, one onth. every month.

“Particularly over the last year, we’ve seen social media a grow from just being the latest shiny new to toy o to being a really p powerful tool that is integ integral g to gathering news a and telling stories.”

– Ryan Ryy Osborn, Senior Director of Digital Media for NBC, on why social media may be “m “must-tweet” m TV in 2012

They ‘like’ it Advertising on n social media sites continues to be something to rally r around. As news of a potential public offeringg centers around Facebook, a recent financial disclosure disclo o showed that the social media site posted $3.2 $3 3 billion in advertising revenue in 2011, with the th h number of ads on the site growperr ing by 42 percent over 2010. And, according to EMarketer, LinkedIn Lin n ad revenue hit $154.6 million last year, up u 95 percent from the year before, while Twitter ad sales grew $139.5 million, a 3 percent increase over 2010. whopping 233

Give me my tablet SO, S OW WHICH HICH D DO OY YOU OU P PREFER REFER – A TABLET TABL OR A LAPTOP? The percentage of businesses that plan to increase spending on social media sites, according to a joint study by Booz Allen and social platform developer Buddy Media. The study also showed that 38 percent of today’s CEOs believe that social media is a high priority.

March/April 2012 • printForum

The general consensus might surprise you. According to a recent study by market research company Poll Position, nearly half (46 percent) of U.S. consumers believe electronic tablets eventually will replace laptop computers. According to the poll, in the 45-to-64 age group, 52 percent agree tablets will be the preferred electronic device of choice; 30 percent say they would not; and 18 percent do not have an opinion. In the 30-to-44 age group, 53 percent say tablets would replace laptops; 37 percent say tablets would not; and 10 percent have no opinion. Interestingly, in the 18-to-29 age group, only 37 percent say tablets will replace laptops; 49 percent say they will not; and 14 percent offer no opinion. The report was based on a telephone poll of 1,155 registered voters in the United States in January.

MARKETING INSIGHTS

6

places social media is heading in 2012

Where, oh where, is the world of social media heading? As the medium continues to make its presence felt in every aspect of our daily lives, you can find any number of recent studies reinforcing how it is the greatest networking tool, since... well, you get the picture. David Armano, EVP, global innovation and integration for Edelman Digital, the interactive arm of PR firm Edelman, recently outlined six areas where social media may be heading in 2012 in the Harvard Business Review (blogs.hbr.org). In no particular order, here’s what he sees.

Convergence Emergence Coca-Cola and Domino’s Pizza both have experimented with the concept of “trans-media,” i.e., integrating social media with “real life.” Coke created an amusement park where participants could “swipe” their RFID-equipped wristbands at kiosks, which posted to their Facebook account what they were doing and where. And, during a recent marketing campaign, Domino’s posted unfiltered feedback on a Times Square billboard that integrated real opinions from real people culled from a digital source and displayed in the real world.

The Cult of Influence Similar to how Google defined a system that rewards those who produce findable content, there’s a race to develop a system to reward those who wield the most social influence.

In 2012, the attempt to convert digital influence into business value will become more about the tools and techniques professionals usee to “score” digital influence and nd harness, scale and measure the results of it.

Did you know...

Gamification Nation Game-like qualities continue to emerge within a number of social apps on browsers or mobile devices. While gamification has been used in consumer settings, look for it in other areas, from HR, to government, healthcare and even business management.

Social Television For many, television already is a social act, from talking to the person next to you, texting, tweeting or calling a friend about what you’re watching. But television is about to become a social experience in a broader sense. Shows like the “X Factor” allow voting via Twitter and highlight other social promotions, encouraging viewers to tap social networks while they watch. And “The Get a Clue Network” enables participants to “check-in” to their favorite shows and collect stickers to tell the world what programs they love.

The Micro Economy Sites like Kickstarter and Quirky may point to a new future reality, where economic value is directly negotiated and exchanged between individuals over institutions.

Kickstarter gives anyone with a project the opportunity to get the initiative funded by interested parties or people who receive something in return, while Quirky lets the best product ideas rise to the top, and then helps them get produced and sold while the “inventor” takes a cut.

Social Sharing Ideas, opinions and media, and status updates all make social media a powerful and often disruptive force. What’s coming next in social sharing is more closely aligned with e-commerce or web transactions. For example, sharing a vacation you just booked, or recommending a product or service from any site to a social network is where sharing is going next.

We may not know what to share until we see the option to do it.

According to a study by Adobe Digital A Marketing Insights, tablet users M sspend 50 percent more time than ssmartphone users on e-commerce ssites, and 20 percent more than cconventional laptop or desktop users.

5

The percentage of U.S. consumers who own at least one smartphone, according to a recent report by the Yankee Group. The report – The Runaway Smartphone Landscape – also shows that 58 percent of consumers plan to buy a smartphone as their next mobile device.

Tweet it up By the end of this year, eMarketer estimates there will be nearly 21 million Twitter users in the United States – a sizeable minority of whom will use the service to follow their favorite brands. According to its recent survey, 50 percent of respondents said that, after following a company’s tweets, they were more likely to purchase from the brand. An even stronger majority said they would be more likely to recommend their brand to others. Aside from promotions and discounts (think information), 61 percent of respondents said they follow brands so that they can be the “first to know” what’s hot, while 36 percent follow for exclusive content. In addition, 28 percent of survey respondents said they retweeted a comment from their favorite brand.

She said it …

“We’re trying to get people out of the mindset that social media is just for pushing your messages out. It is about communicating, but it’s also about listening.”

– Lindsay Tiles, Director of Corporate Public Relations at Charles Schwab, on how social media works for branding and customer acquisition

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of the

Building B ildi your b brand d means narrowing i your focus f and d dominating d i i your market space. Are you doing what it takes to succeed?

By Lorrie Bryan

March/April 2012 • printForum

7

I

Jim Henson, Miles Davis, Ansel Adams, and Joan Baez, among others.

The Think Different marketing slogan not only shaped consumer perception, but also represented the company’s internal activities.

Although Apple dropped the slogan in 2002, the Think Different mindset remains firmly embedded in the company’s culture.

Thinking differently is, in fact, at the root of competitive marketing strategies on a basic level. Laura Ries, a nationally acclaimed branding guru, author and president of Atlanta-based Ries & Ries, says that one key to successful “They were one of the first computer “Here’s to the crazy niche marketing is being different – being the companies that basically said, ‘We are first in a category. “It would be folly to try to going to come up with a proposition and ones. The rebels. The compete head-on with market leaders, unless, a value statement that is appealing to a troublemakers. The of course, you had an innovation that could be rather small group of people, and we are ones who see things perceived as a new category,” Ries says. “When going to focus on that group,’” says Koert you can create the niche market, consumers Van Ittersum, associate professor of mardifferently. While perceive you to be the market leader, and you keting at the Georgia Institute of Techsome may see them can often maintain that leadership for decades.” nology. “And that’s what they did – they as the crazy ones, we Take Red Bull, which launched an enerstarted with a small, distinct market.” gy drink brand in the U.S. market that rapidly In 1997, Apple launched a campaign see genius. Because became a market leader. Red Bull’s success that then-CEO Steve Jobs said reflected the people who are incited the launch of more than 1,000 energy the Apple philosophy and reinforced its crazy enough to think drink products in the U.S. market, of which brand. Called “Think Different,” it featured a concept called the “Crazy Ones.” The nearly 1,000 were unsuccessful. they can change commercials included black-and-white “Most of those brands made the mistake of the world are the footage of iconic counterculture personalitrying to emulate Red Bull by introducing their ones who do.” ties like Bob Dylan and John Lennon. Also energy drinks in small, 8-ounce cans, when included was a series of print ads that fothey should have launched something differ– Apple Inc., from the “Think Different” ad campaign cused more on brand image than specific ent,” Ries says. “Monster was the first energy products. The ads featured a portrait of a drink in a 16-ounce can, which became the historic figure and a small Apple logo with the words Think Different No. 2 brand of energy drinks. Are 16-ounce cans a niche market? in one corner. No reference was made to the company’s products. They certainly were when Monster was launched. But now Red The familiar faces on display included notable innovators such as Bull and many other brands also are available in 16-ounce cans.”

n case you missed it, Apple crushed it. Posting record holiday quarter earnings that exceeded all expectations in all categories, it became the most valuable company on the planet in January as its stock shares surged. Although Apple clearly is dominating today’s mainstream market, the Macintosh maker started by creating a counter-culture niche with a near evangelical devotion to all things Apple.

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Power of the Niche

“Today’s niche is often tomorrow’s mainstream product.

Who can tell in advance?”

– Laura Ries, President, brand strategist firm Ries & Ries

From Niche to Mainstream

DEFINING NICHE MARKETING

want to market it as a high-end health food.

The strategy was to keep the costs down and ask grocers to place it near the other yogurt brands. Today, many grocers are giving Chobani a premium location in the yogurt section.

Branding experts say it’s always better to narrow your focus and try to dominate a segment of a market, rather than compete with established brands in the overall market. “Today’s niche is often tomorrow’s mainstream product,” “Niche marketing is concentrating all market2. Give your product a new and different name – Ries says. “Who can tell in advance?” ing efforts on a small, but specific and well Chobani is the Greek word for “shepherd” and Certainly not Hamdi Ulukaya, perhaps defined, segment of the population. Niches is symbolic for a gift that comes from the heart. one of the most successful entrepreneurs to do not ‘exist,’ but are ‘created’ by identifyemerge during the most recent Great Recesing needs, wants and requirements that are 3. Launch your brand with PR, not adversion. Ever heard of Chobani (pronounced chobeing addressed poorly or not at all by other tising – According to Nicki Briggs, Chobani’s BAHN-nee)? Most had never even heard of firms, and developing and delivering goods or communications director, Chobani was disGreek yogurt a few years ago. But that didn’t services to satisfy them. As a strategy, niche stop Ulukaya from buying a discounted Kraft tributed to the media and anyone else who marketing is aimed at being a big fish in a Foods plant in New York and creating strained would take it. “We felt like our product was so small pond, instead of being a small fish in a yogurt the way it traditionally had been made good that if people tried it they would like it, big pond. Also called micromarketing.” for centuries in his native country of Turkey – tell other people about it, and essentially crewith all natural ingredients. ate a ground swell,” Briggs recalls. “We also – from BusinessDictionary.com “Greek yogurt was a niche market that launched a mobile tour campaign and traveled Ulukaya pioneered with Chobani, and now across the country in the ‘Chomobile’ handing the Greek yogurt market is booming,” Ries out yogurt samples at festivals.” says. “Chobani [now] has surpassed both Dannon and Yoplait to become the leading yogurt brand in the country. Who knew how big it Did their strategy work? Chobani ended up receiving a tremendous would become when Chobani launched its brand?” amount of media coverage in national print (Fortune, Better Homes and Gardens, Parents magazines) and on national television (the “Today” and “Good Morning America” shows), prior to launching its first Keys to Successful Niche Marketing According to Ries, Chobani’s successful marketing strategy is rooted in national ad campaign in 2011. In just four years, Chobani has become three key strategies, including being the first in a new category, giving your the No. 1 yogurt company in the country with 2011 sales exceeding product a new and different name, and launching your brand with PR, $700 million.

The brand also enjoys a tremendous following of enthusiastic fans not advertising.

1. Be the first in a new category – A decades-old Greek company, called Chobaniacs, whom have showed their love to the tune of more than Fage, was the first to import strained yogurt to the United States. 425,500 “Likes” on the social media site Facebook. In fact, the FaceStill, most people in the States had never heard of Greek yogurt book “Likes” are growing exponentially, with as many as 5,000 to 10,000 before Chobani started making it here in 2007, promoting it as a showing up daily. “We don’t see social media as a marketing tool; we see tasty, naturally healthy food. During its initial launch, Chobani didn’t it as an outlet for authentic dialogue with our customers,” Briggs says.

March/April 2012 • printForum

9 “We’re very responsive to what people are saying. This is where most of our ideas for new flavors come from.”

What Next?

Van Ittersum, who teaches graduate-level courses in brand management at Georgia Tech, warns that brands with a growth curve like Chobani must be careful not to dilute their brands. “This is where a lot of great companies make a marketing mistake,” he says. “Buoyed by success, they reach to grow their markets at the expense of diluting their brands. By leveraging what you’ve built, you run the risk of destroying it.”

His advice: “Don’t destroy your brand for short-term gains.”

For example, PBR (Pabst Blue Ribbon), which, historically, branded itself as a “bluecollar” beer, today is enjoying more popularity among “hipsters” and “suits,” because of its

think rugged bikers, leather jackets, tattoos, bandanas – not wine coolers.”

Nothing but Good For brands such as Chobani, many opportunities exist for growth on the horizon. For example, the company recently launched Champions, a kidfriendly yogurt that stays true to its “Nothing but Good” slogan and mission.

Ries says the key is to ask yourself what your brand stands for in the minds of your customers. And, if you can’t answer the question with one or two simple words, you have a branding problem. Successful examples include BMW, Volvo and Mercedes-Benz. Ask their customers what the brands stand for, and you will most likely hear the following: BMW – driving; Volvo – safety; and Mercedes-Benz – prestige.

So what does Chobani stand for? “Goodness,” Biggs says. “Our product is good for you

“By leveraging what you’ve built, you run the risk of destroying it. Don’t destroy your brand for short-term gains.”

– Koert Van Ittersum, Associate Professor of Marketing, Georgia Institute of Technology

perceived under-dog status, populist appeal and affordability. Van Ittersum says it would be a mistake for PBR to overtly target its marketing efforts to these new demographic groups. “Never alienate your central target market,” he says.

A notable and amusing brand extension flop that Van Ittersum often shares with students is the Harley Davidson wine cooler.

“Harley-Davidson took their brand extension to a whole other level when they introduced a line of wine coolers in the mid-1980s,” he says. “A lot of refined wine drinkers own Harleys, but when we think of Harley Davidson, we

and it tastes good. We feel that, as long as we stay true to who we are – quality, good-tasting products that are priced fairly and honestly positioned, our growth is limitless.”

Building a profitable $700 million company in four years is no small feat, and Greek yogurt can’t be considered a small niche. Says Ries: “You don’t create a small niche market.

You create a niche market, but you don’t know how large it will become. Every category started as a small niche market – soda, ketchup, facial tissue – and now Greek yogurt.”

Now that’s the power of niche marketing.

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The Disillusionment he t s i e r e h w t l s a i Ju c o s f o e g u l e , s d u g n i k a t a i d t i me n a c and ? t n a v e l re n i a m re rino lle el J. Pa a h ic

By M

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of Social Media

T

he news hit hard. Joe Paterno had died. The legendary

we have ever seen. You want more proof?

Check out the past couple of revolutions that social media helped start (Tunisia and 85-year-old Penn State coach, who had spent the last months Libya, anyone?). After the smoke clears, the pundits continue to debate just how of his life mired in a sea of controversy amid a child sex much power social media has today and whether it has reached the tipping point. abuse scandal by a former coach, was pronounced dead at Scott Klososky doesn’t think so. He believes that online strategies will continue to 3 p.m. EST, with family and friends by his bedside. revolutionize everything we do. Klososky, the former CEO of three successful startup companies and a thought leader who specializes in examining how technolThe problem was, Joe Paterno hadn’t died. Onward State, an oncampus student news site, tweeted that Paterno had died of compli- ogy is changing the world, has worked as a speaker and consultant with cations from lung cancer he had been diagnosed with last November, companies such as Ebay, Cisco, Newell Rubbermaid, Lockheed Martin, Volvo, The Hartford and Marriott. Today, he is founder and chairman of shortly after the university fired him.

The news of Paterno’s death, while not unexpected, still carried an Alkami Technology, which has developed a second-generation online immense amount of sadness. That the erroneous announcement was banking platform that provides online account management solutions to made via a tweet, not fact-checked and picked up by the worldwide me- the financial services industry. dia was the mother of all reporting mistakes. Following several rebuttal Klososky says social media detractors see disillusionment falling into tweets by Paterno’s family, the inevitable happened – all of it. Paterno three areas: It’s still new; some people don’t find it easy to use; and too died the next day; news organizations that ran with the tweet apologized many expect it be a cure for everything they need. “When you hear people and vowed to undertake more diligent reporting; and the managing edi- use the term ‘disillusionment’ in regard to social media, I think the main tor at the student website resigned in disgrace. thing that gets them is that it’s still new,” Klososky says. “Changes, espeIt is not the first time a well-known figure was tweeted dead too cially on the technology side, come in waves. Back in the early-’80s, when soon. Last January, several media outlets falsely reported we first got into PCs, there was a lot of disillusionment in the that U.S. Rep. Gabrielle Giffords had died after beIT world, because they didn’t want people to have ing shot during a public event in Arizona. computing power. Next came the Internet. The The age of social media – from its disillusionment was that people would just moment-of-impact reporting, to “liking” use computers to watch porn and shop.” anything your friends post, and everyToday, disillusionment converMarketers believe social media is an effective tool and use thing else in between – continues sations start with organizations it themselves, but their commitment to investing in social to create a culture in which being run by 50-or 60-year-olds who marketing lags, according to a study from the Software & first to report the news or making don’t get what social media is all Information Industry Association. According to its “Marketing yourself accessible 24/7 is the new about.

“They don’t want to learn in Today’s Economy” study, 90 percent of marketers use social cool. But truth be told, because sosomething new,” Klososky says. media, and three-quarters believe it has a positive impact on cial media allows for information to “When you have 10-year-olds ustheir business. But 55 percent said their marketing teams spend spread worldwide in a heartbeat, ing an iPhone better than adults, fewer than 10 hours a week on social media, with 35 percent trends such as breaking news and well, then yes, you’re going to get a spending between one and five hours a week. The online increasing the presence of your brand bit disillusioned. There also are those survey was conducted during the fourth quarter can carry both risk and reward. who want whatever it is that’s new to be of 2011, garnering 106 respondents.

The “he tweeted/she tweeted” world the panacea; they want it to fix everything that now engulfs us is unlike anything for them. If you have an unemployed person

DID YOU KNOW?

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The Disillusionment of Social Media

Ginnett doesn’t believe there’s disillusionusing social media to find a job, and he can’t, ment with social media as much as there he blames the tool. If your child is being are more options. This is what some bullied on a social media site, you say may refer to as the beauty and curse of the tool is horrible.”

Some 66 percent of adults online are on Facebook, LinkedIn and social media. “If something doesn’t Enter Good versus Evil – the other social media sites, according to a recent report by Pew work for somebody, they’ll move ultimate debate. Klososky says Internet. Two-thirds say they participate mainly to stay in touch with on to something else,” he says. that 50 percent believe social current friends and family or to connect with past friends. Other “Therefore, the adoption or abanmedia today is used for good and findings show that 14 percent of users say that connecting around donment of something comes at a 50 percent believe it is used for a shared hobby or interest is a major reason they use social media, quicker rate.

We [Ricoh] measure it evil. “I always take the theory of while 9 percent say that making new friends is equally important. by the number of conversations we disillusionment with a grain of salt Only 5 percent and 3 percent of social media users, respectively, are having, the quickness of response when it comes to technology. It’s a say that reading comments by public figures and finding and changing sentiments.

At the end of tool. People aren’t using it as much as potential romantic partners is important, the day, it all comes down to how you are they could. It invades privacy. It causes the report said. communicating with your customers and what you to ignore somebody a few inches you are sharing.” away from you, while talking to somebody a hundred miles away. There are a lot of issues you can affix to this disillusionment theory. The pen- Boon or burst? dulum will swing back and forth, but you can’t say we are ever going Jenny Schmitt, founder of the communications firm, Cloudspark, is a freback to the way things were. Social media is always going be with us.” quent speaker on the Atlanta marketing and PR circuits, dissecting approaches on social media strategies and business branding concepts. Ask if she sees any striking similarities between those once-powerful dotcom Putting a new name on the game Scott Ginnett doesn’t even call it social media anymore. Ginnett, the days of the late-1990s and today, she admits that predicting social medirector of digital collaboration and social media for Ricoh Americas dia’s future in that context is a risky proposition.

During the late-1990s, dotcoms were the media and investor Corp., calls it “social technologies.” For Ginnett, social media is a broad strategy that encompasses collaboration and outsourcing across darlings. Bust or no bust, Internet-based companies such as Amazon, an entire company’s structure. Social technologies, he says, are apps, Overstock, EBay, etc., still have incredible staying power. Looking at today’s landscape, social media companies such as Facebook (which Facebook, Twitter, etc.

“Looking forward, that’s my take on what social media is today,” Gin- is ramping up for an IPO) and Twitter appear to be today’s media and nett says. “Any smart organization that assumes social media technologies investor darlings. and the strategies behind them are not impacting their business is like “You’re seeing rapid infusions of cash through venture capitalists, saying the Model T wasn’t going to replace the horse. The rate at which as they try to get in early with the next big thing,” Schmitt says. “The the change is going is staggering. Any organizations that are waiting to media and investor worlds still will get the companies wrong. We’re embrace, or at least try to understand, what type of information they can still going to see failures, consolidations and leaders emerge. But we’re get and consume through these channels is putting themselves at risk.” also still going to have social media. Predicting the future of social So, is there disillusionment? Ginnett says you have to be smart. The media can be risky.” majority of consumers and businesses that consume information today are Schmitt says that technology and social media channels will change doing so via electronic mediums. “Today’s successful marketers are the (think the migration from laptops, to tablets, and smartphones). “Few ones who are finding a deeper level of content,” he says. “For example, could have predicted the significant change the iPhone would have smart publications have changed the type of information they provide. brought about five years ago,” she says. “Certainly, there is technology They are using a combination of resources and giving their readers a choice being developed that will change how we interact with online worlds and as to how they want to receive information. There are people who want to meld those worlds into our real, off-line experiences.”

That there are periods of disillusionment in anything is normal. Julie sit down and read a publication, but the content must be relevant.”

Bee, founder and president of BeeSmart Social Media, a social media Ricoh’s social media strategy is centered on two things: helping its marketing agency in Charlotte, N.C., says social media already is in a customers build their businesses and giving them an outlet to communicate. If the information isn’t relevant to helping grow their businesses, period of disillusionment.

“The magic of social media has worn off somewhat,” Bee says. “I Ricoh will not provide it. All of Ricoh’s platforms and strategies are dethink the social networks that make it through this period will be the signed to communicate with its customers.

“When somebody sends us a tweet or posts an item on Facebook, ones who please the entities that pay them – businesses, non-profits they are getting a response within 30 minutes – generally,” Ginnett says. and other organizations that buy social network advertisements. It’s “We actively pursue communication. That’s why people are coming to about making their end-users happy.”

Bee also believes that social media will go through various periods of our site. They want information – and they want it now. If they don’t get a response within that first 90 minutes on a social media platform, they disillusionment (Friendster and MySpace anyone). At one time, MySpace generated more traffic than Google. Enter Facebook, bye, bye MySpace. are not coming back.”

DID YOU KNOW?

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“I always take the theory of disillusionment with a grain of salt when it comes to technology.

It’s a tool. People aren’t using it as much as they could.”

– Scott Klososky, Founder & Chairman, Alkami Technology

THE NE BIG TH XT ING

So, wh at’s nex t for so cial

media?

Jenny S chmitt, founde nicatio r of Atla ns “Social media didn’t go away during those times; it improved with new innovations,” Bee nta-bas continu firm, Cloudsp ed ar e to att says. “Unless legislation is passed that greatly ties the hands of social networks, I think ract, in k, says social commuever yd ay exp media fl u e n c social media is here to stay.” e erience w on wh s. She , and validate ill at we s h our ares he may e new fro xpect r thoug ntier. on soc hts Meet me on the web … ial me d ia ’s L O You can’t have a conversation about social media today and not include Facebook, OK AT bevy of ME, LOOK A which has become the unequivocal leader. With more than 800 million people T ME I n – “Next B ew social cha connected through the social media site, if it were a country, it would be the world’s nnels c While we’ll se ig Thin ompeti ea g,” con options ng sumers a third-largest, after India and China. will fati to be the lifestyle nd choose wh gu . Nobo a Along with its social connection capabilities, Facebook continues to expand its dy wan t best fits the e on the words ts 25 ir time for 25 reach by becoming a powerful branding tool – with no apparent cost of entry – for sit and seemin either s gly iden es with 25 ee the passtical off bankru today’s brands. Take Starbucks, which uses the site to help brand its iconic name. too” so er ptcy or cia the me ings. We’ll social c l channels, re To date, Starbucks has more than 26 million Facebook fans. And while you would rging o sulting hannels f “mein fewe needs o w think more brands would develop strategic and forward-thinking campaigns to r largef people ith niche cha scale nn with sp maximize this reach, it hasn’t happened. ecific in els meeting th terests.

LOOK e And therein lies a key disillusionment topic: The challenge, as experts see it, AT ME , LOOK increas e AT ME is for brands to evolve from simply being a company with a product to becoming II – W people in “visual-bas e’l ed” soc migrate a valuable source for interesting, entertaining and useful content. ial netw l see an from te ally en x hanced orking, ts to m Amy Bruckman, associate professor for the School of Interactive Computing as or co mobile devices nnections be e visual or vis at the Georgia Institute of Technology in Atlanta, believes this is an area where . This tter su u today’s pported is a m m ajo b your ta arketers. Ima social media will continue to evolve. “What social media will become will be rget au gine be r opportunity y dience in fo they fre g r a b quite different from what we see today,” she says. “The total volume of usage le to re bas ely offe define r throug ed on the visu and the number of people we stay in contact with, I believe, will change. Right a h socia l chann l elements RIGHT els. now, it’s just too much, and it’s unsustainable. I believe over time, people will HERE, RIGHT help m NOW – ar get smarter about what ties they wish to maintain and what ties they don’t. We real-tim keters create Soc e outre hyper-p ial media wil can’t all stay in contact with everyone we’ve ever known.” ach to require ersonali l ta fu rg z Social media’s textbook definition is that it is a web- or mobile-based need in rther developm et consumers ed and . This w e r technology that relies on communication – a definition that covers a lot of ill and rea eal-time, and nt of the tools markete a way ch con su to rs the cha ground. So, what do the 10 most frequently visited nnels th mers using th store, referen c e consu o websites have in common? They offer users a mer pre se tools throu e fers. gh variety of ways to share news, multimedia,

DID YOU KNOW?

etc., with their friends or customers.

When you add photos and videos, Out of a range of digital-related marketing activities and information travels fast – really fast. disciplines, digital marketers see content optimization and social “Social media represents a media engagement as the top priority. But, according to a recent fundamental shift in consumer report by Adobe and eConsultancy, marketers are much less allows consumers to share content behavior,” Cloudspark’s Schmitt enthusiastic about social data and analytics, suggesting that and conversations in real-time or resays. “While it used to be that demonstrating ROI remains a headache for many social media view through an online channel that brands could solely define and marketers. More than half of client-side respondents (54 percent) archives everything. But one brand influence an audience, in today’s said that social media engagement is featured among the three hiccup can resonate in social spheres social world, consumers can be the most exciting opportunities, way ahead of mobile optimization for a very long time. We haven’t seen audience or the author – or both – (38 percent) and content optimization (37 percent). anything with that kind of impact and duof a brand. This ‘active consumer’ can Social analytics is much further down the ration of impact – ever. It has changed our share thoughts, experiences, brand opinpecking order (eighth place). entire marketing mix.” ions, products or services. Social media

printForum • March/April 2012

14

columnist

It’s All About Timing When it comes to marketing, understanding when to send your message can be as important as the message itself.

Ad guru Lester Wunderman once said that marketers always could figure out what to sell, how to sell and to whom to sell. What they often can’t figure out is when to sell. As consumers become more skilled at filtering irrelevant messages delivered across myriad marketing channels, the tolerance fuse is getting shorter.

While marketers are doing a better job of getting the right message to the right person, it’s becoming more important to send that message at the right time. Sending timely messages requires having a clear understanding of your customer’s situation to generate the best event-based marketing activity.

social) to help restaurant owners drive more business through effective trigger-based campaigns.

Expiration Dates/Reminders

What’s Trigger-Based Marketing?

This is where something called trigger-based (or eventbased) marketing comes into play. Trigger-based marketing works on the premise that you communicate with your customers at the precise time they have a high propensity to purchase. Trigger-based marketing analyzes customer behavior to identify changes (triggers) that may indicate the need for a new product or service. Cross-sections of industry opinions suggest that those who engage in trigger-based marketing programs can see as much as a 400 percent improvement in response rates.

While some might link trigger-based marketing to email campaigns, this marketing technique can work just as well in digital, print-based direct mail or text messaging. With trigger-based marketing, all these mechanisms share a direct, two-way communication channel between the brand and the individual, maximizing the potential for a one-to-one response.

Trigger-based campaigns can and should, by their very nature, use all types of media – web, direct mail, social and mobile – in combination.

Triggers for effective marketing campaigns include everything from life-changing events to external market changes. Following are some examples of trigger-based opportunities that can drive marketing efforts.

Life Events Customer life events can have major marketing implications. Such events might include the purchase of a new home, a birthday, a wedding anniversary or marriage, or retirement. A simple example exists in the food service market – some restaurants like to detect prospective patrons who are new to the area or provide special offers to loyal customers on birthdays or anniversaries.

Organizations such as Guest Engine (www.guestengine. com) are providing integrated campaigns (print, email,

March/April 2012 • printForum

By Barb Pellow Sending timely messages requires having a clear understanding of your customer’s situation to generate the best eventbased marketing activity.

Products and promotions often have expiration dates that can be used to trigger an appropriate marketing action. These might include the maturity of a certificate of deposit, or ongoing and repetitive services that require reminder notices. These range from automotive services to appointment reminders for pets. For example, Creative Marketing Services (www.cmsintouch.com) provides veterinary offices with personalized reminders that can be printed or sent via email or text to ensure customer loyalty and retention, as well as a secure income stream for the veterinary practice.

Customer Transactions Changes in purchasing patterns, spending patterns or account deposits also can indicate your consumers’ future buying intentions. A retailer can understand what merchandise to promote next, and when, based on a customer’s recent purchases, as well as frequent purchase combinations made by other customers in that same demographic. The transaction data for customers who just bought a specific product can be used to determine add-on products for promotion. This data also can show which customers to thank for a recent purchase with a special offer that will prompt them to come back and spend more.

External Events Barb Pellow is a group director at infoTrends (www.infotrends.com), a market research and consulting firm. She helps companies develop marketing strategies that expand and grow business opportunities.You can reach her at barb_pellow@ infotrends.com.

A number of external factors exist in today’s dynamic business environment. External triggers are tied to changing market conditions and competitive activity. External (industry-wide) triggers can include industry reshaping mergers and acquisitions, regulations, legislation and other factors that may change the prospects for an entire industry, region or category.

Trigger-based marketing means delivering the right message when the customer has a high propensity to react. So, what are you waiting for? It is time to pull the marketing trigger.

book recommendation

15

Fascinate Authored by Sally Hogshead

It’s tough to get noticed these days. Whether you’re a salesperson or the leader of an organization, the art of becoming fascinating to those around you is a difficult task. Discovering what initiates fascination is even more of a challenge.

Becoming a captivating person or building a popular brand is all rooted in the idea of fascination. Author Sally Hogshead details why fascination is the most powerful way to influence decision-making.

In her new book, aptly named “Fascinate,” Hogshead looks beyond marketing and delves into behavioral and social studies, historical precedents, neurobiology and evolutionary anthropology. She also conducts in-depth interviews and a national survey with a thousand consumers, to emerge with deeply rooted patterns for why, and how, we become captivated.

By highlighting, what she deems, the seven triggers to fascination – power, trust, mystique, prestige, rebellion, alarm and passion – Hogshead shows how we can draw people to us. Her style is fun and light, which helps make you think about how we are perceived and how we will succeed going forward.

Many marketing and selfimprovement books say the same things in different ways. But Hogshead’s book is different. The first part talks about the meaning of fascination, and why it is a necessary skill for success. The second part explains how and why each trigger has an effect, while the final part offers concrete strategies on how to develop, measure and execute your strategy to fascinate.

Hogshead does an excellent job in finding provocative and surprising ways to make her points. Her insights are deep, intuitive and often counter-intuitive. Even while some of the case studies and analogies she chooses are off the wall, they still hit the mark. This is a refreshing approach for those who have read a lot of books on branding, marketing and social media.

In a nutshell, the book is fascinating – one that we would highly recommend.

This is a refreshing approach for or those who have read a lot of books on branding, g, g marketing and nd a. social media.

*Sally Hogshead is the keynote speaker at the printForum Conference May 16, 2012. For more information visit www.printForum.info

printForum • March/April 2012

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