Leveraging Social Listening Programs To Develop Market & Competitive Intelligence to Leapfrog Your Competition

Leveraging Social Media Capabilities and Applications to Develop Competitive Advantage – Three Current Social Media Mega-Trends
 
Part One – Leveraging Social Insights & Intelligence to formulate better decisions to gain market, competitive, political and social advantage

In keeping a very close eye on the trends on the rise in the marketplace on how companies and government agencies are leveraging new social media capabilities and technologies, there are several on my radar screen that are coming up over and over again and again.  These trends are evidenced by the numerous requests I am receiving in these topic areas in the form of responses to proposals and information, requests for ‘lunch and learns’, requests to speak on the topic, etc.

Some of the hottest trends in the social media space from a corporate or governmental agency perspective are as follows:

1) Leveraging of Social Media and ‘Social Intelligence’ as a component to developing overall competitive and Market Intelligence Insights & Capabilities
2) The use of Intra-Social Enterprise Collaborative Platforms (ECPs) to enhance organizational productivity, internal collaboration and decrease overall go-to-market cycle time
3) The use of Intra-Corporate Social Crowd Sourcing ‘Innovation Acceleration’ Applications & Capabilities

Over the course of the next three blog entries, I will cover each of these social media mega-trend areas in the following format:
A. What is it – Description of the functionality this capability enables
B. What are the benefits – Why are companies and government agencies adopting and using this capability and how are they benefitting from its use
C. The hottest tools/applications in the market for this capability – who is leading, lagging, emerging
D. How do you implement it – what are the steps and considerations on implementing this capability within your organization and company

There are several instances where the use of social media insights could have helped organizations be better prepared for market shifts, product issues & defects, crisis management, and better able to spot trends regarding regulation, key opinion leaders, competitors, and go-to-market issues (sales, marketing, customer service, warranty claims, etc.). In the rest of this blog I will cover the first topic/trend of “Leveraging of Social Media and ‘Social Intelligence’ as a component to developing overall competitive and Market Intelligence Insights & Capabilities”:

A. BP Gulf Oil Spill – Admiral Thad Allen, Admiral from the Coast Guard who managed the gulf oil spill cleanup, indicated that if he had better insights into the issues and ‘mood’ of people through social media listening techniques, he would be much better prepared with action plans to respond to concerns, issues, inquiries, etc.

B. Toyota Stuck Accelerator Recall – If Toyota was monitoring the chat and commentary via many social media sites, it is very likely that they would have been able to spot potential automobile defect issues starting to trend and handle them earlier vs. blowing up in the media.

C. Egypt Social Unrest – Many of our intelligence agencies were caught off guard at the speed and magnitude of the protests that eventually topped the Mubarak regime. A few experts say that the information that this was going to occur was right in front of them in the form of Twitter, Facebook, blogs, etc. If they had a social intelligence platform and methodology to interpret the information, it is also likely that this would not have been such a surprise to the CIA and other intelligence agencies.

D. Drug Issues & Recalls – Had Pharmaceutical and Life Sciences Companies had a social or market intelligence solution in place, many say that companies would have been able to spot very early the issues with Vioxx, Tylenol, etc. Many people were commenting about the problems with these drugs via social media, but many companies were not listening, hence unable to respond until the issue hit crisis mode.

A. What is Social & Market Intelligence – Social Intelligence is the collection, aggregation, assimilation and dissemination of information from social media forums, blogs, wikis, websites in order to spot key trends around topics of interest such as the following:
1. Key opinion leader sentiment,
2. Regulatory issues, news, public sentiment trends,
3. Consumer feedback on your products and services,
4. Consumer concerns with product safety or availability,
5. Public sentiment about current issues, political leaders, public policy, etc.
6. Public sentiment about how a crisis is being (mis)handled
7. Information on your company or brand activity such as consumer feedback, market issues, market facing issues or trends, new products/services, news, etc.
8. Information on competitor activity such as consumer feedback, market issues, market facing issues or trends, new products/services, news, etc.

This function is usually developed into a single Market or Competitive Intelligence portal as a one stop shop to all market insights. The information will also bring together functions such as text mining, comingling of structured and unstructured data and text, and trend analysis and alerting and will also integrate with Business Process Management (BPM) functions in order to make the insights collected – actionable.

B. What are the benefits – Why are companies and government agencies adopting social Intelligence capabilities?
There are many benefits to adopting this social and/or market intelligence capability as follows:

a) Ability to capitalize on competitor trending market issues or weaknesses
b) Ability to spot competitor trends or new market initiatives before they erode you market share
c) Ability to accurately spot Key Opinion Leader (KOL) issues, trends, or preferences in order to  respond with products/services/policies that are in-line   with these stated needs/preferences
d) Ability to spot consumer sentiment trends that will impact or change regulation that might impact your company or organization
e) Ability to gauge unmet market demand or needs via consumer sentiment
f) Ability to gauge trends in the social-political climate and mood of the country in order to accurately predict needed public policy changes
g) Ability to spot and respond to potential product defect trending issues early before they get to crisis mode and erode your brand image
h) Ability to have an integrated  ‘one stop shop’ repository for all market relevant information – news, blogs, web feeds, RSS feeds, structured data, unstructured data, text feeds, etc. 
i) Ability to accurately gauge social moods and perceptions during the time of crisis in order to develop responsive programs and messaging in order to demonstrate proactiveness and responsiveness
j) Ability to filter out social noise and one-off commentary vs. significant trends and market shifts

The trick in realizing these benefits is twofold. One, you must develop robust trending functionality in order to filter out the noise associated with a few comments being said about a certain topic in order to be focused on rapidly building or significant trends vs. sentiment blips.  The second is integrating the social insights with Business Process Management (BPM), so that actionable projects or programs are put in place once significant and impactful trends are spotted. Chart 1 Illustrates how the social media listening lifecycle should be structured in order to develop a robust social and market intelligence capability.

CHART 1

  

 

C. The hottest tools/applications in the market for this capability

Some of the hottest platforms in the social listening space are as follows:
Leading Social Listening Tools:
1) Attensity – Attensity Analytics Suite. Social Monitoring and Analytics
2) Converseon – Conversation Monitor, Conversation Miner. Converseon also performs outbound social conversation management via their Conversation Manager
3) Jive – Social Media Engagement Platform – Inbound Monitoring and Outbound Community & Conversation Management
4) Lithium – Social Media Monitoring Console (formerly Scout Labs). Lithium is also a leading conversation management platform.
5) Nielsen  – BuzzMetrics. Nielsen also performs outbound social conversation management via BuzzMetrics.
6) Radian6 – Radian6 Listening Dashboard. Radian6 also performs outbound social conversation management via the Radian6 Engagement Console. 
 

Next Tier (alphabetically):
1) Alterian – SM2
2) Collective Intellect – Social CRM Insights
3) Cymfony – Cymfony Maestro Platform
4) Dow Jones – Dow Jones Insight
5) Evolve 24 – The Mirror
6) Visible Technologies – TruCast Suite

In addition to the social listening companies and platforms above, many new firms are entering this space at an incredible pace. I recently performed a vendor selection for one of my clients with many of the above tools and the selection process was extensive.  If anybody needs additional insights into these vendor or platform capabilities, please feel free to contact me for assistance.

D. How do you implement it – what are the steps and considerations on implementing this capability within your organization and company

I have developed this capability for several Fortune 500 companies and the capability can be enabled via three (3) Major steps as follows (Summarized):

A) Step #1: Develop a Social Media Monitoring and Strategy including the following:

1) Social Intelligence Strategy/Vision, Objectives, Business Drivers, Critical Success Factors, Community/ Forum Listening Strategy, Key Metrics & Performance Plan, Organizational Plan, Change Management Plan, Communications & Risk Management Plan, monitoring policies, governance plan

B) Step #2: Social Media Technology Platform Evaluation & Selection
     1) Identify potential social media platform & community management vendors
     2) Develop Needed Listening Requirements and Capabilities
     3) Perform Technology Platform Vendor Selection
     4) Onboard Vendor

C) Step #3: Develop Social Media Program Pilots & Deployment Plan
     1) Develop Pilot Project & Deployment Plan
     2) Develop Technology Pilots
     3) Develop  Program Pilots
     4) Develop Organization & Process Pilots
     5) Deploy Pilots and Programs including
           a.  Center of Excellence Deployment
           b.  Multi-Channel Integration
           c.  Policies/Processes
           d.  Roles, Rules, Responsibilities
           e.  Change Management

In summary, Social Intelligence, Social Monitoring, Competitive Intelligence and Market Intelligence are gaining a great deal of Momentum.  Many Fortune 500 companies are either planning to implement this capability or already have.  The practice has gained so much momentum there are even associations and groups being formed like the Strategic and Competitive Intelligence Professionals (SCIP) group (http://scip.org/index.cfm ) in order for members to collaborate and share best practices. Is your organization planning on implementing this potentially game-changing capability? If so, give me a call, I call help you achieve world-class programs that enable you to surpass your competition and bring your organization or agency to the next level of market and social intelligence.

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Governance & Organizational Design for World-Class Social Media & Customer Management Programs

Governance & Organizational Design for World-Class Social Media & Customer Management Programs

By Steven M. Jeffes
 
1) Background – Lack of Effective Governance can Wreak Havoc on Social Media & Customer Management Programs
 
In my previous blog entry titled “Social Media Pitfalls and Mistakes – the Seven Deadly Sins of Social Media Programs”, I covered the major mistakes companies make when developing and managing enterprise level Social Media programs.  One of the points that I focused on was not developing an effective governance model and organization in order to oversee and manage the strategic direction and overall success of a social media program.
  
The lack of an effective social media governing organization is the most widely encountered issues by companies and can, by far, be the most damaging to the activities of social media & customer management program. An effective governance model is absolutely critical and will directly influence the overall quality of a social media and customer management program.  The following lists the potential impact of not having an effective governance model for your social media and customer management programs:
1) Inconsistent and overlapping customer communications
2) Infighting amongst departments and functions leading to highly inefficient operations
3) Inefficiencies and cost escalation due to inter-departmental duplication of effort
4) Programs that are consider unfair, confusing, inconsistent and ineffective by stakeholder and customer groups
5) Inability to improve or scale the program due the lack of focus on cross-organizational continuous improvement
  
The bottom line, if you can’t develop an effective governance model, you are not likely to have a very good social media & customer management program. The remainder of this blog post will highlight the critical considerations in developing a highly effective social media and customer management (CRM)
governance model.
 
       The following chart (Chart 1) from my firm’s SMARTE methodology depicts two different governance models for social media and customer management. On the left, governance of social media and customer management is performed with brand silos, each having their own unique version of dealing with their stakeholders and customers. While each program is effective in each silo and meeting the needs of the specific brand, there are many issues created from a company and stakeholder management perspective. There also many missed opportunities in terms of revenue optimization and cost containment.

Chart 1

In addition, the left side governance model in silos is prone to the following:
1) Duplication of effort between brands – higher costs
2) Lost customer management opportunities (i.e. cross/up-sell) – lost revenue
3) Lack of focus on cross-company efficiency and continuous improvement – higher costs
4) Perception by customers that the social media and customer management programs are not very effective – lost revenue, wasted capital
5) Frustration by employees of continually having to reinvent the wheel in terms of programs and customer interactions – higher costs

As seen below in Chart 2, the left side governance model in silos is much more likely to generate frustration and contempt from the customer’s perspective vs. the holistic governance model on the right. Refer to the following chart for a sample of the different types of customer comments each of these governance models is likely to generate. Obviously, the left side of the chart generates many more positive stakeholder and customer comments and it much more likely to result in higher customer loyalty, share of wallet, customer cross/up-sell opportunities and will generally result in lower costs and higher revenue.

Chart 2

Based on the above outcomes on both sides of the chart, the following rules apply to social media and customer management (CRM) governance:
 
Programs In Silos Stifle Effective Delivery (PISSED) – 
      These silo’s programs tend to create PISSED   
      stakeholders & customers
due to perceived inconsistent,
      inefficient and ineffective program delivery
 
Programs Leveraged Enterprise-Wide Aid Synergistic & Effective Delivery (PLEASED)
      Remember,  these non-silo’d programs tend to create 
      PLEASED stakeholders & customers due to perceived
      consistent, efficient and effective program delivery.
   

2) Impacts from Ineffective Social Media & Customer Management Program Governance

Based on my firm’s SMARTE methodology (SMARTE stands for “Social Media Adaptive/Responsive/Transcendent Enterprise”) and direct client experience, I have found that in order for Social Media and CRM programs to be highly effective, a company must develop and maintain an organization design and corresponding governance structure that maximizes the ability of the company to build and leverage enterprise-wide synergy. This governing structure must be built to avoid developing programs that exist in brand or channel specific silos such whereby everyone is developing their own flavor of social media and customer management that appears to the outside world to be inconsistent, unfair, non-relevant, unappealing or just another one-off initiative.
The following are the top 5 Impacts of poor organizational design and governance for social media and customer management programs from both an internal and external perspective:

Internal Impacts of Poor Organizational Design & Governance:
1. Many individual departments are attempting to develop their own flavor of Social media without any regard to consistency
2. Infighting exists between functions & departments on which direction the SM program should take
3. The department(s) that led the introduction of the social media program thinks they own the social media program and is attempting to control the program by dictating program rules, standards, policies, etc.
4. Lessons learned and cross-brand insights are not being cultivated and leveraged for the benefit of the entire company vs. individual brands
5. Social Media & customer initiatives seem ad-hoc and are really not driven by solid metrics, business cases, enterprise-wide strategic business plans, etc.

External Impacts of Poor Organizational Design & Governance:

 1. Stakeholders & customers receive contradictory messages from organizational silos (i.e. different brands, different messages – brand A special vs. brand B special discount vs. valuable customer total discount – all brands)
2. Stakeholders & customers are treated inconsistently based on the department they are interacting with or channel they are interacting with (Facebook vs. Twitter, on-line vs. traditional off-line channels)
3. Stakeholders & customers find your company’s content and messages ad-hoc (vs. themed) in terms of relevancy, timing, venues by which messages are communicated, etc.
4. Stakeholders and customers are not recognized cross-functionally, but rather just in brand silos which tends to create frustration (i.e. “I just told ‘brand A’ my preferences, why do I have to repeat this all over again for brand B!?”)
5. Stakeholders and customers are not treated differently based on their specifics needs and enterprise-wide profile (e.g. valuable customers that buy both brands A and B do not receive differentiated ‘valuable customer’ treatment across the company)

 

3) Best Practice Social Media & Customer Management Governance Design Principles:

In order to avoid a sub-optimized governance model and one that is in silos, some best practice design principles must be followed when developing and/or optimizing a social media or customer management program. The following chart (Chart 3) depicts a very small sample of the governance design principles put forth in my firm’s SMARTE social media methodology:

Chart 3

These governing principles are accompanied by an entire set of practices and methods for developing a governance model and corresponding governing organization. These were developed following over 50 successful consulting engagements on Fortune 500 clients involving the development and/or improvement of social media and customer management programs.
 
4) Sample Governance Organizational Structure:
A very typical governing organization for social media and customer management is shown in the following chart (Chart 4):

Chart 4

The key message in this chart is as follows:
1)  Policy and strategy for social media and customer management program must be holistic, based on cross-functional leadership direction that is applied and leveraged enterprise-wide
2) Program planning and tactics must be developed by mid-managers who have direct expertise and responsibility for stakeholder and customer communications & touch-points.
3) Operations and Interactions must be carried out by professionals who are well versed in customer management, social media interactions (i.e. social media conversation managers – topic to be covered in a future blog post), and who are incentivized to optimize the customer experience to the point of best in class stakeholder and customer excellence.

5) Conclusion & Share Your Stories:

The bottom line here is that, without a strong and well thought-out governance model for customer management and social media, you will likely end up with a chaotic and ineffective program.  Trust me I know as I am hired by many companies to help re-engineer the situation after they have gone awry. Anybody wanting to hear more about social media governance, please feel free to give me a call. 

Anybody else run into governance issues that they’d like to share?

Social Media Pitfalls and Mistakes – the Seven Deadly Sins of Social Media Programs

Social Media Pitfalls and Mistakes – the Seven Deadly Sins of Social Media Programs

By Steven Jeffes

How Fortune 500 Companies Make Critical Social Media Mistakes and How These Can be Avoided

The following is a synopsis of the seven deadly Social Media Sins that Fortune 500 companies commit when developing & managing social media programs and are detailed in my post below:

1)      Organization & GovernanceDepartmental infighting and inconsistencies cause social media disconnects and customer confusion

2)      Program Measurement: Companies are lulled into a false sense of security by believing they have a great social media program

3)      Policy & Standards:  Companies do more harm than good by being erratic & unpredictable to their customers

4)      Program Process:  Successful delivery of a social media program is not repeatable due to the lack of a process excellence model

5)      Legal & Regulatory Compliance: Social Media Program exposes the company to huge compliance and customer management issues

6)      Human Resource Management (HRM): Human resources misses the opportunity to empower and excite the workforce about social media

7)      Financial Performance: Success of social media is judge via subjective vs. objective and financial performance measures

Remember the dot com days in the 1980’s and early 1990’s when companies furiously scrambled to add an e-channel or internet communications to their list of capabilities and rarely gave a second thought on how to efficiently integrate these capabilities with existing off-line & traditional channels? Remember when ‘just adding something’ and demonstrating any e-channel capability to the public was critical and ‘online’ departments, organizations and functions were added as separate silos within the overall organization? Also remember the effort that went into trying to undo some of the inefficiencies caused by these non-integrated and dichotomous processes, procedures and operations?

Any guess to what is happening today from a Social Media standpoint for many companies? In short, Dejavu is occurring in regard to Social Media and many companies are ignoring the hard lessons that should have been learned during the 80’s. Indeed, many companies are proceeding down the same path without fully considering the correct methodology to use and unfortunately will end up designing programs with the same discontinuities and pitfalls as they did when developing an internet capability.

The following chart is a quick comparison of the companies in the dot com 80’s and the parallel to the development of social media capabilities of today:

Dot Com 1980’s Internet Capability Development

Social Media Capability Development Current Comparison

Adding Capabilities just to show up

Yes

Build now/fast, determine how to integrate later

Yes

Build functions in silos or with just a few departments

Yes

Ad-hoc inter-organizational program governance

Yes

Processes and organization not totally optimized

Yes

Standards and Policy Developed on the fly

Yes

Financial Business Case Not Fully Developed Yes

As part one of a series of blog posts, the following post will provide you with an overview of the seven areas where I have seen my Fortune 500 clients make major mistakes when attempting to develop top-notch social media programs. Following this post, I will address how a best-in-class social media program development methodology I have developed called SMARTE – The Social Media Adaptive/Responsive/Transcendent Enterprise enables companies to avoid many of these pitfalls and mistakes, but rather facilitates the development of a world-class social media program that leads to increased market share, higher brand values and increased customer loyalty.

The seven deadly Social Media Sins – Pitfalls and Mistakes Companies Make in Developing a World-Class Social Media Program:

1)    Social Media Organization & Governance:

One of the largest of the seven deadly social media sins is not determining the optimal way to govern a social media program, including determining who sets social media policy, develops social media standards, develops and/or approves processes, optimizes or aligns the organization, etc. Efficient and optimized social media programs are governed by governing organizations that include a great deal of cross-organizational representation and include legal, finance, marketing, customer service, brand management, human resources, etc.  In this fashion, decisions are made holistically and with insight into all organizational considerations prior to proceeding. Many companies I’ve analyzed commence social media program development with one or a few departments considered and the resulting programs are generally ad-hoc, non-systemic, disjointed and often myopic to their own department’s needs.  Ideally they should be holistically focused on the needs of the entire enterprise.  Some of the specific sins committed for social media organization and governance are as follows:

  • Social Media Programs are governed in silos vs. holistically, systemically, and cross-organizationally.
    • Issue Created: this creates many of the same problems as the issues that were create between the ‘on-line’ vs. ‘off-line’ organizations including discontinuities in customer communications, customer management inconsistencies, etc.
  • Social media program is started with just one or a few departments.
    • Issue Created: When additional departments develop social media capabilities, many times, much re-work needs to be done to standardize the process across departments
  • The Social Media Programs Organization is separated from the Customer Relationship Management Functions: Brand Management, Marketing, Sales, Customer Service, Field Service, Shareholder management, etc.
    • Issue Created: Customer management is handled inconsistently across all customer facing departments and functions which leads to customer frustration, confusion and resentment.  
  • Social Media customer intelligence is not integrated and managed as a strategic asset across all departments and organizations including Product Management, Branding, Campaign Management, Customer Experience, Sales.
    • Issue Created: Pockets of social media learnings and opportunities are not operationalized across all departments and functions, leading to many missed improvement opportunities.

2)    Social Media Program Measurement:

  • Social media metrics & Key Performance Indicators (KPIs) are not balanced between both internally and externally focused measures
    • Issue Created: By measuring too heavily on internal measures, companies can be lured into a false sense of social media success by believing they are successful when customers do not reflect this sentiment.  Additionally, by focusing too heavily on external measures, companies can be ignoring key internal efficiencies in delivering the social media program, hence driving up the cost of the program unnecessarily.
  • Social Media is treated as a ‘check-box’ and treated as a victory for just showing up vs. measuring sales, marketing, brand value gains
    • Issue Created: A feel good social media program is created and perpetuated where companies pat themselves on the back for just having a social media presence while potentially damaging customer relations (i.e. many programs that do more harm than good in terms of brand reputation). 
  • Social Media performance dashboards are not available for CxO level management to gauge program performance against key measures like brand value, average public sentiment, brand buzz and excitement values, etc.
    • Issue Created: Key issues impacting shareholder and/or stakeholder value are not missed and are not managed to create a positive impact.

3)    Social Media Program Policy & Standards:

  • Standards are not developed to consistently ascertain and respond to the ‘average customer sentiment’
    • Issue Created:  Each social media interaction is handled inconsistently; thus leading customers to perceive the program to be biased, unfair, and/or just poorly managed.
  • Brand consistency is not considered when developing social media programs and customer interaction is highly inconsistent
    • Issue Created: Companies do not present ‘one face to the customer’ and appear inconsistent, disjointed between departments and company’s brand quality is perceived to be highly variable
  • Standards and policy have not been created in terms of managing customer communication protocols: This includes frequency of responses, tone/manner of the responses, handling or rebutting negative brand or company comments, opt-ins/opt-outs, etc.
    •  
      • Issue Created: Companies do not present ‘one face to the customer’ and appear inconsistent, disjointed between departments and the company’s brand quality is perceived to be highly variable.

4)    Social Media Program Process:

  • A best practice process and organizational framework has not been fully considered for the social media program
    • Issue Created:  A best practice social media program is not just about technology and applications, but must be equally supported by a robust organizational and process framework. Lacking this structure, the program continually languishes in mediocrity without a governing continuous improvement process framework to evolve the program to world-class status.
  • Acknowledgement of customer brand input is not acknowledged and responded to which translates into a negative customer brand experience
  • Brands feel compelled to respond to every negative comment posted about their brand, products and/or organization
  • Utilizing traditional media tactics for bi-directional and conversational social media venues
    • Issue Created: Social Media interactions appear non-interactive, disingenuous, or canned, which in turn, leads to negative sentiment about the social media program being a corporate ivory tower programs that are perceived to not listen well or interact effectively. 
  • Inability to synthesize and analyze intelligence from across multiple social media venues or not listening to all relevant communities and platforms creates an inability to develop a coherent brand action plan
    • Issue Created: Key social media input and ‘intelligence’ is overlooked, creating many missed opportunities to positively influence brand perceptions, customer loyalty and company product & service quality perceptions. 

5)    Social Media Legal & Regulatory Compliance:

  • Regulatory compliance is or was not part of the overall social media program design such as the following sample regulatory rules that impact social media program design:
    • Financial Services: NASD 3010 and 3110, SEC Rule 17a-4, Gramm-Leach-Bliley.
    • Cross-Industry: Sarbanes Oxley Compliance.
    • Pharmaceutical: Fair Balance Act, Adverse Event Reporting, HIPAA Privacy Rule
  • Developing Social Media programs that assume customer opt-in permission and channel preferences are the same for traditional media
    • Issues Created: Huge customer trust issues are created that negatively impact brand value and company perceptions. Regulatory compliance publicity or fines are also at risk if compliance is not fully considered when designing a world-class social media program.

6)    Social Media Program Human Resource (HR):

  • HR does not tie social media program performance to individual key performance measures
  • Human resources fails to facilitate a sense of excitement about social media and is treated like ‘just another program’
  • Customer sentiment values are not tied to program and individual performance measures
  • Company employees are not encouraged, trained and incentivized to become social media conversation managers, Tweeters, Bloggers, etc  in order to converse with and positively influence constituencies, customers and stakeholders.
    • Issues Created: Employees feel left out and uninspired by the social media program vs. being excited, engaged and empowered to participate/communicate in order to facilitate program success.  

7)    Social Media Program Financial Performance:

  • Business case development for social media is not tied to financial  performance goals
  • Social media optimization tests do not take into account financial performance
  • Program are initiated with strong dose of intuition vs. realistic business cases vs. initiating each program based on ROI, payback periods, net present value discounting, etc.
    • Issues Created: Social Media is success is measured exclusively by highly subjective measures such as customer & program reach, customer sentiment, etc. vs. highly objective and financially driven measures such as sentiment vs. share of wallet, program reach vs. acquisition costs, etc.

Do you have any war stories that you like to share about social media programs that have gone awry? Has your company committed any of the above seven deadly social media sins? Do you have any other perspectives on mistakes companies make in developing and managing an enterprise-wide social media program?

My next series of blogs will be taking you through my SMARTE social media methodology on how to avoid all of the above mistakes in developing and managing an enterprise-wide social media program and will enable your company to develop a social media program that is considered world-class.

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