Dickson K.W. Chiu PhD, SMIEEE, SMACM, Life MHKCS

1. COMP7880: E-Business Strategies Web 2.0 & Social Networks Marketing Dickson K.W. Chiu PhD, SMIEEE, SMACM, Life MHKCS

2. Web 2.0 • … is a term describing changing trends in the use of World Wide Web technology and web design that aims to enhance creativity, secure information sharing, collaboration and functionality of the “we.” (Source: Wikipedia.com) • … refers to the second generation of the Web, which enables people with no specialized technical knowledge to create their own websites, to self-publish, create and upload audio and video files, share photos and information and more. (Source: Capilano University, Vancouver, CA)

3. Web 2.0: Evolution Towards a Read/Write Platform

4. Web 1.0 vs Web 2.0 Web 1.0 Web 2.0 Web 2.0 website interacts with users while providing information. Provides opportunity for user feedback and reviews. Web 2.0 is a two-way street that gives users the ability to communicate too. • Traditional website provides information for users. • Provides toll-free number and (maybe) email contact. • Traditional websites were a one-way street on the information super highway.

5. Blogging is the Most Recognized Example of Web 2.0

6. Users of Web 2.0 Apps are Highly Engaged, Active, and Attractive to Marketers Blogging is a good proxy for Web 2.0 activities. Blog readers consume a LOT of media

7. Users Find Blog Content Helpful, and They Are Receptive to Online Ads

8. RSS Adoption is small but could be an attractive tool for Niche Marketers RSS (Really Simple Syndication) is an emerging technology which enables users to get “feeds” of data from content publishers via a browser or special newsreader tool. Items come to user free of spam, on-demand, and in an easy to digest format Feeds contain news items/stories Items have a brief summary included in the feed Users can read the full content of some stories within their browser or desktop app without going to orgincating website

9. Tactical Opportunities for Early Adopters & Marketers Web Services Tags & Folksonomies Social Networks RSS Blogging Watch & Wait Act Now

10. RSS – new ways of receiving content

11. Web 2.0 Will Mean Changes for Marketers • More users are connecting to each other and content through networked, peer-driven activities & content • Linkedin now has service referrals as part of their package • API’s and Content syndication will lead to more machine generated connections • “Non-compliant” content won’t fit into the flow as readily • Web 2.0 is truly two-way • Marketers need to be very willing to “listen” and receive more than broadcast • User-generated content may be more valuable to users than yours • Adoption and ROI will drive investments in online advertising • Investment in blog marketing will increase by 22% in 2005

12. Opportunities and implications • The appeal of Web 2.0 lies in the nature of the apps/tools • Direct • Transparent • controllable • What expectations does this set? • Who owns the message? • How can marketers use this to their advantage? • Are “massses” better than “experts”

13. Social Media • … online activities that integrate technology, social interaction, and the construction of words, pictures, videos and audio. • This interaction depends on the varied perspectives • and the “building” of shared meaning among communities • as people share their stories and experiences. (Source: Wikipedia.com)

14. Social Networks Connect Users into Communities of Trust (or interests)

15. New Rules of Marketing Old Rules New Rules Marketing = advertising + PR + thought leadership. Media shift from TV and print to social media via the Web. Timely delivery of detailed information on demand 2-way interactive dialogue; audience participation. You are what you publish; content = king. • Marketing = advertising • Creative messaging via broadcast interruption • Designed to appeal to the masses • 1-way messaging: company to consumer • Focus on selling products or services.

16. Business Objectives for Social Media • Business Objectives for Social Media • Brand Building / Reputation Management • Improved Search Engine Rankings • Increased Visitor Traffic to Website • Stay Connected with Peers and Colleagues

17. Social Media DO’s and DON’Ts • BE AUTHENTIC… transparency is essential in this environment. • Remember social media is a program of attraction, not promotion. • KEEP IT SHORT… Social media provide an extremely fresh and vital outlet for real time messaging to your marketplace. • Always include or link to visual images wherever possible. • LINKS, LINKS, LINKS… Tie your content together across the social media platforms. • For instance, provide links from Facebook and Twitter to your blog posts and video updates on YouTube.

18. Challenges of Social Media • Transparency Comes with a Price • Reader comments may not always be positive • Competing service providers may gain visibility into your unique features. • Recommendations to consumers for one program or practitioner may alienate competing referents. • Social Media May Expose “Sensitive” Topics • What is your success rate? • How much does it cost? • …

19. Marketing Strategies on Web 2.0 / social networks • Relationship Marketing • Word of Mouth Marketing

20. Relationship Marketing • Communication that provides service benefits • technical support, such as how to access a database • help and advice on services • information such as hours of operation • Broadest sense - about cultivating good relationships between staff and existing customers and maintaining those relationships, thus retaining customer loyalty.

21. Word of Mouth • Basic Elements • Educating • Identifying • Providing • Studying • Listening and responding • Good word of mouth is tough to earn even when you’re extraordinary.  • By contrast, bad word of mouth tends to be very ordinary.  It’s easy to earn and fast to spread.

22. Word of Mouth Marketing types • Viral Marketing - Creating entertaining or informative messages that are designed to be passed along in an exponential fashion, often electronically or by email. • Community Marketing - Forming or supporting niche communities that are likely to share interests about the brand (such as user groups, fan clubs, and discussion forums); providing tools, content, and information to support those communities. • Influencer Marketing - Identifying key communities and opinion leaders who are likely to talk about products and have the ability to influence the opinions of others.

23. Word of Mouth Marketing types (2) • Conversation Creation - Interesting or fun advertising, emails, catch phrases, entertainment, or promotions designed to start word of mouth activity. • Brand Blogging - Creating blogs and participating in the blogosphere, in the spirit of open, transparent communications; sharing information of value that the blog community may talk about. • Referral Programs - Creating tools that enable satisfied customers to refer their friends (with incentives). • Product Seeding - Placing the right product into the right hands at the right time, providing information or samples to influential individuals.

24. Potential Web 2.0 WOMM Avenues Social bookmarking sites Podcasting MySpace Websites Blogging tagging RSS Personalization folksonomies Facebook Social Networking Sites alerts Wikis Blogger

25. Word of Mouth Marketing Tips • Give people something to talk about • Encourage frontline staff to look for opportunities to deliver messages when engaged with customers • Feed the grapevine • Personalize • Collect testimonials • Word of mouth can be managed. You are not merely at the mercy of those who talk.