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The Future Of Social Networks

Presentation at SFAMA, January 12, 2010. Includes new concepts of social context providing relevancy, how to measure social technology benefit using lifetime value.

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The Future Of Social Networks

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  1. 1 The Future Of Social Networks San Francisco AMA Charlene Li Altimeter Group January 12, 2010

  2. 2 Agenda  How to think about the future  What you should do about it © 2010 Altimeter Group

  3. 3 © 2010 Altimeter Group

  4. 4 Social networks will be like air. © 2010 Altimeter Group

  5. 5 Universal sign-in © 2010 Altimeter Group

  6. 6 Facebook Connect extends See what friends read/comment on © 2010 Altimeter Group

  7. 7 Import friends into the experience © 2010 Altimeter Group

  8. 8 Social moves into enterprise apps Salesforce Chatter LinkedIn in Lotus Notes © 2010 Altimeter Group

  9. 9 Share updates back and forth © 2010 Altimeter Group

  10. 10 Social on TV and television sets Conversation around news events Verizon FiOS integrates Facebook & Twitter © 2010 Altimeter Group

  11. 11 Mobile making in-roads And sends an ad Gowalla gestures to everyone Foursquare “gestures” to friends © 2010 Altimeter Group

  12. 12 Using social context to create relevance Place Data Ideas Items Location & Objects Asynchronous Real-time Intention Time Facebook OpenSocial People © 2010 Altimeter Group

  13. 13 © 2010 Altimeter Group

  14. 14 Socialgraphics Demographic Geographic Psychographic Behavioral Socialgraphics © 2010 Altimeter Group

  15. 15 Engagement Pyramid Curating Producing Commenting Sharing Watching © 2010 Altimeter Group

  16. 16 There’s now a culture of sharing © 2010 Altimeter Group

  17. 17 Define Goals by Objective Dialog Learn Support Innovate © 2010 Altimeter Group

  18. How To Prepare © 2010 Altimeter Group

  19. #1 Focus on relationships, not technologies What kind of relationship do you want? Transactional Occasional Impersonal Short-term Passionate Constant Intimate Loyal © 2010 Altimeter Group

  20. Obama redefined political campaigns 20 © 2010 Altimeter Group

  21. #2 Measure the right things Your goals determine your metrics Use the same metrics as your strategic goals © 2010 Altimeter Group

  22. Example “micro” metrics Goal Metric Value Learn # of customer feedback Impact of faster, better insights Dialog # of comments # of referrals Greater loyalty Faster, more closes Help Innovate # of issues addressed Increased satisfaction # of implemented ideas Faster development © 2010 Altimeter Group

  23. 23 Measuring lifetime value in a new way • Percent that refer • Size of their networks • Percent of referred people who purchase • Value of purchases + Value of purchases - Cost of acquisition + Value of new customers from referrals + Value of insights + Value of support + Value of ideas = Customer lifetime value • Percent that provide support • Frequency and value of the support © 2010 Altimeter Group

  24. #3 Create new workflows Social technologies will disrupt traditional organization structures © 2010 Altimeter Group

  25. Social pressures traditional orgs Task Strategy Changes Market research Learn • Monitor conversations • All employees listen & learn Marketing/Sales Dialog • Any employee can converse • Bridge the consideration gap Customer support Help • Proactively seek out problems • Enable customers to help Product development Innovate • Seek ideas from customers • Broaden employees involved © 2010 Altimeter Group

  26. 26 Ties these comments back to customers © 2010 Altimeter Group

  27. 27 #4 Be Ready To Give Up Control © 2010 Altimeter Group

  28. Openness requires accountability The Sandbox Covenant 28 © 2010 Altimeter Group

  29. The Red Cross handbook/policies help keep order 29 © 2010 Altimeter Group http://sites.google.com/site/wharman/social-media-strategy-handbook

  30. 30 #5 Fail fast, fail smart Identify the top 5-10 worst case scenarios. Develop mitigation and contingency plans. Encourage risk taking and forgive failures. © 2010 Altimeter Group

  31. Wal-mart failed many, many times 31 © 2010 Altimeter Group

  32. Buyer blog hit the right note © 2010 Altimeter Group

  33. 33 Summary  Social networks will be like air.  Use social context to create relevancy.  Be ready to give up control – you have no choice. © 2010 Altimeter Group

  34. 34 34 Thank you Charlene Li charlene@altimetergroup.com blog.altimetergroup.com Twitter: charleneli

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