Tagged: roi

equation

It’s Time to Flip the Social Media & Community ROI Equation on its Head

It’s no secret that many Brands realize tremendous value from their social media and online community efforts. Value in the form of cost-reduction for support and service, ideas for and feedback on products, product and brand advocacy… the list goes on and on. Most organizations have analytics in place and some form of dashboard that tracks performance, and in many cases, actual financial impact of social and community efforts.

Unfortunately, there is also a problem with the current approach Brands take: it’s unsustainable – unsustainable because it is predicated on Customers doing valuable work for free. 

We need a new social and online community value equation.  Stay with me here. In the early days of community, all brands really had to do was show up. Hosting a discussion forum met pent-up need for customers to connect, share and help each other. The motivation for participation was generally either purely altruistic and/or driven by the desire for enhanced reputation and recognition.

More recently Community Advocacy programs, elaborate reputation systems and game mechanics were introduced to drive contribution to communities. On the one hand, these programs and technologies enhance the Brand community experience. On the other (and more cynical) hand, they could be perceived as an inequitable attempt to squeeze more value from community members.

Further, there is currently an explosion of expertise and talent marketplaces like Maven, PopExpert, Odesk, Google Helpouts and 100s of others, Community experts now have myriad marketplace options and some are starting to charge for their talent and expertise.

To net it out:
1. Brands generally view Communities as cost-saving vs. value producing, and consequently:
2. Brands haven’t truly considered what an equitable value exchange might look like between the organization and the community;
3. Compensation to the community contributors comes in the form of either reputation and / or fulfilling on an altruistic need, with a very small percentage of member getting “MVP” benefits;
4. There is an explosion of knowledge and service marketplaces that allow experts to place financial value for knowledge and expertise.

In short: Brands have to rethink their social and community strategies from an exchanged-value perspective, or risk losing their community.

What to do?
The most critical thing is to rethink the Social & Community value equation, and to move beyond the myopic view of Customer Communities as solely a means to reduce cost. Instead of asking what the benefit is to the organization, real research and critical thinking needs to be applied to the needs, expectations and values of customers who might participate in a community. The range of value received from the the community by participants needs to be broadened – access to communal knowledge and connections are an expected part of the digital experience now. Compensation for Community participation and contribution must evolve beyond reputation and become more tangible, possibly in the form of products, services or even financial compensation.

A few key questions to explore:

  • What if community members knew the explicit value of their attention and contribution to a community? 

  • What impact would this knowledge of value have on the current community?
  • How might we enhance the community experience by surfacing and rewarding contribution beyond rank and reputation?

  • What are the emerging knowledge and service marketplaces that might attract our current key contributors?

  • How might our competition attract our customers with a more valuable community experience?

I’d love to hear other’s perspective on the issue of sustainable participation. Please chime in via the comments below.

Announcing – Back to Basics: Developing an Online Community Strategy

 

The topic of online community strategy is one of the things that occupies a large chunk of my mental cycles. I’ve written about a pretty basic process and framework a few times over the years, and I think the baseline concepts have held up well. You can read a couple of relatively recent posts here (I’d love to hear your thoughts):
How to Develop a Community Strategy
Holistic Community Strategy

Why am I Doing This?
I’m very passionate about the opportunities that online communities and social media bring to the table, and I’ve had my fair share of real world experience (10+ years), but the primary reason I want to write this series is pretty simple:
Organizations are still challenged with setting strategy. From our efforts with the Online Community Research Network, we still see that only about 25% of our participant organizations have a comprehensive community strategy in place.

Over the next few weeks, I will explore the following topics, offering my own opinions and insight, data from our ongoing community research, as well as other relevant content from experienced community-building professionals. I’ll also try to post as many templates that I use (or can borrow), where appropriate. In short: I’ll be posting, you will be adding to the discussion, and we will all (hopefully) be making our day to day community practices a little better. I hope that sounds like fun :-)

The Topics
The topics, which generally follow my strategy development process, will be:

1. Goal Definition:
How to assemble an internal stakeholder team and facilitate definition of business goals for the community.

2. Member Needs Research:
Processes and techniques for engaging community members in a process of discovery and conducting member “needs” research.

3. Social Media Ecosystem Research:
Methodology for conducting a discovery exercise of the relevant parts of the social web to find out where your community (or potential community) is already working and playing.

4. Designing an Online Presence Architecture (with a hat tip to Chris Brogan):
Factoring the goals of the business, the needs of the members, and the opportunities in the social media ecosystem to create a presence architecture that maps out where to focus engagements.

5. Engagement Planning:
How to develop content & activity plans for the community, including
–Where: to engage (home, outposts)
–Who: responsible party
–How: specific activity
–When: frequency of activity
–What: expected outcomes (prototypical metrics!)

6. Community Platform Selection:
Guidance on how to select a community platform, along with recent ratings for major platforms.

7. Management & Moderation
An overview of the important and evolving role of the Online Community Manager, building an online community team, and best practices on moderation.

8. Metrics & Reporting
What metrics to collect, what they tell you, who to report them to, and how often.

9. Policy Creation & Roll-out
How to develop community and social media policies that fit your organization, and how to deploy them.

10. Governance
Creating a governance structure in your organization, keeping exective stakeholders informed and engaged, and achieving the right balance of of inter-departmental communication and guidance.

11. Superusers / Elites
A review of the best superusers programs, with a focus on process, identification and incentives.

Again, I would LOVE your feedback on the topics above. My goals is to write an article a week over the next 12-14 weeks. Each article will be labeled “Back to Basics”, and will be tagged #ocb2b

Posted via web from Social Architect

Online Community Summit 2009

logoWe’re just about 2 weeks away from our 8th annual Online Community Summit in Sonoma, CA, on October 8-9. We have a fantastic speaker and session line-up that I’ve detailed out below.

If you’d like to attend the Summit and you’re a senior online community or social media practitioner, please go here to request an invitation. There are limited tickets still available.

Please note: We restrict attendance of platform and service vendors to those sponsoring the event. If you would like information about sponsoring, please email me.

Check out the event site here for more information.

We have a great group of folks coming, including: Answers.com, Apple, Autodesk, Inc., Cisco, CNN, GlobalGiving, Moshi Monsters, Edutopia, LinkedIn, American Legacy Foundation, SEGA of America, Time Inc. Lifestyle Digital, WestEd, TripAdvisor, Dell, Executive Networks, Inc., Microsoft, REI, Care2.com, Stupski Foundation, The MathWorks, and more.

Event Schedule:

Thursday, October 8th

8:00 – 9:00: Registration / Breakfast

9:00 – 10:00: Introductions & Welcome
Bill Johnston – Chief Community Officer, Forum One Networks
Joi Podgorny – Head of Community, Mindcandy

10:00 – 11:00: Session 1 /Turning to the Crowd: Ideas and Contest Sites
How can you generate great ideas and enthusiasm for your organization at low cost?
Session Lead: Anil Rathi, Idea Crossing
Session Lead: Ryan Wilson, XPrize

11:00 – 11:30: Break

11:30 – 12:30: Session 2 / What You Need to Know About the Mobile Communities Revolution
As mobile usage explodes, the importance of mobile communities is increasing dramatically. We’ll review experiences from Obama to Armani to the American Cancer Society and demonstrate the coming wave of change that will impact your organization.
Session Lead: Kevin Bertram, Distributive Networks
Session Lead: Miles Orkin, America Cancer Society

12:30 – 1:30: Lunch

1:30 – 2:30: Session 3 / Social Marketing & Advertising
Communities and traditional forms of marketing and advertising have historically acted like oil and water. Progress is being made by innovative organizations that involve the community in feedback, permission-based programs and even advertising creation.
Session Lead: Paul Levine, Current.com
Session Lead: Bruce Smith, Answers.com

2:30 – 3:30: Session 4 / Break Out Sessions

3:30 – 4:00: Break

4:00 – 5:00: Session 5 / News Communities
While the importance of PR and marketing hasnʼt changed, the ways to influence major news sites has transformed radically. Weʼll discuss the news landscape and what it means for your organization.
Session Lead: Lila King – CNN.com
Session Lead: Chris Tolles – Topix.net

Friday, October 9th

8:00 – 9:00: Registration / Breakfast

8:00 – 9:00: Community and Good Ideas Demos (open podium)

9:00: Introductions

9:00 – 10:00: Session 6 / Social “ME”dia: Employees as Advocates
How does an organization combine employee passion with social media tools to meet organization goals?
Session Lead: Erika Kuhl, Salesforce.com
Session Lead: Lucia Willow – Pandora.com

10:00 – 11:00: Session 7: / Break Out Sessions

11:00 – 11:30: Break

11:30 – 12:30: Session 8: Operationalizing Social Media – Reshaping the Organization
As social media and community programs move form short term, tactical engagements to longer-term business strategies, organizations must transform to take full advantage of the possibilities. Hear about the topography of the “social organization” from our panel of experts leading the charge to transform their organizations via social media.
Moderator: Rachel Makool, Makool Consulting
Panelist: Larry Blumenthal, Robert Wood Johnson
Panelist: Dawn Lacallade, Solar Winds
Panelist: Jordan Williams, REI

12:30 – 1:00 Conference Close and Wrap up

Some of the current attendees include community and social media practitioners from leading companies including: Apple, GlobalGiving, Autodesk, Inc., Leadership Corps, Moshi Monsters, Edutopia, LinkedIn, American Legacy Foundation, SEGA of America, Time Inc. Lifestyle Digital, WestEd, TripAdvisor, Dell, Inc., Answers Corporation, Executive Networks, Inc., Microsoft, REI, Care2.com, Stupski Foundation, and The MathWorks, Inc.

Online Communities: Thriving in the Downturn

Cross-posted from the Online Community Report.

Next Online Community Roundtable 11/28 @ WebEx in Santa Clara

The next Online Community Roundtable is this Weds, 11/28 @ WebEx in Santa Clara.

Email me if you would like an invitation.

What is the Online Community Roundtable, you ask? The Roundtables were created out of my frustration in finding current, relevant sources for community management and strategy, and the especially difficult time I had finding and connecting to peers. The Roundtables are an intentionally under the radar gathering of Online Community Pros to network, share best practices and discuss current challenges. We hold them every month or so throughout the bay area, and the groups size is generally 15-20 people.

Again, email me if you would like an invitation, or are interested in future roundtables.