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COMP7880: E-Business Strategies Web 2.0 & Social Networks Marketing Dickson K.W. Chiu PhD, SMIEEE, SMACM, Life MHKCS 1 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) COMP7880-W2-2 Web 2.0: Evolution Towards a Read/Write Platform Web 1.0 Web 2.0 (1993-2003) (2003- beyond) Pretty much HTML pages viewed through a browser Web pages, plus a lot of other “content” shared over the web, with more interactivity; more like an application than a “page” “Read” Mode “Write” & Contribute “Page” Primary Unit of content “Post / record” “static” State “dynamic” Web browser Viewed through… Browsers, RSS Readers, anything “Client Server” Architecture “Web Services” Web Coders Content Created by… Everyone “geeks” Domain of… “mass amatuerization” COMP7880-W2-3 Web 1.0 vs Web 2.0 Web 1.0 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. 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. COMP7880-W2-4 Blogging is the Most Recognized Example of Web 2.0 COMP7880-W2-5 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 COMP7880-W2-6 Users Find Blog Content Helpful, and They Are Receptive to Online Ads COMP7880-W2-7 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 COMP7880-W2-8 Tactical Opportunities for Early Adopters & Marketers Watch & Wait Web Tags & Social Services FolksonomiesNetworks Drive Traffic to the Site Improve Customer Experience Drive Conversions RSS Blogging Act Now Blogging / Blogs RSS / Feeds • Improves placement and relevance in search engines •Could generate repeat visits to site •Generates interest in deeper engagement •Generate “reminder” traffic •“Push” key product or promotion out to audience, to drive traffic back to your site • Broaden reach through syndication, driving more traffic back to your site • Helps explain products, • Feeds make it easier to stay connected and aware, driving convenience • More information = more competence = more control service, approach •Provides “support” through direct customer Q & A • Generate deeper insite into user attitudes and behaviors •Generate “trial” usage •Blogs and post drive deeper engagement and helps overcome objections • Drives frequency, which may lower the barrier to awareness and trial COMP7880-W2-9 RSS – new ways of receiving content COMP7880-W2-10 Web 2.0 Will Mean Changes for Marketers More users are connecting to each other and content through networked, peer-driven activities & content 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 Linkedin now has service referrals as part of their package 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 COMP7880-W2-11 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” COMP7880-W2-12 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) COMP7880-W2-13 Social Networks Connect Users into Communities of Trust (or interests) COMP7880-W2-14 New Rules of Marketing Old Rules Marketing = advertising New Rules Marketing = advertising + PR + thought leadership. Media shift from TV and Creative messaging via print to social media via the broadcast interruption Web. Designed to appeal to the Timely delivery of detailed masses information on demand 1-way messaging: 2-way interactive dialogue; company to consumer audience participation. Focus on selling products You are what you publish; content = king. or services. COMP7880-W2-15 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 COMP7880-W2-16 Social Media DO’s and DON’Ts BE AUTHENTIC… transparency is essential in this environment. KEEP IT SHORT… Social media provide an extremely fresh and vital outlet for real time messaging to your marketplace. Remember social media is a program of attraction, not promotion. 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. COMP7880-W2-17 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? … COMP7880-W2-18 Marketing Strategies on Web 2.0 / social networks Relationship Marketing Word of Mouth Marketing COMP7880-W2-19 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. COMP7880-W2-20 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. COMP7880-W2-21 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. COMP7880-W2-22 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. COMP7880-W2-23 Potential Web 2.0 WOMM Avenues Podcasting RSS Blogging tagging Personalization folksonomies Facebook Wikis Social MySpace bookmarking sites Websites alerts Social Networking Sites Blogger COMP7880-W2-24 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. COMP7880-W2-25