Posts tagged ‘foreseeable’

Ok, let’s get everything out on the table before we really get going here. Social media helps brand build a following of people who believe in the brand. It creates little armies of brand zealots that do all the promotion for you on a grassroots level. It is the next level of the evolution of the online commerce experience because Internet users are so savvy that they will understand that to experience a brand is to live the brand is to make the Earth safe for the rest of us mere mortals! Oooops. Sorry. I got a little caught up in the hype of social media. Now for the reality check? Social media users like deals. Sure they may ‘engage’ with a brand a little more but they are really just looking for a deal. A coupon. A discount. Not brand nirvana. At least that’s what a study from Razorfish as reported by MediaPost is telling us. Much has been made of the ability of social media to help brands connect with consumers in new and deeper ways — to establish a “dialogue” with users through various interactive tools that blend seamlessly into their online activities. But a new study suggests the key to engagement on social properties comes down to old-fashioned direct marketing techniques like offering discounts and special promotions. “Based on our research, it’s not so much about some type of ’shared passion’ for a brand’s values. Largely, it’s about deals — pure and simple,” states the 2009 FEED report from Razorfish examining consumers’ digital habits and attitudes. What the ……?! Are you trying to tell me that when I put my head down on my pillow at night I really am not smiling about how much Dell, Zappos and Rackspace care for me on a deeper than e-commerce level? You mean it’s because I am just using them for their discounts? I feel so cheap. Makes sense though. Maybe we need to take a step back on this whole social media deal and understand what is really going on. Sure there are levels of engagement that could not be experienced by brands or their users until the Facebook’s and Twitter’s of the world came along. What we need to be careful of is forgetting that human behavior doesn’t just change on a dime. In fact, I would posit that this is going to be how the VAST majority of people embrace social media for the foreseeable future. Not because they want to engage with a brand but because they want the brand they like for less cash. Some other quick findings included Of those who follow a brand on Twitter, for example, 44% said access to exclusive deals is the main reason. And on Facebook and MySpace, 37% cited special deals as the main reason they have “friended” a brand. The report points to companies such as Starbucks, which has amassed nearly 5 million fans and soared to the top of Facebook brand pages by offering coupons for free pastries and ice cream. Razorfish identified customer service as the other key driver of consumer interaction in social media, with 33% friending a brand on Facebook and MySpace for that purpose, and 24% on Twitter. Companies such as Comcast, Zappos and Virgin have all gotten high marks for using the latter as a customer relations management (CRM) tool. Now, this is where you create the brand zealots. When you solve their problems using social media then you are on to something. To think, though, that social media is selling more product because of the buying experience is a bit much when you are talking about the masses. So for all of you who are seething at my position that the ‘feel good’ side of branding with social media is over-hyped please make your case with your comments. Meanwhile I am off to Dunkin’ Donuts for a discounted dozen beauties followed up by a dollar off cup of something from somewhere.

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Are Social Media Users Just Technologically Advanced Coupon Clippers?

It’s a slow news day so we’ll just enter into the realm of ‘what ifs’ and ‘maybe, kinda, sortas’ for a minute and imagine a world without barriers. Sounds nice doesn’t it? Imagine a place where you would be able to have the best possible smart phone device for you personally regardless of who your carrier is or is not partnered with. Imagine there’s no dropped calls …. it’s easy of you try. I think I may be channeling John Lennon …… Anyway, what I am imagining based on a report from All Things D is the ability to possibly have an iPhone even though I am a Verizon customer for the foreseeable future. That’s an interesting prospect for sure but one I will have to do a ‘wait and see’ on. Apple has a lot to gain by ending iPhone carrier exclusivity in the U.S. and signing up Verizon as a second carrier partner. ….such a deal could more than double U.S. iPhone sales in the near term. That said, it does have some noteworthy downsides, top among them, the end of the estimated $450-per-iPhone carrier subsidy AT&T (T) has been paying. That’s the word from Broadpoint AmTech analyst Brian Marshall, who believes Apple (AAPL) will bring the iPhone to Verizon (VZ) in the second half of 2010 and forfeit AT&T’s “sweetheart” carrier subsidy as a result. With the number of iPhone apps growing at the current rate of ‘really fast’ and the B to B marketing crowd seeing the value of building apps for branding purposes this is a great bit of speculation that I hope comes to fruition. While I have thought that going “droid’ may allow for me to have the best of both worlds I have to admit that having two devices now (BB Storm or phone, e-mail etc and iPod Touch for music, apps etc.) is a pain. I am not so convinced now that having a droid device and the iPhone is a good thing because carrying two separate devices is just not a good thing. As this plays out marketers are going to have to make some hard choices as to which platforms they tie their marketing budgets to. While many look at the number of devices that Apple will sell if they were out from under the AT&T deal as weighed against the smaller subsidy the real money is in the apps. If twice as many people have an iPhone then the app sales go through the roof and Apple has a license to print money. Well, one thing this whole aura of uncertainly has created is one less droid device sale. I’m holding out to see if this Verizon and iPhone thing happens. Until then I’ll just suffer. Actually, I can’t seem to make up my mind on this one. Maybe I’m channeling Brett Favre ……

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Verizon and iPhone in 2010?