Is Social Media Key to Customer Experience?

 Is customer experience the overriding strategic marketing concept in the age of social media? It’s a chaotic marketing environment made up of customers with all kinds of needs and usage habits, multiple screens, myriad channels of communication, and exploding content, both marketer-generated and user-generated. The concept of customer experience links all of these together into a unified system that results in a satisfied customer, so I argue that it should provide ultimate guidance for marketers.

What is a definition of customer experience that marketers can use as a guide? There are a lot of formal definitions, but I like what GM VP Alicia Boler-Davis said last year. She explained that GM has expanded its definition:

to include what happens before, during, and after the sale – instead of just what happens in the dealership.
“We’re no longer thinking about a vehicle sale as a transaction or a singular event. . . We’re thinking about it as part of a relationship between the customer, the dealer, and GM.
“Put another way, the customer experience begins long before our products make it to the dealer showroom.  It begins with our very decision to build a vehicle… and involves every customer touch point after that.  It involves the entire enterprise.”

Ok, that’s not a new concept; relationship marketers have been preaching it for years. But it is incredibly challenging in the face of today’s myriad—and growing--number of customer touchpoints. Social media marketers know well that the content in many of the social touchpoints is controlled by customers, not by marketers, and that complicates the situation.

The PWC graphic illustrates just how hard it is. Their Digital IQ survey revealed that 66% of US online adults use social media; 59% of respondent companies have provided mobile tools for their employees, but only 37% (30% of top performers) make use of external social media communities. Businesses are far behind their customers in the use of social media, which isn’t exactly news!

Here’s a Forrester graph that makes the role of social media clear—and more than a little scary! Above the dotted line in this customer experience journey map the Forrester team shows many customer touchpoints—you can think about what they are for your business. Some touchpoints make the customer happy, others do not. Already the customer experience is not “seamlessly satisfying”—the marketer’s ultimate goal. The unhappy customer doesn’t leave it here, as so often happens these days. She tweets out her frustration.

 

Below the dotted line we see that the only internal process visible to this customer is social media! And one can intuit that the social media team does not have the skills, or even more likely, the organizational power to tweet back in a manner that satisfies the customer’s complaint. The customer’s problem has not been resolved by the channel she chose to use—social media.

What does it take to develop a customer experience strategy that results in seamless satisfaction? A Forrester blog post lists six necessary elements:

Strategy. Forrester says:

The strategy discipline is your game plan. It's a set of practices for crafting a customer experience strategy, aligning it with the company's overall strategy and brand attributes, and then sharing that strategy with employees to guide decision-making and prioritization across the organization.  . .The customer experience strategy defines the intended experience.

Customer Understanding. Need we say more? Understanding the customer is the marketer’s basic job description. To what extent are your customers using social and mobile media? How is this affecting their search behavior, their shopping behavior and their purchasing?

Design. Whether it’s a wonderful product or whether it’s a website that not only looks pretty but works well, good design is important in an age that seems increasingly visual. Think again about the statement from GM, above.

Measurement. Don’t all digital marketers preach the importance of measurement? I still like the old quality management phrase, “what gets measured gets managed.”

Governance. Business policies must focus on customer satisfaction and lead to the internal policies that create it. Creating good customer experience is a job for all employees at all times!

Culture. Good governance leads to a culture of openness and transparency that creates an environment in which customer centricity can flourish. That just happens to be the same type of culture that encourages successful use of social media.

So I repeat my initial argument: customer experience strategy should be the cornerstone of marketing strategy. These 6 elements, however, make it clear that the organization as a whole is the player in customer experience with social media able to play a key customer-facing role. So marketing needs support from the top levels of management if it is to execute a meaningful customer experience strategy.

Social Media for Good VIII

Health-related websites and social media networks are certainly not new, but they seem to be growing in popularity. According to some interesting statistics on All Facebook, health-related pages represent a burgeoning category on Facebook. In fact, they increased in number of pages in the third quarter of 2012 by more than other fast-growing categories like travel.

Health related social media can perform many functions from providing support to patients and their families to raising money. The feature on Living Kidney Donors Network on local TV caught my attention last week.

This is a great example of direct and worthwhile action prompted by a Facebook post. Hear the story on the WCVB video.

Remember that it's not the size of the page by any measure; it's the good it does. And take the good being done by this social network  page as a happy thought for the Easter weekend1

The Migration to Mobile III--All Shopping Can Be Local

It used to be a sign that you were cool with current technology; you did research on your computer before heading to retail stores to shop. That’s no longer true. Now shoppers can use their smartphones or tablets to get the information they are looking for right at the POP--and maybe a coupon to boot! That is a powerful concept and it is driving profound changes that go all the way down to the individual retail location.

It doesn’t start when the shopper nears the store or walks in the door, though. It starts by building a meaningful SoLoMo strategy. One interpretation of the mobile shopping funnel captures the essence.

http://www.brafton.com/news/smx-advanced-buzz-social-local-mobile-marketing-leads-to-sales-800526890

Social marketing helps build—or maybe for the small local retailer builds all by itself— awareness and a positive brand image. Retailers use tactics ranging from paid advertising to instore promotions and events to lure followers to their social platforms. Mobile marketing—whether paid ads or content marketing—reaches people when they are actively researching a purchase or provides a triggering cue by suggesting a reason to purchase. Local marketing reaches them at the point of purchase, giving them compelling reasons to buy at that moment.

http://techcrunch.com/2013/01/25/mobile-shopping-apps/

Adding another dimension to that argument is data about the role of various types of shopping apps during the 2012 holiday season. The huge growth is seen in retailer apps and the lowest growth in the daily deals apps, whose difficulties have been much in the news. I wrote about the Macy’s shopping app during the holidays. The mapping application still seems to be available only for the Herald Square store but deals, wish lists and other retail services are going strong. At the moment they are offering me a 20% off promo code, which might be useful, and a bridal registry, which definitely is not! My initial reaction was “so much for personalization,” but how do they find out unless they ask?

The data also highlights another important mobile issue. Price comparison apps also experienced explosive growth. Showrooming—checking prices in stores then buying more cheaply online—seems to be ongoing.

But there’s good reason for local retailers not to hit the panic button. The trend can be their friend! No less a retailer than Walmart is encouraging people to use their phones in stores. Wired explains it well:

Walmart’s stores are “geo-fenced,” which means the location-aware app enters “store mode” when you walk through the door. Once in store mode, you have access to an interactive version of the weekly on-sale circular for that store. You can see what’s new in the store. You can scan bar codes with the phone’s camera for prices and keep a running list of everything you’re buying so you’ll know the total cost when you get to the register.

How can retailers without Walmart-level resources turn showrooming to their advantage? The advice from the Retail Customer Experience site is:

1. Embrace omnichannel.
2. Bring the best of online shopping into the store.
3. Implement innovative in-store technologies.
4. Empower in-store personnel.
 
Putting it all together they say:

Innovative in-store technologies can help shoppers engage with brands and create a great, enjoyable shopping experience that leads them to both return to the store and to act as brand ambassadors through social media, leading to more visits from their peers.

Very interesting—it all comes full circle. Use both the human touch of your store employees and the power of technology to give your customers a great shopping experience and they will share it with their friends on social media. Like all good advice, it’s easier said than done, but the guidelines are there!

The Migration to Mobile II -- The Second Screen, or Is It the Fifth?

“Second screening” has interested me from the advent of mobile. I used to think I was too old to watch TV with a mobile device in hand—that it was just for Gen Y and below. However, now even I find myself doing it along with a lot of others—amazing!

So first the terminology. It’s not standard, but this is general usage. TV was the first screen, the desktop computer the second. The third was the cellphone (now the smart phone) with the fourth being the tablet. The Pew chart shows the increase in ownership of various mobile devices and the corresponding decline in desktop ownership.






eMarketer recently quoted data suggesting that connected cars would provide the fifth screen. That is quite a challenge for marketers and their content! I do hope, however, that cars will be driving themselves before drivers start, for example, start browsing the Internet from their car’s dashboard!

What’s important is that behavior is changing right along with ownership as I pointed out last week. It’s safe to summarize that communication is still most important but brand-related activity continues to grow. Actual shopping, not so much. However, recent Nielsen data indicates that consumers are likely to research on smart phones and purchase on tablets. So second screening is taking place even within the growing mobile shopping space.


Three recent event illustrate what is happening and how brands, teams and people can benefit. See these summary infographics:

The Summer Olympics
The Super Bowl
The Oscars

All had their own issues. Olympics social media activity was overwhelmed by viewer angst about NBC’s coverage (#NBCfail). The Super Bowl had that power outage—what else did viewers have to do except tweet about it? The Oscars have taken heat in the past for not doing a good job with social media. This year the level of social media activity was less than that of the Super Bowl and the Grammys according to Mashable.

The Grammys seem to do a consistently good job of self-promotion. Here is their advice for other event producers:
1. Be semi-obnoxious, promoting platforms and hashtags at all opportunities.
2. Tell your audience what they will get for following you on social media. In the case of the Grammys that included behind-the-scenes coverage and unique content.
3. Let your audience know you are listening. That takes a trained social media team at work during the event.
4. Spell it out. See Number 1! The Grammys used the transitions to ads to promote platforms, sites, etc. often using their celebrity presenters to do so.
5. Be active on social media during your event. More than listening, have proactive official posts and tweets to encourage engagement.
6. Think about social media long before the event. The Oscars actually did a good job of that. Consumers were fairly accurate in predicting Oscar winners.
7. Use social media to help the viewer keep up. Use captions, crawlers, etc. to list platforms and hashtags, making social engagement easier.

Whether it’s a brand-related event, a business conference, or a non-profit activity, the work it takes to integrate social media can pay off handsomely in visibility!

Social Media for Good VII

On January 24 Twitter launched Vine, a platform for 6 second looping videos. Right now they are mobile-only. The free app can be downloaded at the App Store.

The New York Humane Society was one of the first users. They tweeted a video of Parker the cat.

The good news is that Parker found a home as a direct result of the video. NYHS was smart enough to tweet again, the image I captured, announcing that Parker had found his new home.

Good job!

Migration to Mobile I - How is Consumer Behavior Changing?

The long-awaited mobile revolution has finally materialized in the United States. It took us longer than other parts of the world, but now that it’s here it is indeed revolutionizing the way consumers do many things.

The graphic and lengthy quote from the NPD Group shows the continuing flow of activity from desktops to tablets and smartphones. According to their press release 37% of consumers who once accessed content from their desktops now access from tablets and smartphones. Does that imply “all the time” or “some of the time?”  That’s not clear. The graphic shows Internet browsing and Facebook to be the two activities benefitting most from the switch. “Twenty-seven percent of smartphone owners have decreased both their Internet and Facebook usage on their PCs because they now use their smartphone for these activities,” they say, so the answer appears to be “some of the time.”

What surprises me most is in the text; smartphones lead tablets in the percentage of consumers who are switching to mobile access. Thinking about that, I believe the answer is not in larger screens per se; it’s in the fact that more people own smartphones than tablets at this point. For Pew research on the subject see:

• Changing activities of cell phone users 
• Current activities of smartphone users   Note that Pew identifies 2012 as the tipping point where more consumers are using smartphones than traditional cell phones.

So the switch is underway. What are they doing; what content are they accessing? The Marketing Sherpa chart shows more brand interaction, peer input, and product and pricing research. New purchasing behavior and payment methods are down the list, but I’d expect them to increase as consumers become more comfortable with mobile. Will showrooming continue to be a curse to retailers? Not clear. Local also seems to be on the upswing, and I’ll return to that in a later post.

Consumer behavior is being changed by the availability of mobile and improved mobile experience. What can we expect as 2013 moves on? In its 2013 predictions Mobile Marketer calls it SoLoMoCoDa, with Co mmerce increasing (along with Da ta) fueled by NFC and other developments in payment platforms.

They’re not so much doing different things; they're doing things like search and Facebook on different screens. More about that in the next post.

Social Media for Good VI

The SmartBrief headline was too good not to click—"Researchers Use Twitter to Try to Catch Colds". It lead me to computer science researchers at Johns Hopkins who have an active public health research program based on analysis of tweets.

They’ve studied allergies and found that people not only talked about them on twitter but many of them were taking the wrong medications. They’ve also studied headaches and the spread of flu. The SmartBlog post gives information on how they do it.

CS doctoral student Michael Paul comments that using Twitter to do this type of research is much faster than traditional public health information gathering, but less accurate.

So consider it another weapon in the growing arsenal of health-related social media tools!