Moving Beyond Counts & Traffic – Social Media Measurement That Works

Lots of interesting research coming out on Social Media recently. We take note because the results and conclusions continue to demonstrate that measurement remains a high priority for executives, but what is delivered is not meeting their needs. Let’s take a look at some recent examples of companies surveyed about their social media efforts from a measurement point of view.

First a study from White Horse of 104 companies using social media shows us that when companies try to measure the success of their social media efforts, that very few (less than 15%) are able to get to an ROI for their work. They continue to use traffic and participation (we put that in our behavior metrics) to demonstrate success.

Here is another study which demonstrates a similar point, that companies are using social media traffic and behavior metrics as a measurement of success. This study completed by King Fish Media in June 2010 has great information; unfortunately, it reveals that while many companies say that they have a social media strategy in place they don’t understand how to measure its results.

Perhaps it is the way the research is presented versus the actual question asked, but when you read the measurements used for value they are not representing economic value in most cases. Rather, marketers and others measuring social media continue to focus on representing traffic as some sort of proxy for value. Worse, many still believe that the number of followers on Twitter or fans on Facebook is a valuable metric to use to demonstrate value. They couldn’t be more wrong…

Even the famed Guy Kawasaki is promoting an idea that the more followers the better during a TweetChat on MarketingProfs…but his perspective is the larger the audience from a sheer numbers perspective the better your results will be. In our experience, that is just not true. We see that the more QUALIFIED followers you have, the better your results MIGHT be.Why? Because the value of a follower is zero until they do something that brings value to the organization. If all they are doing is following and never taking action, can you assign a value to them? We think not. Have you analyzed your followers? How many are customers? How many are prospects? How many are competitors? (How many have followed your account to simply build their own counts through an auto-follow?)

So where does all this lead? Well, if you are attending theiStrategy meeting in Chicago on September 15-16, we’ll be there to address this issue. I’ll be presenting this topic on the morning of the 16th to the attendees.

I’ll demonstrate a stronger methodology for using a more integrated approach to your social media efforts which allows you to focus only on the metrics that really matter… those that lead to economic value for your organization.

For those of you who cannot attend, the presentation will be added to our social media resource center after the meeting ends. For those of you who are attending, please bring your questions!

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Social Media: Whose Brand Is It? A Contrarian View

This week’s Fortune Magazine has a very interesting article in its career section titled “Building Your Brand (and keeping your job)” by Jost Hyatt. Are you a senior level marketer in an company that is moving quickly into social media? If so, this article should be on your critical reading list. Here’s why (excerpted from the article):

“When Monty joined Ford, he brought with him 3,500 Twitter followers; he now counts 41,000, conceding that many of those came with the big blue oval logo that now accompanies his tweets.”

“And he’s kept his Twitter handle as @scottmonty rather than adding the Ford brand. ‘I was Scott Monty before I came to Ford, and I’ll be Scott Monty after I leave Ford,’ he says.”

And he is absolutely correct… when he leaves Ford, he takes all the brand equity from his social media efforts with him. Well, maybe not all but certainly a lot.  This is not a criticism of Scott in any way, just a social media tactic that is going to back fire with a lot of companies as the economy gets better and people start changing companies again.

As we wrote in an earlier blog post, Walking Out the Door with the Twitter Password, organizations must have a plan for social media and turnover of employees. But we didn’t go in to the brand equity and ownership issue. So with the above article as an example, here are our thoughts.

Contrary to popular opinion that brands are owned by everyone in the world of social media and that organizations should give up control, we argue that this advice results in companies giving away valuable assets. The number one objective for using social media from a brand perspective should be to build the importance of the brand in the audience’s thoughts. That’s why marketers use advertising to build awareness, coupons to build trial use, and consistency in branding to build a relationship with consumers. In B2B terms, it’s still about awareness but the relationship factor becomes even more important. With all of the money spent by marketers to build their brands, enhance them, and promote them, why would they let the value slip away as someone walks out the door for a new position? But with the social media tactics promoted and utilized by so many, this is exactly what companies are doing.

“People forget that they are always representing their companies… If you send a tweet that says ‘My Boss sucks,’ you have to be aware of what could happen.” – Lucia Erwin, fomrerly H-P’s sr. director of strategic workforce planning

And here’s an example of how personal accounts acting as corporate accounts can back fire from the article:

“Amy D. was a social-networking expert at a marketing firm. She was just ‘letting out some frustration’ last year when she issued a tweet noting the irony that she was editing a presentation about social media for her boss who didn’t use it. She got fired shortly thereafter for violating a new communications policy.”

(Amy probably wasn’t a real social networking expert because that was such a rookie mistake. But that is another story about our industry all together…)

So what is a company to do? Well, for one rethink this tactic. Think about the number of cases where an employee has tweeted, added to their wall, or commented on a blog inappropriately or worse in a way critical of the brand. It’s easy to write these off as isolated instances, but it happens a lot. That’s why companies institute social media policies for their organizaiton’s employees to follow. It gives them recourse and a limited amount of protection should they fire someone (as also mentioned in the article above).

A better tactic is to use the brand as the leader, not an individual. The account(s) are owned by the company, not the individual. The passwords are the property of the company. If the individual leaves, the account remains in tact but with a new author. Does the author get some credit? Sure, in the profile section of the company brand’s account. For example, the account for your product could be titled “AcmeWidgets” with a profile that states “AcmeWidgets provides product information and company communications. Our account is written and managed by JoAnn Smith, an Acme employee with six years of experience in the Widget Industry.” (See our Twitter account profile as an example: @ImpactInteract.)

That way, the focus of your company’s social media efforts remains on the brand not on the personality of the employee. It also gives credit to your employee, but allows your company to switch out the author at any time without losing your audience. 

While some ‘gurus’ and social media ‘experts’ will argue about transparency or being authentic here, this tactic is transparent/authentic, it gives your company a social media voice, and it allows for a measure of protection of your most valuable asset…. your brand.

Sometimes, it pays to follow a contrarian idea and go against the ‘wisdom of the crowd’ especially if it involves maintaining your brand’s position and standing in an ever growing social world.

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B2B Social Media Best Practices: SAP Best Performance for Partners Program

Over the past several months, we’ve been helping SAP’s Partner Enablement team to understand how to use social media to further their goals of increasing partner sales and adding new partners to sell SAP software to the small and midsize enterprise (SME) market. Because there is a lot of confusion over using social media in a B2B setting, we’ve built a training methodology which takes the best practices from our ten years of experience in B2B social media and community work to simplify and help SAP’s partners.

The methodology is built around a very simple, yet powerful concept: Restaurant menus. Our training workshops provide teams with the questions that they must answer to successfully utilize social media. The goal is to clearly identify your strategy and objectives, then build a menu of tactics to support your effort.

So, are you a Pizzeria or a Fine Dining restaurant? Do you have a limited menu or an expansive menu with ever changing offerings (think of daily specials)? Does your audience have the time for a five course meal or do they want take out? Do you have multiple chefs or is there one person making your pizza?

By answering these and other questions, B2B teams begin to gain clarity in their objectives, audience, content strategy, and measurement requirements. Once we complete this session, we move into the tactical way to utilize social media in order to build out the menu of offerings.

Not all tactics are appropriate, nor does B2C social media strategy always deliver the intended results. By understanding how B2B social media tactics differ from B2C and work together to deliver results, our client SAP has generated significant results. In terms of helping partners succeed in a tough economy, it’s Best Performance for Partners social media program delivers training and information efficiently to help each partner organization succeed in meeting its revenue and lead generation objectives. For SAP, the partners who are participating are learning better ways of marketing and selling which benefits SAP directly in the form of revenue achievement.

For SAP, the Best Performance Challenge is an innovative way to build its partner channel competency each year. The Best Performance Circle, composed of the top partner organizations in EMEA and India, reinforces SAP’s commitment to its partners by using an online community to strengthen its relationship with a key part of its sales ecosystem.

The video below by Raimund Mollenhauer, Head of Enablement & Talent Net for SAP Partners, SME EMEA & Global describes how SAP is using Impact Interactions’ methodology today to deliver results:

The innovation continues at SAP with future roll-outs of additional Best Performance initiatives. Their use of social media not only speeds the adoption of these initiatives, but also delivers value to the partner channel in a cost effective manner.

To learn more about B2B social media best practices, our workshops, or social media for channel management, please contact us or ask a question here on this blog.

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Blogging for Business II – What to Look for in a Blogger

by Matthew Lees

In his post earlier this week (“Blogging For Business – B2B Best Practices”), Mike Rowland expertly covered a lot of ground in laying out best practices and benchmarks in running a successful blogging program. The “Ingredients” chart alone is worth the price of admission; I’ll bet a lot of people who run blogging programs that are successful now, only after a lot of fits and starts, wish they had information like that when things were starting out.

Some time ago I wrote about this topic for the Patricia Seybold Group (see “Best Practices in Corporate Blogging”). In reviewing that report, I found that there was just one aspect of B2B blogging in which I could add some value…regarding the bloggers themselves.

Who Should Blog?
There is no well-defined or industry-accepted profile of a B2B blogger, but certain characteristics and skills indicate the likelihood of success. Based on dozens of conversations with bloggers and sponsors of blogging programs, the following elements bubbled to the top. For the most part, B2B bloggers should:

1. Genuinely care about what they do and what they’ll be writing about. Lack of interest shows. The most important thing for bloggers to bring to the table is a positive attitude. If they like what they do and enjoy the topics they’ll be writing about, they’ll probably be in good shape.
2. Have some degree of expertise and experience in their subject area and with your company’s products and services. No surprise here. Bloggers need to know what they’re talking about. Note that this says “have some degree of expertise,” and not “be a full-fledged expert.” It’s fine for bloggers to admit they don’t know everything about their subject area. Doing so makes them more personable and can help generate buy-in from readers.
3. Bring a particular perspective to the topics they’re writing about. Regurgitating what’s already out there may work once or twice, but, as they say in the newspaper biz, you gotta have an angle. (Well, they used to say that.) Advice commonly given to bloggers is to “be yourself.” That’s much easier said than done, but it’s relevant when it comes to finding their voice and their perspective. Once they’ve got it, though, it makes everything a whole lot easier.
4. Have an interest in engaging with and learning from readers. One of the goals of blogging, of course, is to generate conversations. So, ideally some readers will comment on posts. It’s almost always beneficial to the blog and to the sponsoring organization when the blogger chimes in and responds to comments. And it’s a much more positive experience if they look forward to, are energized by, and learn from such conversations.
5. Not be overly sensitive about criticism. It’s not that they shouldn’t care. It’s just that criticism, which can sometimes be intentionally or unintentionally harsh, shouldn’t bring bloggers down to the point where they get resentful. They don’t need rhino-thick skin, but should be able to take things in stride.
6. Have some writing ability. Blog writing is definitely different from other forms of writing that business professionals tend to engage in. It’s more informal and conversational than technical documents, marketing plans, business proposals, and press releases, and it’s more structured than most business emails. Although it takes getting used to, most people who bring at least modest writing skills can eventually find their own successful blogging style if they’re engaged, determined, and well supported.

Bloggers don’t grow on trees, but they can be found just about anywhere in your organization. Getting the right people to blog is half the battle in running a successful B2B blogging program. (The other half is following best practices, such as Mike previously laid out.) There are thousands of B2B bloggers out there…but there’s always room for more.

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Will Employee Communities and Customer Communities Converge? (Part 3)

by Matthew Lees

The first post in this series laid out the question and noted some important similarities between internally facing and externally facing communities. The second post discussed key differences between such communities.

This third piece looks at employee and customer communities from the perspective of the vendors that provide tools, technologies, and services to organizations that sponsor online communities.

The Vendor Perspective
In one of my semi-annual industry reports (“Online Community Platform Company and Product Update – 1H 2008”), I wrote the following:

“2. Blurring of External vs. Internal Communities. Our focus at the Patricia Seybold Group is on enabling those who engage with companies from the “outside,” so we tend to be more interested in systems that support external communities of customers and/or business partners. This is not a clear delineation, though, as Web 2.0—social networking in particular—hits the enterprise. But as advocates of customer-centric approaches to business, we are sanguine on the trend that is moving away from the “us vs. them” mentality (with employees as “us” and everyone else as “them”), and toward a more group- or stakeholder-based approach, with customers and partners simply being another group of stakeholders. It’s happening slowly, but internal systems are being opened up to allow appropriate access to customers and partners. And community platform vendors are leading this trend; half of the companies we cover have products specifically developed for combined internal and external collaboration.”

That was written in August 2008. Many of the vendors I cover still offer products to support both employee and customer communities. Here’s a breakdown of some of the companies:

Technology Solutions for External Communities
•    Awareness
•    Lithium Technologies – Social CRM
•    LiveWorld – Community Center
•    Pluck
•    Powered – Social Marketing Platform
•    RightNow – RightNow Social Experience

Technology Solutions for Internal and External Communities
•    Blogtronix – Blogtronix Enterprise, Blogtronix Community
•    Ingeniux – Cartella
•    Jive Software – Social Business Software (SBS)
•    KickApps
•    Leverage Software
•    Mzinga – OmniSocial
•    Small World Labs
•    Telligent – Telligent Enterprise, Telligent Community

(There are a great many technology vendors that provide tools and services for supporting internal communities only. My fluency with these platforms is more limited, although some well known products are Atlassian Confluence, IBM/Lotus Connections, and Socialtext.)

One Foot in Both Camps
The vendors that provide solutions for internal and external communities have a foot in both camps. That gives them a larger potential customer base, but it also hampers their ability to excel in one area. So, while I am still “sanguine on the trend that is moving away from the ‘us vs. them’ mentality,” I’m not convinced this is the best long-term approach. I see three main reasons as to why:

•    Corporate Bandwidth. None of these vendors is in the Fortune 500 or Fortune 1000 range. They’re all relatively small companies doing cutting edge stuff, mind you, but they don’t have the deep pockets to be able to do everything they want to…and do them all well.
•    Marketing and Sales Strategies. In a nutshell, they’re selling to different people in different business units. Convincing the CIO and the head of HR to sign with you takes different materials, case studies, and ROI analysis than selling to the CMO, the head of customer service, or the chief of R&D.
•    Development Efforts. Developing software for different use cases is a challenge. These vendors no doubt receive feature requests from customers of their internal and external products; many of these requests likely overlap, but many likely don’t. Desired integrations have similarities and differences, too; integrating with social Web applications (e.g., Twitter and blogs) may be wanted by both camps, but those managing internal communities may ask for integrations with ERP, accounting, and scheduling systems, while those managing external communities may need integrations with CMS and CRM systems. Deciding on the direction of developmental efforts is a tough enough call when you’re serving just one market, let alone two.

To some degree, online communities are online communities. But vendors with one foot in the internal community camp and one foot in the external community camp have more challenging strategic decisions than those focusing in one area. Things are pretty good now for all vendors, as the world of social technology continues to blossom. Within the next year or two, though, I expect to see some changes, such as re-jiggering product lines, acquisitions, and consolidation.

Next
The final post in this series looks at Internal/Employee and External/Customer communities from the perspective of the people charged with managing and ensuring their success.

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Social Media Management Tools – Are they Ready for the Enterprise?

by Matthew Lees

Over the past 6-12 months a lot of companies and technology platforms have entered the market purporting to make it easier for individuals and organizations to participate throughout the social Web. If you’ve got accounts at one or more social sites such as Twitter, Facebook, Flickr, YouTube, and LinkedIn, why, for example, should you have to log into each one? Wouldn’t it be much easier simply to log into one interface to organize, read, post, and search comments?

I’ve seen the phrase Social Media Management used as a catch-all for these types of tools. That sums things up as well as anything else.

To a basic degree, this is the idea behind Twitter-centric apps such as HootSuite, Seesmic, and TweetDeck. If you’re using Twitter on your own, these programs may meet your needs just fine. But the social Web stretches beyond Twitter and, if you’re responsible for social media at a large organization, you’ve got quite a few requirements beyond convenience. When the stakes are high, when there are more than one or two stakeholders involved, and when time – yours and your colleagues’ – is at a premium, many of these systems fall short.

What Makes Social Software Enterprise* Ready?
I see six main categories where enterprise social applications differentiate themselves from software that isn’t ready or appropriate for enterprise environments:

1. Security – We’ll start with what’s probably the most obvious item on the list. Enterprise social software adheres to high standards of security, both in terms of technology (i.e., secure protocols) and process (i.e., the ability to define access and keep audit trails; see below). How comfortable would you be sending your social security number to someone via a Twitter direct message?
2. Access, Accountability, and Auditing – These are the three As of enterprise social software. (Well, I just made that up…but it works well.) Social software for the enterprise lets system administrators set user permissions and access in a granular and effective way; it tracks activity and creates an audit trail, so you can determine who did what, when; and it allows for passwords to be recovered and/or changed as appropriate.
3. Content Management – Twitter is an example of a very rudimentary form of content management, which is pretty much based purely on a “push” model of publishing. Once you tweet, it’s out there…you can’t take it back and you can’t change it. Enterprise social software includes content management capabilities that let you save, undo, modify, and schedule for publishing at a later date. It also lets you adapt content to the particular channels you’re sending it to, and to choose which channels to send what (i.e., “I want this post to go to Twitter and Facebook, and I want that comment to go to our corporate blog).
4. Performance – This primarily encompasses speed, scalability, and reliability. For example, if Flickr or Facebook go down for a while, you’ve got little, if any, recourse. With enterprise social software, you should have support people to talk with and (usually) SLAs in place.
5. Integration Points – Enterprise social software will have hooks that allow for bi-directional integration, so data can come in from appropriate sources, and be sent out to other places (such as other applications, such as a CRM system, sites on the social Web, or your branded customer community). The architecture is important here, as ideally the platform’s engine is robust enough so that when the next new big social network crops up, it would be easy enough to configure its integration.
6. Analytics and Reporting – Social analytics providers are doing strong business helping organizations make sense of the social Web. Most social sites and tools provide woefully limited statistics. Of course, they weren’t designed with reporting in mind – particularly unified reporting, which lets you look at everything from one place — but if you’re using them for your business, you need to understand their effectiveness and impact. And that goes beyond counting how many Twitter followers and Facebook fans you have.

Note that many of these items translate into increased productivity. Social Management Tools, whether enterprise-ready or not, are largely, though not exclusively, about making it easier for individuals and organizations to do social media more efficiently and effectively.

Social Media Management Platforms
A few of the companies doing some interesting and promising things in the Social Media Management space are:
•    Socialize Your Stuff (Butterfly Publisher platform)
•    Regroup
•    Social Agency (Spredfast platform)
•    Spry Hive Industries

Community platform vendors are also thinking about how branded communities fit into all this, as well. On the leading edge of the trend toward connecting your customer communities to the social Web are:
•    Awareness
•    Lithium Technologies
•    LiveWorld
•    RightNow Technologies (Social Experience platform)
•    Pluck

Of course, the tools can only do so much. Technology platforms won’t get you where you want to go without a sound business strategy and a plan for engaging with your customers, members, readers, followers, prospects, etc.  But if you’re evaluating — or reevaluating – your social media strategy and presence, the six items above will play a central role.

———-

* What I Mean by “Enterprise”
“Enterprise” is one of those buzz words that means different things to different people. I’m using it here in a somewhat non-rigorous way to really mean a level of sophistication and maturity. Enterprise software is sturdy and full-featured, to meet the many and varied needs of professional organizations. In this way, it relates to the concept of enterprise architecture, particularly the definition from the MIT Center for Information Systems Research: “Enterprise architecture is the organizing logic for business processes and IT infrastructure reflecting the integration and standardization requirements of the firm’s operating model.”

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Having an Impact

By Matthew Lees

I must admit that I’ve always liked the word “impact.” In just two short syllables it conveys significance and manages to be somewhat onomatopoetic. It both sounds like, and makes you think that, something important is happening.

Even when it’s used to describe something unpleasant, such as an automobile collision, the word brings an air of style. It’s much more refined than “crash,” and much more serious than fender-bender. (I’m speaking only of the noun; the adjective drops down more than a few levels in my book. While I’m fortunate, for example, never to have had an impacted molar, it doesn’t sound like a particularly delightful experience.)

In my role as an analyst and consultant, I use the word as part of the phrase “business impact,” to refer to the organizational benefits of online communities, social media, and social technologies. I’m not the only person who gravitates toward this term, of course but I have used it regularly and consistently over the years, much preferring it to the abbreviation “ROI” to help organizations focus on the bottom line. (While ROI is a perfectly valid and often necessary term, it tends to carry a bit of baggage.)

So when I first heard the name of Mike Rowland’s company, Impact Interactions, my ears perked up. I liked the sound of it from the get-go. It tersely and alliteratively says, “Let’s make a difference in the way you connect with others.” But there’s a large and vital difference between having an effective company name…and having an effective company. After getting to know Mike over the past few years, after having hearing him speak at conferences and other events, and after seeing him work to move the industry forward in a thoughtful, collaborative way, I quite resonate with his approach and his perspective. The company name fits.

I wouldn’t have taken this on otherwise. So it’s a great pleasure to have this opportunity to interact with you in this space. It’s a great responsibility, as well, to provide something of differentiated value amidst the depth and diversity of experience, knowledge, and opinions that pervade the blogosphere.

In the coming weeks and months, I’ll be writing about my observations on the interactions between people and technology, between business needs and customer goals, and between best practices and less effective methods, all as they relate to online communities and social media. I hope you’ll interact with me along the way – discussions are certainly more fun for participants and readers than monologues – supporting or questioning what you read here. That way, we can have an impact on each other.

~ Matthew

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Welcome to our Special Guest Blogger Matthew Lees

 

I grew up watching television shows where each week there was a “Special Guest Star” on an episode each week. These guests provided a little extra to the show and usually were cool celebrities. Think of all the villains on Batman for example or the Brat Pack on “Vegas” or the vacationers on Fantasy Island…or for those of you a little younger, the guests on the Simpsons.

Following that idea, I’d like to introduce our Special Guest Blogger, independent analyst Matthew Lees.

Matthew is a well respected analyst in the Social Media and Online Community World (see his bio here). He is the author of reports through the Patricia Seybold Group such as:

1. Selecting An Online Community Platform
2. Best Practices In Crowdsourcing
3. Analyst Report: Lithium’s Social CRM Suite

After reading his research and reviews of his findings, I thought Matthew truly understood how to make social media technology work in an enterprise organization. So, like all good social media practitioners I followed him on Twitter (@mlees) and his blog. Matthew and I first met in person at one of Forum One’s Online Community Unconferences. We’d been reading each other’s blogs and reports and discovered that we come to the industry with the same high level focus… using these tools to improve business results. While Matthew focuses on the technology and its impact, we focus on the process and the users. Together, we cover the issues that all enterprises need to succeed in their social media projects.

We decided in late December over a crab cake lunch here in Maryland, that we should find a way to collaborate together. Our idea is to inform, educate, and drive the best practices we’ve developed to a broader audience with this blog and our twitter accounts. Matthew will be posting here over the next few months both independently and collaboratively with our team members.

If you have a suggested issue of topic for us to cover, please contact us by adding a comment on this entry or by using our contact form.

So, with that said welcome Matthew!

Mike Rowland, President

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Social Media Monitoring Software – Welcome to the Emerald City

After four weeks of evaluating social media software vendors, we’ve come to some conclusions about the reality of these tools versus the hype that we heard along the way. Let’s just say that the parallels to the Wizard of Oz are pretty interesting…

Ever since I played the Wizard in third grade at Grant School,  I’ve really loved this movie, the books, and all things Oz in general. In fact, the head janitor at my town’s high school (Westfield HS in NJ) was one of the flying monkeys in the movie! But I digress…

Impact Interactions provides multiple types of social media services to our clients including consulting, moderation, and reporting. We’ve also been doing social media monitoring for several years for a couple of clients (although it was first called Brand Defense, then Reputation Management, and now Social Media Monitoring). It was a natural extension for our trained moderation teams to help clients. We’ve been looking for a good tool for our monitoring projects rather than relying on manual means of collection. We’ve spent several weeks talking with prospective clients for this service (and yes, it’s a service but more on that later). We’ve also been socializing ideas at conferences with other social media and online community folks to build our business case for adding this service.  So with all of that background, here is how the Wizard of Oz fits in…

I Am The Great And Powerful Oz!

In listening to people speak about social media monitoring tools, they believe that they are an all powerful tool for learning where all active conversations about their brand are being held online. The content is fresh, vibrant, and oh so relevant to their business objectives. Many believe that they’ll be able to manage the flow of information with this great tool, driving insights into their organizations effectively through the export of reports from these all powerful tools. Blogs- check. Twitter- check. Article comments- check. Communities- check. Sentiment analysis- check.

Unfortunately some of the hype around these tools has put vendors in the position of trying to meet these expectations with tools that look great, work smoothly, and export reports in a single click.

Ignore That Man Behind The Curtain!

Just as the Wizard was discovered to be a mere mortal, many customers are discovering that they had expectations that were far too high for the tools. What they are finding is that the tools take someone to work with them daily to review the delivered content, decide which nuggets of information are relevant, build the trends in content sentiment, and create the report.  Just as Dorothy and friends put all their faith in the wizard only to be disappointed when Toto pulled the curtain back, many companies are finding out that Social Media Monitoring requires more than a tool… it requires a team to review the content and deliver what is relevant.

I’m Not A Bad Person, Really.

The software vendors on the other hand must shake their heads when they hear the expectations for their tools. In our discussions with many of the top vendors (and some start ups too), we found them refreshingly honest about the capabilities of their tools. This was especially the case when the hot topics of Sentiment Analysis,  Twitter, and Online Community searches came up.

Sentiment analysis is an art form, not an absolute according to every single vendor we spoke with. The range of accuracy claimed by the vendors we spoke to ranged from a low of 30% to a high of 55%. In our B2B and B2C report testing, that range seems about right. Since most if not all vendors use a similar algorithm to categorize content, that would make sense.

In essence these tools work by analysing the 2-3 words prior and after the associated keyword to determine sentiment. As we can demonstrate, there are many false positives and negatives. To counter that, most allow the end user to rate or assign sentiment to content they find with the idea of strengthening the algorithm for future searches.

Twitter is another interesting discussion. Since Twitter is the social media du jour, everyone is interested in their Twitter buzz. The issue is that these tools use the Twitter search functionality rather than getting a full read into the Twitter Database of Tweets. (Say that five times fast!) So even the top tools are not much better than doing a Twitter search on your own. But as we were told, everyone of the vendors is working on this. According to Microsoft, Bing will have this capability soon. (Kara Swisher broke the news on this one.)

When the subject of online community content was discussed we received the same honest answers from everyone.  If the community has an RSS feed, they can get the information. If it doesn’t you are out of luck. We also learned that several vendors are working on a new tact to obtain the deepest of relationship content. One of those vendors is Boardreader. They are a company to watch if your interest is in content from communities.

The Good News – The Wizard Can Help!

Just as the Wizard offered to help Dorothy return to Kansas, many of the vendors in this space will offer to help clients to structure the searches for their project. But in the end, Toto runs off and Dorothy is still stuck in Oz. All the best intentions cannot overcome the single point that organizations need someone to run and make sense of the volumes of data these tools provide.

How Do We Get Back to Kansas Now?

Sometimes despite visiting a Wizard and killing a Witch or two along the way, you still need help to get where you want to go. That’s where we come in. At Impact Interactions, we recognize that Social Media Monitoring is a service. The choice of tools is important without a doubt, but it takes a person to effectively use the tool and report the results. We offer Social Media Monitoring as a service for clients.

Impact Interactions - A One Stop Shop for Social Media Monitoring

Impact Interactions has a great social media team using a top notch tool to provide social media insight reports for our clients. We understand that you are interested in seeing where the conversations are happening, but don’t have the time to review 1,000 blog posts, 400 tweets, and 500 comments each day. By hiring Impact Interactions, you can concentrate on your strategy while our team provides your Ruby Slippers. And you don’t even have to drop a house on us to get them.

But we don’t stop there! Our team’s experience in online communities is deep. Our social media associates can help you respond to bloggers, commenters, and Twitterers too. We believe that a social media monitoring project should be integrated into your communication efforts. Our team can help you execute that strategy at a reasonable cost.

Want to learn more? Please contact us or give us a call at (410) 604-3304 to discuss how your organization and team can get the most out of social media monitoring services.

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2009 Trends — It’s Not All Doom & Gloom

It has been a very busy summer here at Impact Interactions. We’ve added more work with our existing clients like Cisco and SAP, added new clients, added more staff, launched a new small business service (Impact Social Media), and have received many more calls about our services. Taking a step back from the activity to analyze the social media/online community industry, we’re seeing the following trends emerge:

1. While enterprise level organizations are being very careful about spending money, there is a lot of interest in the social media area. We are seeing budgets freeing up, new projects starting and excitement about using social media to market products and services.
2. Enterprise online communities continue to launch at an amazing rate. We haven’t seen this type of growth in corporate sponsored B2B communities since 2000 when the concept was very new. The difference is that now there are third party sites like Twitter and YouTube to integrate into the communities.
3. Every one wants to avoid making mistakes, placing real best practices at a premium for enterprise companies. While there is always some learning by mistakes made in any venture, the companies we are dealing with always tell us that they want to avoid making the basic mistakes that others have made.
4. Analytics are at a premium, but not understood very well by some marketers running communities. We continue to see interest in base level metrics around traffic and basic engagement, but less understanding of value. Part of this is due to the over-reliance on Google Analytics as the main tool instead of a more powerful solution like Omniture. Google Analytics is a basic tool not a true enterprise level analytics tool in our opinion and experience.
5. In conjunction with number 4, we also see clients and prospects changing platforms in part due to poor reporting and administrative control pages. Many vendors seem to put reporting and analytics into their platform as an afterthought. Platform providers moving sharply ahead of the field in providing reporting and analytics for their software are Telligent, Lithium, and Jive to a certain degree.
6. Outsourced providers of social media expertise and management in areas such as moderation, social media monitoring, reporting, and integration are gaining more interest among enterprise level companies. With headcounts frozen or worse, organizations are looking outside their company for experienced help at an reasonable cost.
7. Lastly, the social media consulting industry remains very fractured. There are simply too many small businesses, individual consultants, and former software personnel chasing deals resulting in lower pricing and no concentration of expertise in a meaningful way. In other words, this industry is ripe for a consolidation play. This is what Jeff Dachis of the Dachis Corporation in Austin is slowly building towards. We think that there are multiple opportunities for consolidation and are actively looking for non-software companies to acquire or align with to gain a larger share of this growing market. (It’s only a matter of time before the big guys like Accenture, IBM, or big advertising agencies buy up the industry’s expertise to consolidate their market share.)

So far, 2009 has been far from the doom and gloom year that most were predicting in our industry. Certainly there has been some shakeout, but overall 2009 is shaping up as a really good year overall for social media and online community service companies.

Do you agree with these trends we’re seeing? What else are you seeing in our industry? Please share your comments below.

Mike Rowland, President

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