Social_Networks_That_Do_White_Paper by xiaohuicaicai

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									Social Network Marketing 3.0
White Paper


Social Network Marketing is not designed to bring
your prospects and customers closer to your business.
It is designed to bring YOU closer to them.


Welcome to the ever-changing digital communications
age and Social Network Marketing. This white paper
is dedicated to the thousands of small, medium and
large business stakeholders who work hard to grow
and prosper in challenging times.
Social Network Marketing 3.0                                                            Page 1
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                               Contents

                               Preface                                                      2
                               Executive Summary                                            3
                               Social Network Marketing 1.0                                 6
                               Social Network Marketing 2.0                                 6
                               Social Network Marketing To Grow Your Business               7
                               Social Network Marketing 3.0                                 7
                               What is Social Network Marketing?                            8
                               Why has Social Networking become so popular?                11
                               What are the current trends in Social Networking?           12
                               Is Social Networking a diverse universe?                    14
                               Changing your mind about Social Networking?                 17
                               Do you need a different mindset for Social Networking?      18
                               How to develop a Social Network Marketing Strategy.         19
                               How to implement Social Network Marketing programs.         22
                               What do Social Network Marketing tactics look like?         23
                               What’s the hottest Social Network Marketing tool?           26
                               How can you turn Social Network Marketing into sales?       29
                               What can Social Network Marketing do for you?               30
                               Developing a Social Network Marketing Strategy.             31
                               Social Networks That Do                                     33
                               Creative Direction, Inc.                                    35
                               Contact Information                                         35
Social Network Marketing 3.0                                                                              Page 2
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                               Preface.

                               To preface this white Paper presentation, it should be noted that
                               there currently appears to be a window open for those who would
                               like to invest in innovative technology ideas, products, services, and
                               the companies that develop them.

                               Today, billions of dollars in fresh venture capital is being invested in
                               new tech companies and IPOs. Pandora and LinkedIn have recently
                               gone public with multi-million dollar valuations – even without the
                               profits to justify it by traditional standards. LinkedIn is trading at
                               750 times its estimated 2012 projected earnings. Seven year old
                               Facebook is expected to go public early next year and its valuation
                               has passed the $80 billion mark. And Skype, purchased from eBay
                               in September 2009 for $2.75 billion, was sold to Microsoft in May
                               2011 for $8.5 billion.

                               For businesses who are looking for every advantage in selling their
                               products and services, this white paper is a primer for today’s mar-
                               keting. For investors, we are proposing an opportunity to invest in
                               a company, Social Networks That Do, with immediate market-appli-
                               cable ideas, experienced management, a small investment, a fast
                               track growth plan, an eventual controlling equity position, and very
                               attractive potential for an M&A at any part of the growth stage.




                               Richard Parker
                               President & Creative Director
                               Creative Direction, Inc.
                               Social Networks That Do
Social Network Marketing 3.0                                                                            Page 3
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                               Executive Summary

                               Today, it is estimated there are over 200 sites using social net-
                               working models serving 1 billion users of the internet’s audience of
                               2,095,006,005. Almost all of those who belong to a social network
                               use Facebook, Linkedin, and Twitter. People flock to social network
                               sites in droves to share thoughts, advice, videos, and images on
                               subjects of common interest. And it is an effective and cost efficient
                               way to reach a targeted online audience. However, the sites were
                               never designed to help individual companies profit from the social
                               media phenomenon. This current state begs the question. What
                               if there was a way for a business to build, populate and manage
                               their very own branded social network for marketing purposes? This
                               white paper answers that question with the following questions.

                               What is it? The Social Network is a collection of powerful and new
                               online environments where people of like minds and special in-
                               terests gather to be connected. From a business, marketing and
                               communications perspective, these social environments can be very
                               effectively managed and even created specifically to market and sell
                               to very targeted audience groups.

                               What is it so popular all of a sudden? Social networking has
                               become popular with small, medium and large businesses because
                               a tough economy has forced companies to look at different ways
                               to reach prospects and clients. And Social Network Marketing is a
                               relatively faster, cheaper and better way to get added marketing
                               influence on relevant social network audiences.

                               What can it do? Despite the hype and Hollywood hyperbole,
                               Social Network Marketing is not about Facebook, Twitter, etc. The
                               trend in Social Network Marketing is in applying more marketing
                               efforts and creative thinking in developing new ways and uses of
                               Social Networks to brand, promote, sell and manage prospect and
                               customer relationships that add to the bottom line in a whole new
                               platform.

                               Who are the users? If you think Social Networks are only about
                               young, technology-centric Caucasians, you’d better think again.
                               Everybody - the old, the young, and all races, religions and creeds
                               are networking socially online. But there is one group called “Gen-
                               eration Y” or the “Millennials” - whose members were born between
                               1977 and 1994 - who now have the most influence as consumers,
                               workers, activists, and individuals.
Social Network Marketing 3.0                                                                            Page 4
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                               Executive Summary, continued

                               Why do they use it? Is Social Networking changing our culture
                               or is our culture changing Social Networking? Actually, there are
                               psychological and physiological reasons why people are becoming
                               literally addicted to Social Networking. Psychologically, users need
                               a “fix” to deal with the world they live. Physiologically, the drug is
                               called “oxytocin”. And the pushers are their own bodies.

                               Isn’t this a radical change in perspective? Marketing, creative
                               and sales professionals who want to be successful in the new world
                               of Social Network Marketing should have already changed their way
                               of thinking and be prepared to change some more. Like never be-
                               fore, technology and the high velocity of our economy will continue
                               to drive an evolution in the way we all will live, work, play, buy and
                               sell like never before. And those who are targeted as the best cus-
                               tomers and prospects will be the sun around which our marketing
                               and sales experience planets will revolve.

                               Is it all about technology? Developing a Social Network Market-
                               ing strategy has little if anything to do with technology and a lot to
                               do with understanding that like-minded human beings in a social
                               network (online or offline) gain their power from interaction be-
                               tween themselves as interest-specific community members. There-
                               fore, a Social Network Marketing strategy must be based upon
                               developing a network that a) people will want to join, b) grows
                               primarily on user-generated content, and c) creates a virtual social
                               environment. This Social Network strategy must, in some way, also
                               run parallel to the value proposition or benefits of a company’s
                               products or services so that transference to commerce can be
                               made when the buyer is ready to be sold.

                               What is the first step to engage in a Social Network Market-
                               ing program? You can only effectively implement Social Network
                               Marketing programs that produce results by developing a plan.
                               For that purpose, the basic premise of a marketing communication
                               plan works just fine. And although most Social Network Marketing
                               programs are complex, it is very important in the process to set
                               one goal, state one measureable objective, develop one strategy,
                               and collect all pertinent data for tracking, reporting and evaluation
                               purposes.
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                               Executive Summary, continued

                               What are the tools? There are no blueprints for developing in-
                               novative Social Network Marketing tactics (programs). The practice
                               is a new frontier for creative inspiration and experimentation. The
                               pallet of tools used to paint a social environment landscape mas-
                               terpiece can range from video, to e-mail, to forums, to existing site
                               templates and much more in creating a user-focused program. The
                               only four rules are: a) study what others have done, b) make sure
                               the program is results-oriented (much like direct response mar-
                               keting disciplines), c) merchandise the program internally, and d)
                               promote the heck out of it.

                               What is the role of video in Social Network Marketing? Online
                               videos or RIAs (rich internet applications) are the most powerful
                               and fastest growing Social Network Marketing tools online today.
                               With video, a social networker does not have to read, study, and
                               carefully examine a message – he or she just experiences it - and
                               then can respond or interact accordingly in many ways. Whether a
                               video is entertaining, documentary, or presentation-like, there are
                               no time limits, no code of ethics, and usually no media costs in-
                               curred as barriers to telling a story.

                               How does this all relate to sales? The first rule to get your social
                               network involved in sales is to get your sales process and people
                               involved in the social network. If you are successful in driving pros-
                               pects to the point of purchase, whether it is online, in the mail, or
                               at a store location, a sales or customer service professional of some
                               sort is going to get involved somewhere along the line. Sales force
                               input and buy-in are crucial to success.

                               And the bottom line is? Social Network Marketing is evolving to
                               become a better, cheaper and faster form of marketing for nearly
                               every type and size of business. It can provide a user-generated
                               memorable branding experience. It can afford a way to intelligently
                               manage the customer and prospect experience. It can allow your
                               targeted prospects and customers to share information on what
                               they want, what they like and what they expect from your com-
                               pany. But Social Network Marketing is not designed to bring your
                               prospects and customers closer to you – it is designed to bring YOU
                               closer to them.
Social Network Marketing 3.0                                                                            Page 6
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                               Social Network Marketing 1.0

                               Social Networks go back much farther than most people know. They
                               were supported in early online services, including Usenet (1980),
                               ARPANET (1969), LISTSERV (1986), and bulletin board services
                               (BBS). Features of early social networking sites were present in
                               online services like America Online, Prodigy, and CompuServe. At
                               the time, web communities focused on bringing people together to
                               interact through chat rooms.

                               In the late 1990s, user profiles became a feature of social network-
                               ing sites, allowing users to compile lists of “friends” and search for
                               others with similar interests. This new generation of social network-
                               ing sites flourished with the emergence of sites like Friendster in
                               2002. LinkedIn followed a year later. Facebook, launched in 2004,
                               has since become the largest social networking site with well over
                               750,000,000 users. With the rapid increase in social networking
                               popularity, MySpace came online in 2005. THAT was Social Network
                               Marketing 1.0.

                               Today, it is estimated there are over 200 sites using social network-
                               ing models serving almost 1 billion users of the internet’s audience
                               of 2,095,006,005 (as of March 31, 2011). Now, the global average
                               of those who access social networking sites daily is 46%.
                               Wikipedia, TNS research and www.internetworldstats.com



                               Social Network Marketing 2.0

                               Facebook is a social networking website launched in February of
                               2004. On it, users may create a personal profile, add other users as
                               friends, and exchange messages. Users may join common-interest
                               user groups organized by workplace, school, or other character-
                               istics. Quantcast estimates Facebook had 138.9 million monthly
                               unique U.S. visitors in May 2011.1

                               Linkedin was founded in 2003. The site launched when the 5 found-
                               ers invited about 350 of their most important contacts to join.
                               LinkedIn is now publicly owned and operates the world’s largest
                               professional network online with 200+ million members in over 200
                               countries and territories.2

                               At Twitter, more than 1 billion tweets are sent daily. Twitter is not
                               just your friends telling you what they ate for breakfast. Increasing-
                               ly, news stories that arise – a tsunami, the score of a hockey game,
                               the latest Charlie Sheen gossip – are posted in tweets from people
                               followed on Twitter.3
                               1 Facebook.com, 2 LinkedIn.com, 3 Twitter.com and Wikipedia
Social Network Marketing 3.0                                                                                Page 7
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                               Social Network Marketing To Grow Your Business

                               In the effort to identify, reach and persuade targeted audiences
                               today to buy, a great number of businesses of all sizes are finding
                               that traditional forms of marketing communications are either too
                               expensive, too slow to implement, not flexible, not accountable, or
                               increasingly do not resonate with the current generation of shop-
                               pers and buyers. Furthermore, old school marketing techniques are
                               not relevant in reaching audiences, particularly today’s Generation
                               Y “Mellennials” who are now the most influential market segment in
                               both B2C and B2B.1
                               1 eMarketer.com: Millennials Attitudes Towards Advertising, July 15, 2010



                               So, what is the most effective and cost efficient way to reach a tar-
                               geted audience and cultivate buyers today? Social Networking 2.0 is
                               by far the fastest growing trend in online community user interac-
                               tivity. Consequently, budgets for social network programs continued
                               to increase last year and for 2011 by two-thirds.2
                               2 eMarketer.com: Social Media Spending by US B2B and B2C for 2009 and 2010



                               The pros? For a number of reasons, people flock to social network
                               sites in droves to share thoughts, advice, videos, and images on
                               subjects of common interest. Facebook, for example, was founded
                               in 2004 and now has well over 750 million members with 68% of
                               their users using referrals to buy.3 And Twitter, founded in 2006,
                               now processes over 1 billion tweets daily.4
                               3 Wikipedia and 4 TNS Research



                               The cons? Social networking sites such as Facebook and Twitter
                               (and soon, Google+) are set up to entertain and engage users at
                               the most basic level. The sites are designed to help Facebook and
                               Twitter prosper. They’re not designed to help individual companies
                               profit from the social media phenomenon.5
                               5 BtoB Magazine: B2B Marketing Survey 10/2010



                               Social Network Marketing 3.0

                               So, what if there was a new social network media platform to help
                               businesses attract targeted audiences that share an interest in
                               information related to their event, product, and/or service unique
                               selling proposition and attributes?
Social Network Marketing 3.0                                                                            Page 8
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                               And what if that social network community contained targeted mes-
                               saging and provided plenty of user interaction with managed con-
                               tent? Such as: Collaboration. Comments. Sharing. Videos. Groups.
                               Panels. User profiles. Chat. Newsletters. Content contribution.
                               Related news. Events. Products or service specific search. Ads with
                               messaging of related information. Attractive incentives, value ex-
                               changes, and offers. And an integrated mobile application. All in one
                               package. With the outcome designed to deliver more knowledgeable
                               social network members as the best of leads when they are ready
                               to buy. Sort of like an incubator for customers!

                               And what if the domain name reflected the name and nature of
                               business that was hosting the social network community?

                               And what if – rather than scattering online marketing communica-
                               tions programs all over the internet diluting the impact – a business
                               had a domain with a controlled environment in which to attract a
                               receptive audience and focus only those messages relevant to the
                               subject matter of interest?

                               And what if this domain had the ability to collect extremely valu-
                               able data on each participant for personalization, analysis, contact,
                               future CRM and sales?

                               And what if all program activity administrative metrics were secure,
                               accessible, tracked, reported and available 24/7?

                               And what if businesses were able to manage their own social net-
                               work site with an easy to use Content Management System?

                               Now THAT is Social Network Marketing 3.0!

                               What is Social Networking?

                               From a social science perspective: A Social Network is a social
                               structure made of individuals (or organizations) called “nodes,”
                               which are connected by one or more specific types of interdepen-
                               dency, such as friendship, behavior, kinship, common interest,
                               financial exchange, dislike, beliefs, knowledge, prestige, etc.

                               In its simplest form, a Social Network is a map of all of the relevant
                               ties between all the nodes (people) being studied.
Social Network Marketing 3.0                                                                            Page 9
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                               In the business world, particularly in marketing, it is the same thing
                               only as it relates to the world of commerce. The network can also
                               be used to measure social capital - the value that an individual gets
                               from the Social Network. These concepts are often displayed in a
                               Social Networking diagram, where nodes are the points and ties are
                               the lines.

                               Here’s an example of a Social Network diagram. The node with the
                               highest betweeness and centrality is marked in yellow. This node is
                               at the center of his or her universe.

In its simplest
form, a Social
Network is a map
of all of the rele-
vant ties between
all the nodes
(people) being
studied.




                               So, what is Social Networking? Social Networking is the grouping
                               of individuals into specific groups, like small rural communities or a
                               neighborhood subdivision, if you will.

                               Although social networking is possible in person, especially in the
                               workplace, universities, and high schools, it is most popular online.
                               This is because, unlike most high schools, colleges, or workplaces,
                               the internet is filled with millions of individuals who are looking to
                               meet other people, to gather and share first-hand information and
                               experiences about golfing, gardening, aesthetics and cosmetic sur-
                               gery, developing friendships or professional alliances, finding em-
                               ployment, business-to-business marketing and even groups sharing
                               information about the end of the Mayan calendar. The topics and
                               interests are as varied and rich as our society and the history of hu-
                               man beings.
Social Network Marketing 3.0                                                                          Page 10
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                               More than ever, people are being bombarded with all types of pro-
                               motional and communications messages to get them to try, change,
                               buy, stop, use, drink, and eat almost everything and anything.

                               In response to and as a more knowledgeable “prospect”, people are
                               turning off those messages with their TIVOs, remote controls, SPAM
                               filters, etc. And they’re only turning on to things that really matter
                               to them. Things of self interest. Things they personally care about.
                               And things they are familiar with.

                               In fact, the Baby Boomers and Generation Xers have spawned a
                               whole new generation of Social Networkers who are totally techno-
                               logically enabled, can multi-task, text, search, and connect to who
                               and what is interesting to them and them alone. More about Gen-
                               eration Y later.

                               To market and sell successfully today and into the future, business-
                               es must learn to understand and take advantage of the interests
                               and ties between those “nodes” who are the customers and pros-
                               pects that can help make them grow.


Social Network                 Social Network Marketing is the new marketing and sales para-
                               digm. From a business perspective, it is simply a natural evolution
Marketing is the               of our changing society as it relates to “getting closer to the cus-
process to make a              tomer” and providing an attractive value exchange experience to
community made                 lure more “customers-to-be”.
up of individuals
                               Does this mean traditional marketing is dead? That you will have to
- who are connect-             learn a whole new approach to marketing and selling? Can Social
ed by one or more              Networking REALLY be a factor in influencing buyer decisions?
specific types of              Yes. Yes. And more Yes.

interdependency                Therefore, wherever you can find or create a space, time or place
and specific per-              for targeted consumer or business individuals that interact accord-
sonal interests -              ing to their personal or business interest as part of a community,
                               there can be a Social Network media platform with the potential for
become engaged
                               marketing.
in a sales environ-
ment.                          Please note that this definition does not necessarily mean the So-
                               cial Network media platform must only be online or in any particu-
                               lar pre-defined combination of space, time, or place.
Social Network Marketing 3.0                                                                        Page 11
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                                    Takeaway:

                                    The Social Network is a collection of powerful and new online
                                    environments where people of like minds and special interests
                                    gather to be connected. From a business, marketing and com-
                                    munications perspective, these social environments can be very
                                    effectively managed and even created specifically to market and
                                    sell to very targeted audience groups.

                               Why has Social Networking become so popular?


68% of Facebook                Today, people network with friends online to get information about
                               things they want to buy. 68% of Facebook users are more likely to
users are more                 buy a product or visit a retailer based on a Facebook friend referral.
likely to buy a                Facebook users are not only fans of people, they are fans of restau-
product or visit a             rants, clothing, shoes, accessories, PCs and laptops.
retailer based on
                               A tough economy has driven small businesses to adopt Social Net-
a Facebook friend              work Marketing in greater numbers. That’s according to “The State
referral.                      of the Small Business Report” from Network Solutions and the Uni-
                               versity of Maryland.

                                    •   Small business usage increased 12% to 24% from last year.
                                    •   75% have a company page on Facebook or LinkedIn.
                                    •   69% post updates or articles on Facebook or LinkedIn.
                                    •   73% expect to identify and attract new customers.
                                    •   61% do.
60% of Fortune                      •   56% want higher awareness within target market. 52% do.
500 companies
have a corporate               So what are the big dogs sniffing?

Twitter account                A study from the University of Massachusetts Dartmouth Center for
despite “pointless             Marketing Research shows a steady increase in social media mar-
babble”, “poten-               keting activities by Fortune 500 companies.
tial damage to a
                                    •   22%    have a public blog.
company’s repu-                     •   19%    feature podcasts.
tation” and the                     •   27%    of the Fortune 100 have a Twitter account.
fact that “80%                      •   35%    of Fortune 500 companies have a Twitter account.

cannot directly                Wait a darned minute! 35% of Fortune 500 companies have a cor-
attribute any                  porate Twitter account? Didn’t a lot of expensive research just 12
revenue” from                  months ago tell us that the only touch point of corporate America
Twitter.                       to Social Networking Marketing should be with a 10-foot pole?
                               eMarketer.com
Social Network Marketing 3.0                                                                          Page 12
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                               With the advent of new technology applications, innovative strategic
                               thinking on the part of marketers, and a growing need for the kind
                               of attention customers and prospects want in a relationship with
                               products and services they like, Social Network Marketing is grow-
                               ing fast.

                               But all that glitters is not gold.

                               It appears that Twitter is not providing the kind of impact that many
                               marketers had hoped – particularly in B2B companies.
                               Twitter users, in the “Twitter in B2B Marketing Survey” by BtoB
                               magazine conducted last month, said they are dissatisfied with their
                               return on Tweets. And 80% of the respondents said they could not
                               directly attribute any revenue to Twitter.

                               However, 66% said they were satisfied with their ROMI – whatever
                               that might be - from Twitter because it took so little time or money
                               to maintain.

                               And last, but not least, there were very few companies who could
                               claim to know how to calculate the benefits of Twitter in terms of
                               revenue generation.
                               eMarketer.com



                                    Takeaway:

                                    Social Networking has become popular with small, medium and
                                    large businesses because a tough economy has forced compa-
                                    nies to look at different ways to reach prospects and clients.
                                    And Social Network Marketing is a relatively faster, cheaper and
                                    better way to get added marketing influence on relevant Social
                                    Network audiences.

                               What are the current trends in Social Networking?

                               We are beginning to see how Social Networking can deliver as new
                               social media in marketing. For “nodes” of similar interests, the
                               potential of tapping into a very targeted market psychographically
On one week-
                               has not only shown great promise, it has already proven itself with
end, more than                 great results.
250,000 people on
Twitter clicked on             American Express has used Twitter to sponsor and promote TV’s
                               Glee national touring stage show. They also sponsored a special
Conan’s program                Bon Jovi concert and Conan O’Brien’s 30 city tour starting in March.
tour link.                     Winners in all three events received VIP treatment and free seats.
Social Network Marketing 3.0                                                                        Page 13
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Papa John’s rolled             Papa John’s created a contest to name and create a new pizza using
                               existing ingredients. Winners share in the profits.
out the promotion
on its Facebook                Mountain Dew’s 845,000 Facebook fans were asked to enter a con-
page to 1,200,000              test to develop a flavor, a name and a marketing plan - the winner
followers.                     was announced last Labor Day.

                               Mountain Dew’s smaller online community of 4,000 diehard fans,
Mountain Dew’s                 Dew Labs, participated in choosing the new flavors.
smaller online
                               On one weekend alone, more than 250,000 people on Twitter
community of
                               clicked on American Express’s Conan tour program link.
4,000 diehard
fans, Dew Labs,                Papa John’s rolled out the promotion on its Facebook page to
participated in                1,200,000 followers.

choosing the new               Mountain Dew’s smaller online community of 4,000 diehard fans,
flavors.                       Dew Labs, participated in choosing the new flavors.

                               Amex? Papa John? Mountain Dew? Does that mean that only a
                               handful of astute, big budget B2C marketers are going forward in
                               the brave new world of Social Network Marketing? According to the
                               recent Duke University Fuqua School of Business survey, momen-
                               tum is building now. And for all types and sizes of businesses in B2B
                               as well as B2C.

                               The survey showed growing B2B spending on social media lines
                               up with the general goals of B2B marketers: customer relationship
                               management and brand-building, which respondents claim will be
                               the highest growth areas in the next year.

                               Social Network Marketing, with its strength in boosting brand en-
                               gagement and loyalty, is proving to be not just an effective medium
                               for B2C and B2B purposes, marketers are betting on the discipline
                               and putting up the dollars to do so.

                               Current marketing budgets have increased 62.5% for social media
                               spending in the past year. Budgets for social media are projected to
                               increase 61.6% for next year. Nearly 20% of all marketing dollars
                               will be spent in Social Media in the next 5 years. And for both B2B
                               and B2C products and services, social Media marketing spending
                               has and increased now, in the next 12 months, and in next 5 years.

                               B2Bs are using Social Networks to Increase Search Result.
Social Network Marketing 3.0                                                                         Page 14
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                               Nearly half of US business-to-business (B2B) marketers said social
                               media efforts had a positive effect on search performance, with the
                               remainder nearly split between “neutral” and “do not know”—just
                               1% reported a negative effect.

                               According to the survey, B2B marketers’ No. 2 goal for social me-
                               dia marketing — after building brand awareness — was increasing
                               traffic to a website, which social                   media’s natu-
                               ral synergy with search marketing is helping to achieve. Their next
                               goal, generating leads, can in turn be reached through both social
                               media itself and improved search efforts. Both of which, according
                               to HubSpot, bring in more leads.

                               What is happening in the world of radio?

                               Many young people have given up music and newspaper habits
                               - the internet replaced much of that activity. In 2000, teens and
                               young adults were spending 2 hours and 45 minutes listening to
                               radio each day. By 2010 it fell to an hour and a half. Time spent
                               online has risen from an hour a day to almost 3. Radio penetration
                               remains universal, but alternative music listening services have also
                               emerged.

                               In 2010, 36% of consumers surveyed ages 12 and over listened to
                               online radio in the past week; 17% listened to a podcast. Pandora
                               has been cited as the favorite by 27%, and 42% had listened in the
                               past year. No other service got more than a single-digit response
                               with Rhapsody #2 with 6% and iTunes at 4%.

                                  Takeaway:

                                  Despite the hype and Hollywood hyperbole, Social Network
                                  Marketing is not about Facebook, Twitter, etc. The trend in
                                  Social Network Marketing is in applying more marketing efforts
                                  and creative thinking in developing new ways and uses of Social
                                  Networks to brand, promote, sell and manage prospect and cus-
                                  tomer relationships that add to the bottom line.
Accept that the
world is chang-                Is Social Networking a diverse universe?

ing rapidly. The               Identify, segment, understand and target your best customers,
profiles of your               prospects and market opportunities. Especially for Social Network
customers and                  Marketing, select Social Media and content from the participants’
                               culture, interests, and point of view. As one example, if you have
prospects are
                               targeted a large Hispanic audience, offer the online experience in
changing as we                 the Spanish language – it is surprising easy and inexpensive to do
speak.                         using online translation applications.
Social Network Marketing 3.0                                                                          Page 15
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                               You think your best customers and prospects are not online or are
                               not technologically enabled? You think the internet is not so di-
                               verse? Think again…

                               Our world is diverse. The internet is diverse.

                               As of March 31, 2011, there are 2,095,006,005 people online.
                               There are 259,561,000 online in North America. That’s a 76% of the
                               entire population. In 2010, 221 million people in the United States
                               are online. There will be 250 million online in 2014, or 77% of the
                               population.

                               Today, 76.1% of whites are online. 63.8% African Americans are
                               online. 73.4% of Asians are online. 59.5% of Hispanics are online.
                               And all other racial groups account for 52.5% online.

                               Breaking it down further, how can you reach teens - as a one seg-
                               ment example?
                               80% of teens visit Social Networking sites at least once monthly. If
                               you think they care about traditional marketing, keep this in mind:

                                    • Only 5% trust what they learn from ads and
                                    • Only 5% trust information from companies.

                               Who they really trust is their friends at 52%. And those 15% of
                               their friends who are “influencers” have more credibility than all
                               other teenagers combined. Like “entertainment”, for example.

                               Consider this: 66% of children 8–18 now have mobile phones.

                               So, does the other end of the age scale prove to be any more
                               diverse? Social Networking has doubled in the past year among
                               Boomers and Seniors. According to a May 2010 survey, 47%
                               of 50 to 64 year-old internet users and 26% seniors ages
                               and up now use Facebook, LinkedIn 65 and other Social Media. As
                               predicted, the marketing bar has been raised significantly.

                               Facebook announced its 500 millionth user in June and market-
                               ers have begun to put real dollars into the channel. Facebook U.S.
                               marketing dollars are projected to go from $835 million this year to
                               $1.1 billion next year. Worldwide, spending will go from $1.285 bil-
                               lion dollars in 2010 to $1.76 billion in 2011.

                               The largest and most important segment to businesses of all sizes
                               and types is also the most challenging.
                               eMarketer.com
Social Network Marketing 3.0                                                                            Page 16
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                               That is the new generation born between 1977 and 1994. Some call
                               them the “Millennials”, others “Generation Y”. There are 80 million
                               of them. And the impact they are making on American society as
                               the most influential consumers and workers in our culture is as dra-
                               matic as that of the Baby Boomers who are now in their 60s.

                                  • The Millennials spending power exceeds $200 billion and they
                                    influence another $300-400 billion in spending.
                                  • They are most ethnically diverse generation ever.
                                  • They grew on the web, are technologically advanced, can
                                    multi-task, they don’t e-mail – they text, and they live online.
                                  • They are turned off by marketing, branding and hard sell.
                                  • But they are into Social Networking like there’s no tomorrow,
                                    where they connect with friends, music and their own special


Gen Yers are into              So, what motivates the Millennials to buy? You have to find some-
                               thing in your products or services that relate to their self interest,
Social Network-                not yours. What they do respond to most is:
ing like there’s no
tomorrow where                    • Sponsorship: Mountain Dew, Oakley and Hurley place their
                                    logos on Tony Hawks Pro Skater 3 from Activision.
they connect with
                                  • E-commerce: Gen Yers are huge credit card users online.
friends, music,                   • Truth: Gen Y has seen it all: Televised wars. 9-11. The hang-
and their own                       ing of Hussein online. They are not easily flim-flammed. They
special interests.                  want the straight skinny on everything.
                                  • Movies: Ever notice the many product placement and men-
                                    tions in today’s flicks geared for young adults.
                                  • Entertainment: Extreme sports. Video games. Guitar Hero.
                                    Tattoos. And the most popular pastime of all – music.
                                  • Value: Cheap. Good quality. Fast service. An “experience”.
                                  • Connection: iPhones. iPads. IM. iTunes. iMovies.
                                  • And last but not least, Social Networking sites: Facebook,
                                    MySpace, Second Life, myYearbook, del.icio.us, DIGG, etc.

                               Millennials, ages 18 to 34, quickly adopt new technologies, then
                               adapt them to fit their lifestyles. 24% of those respondents
                               choose “technology use” as the trait that sets them apart from
                               previous generations, according to Pew Research. Millennials do not
                               read newspapers or watch TV the same ways their parents do.

                               Today, 78% of Gen Y internet users engage with social media,
                               including blogs, microblogs, social networks, and photo and video-
                               sharing sites, according to a Harris Poll. While very cynical on the
                               topic, Millennials are more open to interactive or opt-in marketing
                               messages than are boomers and Gen Xers. They just think those
                               messages have little or no influence on them.
Social Network Marketing 3.0                                                                            Page 17
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                               What Really Drives Young Adults’ Purchase Decisions? Millennials
                               are more likely than older people to care about many issues, like
                               civil rights and environmental concerns. However, those beliefs
                               don’t necessarily translate to purchase decisions that support their
                               causes. Millennials place less importance than older consumers
                               on various corporate-citizenship practices when actually purchasing
                               products.

                               Personal achievement and social interaction are also key values.
                               Quality, value and other utilitarian aspects are still top product at-
                               tributes. And millennials are more image conscious.

                               Millennials and brand relationships.

Brands must be                 A study on Facebook fans’ motivations found it is very important for
everywhere to                  millennials to show brands as a form of self expression and part of
                               their own personality. 90% of U.S. millennials are willing to share
ensure they are                their brand preferences online. While they will define themselves by
considered as mil-             connecting with brands online, they are much less likely to consider
lennials look for              the web a major source for decision-making. 13% relied on social
                               networks compared with 77% who went to family and 64% who
information.
                               turned to friends. Millennials rely on a large number of information
                               sources when choosing what to buy. 42% in the U.S. consulted at
                               least four sources when considering a new product.
                               eMarketer.com



                                    Takeaway:

                                    If you think Social Networks are only about young, technology-
                                    centric Caucasians, you’d better think again. Everybody - the
                                    old, the young, and all races, religions and creeds are network-
                                    ing socially online. But there is one group called “Generation Y”
                                    or the “Millennials” - whose members were born between 1977
                                    and 1994 - who now have the most influence as consumers,
                                    workers, activists, and individuals.

                               Changing your mind about Social Networking?

                               Why are people changing their minds about Social Networks? One
                               reason is because their minds are actually being changed. As web
                               users - especially the new generation - continue to spend more time
                               online, their brain produces oxytocin. Oxytocin used to be more
                               commonly known as the hormone that created the close bond be-
                               tween mothers and their babies. Now identified as a human stimu-
                               lant of empathy, generosity, and trust, it is considered the “social
                               glue” that adheres families, communities, and societies together.
Social Network Marketing 3.0                                                                          Page 18
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                               More and more detached from a not-so-friendly society as time
                               goes by, many online users control their environment by select-
                               ing only those topics or issues of interest to them. And by choosing
                               only content that appeals to them – particularly on social network-
                               ing sites where they are likely to find more “friends” who share the
                               same interest in a subject – today’s internet user gets a satisfying
                               experience as the oxytocin chemical is released in his or her brain.

                               As Social Networking has become a phenomenon, so has the physi-
                               ological reward. And it is being studied at the California Institute
                               of Technology. “Neuronomics”, as the study is called, combines
                               economics, biology, neuroscience and psychology in defining the
                               reasons why humans continue to search for ways to socialize –
                               especially when there are ways to escape the unwanted and be
                               rewarded for making connections with the interests we enjoy the
                               most.

                               Today, technology affords the way for those who are involved in
                               social networking to have many avenues to reward ourselves.
Can marketers
                               Are we biologically hardwired to respond to social networking posi-
take advantage of
                               tively?
this knowledge to
grow and profit?               We hope so.

                                  Takeaway:

                                  Is Social Networking changing our culture or is our culture
                                  changing Social Networking? Actually, there are psychologi-
                                  cal and physiological reasons why people are becoming literally
                                  addicted to Social Networking. Psychologically, users need a
                                  “fix” to deal with the world they live. Physiologically, the drug is
                                  called “oxytocin”. And the pushers are their own bodies.

                               Do you need a different mindset for Social Networking?

                               We’re not in Kansas anymore!

                                  •   Our culture has changed.
                                  •   Technology has changed.
                                  •   The workforce has changed.
                                  •   Customers have changed.
                                  •   Our values have changed.
                                  •   Our heroes have changed.
                                  •   The economy has changed.
Social Network Marketing 3.0                                                                           Page 19
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                               Do small businesses have to change their way of thinking?

                               The answer is a resounding “YES, YES, YES and YES”!

                               Your customers and prospects should be the center of your mar-
                               keting and sales universe. Everything should revolve around their
                               interests, their culture, and their wants. Even the design of your
                               products and services. This is the Social Networking paradigm.

                                    Takeaway:

                                    Marketing, creative and sales professionals who want to be
                                    successful in the new world of Social Network Marketing should
                                    have already changed their way of thinking and be prepared
                                    to change some more. Like never before, technology and the
                                    high velocity of our economy will continue to drive an evolution
                                    in the way we all will live, work, play, buy and sell like never
                                    before. And those who are targeted as the best customers and
                                    prospects will be the sun around which our marketing and sales
                                    experience planets will revolve.

                               How to develop a Social Network Marketing strategy.

                               According to a June 2010 survey, 72% of U.S. companies said
                               they have a social media strategy. Although 62% of the companies
                               surveyed were in the publishing, media, advertising and marketing
                               industries, the adoption of social media is certainly significant. 75%
                               said the reason for the social media was being able to plan on a lon-
                               ger term basis. And the percentage of marketing budgets for social
                               media has continued to rise with the change. In February, spend-
                               ing was up 62.5% over August of 2009. Social media is planned to
                               increase 61.6% over the next 12 months. Social media marketing
                               budgets will account for 17.7% of sending in the next 5 years. And
                               a recent B2B & Business.com survey reports 48% of inbound links
                               are coming from social media channels.
                               eMarketer.com



                               The best place to begin marketing? Start with a strategy.

                               Social Networks can strengthen a marketing campaign even in a
                               secondary role. Because of its relationship-building power, they are
                               now taking the lead in many efforts.
Social Network Marketing 3.0                                                                         Page 20
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                               A powerful Social Network Marketing program can have a positive
                               impact, but it can’t and shouldn’t replace traditional marketing pro-
                               grams on a whim for many reasons. And it should never be under-
                               taken without a clear strategy. Too many businesses are focusing on
                               tactics and technology before clarifying their goals and objectives.

                               A viable strategy starts by defining key audiences, their needs, and
                               assessing their Social Media readiness and potential levels of par-
                               ticipation.


Successful                     Creating a Social Network Marketing program based on user gener-
                               ated content is a must for any strategy.
Social Networks
are built by peo-              The key to understanding Social Media and the participants is to
ple. Not technolo-             remember that content matters most in their part of the world.
gy. Not the latest
                               For today’s users - particularly Millennials (or Gen Y) - the web has
gadget. And they               always been the center of their lives. Social Media enables a par-
gain their power               ticipatory culture for them. This is a culture defined by highly active
from interaction               participants who use it to express themselves and attract others.

among people as                In developing a strategy, remember that Social Network content
community mem-                 should be designed to elicit reaction. Even YouTube has built-in
bers.                          comment features enabling viewers to praise, critique, dissect, or
                               make fun of videos.

                               Give the Social Network content a foundational identity.

                               Allowing for user-generated content is a worthy first step but is not
                               enough to make a network powerful. Defining what that content will
                               be and what form it will take is the crucial next step. The goal is to
                               develop Social Networks people want to join.

                               Building a Social Network is really creating a virtual social environ-
                               ment. Its distinctive shape and nature will be what ultimately builds
                               community.

                               Be creative. Think beyond the confines of the Facebook and Twitter
                               model. There is no law on how a Social Network should look or be.
                               Facebook, Twitter, and LinkedIn just got here first. The important
                               issue is how the environment draws on shared interests of like-
                               minded audiences. What areas or great ideas can users focus on
                               and interact with concerning your business?
Social Network Marketing 3.0                                                                       Page 21
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                               In developing a strategy, multiply the social network’s power.

                               The bulk of Social Media tools and technology - RSS, blogs, pod-
                               casts, video - don’t only facilitate conversation. Their predominance
                               has created the expectation - especially among Millennials - for
                               member engagement on a much deeper level.

                               A network should be able to continuously deliver content in a vari-
                               ety of media and ways. For example, videos posted on YouTube or
                               Flickr should have the capability - through widgets - to be posted on
                               user’s Facebook pages. Video and Social Network content can work
                               together to increase traffic. Users should always have several ways
                               to post, create, and distribute content through mini-applications,
                               news feeds, alerts, updates, and icons that members can post on
                               their profiles and share with others.

                               Measure the Social Network’s power.

                               The rise of Social Media has brought about a radical shift in market-
                               ing. Some would say Web 2.0+ has more to do with sociology than
                               with marketing. Traditional marketing struggles in a 2.0+ world
                               where the audience is in control and the metrics are hard to define.

You must learn                 The social web favors communication and interaction over tradi-
to empower your                tional messaging. You must learn to empower your users to tell
                               your story in their own way through member postings on blogs
users to tell your             and message boards and elsewhere. In this way, Social Media can
story in their                 extend a credible brand campaign significantly by raising awareness
own way through                in a nearly unlimited domain. Strong brands will come from strong
                               dialogue.
member post-
ings on blogs and                 Takeaway:
message boards
and elsewhere                     Developing a Social Network Marketing strategy has little if
                                  anything to do with technology and a lot to do with understand-
                                  ing that like-minded human beings in a social network (online
                                  or offline) gain their power from interaction between themselves
                                  as interest-specific community members. Therefore, a Social
                                  Network Marketing strategy must be based upon developing a
                                  network that a) people will want to join, b) grows primarily on
                                  user-generated content, and c) creates a virtual social environ-
                                  ment. This Social Network strategy must, in some way, also
                                  run parallel to the value proposition or benefits of a company’s
                                  product or service so that transference to commerce can be
                                  made when the buyer is ready to be sold.
Social Network Marketing 3.0                                                                        Page 22
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                               How to implement Social Network Marketing programs.

                               Outline the basic steps:

                                  • Set clear goals and objectives and know the difference. The
                                    objectives are to be measureable.
                                  • Develop clear marketing and communications strategies.
                                  • Integrate your Social Networking marketing plans with other
                                    marketing and sales efforts. Online marketing is a natural
                                    partner for Social Networking.
                                  • Re-orient your marketing, sales and IT team. Get their input
                                    and involvement. Get technology help as you need it.
                                  • Choose the right tactics.
                                  • Internally merchandise the plan. That includes distribution.
                                  • Promote your Social Networking program. Prime the pump.
                                  • Track, report, evaluate with metrics and make adjustments.

                               “Anything that can be measured can be improved.” – Jack Welsh,
                               past CEO of GE

                               Develop a plan:

                                  • Identify and target your best customers and prospects. RFM
                                    (Recency, Frequency, and Monetary) is the best indicator.
                                  • A proper marketing database, tracking and reporting metrics,
                                    and calculating ROMI are critical in adjusting, evaluating, sell-
                                    ing and growing.
                                  • Collect, analyze, and manage your marketing data.
                                  • Create a budget and timeline.
                                  • Reach as many of your targeted customers and prospects as
                                    you can within your geographic, psychographic and demo-
                                    graphic boundaries.
                                  • Frequency is a key as most successful companies have touch
                                    points with customers/prospects 35–45 times per year.
                                  • Adapt. Adopt. Advance.

                               “God is in the details.” – Mies van der Rohe

                                  Takeaway:

                                  You can only effectively implement Social Network Marketing
                                  programs that produce results by developing a plan. The basic
                                  premise of a marketing communication plan works just fine. And
                                  although most Social Network Marketing programs are complex,
                                  it is very important in the process to set one goal, state one
                                  measureable objective, develop one strategy, and collect all per-
                                  tinent data for tracking, reporting and evaluation purposes.
Social Network Marketing 3.0                                                                          Page 23
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                               What do Social Network Marketing tactics look like?

                               First, there are no best Social Networking tactics.

                                  • There are some more well known.
                                  • There are some less well known.
                                  • There are some custom-built. (Not difficult or expensive to do
                                    because of all the available applications.)
                                  • There are some ready to go.

                               And the ones that get the best ROI are those that utilize the Social
                               Networking phenomenon for clearly focused and results oriented
                               programs. Like Amex, Papa Johns, et al.

                               The key is in selecting the right tools that serve to enhance the so-
                               cial community participation and content, promote the social envi-
                               ronment, and eventually sell to those customers and prospects who
                               self qualify their own interest in the related products or services.
                               (Remember Papa John’s? Their position has been the “pizza with the
                               best ingredients”.)

                               Here are the top ten sites as reviewed and rated by TopTenReview.
                               com. You might never have heard of some:

                                  1. Facebook
                                  2. MySpace
                                  3. Bebo
                                  4. Friendster
                                  5. hi5
                                  6. orkut
                                  7. PerfDpot
                                  8. Yahoo! 360o
                                  9. Zorpia
                                  10. NETLOG

                               The overall rating criteria by TopTenReview.com:

                                  •   Demographics: Age, international community, language, etc.
                                  •   Profiles: Users personal profiles.
                                  •   Security: Privacy, reporting and blocking users.
                                  •   Networking Features: Music selections, video, groups, etc.
                                  •   Search: Search for other members in a safe environment.
                                  •   Technical/Help Support: Contact for help when you need it.
                                  •   Legitimate Friend Focus: Limiting of unsolicited content.

                               Other sites of high relevance: Twitter, LinkedIn, YouTube
Social Network Marketing 3.0                                                                          Page 24
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                               Social Networking tactics as they are integrated with e-mail efforts
                               are much more effective.

                               It seems as if businesses of all sizes have realized how effec-
                               tive and cost efficient an OPT-IN e-mail program can be. And it
                               also looks like small businesses have found ways to integrate
                               their Social Networking with e-mail to make a very powerful way t
                               o                            communicate to and get more response
                               from their targeted audiences.

                               They report increasing click-through rates from 7.2% to 8.7%. And
                               by including three different sharing options, the rate has grown to
                               11.2% for others.

                               And what are all those Social Networkers saying about web, portals
                               and social media sites?

                               Recent surveys show the most talked about sites were Social Me-
                               dia sites. And in-person conversation was the number one method
                               of communication for Social Media at 39%. For OPA member sites,
                               37%. Portal channels, 31%. E-mail was the number two method of
                               discussion. Conversation over the phone was number three.

                               Satisfaction levels of Social Media were highest with Wikipedia at
                               77%, YouTube at 73%, Facebook at 64%, and MySpace at 63%.
                               Users felt advertisers were less reputable.

                               How do you choose which online marketing program or Social Net-
                               work Marketing tactics to use? Experience as an online marketer
                               helps. But nothing beats data. (We use a proprietary process called
                               WWWebworX.)

                               Example A, if you wanted to increase engagement on a Twitter ac-
                               count, which would you implement:

                                    1. Commenting on photos and videos or
                                    2. Posting coupons? Well, 80% of Twitter users like to comment
                                       on photos or videos and 48% like posted coupons.

                               Example B: To motivate Twitter users to follow a company or brand,
                               would you 1) post updates on future products or 2) allow the com-
                               pany to send direct messages to Twitterers? Twitter users respond
                               to that question 38% and 10% respectively.
                               eMarketer.com
Social Network Marketing 3.0                                                                          Page 25
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                               Other examples of using data to select the best online market-
                               ing programs or Social Network Marketing tactics are to use what
                               sources of information Social Networkers deem as “trustworthy”.
                               (Remember the “trust factor” in     the opinions of friends, family
                               and peers is the most powerful influencer of all Social Media com-
                               munications.)

                               Example C: Trust completely in Social Media using blog posts by
                               people the user knows, 26%. Independent blogger’s Twitter stream,
                               5%. And

                               Example D: Features extremely important to inspiring trust in Social
                               Media sites when dialog is open to both positive and negative com-
                               ments, 37%. Number of people who are fans, followers or partici-
                               pants, 12%.

                               E-mail beats Facebook for socially keeping in touch. Overall, 86%
                               of survey respondents said they used email to share content, while
                               just 49% used Facebook. Broken down by age, the preference for
                               email is more pronounced as users get older. And only the young-
                               est group polled, those ages 18 to 24, reverses the trend, with 76%
                               sharing via Facebook, compared with 70% via email.

                               This difference in sharing motivation could have a relationship to
                               the method of sharing. Email is a more targeted form of sending
                               content; while content-sharers may shoot off mass emails to large
                               distribution lists, most email shares are likely sent to a person or
                               small group selected based on the specific content being shared.
                               eMarketer.com



                                    Takeaway:

                                    There are no blueprints for developing innovative Social Network
                                    Marketing tactics (programs). The practice is a new frontier for
                                    creative inspiration and experimentation. The pallet of tools
                                    used to paint a social environment landscape masterpiece can
                                    range from video, to e-mail, to threaded discussions, to existing
                                    site templates and much more in creating a user-focused pro-
                                    gram. The only four rules are: a) study what others have done,
                                    b) make sure the program is results-oriented (much like direct
                                    response marketing disciplines), c) merchandise the program
                                    internally, and d) promote the heck out of it.
Social Network Marketing 3.0                                                                         Page 26
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                               What’s the hottest Social Network Marketing tool?

                               Online video is becoming the single most influential and persuasive
                               marketing tool on the internet. Particularly when used in the con-
                               text of Social Network media, video is rapidly becoming the choice
                               of companies as a high impact tool in the many forms being used.
                               Those forms include:

                                    • Documentaries and documentation.
                                    • How-to, self-help, instructional and training videos.
                                    • News, podcasts, and presentations.
                                    • Music videos and other types of art and entertainment.
                                    • Full length motion pictures, network television broadcasts,
                                      and special events – especially in sports.
                                    • Product and service commercials and political campaigns.
                                    • And many other comments, exchanges, and communications
                                      of a social nature.

                               We have all experienced online video in many levels of quality,
                               purpose, and production. Bystanders that inadvertently capture
                               video of an unexpected car accident with a PDA or cell phone video
                               are common. Film makers of all levels have a ready-made audi-
                               ence online. Product and service marketing presentations produced
                               by everything from hand-held camcorders to very expensive, high
                               definition commercial video cameras are abundant.

                               There are no network censors, no specified time limits, and no code
                               of ethics that govern the use of video on the web. And the right
                               message at the right time using the right tool can be a very effec-
                               tive and influential message regardless of the costs and production
                               values.

                               Developing the right strategy to match the expectations of the so-
                               cial environment has been the key to successful online video mar-
                               keting - social and otherwise – to date.

                               So, what is happening with video online?

                               Most of the use of online video marketing has been in utilizing me-
                               dia content or video ads so far.

                               Retailers are using video on their web sites to drive sales. 46%
                               have identified video as their media of choice and another 42.3%
                               are adding video capability within a year.
                               eMarketer.com
Social Network Marketing 3.0                                                                        Page 27
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                               Forrester Research says that 68% of the top US online retailers use
                               video – up 18% from 2008. And 31% of Fortune 500 companies
                               with public blogs used videos in 2009, up 21%.


Viral video has                Web TV and other web devices that will support video online will
                               increase from 14.6 to 83.4 million by 2014.
become the single
most influential               It is no surprise that the highest penetration of online video viewing
and persuasive                 is among 18 – 24 year-olds with 25 –34 year-olds not far behind.
                               By the middle of this decade, it will be above 90% penetration.
marketing tool on
                               Today, 29% of those under 25 get all or most of their video online
the internet.                  compared with 8% of the rest who watch TV on the web. A stagger-
                               ing 147.5 million are watching online videos now.

                               Recent surveys show online video viewers think online ads are just
                               as acceptable as TV commercials. Millennials are the most comfort-
                               able with online video advertising. And 20% of men 18–24 think
                               online ads are more acceptable than TV counterparts. Interestingly
                               enough, both males and females think online video ads are just the
                               same as TV ads. Two-thirds of cross-platform video ad viewers felt
                               online ads were better because there are fewer of them – but they
                               could also easily tolerate more.
                               “Viewers” look at 6 – 7 minutes of online video per hour while the
                               TV norm is about 4 minutes.

                               Do made-for-web ads perform better than repurposed TV ads? The
                               answer is yes — and no.

                               Research has found that re-used TV spots result in higher brand
                               awareness than made-for-web ads. It has shown that online ad
                               awareness gets a bigger lift from repurposed video ads than made-
                               for-web video. Purchase intent is higher for made-for-web ads
                               among those ages 18 to 34 but flat among the older age groups.
                               Highest completion rates (watching the entire video) for repurposed
                               TV ads are from retail outlets (60%), while made-for-web rates are
                               37%. Highest completion rates for made-for-web video hovered
                               around 40%. Results? More important than the origin of the ad is
                               quality, relevance and the type of product advertised.

                               Is there still room for improvement?

                               A survey of web publishers found that they considered standard-
                               ization of formats across ad networks to be the greatest barrier to
                               online video growth, followed by the interruption to the user experi-
                               ence.
                               eMarketer.com
Social Network Marketing 3.0                                                                            Page 28
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Cisco claims that              Publishers also had concerns about working with ad networks,
                               mainly in about fill percentages and sales-channel conflicts. But
by 2013 video
                               even more publishers - 88% - said they thought advertisers would
will be 90% of all             spend more if research proved the efficacy of online video adver-
consumer IP traf-              tising. Today’s metrics only partially answer the essential question
fic and 54% of                 marketers want to know: “Did the ad convince the consumer to
                               buy?”
Mobile traffic.
                               How To: Three things any video needs to go viral.

                               1. Psychological Share Motivation

                               There are 3 key reasons why users share video content, and tap-
                               ping in to one of these three basic psychological drivers is essential
                               to creating content that is likely to be shared.

                                   • Emotions - If your videos capture an emotion that resonates
                                     with its audience, users will share it,
                                   • Identity and Self Expression - The content we share online
                                     increasingly defines our personality to our friends.
                                   • Information - A video that includes genuinely new and inter-
                                     esting information, and it will be shared, guaranteed.

                               2. Easy Shareability

                               There are a ton of great video sites popping up on the web that
                               provide ideal audiences for brand content. The incredible amount
                               of content on the sites makes it easy for videos to be ignored. All
                               video players that house your video ad need to have built-in social
                               features that facilitate easy sharing of the content, and ideally, also
                               feature a user’s social connections next to the video content.

                               3. Data-Driven Strategy

                               If the goal is to make a video go viral, you need to have some data
                               behind your distribution strategy. Good questions to ask include:

                                    • What sites generate the highest amount of sharing for the
                                      type of content you are making?
                                    • Which users?
                                    • What time of day do they share content most often?
                                    • All of these factors need to be analyzed before you begin your
                                      distribution in order to give your video the best chance of go-
                                      ing viral right off the bat.
                               eMarketer.com
Social Network Marketing 3.0                                                                         Page 29
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There are no                   Once your campaign is underway, look at which sites are driving the
                               most shares, what demographics are sharing the most and so on,
blueprints for
                               and start to shift more resources toward what’s working.
developing in-
novative Social                The power of video?
Network Market-
                               Old Spice previewed their new TV campaign with spokesperson/
ing programs. The              mascot Isaiah Mustafa a short time ago. Within seven days, the Old
palette of tools to            Spice YouTube channel accumulated 37.5 million individual views
paint the Social               from visitors looking for those entertaining commercials on the web.
                               183 people responded online. And the Old Spice Twitter account
Network land-
                               totaled 94,000 followers.
scape is exten-
sive. With video,              There are no blueprints for developing innovative Social Network
a Social Network-              Marketing programs. The palette of tools to paint the Social Net-
                               work landscape is extensive. With video, a Social Networker does
er does not have               not have to read, study, or carefully examine a message – he or she
to read, study, or             just experiences it - and then can respond or interact accordingly.
carefully examine              eMarketer.com


a message – he
                                   Takeaway:
or she just expe-
riences it - and                   Online videos or RIAs (rich internet applications) are the most
then can respond                   powerful and fastest growing Social Network Marketing tools
                                   online today. With video, a social networker does not have to
or interact ac-                    read, study, and carefully examine a message – he or she just
cordingly in many                  experiences it - and then can respond or interact accordingly in
ways.                              many ways. So whether a video is entertaining, documentary, or
                                   presentation-like, there are no time limits, no code of ethics, and
                                   usually no media costs incurred as barriers to telling a story.

                               How can you turn Social Network Marketing into sales?

                                    1. Determine whether or not your business is a match.
                                    2. Prepare to change your marketing mindset.
                                    3. Visit/participate in Facebook, LinkedIn, Twitter and other
                                       Social Networking activities to get a feel for it..
                                    4. Establish a clear goal that aligns with your business.
                                    5. Decide upon a measureable objective.
                                    6. Develop a strategy that complements your audience.
                                    7. Make sure the strategy includes a transition to sales.
                                    8. Allocate budget and resources that will get the job done.
                                    9. Assign and empower a champion to manage the program.
                                    10. Internally merchandise the new approach.
                                    11. Aggressively promote the Social Networking programs.
                                    12. Make sure you are tracking and reporting all elements of
                                        the program as well as capturing important data.
Social Network Marketing 3.0                                                                         Page 30
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A critical step to             For those marketers who want to take Social Network Marketing to
                               the next level, here are some ideas to consider:
get your Social
Network involved                  1. Build your own branded site that reflects the interests of
in sales is to get                   those who have an affinity with your products or services.
your sales people                    • If you’re selling tires, and your USP is high mileage wear,
                                         develop a “High Mile Club” online.
involved in the                      • Utilize tools and apps that allow blogging, videos, com-
Social Network.                          ments, sharing, and links to the product web site.
If you are suc-                   2. If you have a company where the USP is best communicated
                                     by video, build a Social Media site television network.
cessful in driving
                                     • Your company sells dog training services and includes
prospects to the                         books and CDs. Create a social network called DogTrain-
point of purchase,                       ing.TV in which there is 24/7 programming of dog training
whether it is on-                        videos.
                                     • Content can also be provided by dog trainers, owners,
line, in the mail,                       vets, etc. by submitted pictures, videos, text, threaded
or at a store lo-                        discussions and many links to the company web site.
cation, a sales
                                  Takeaway:
or customer ser-
vice professional                 The first rule to get your Social Network involved in sales is to
is going to get                   get your sales process and people involved in the Social Net-
involved. Sales                   work. If you are successful in driving prospects to the point of
                                  purchase, whether it is online, in the mail, or at a store location,
force input and                   a sales or customer service professional of some sort is going
buy-in are crucial                to get involved somewhere along the line. Sales force input and
to success.                       buy-in are crucial to success.

                               What can Social Network Marketing do for you?

                               Social Networking is evolving to become a better, cheaper and
                               faster form of marketing for all businesses.

                               With discipline, creativity, measurement tools, and data driven
                               programs, Social Networking can provide a strong platform in the
                               branding experience for all types of companies.

                               When properly applied, Social Network Marketing provides a great
                               way to manage prospect and customer relationships through the
                               brand experience with shared knowledge, community influence,
                               comparative shopping, self qualified interest, and after-the-sale-
                               service in the acquisition, development and retention of B2B or B2C
                               customers.
Social Network Marketing 3.0                                                                         Page 31
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                               What can Social Network Marketing do for you? Next is an example
                               of a model in developing a strategic marketing plan driven by an
                               integrated mix of Social Network and Online Marketing programs…

                               A Social Network Marketing communications strategy could be to
                               use free, valuable, and updated online information in an integrated
                               social networking environment to educate targeted prospects and
                               customers. The information is designed to represent the value
                               proposition of the products and/or services of the company as they
                               are expressed in the integrated business communications web site.

                               The information is supported by collaboration and participation in
                               social media content at least partially created by those prospects
                               and customers who are interested.

                               The social media content and information would be promoted by
                               online marketing programs for both the social networking and busi-
                               ness communications web programs. More data can be acquired,
                               analyzed and shared by survey.

                               The purpose of the social networking program is to drive leads to
                               the business site to be sold on product/service and/or consulting
                               engagements.

                                  Takeaway:

                                  Social Network Marketing is evolving to become a better, cheap-
                                  er and faster form of marketing for nearly every type and size
                                  of business. It can provide a user-generated memorable brand-
                                  ing experience. It can afford a way to intelligently manage the
                                  customer and prospect experience. It can allow your targeted
Successful                        prospects and customers to share information on what they
Social Networks                   want, what they like and what they expect from your company.
are built by                      But Social Network Marketing is not designed to bring your pros-
                                  pects and customers closer to you – it is designed to bring YOU
people. Not
                                  closer to them.
technology. And
not the latest                 Developing a Social Network Marketing strategy.
gadget. They gain
                               A powerful Social Network Marketing program can have a positive
their power from               impact, but it can’t and shouldn’t replace traditional marketing pro-
interaction among              grams on a whim for many reasons. But too many businesses are
people as commu-               focusing on tactics and technology before clarifying their goals and
                               objectives.
nity members.
Social Network Marketing 3.0                                                                        Page 32
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The key to under-              Creating a Social Network Marketing program based on user gener-
                               ated content is a must for any strategy.
standing
Social Media                   In developing a strategy, remember that Social Network content
participants is to             should be designed to elicit reaction. Even YouTube has built-in
remember that                  comment features enabling viewers to praise, critique, dissect, or
                               make fun of videos.
content matters
most in their part             Think beyond the confines of the Facebook and Twitter model. There
of the world.                  is no law on how a Social Network should look or be. Facebook,
                               Twitter, and LinkedIn just got here first.

In developing a                Social Media tools and technology - RSS, blogs, podcasts, video -
strategy, multiply             don’t only facilitate conversation. Their predominance has created
the Social Net-                the expectation - especially among Millennials - for member en-
                               gagement on a much deeper level.
work’s power.
                               A network should be able to continuously deliver content in a vari-
                               ety of media and ways. For example, videos posted on YouTube or
                               Flickr should have the capability - through widgets - to be posted on
                               user’s Facebook pages. Video and Social Network content can work
                               together to increase traffic. Users should always have several ways
                               to post, create, and distribute content through mini-applications,
You must learn                 news feeds, alerts, updates, and icons that members can post on
                               their profiles and share with others.
to empower your
users to tell your             The rise of Social Media has brought about a shift in marketing.
story in their                 Some would say Web 2.0+ has more to do with sociology than with
                               marketing. Traditional marketing struggles in the Web 2.0+ world
own way through
                               where the audience is in control and metrics are hard to define.
member post-
ings on blogs and              Social media can extend a credible brand campaign significantly by
message boards                 raising awareness in a nearly unlimited domain. Strong brands will
                               come from strong dialogue.
and elsewhere.
                                  Takeaway:

                                  Developing a Social Network Marketing strategy has little if any-
                                  thing to do with technology and a lot to do with understanding
                                  that like-minded human beings gain their power from interaction
                                  as interest-specific community members. This strategy must
                                  run parallel to the value proposition of a company’s pro-ducts so
                                  commerce can happen when a member is ready to buy.
Social Network Marketing 3.0                                                                            Page 33
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                               Social Networks That Do.

                               Build, populate, manage, and watch your own social network grow.
                               Social Networks That Do is a white label, self-branded web site plat-
                               form with robust features designed to help your organization take
                               advantage of the revolution in social network marketing. We can
                               help your businesses grow by providing a value-priced and easy-
                               to-manage way to build a branded social network around your own
                               company’s products, services and attributes. It is the latest way to
                               target, attract, develop, and retain prospects and your best custom-
                               ers who contribute, collaborate, and share in similar interests.

                               Build your own social network. With a little help from your sup-
                               port staff friends at Social Networks That Do, you’ll be able to build
                               your own social network exactly the way you want.

                                  • Communities That Do. We can help you build your own cus-
                                    tomized social network web site just like this one.
                                  • Smart Phones That Do. There’s a good reason why they’re
                                    called “smart phones”. Because Smart Phones That Do allows
                                    you to connect to a mobile web site for members on the go.
                                  • Searches That Do. Shortly, you will be able to find everything
                                    you need to know in your social circle with our search engine
                                    developed especially for social networks. (Coming in 2012.)

                               Populate your own social network. The web is just like a party.
                               If you don’t send an invitation, nobody will come.

                                  • Emails That Do. We’ll build an OPT-IN email program target-
                                    ing your audience geographically and demographically from a
                                    database of nearly two hundred million records.
                                  • News Releases That Do. News that’s fit to sprint can quickly
                                    reach those interested in your social network through news
                                    releases sent by e-mail to selected media and industries.
                                  • Newswires That Do. Spread the news throughout the internet
                                    and to selected industries and markets with newswire that
                                    can include an embedded image or video.
                                  • Search Engines That Do. Social Networks That Do has experts
                                    in site submission, search engine optimization (SEO), and
                                    paid search engine marketing (SEM) that can put your site
                                    search at the top of the list.

                               Manage your own social network. Today, the best way to ac-
                               quire, develop and retain prospects and customers is by managing
                               them in your own social network.
Social Network Marketing 3.0                                                                        Page 34
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                                  • Qualifying Prospects That Do. Prospects will populate your
                                    social network because they share a common interest in your
                                    products, services and their attributes.
                                  • Managing Customer Relationships That Do. Rubbing shoulders
                                    with loyal customers who have an affinity with your products
                                    or services is the best way to create Life Time Value.
                                  • Sales That Do. The “Prospectomers” who have chosen to be
                                    members of your social network are the best and easiest to
                                    close time and time again.

                               Watch your own social network grow.
                               Social Networks That Do will help you manage and keep your finger
                               on the pulse of member activity. Carefully read the Building Social
                               Networks Together That Do page as it contains very important infor-
                               mation that will help you successfully build, launch and prosper in
                               the world of social network marketing.

                                  • Tracking and Reports That Do. Once you begin to build,
                                    populate and work your own social network, you can measure
                                    success tracking your web site with a built-in Google Analytics
                                    tool.
                                  • Building Social Networks Together That Do. How to get just
                                    the right advice, choose just the right features, get right level
                                    of control, and incorporate just the right content to build your
                                    own social network.

                               Social Networks That Do is the brainchild of Richard Parker, Presi-
                               dent and Creative Director, and the staff of Creative Direction, Inc.,
                               a marketing communications practice and family based company.
                               Creative Direction has helped a variety of clients maximize the
                               value of their businesses and drive sales through developing direct,
                               online and other marketing communications programs for many
                               years. Parker was also Founder and President of Synapse Technol-
                               ogy in Charlotte, NC, one of the very first business intelligence
                               pioneers known as a leader in FAST500 technology companies in
                               North America by PriceWaterhouseCoopers and Deloitte & Touche
                               five years in a row. Parker is well known as a creative leader and
                               thinker who has pioneered marketing communications innovations
                               over the years.
Social Network Marketing 3.0                                                                           Page 35
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                               Creative Direction, Inc.

                               Creative Direction, Inc. is a marketing technology company dedicat-
                               ed to helping companies grow. We’ve provided outstanding market-
                               ing, technology and communication solutions to a diverse group of
                               clients since 1993. We’re talented enough to have received recog-
                               nition in winning over 1,500 awards of marketing and technology
                               excellence and we’re smart enough to know that what means most
                               is helping our clients drive sales. And that’s what really drives us. If
                               you have a project or are looking for a strategically driven program,
                               email us at info@creativedirection.com or call 765.883.8431 to see
                               what we can help your business grow. The following are brief bios
                               on the Creative Direction, Inc. management team:

                                    • Richard Parker – President & Creative Director of Creative
                                      Direction, Indianapolis, IN; Executive Vice President of The
                                      Gillespie Organization, Princeton, NJ; Founder & President of
                                      Synapse Technology, Charlotte, NC; recognized by PriceWater-
                                      houseCoopers as FAST500 winner 5 years in a row
                                    • David Parker – Chief Technology Officer of Creative Direction,
                                      Indianapolis, IN; Vice President Development Division, Cata-
                                      lyst Technology, Indianapolis, IN; Developed first online live
                                      concert site for Online Entertainment Network
                                    • Helen Parker – Chief Media Officer, Creative Direction, of Indi-
                                      anapolis, IN; Director of Advertising, Mellon Bank in Philadel-
                                      phia, PA; Director of Marketing, Baltimore Federal, Baltimore,
                                      MD; Account Supervisor of VanSant Dugdale, Philadelphia, PA;
                                      Media Director for Al Paul Lefton, NY; Marketing Supervisor of
                                      first ATM (MAC) for Philadelphia National Bank
                                    • Julie Parker – Chief Financial Officer, Creative Direction, India-
                                      napolis, IN; Communities Administrator, The Estridge Com-
                                      panies, Carmel, IN; Developer of first integrated direct mail
                                      PURL, ProspectworX

                               Contact Information

                               Creative Direction, Inc.
                               PO Box 17670, Indianapolis, IN 46217
                               Phone: 765-883-8431
                               Fax: 765-455-1707
                               E-mail: info@creativedirection.com
                               Web Site: www.creativedirection.com
                               E-mail: info@socialnetworksthatdo.com
                               Web Site: www.socialnetworksthatdo.com

                               © 2011 Creative Direction, Inc. All rights reserved.

								
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