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ROI in a social community isn’t about the number of page views or downloads; it’s about generating and leveraging brand value to create deeper and more meaningful relationships with your audiences.
Social networks are live focus groups, they:
Social networks may not deliver traditionally measured ROI, but successful dialogue can be measured in terms of engagement, share of voice and advocacy.
Not sure what success might look like? DING!
~Rachel Olmsted
May 28th, 2008 at 7:22 pm
The real strength of Web 2.0 relative to brand and reputation is social evaluation. It’s about tapping into the “gossip cloud” that surrounds each and every company to capture and quantify users insights into company reputations. Check out vanno.com to see how it works.
http://www.vanno.com/
May 29th, 2008 at 2:54 am
Rachel, I think you’ve touched on a very important issue in branding. As more and more marketers begin to recognize the power of web 2.0, people are beginning to also recognize the power it holds over their brands.
Social networking happens whether you provide the forum or not – encouraging the development of these networks gives you the opportunity to gauge their effectiveness and measure, albeit abstractly, the ROI.
May 29th, 2008 at 6:07 pm
Web 2.0 is often defined in terms of social media or social news. But when it comes to companies, reputations and brands, the real Web 2.0 opportunity is social evaluation.
The challenge, to us, is to tap into the “gossip cloud” that surrounds each and every company, evaluate what we learn, and then quantify it in a manner that is useful all stakeholders – companies, consumers and citizens.
Check us how we use Web 2.0 to measure company reputations: http://www.vanno.com/
May 30th, 2008 at 6:09 pm
Eric, I couldn’t agree more—people hold the power. When we join the conversation it helps us build upon the relationships our brand is having with clients and prospects by engaging people on a deeper and more meaningful level. Social communities allow marketers to, if nothing else, listen in—or as Nick puts it “tap into the gossip cloud”—and gauge the health of the relationships consumers are having with brands, and understand how they can create more value and deliver more of what they promise! What do you think is the primary barrier(s) keeping companies from engaging in Web 2.0 from a marketing standpoint?
June 2nd, 2008 at 4:59 pm
One of the largest barriers I have experienced is a somewhat high level of distrust for all things Internet.
More than a few of my clients have rolled their eyes when I suggest implementing Web 2.0 technologies alongside their new product or service offerings. Their definition of Web 2.0 extends only so far as MySpace and Facebook, neither of which they see as having serious applications for business and marketing.
The few who appreciate the power of social media feel it is too complicated and “tech-y” to be useful for their business. Web 2.0, for them, is synonymous with “huge IT budget” and usually sits on corporate wish lists instead of management to-do lists.
June 23rd, 2008 at 10:55 pm
Anyone who doubts the power of Web 2.0 would be well-advised to look at my favorite T-shirt making superstars, Threadless. These folks are taking things to the next level, creating tangible products from user-generated content. Their financial returns are stunning and they’re starting to turn heads in the halls of academia.
Threadless is a brand built on hip, irreverent style, but without credibility, “cool” is fleeting. By harnassing an endless supply of egalitarian user-inputs (creating designs and voting on which designs to print,) Threadless is constantly renewed and never grows stale. The brand stands as much for its social structure as its witty wares and the approach is absolutely working.
I ran into a good article on all this in Inc.com in case you’re curious:
http://www.inc.com/magazine/20080601/the-customer-is-the-company.html
As for the discerning T-shirt enthusiast, I suggest you go right to the source:
http://www.threadless.com/