Transcript Social Media Marketing

Social Media Marketing
by: Berk TUNCALI
Lets first start with marketing…
What is Marketing?
Marketing is the activity, set of institutions, and processes
for creating, communicating, delivering, and exchanging
offerings that have value for customers, clients, partners,
and society at large.
(American Marketing Association, 2013)
Now, lets focus on the Social Media
What is Social Media Marketing?
Social media is defined as websites and computer programs
that allow people to communicate and share;
o information
o ideas
o personal messages, and
o other content
over the internet.
Carrying out marketing activities over this playing field is what is
referred to as the Social Media Marketing.
What is Social Media Marketing? Contd.
Social media comes in many forms, but all of them are related: blogs,
forums, podcasts, photo sharing, social bookmarking, widgets, videos, and
many more.
It is a fusion of sociology and technology
Social Media Marketing is a form of internet marketing that implements
various social media networks in order to achieve marketing communication
and branding goals. Social media marketing primarily covers
activities involving sharing of content for marketing.
Social Media Marketing is not;
• Just another website
• Series of posts one after the other
• One-way conversation
The Communication Model
• There are 2 types of communication models;
- Basic Communication
This is generally a one-way process with the message moving from
sender to receiver.
- Interactive Communication
This communication goes two ways, a dialogue if you will, and this is
where marketing communication is headed.
Basic Communication Model
Feedback is obtained by monitoring the receiver’s response to
the message.
Moriarty, Advertising Principles
and Practices, 2009
Interactive Communication Model
The source and receiver change positions as the message bounces back and forth
between them.
Moriarty, Advertising Principles
and Practices, 2009
Now, it’s time for some History…
How it started?
History part 1
Throughout history, people came up with various ways of communicating
through:
o Fire Smoke
o Pigeons
o Telegraph
o Light signals
oThe post
Getting responses a few hundred years ago meant waiting for months or a
year.
Thankfully humans never stopped looking for a faster method to
communicate.
It all started with the first e-mail in the world….
History part 2
The 21st century brought us
the
internet.
Social
networking was born in
1971, when the first email
was sent by Ray Tomlinson
to
himself.
The
two
computers were sitting right
next to each other. The
message said “qwertyuiop’.
History part 3
In 1978 Usenet, the earliest online bulletin board of the time, was created. Users
posted news, articles and funny posts. This concept soon inspired the ‘Groups’
feature we know today; such as Yahoo! Groups, Google Groups and Facebook Groups.
The first ever version of instant messaging was in 1988, called IRC.
History part 3
In 1978 Usenet, the earliest online bulletin board of the time, was created. Users
posted news, articles and funny posts. This concept soon inspired the ‘Groups’
feature we know today; such as Yahoo! Groups, Google Groups and Facebook Groups.
The first ever version of instant messaging was in 1988, called IRC.
In 1994, the first social networking site was created, Geocities. It allowed users to
create and customize their own web sites, grouping them into different ‘cities’ based
on the site’s content. The following year, TheGlobe.com launched to public, giving
users the ability to interact with people who have the same hobbies and interests,
and to publish their own content.
History part 4
A few years later, AOL Instant Messenger launched. Instant messaging was born,
giving users the freedom to chat with friends, and create a profile. The member
profiles allowed its users to write a biography and share details about themselves.
The profiles were searchable so people could look your profile up.
SixDegrees.com was one of the very earliest social networking sites, but did not gain
the same success. The idea is based on the theory that people are separated by no
more than six degrees from one another.
This growth was followed by Friendster, MySpace, LinkedIn, Facebook, Twitter and
many others…
How Big is the Social Media?
Source: SBR Technologies
How Big is the
Social Media?
• The population of the world is
7,095,476,818 people and growing.
• 37 % of the people in the world uses
the internet. This is equal to 2.64
billion people.
•26% of the people in the world are
active on the social media networks.
That means 1.85 billion people.
The 10 Biggest Social Networks
NUMBER OF MONTHLY UNIQUE VISITORS
900 Mil.
310 Mil.
255 Mil.
250 Mil.
120 Mil.
FACEBOOK
TWITTER
LINKEDIN
PINTEREST
GOOGLE+
110 Mil.
TUMBLR
100 Mil.
INSTAGRAM
80 Mil.
VK
65 Mil.
FLICKR
42 Mil.
VINE
Source: Alexa Rank(2014)
Lets focus on the largest social network in
the world …
Why do businesses utilize social media
marketing?
Why do businesses utilize social media
marketing?
• To increase their sales
According to LinkedIn, “82% report that it is effective for lead generation.”
• To increase awareness
“100% of business decision-makers use social media for work purposes,” according to Forrester.
•To gain Credibility
According to an Omnibus Report 68% of Facebook users say a recommendation from a Facebook friend
would make them more likely to buy a specific product.
Why do businesses utilize social media
marketing?
•Competitive intelligence
It can be clearly seen what competitors are up to in regard to social media marketing.
• Improved brand loyalty
According to a report published by Texas Tech university, brands who engage on social media channels
enjoy higher loyalty from their customers.
•Increase web site traffic
In a study done by Balihoo Infographics, it was found that 15% of consumers search for business
websites on Facebook
Why do businesses utilize social media
marketing?
• See what consumers are thinking about your business
• Better Search Engine Rankings
• Save on advertising costs
• Faster customer service and better relationships
• Targeting
Consumers Vs. Businesses
Source: IBM From social media
to Social CRM
How the Average Consumer have changed
• Seeks quality
• More involved
• Detail oriented
• Communicates
How the Average Consumer have changed
Seeks values in
purchases.
Communicate at
the marketplace.
Use social media
extensively.
Consumer Habits
A study by Ipsos found out that the average social network user spends 3.6 hours on
social media every day.
Considering you may only be awake for 16 hours each day, that means nearly 25
percent of our waking time is spent on Facebook, Twitter, and the rest.
The age breakdown shows the average daily use for younger social media users is
even higher.
4.2 hours per day - age 35 and under
3.1 hours per day - 35-49-year-olds
2.8 hours per day - age 50 and over
Popularity of the Social media
• Politicians use the social media regularly
• Artists and singers also use social media extensively
• Even The White House has its own social media page.
How does Social Media Marketing relate to
Word Of Mouth
• Social Media Marketing is Word-of-Mouth Marketing with high technology.
• Technology has changed the way people connect, discover, and share information.
• Social media is the technology that connects people—whether it’s to share content
or just to chat.
Social media marketing is the way to use that technology to build relationships, drive
repeat business and attract new customers through friends sharing with friends.
75% of people are somewhat or highly likely to share content they like online with
friends, co-workers or family—49% do this at least weekly.
Source: Chadwick Martin Bailey
Consumer Pulse 2010
The Marketing Mix – 4 P’s – into 4 C’s
One of the famously known and effective tools in marketing is the concept of the Marketing Mix
Also known as the 4 P’s, which was introduced by Edmund Jerome McCarthy in his book called
‘‘Basic Marketing. A Managerial Approach’’
•Product
•Price
•Place
•Promotion
However, this was a business oriented model. It focused on the business instead of the consumer.
The Marketing Mix – 4 P’s – into 4 C’s
One of the famously known and effective tools in marketing is the concept of the Marketing Mix
Also known as the 4 P’s, which was introduced by Edmund Jerome McCarthy in his book called
‘‘Basic Marketing. A Managerial Approach’’
•Product - Consumer
•Price - Cost
•Place - Convenience
•Promotion - Communication
However, this was a business oriented model. It focused on the business instead of the consumer.
The Marketing Mix – 4 P’s – into 4 C’s
Source: Lauterborn, B., 1990. New
Marketing Litany: Four p's passe; Cwords take over
“Consumer” instead of “Products”
Rather than pre-defining the customer into a product, the consumer model tries
satisfying the customer’s wants and needs.
Companies cannot develop products and then try to sell them to a mass market.
They would need to study the consumer needs and wants in detail and carry out
production accordingly.
Therefore the Consumer model should be seen as a two way dialogue between
the customer and the business.
“Cost” instead of “Price”
The price is only one part of the cost to satisfy.
Affordability, satisfaction and value are all parts of the cost.
Businesses has to consider what will the consumer’s total, or real, cost be for
obtaining your product or service. It has to be realized that Cost reflects the cost
of using the product or service as well.
Example:
If a business sells hamburgers, it has to consider the cost of consumers driving to
the restaurant. This means that the businesses will be thinking not only by the
cost of production and their own profit but also take a more consumer oriented
approach.
“Convenience” instead of “Place”
Convenience affects the perceived value of a product.
How easily a consumer might purchase a product or a service is crucial for every
business. This can be both geographical convenience and online (internet)
convenience.
This brings about the fact that every business must know how each subset of the
market prefers to buy whether on the internet, from a catalogue, by telephone,
using credit cards and etc.
“Communication” instead of “Promotion”
Communication is as much about listening to the consumers as it is talking to
them.
Traditional mode of promotions mostly involve a one way communication which
is vertical in structure and almost no feedback is received from consumers.
We are at the age of technology and communication. Engaging with consumers
through meaningful communication builds customer confidence which also
drives sales.
Social media is a powerful two way communication tool.
The Marketing Mix – 4 P’s – into 4 C’s
Due to the advancements in technology, the 4P’s of marketing are becoming less
relevant and less effective to the ‘‘new consumers’’ in comparison with ‘‘old
consumers’’.
Consumers today are able to connect anywhere at any time
They are changing both their shopping behaviour and their values
This brings about the need to switch to the 4C’s model
Brand Advocates
During the time which word of mouth was used extensively, businesses relied on
people known as ‘WOM Agents’.
These were Word of Mouth Agents hired by businesses to spread the word for them.
Today, businesses use Social Media Marketing. The playing field has changed, and
therefore the name as well.
Now, there are ‘Brand Advocates’ and ‘Brand Ambassadors’.
Brand Advocates
Brand Advocates are consumers who have good relations and loyalty to the
organization that they are willing to support the brand online.
This creates free and honest advertisement.
There are many examples of this over the social media.
Companies support these consumers and they give all the necessities to them in
order to advocate their brand.
Mobile phone advantage
• Informs consumers instantly
• Mobile, no fixed location
• No boundaries (even when you sleep)
• Camera option available on the go
• People are fee to publish and write about however they feel at that time
•No one can block, change or delete the information.
Some very effective uses of Social Media
Marketing