Guru Speak by Gaurav Mishra : The Experience Ecosystem

Marketing Practice is extremely happy to present a guest post from one of India's foremost social media experts -Mr Gaurav Mishra. Gaurav needs no introduction to the blogging community. He authors a very popular blog at Gauravonomics.com. An IIM B alumnus, Gaurav is currently the CEO of a Social Business Strategy firm 20:20 Social. Gaurav was also a Yahoo! Fellow and taught Social Media at Georgetown University. On a personal note, Gaurav's thoughts on social media has always given me new insights as a marketer.

Gaurav Mishra in this post is talking about the new ecosystem created by the social media and its implication for marketers.

The Experience Ecosystem

It’s an accepted notion now that the brand is realized on the Social Web, in conversations between strangers, who then amplify, quash, or otherwise reshape each other’s opinion on the product or service, often based on first-hand experiences. These messages play off against marketing messages pushed by advertising agencies in the mind of the customer, and increasingly, customers are listening to their peers, instead of marketing messages.

The Social Web exposes any misalignment between implicit or explicit expectations set by the CMO in marketing messages and the actual experience delivered by the organization run by the COO. It is therefore critical that the CMO and COO be in absolute alignment, so that the organization (over-)delivers on what the brand has promised, leading to customer delight, loyalty and advocacy.

At the core of this approach is the idea that conversations are driven by experiences. If you want to drive positive conversations about your brands, you should start by creating an experience that is worth talking about.

The Experience Ecosystem provides the framework for creating talk-worthy experiences. It consists of all the touchpoints between the organization and the customer, including products, services and partners, sales and support channels and interactions, and the values for which the organization and its individual brands stand for.

Working within the Experience Ecosystem, the best way to create an experience worth talking about is to design it collaboratively, with customers, employees and partners. Social Applications for ideation, support and expertise-sharing enable such collaboration.

A collaboratively designed, talk-worthy Experience Ecosystem often results in the formation of communities of customers, partners, employees and even citizens. Community Platforms catalyze such communities and enable them to connect even more closely, ensuring deeper connections and even more widespread circulation of positive conversations.

Deconstructing the Experience Ecosystem

So, the obvious question arises: How do you collaboratively design an Experience Ecosystem that drives conversations and results in close-knit communities?

You start by listening. Your customers, partners, and employees are talking to each other about you, often in public, and their conversations include a treasure trove of feedback about your Experience Ecosystem, along with ideas to improve it. In short, they offer clear signals as to how they will take ownership for the experiences and conversations that will drive your brand.

However, listening is only the first step. You also need to respond to these people and participate in these conversations, not with the intent to direct them in one direction or another, but with the intent to engage them and learn more. Over time, as you track these conversation threads, you should seek ways to build profiles for the people who are participating in these conversations, and identify which conversations, and which people specifically, are the most valuable to you.

Some of these conversation threads will involve responding to and converting prospects who are considering your products or services. Other conversation threads will relate to supporting existing customers seeking an explanation or a solution. Still other conversation threads will be about customers, prospects, partners or employees giving you feedback on your Experience Ecosystem.

In each of these cases, you should use Social Applications -- small, distinct code objects that connect people, facilitate sharing, and enable coordinated experiences -- to tie these conversation threads with other similar conversation threads and leverage the power of collaboration. A prospect considering your offering may benefit from the reviews and experiences of other customers. An existing customer might find that other customers have already shared useful tips on how to solve common problems. Finally, customers can collaborate to find the best ideas to improve your products, services, and sales and support processes, or design entirely new ones.

Once you have collaboratively designed a talkworthy Experience Ecosystem, you should build Community Platforms to catalyze the formation of communities, and transform customers, partners and employees into evangelists.

The Toolkit is Still Evolving

The toolkit to create an integrated talkworthy Experience Ecosystem is still evolving, but it’s already possible to connect the various activities described above, as my colleague Dave Evans recently pointed out in his ClickZ column (http://clickz.com/3635116).

Social media monitoring tools like Radian6 (http://radian6.com) and Techrigy (http:// techrigy.com) already incorporate workstream elements. Not only that, Radian6 connects with Salesforce CRM and WebTrends Analytics, apart from Twitter.

CRM tool vendors are also expanding in both directions and introducing social media analytics and community features. Salesforce (http://salesforce.com) now has a full suite of community features including ideation, support and knowledge sharing in its Service Cloud suite (http:// salesforce.com/crm/customer-service-support) and even connects with Twitter and Facebook. Apart from the integration with Radian6, Salesforce also supports integration with the Lithium community platform and the Parature customer support suite (http://parature.com), amongst others.

At the other end, community platform vendors like Jive (http:// jivesoftware.com) and Lithium (http://lithium.com) are also aggressively introducing social media analytics and social CRM features.

In Summary

It’s more important than ever to create a talkworthy Experience Ecosystem and the tools to enable it are quickly coming together. Organizations that develop the end-to-end view described above will use these tools in an integrated manner and win on the Social Web, while those who implement disconnected solutions on an ad-hoc basis will struggle. Integration, then, is the key to winning on the Social Web.

(Gaurav Mishra (http://gauravonomics.com) is the CEO of Social Business Strategy firm 20:20 Social (http://2020social.com). Previously, Gaurav has held senior marketing roles at the Tata Group, taught social media at Georgetown as the 2008-09 Yahoo! Fellow, and co-founded Vote Report India (http://votereport.in). You can follow Gaurav on Twitter at @gauravonomics (http://twitter.com/gauravonomics) and download the 20:20 Social position paper on Social Business Strategy (http://2020social.com/social_business_strategy.pdf) for a structured methodology for building a talkworthy Experience Ecosystem.)

Guru Speak : Advertising During Recession by Lakshmipathy Bhat

Marketing Practice is happy to present a guest post from an Advertising professional par Excellence- Mr Lakshmipathy Bhat. Mr Bhat is currently Vice President at DraftFCB+Ulka Advertising, Bangalore. Mr Bhat has over 17 years experience in various marketing functions. He has worked on BAT, P&G,GSK among others

An ardent lover of Advertising, Mr Bhat is a prolific blogger and runs a blog at lbhat.com

In this post, Mr Bhat talks about advertising strategies that should be adopted during difficult times like recession.

Advertising during recession

It is not unusual to find companies who regard advertising as a wasteful, unnecessary expenditure. The belief is that as long as you have a great product, people will buy. Even with companies who place a great emphasis on advertising, the urge to cut the advertising expenditure is huge, especially during recessionary times.

But it is a well known fact that advertising during recession is a smart thing, maybe even a mandatory thing to do. It’s virtues are well-established and oft-repeated perhaps from 1929, the time of the first Great Depression in the US. But human tendency is such that what seems practical and beneficial in the short term is usually chosen path. The long term benefits of sustaining advertising during tough times far outweigh the possible short term benefit of saving money.

What are the broad guidelines for advertising during recession? The general approach to advertising during recession and advice to marketing companies have been provided by several experts. So what I am going to outline below will not be startlingly new - just my views on the important guidelines:

1. Evaluate the role of your product in the consumer’s life

What might be right for a manufacturer of office furniture may not be relevant for a hair oil marketer. Every product fulfills a certain need in the consumer’s mind. The starting point could perhaps be to evaluate the role of the product. In an article titled ‘Yes, you can raise prices’, Geoff Colvin of Fortune Magazine illustrated the point about being able to even raise prices during recession through a simple 2x2 matrix. Where does your product fit in that kind of a matrix? Is it a necessity like a washing soap or light bulb? Or discretionary like a spa treatment? The answers may provide direction for your approach to pricing and advertising during recession. Of course, such a matrix may be interpreted differently in different markets. In India for example, is an airline brand a discretionary commodity or unique? Everyday purchases that can’t be done without need to stay top of mind. Unique ‘necessities’ are products where certain brands are irreplaceable in that category - it is usually about brands whose loyalty measures are high.

Another useful tool is The FCB Grid, developed by Richard Vaughn, a Senior Vice President of Foote, Cone and Belding Advertising. It shows how consumers approach each category and provides cues for advertising & media strategy for these brands.

For example, for brands in Quadrant 2 - the impact could be that the advertising execution has to be top class with emphasis on impact. Whereas for brands in Quadrant 3, the emphasis could be about repetition, memorability (jingle, perhaps) and so on.

2. Stretch the advertising rupee

Well, there is no reason why a lot of the stuff that is prescribed and done during the tough times is not practiced otherwise! Is every advertising effort meant to produce great ROI? Yes. Is it applicable only during tough times? Obviously not but this aspect is somehow stressed only now. Certain categories will find their incomes being hit - financial products, air travel, hotels, for example. They should research and invest in media that minimize wastage. It could be direct marketing, Online advertising that is measurable and so on. On television, evaluate if you really need that 40-sec commercial or can an equally impactful message be sent across in 30-sec?

3. Focus on changing behaviour, not just attitude

One of the perennial accusations about advertising is it’s fuzzy role in generating sales. Many see advertising as being limited to creating awareness and not really driving sales. The agency would argue that the sale did not happen for reasons beyond their control - pricing, distribution etc. Both valid. But it perhaps makes sense to engineer not just advertising but the entire marketing process to effect a change in behaviour during tough times. It’s not enough for the consumer to feel that XYZ airline is the best airline in terms of service. He must be motivated to make that booking and fly the airline. Perhaps this is more relevant for high value, high interest categories. But even for everyday impulse purchases, SKUs with lower price points could be an option. Advertising should work hand in hand to push the consumer into making a decision focusing on the reason-why he should consider the brand not just a generic message.

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Lakshmipathy Bhat

The views/opinions expressed here are the personal views of the author.

MBAs During Recession : Advice From Gautam Ghosh

Its a great pleasure to present a guest post from Mr Gautam Ghosh on a topic which is currently on the top of the mind of all MBA students who are facing a dull placement season this year.

Gautam Ghosh is an HR Consultant based out of Delhi. An MBA in HR from the prestigious XLRI Jamshedpur, Gautam had an illustrious career in organisations like Deliotte and Touche, Hewlett Packard, Dell and Satyam before venturing into the field of HR Consulting.

An expert in the field of Human Resources Management, Gautam is also an avid blogger. His HR Blog is listed among the top 25 best HR blog by HR World. You can read his blog at gauteg.blogspot.com and gautamghosh.net

I am sure that readers of marketing practice will greatly benefit from the insights and advice from Gautam Ghosh.

How to prepare for placements in tough times .

First of all Harish, thanks for giving me this opportunity to write a guest post. As we all know the economic scenario worldwide is yo-yo'ing and is not one for the faint hearted.

When Harish asked me if I could write a post for students who are looking at graduate into a tough job market, I wondered what I could say to these young bright students.

Then it struck me. Placements are a time for marketing yourself, and in this tough market the principles of marketing become relevant more than ever.

So here are a few thoughts:

1. Be a quality product. As any marketer worth his salt will let you know, there is only so much you can do to sell an average product. Being an outstanding product goes a long way to make the marketing easier. That means not just raw intelligence but a lot of emotional quotient also. The ability to build relationships and get things done. The courage to take decisions. All these matter in addition to your ability to analyze numbers and define processes.

2. First generalise then specialise. Brands and marketers live and breathe segmentation. However, as an individual in the brand bazaar it's always better to generalise more and more and then decide on when to specialise. The upsides of specialisation is that during boom times you can command a premium, but the downside is that during a period of slump the generalists are the last to get laid off. Take the decision depending on how much risk you can take

3. Keep developing and evolving - Brands need to continuously develop and be relevant to the context. As a professional that is imperative too. Building skills and keeping an open mindset (to new horizons, mobility etc) is key to developing as a professional.

4. Prove your worth. As the economy slows, people's perception of what you can do would be different than what they would have assumed a year ago. Their risk taking propensity would have reduced, so be prepared to prove your worth before any additional work is given your way. Credibility would have to be earned and not assumed.

5. The start is just the start not the end. I know how stressful placement days can be. I lived through some of the most harrowing days of my life from days 1 to 3 in my campus placement season when 'dream company' after 'dream company' rejected me. Looking back, I can only see what seems obvious now. The first job has little or no bearing on where you are in ten years. The only case where it has a bearing on is you're lucky to join a job which you stick to for decades. Yes even in this day and age. There are some lucky folks like that too.

Gautam Ghosh



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MBAs During Recession