Research reveals corporations to focus on integration, staffing, advertising, and measurement in 2011.
I’m sharing these slides as I take the stage for one of the few business focused tracks at the largest European internet conference, LeWeb (pic). The following slides are based on the survey data collected in our latest research report on the Career Path of the Social Strategist which has been downloaded at least 3000 times and viewed over 21,000 times and been discussed on Marketing Profs, RWW, Mashable, Fast Company, and many other blogs. In the deck you’ll recognize some of the data in 2010, but we’ve also segmented it by business maturity.
In the predictions section in 2011, we’ll find data on where companies are going to focus, as well as spending changes based on maturity of corporations –notice how advanced companies shift to customization and social media boutiques.
Above: Here’s a video from the front row (Thanks Erno), apologies, I’m fighting a cold and a bit stuffed up. I added this video later.
Above, here’s the official LeWeb video, thanks Loic
How You Should Invest in 2011: Scalable Programs
1:1 dialog with customers does not scale –you can not hire enough community managers to keep up with the growing number of customer voices, as a result, we recommend that corporations focus on the following six areas of investment for 2011
- Hire correctly (Gurus/Ninjas/Samurai need not apply) and properly train for scale
- Integrate social media on the corporate website, then aggregate and curate
- Invest in advertising that leverages social graph
- Build an unpaid army of advocates get your customers to do the work for you
- Invest in scalable systems like SCRM and SMMS
- Learn to measure using the ROI Pyramid
Open Research: Share it Widely
This data, which we make available for the industry is under the premise of Open Research rather than charging for it. It’s intended for you to use, cite, and share as long as you provide attribution to Altimeter Group. The more you share, the easier it is for us to create more. Some of the select figures are available here on Flickr, embedded below, expect I’ll discuss these in greater detail in coming weeks.
Special thanks to the research team involved in this project lead by Christine Tran, Andrew Jones, and guidance from Charlene Li, all of Altimeter Group, where I’m a partner.
Great Keynote you're giving right now at LeWeb ! Thank you for coming in France.
Great stuff, Jeremiah! I watched the livestreaming while I went through your slides. Very cool!
Great information Jeremiah. Thank you once again
So good to hear from you Maria, I enjoyed meeting you in Manila, you're a luminary!
It was a pleasure, I hope to come back the next year!
Very interesting to see the anticipated areas of spend.
Great preso Jeremiah. Do you have any hard data on what is the size of the SCRM & SMM market?
Yup, it's in there, see the graphs, SCRM will have a $37k spend by the corporations who answered this survey in 2011, but only by 35% of corporations, very early market. I have more to share on this soon.
Thanks for the insightful slidedeck and as always being willing to share. From a UK perspective and I am generalising, I would say we are developing in a slightly different way. I think we are seeing a definite maturation over the last 6-9 months. The 'heady' days of just 18 months ago, when companies were happy to adopt a 'let's just give it a go and see what happens' approach has for the most part been replaced by a more considered approach, that appears to also be more inclusive – customer service, marketing, PR, sales, legal/compliance coming together to discuss. This doesn't mean these departments have risen above a need for ownership, but at least they are talking to each other.
I think what we also have is still a departmental approach where either customer service or marketing 'leads' the way, or social activities take place within a specific channel ie. customer service communities, co-creation communities. There is still a distinct lack of overall collaboration between departments beyond talking about it.
However, the nature of the discussions within the department that is leading the social activities is turning away from – what do we do, where do we start, what's listening or even what's Facebook – to more strategic issues around what organisational structure do we need to adopt for the future, as well as issues such as scalability. The conversation is moving from toolset to mindset/culture. the idea of 'openness' as your colleague Charlene Li refers to in her slidedeck – Being open without giving away the store.
From a customer service perspective, discussions are also focussing on what social channels from a resourcing perspective blend with what traditional channels ie. Twitter and LiveChat rather than Twitter and Telephony. Beyond the technology, companies are beginning to realise that a different set of skills is required for those on the 'social' frontlines.
Like much of the business world, you insist upon grafting a hodge podge of modern organization concepts onto a post-modern and chaotic environment. You ignore the fundamental issue: Folks are racing to social media to escape exactly this type of Harvard Business School “put a yoke on the beast and let it pull the plow” thinking. Fool yourself if you want. But it won't work.
Thanks Jeremiah. Very insightful post, look forward to more data on the overall market.
Thanks Rusty, but can you be more specific or give an example? I'm not sure I follow.
Thanks for supporting the idea of sharing information that you have worked to understand. It is very helpful to people to question assumptions regarding social business. Sometimes, participants in discussions are not prepared to look at the differences between social media, marketing, networking, and social business. We are just learning how to ask questions.
Sal Rasa
as usual, great, great stuff. very useful for planning.
However, I'm a bit confused on slide 22. The percentages are of % what? i.e. 2010, 76% of 140 corporate social media strategists did WHAT with brand monitoring?
As far as I know, this is one of the first 'across the board' go to market evaluations done, which is a great first industry benchmarks. If one was done deeper, it certainly wasn't made public (Open Research), at least to my knowledge.
We can start to glue together some of those thoughts Sam, as we see that the internal 2011 goals are around ROI measurement (Slide 19), then the focus on engagement measurement (on slide 20) start to really indicate how they are using it. The data points that they are trying to measure using engagement metrics.
Also, a small portion of folks are doing SCRM, and often that first use cases is tying brand monitoring data and integrating into CRM systems. The adoption rates are very small here, (only 26% in 2010 and 35%) so it's likely fewer and far in between as a use case, yet still on the pickup.
Hope that helps.
Brilliant stuff! The ROI pyramid is a favorite 😉
Thanks for openly sharing this!
Another great presentation Jeremiah! Thank you!
Thank you for adding the video Jeremiah. Loved the keynote, it was one of the best at LeWeb 2010.
Thanks Jeremiah.
Very userfull post, look forward to more data on the overall market.
It's fits within the Netherlands.
Thanks Jeremiah, the information is clear and very useful. You are doing an awesome job.
Do see the next blog post, I made the concepts more clear.
Great framing & research Jeremiah. This – and especially the ROI pyramid – will come in handy for us at onefortyh as we help companies make the smartest tool investments and select top-tier experts to guide them. Keep up the great work!
Jeremiah, As a tech start-up my team and I have been struggling to find the right mix of PPC and Social Media when promoting our products and services. Your presentation has given me (forward thinking of all) food for thought. I have forwarded your presentation to my team and ask them for their thoughts and feedback…Thanks for your concise and direct approach. I'm certain that your insights will really add direction and clarity to our converstaion, plans and strategy as we head into the new year…
Merry Christmas
Eric Pointer
@Eric_Pointer
Great survey. Seems like Social Media is finally been taken seriously. I have made a small blog post about it: http://www.onlinesalesblog.com/2011/01/this-year-social-media-is-integrated.html
Great post. I am CEO of EngageSciences and we do number 2 and 4 of your top 6 suggestions of where to invest in 2011, as we are a number 5 (a new type of SMMS vendors). At EngageSciences we rate you Jeremiah as the number 1 analyst in the social media for businesses space. Keep up the great work. You make it easier for vendors like us to get traction by educating the buyers.
Great post. I am CEO of EngageSciences and we do number 2 and 4 of your top 6 suggestions of where to invest in 2011, as we are a number 5 (a new type of SMMS vendors). At EngageSciences we rate you Jeremiah as the number 1 analyst in the social media for businesses space. Keep up the great work. You make it easier for vendors like us to get traction by educating the buyers.
Great post. I am CEO of EngageSciences and we do number 2 and 4 of your top 6 suggestions of where to invest in 2011, as we are a number 5 (a new type of SMMS vendors). At EngageSciences we rate you Jeremiah as the number 1 analyst in the social media for businesses space. Keep up the great work. You make it easier for vendors like us to get traction by educating the buyers.
Hi Jeremiah,
I used your presentation when speaking at the CIO East Africa Event (cio.co.ke) dubbed “The Year Ahead” and the feedback was remarkable to say the least. It was a half day event whose audience were the CIO’s from the leading companies in Kenya. I was the last one to speak at the event and the lunch hour chatter was social media and that was a great feeling. I got in touch with the CIO of AAR, the leading health Insurer in this region two days later and he told me that everybody he interacted with was thinking and talking social media after that event and I have of course been asked to partner on future events.
Thanks again for making this an open research. I did not edit it. I just presented it is at is but would explain the local context of where we were in comparison.
Regards,
Marvin
Jeremiah:
Great stuff. There seems to be a big gap between the “Beginner / Experimental” and the “Formalized” approaches to social by companies. Do you have a model of development or stages of maturity that occur between the two? I’m curious about the continuum and steps of transition between the two.
Thx,
Brent
Fortunately, because of the advent of modern technology business presentation will be done in a convenient way. Important matters will be tackled and presented thoroughly .
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