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Social media is not corporate media

By | July 31, 2011, 2:13pm PDT

Summary: Corporations are being pressured by legions of “experts” to exploit social media as a lucrative sales and marketing channel. This will destroy social media…

There’s a gold rush going on as legions of self-proclaimed experts are working with corporations to help them monetize the potential riches in exploiting social media.

I look at the links and articles that social media “experts” are sharing all day long on Twitter, Facebook, etc, and it all boils down to this type of message: “Here are ways to turn social media into a lucrative corporate marketing/sales channel.”

There are lots of services such as Klout, etc, that help corporations identify the people in social networks that should be targeted as part of online marketing programs. And there are hundreds of books written about how corporations can and should use social media to boost sales, profits, etc.

But social media is not corporate media. This is a very important distinction.

Social media is useful to businesses because it offers what Shel Israel and Robert Scoble call “naked conversations” you can listen-in to customers when previously you couldn’t except through expensive market research focus groups.

But if corporations try to turn social media into a corporate sales or marketing channel then they risk losing the naked conversations, and the insight into customer behaviors — it’s no longer social media but some form of mutant corporate media.

I like the approach of the Altimeter Group, a business consulting firm founded by Charlene Li, which emphasizes listening. [Please see: Altimeter Group and the syndrome of the deaf corporation...]

Listening is a rare commodity in today’s world where interruptions come every few seconds and distractions are just a click away.

Listening is important to conversations, yet most people wait to speak rather than listen to what’s being said. (There are lessons here for businesses.)

Listening to social media also preserves the authenticity of what’s being said. If people have to look over their shoulder to watch what they say or share, then it will be harder to be authentic. And if their social networks become swamped with corporate media then that will change the original nature of their communities — their involvement will be lessened.

But there is a very strong push by the legions of self-styled social media experts to persuade corporations to turn social media into a corporate sales channel — with the warning that if they don’t do it their competitors will. And their competitors certainly will.

Which means social media as we know it will be changed as corporations rush to co-opt it to their agenda.

Yes, some corporations are using a light touch but the pressure is on to do more, far more involvement, more engagement, and to intercept conversations. This will damage the fundamental integrity of social media as we know it.

Corporations will try to engage too strongly, or in inappropriate ways; they will corrupt the very influencers that they covet through poorly thought-out marketing schemes; and social media will blend into a mutant form of corporate media.

Social media will survive but not in the same forms or in the same places that we find it today. People will react by moving their conversations into less visible corners of the Internet, into private groups/networks that offer a far higher quality of social interaction, more intimate, and more importantly — sheltered from the ever vigilant and prying corporate eye.

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Topics

Tom Foremski reports on the business and culture of Silicon Valley at the intersection of technology and media.

Disclosure

Tom Foremski

Tom Foremski is the editor and publisher of Silicon Valley Watcher and Silicon Valley Watch. Tibco Software is an advertiser.

Biography

Tom Foremski

In May 2004, Tom Foremski became the first journalist to leave a major newspaper, the Financial Times, to make a living as a full-time journalist blogger. He writes the popular news blog Silicon Valley Watcher--reporting on the business of Silicon Valley.

Tom arrived in San Francisco in 1984, and has covered US technology markets for leading computer journals around the world.

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gellipollen 5th Jan
Network Marketing is a funny industry that's simultaneously full of almost religious network marketing training dogma, but at the same time - it's got some of the most brilliant marketing tactics in the entire world of business. When you're first getting started out in this industry, you could luck out and have a sponsor that knows how to train you in modern day tactics, or you could be sponsored by someone that has never created any kind of real wealth in their entire life.

Many people who begin a network marketing business forget the importance of the word 'network'. The path to success in this business model is to build a sales organisation and you receive commissions for referring people to the business opportunity. There are different terms for this role but the one that is widely understood is Sponsor. You are sponsoring people into the business opportunity.

Most network marketers quit, except for the leaders, who start looking for additional training and education. Hungry for success, members of the latter group end up easy prey for the current network marketing training scams.

Unfortunately, most MLM companies' network marketing training programs consist of barely motivational meetings on conference calls. Most mlm companies fail to teach their distributors the basics of marketing and communications skills. This is considered one of the major reasons for the high rate of failure in multi-level marketing programs.


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large IT firms turn things like SOA, virtualization, cloud, etc into a lucrative corporate marketing/sales channel.
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Corporations are being pressured by legions of ???experts??? to exploit social media as learn violin online a lucrative sales and marketing channel. This will destroy social media???There???s a gold rush going on as legions of self-proclaimed experts are working with corporations to glaucoma eyes drops help them monetize the potential riches in exploiting social media.

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Spot on
sapountzis 31st Jul
Tom you are spot on, this is to me a reason most companies today spend significant resources to build up their own channels, rather than join existing conversations
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Right on Tom, listening is imperative and what we are finding on social media is that some companies are utilizing it like traditional media. Ex, let me hand over the social media strategy to the youngest person in the company and have them post 2 - 3 times a day, so wrong. I say, get a stakeholder involved to post and engage
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@@ConvoCounts I'm confused by your suggestion. If a stakeholder was put in charge of the company's social media, wouldn't they also just be posting 2-3 times a day? The reason to have a corporate presence online is to reach as many followers as possible, so even though the medium allows for individual responses to each customer, it doesn't make any sense to do so. Engaging the customers individually means you can only reach a few at a time, which isn't an effective or time-efficient advertising strategy for any (every) company that wants to reach a wide audience. So, although Tom brings up good counterpoints in the article, I think the traditional corporate overuse of social media is sadly the most feasible option.
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you have a good point, there is often a lack of listening in social media. However, it is not only on twitter and facebook. Both networks do not allow you to stop people from talking, however most of the time noone is really listening. In the case of Twitter there is also this perverted tendency to use the media a merely a communication protocol by tweeting a predefined text as an entry to a contests, sending promo codes, etc. I don;t think it's necessarily a bad thing but I do know for a fact that there is a lot more that marketing pros can do with Twitter than just use it as a very low cost advertising channel.
What does amaze me however is the fact that there are still companies out there who have blogs not allowing for comments. Churning out dung is easy and I highly doubt that this is the best use of any employees time. Only the self proclaimed PR guru didn't really know how a company can use a blog as a client engagement platform. So that one ended up being a advertising and sales channel too ... and that's a damn shame if I may say so!
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Agreed
rcritchett 1st Aug
Pretty interesting stuff, Tom. I think you're right. It's no secret that the data, SEO and traditional media guys (and others) are coming into social thinking it's the same thing when it's something completely the converse. Way brand new. People are still wrapping their heads around it and it's going to take more time for folks to realize that the best way for them to get results, is to shut up, listen a bit, and get into people's lives.

But then again, they'll say stuff like "well, what dollar return does engaging with a thousand people really get me?"

*sigh* Do we have to keep explaining to these people that building trust points with your target market has always been business practical?

So, their dollar results effect their stock prices, (for major corps) ok. Then that means, they have a bigger problem, and should consider reworking systems to align with the social revolution. It's easy for guys like us to see what's going on here, and to capitalize on it. If only it was as easy for everyone else. wink Great post man.
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penny wise, pound foolish
shryko 1st Aug
The focus on the nickels and dimes... the specific value of everything in terms of dollars... has become a distraction from the value of the brand, and in many ways, actually reduces the real value.
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Wheat from Chaff 2.0
RIMMAN.Larry@... 1st Aug
Biggest problem is what is real and what is staged- and if it matters. If organizations want to set or start a trend, all they have to do is plant threads that others will participate in and subsequently "turn the tide" of the discussion if they don't like where it's heading... and don't think for a minute that doesn't happen. It's been happening in YELP for a few years, which is why many readers and restaurant owners alike have a hard time with determining the value of the content. Competition can have their friends and family members bomb the reputation of another's business and praise their own and this can AND HAS gone back and forth for months on end.
The same is true with other businesses in any sector- all it takes is a well orchestrated plan with numerous non-addresses submitting content and you become a "Beauty" or a "Beast" in a few simple steps.
EVEN IF it doesn't go this far, comments submitted to on-line sources are either from people who had a REALLY wonderful or REALLY horrible experience, you don't hear from anyone who was marginally satisfied or displeased, so what is the real value of what you get? And lots of folks (believe it or not =) ) STILL aren't engaged when it comes to some of this social media stuff... I've spoken to a wide range of people in the 40+ age group who STILL don't trust it because of some of the horror stories that get published... and I've spoken to many 30- folks who use it fro their desired purposes and won't waste their time providing input to corporate "hacks". So unless you get solid demographics with the content/input provided, you have to determine HOW to go about determining what is wheat and what is chaff.
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Good points but some caveats
teknofin 1st Aug
Tom -- good post. I can't disagree with anything you've said -- companies still think control, don't listen enough, and there sure are some smarmy, self-proclaimed experts out there who somehow get companies to pay them.

All that said, in the b2b and b2g worlds I live in, projects need to demonstrate some kind of quantifiable ROI to get funded. Period. Naked conversations that don't lead to anything won't cut it. My engagements are always more quality than quantity plays, so that no doubt helps.

If a client can publish truly interesting content on a regular basis (with my help of course), express an opinion, respond to comments and build an audience, there's nothing wrong with trying to appropriately monetize that audience.

Some successful tactics my agency has employed include off-line events, registration required content and social media mapping that moves a prospect through the sales tunnel.
Nice, thoughtful article. Social media should not be manipulated for monetization goals; however, positive ROI can be organic if the rules of authentic engagement are followed. Listening should be the first step of any social media strategy. Social media channels are tools to build relationships and the focus should be on providing value to the community and not on some grandiose vision of directly driving sales. Zig Ziglar said it best, "You can get everything in life you want if you will just help enough other people get what they want." How do you know what they want if you don't listen?! Glad to see you quoted Charlene Li.
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What I think is great is how Advertising Agencies, Public Relations firms and Advertisers are upset because some opportunistic business people/companies are demonstrating how social media can be a powerful business tool if leveraged properly. Ad agencies, PR firms etc are all having to play catch up because some one has been eating their lunch.

I've been wondering for years how long corporate America would pay ad firm's crazy fees before something came along that truly engaged customers directly and could be conducted internally instead of outsourced.

Whether "listening" or providing promotional "incentives" the fact is consumers are paying attention to social media. Corporate America no longer controls the 'message' (tripadvisor, yelp, foursquare, google places, youtube, etc) so social media is the offensive weapon to engage those unhappy consumers where ever they post and convert them to advocates. To not consider social media as part of corporate media strategy is a fatal mistake that will prove out over the coming months/years.

If you want a example of a multi-billion dollar business born of social media promotions just check out ufc.com. There are plenty of other great examples of companies leveraging social media internally and creating measurable success. Expect those "self-proclaimed experts" to continue their rampage on your clients. Mu-ha-ha-ha!!!!
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@dirk2140 While the UFC was a mult-billion dollar business prior to implementing social media campaigns into it's marketing strategy, they have definitely hit the mark by recently airing undercard fights of PPV events on Facebook. All it takes is you "liking" the UFC fanpage and with that both parties win. You get to see some free fights and the UFC expands their brand.
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Tom
there is a push from our company to utilize social media for internal communications. I would be interested on your comments regarding this.
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If commercial enterprises venture into the social media areas then what they have been observing as sales trends, user trends etc will become biased by the corporate intrusion and the stats gleaned by monitoring the social media will be meaningless as a guide to that corp's future direction of products. It will also be seen as unwanted advertising and SM users will move away negating any corp's intelligence gained from SM.
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RE: Social media is not corporate media
balasubramanian.g 2nd Aug
Can there be a method if one extends his imagination. Privacy is integral to the integrity of the customer information, feed back. Keeping the sanctity of the social media but filtering only the required information through algorithms after analyzing patterns and without intruding into any one?s privacy.
I think the answer is there, if those familiar with the domain explore.
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Network Marketing is a funny industry that's simultaneously full of almost religious network marketing training dogma, but at the same time - it's got some of the most brilliant marketing tactics in the entire world of business. When you're first getting started out in this industry, you could luck out and have a sponsor that knows how to train you in modern day tactics, or you could be sponsored by someone that has never created any kind of real wealth in their entire life.

Many people who begin a network marketing business forget the importance of the word 'network'. The path to success in this business model is to build a sales organisation and you receive commissions for referring people to the business opportunity. There are different terms for this role but the one that is widely understood is Sponsor. You are sponsoring people into the business opportunity.

Most network marketers quit, except for the leaders, who start looking for additional training and education. Hungry for success, members of the latter group end up easy prey for the current network marketing training scams.

Unfortunately, most MLM companies' network marketing training programs consist of barely motivational meetings on conference calls. Most mlm companies fail to teach their distributors the basics of marketing and communications skills. This is considered one of the major reasons for the high rate of failure in multi-level marketing programs.


There are many things to take into consideration when trying to find out what is the best network marketing company. While some people may consider their company the best because they have a great pay plan, others might consider theirs the best because their company made the most money last year. Some people might say they have the best MLM company because they have the tastiest products, while others will say that their company is the best, simple because they were told to say that and they are really looking for a mlm business opportunities

lastly The best network marketing company for you is one that has several characteristics. Having said that not all companies in the network marketing industry can be the best. That doesn't mean the rest are bad. It just means that to be the best for you a network marketing company must have the 4 elements Which I reveal to you.

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