Corporate Communications – Power Of The People, Not Power Of The Media

Recently I posted about Starbucks and its amazing transformation – a 200% rise in profits over a three-month period – and how it appeared to be driven by a) the return of Howard Schultz (undoubtedly) and b) an emphasis on great, best-in-class, employee and customer relations. True, S-Bux has more than five million Facebook fans and 700k Twitter followers, but the reality is that the ‘conversations’ that are taking place there – while no doubt translating into some level of sales – are in no way responsible for the dramatic turnaround in Big Coffee’s fortunes.

No, they are not. But it didn’t take very long before some socmed evangelista leaps on the bandwagon and attempts to imply that they are and – more – that Howard Schultz prefers social media over other marketing channels. I was alerted to this frightening opportunism by this post on Steve Virgin’s blog, which directs you to the piece in question – here – at BrandRepublic.

The argument, which is used to engender and foment one of my least favourite discussions (‘Why do some people get it, and others don’t?’ – more of it later), is based on an interview that Schultz gave to Marketing Magazine – which you can read here.

(Sorry, dearest blog snorkellers mine, I know this is a lot to be dumping on you, late on a Wednesday afternoon, but it is important in our crusade against the spurious lionisation of social media as a tool for business benefit.)

In the interview, Mr Schultz was asked ‘Which one (marketing) channel will take precedence?” – a leading question, of ever there was one – and his answer was really quite clever. He said “I think social media is a natural exten­sion of our brand because we want to do things that are unexpected, and to speak to all sorts of people who are engaged in social media. It’s tough to measure but there is an incremental benefit to sales.”

And he’s right, there is an incremental benefit to sales – but notice he’s careful not to go overboard in terms of what that incremental benefit is. He also, tellingly, qualifies his answer by saying that social media ‘is a natural extension of (the Starbucks) brand’ – ie it is suited to the Starbucks brand, but not necessarily suited to other brands. He also, even more tellingly, doesn’t actually answer the question – he doesn’t say that social media is the channel that ‘will take precedence’. To put those words in his mouth is careless misinterpretation.

And, as promised – here’s a thought on that ‘getting it’ question. (Apparently, according to an Internet Advertising Bureau study, only a fifth of marketers see social as core to their marketing strategy.) Some brands, businesses or corporations don’t seem to ‘get it’ because they don’t need to. It is not right for their brand or business. It is not – in Mr Schultz’s words – ‘a natural extension.’ It really is as simple as that.

Corporate Communications – Trends for 2010

Following on from the piece in PR Week (issue dated January 29, probably still on sale, this week’s cover price – oooooo – £12.34, or nearest offer – or just click here) about the latest Edelman Trust Barometer (well done the Week – a genuinely useful news piece – I have high hopes of you for the future), I came across this, an article from Entrepreneur magazine.

(Before I go on, I should also say that the author of the article, one Susan Gunelius, also features regularly in Communicate Magazine’s ‘Who’s Blogging What’ section. So do I, actually, so it’s no guarantee of quality.)

Anyhoo – yesterday, btw, was Groundhog Day and the wee critter duly came out of his quarters, saw his shadow and condemned us to six more weeks’ winter. Or maybe it’s just the States. Small creature’s vermin, in any case. The article in Entrepreneur magazine provides – for discussion, obviously – 10 marketing trends for 2010. I have to say that my initial instinct was to discard it as hippy nonsense (and some of it I still do) but in the light of what Messrs Edelman had to say, I can’t help but thinking it needs a further examination, especially in terms of how some of the 10 might affect the corporate communicator.

Thinking caps on, then, chaps – eyes down, here are the trends that we should be pondering:

  • Transparency and trust are paramount (Edelman go as far as to propose that trust and transparency rank higher than product quality – I’m summarising – and that financial return is one of the least important factors in driving corporate reputation)
  • Less interruption, more enhancement and value-add – don’t go disturbing people with your messages (unless you’re Mr T and Snickers) – give them something they can use
  • People want value – sometimes as simply as making their disposable incomes go further with discounts and free stuff – give them that and they’ll love you
  • Show, don’t tell – actions speak louder than words, so demonstrate what the benefit of your stuff is – what will the audience actually get if they give you their hard-earned
  • Peace of mind is the new black – your audiences want reassurance, because they’re hurting right now, and they want to hear it in your marketing and communications messages

OK – I’ve paraphrased it, and I’ve not included all of the 10 Marketing Trends for 2010 – because I still don’t believe in the ‘global conversation’ voodoo, and I do think that there is still an outside chance that social media as marketing, comms and sales tools may still be exposed for the valueless charades that they are. (Oooops – did I say that out loud?)

(Back to Edelman briefly – their study shows that traditional media are still more highly trusted that social media, blogs or websites – so there, social media evangelists and gurus! Eh?)

Finally, and it’s not new, but maybe we can make it work this time round – ‘integrated marketing trumps standalone tactics’. This means a new era of co-operation between sales, marketing and comms, if we are to get it right.

(Less sniggering at the back, please.)

Social Media – Still, Mostly, A Mystery

Here’s a list from Communicate Magazine – a very useful list actually, of events and training courses of interest to the communications community, taking place over the coming weeks and months.

I say it’s useful, because it works well as a yardstick, with which you can measure what the medium/long-term concerns of the industry are – a lot of these events depend on the attendance of paying punters, so the organisers are clearly not going to bother with content that people are not interested in or concerned by. Creativity is always a big one, as is handling the media.

All that being said, blog snorkellers, you might also find something here that is of use to you – heaven forbid, something that you might want to stump up some of your own (or your employer’s) cash to attend. Never let it be said that I don’t give you anything.

But for the purposes of this post, I want to re-visit the email that I received from Communicate Magazine, alerting me to their list. In the body of the email – I presume to give me a flavour of the richness of content that awaited my link-clickery – they provided some 27 examples of events happening over the next three days. And of those 27 events, 17 had social media as their subject.

That’s a lot – it’s a preponderance actually, given the amount of differing issues and topics that these events might be addressing.

I’ve said it before, and I’ll say it again – there’s an entire industry grown up around the chimaerae that are business’ use of social media, and social media marketing. Some of it is well-meaning – I am sure – no, I am – but much of it is cynical profiteering. You wouldn’t provide your bank account details to a Nigerian emailster – why would you pay someone to ask the question “is effective measurement critical to effective marketing strategy”? (This is a genuine example, btw.)

This is phishing, really – caveat emptor.

(I would also like to add that not all of it is, some appears to be very well-meaning. What it does show however, in clear, sharp relief, is that – despite 2009 having been hailed as the year that business ‘got’ social media – none of the big questions (ROI, for example, or how to make social media pay) have been answered. And the tone of the conversation is now sounding ever-so-slightly desperate.)

Social Media – Best Practice Social Media Policy

This was first posted in 2010. Starbucks are still global coffee shop of choice and divide opinion in much the same way as political allegiance, ‘leave or remain’ and the debate over whether Wonder Woman is really a feminist icon and, if she is, why does she go into battle wearing wedges? And yes, I know the answer, which is ‘because she can and because she wants to’. And who’s arguing with a god?

The Coca-Cola Company are still displaying the document that I found so praiseworthy and, revisiting it, I still find it so.

Two firsts in one week – Starbucks display best practice in reinventing themselves through employee and customer care (yes, I know, I had difficulty as well) and now this.

Yes, your eyes do not deceive you. It is a document entitled ‘Online Social Media Principles’ from The Coca-Cola Company, and it is – dear blog snorkellers mine – as near to a best practice social media policy as you can get.

OK, it’s not quite draconian enough for me – I’d like to see a list of cruel and unusual punishments for those found to be in breach of the policy, but – hey – you can’t have everything.

What I particularly like about it, however, is that it’s not all evangelical. It doesn’t start from the position that social media is the biggest thing since the Bible, and that it is going to transform the world as we know it and everything in it. It is sensible, and considered, and everything I would not necessarily have expected, rightly or wrongly,  from Messrs Coca and Cola.

It also – beautifully – can be easily adapted and plagiarised. These guidelines could be applied to any business or organisation – go ahead, fill your boots. It’s also, as I’ve recommended on this blog before, something of an ’employee benefit’ – in that it advises employees on how to use social media in their personal lives as well as on company time. It demonstrates a duty of care – without ramming it down their throats.

Finally – another big thing of mine – it would sit very nicely in a crisis management plan, and provides a good basis on which to build the social media section of that plan.

It is genuinely brilliant. I’m lovin’ it.

(Oh – hold on……..)

Social Media – Taking The (3) Ps

This is what happens if you follow links. You end up confronted with stuff that you really didn’t want to see – nasty, horrible, hessian, hippy mojambo that elevates nonsense to an art form. Here is a link to it. Go ‘click’ if you dare.

It’s an ‘article’ (I’m being generous here) entitled “How to build conversations in social media using the 3 P’s (sic)’. It uses an ice-cream parlour as a metaphor (and no, dear blog snorkellers, it is not a good one). The three Ps are (ready?):

  • Passion
  • Planning
  • Promotion

(At this point, I’d like to draw a parallel withe four Ps of marketing – product, promotion, price, placement – nice solid Ps that end in an S. S for sales, chaps, S for sales. Unlike these wishy-washy, unsatisfactory and ultimately, given the media, unimplementable, wee Ps of conversation.)

Let’s ignore Passion for a moment. No-one knows what it means anyway. It’s like ‘quality’. Define ‘quality’. Anyone?

Planning – we’re told it’s important, apparently, to keep the conversation relevant to your business goals. An uncontrolled discussion is of no use. Hello? Social media = uncontrolled, I’d have thought. If I had a unit of Earth currency for every time that I’ve been laughed at by slightly disturbing social media evangelists for wanting to control the message, then I’d be driving a decent sports car by now. And if you can’t control the message – as the socialists tell me – then how can you control the conversation?

Promotion – no-one will find your conversation unless you promote it. Obviously, you’re using your conversation to promote your business. So you’re involved in promoting the promotion of your business. Why not cut out the middleman and just promote your business directly? Do traditional marketing channels require that you promote them? Does anyone advertise their advertising? No, of course not.

We’re shoehorning here people. Shoehorning. This is another example of taking the Next Big Thing and desperately trying to find a way of making it work in a commercial sense.

My current thinking is that social media does have a commercial value – the 7m plus fans of Starbucks must drink at least some coffee, and there must be incremental coffee sales to be had off of Facebook. The point is that no matter what you do, you cannot harness it, and it will bite you as soon as lick you. There are no rules, no acronyms, no strategies – it’s luck, serendipity, happenstance and chancing to create something interesting enough for people to want to view or interact with it.

It seems a hell of a gamble to put some or all (like PepsiCo – $20m diverted from the Superbowl) of your marketing budget into social media on the off-chance.

Corporate Communications – The Power Of The People

Last Wednesday, Starbucks, the coffee company, released its first quarter results. They showed a four-fold increase over the same quarter last year against, I’m sure I don’t have to tell you, a fairly appalling economic background. You can read the commentary in the New York Times for yourself.

As someone who doesn’t follow the company, I find this renaissance absolutely extraordinary. The two most recent things I recall about Starbucks is the company (falsely) being accused of not supporting American troops in the Gulf, and the furore over wasted water from ‘rinsing’ taps being left permanently ‘on’ in stores.

Obviously, and I’ve done a little light research, there has been stuff going on behind the scenes – and the return of Howard Schultz to the top job has obviously paid dividends – but I find the reasoning laid out in this post (on the Corporate Eye blog) particularly resonant.

In brief, top-line summary, it argues that the Starbucks turnaround has been driven by paying attention to employees. It cites an HR Guru, Kevin Wheeler and his Five Steps to Making Your Company Memorable:

  • Gain perspective and know yourself
  • Define the promise
  • Develop a strategy
  • Create a “buzz” to communicate your brand
  • Measure your progress

More than this – and this where I find myself violently agreeing – it’s about applying these same principles to your customer relations. What works for getting and keeping staff, works for getting and keeping punters.

And as, of course, this wouldn’t be my blog without a quick pop at social media – Starbucks appear to have achieved this dramatic success without too much Facebookishness of Twittery (they have 5.6m fans and 765k followers respectively). Have a look at their Facebook page, and gauge for yourself the quality of the conversation – visit their Twitter feed and (sorry Brad) well, it’s not exactly a marketer’s wet dream.

No – my feeling is that Starbucks has achieved this through good ol’ traditional communication, traditional face-to-face and lashings of loyalty-building.

I never though I’d see the day when Big Coffee would become a case history. An example of best practice ‘how to do it’ des nos jours.

Hats off, blog snorkellers.

Social Media – The Next Big Thing For 2010?

Meanwhile, over at the super, soaraway Sunday Business Post (of Ireland), they’ve managed to track down Piaras Kelly (PR consultant of that parish) and teased out some thoughts on what 2010 holds, social-media-wise.

Why, you may well ask, blog snorkellers mine, would I bother with this rag of an Emerald hue, and the slightly-less-than-meaningful musings of one who is, after all, selling himself in the cause of promoting his employer. (Hello there, Edelman – see, Piaras, it works!) (How does one pronounce ‘Piaras’? I’m presuming it’s like other well-known Irish names like Aoife and Siobhan and Saoirse, all of which sound a bit like ‘Bob’.)

Well, two reasons.

One, it’s because Piaras had an attack of the honesties in his commentary, and says ‘people will start to realise that there’s a bit of the Emperor’s New Clothes syndrome associated with social media’. Hallelujah, preacher.

Two, it’s because Piaras’ tips for trends in online PR (communications) in 2010 are Realtime, Lifestreaming, Location-Based Services, Augmented Reality and Segmentation. All of which may have some element of social media but, tellingly, either aren’t social media tools themselves or specifically reliant on social media to function.

I actually believe that what Piaras is trying to say – and, hey, his opinion is as valid as anyone’s – is calm down, social media hysteria has had its day.

In separate news, this post alerted me to research conducted by Cision and Don Bates of The George Washington University’s Master’s Degree Program in Strategic Public Relations (gasp), which shows that 89% of journalists polled turned to blogs for story research, 65% to social media sites (eg Facebook and LinkedIn), and 52% to microblogging services such as Twitter.

The survey then goes on to say that 84% said social media sources were “slightly less” or “much less” reliable than traditional media, and 49% said social media suffers from “lack of fact checking, verification and reporting standards.”  So they then go back to the old staple of calling the company to get the facts.

Social media may well foment a global conversation, where everyone has a voice and everything’s being discussed. But if it’s being discussed with the same depth of knowledge and regard for accuracy that characterised my discussions in the pub late last Saturday evening (yes, very nice, thanks for asking) then it’s of no use to man nor beast.

Social Media – A Definition of Compelling Content? Anyone?

Knock-knock!

Who’s there?

So shall.

So shall who?

So shall media gurus continue to be idiots ripe for poking fun at.

Tell me, why is it so easy? Currently, the case for social has holes in it that James Cameron could fly one of those big helicopter-type things out of Avatar through. Those blog snorkellers who’ve visited me before will be conversant with my take on the whole social media issue, and will know that I remain wholly unconvinced that it is a valid marketing or communications tool. And don’t get me started on the concept of ‘conversation’.

Anyway (he wrote, ever-so-wearily) today’s breath of fresh nonsense is courtesy of Mashable (hi there!) with this piece on ‘How to: take advantage of social media in your email marketing’. Nothing wrong with that per se – if you want to further abuse the database that (I hope) you’ve carefully nurtured and achieved some sort of acquiescence from, (in terms of sending them the occasional piece of marketing collateral), by giving them a link to your utterly pointless social media group – well, that’s your prerogative. Although I think you’ll see a rapid increase in ‘unsubscribes’.

No, the real issue I have with this is contained within the following paragraph, which outlines what you might provide to these hapless punters if they’re stupid enough to follow the links. (I suggest that you don the mental equivalent of a welding helmet before reading this, to avoid serious and permanent damage to your sensibilities.)

“Beyond that, create compelling content that people want to share. While a good promotion might not be as viral as a funny YouTube clip, your business’ fans will be more likely to spread the word if there’s a specific call to action. Moreover, create content that’s not necessarily a direct sell, but provides value to potential customers in the form of information that’s useful to them. Between good content and easy social media sharing options, your e-mail marketing can become a powerful weapon in growing your business.”

Ooooh, compelling content. If I had one of your splendid earth Euros for every time I’d heard that phrase, I could have repaired my spaceship weeks ago. What the f*ck is ‘compelling content’? Anyone? And how does ‘compelling content’ serve the purpose of a business, brand or organisation?

(The purpose of which, contrary to what Richard Lambert might believe ‘is to make money and everything else must be judged against that criterion’.)

And it gets worse. A good promotion is not going to be as viral as a funny YouTube clip – of course it isn’t. The only things that actually achieve true viral status are either video clips of people falling off skateboards and injuring themselves severely, or adverts featuring someone in a gorilla suit, drumming along to Phil Collins, which is so far off brand message as to be ultimately pointless – in terms of product sales. (As an example – a Guinness ad, called ‘Surfers’, won the Big Gold Bastard advertising award (I forget what it was actually called) for being brilliant and popular. Did it sell any beer? No.)

Then. Create content that’s not a direct sell, but provides value to potential customers. Why? Why would you provide value to potential customers (for the hard of thinking, these are people who have not bought from you and may never do so) without some sort of link to your product or service (which constitutes, to my mind, a ‘direct sell’)?

Apparently, between good content and sharing options, your email marketing can become a powerful weapon. Possibly. Or it could transform your perfectly good business, selling products or services, into an entertainment portal, frequented by many, but delivering no value to you whatsoever.

And the moral of this rant?

Email marketing is a good thing. It has a role to play – but don’t be tempted to abuse your database or you’ll lose it – and I would imagine it took you time, effort and investment to build it up. Social media is not (necessarily) a good thing – it is over-hyped and over-valued. ‘Compelling content’ is a buzz phrase – no-one actually knows what compelling content is – most examples of ‘compelling content’ have been generated through pure luck and happenstance. Social media does not, generally, contain compelling content – or rather, it’s only compelling to those who have a specific interest in it. It does not grow your business.

Ultimately, social media marketing, if it exists, is not the same as digital marketing. Social media is simply a small part of the whole digital piece and, potentially and currently, one that can be sidelined.

Public Relations – Making News In The Digital Era – Or Any Era

Came across this today, which is a post containing ‘seven strategic steps’ to making news in the digital era. For ease, dear blog snorkellers, I reproduce them here. These steps, according to their author – a communicator of some note – focus the ‘news making’ process to ‘shed old-style communications practices, like press releases, that no longer work’ in order to ‘begin making your own news online in a compelling manner to engage audiences’.

Here they are:

  • Advocate change
  • Avoid compulsively marketing and promoting
  • Start listening and engaging in conversations
  • Embrace storytelling
  • Use plain language
  • Reach out to fewer to achieve more
  • Become the credible voice and face
  • Don’t be afraid to try something new

Initially, I looked at these and thought – here we go again – another set of Utopian guidelines for engaging in the global conversation, where everything goes with the flow and there are no real goals, objectives and outputs; where you’re not supposed to expect anything in return and virtue is its own reward. Not new-style communications, more the absolute antithesis of what lies at the heart of professional business communications.

Then I looked at them again, and realised that these steps are no more or less than a beginner’s guide to media relations. In point of fact, the press release has been dead for 10 years, and these steps are how you develop a relationship with your sector journalists (print, broadcast and online – but mostly print). These steps are your route map to a one-on-one live encounter with a hack who you hope is going to give your business/brand/organisation a good hearing. These are the seven strategic steps to running your conversation over lunch.

As such, they’re very useful.

Social Media – Think Of A Topic, Any Topic……

Today, blog snorkellers mine, we roll our eyes skywards in reaction to the latest piece of misengendered and spurious horsehit to grace the pages of the ‘industry’s bible’, the toilet-tissue-esque PRWeek. (Hello, PRWeek, hope you’re well.) This week’s issue has a story which you can find here, on the Week’s website, entitled “Comms Chiefs Predict First ‘Internet Election’ in The UK” (their inverted commas, not mine.)

All well and good, you might say, heaving a sigh of relief that the ‘bible’ has refrained from printing pictures of drunken consultants baring their bottoms out of hotel bedroom windows following yet another product launch and nine-hour lunch.

Unfortunately though, it’s neither well, nor good. Let’s face it, the next general election is not going to be an internet election, not by any stretch of the imagination, if only for the simple reason that only 59% of the UK population have internet access. The first shots in this election have already been fired and they were fired via outdoor. No, I’m not going to ignore the government’s Twitter Czar and the fact that social media and the wider web will be addenda to the main marketing agenda, but it’s not going to be an internet election. IT’S NOT.

And guess what? When you read the ‘story’ in the ‘bible’, you find that the ‘Comms Chiefs’ of the headline, who have, apparently, predicted the first ‘internet election’, have actually DONE NO SUCH THING. In fact, they could hardly be less predictory.

Once again, it’s a simple case of being so over-awed by social media, and so sucked up by the hype, as to try and shoehorn the miserable stuff into anything and everything that has even the smallest communication element.

Once and for all. The Emperor has no clothes on. Social media is not the dawn of a brave new world. It will not replace (although it may add to) more traditional and more direct comms tools. Social media does not affect everyone. Its coverage is by no means blanket. Some people don’t understand it, some people don’t like it. Not everything has to have, or needs, or requires, a social media element.

So please, don’t try to roll everything in social media in the hope that some of it will stick. And don’t make baseless claims.

Thanks.