image description

The Business of Social

Managing in the Age of the Empowered Customer

Posted by Julien K. on November 30, 2010 | Comment (6)

Does anyone remember the song “United Breaks Guitar” from Dave Carroll? This is the story of a guitar player who’s flying with United Airlines. His guitar is broken by agents on the ground, and United Airlines doesn’t want to pay for the damages. The artist creates a song depicting the poor quality of customer service at United. The song is uploaded on YouTube and becomes an instant hit…within 4 days of the song going online, United’s stock price falls 10%, allegedly costing shareholders a $180M. After months of fruitless negotiations and 3 songs being released on YouTube, United’s management finally decided to reimburse the passenger.

This is just one out of a dozen of examples of companies struggling to understand the impact of social media in our day to day lives. Thriving companies are just beginning to measure the impact of social platforms when analyzing behaviors of prospects and learning or shaping customers opinions. And companies who don’t feel the need to decrypt new communication patterns and leverage this knowledge may lack with time some competitive edge…

On December 2nd, at noon, the Center for Digital Strategies is very fortunate to host Josh Bernoff, Senior VP at Forrester, (also co-author of Groundswell and Empowered). Josh will explain not only how companies should manage their customer relations, but also how customers and empowered workers are influencing these companies – sometimes even by re-defining their marketing strategy. Enjoy!
 

United Breaks Guitars

Experience the Dave Caroll YouTube post.



19 comments so far

  • .(JavaScript must be enabled to view this email address) Nov 15, 2010

    I’m looking forward to the panel!  It does seem as though one of the biggest challenges is how to quantitatively measure the success of a social media campaign, and consequently, how to get executives to support putting resources behind one.  Can’t wait to hear what the pros think.

  • .(JavaScript must be enabled to view this email address) Nov 17, 2010

    Jon Stewart’s Rally to Restore Sanity:

    2 million viewers on Comedy Central from noon to 3pm (30 Oct); 570k live video streams served up on Wed & mobile devices; 120k Tweets, 50k 4Square check-ins and 35k Flickr photos.  250k at event. 

    I feel that the one of the points of Social Media is the complete change in the advertising model.  Media 1.0 was about the viewer being the product for the customer aka the advertiser.  The real time rankings and ratings capability of the Media 2.0 (or other name) is about the viewer being the customer.  Advertising cannot yell loud enough or with enough authority to control the message.  Of course, traditional advertising can capture the 80% but not the 20% that they desire as they’ll be communicating with each other - directly.

    Another example might be that Blockbuster is still trying to figure out how to measure the impact of Netflik.

  • .(JavaScript must be enabled to view this email address) Dec 4, 2010

    I thought the talk was great and Josh covered issues in social that are less talked about, particularly the need to get buy in from employees, management, and technology in order to create an effective social media strategy.

    A positive example cited in the talk was Best Buy and how its social strategy helps them respond to customers effectively.  Here’s a brief article about the CEO of Best Buy and his take on using social media and how you need to let go of some control in order to engage (from BusinessWeek): http://www.businessweek.com/magazine/content/10_50/b4207104653437.htm

  • .(JavaScript must be enabled to view this email address) Dec 5, 2010

    I agree with what Josh said, that a company is not only about a relationship with partners and customers, but also create a good relationship with employees so that productivity remains always awake.

  • .(JavaScript must be enabled to view this email address) Dec 7, 2010

    Corporations still believe nowadays too often that since they survived a past crisis, they will also survive the future ones without having to “change”. They often realize too late (as in the case of BP) that social media can also be a huge opportunity. It not just about interacting with Gen Y, it is about monitoring, building and adjusting your brand image, informing in the right time frame, engaging customers, providing them with a better service and further value added solutions. Moreover proper used viral marketing campaigns can create a stronger impact that could be reached with the similar spending amount within the “old” print marketing. So, I am looking forward how corporations will handle it in the future.

  • .(JavaScript must be enabled to view this email address) Dec 9, 2010

    Your post has shown an effective live example on how the social media can play a big role in making and unmaking of a business.  Still many big brands refuse to understand the importance of social media. But some wise ones among them are building their brand through social media.

  • .(JavaScript must be enabled to view this email address) Dec 9, 2010

    Viral Youtube videos.  The next VI Lenin will be organizing his Bolsheviks using youtube.  Should be pretty soon too.  I wonder how long it took that video to go viral.

  • .(JavaScript must be enabled to view this email address) Dec 9, 2010

    I love the fact that you can make a funny* video on youtube and drop a business’s stock by 10%. That’s sweet. Next stop Halliburton then Wal Mart, and finally McDonalds and Burger King.

  • .(JavaScript must be enabled to view this email address) Feb 3, 2011

    Sara, you completed two spectacular interviews, thank you!

    http://www.youtube.com/watch?v=AIJv5wvZC2Q

    http://www.youtube.com/watch?v=L6kVp9HLlrY

    John’s is especially relevant to the Center’s focus and research efforts.

  • .(JavaScript must be enabled to view this email address) Feb 7, 2011

    It should not be lost on the panel or interested parties just how easy it is for literally to begin an online marketing business and find some measure of success

    Barry (a.k.a. Onefineham)


    PS. Just a thought, it would be advisable to change your comment form to prevent email addresses from being exposed - it makes it easy for spammers to raid your site for addresses.

  • .(JavaScript must be enabled to view this email address) Feb 7, 2011

    Thank you Barry for the advisement, we’ve done exactly that.

  • .(JavaScript must be enabled to view this email address) Feb 24, 2011

    Very interesting Article!!

    The social media takes a place more and more importance. That is why, marketers have to adopt new strategy and apply these new tools.

     

  • .(JavaScript must be enabled to view this email address) Apr 14, 2011

    Thank you for this well written and useful post

  • .(JavaScript must be enabled to view this email address) Jun 16, 2011

    very interesting interviews

  • .(JavaScript must be enabled to view this email address) Jun 27, 2011

    Thanks for sharing this information. This is a good reference in The Business of Social Blog Overview, but would you please describe, how do you do your study regarding this article?

    Regards,
    Richard Denzer
    Sketza.com

  • .(JavaScript must be enabled to view this email address) Jun 27, 2011

    Hello Richard - you can see how we do all of our study on this subject here: http://www.tuck.dartmouth.edu/digital/programs/btis/overview/

    Thank you for the comment.

  • .(JavaScript must be enabled to view this email address) Jul 7, 2011

    Well written and informative post on social media world thanks for the knowledge feed.

  • .(JavaScript must be enabled to view this email address) Jul 14, 2011

    About the Old Spice Guy, in this commercial you see a different actor, in a very bad taste commercial. I think the viral videos with Mustafa were much better. If you want to check the video go to:
    http://buzzpring.com/2011/04/old-spice-nuevo-comercial/

  • .(JavaScript must be enabled to view this email address) Aug 30, 2012

    A great panel discussion.

Post a Comment

Thank you for visiting. The allotted timeframe for comments has closed.