New study: Corporate reputation more important than ever

If people don’t like your company, they’re not going to buy from you.

In a new study by my old employer, Weber Shandwick, 69% of participants aid they frequently or regularly discuss how they fell about a product they bought. 70% said they avoid buying a product if they don’t like the company that makes it. And, no surprise, 88% said that word of mouth is still most  influences their opinion of a company.

More can be found here on the Forbes blog.

My take from the study: marketing (brand) and corporate communications (reputation) need to be one, or at least work a whole lot more closely than these organizations do in most large companies.

The 90-30 conundrum

Approximately 90 percent of people who participated in Foghound’s recent Corporate Rebel Study said that they agreed that involving rebels more helps improve corporate culture and develop a more innovative company.

BUT only 34 percent percent are “very satisfied” with rebels’ ability to provide that value inside their organizations.

Companies want these rebels’ fresh thinking but many corporate cultures are getting in the way of that happening.   For while companies want to innovate the study found that they are uncomfortable when people challenge the status quo, question executive decisions, go around the rules, and ask too many questions.

If changing quickly to  tap into marketing opportunities and challenges is more important than ever, perhaps it’s time to change what our organizations value, model new behaviors as leaders, and teach rebels how to share their ideas in ways that trigger conversations vs. provoking anger.

I’ll be blogging more in the coming weeks about rebels.  Please feel free to share this research in your organizations.  I look forward to hearing more about your experiences in creating organizations where change agents are valued vs. viewed as trouble makers.

Research: women in male fields not seen as competent, likable

I’m writing a rather important speech for an executive to give in Washington, D.C. next week about women in innovation and came across this rather alarming piece of research by Madeline Heilman, professor or organizational development at New York University.

The study found that:

  • People viewed women in male-type occupations as less competent than men, unless there is concrete, visible performance information to prove otherwise.
  • When evidence showed that the women were as successful and competent as the men, they faced another challenge: people said the women were unlikable. People like men more than women in male-dominated fields like engineering.
  • Both competence and likability play a role in workplace success and career advancement. So women in science and technology fields have a double whammy to overcome: prove they know their stuff and overcome biases that they are cold, pushy, unfeeling and generally unlikable.

Other research has found that women in the STEM fields (science, technology, engineering, math) drop out of their fields mid-career, about 10 years into it. No wonder, with such ingrained biases among both men and women. Who wants to get up and go to work in that environment?

Heilman’s research also found that when people were told that the woman demonstrated “communal” behavior, e.g.,  she encourages cooperation and fosters a sense of belonging for her employees, people began liking her.  Similarly if people learned the woman was a mother, they liked her more.

Women have made progress, but not enough. The guys may have unfounded biases about women in these male-dominated fields, but we working women should know better, and be open and supportive of women who are still breaking the glass ceiling and lab walls.

Social media measurement: three good questions

I had the pleasure this morning of interviewing Chris Frank, vice president of global marketplace insights for American Express, on his advice on how to measure and glean insights from social media. Chris’ two wise mantras:   “less counting, more evaluating” and “focus less on the means (“the buzz’) and more on the ends (outcomes like changing perceptions, intention and action.)

When you’re looking at your social media data, Chris suggests asking smart question to evalauate what’s going on and what it means to your strategy. Three questions I found especially interesting when looking at the data:

  1. What surprised us?
  2. So what?  What should we think about doing differently based on what the data shows.
  3. What is our intent with social media?  What does the data tell us about how well we’re doing (or not) in pursuit of that intent?

New GenY study: lead with ideas

Who cares what your title is, advertisements notify but don’t convince, leadership is earned with ideas, celebrity endorsements are dumb, and an more exciting workplace is more a reason to switch jobs than more money or benefits.

These are some of the highlights of  new study about Gen Y, or Millenials, those people born 1979- 1995, released today by Mr Youth and market research firm Intrepid. You can download the study here.

Some things I found most interesting:

  • Value ideas over titles, experience: This new generation of talent could care less about how big your title or how long you’ve held a job. Seniority and tenure are dirty words. They believe that authority and respect is earned and that people with the best ideas should rise to the top. For leaders this means inspiring people with ideas that are relevant, exciting, forward thinking.  Incremental business-as–usual goals won’t engage or retain this group.
  • To attract and keep talent we need to create organizations that are stimulating, challenging, friendly, fun: The number one reason Millenials change jobs is “a need for change,” (37%), not a bigger title, paycheck or benefits.
  • I want a say: Most of those surveyed said they want to be part of team that makes decisions on a consensus basis. This was much higher than making individual decisions, or taking decisions from others.

Social media as predictive forecasting tool

As the interest heats up in understanding the business value of social media, there’s an interesting report out from HP Labs that shows the predictive forecasting potential of Twitter.

Sitaram Asur and Beranardo Huberman built two models to predict the box office sales of movies based on Twitter. The model for predicting first weekend box office sales was 97.3 percent accuraate and the prediction for second weekend performance was 94 percent accurate.

From meetings I’ve had recently with marketing scientists I’m convinced that we’ll be seeing many more mathematical models that will not only help quantitatively measure the return on social media engagement but will also link those measures to business metrics like sales, trial, leads.

MIT’s “Technology Review” article about these Twitter models raises an interesting question:

Can they change the demand for their film, product or service buy directly influencing the rate at which people tweet about it? In other words, can they change the future that tweeters predict?

To download the “Predicting the Future with Social Media” study click here.

18 ways to use social for business

Social CRM chartJPEG

Jeremiah Owang has just published a solid report on how to use social techniques and technologies for sales, customer service, CRM, innovation. In other-words, all those critical functions that help a company build stronger relationships with customers.  I found his assessment of the market readiness of CRM use cases, based on market demand and tech maturity, to be especially insightful. Here’s the report.

Social media science: what triggers sharing, retweeting

Dan Zarrella,  a social media and viral scientist, has done some interesting work in analyzing social media data to determine what triggers sharing.

In one study he analyzed Twitter data to find out what makes some Tweets more viral than others. The full “Science of Retweeting” report can be found here. Some of the things I found most interesting.:

  • Asking people to retweet works, especially when you use the  word “please”
  • People like to retweet links to blog posts.
  • Lists are big (something I have found in analyzing blog posts, as well). Approximately 69 percent of tweets that are retweeted contain links. (Maybe further proving that Twitter is a giant distribution engine, more than a social network.)
  • The peak hour for retweets is 1 p.m. EST

Video sharing Facebook TwitterJPEG

In another recent study Dan found that stories with the word “video” were shared more than the average story on Facebook, and less than average story on Twitter, implying that Facebook may be a better platform than Twitter for getting videos to go viral.

The viral effect: positive, awe-inspiring stories

cause Ripple

Just what causes a story to go viral?  New York Times Science writer John Tierney reports today on a new in-depth University of Pennsylvania study  that found:

  • People share articles that inspire awe
  • Positive stores are more likely to be shared than negative
  • More emotional stories are emailed more often
  • Stories about anxiety travel, but no where close to those that inspire awe

Having done my own studies on what people like to share and the power of meaning making (Beyond Buzz, 2007), I found this new study  validating and insightful — especially learning more about what the heck is awe inspiring.

The UPenn researchers used two criteria for an “awe inspiring story”: the scale of the story is large and it requires the reader to see the world in a different way.

The researchers also found that people like to share awe-inspiring stories not to impress others, but to realize a type of “emotional communion.”

Emotion in general leads to transmission, and awe is a strong emotion,” said Dr. Jonah Berger of UPenn. ” If I’ve just read this story that changes the way I understand the world and myself, I want to talk to others about what it means. I want to proselytize and share the feeling of awe. If you read the article and feel the same emotion, it will bring us closer together.”

One of my most popular blog posts over the past few years  had nothing to do with marketing but was about an awe-inspiring 18 hours in an urban hospital emergency room. The resulting comments, calls and emails created an extraordinary emotional communion with friends and strangers.

Three weeks ago I finished writing a new book about an awe-inspiring journey. It was the most fulfilling writing I’ve ever done, and it’s the marketing project I’m most eager to get moving. Why?  There’s nothing more satisfying than emotional communion, and the buzz that goes with it.

Good lessons for all we marketers who  too often rely on a heavy-on-the-logic, light-on-the- emotion style of business communications.  To realize the powerful possibilities of social media our content needs to be emotional and show what’s possible.

Nonprofit marketing recipe: Hope + individual stories + progress

growthTree

Hopefulness and individual stories of transformation and progress. Those are the ingredients for successful marketing, particularly for non-profits and humanitarian organizations, writes New York Times columnist Nicholas Kristof  in the Outside magazine article  “How to Save the World and Influence People.”

The lessons,  derived from numerous social psychology studies as well as Kristof’s personal experiences in writing about global atrocities, are certainly compelling for NGOs. I  think these ingredients are also relevant and often overlooked for for-profit organizations.  Here’s what triggers action:

  • Hopefulness, aspirations, possibilities: we respond to stories of hope  and transformation, not stories and statistics of desperation.  Making people feel guilty or overwhelming them with statistics of despair rarely moves people to action — or donating money. Showing them what’s possible does. Look to profile heroes, not victims in marketing efforts. “All the psychological research shows that we are moved not by statistics but by fresh, wet tears, with a bit of hope glistening below,” says Kristof.
  • Individuals, not groups: people  want to help  individuals not causes.  We respond to stories about a person, not a group. “As we all know,” writes Kristof, “one death is a tragedy, a million deaths is a statistic.”   Kristof shares the example of how early movements against apartheid focused in freeing political prisoners without much success. But when the organizers refocused on one individual — Free Mandela! –  it resonated far more widely. There was a face on the movement. Paul Slovic, psychology professor at University of Oregon, has found that our empathy wanes when the number of individuals profiled reaches just two.
  • Success makes people feel good: Knowing that our money is working makes us  feel good about giving. (And we do good things, say the social scientists, because it makes us feel good.)  To keep people engaged, show progress and share stories of triumph. (Making people feel good that their donations are working.) Research also shows that people want to save a high proportion of people, not just a large number of lives. One experiment found that people were far more willing to pay for a water treatment facility to save 4,500 lives in a refugee camp with 11,000 people than they were to save lives of 4,500 people with a camp of  250,000 people. Go figure.

For marketers, the lesson is clear: find stories about individuals overcoming adversity and succeeding in ways they never thought possible — and make sure your donors  feel fortunate to be a part in that person’s success. This, says Kristof and Professor Slovic, are the often overlooked ingredients to  to non-profit marketing success.

While the tragedy in Haiti today requires no marketing to nudge people to help. Six months or a year from now, aids organizations will have to work harder to raise money. Let us hope stories of individuals who rose from the rubble to build a new Haiti are plentiful.

This convinces social media skeptics

Need help convincing your boss that social media is a major phenomenon deserving budgets, approval and buy-in? Show him or her this live data counter developed by Gary Hayes that tracks  things like number of new blogs posts, members added to Facebook, videos watched on YouTube, downloaded iPhone apps — EVERY SECOND.

Here’s a visual of just five minutes of data. The live feed is much more compelling.

I recommended that a client use it to open her presentation to  the executive members of one of the biggest companies in the world. It got a big “wow” and opened minds to the need to  do business differently.

Social Media CountsJPEG

Employee attitude matters more than advertising

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Companies spend so much on acquiring new customers, hiring the best talent possible, taking chances on innovative marketing concepts. But engaging employees often seems to a stepchild, loved, but in a less passionate way.

Given the influence of employees on customer loyalty, maybe the priorities need to be altered. At yesterday’s Conference Board conference Engelina Jaspers, HP’s vice president of corporate marketing, shared three stats that can help focus management’s attention on employee engagement:

  1. 68 % of customers leave a company because of poor employee attitude
  2. 41% of customers are loyal because of good employee attitude
  3. 70% of brand perception determined by experiences with people from the company

Brian Ray of McDonald’s is quantifying the value of committed employees in revenue and profitability for McDonald’s owners/operators. (85% of McDonald’s are franchises), and has just completed an project to create an employee value proposition.

(So interesting that every company seems to have a customer value proposition and mission, but not so for employees.)

To develop this “EVP” McDonald’s spent just $65,000 and asked two simple questions, which got an amazing 79% response rate from frontline workers in 33 countries:

  • What do you love about working for McDonald’s?
  • What do you love the least about working for McDonald’s?

What do your employees love the most and least about your company?  These two simple questions asked at least annually can provide the insights you need to understand how to make your employees your best marketing advocates.

New study on video sharing, blogging profiles (Tues. is the best day)

Video sharing is becoming one of the most effective business communications strategies, and this new study from Sysomos provides valuable data about video sharing and engagement. Here are some highlights.

Market Leader: YouTube – Not surprisingly, YouTube is the most popular video-sharing service used by bloggers, attracting 81.9% of all embedded videos and direct links. Vimeo is a distant second with 8.8%, followed by Dailymotion and MySpace.
Young Males Engage the Most – 20-to-35-year-old males constitute the most engaged demographic group in our study. In total, 77% of users are under 35-years old, while 60% of all users are male.

Asian Users Engage Differently - 90% of the users from Asia and Oceania are under 35-years-old. In comparison, a third of North American users are over 35-years-old. Bloggers in Asia and Oceania are less likely to use services other than YouTube, with 89% of the links and embeds pointing to YouTube.

Gender Balance – The most male dominated video service is Break.com (88%) vs. (12%) females. The most female dominated video service is MTV (68%) vs. males (32%). The most balanced video serviceis MSN (56% male and 44% female).

Countries and Cities – The countries with the most bloggers embedding and linking to videos are the U.S., Brazil, Spain, the U.K. and Canada. In terms of cities, the most active bloggers who embed and link to videos live in New York, Sao Paulo, London and Madrid.

Engagement Peaks on Tuesday – The most popular day for engaging with video in the blogosphere is Tuesday and Wednesday. The most active engagement takes place between 11a.m. and 1p.m EST.

Social media gudelines and policies: more resources

Sorting through legal issues and creating social media guidelines continues to be a a big issue for most companies.  Here are links to resources I’ve found helpful on the issue.

Also, please note one legal issue that not enough people are paying attention to. Many companies’ HR policies prohibit  you from giving recommendations to people who have worked for them.  This policy applies to LinkedIn: most likely you should not be giving LinkedIn recommendations for anyone who has directly worked for you or is currently reporting to you. Here’s a good legal perspective on the LinkedIn issue.

If you know of other helpful policies, please share and I’ll post. Thanks. Lois

Online Database of Social Media Policies: links to 107 policies

Center for Social Media at American University

NewPR Wiki – Resources.BloggingPolicy

For Mayo Clinic Employees « Sharing Mayo Clinic

Enterprise Social Media Usage Policies and Guidelines | SocialComputingJournal.com

10 Must-Haves for Your Social Media Policy

Social Media Policies For Your Company: Internal Policies | davefleet.com

A Corporate Guide For Social Media – Forbes.com Wal-Mart Stores, Inc. -

Wal-Mart’s Twitter Terms of Use Wal-Mart Stores, Inc.

- Wal-Mart’s Twitter External Discussion Policy

SAP Social Media Guidelines 2009

Lawyers blocking social media is not a policy

ESPN Responds to Criticism and Publishes Social Media Policy | WordPress Marketing

RightNow social web employee policy | RightNow

Social Media Policy and Employee Guidance « Candid CIO

Intel Social Media Guidelines

Social Media Policy Examples | 123 Social Media

Blogging and Social Media Policy Sample – See a Blogging and Social Media Policy Sample

WaPo’s Social Media Guidelines Paint Staff Into Virtual Corner; Full Text of Guidelines | paidContent

3 Great Social Media Policies to Steal From

Social Media Policies | Social Media Law Student

Beats and Tweets: Journalistic Guidelines for the Facebook Era – Inside NPR.org Blog : NPR

10 takeways from BIF-5, Collaborative Innovation Summit

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Every year some of the most brilliant minds from business, science, art, technology, education and government come to the Business Innovation Factory’s BIF Collaborative Innovation Summit in Providence, RI for two days to share their stories about innovation. It’s sort of like the TED conference, but more intimate and relaxed. But, like TED, it blows your head off with new ideas. There are no rules, best practices, methodologies, how-to presentations. Instead, each person takes away something meaningful to them.

Here are 10 patterns and my personal takeaways from the 39 diverse speakers:

1. A positive view:  people who make new things happen are positive people, yet grounded in realism and a splash of skepticism. They don’t just see the glass half full; they see a tank half full. Their wrinkles indicate that they laugh more than worry. They want their work to make a difference.
2. Anger fuels action: anger fuels people to do things. Carne Ross, the Independent Diplomat, quit the British Foreign Service due to his anger over how issues in Iraq and Kosovo were handled by official powers, like the British government and the United Nations. MOMA’s Paola Antonelli nailed an interview that led to her position at the Museum of Modern Art by angrily addressing an interviewer’s dismissive statement on design. “Anger can make you do interesting things. Beneficial good can come from positive anger,” she said. Jay Rogers, CEO of Local Motors, started an open source automotive company based partly on his anger with America’s dependence on foreign oil – and his tour of duty as an elite Marine sniper in the Middle East.
3. Focus on the outcome: these people see possibilities, focus on realizing the big outcomes, and don’t worry much about any “right” way to get to the outcomes. As Alan Webber, so-called world detective and co-founder of Fast Co., said, “ There are those who want to do something and those who want to be someone. My advice is to do something vs. be someone.”
4. Sacrifice: inventing, creating and accomplishing require heavy lifting and personal sacrifice. If you want to “do” meaningful things, you have to be ready sacrifice – whether that sacrifice is money, ego, security, parental approval, and alienation from peers. So many of the speakers have jumped off secure cliffs, not knowing where they’ll land, and, frankly, not caring about the landing because the figuring-it-out-while-falling is where so much new thinking and creative approaches happen.
5. Cut through the b.s.: People who make things happen cut through the b.s. and tell it straight up, no pussy footing around.  They don’t couch a problem in jargon or bureaucrat-speak. Roger Martin, dean of the Rotman Management School at University of Toronto:  Business schools today are turning out “jargon-spewing economic vandals.  Stephen Trachtenberg, retired president of George Washington University: “Universities are in more denial than any other institution in society today… How did we get so outer directed that we let magazines like US News & World Report tell us how to run our law schools?”
6. Let go: Creating innovative ways often requires letting go of assumptions and presumed wisdom, Greg Matthews, director of consumer innovation at Humana, decided to not focus on “wellness” and getting people to make behavior changes like every other health insurance company trying to reinvent themselves. Instead Humana is creating new services that tap into what people already like doing, like offering cities bike sharing programs, creating games for health, and developing social media health applications.  Echoing the need to let go and look at issues differently was Richard Saul Wurman’s advice that “embracing ignorance is the only way to embrace a new project.
7. Slow way down: This was a shocker. Jonah Lehrer, science writer and author of How We Decide, talked about neurobiological research that proves that the mind needs to be quiet and in a state of relaxation to produce insights.  If you’re too focused, your attention will drown out the quiet mind, the right hemisphere “insight machine.” Jonah explained that there are two characteristics of those “aha’ moments of insight.  They are mysterious; the subconscious throw up the idea out of nowhere. And we have a feeling of certainty when the “aha” happens, we just know it’s the answer we’ve been searching for.
8. Revere humility: I’ve spent too much time in Silicon Valley and VC conferences where hubris reigns. (Merriam-Webster defines hubris as “exaggerated pride or self-confidence.”)  The people at BIF-5 were so incredibly accomplished, doing big things for our world, but humility was a marked characteristic. This vulnerability is a way to stay open to possibilities and new insights. My guess is this vulnerability also attracts talent. followers, supporters, fans and customers.
9. Stay grounded on the right questions: Almost every speaker kept saying, “ So the question I kept asking myself.” Or,  “ the question that needs to be answered is…” Good questions trigger good ideas.

Alan Weber recommended that we all “ask the last question first,” defining business victory before setting out on creating and running the business. Knowing what victory is – whether for our careers or our businesses — helps guide decisions.

Nell Merlino, founder of Take Your Daughter To Work Day and CEO of Count Me In, a non-profit helping women entrepreneurs, asked, “why do half of women-owned businesses never grow beyond than $50,000 a year. The answer to that key question is helping her organization focus on how to help women grow their businesses. (The two greatest obstacles: women are afraid to hire people and they think that if they pay attention to the numbers, their dream will die.)
10. Make it fun:  Invention is serious fun.  Humana is designing games to help people manage health. NYU’s Natalie Jeremijenko is creating wacky, fun ways to get communities involved in solving environmental health issues, like being able to text fish in the East River. (I didn’t quite get it, either.)  Sarah Endline is making sweetriot candy because it’s fun and because it helps farmers in developing countries achieve economic independence. Bill Shannon, CEO of kidney dialysis company DaVita, a Fortune “Most Admired” company, appeared on stage dressed as one of the Three Musketeers. (His picture is above.) Part of his message is that companies need to create environments where people share, learn, personally succeed, and have fun. “The work we do is so hard that we need to create the most fun work atmosphere.”

The Business Innovation Factory will be posting the videos of all the speakers within the next couple of weeks. Check them out here. Then, put it on your calendar to come to Providence next October. You will be inspired.