Consumers and bosses…

Apologies for the slightly cryptic and unexplored post yesterday – a reminder that sometimes an idea needs a bit more fleshing out before clicking the Publish button!

What was foremost in my mind is something that is vitally important to my current role, and social media/community as a whole. And that’s the fact that, despite the growth in Web 2.0 technology, and adoption of community techniques – it isn’t half as widespread as you might assume from within the tech/blogging bubble. Plenty of people, even within the digital world, find it hard to see the reason for investing time in social networking and how it applies to them – and outside that area or department, it’s even more of a leap.

And what has come out of my work, attending valuable gatherings like Measurementcamp, and reading great blogs such as Web Strategy by Forrester Senior Analyst Jeremiah Owyang, or KD Paine’s PR Measurement blog, is that it’s the reporting, measurement, and justification of any community work is as vitally important as doing it in the first place.

And being able to show the measurable aspects of community/social media work, and explaining the direct and indirect effects on the bottom line is absolutely essential in changing the way companies think – particularly the larger, more institutional companies.

If you need a refreshing reminder about making things clearer for the rest of your company, and particularly more senior management, bosses, and CEOs, Avinash Kaushik has some good posts on Occam’s Razor which can feel like they pour a bit of cold water on the evangelical aspects of community and social media – but actually really help clarify the most useful methods of making things simple and effective – rather than relying on enthusiasm, buzzwords, and what it’s easy to assume is the inescapable logic of enagaging communities. Particularly this one, and this one!

I certainly don’t have all the answers – although the benefit of facing these challenges to varying extents in my day job means I’m slowly understanding more of the solutions – but what really interests me is how other people are tackling the challenges, what case studies people are willing to share, where people have found value, and what levels of commitment companies, particularly larger institutions, are actually committing to community engagement – is anyone finding the returns and solutions that make community pervasive through their company – or are large companies forever destined to limit it to experimenting via the fringes of what they do? And how much real effect does that have? And is technology – targeting adverts, engaging via Twitter etc, actually moving further ahead of where the biggest value is?

Personally, I think there’s a balance between using the tool of community marketing, and traditional digital and offline marketing. And that the trick is to be ahead of the mainstream by a small amount in order to establish and experiment in a space to ensure you’re on the right track before the crowds turn up – but what views have you got?

So are you in a large or small company? Or working as an individual?

Are you attempting to convince others – particularly management of the value of community and social media?

And are you targeting the early adopter communities right now? (e.g. Twitter, Plurk, Seesmic etc), or are you going with more mainstream efforts? (Facebook, Myspace, Digg, Stumbleupon).

The cost of social media

When you’re looking at why companies might be reluctant to use social media and blogs properly, and why measurement is so important, it’s important to remember there’s a very real cost involved to them.

It’s something I’m acutely aware of, both in my professional role, and particularly in my personal life at the moment. My blogging and use of social networks has definitely been affected by my other commitments, whether it’s doing work on our house, sorting the bills, fixing the cars, or taking care of our pets. And the biggest commitment is to our baby son,  which has had a big effect on how I can justify spending time online.

And in my professional role, I’m very aware that although implementing social media work has no direct financial cost, it has a real cost in terms of allocating time and resource.

Just as I wouldn’t expect to pay for something I didn’t receive, it’s unreasonable to expect a company to pay for for staff, and all the additional costs (office space, broadband, etc, etc,) to pursue social media engagement without them receiving a return which exceeds that value (increase in sales, website traffic etc). That’s where planning, measurement, and being realistic all come into play…

(And even this post has taken twice as long as it used to, due to my son needing attention!)

Measuring marriage – and social media

I’ve been involved in a lot of discussion about measuring social media and social networks, particularly around readership, influence, and social media and community marketing. And I quite often hear the quote that such measurement is like ‘figuring out if you have a good marriage’, which comes from Ian Schafer of Deep Focus. The Adweek article in which is appears goes on to say: “Quantitative measurements will only get you so far. “You can’t assign a number to that,” he said.”

I’m no analytics or statistics expert, but when I thought about, it occurred to me that there’s actually quite a lot of quantitative measurement of marriages that does go on. And judging whether you’re in a good marriage certainly requires benchmarking in some quantitative or qualitative way. Just the same as social media measurement can go pretty far in indicating whether your audience sees you as their one true love:

Anniversaries: Wedding anniversaries have rules (Paper for the 1st year? Gold for 50) to indicate the length of time to all interested parties – because a general trend would be that longevity equals a good marriage. By the same token, longterm, loyal, returning readers indicate you’re doing something right!

Divorce rates: By the same token, you can watch trends on divorces to see if a group is happy in marriage. And you can watch single visit users, and definitely unsubscribers and users deleting their accounts to gauge the same thing for your site. And unlike general figures for splitting up, you’re able to easily isolate individuals to explore the reasons in more detail.

Holidays and presents: Whether it’s a dowry, or the amount your partner spent on the wedding/honeymoon/Valentine’s Day/Birthday presents etc, at some point even the most romantic soul has probably looked at how much is being spent as a guide to how much their partner cares. That’s why engagement rings are supposed to cost 3 month’s wages, for example. And a key metric in the website/user relationship is definitely click-throughs and sales conversions.

Romantic dinners: One of the big tips about marriages is to make time to go out and spend quality time romancing each other. You could see that couples in a good marriage enjoy this time, chat all night, gaze longingly at each other across the table, etc. By the same token, you can monitor the bounce rate and time on site of your visitors to see if they’re visiting several pages and enjoying your company – or splitting at the earliest opportunity.

Doing the housework: Does your partner invest time and effort in doing their share around the house? Do they help to make it a home? And do your users invest time and effort in submitting User Generated Content? Do they customise their profiles? Do they comment on stories and forums?

Are they faithful?: In the modern digital world, it’s highly unlikely a visitor will use just one site in any area of interest. But rather than sulking about their polygamous ways, it’s about following them and looking at who their affair is with. Figure out what is so attractive about the other websites they visit, and look at whether you can beat it, or use it in some way. Rather than seeing them continue to stray, inject some romance by dressing up your website in the RSS feeds of the other destinations, for example.

Talking about your partner: One of the big qualitative and quantitative benchmarks is seeing how often your friends talk about their partners, and whether it’s normally in a good or bad way. That can be with friends over a coffee or a beer – or in a survey by a magazine. Whatever the source, it’s what prompts you to go home and ask why your partner doesn’t treat you as well, or tell them how badly someone else is doing. And it’s the big one for social media measurement, because it’s all about the referrals and the recommendations. Recommendations and links are the equivalent of public displays of affection.

Now, if you combine all that information about two individuals in a relationship, you start seeing that actually, there’s quite a lot of ways you could build up a reasonable idea of whether a relationship is being enjoyed by the people within it, and then be able to compare it to other marriages. It’s not 100% accurate, and maybe they’re staying together for the children, but metrics never cover ever 100%

And by the same token, there’s a huge wealth of information already available on social media marketing, especially if you’re already tracking the normal metrics via a standard analytics package.

The trick is working out what to add to what is already available (influence of prominent couples/recommendations for example), and how to bring it all together into something that is understandable. That’s the alchemy.

Solve one problem to justify social media marketing to any boss

There’s just one problem which requires solving to finally put social media/buzz/community marketing people in a position to easily justify investment and resource.

Image by uBookworm under Creative Commons

We can all measure the splash of a promotion dropping into our worlds.

But what we need to do is be able to measure the quality and quantity of every ripple it makes, and everything else it disturbs, and combine all those measurements into one, simple, and hopefully big, number.

Until digital and social media advocates are in positions of responsibility in large companies around the globe – that’s what it takes. And to get to that position, you have to either accommodate the measures of the old school, or start a new firm and grow to the size of a global megacorp. In the meantime, we need to be famous to 15 people for quality,

and still show we can also reach 15,000 with anything down to the merest 5th hand whisper.

The problem is, measuring every single effect of even a single conversation is near impossible. But the closer we strive to it, the more influence and reach we can report back.