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For people who don’t get Twitter, Facebook, etc. Nice story ~ other people can read it too

This is a long story and a tame story in many respects, read on . . .

I am a psychologist. Any one who has majored in psychology knows that we are trained at university and college to be distant from our clients. We are even trained to call people “subjects” – or we were in my day.

We are also trained to see ourselves as people who have facts – to see ourselves as right, because we know the truth.

This is how we demonstrate to ourselves and our peers (other people trained like us) that we are right. We predict what will happen, and after what was supposed to have happened happens, we check whether we were right, preferably by counting something. Not all bad, but wait.

Positive psychology often continues this tradition. Positive or appreciative management goes further. The critical idea is one of generativity – that we engage with other people without defining our objective. So we cannot say what will happen, and because we cannot say what will happen, we cannot check whether we are right. That has psychologists of my generation heading for the hills! And that is a pity, because positive psychology has something to say.

Anyway, that is the back story – psychologists had to learn a way of thinking at college. We learnt it, and learnt it well. Now we encounter a new way of thinking, we find it hard – disorienting actually. Giddy making. It is difficult to follow what is good about appreciative management when it clashes so fundamentally with the way we learned to think early in our careers.

How 2.0 helped me

My task. I undertook to make a presentation on the new psychology to psychologists. Using the principle of going from the familiar to the unfamiliar, I wanted to keep in the step of checking results and I needed a reference or idea to fill the hole.

How did I do it? Fairly predictably, going to Google and Google Scholar didn’t help. What I did was check through my del.icio.us bookmarks and see what who had similar interests to me. And I found my paper on the evaluation of generative methodologies! Bookmarked by one other person! Amazing. In half-and-hour to an hour, using what I saved on del.icio.us for earlier projects, I found exactly the rare article I needed!

How was this different from the way I did things before? Wasn’t that what we have always done? Searched around libraries until we found something? Ah, I didn’t search around the Library. I searched around people I didn’t know and who don’t go to the same conferences and meetings as me. Not only did someone I not know help me, they helped me in good faith, that I would help the next person and the next person, etc. This is the O’Reilly principle that web 2.0 systems get better the more we use them.

So what did I need to do that I didn’t need to do before?

  1. I must join in with a view to finding like-minded people rather than experts.
  2. I must put a trail of my activity out there. The end of the rainbow is where my trail intersects with the trail of someone else – not lots of people – one person. At the intersection is the person who interests me – and it is very likely that I interest them.

Could I have been more 2.0?

Yes. I could have engaged and reciprocated! I could have written to the author, thanked him and allowed him to benefit from my project.

Sorry! I was still in 1.0!

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Your first job in social media

I was delighted to see that Daryl Tay of Singapore has outlined what he is doing at BLUE.  He doesn’t tell us what he is doing for their clients.  For that we should hasten over to the Blue website.

Daryl tells us about the rhythm of his day.  The routine and regular tasks, how he sets priorities, and how he balances work and play.

If you are looking for your first job in an agency, have a look. If you have an internship in a social media agency, perhaps add a post and we can make a carnival?

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HRM – ready for the recovery? On your marks! Go!

HRM in a fast moving world of the recovery

Earlier today, I posted my understanding of HRM and work psychology in today’s fast moving world.

In the previous post, I laid out the questions that employees or individual players ask, and the questions that project leaders or organizational representatives ask.

And what HRM has to do to pull together these questions in near-real-time so that the organization can move swiftly to negotiate and capture value before an opportunity evaporates.

HRM service for a fast moving world post-recession

One of the practical services that HRM is called upon to provide is a website and community forum that

  • Articulates the vision of a collected group of professionals
  • Provides a readwrite website that allows everyone to comment freely
  • Manages the technicalities and social features of the website
  • Is trusted by their past, present and future employees who are happy to add their visions

Moreover, it is probably necessary to launch a website like this simultaneously with major changes including

  • New appointments
  • Departures
  • New projects
  • New developments in other companies!

HRM skills in a world speeded up by social media

Do we have the facilitation, copy writing and technical skills to work at speed in the public gaze?

We do need to work publicly and fast in today’s world of social media.

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3rd of secret social media that is being kept from you

Save the cost of the carpets

And the 3rd well-kept secret of social media is that it saves us the cost of wearing out the carpets.

In short, the story goes like this. Social media attracts more ‘window-shoppers’. The window-shoppers hopefully include surprise visits from people outside our target market. We have more people wearing out the carpets and not buying anything. They are also people who are different from our typical customers. To extend the analogy, let’s say they bring mud in on their boots too.

So is social media a good thing. If we have more people who look-see but who don’t buy, do we want them? Aren’t carpets rather expensive?

Yes they are. But in the virtual world, carpets are fairly cheap. But that is not the real point.  In the virtual world, if you are smart, people make carpets for each other.

Let your customers weave the carpet

In a conventional company, we’d be most unhappy if people came to our shop just to party with their friends. That’s because they are using facilities that cost us money. We figure it is cheaper to advertise “off the premises” in magazines and TV than in the shop itself.

In social media, hosting a party costs as lot less. Sometimes it costs us almost nothing per person because the first person invites the second and the second the third, etc.

Let your management report reflect the carpet weaving operation

It is so obvious to anyone in social media but our reports don’t always make this clear.

  • Attracting window-shoppers has negligible cost.
  • If we are smart, we looking out for unusual newcomers. We are using the window-shoppers to help us understand how our market morphs and mutates. We are in business when we understand our market as it is, not how we want it to be.
  • And if we are really smart, our ‘window’ morphs and mutates with the market so people see what they want to see and find what they want to find.

That’s what our reports and metrics should be reflecting.

  • The cost per visitor
  • The changing nature of the market
  • The way we are responding spontaneously to changes in the market and those of our goods and service that our window-shoppers find attractive.

Now, I told you the secrets for free. I’d be happy to know what you think of them!

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2nd secret of social media. Find more lucrative niches

Think change in your market, not growth

The 1st opportunity that marketers have kept to themselves is that we can change with our markets.  Markets flex and morph quite naturally.  If we are fixed on growth, or grabbing market share, we are sadly missing the point.  Our reports need to be about change.  How is our market changing?[!]  When we closely in touch with the heaving, sighing, pulsating, shape-changing nature of the market, then we are in the game!

The 2nd opportunity marketers don’t tell us about is that we can move up the value chain. We can expand the margin in each hit.

Noobes and margins

Now I know that when we are new in business, we are obsessed with getting any hits, making any margin!

Please don’t be distracted though. Psychology comes into play here.  Getting started is fundamentally linked to getting finished!  If there is one thing that psychologists know, it is that when we know what we want, we ‘go like a train’. If we are not ‘going like a train’, if we are procrastinating, we don’t know what we want.  It is really that simple.

And how do we know what we want?  By getting out there and trying out the choices. We humans think better when real experience is in the mix. We don’t get anywhere when we are going against the flow or when we are telling people that we want one thing one day and another thing the next day. We confuse them and ourselves.   So we get out there, to learn how the world works, and to be clear about the parts we want to be part of.

That’s why noobes are no different (except psychologically) from people who have been in the game a while. We are constantly learning the market and figuring out what part we want to ‘play in’.

Low cost or high differentiation

Business strategists will tell us one of the first things we must think about is whether we are going to “buy them cheap and stack them high” or “do something very special for a few people and charge a lot”.

Obviously, in real life, there are permutations on the theme. The point is to be clear in our own minds what we are doing and experiment wisely so that we get clearer and clearer as we take small steps to get experience.  When we are unclear, we muddy our offering and our customers are unclear what they are buying and unsurprisingly, don’t buy!

Use social media to figure out whether to be low cost or high value

Now social media, doing business in virtual space or via the cloud, gives us opportunity for experimenting safely in the ways we can’t in real life.

We get window shoppers in the real world.  In the virtual world, we get a lot more. If we are wide awake, we might notice slightly different people arriving to have a peek.

Real life is so constricting

Let’s take an example.  Let’s imagine that a granny comes and peeks in our teenage store. In the real world, we have limited choices. We can’t run down the street and talk to her – who will mind the shop? We can’t drop what we are doing to entertain her – we have other customers. We can’t change the entire shop’s display to answer her questions.  We have teenage customers who come to do teenage things.  The real world has constraints – real constraints.

In the virtual world, it is dead simple to add another room!

But in the virtual world, we can add another “room” quite easily. Granny can look around our teenage store and we can lay out another page that allows grannies to talk to other grannies about their concerns. We don’t have to shut them out or exclude them. We also don’t have to demand that they pretend to be teenagers with teenage concerns. Any social media site like Facebook, Ning, etc. allows them (and us) to set up new pages, new groups and new activities.

We can also ‘run down the street’ after some who just peeked and didn’t stay. Google Alerts give us some idea of where they go. We can go and look and ask them, or people like them, what they are looking for. Herein lies the possibilities. Our peekers may be shy but we can get them to open up!

Stay clear by keeping your ‘virtual bundles’ clear

How does this relate to being clear, you might ask?  Teenagers and grannies? Aren’t we getting mixed up. Quite possibly. We can mix up anything.

I want you to remember that we didn’t begin by being all things to all people. Grannies arrived in the normal way that markets morph as their that underlying social networks twist and turn, shrink and replenish.

Our teenage store brings grannies to see.  People explore the world more readily online where they can window shop discreetly. Rather than shutting out unexpected visitors, we can draw them in.  In the virtual world, we can do that without watering down our offering to our primary market. Virtual real estate is very cheap compared to real shops rentals!

Some virtual bundles will allow you much better margins per hit

To continue the example- I have no idea what grannies will spend in your new store, or spend in the next door store buying gifts for their grandchildren, but you get the idea.

Your business will morph naturally with the morphing of the market – if you decide to dance in step with it.  If you try to make the market dance in step with you, you’ll get nowhere very fast.

Social media allows business opportunities to find you .  .  . if you want to be found

My message is this, by looking out for change you may find opportunities to increase the margin per hit.

It is a big mistake just to look at your numbers. At the end of each evening, also ask yourself how you were surprised. What was unexpected?

Are opportunities arriving at your site that you aren’t seeing because you have developed the tunnel vision (of greed)?

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1st secret that social media marketers have been keeping to themselves

Welcome to the first of the secrets social media marketers don’t tell you. Your job is not to get bigger. Your job is to change your market entirely!  Read on, and tell me if you agree that social media marketers have been oddly silent in this regard!

Conventional marketing requires massive numbers

The industrial age works on size. To make things cheap, we must make a lot. To make a profit from things that are cheap, we must sell a lot.

Competition is fierce. Look-a-likes are everywhere and the consumer is dazzled by choice and confused by the advertising that is in their face where ever they look.

It’s a vicious circle. To be noticed, we must get out there and compete with other advertising. So we add some more. And the competition is ramped up.

In the end, consumers learn to blank out and pay no attention to us.

Marketers are smart; they look for qualified customers

Marketers are on to this problem and they try to find ‘qualified customers’. They try to pay attention to people who have self-selected in some way.  So they sell us a loyalty card and once they have our email address, they bombard us with emails for ever after.

Google gives us free email. Then they serve adverts to match the content of our messages.

Both Google and Marketers are very numbers oriented and they very clinically track the number of ads we click and the emails we open (did you know that?). Google is happy with a 0.5% click through rate (CTR). They are happy if 1 out of 200 partially qualified customers responds to an ad and clicks on it.

It seems we open 2 to 3% of marketing ad that are sent to us. The rest are deleted unopened.

Social media marketers are even smarter; they know we listen to our friends

Social media works on a simple principle. We are more likely to open an email sent by friend than by a  company. Our open rate might even go up to 10%! (Do you leave 90% of email from friends unopened? It seems people do.)

Even with this ‘unopen’ rate, the increase from 0.5% to 2% to 10% is large enough to make the social media effect, or echo chamber effect, very interesting to marketers.

Why these tactics aren’t the whole story

These three tactics

  • Do more. Get more
  • Talk to people who are interested. They buy more
  • Get people to bring their friends. Half the selling is done by a friend’s recommendations

are good, but not enough. This is why.

We have worked hard to get more people. We carefully talk only to people already interested in us.  And they bring their friends.  I am all for focus and specialization but our market is getting smaller and smaller.

And it will continue to get smaller. Our personal networks and habits are changing continually. Slowly, but continually. We shed friends and gain friends the way we shed our skins. Slowly, but surely.

Social media marketers are oddly quiet about the way we replenish and refresh our networks.  This is where I think we should pay more attention.

An example from classical marketing

Coca-cola, the masters of classical marketing don’t change their product from decade to decade (lest its consumers revolt as they once did).  Nonetheless, they continually renew their relationship with the market.

Long before we we gave Gen Y a name, Coca-cola had worked out their character and formulated their market response.

They also continually look for new channels. I remember the day they put a cool box onto the mini-buses that work the streets of Johannesburg. Coca-cola have people whose sole job is to find new channels. That’s what social media should be doing!

What we learn from classical marketing that social media marketers have kept quiet

Yes, it is cool to expand our current customer base. Yes, it is cool to strengthen our market with connections between customers. Yes, it is cool to listen to what our customers are saying and to give them what they want.

It is also smart to add change to constancy. We should also ask whom of our visitors are new – not only in name but in character and need. We should challenge our social media analysts to come up with something like a new channel – something refreshingly surprising about the market.

  • What do we understand that we never understood before?
  • Who has come window shopping who never came before?

Social media marketers have been holding out on us. Our job is not only to get more customers – tough as that might be.  Our job is to map the changing landscape. I haven’t seen any metrics yet that report change.  That’s where the value is.

Next of the three secrets tomorrow!

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3 opportunities that social media marketers don’t talk about

We don’t want them to wear out the carpets

There is an old saying in business: we don’t want them to wear out the carpets.  We want inquiries, but only from people who actually buy something.  Here endeth the lesson on selling. We will sell far more to people who are genuinely interested and who have a means to pay.

Social media shock: we need to supply carpet for 200x our customers

And there beginneth the lesson on social media.  Social media specialists, beginning with Google Alerts, concentrate our attention on the numbers.

  • How many people did we reach? (Hits)
  • Did they pay attention? (Time on the site)
  • Did we invoke curiosity? (Did they explore the site?)
  • Did we get them to take an action that shows interest & intent? (A goal in Google Alerts-speak)

Getting hits is hard and getting people to stay and explore is hard.

Conversion – taking the first step to a sale is even harder.  It is shocking the first time we realize that 0.5% of people click on an advert.  That is 1 out of 200 of people wearing out your digital carpets are actually looking for something to buy.  And those 1 out of 200 don’t necessarily buy anything.

Maybe we need carpets for 1000x our customers!

Social media is advanced window shopping

Social media is advanced window shopping.  Surf.  It says it all.  It’s like going to the mall with no money and no credit card. Well, people do.  I don’t understand.  I assume they have nothing else to do.  Or maybe they have cunningly cut costs on the gym by doing their surfing on foot.

But to my point:  marketers have brought their finely-tuned focus to the web.  It’s great to have Google Alerts, to drive up our hits and get people to read and explore our content. It’s real cool when someone transforms from lurker to commentator and contacts you.  It’s rip-roaring-fantastic when they suggest some collaborative action.

Thank you marketers.   Because carpets are  expensive we must try to get the people on them to buy something!

This is all a bit industrial age, isn’t it?

What marketers don’t seem to talk about is this:  if the same people come day after day, and the same people look (very nice, welcome!), our business will never grow.

We can get more hits, and in theory as we move from 200 to 400, we should go from 1 enquiry per day to 2. Fine.   Good prediction. Throw in some natural variability and some days we get none and others more than 2.

We can confirm all of this with some elementary high school statistics.

The point is that the underlying dynamics stay the same.  Getting bigger to get richer is the thinking of the industrial age.

What marketers don’t tell us

Social media gives us three new opportunities.

1.  Reach different people. Completely change the market.

2.  Move up the value chain.  Get a higher margin per hit.

3.  Cut out the cost of replacing the carpets.

Come back tomorrow if you want more.  See you then!  The Welcome mat is out.  I’ve still got carpets!  At least for a while!

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Spread your know-how with (un)classes

(un)classes is a brilliant idea and they deserve to take off.  But they are not going to take off in London unless we all the founders a nudge.  A bit collective nudge!

Would you email them asking them to stop allocating London, England, to Guildford, Surrey!  I’ve explained to them that this won’t do, but I think they need to know that a  lot of us “over here” would use their service if they fixed the glitch.

What is an (un)class?

An (un)class is like an (un)conference. It is an informally organized class organized in a big city by whoever would like to teach a class!

The software allows students to arrange classes too, and ask for a teacher.

There is no obligation to pay, but students can voluteer to pay and teachers can ask to be paid.  Students could also tip the teacher!  That is all left to the teacher and the students to work out among themselves.

Put your bio up

I’ve put mine up and I am waiting for them to fix the glitch!  Please email them for me  .  .  .

My Bio on Unclasses August 2009
My Bio on Unclasses August 2009
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At last, it’s here! The positive psychology of marketing!

We are perishing for a want of wonder not a want of wonders.

G. K. Chesterton

Rory Sutherland, Vice Chairman of Brand Marketing and Brand Management, Ogilivy, speaking at TED.

[youtube=http://www.youtube.com/watch?v=audakxABYUc]

For social media types, check 15:30 for the positive psychology value of social media.

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Connect people who want to hear with those who want to tell!

In this day of social media and viral campaigns, I’ve discovered that I have a new competence.

I am good at team-tag!

I don’t have the mischievous mind to think up viral campaigns.  But I do recognize good viral material and I am quick to endorse it.

Playing team-tag in social media

The beauty of the Hootsuite interface for Twitter and Google Analytics is that I can measure the effectiveness of my “team tagging”.

Getting better at team-tag

I look at the stats not to brag, you understand. But to learn.

The statistics shape my judgment about what people want to hear and see and when they want to hear and see it.

The person running the campaign still has convert the interest and the quick drop-in into a sale or action. To get better at that, they need to speak to people like Paul Imre in High Wycombe.

Helping connect people who want to know with people who want to tell – that I can do.

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