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Tuesday, September 29, 2009

Social Networking’s Credibility Gap – Some Hard Questions

EUPHORIA vs. ACTUALITY

Much praise has been heaped on social networks for their ability to streamline customer connections, making it possible to hear the voice of customers much clearer, and serve as a means for everyone from CIOs and CEOs to interns to better listen to customers.  I agree, social networks in general and Twitter specifically have opened up the floodgates of customer centricity and hopefully it will change company’s cultures for the better, fast.

THE HARD QUESTIONS

In the midst of all this euphoria however, I think it’s important ask the harder questions.

  • Is all this great inbound customer data actually changing mindsets and philosophies?
  • Is it changing how marketing and sales work together to define value propositions?
  • Is it forcing companies to be more agile?
  • Is it changing processes of how customers are brought into the new product development process?
  • Or are social networks seen as the poor man’s PR Newswire?

How companies truthfully answer this question will determine if social networks bring lasting change or a just a fad.

Time will tell which companies actually transform who they are based on what customers are telling them on social networks.  Right now however there are plenty standing in the aisles claiming to have social networking religion.  Like any revival bordering on the spiritual, how many of these companies will stay strong in their conviction to be customer centered after the social media evangelists have rolled on to the next conference?  Most likely not many, because change is painful, hard, comes at a high price, and most of all, requires leaders to put their credibility on the line and bet on the future.

That is where I see the credibility gap.

There are lots of CEOs, company founders, and industry celebrities lining up at social networking revivals, claiming to have customer centric religion yet not following through where it counts most, which is transforming their companies to be more customer-centric.  They are not walking the talk.

THE GIVE TO GET VERSUS GET WHAT YOU GIVE ANSWER

The Give to Get philosophy is one where companies in social networks look to help you shorten your purchasing cycle before the figure out want your needs are, appeal to your ego needs and professional standing (the get thousands of followers approach) and are nearly ubiquitous with their public and private (DM) messaging.  The Give to Get group of companies and people use social networks like a poor man’s PR Newswire and aren’t interested in building trust or relationships – just getting their message out to as many as possible hoping the law of averages kicks in.  Yet you have to love the irony, being on a social network with this strategy, with social networks being predicated on building relationships and trust.

The Get What You Give philosophy is easy to spot.  These are companies and individuals where the concerns, comments, interests, and values of customers has already begun to permeate how they operate across all areas of their business, social networks included.

GET WHAT YOU GIVE COMPANIES HAVE:

  • A passion to educate customers and share their insights regardless whether a sale is immediately made or not.  These are the companies on Twitter who open up and share vast amounts of information and data freely.
  • Provide honest product comparisons and analysis.  This is rare to find yet very powerful, and is an indicator that a company really is making changes in how they operate based on lessons learned.
  • They work extremely hard to earn a reputation of being Easy to Buy From.  Buying from Amazon.com, Expedia, Zappos, all easy, they get it, their cultures engrain the lessons learned from listening to customers quickly.
  • A culture that cultivates the courage to be accountable for good and bad service. “Catch Me Doing Something Right” is an employee recognition program Embassy Suites has this summer.  It’s aimed at giving employees motivation to be especially accountable and helful with many family whose members don’t travel all that much and as a result have many questions and needs beyond the typical business traveler.  I have to say when they credited me for three nights parking due to a mix-up on a coupon I filled out a “Catch me Doing Something Right” form right then and there.  And in a sense, that program is a form of immediate, real social networking.  The desk attendant beamed as I filled it out and did we ever get excellent service after that!  Kindness pays.

If you really believe that social networks can fundamentally re-order companies by bringing the voice of the customer alive, do something about it.  Go beyond your daily routine in your job, tell your VPs and C-level execs it is time to change those areas getting in the way of serving customers.

BOTTOM LINE:

Contribute to closing this credibility gap, and don’t let your C-level executives get away with saying how great social networking is and not changing their companies as a result.  Be the change and make your company stronger for it.

Courtesy – Louis Columbus at Expert Access

Monday, September 28, 2009

Poor Customer Service Costs U.K. Businesses £15.3 Billion Per Year

Businesses in the United Kingdom lose a total of £15.3 billion each year when customers defect and abandon their purchases as a direct result of poor customer experiences. 

This is according to a new report, “The Cost of Poor Customer Service: The Economic Impact of the Customer Experience." The study was sponsored by Genesys Telecommunications Laboratories, Inc., in collaboration with industry analysts at Datamonitor/Ovum.

This survey also found:

  • 73% of U.K. consumers ended a relationship due to a poor customer experience
  • The average value of each lost relationship is £248 per year
  • 39% of U.K. consumers said it is critical for companies to provide more intelligent self-service so they are not trapped in unproductive automated systems
  • 83% of consumers welcome more proactive engagement if it improves their experiences
  • Younger consumers are more likely to end relationships based on poor customer service than older consumers

Financial services, utilities and telecommunications firms are suffering the biggest losses because they lose substantially more customers than companies in other industries.  Nearly one fourth of consumers said they abandoned a financial services company or utility in the past year.  Even industries that were historically safe from competition, such as utilities, must now pay closer attention to the customer experience.

The survey revealed the following significant root causes of poor customer service:

  • Having to repeat information
  • Feeling trapped in automated self-service
  • Being forced to wait too long for service
  • Interacting with representatives who have no knowledge of the service history (or consumer value)
  • Unable to easily switch between communication channels

Voice Self-service is the Most Challenging Communication Channel
Forty-one per cent of consumers cite voice self service as the most challenging communications channel compared to only 1 per cent who find it most satisfying.  And 39 per cent of consumers said it is critical to improve voice self-service to make it integrate more intelligently with human assisted service.

In customer service experiences where the consumer was ‘trapped’ in an automated system, consumers spent, on average, more than ten minutes trying to reach a live agent. 

Even paper-based mail, which can be a considerably slower communications channel, is preferable to poorly implemented voice self-service systems.

Courtesy – Randy Saunders

Thursday, September 24, 2009

The Growing Social Network Credibility Gap

Much praise has been heaped on social networks for their ability to streamline customer connections, making it possible to hear the voice of customers much clearer, and serve as a means for everyone from CIOs and CEOs to interns to better listen to customers.  I agree, social networks in general and Twitter specifically have opened up the floodgates of customer centricity and hopefully it will change company’s cultures for the better, fast.

In the midst of all this euphoria however, I think it’s important ask the harder questions.

Is all this great inbound customer data actually changing mindsets and philosophies? 

Is it changing how marketing and sales work together to define value propositions? 

Is it forcing companies to be more agile and customer-focused, changing themselves in the process?

Is it changing processes of how customers are brought into the new product development process?

Or are social networks seen as the poor man’s PR Newswire? 

How companies truthfully answer this question will determine if social networks bring lasting change or a just a fad.

Truly Getting Voice of the Customer Religion

Time will tell which companies actually transform who they are based on what customers are telling them on social networks.  Right now however there are plenty standing in the aisles claiming to have social networking religion.  Like any revival bordering on the spiritual, how many of these companies will stay strong in their conviction to be customer centered after the social media evangelists have rolled on to the next conference?  Most likely not many, because change is painful, hard, comes at a high price, and most of all, requires leaders to put their credibility on the line and bet on the future.

That is where I see the credibility gap.

There are lots of CEOs, company founders, and industry celebrities lining up at social networking revivals, claiming to have customer centric religion yet not following through where it counts most, which is transforming their companies to be more customer-centric.  They are not walking the talk.

Dork

Give to Get versus Get What You Give  

The Give to Get philosophy is one where companies in social networks look to help you shorten your purchasing cycle before the figure out want your needs are, appeal to your ego needs and professional standing (the get thousands of followers approach) and are nearly ubiquitous with their public and private (DM) messaging.  The Give to Get group of companies and people use social networks like a poor man’s PR Newswire and aren’t interested in building trust or relationships – just getting their message out to as many as possible hoping the law of averages kicks in.  Yet you have to love the irony of being on a social network with this strategy, with social networks being predicated on building relationships and trust.   

The Get What You Give philosophy is easy to spot.  These are companies and individuals where the concerns, comments, interests, and values of customers has already begun to permeate how they operate across all areas of their business, social networks included. 

The Get What You Give companies have:

  • A passion to educate customers and share their insights regardless whether a sale is immediately made or not.  These are the companies on Twitter who open up and share vast amounts of information and data freely.
  • Provide honest product comparisons and analysis.  This is rare to find yet very powerful, and is an indicator that a company really is making changes in how they operate based on lessons learned.
  • They work extremely hard to earn a reputation of being Easy to Buy From.  Buying from Amazon.com, Expedia, Zappos, all easy, they get it, their cultures engrain the lessons learned from listening to customers quickly. 
  • A culture that cultivates the courage to be accountable for good and bad service. “Catch Me Doing Something Right” is an employee recognition program Embassy Suites has this summer.  It’s aimed at giving employees motivation to be especially accountable and helpful with many families whose members don’t travel all that much and as a result have many questions and needs beyond the typical business traveler.  When they credited me for three nights parking due to a mix-up on a coupon I filled out a “Catch me Doing Something Right” form right then and there.  In a sense this program is a form of immediate, real social networking.  The desk attendant beamed as I filled it out and did we ever get excellent service after that!  Kindness pays.


Bottom line:
If you really believe that social networks can fundamentally re-order companies by bringing the voice of the customer alive, do something about it.  Go beyond your daily routine in your job, tell your VPs and C-level execs it is time to change those areas getting in the way of serving customers.  Contribute to closing this credibility gap, and don’t let your C-level executives get away with saying how great social networking is and not changing their companies as a result.  Be the change and make your company stronger for it. 

Courtesy – Louis Columbus

Tuesday, September 22, 2009

Who Killed Ekalavya?

As Hindus and knowledge on Mahabharata you would know who Ekalavya was, but for the benefit of those who are not Hindus or does not know the imminent character in Mahabharata known as Ekalavya. So here is a brief introduction: -

In the Hindu epic Mahabharata, Ekalavya is a young prince of the Nishadha tribes, and a member of a low caste, who nevertheless aspires to study archery in the gurukul of Dronacharya. After being rejected by Drona, Ekalavya embarks upon a program of self-study in the presence of a clay image of Drona. He achieves a level of skill equal to that of Arjuna, Drona's favorite and most accomplished pupil. Drona eventually comes to know the same and goes to Ekalavya and demands that Ekalavya turn over his right thumb as a teacher's fee. The loyal Ekalavya cripples himself, and thereby ruins his prospects as an archer, by severing his thumb and giving it to Drona.

I have to admit that a lot of people may wonder that why I am bringing Ekalavya back from the dead. Well, actually I am trying to know who killed him. Why?????  To answer that I am writing an article on Managing Companies in Chaos, and how Leaders react in Chaos. So why Ekalavya…..Well you will have your answers once the article is out.

So getting back to the question. Who Killed Ekalavya?

Wikipedia suggests that Ekalavya worked as a confidant of King Jarasandh. At the time of Rukmini's Swayamvar, he acted as the messenger between Shishupala and Rukmini's father Bhishmaka, at Jarasandh's behest. Bhishmaka decides that Rukmini should marry Shishupala, but instead Rukmini elopes with Krishna. Ekalavya is later killed during the conflict against Jarasandh's army[1][2]. But then another source tells that we was actually killed by Lord Krishna, who hurls a rock against him, in a conflict against Jarasandh's army.

So this does endorses one part of my known belief that Ekalavya was indeed killed by Lord Krishna. But this is one part of it. The other part of “MY Known Story” is that when Drona asks Ekalavya for a deed of gratitude that a student owes his teacher upon the completion of his training. Ekalavya replies that there is nothing he would not give his teacher. Drona asks for Ekalavya's right thumb (as depicted in the picture), knowing that its loss will hamper Ekalavya's ability to pursue archery. The trees and atmosphere around stood still for a minute! Even Arjuna was stunned on listening to the unusual and almost cruel demand of his Guru. To ask for the thumb of an archer was equivalent to almost kill him! Ekalavya, however, cheerfully and without hesitation severs his thumb and hands it to Drona. And Of course this is where the story ends of Ekalavya in the great opera of Mr. B.R. Chopra, on Dordhasan, India only TV channel in 80’s.

My other part of the story (told by a priest in Haridwar narrating this epic) is after giving his right thumb; he started to pursue archery with his left thumb. Within no time he became as effective as he was with his left thumb. Also at the time of Mahabharata he was planned to be inducted into the Army of Kauravas. Once Lord Krishna discovered this and well acquainted about the powers of Ekalavya’s archery, he (Krishna) feared that this could spell doom for the Pandavas. Hence he decided to kill him in disguise.

Now my version does not match with the one given in Wikipedia or any/all given on the search engines accept that he was killed by Lord Krishna. Especially, when the same paragraph is used all over, with few lines about his death, as mentioned above. The is peculiar (as usually the case with many myths) beside every person who’s aware about Mahabharata is aware about Ekalavya, parents consider Ekalavya as a name for their new born, the Name Ekalavya is synonymous with hard work, persistence, dedication, loyalty and so on; but still we don’t know why he was killed? Additionally its more strange that there is nothing much was ever written about his death, including in the epics.

Even the articulation on Wikipedia leaves a lot of questions about its accuracy with its limited verbiage. Of course you may debate the Myth as a whole, what we call as Mahabharata. But even with my decent attempt to find WHO killed Ekalavya I got the answer Lord Krishna but certainly with lack of articulation there is not much substantial evidence to justify it. Equally , with no articulation on WHY, hence its a still a question that needs an answer. As Lord Krishna had (according to the myth) a clear objective on his role in Mahabharata, and who & why he would kill or help someone.

With such an Epic there tend to be questions unanswered like how Lord Krishna died, where the Pandavs went after the war, what happened to the kids of 100 Kauravs, and so on. But the two that stands out for me is one what I am asking, and the other that always attracted me - what happened to the kavaj/kundala of Karan that made him indestructible?

But then first, what I am asking – Who (May be Lord Krishna) & Why Killed Ekalavya? Send me your comments, if any, at shiraz@shirazdatta.com.


[1] A. D. Athawale. Vastav Darshan of Mahabharat. Continental Book Service, Pune, 1970

[2] Dowson, John (1820-1881). A classical dictionary of Hindu mythology and religion, geography, history, and literature. London: Trübner, 1879 [Reprint, London: Routledge, 1979]. Also available at Encyclopedia for Epics of Ancient India

Monday, September 21, 2009

Top 50 Internet Advertisers by Media Value, July 2009

The top Internet advertisers by media value. The data are provided by TNS Media Intelligence.

Note: Media value estimated by TNS is based on rate card pricing and does not necessarily reflect true media costs.

Top 50 Internet Advertisers by Media Value,
July 2009

Position

Advertiser

Media Value
($000)

Sector

1

Scottrade: online

57,593.7

Fin

2

TD Ameritrade Brokerage: Consumer Services

22,311.1

Fin

3

FreeScore.com

17,229.6

Fin

4

Verizon: Consumer Wireless Service

15,224.7

Tech

5

E Trade Financial: Consumer Services

14,684.6

Fin

6

Sprint Wireless Service: Consumer Wireless Service

14,518.6

Tech

7

Netflix.com

14,303.0

M/E

8

Scottrade Stock Brokerage: Consumer Services

14,009.0

Fin

9

LowerMyBills.com

12,637.3

Fin

10

E Trade Financial

11,429.1

Fin

11

Classmates.com

9,170.5

M/E

12

AT&T: Consumer Wireless Service

8,129.3

Tech

13

University of Phoenix

7,644.0

Edu

14

ShareBuilder.com

7,310.4

Fin

15

ClassesUSA.com Adult Education

7,113.7

Edu

16

Directbuy Showroom and Design Centres

5,783.1

Ret

17

Ad Council

5,559.1

Misc

18

K12 Virtual Public Schools

5,383.4

Edu

19

Weight Watchers: Online

4,477.9

H/F

20

Travelocity

4,396.0

T/H

21

Seroquel XR: Bipolar Depression Rx

4,213.4

H/F

22

Bing

4,129.5

M/E

23

FindTheRightSchool.com

3,971.9

Edu

24

TD Ameritrade Brokerage

3,940.2

Fin

25

Bank Of America Home Loans

3,500.1

Fin

26

Lowes Building Supply Store

3,465.7

Ret

27

Charles Schwab

3,447.6

Ret

28

Harry Potter & The Half Blood Prince: Movie

3,433.5

M/E

29

Degrees.info

3,334.4

Edu

30

Travelers: Auto Insurance

3,328.0

T/H

31

Monopoly, Oklahoma Centennial Edition

3,243.9

CPG

32

Directbuy.com

3,185.1

Ret

33

University Of Phoenix

3,109.5

Edu

34

Colorado State

3,087.1

Edu

35

Visa: Personal Credit Card

3,064.3

Fin

36

Identity Guard Service

3,054.6

Fin

37

Norwegian: Cruises

3,019.5

T/H

38

Nutrisystem

2,881.4

H/F

39

Constant Contact Inc.

2,865.8

Misc

40

Superpages.com

2,837.5

M/E

41

Quicken Loans

2,816.9

Fin

42

Best Western Hotels

2,750.2

T/H

43

Amerisave Mortgage

2,749.6

Fin

44

VacationsToGo.com

2,701.6

T/H

45

Volvo XC60: European Crossover Utility Vehicle

2,556.4

Auto

46

FRS

2,551.5

H/F

47

Nuvaring

2,519.9

H/F

48

Dermitage

2,500.6

H/F

49

Dell Studio XPS 16

2,401.1

Tech

50

Dodge Ram Pickup: Domestic Truck

2,392.5

Auto

 

GRAND TOTAL

$351,961

 

Sectors: Auto - Automotive; Class - Classifieds; CPG - Consumer Package Goods; Date - Online Dating; Edu - Education; Fin - Financial Services; H/F - Health & Fitness; M/E - Media & Entertainment; Misc - Miscellaneous; Ret - Retail; Tech - Technology; T/H - Travel/Hospitality       

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View: Top 50 Internet Advertisers in June 2009

Methodology: The chart represents the value of display advertising in both standard and nonstandard ad formats using CPM-based methodology. Media expenditure estimates don't always take into account special considerations, including publisher discounts, barter agreements, cosponsorship, affiliate relationships, and the like.

Courtesy - Jack Marshall, ClickZ,