SociaLight Media Blog

Good news, SociaLight Media Blog fans - we’re back from our brief hiatus and ready to crank out the posts!

A number of times in the past few years, I’ve been asked the following question in one form or another:

“We want to get involved with the social networking scene [web 2.0] - should we start our own social network revolving around our brand?”

The answer is an invariable and resounding “No.” Bad idea for a few reasons. First, your target is generally folks who are computer savvy and are already involved in at least one social network (Facebook, MySpace, YouTube, Flickr, Amazon, eBay, Yelp, LinkedIn, etc.), and adding more social networks to their mix only convolutes things. Additionally, all of those above mentioned social networks revolve around an action. For Facebook and MySpace, it’s connecting with friends. YouTube and Flickr are for sharing videos and photos, respectively. Amazon and eBay are for buying and selling things. Yelp is for reviewing services. LinkedIn is for developing your professional network. All action words. Never attempt to duplicate these social network services without a similarly simple and effective action that online consumers desire to take. Services like Ning, allow you to create your own social network, but revolve around interests - essentially a group on Facebook - without offering any real value to its members. Why re-invent the wheel?

With that said, establishing your firm within each of those social networks (or any network that makes sense for your brand) is a fantastic idea for developing your web presence - especially because it costs so little. And it’s also, ahem, something that SociaLight Media is rather good at.

However, in the case of Group M, creating a social network may not be such a bad idea. Well, sort of. It’s not really a social network; just posing as one. Mspace (a play on MySpace) is actually a “training program that mimics social networks to build digital skills” for their 3,600 employees. The interactive media company has many different shops with separate digital experience and talent and wanted to tie everyone together to disseminate that knowledge and experience. They positioned 10 fake people as experts, behind each of which was a real person at Group M, to give online lessons in fields including digital media processes, strategy, planning and buying, ad serving, and search and analytics, all delivered via video, audio, and games like crossword puzzles (which can be downloaded as podcasts).

Seems to be working quite well - Mspace was launched earlier this month, and at the time of the article, 500 employees had used the program. I tend to agree with John Montgomery, the COO of Group M Interaction, when he says, “this is the way we’ll be training in the future in most disciplines.”

Thoughts? Feelings? Stories? Anecdotes?  What do you think about companies misusing social networks to build brand awareness?  How do you feel about Group M’s leveraging of the social networking concept for employee training?  Inquiring minds want to know!

Here’s an article from last week’s Wall Street Journal called The Ad Changes With the Shopper In Front of It. Very cool. It’s about how some companies, including Procter & Gamble and Dunkin’ Donuts are using new technology to increase the effectiveness of their in-store advertising. DD is using digital screen ads that change based on the customer’s purchase. For example, if you stop in for breakfast and purchase a coffee and bagel, the screen at the register will remind you about their new flavor of iced tea and personal pizzas as a lunch idea. Great stuff. P&G is working with Metro Extra in Germany with radio frequency tags which causes a screen at the customer’s eye level to display an ad based on the product that was picked up off the shelf! You pick up a certain brand or type of shampoo and the ad displayed changes to a complimentary conditioner.

This shift in advertising comes at a time when television spots are almost worthless due to the amount of noise viewers have to deal with, popular technology like TiVo and On-Demand, and the fact that the results of the ad are virtually untrackable. Businesses are trying to get their ads closer to the consumer purchase, which is one of two places: in-store or online. With an in-store ad, companies can rest assured that people are seeing, and not blocking, the ads (yet) because there isn’t as much competition for the consumer’s attention as there is on television. It is also much cheaper than a television spot and more trackable with automatic promotion and coupon codes.

Online advertising and social networks are also becoming the new battlegrounds for consumer attention. Every click is trackable; companies can see exactly where their customers are coming from, where they leave, how long they stay, and what they click on. Try to do that on television, or even in-store! Additionally, for many small-medium businesses, they benefit from the small price-tag of developing an online presence and the fact that they may have very little competition in their market. What’s even more appealing about developing an online presence is that they are providing consumers with information at the exact time when consumers are LOOKING FOR IT! In-store advertising and shifting display ads may be great for impulse-buys, but when it’s a more involved purchase, people research it first. 78% of internet users say that they research a product or service online before they purchase it (Pew Internet and American Life Project). That’s where you, as a business, want to be!