Diane Hessan - Festival of NewMR - 2010

The 8 Myths

About Successful Online Communities

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one one

A community is just

a fancy word for a

panel

1

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two two

Communities can be valuable for almost

any decision

2

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

Market Research Aid

•  Hypothesis development for quantitative methods (segmentation schemes) or qualitative methods •  Survey and guide pre-testing •  Ready-made respondent pool for ethnography

(and other in-person methods like in-depth interviews)

Research Appropriate for Communities New Product/Service Development

•  Defining Customer needs, emotions/feelings, behaviors, habits •  Concepting and ideation for new products, services, packaging, bundling, promotions,

partnerships, etc. •  Concept development and refinement, including prototype testing •  Concept interest (pre-Bases, pre-Accupoll) •  Viral marketing pre-tests •  Substitute for ethnography using Customer diaries, lifestyle photos, etc.

Existing Brand and Product Feedback including competing brands

•  Product/service experience evaluations, mystery shopping, product sampling •  Communications development and refinement

(tv, print, mail campaigns, online ads - copy, imagery, tag lines, etc.) •  Brand image/imagery

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

What you shouldn’t use Communities for

•  Go/no go decision-making or when high levels of precision are needed. •  Volume Forecasting •  Response rate estimation (for a promotion or mailing for example) •  Predictive modeling •  Segmentation •  Dynamic conjoint or other advanced quant methods •  Awareness and usage studies •  Satisfaction tracking studies •  Ad tracking •  Market sizing •  Brand equity studies

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three three

3

Bigger is

Better

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

TRUTH: Measure engagement rather than # of members

400-person community with 55% participation rate and 16 contributions per active member = 220 members x 16 contributions

OR Public site that gets 1% of all monthly visitors contributing once

Myth #3: Bigger is better

One 400-person private community Public site with ~ 350,000 visits/month

To collect 3,500 contributions/month:

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four four

4

Make sure you pick the

best technology

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five five

5

Communities are largely for

“BRAND FANS” or high involvement products

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

TRUTH: Brand communities only work with highly involved, actively listening brands.

8%

7%

9%

4%

6%

1%

7%

14% 1%

1%

7% 1%

4%

3%

19%

2%

7% Healthcare and Pharmaceuticals

Retail

Hospitality and Travel

Insurance

Consumer Electronics

Voluntary Sector

Retail

Technology

Telecommunications

Apparel and Footwear

Banking and Financial Services

Automotive

Beauty and Fragrances

Media and Publishing

Consumer Packaged Goods

Education

Food and Beverage

Myth #5: Communities only work for high involvement products

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six six

6

members are

biased

Community

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven seven

7

response rate

The more you pay

the higher the

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight eight

8

ROI is hard to get

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

“In this day and age, it's rare when a company/organization recognizes that we are their customers, and without us, there is no company; and then asks us how to make themselves better. I applaud and plan to maintain my relationship with them for a long time.”

– Community Member

Myth #8: ROI is hard to get

Fresh perspectives

New product trial

More effective marketing

Kill bad ideas fast

Lower risk

Reduce cost Speed to market

Customer loyalty

Creative solutions

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A Q&A

Q&A

Diane Hessan, Communispace, USA Part 3: Session 2, Convenor Andrew Jeavons, Chair Zoe Dowling, schedule = 2:12pm to 2:39pm (EST/New York)

Q & A Diane Hessan

Zoe Dowling