© 2010 Mike Moran Mike Moran What Are Customers Saying About You? Mike Moran for MENG NJ November 2010

© 2010 Mike Moran

Mike Moran

www.mikemoran.com

What Are Customers Saying About You?

Mike Moranfor MENG NJNovember 2010

Mike Moran

© 2008 Mike Moran© 2010 Mike Moran

Social media volumes are staggering

126 million blogs (900,000 new posts each day)Source: BlogPulse, January 2010

90 million tweets per day (two billion per month)Source: Twiter, September 2010

Half a millionFacebook appsSource: Royal Pingdom, January 2010

YouTube serves onebillion videos per daySource: Royal Pingdom, January 2010

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Mike Moran

© 2008 Mike Moran© 2010 Mike Moran3

Social media now makes marketing a conversation

Readers comment on your blogs

They change your wikis

The create blogs of their own

They create “hate” sites if theydon’t like you

Web 1.0 users were consumers

Web 2.0 users are participants

Mike Moran

© 2008 Mike Moran4 © 2010 Mike Moran

Message boards have long been complaint centers

Would you have spotted this comment?

Would someone know how to respond?

What if that is one my competitors?

Mike Moran


But now all you need is a phone

Your customers look at reviews before going into your restaurant

Or writing a review while they wait for the check

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Mike Moran


This isn’t so new—it’s what the Web is about

You always wanted to attract links to your site

You always had hate sites for those with a tin ear

Mike Moran


Marketers do not have message control

We don’t control the message

Maybe we never did

The message is changed, rebutted, and misconstrued by ouraudience

We must modify whatwe say in response

Mike Moran


Are you ignoring the conversation?

Others are talking

Are you listening?

Do you speak the language?

Are you commenting?

Mike Moran


Ford contains a potential disaster

A Ford fan site goes public with a Ford cease and desist order that goes viral on the Web

Scott Monty of Ford tweets “not good” when he first hears the story

Later, his legal team explains that the fan site was selling counterfeit Ford items and he tweets that

Within 24 hours, the story is dead, with Ford’s reputation intact

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Mike Moran


Graco handles a recall online

Imagine the nightmare of babystrollers recalled for safety reasons

Graco jumped on Twitter and responded to every nervous tweet, requesting serial numbers and providing advice

Afterwards, as many stories praised Graco as slammed them

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Mike Moran


Dell goes from embarrassment to leadership

Then: Bloggers took Dell’s serviceto task with “Dell Hell”

Now: IdeaStorm builds new products from customer ideas

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Mike Moran


Comcast did the same thing

Comcast’s first exposure tosocial media came from aYouTube video of a service mansleeping on the customer’s couch

They later became one of the first companies to pioneer customer service on Twitter

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Mike Moran


Starbucks also solicits ideas from customers

250,000 people voted one million times for 84,000 different ideas

48 ideas launched in Starbucks restaurants

Mike Moran


How will the companies of the future work?

Imagine a fictitious mid-size manufacturer and direct seller of telephone systems called “telecom.com” that sells to consumers, SOHO, and larger businesses

Dorothy is the Marketing Executive for all telephone systems

telecom.com

Mike Moran


Problems for our heroes

Dorothy is checking her reputation dashboard when she sees a bad story

From an important blog

Reputation Dashboard

Results from Reputation Scan

1 to 10 of 37 stories | Next>

Telecom 2617 Review

…Telecom’s new 2617 digital switch surpasses the competition…

Another Winner from Telecom…2617 exceeded our benchmarks…

Questionable Telecom TCO

…causes us to question Telecom’s low TCO claims…

Monitor Today’s Telecom TalkConcepts

Mike Moran


Dorothy checks the story

The story says that anecdotal reports indicate that Telecom’s products are costly to repair

It quotes two unnamed Telecom customers

Today’s Telecom Talk


Monitor

Concepts

Create Concept


Have you heard Telecom’s claims of low TCO? We have too, but we’ve also heard from two Telecom customers, which causes us to question Telecom’s low TCO claims.

If you believe the customers we spoke with, Telecom products can be costly to

Mike Moran


Dorothy decides to see if more talk is happening

Are others talking about high costs?

She highlights “TCO” and presses the “Create Concept” button



Create Concept

TCO


Have you heard Telecom’s claims of low TCO? We have too, but we’ve also heard from two Telecom customers, which causes us to question Telecom’s low claims.

If you believe the customers we spoke with, Telecom products can be costly to

Mike Moran


“TCO talk” comes in many flavors

She selects the related phrases that she wants to include

She presses the “Save Concept” button


Monitor

Concepts

More Phrases:Big repair billBig training costsBig training

expensesCostly repairsCostly trainingExpensive to fixExpensive to repair

More…

Concept Editor

Current:TCO

Add additional phrases from list at right

Save Concept

Mike Moran


Dorothy matches the concept with her products

She cares about this talk only when it relates to her own products

She chooses “Brand names” and “Product names” and runs it


Monitor

Concepts

TelecomBrand namesExecutivesLocationsProduct names

Concept Editor

Save and Search

CompetitorsBrand namesExecutivesLocationsProduct names

Current:TCO

Add additional concepts from list at right

Mike Moran


Dorothy sees what all the chatter is about

Dorothy sees that some of these same costly repair stories are popping up on message boards

And product reviews


Results from Message Boards1 to 10 of 17 phrases | Next>

expensive to fix (6)

big repair bill (5)

high maintenance costs (3)More…


Results from Product Reviews1 to 10 of 12 phrases | Next>

pricey service (2)

expensive repair (1) More…

Mike Moran


Do competitors have the same problems?

Dorothy checks the same concepts found for competitive names

She chooses “Brand names” and “Product names” and runs it


Monitor

Concepts

TelecomBrand namesExecutivesLocationsProduct names

Concept Editor

Save and Search

CompetitorsBrand namesExecutivesLocationsProduct names

Current:TCO

Add additional concepts from list at right

Mike Moran


Many of the same phrases come up

Dorothy sees that some of these same costly repair stories are popping up for competitors

In message boards and in product reviews


Results from Message Boards1 to 10 of 57 phrases | Next>

high maintenance costs (23)

expensive to fix (19)

expensive repair (15)

More…


Results from Product Reviews1 to 10 of 62 phrases | Next>

costly service (13)

expensive repair (11)

More…

Mike Moran


How do today’s companies listen to customers?

Google Alerts are free and easy

Set up a searchand follow thee-mails or anRSS feed

Perfect for smallbusinesses andunique searchkeywords

Mike Moran


But other companies fail with search algorithms

“T-Mobile” will be found quite easily

“Sprint” not so much

“Verizon Wireless” is also not easy to isolate

Mike Moran


Algorithmic listening also misses details

[Negative for Treximet Cardio Side Effects] “I did a little research of my own, and was a bit alarmed to come upon a forum of migraine

sufferers who had tried the drug and reported tightness in the chest and other indications of cardiac disturbance. I decided to leave the

Treximet in the desk, untouched. “

Blog.lazyharpy.com, published on 18-02-2009

[Positive for Treximet Effectiveness] “…I popped a Treximet, slanted my shades, closed and locked my office door, and put my head down for fifteen minutes. When my alarm went off, my

head was perfectly clear. That was four hours ago.”


[Positive for Cardio Side Effects] “For some reason, today I picked it up. I did a quick web search for adverse side effects of

Imitrex, which I have used for years, and felt surprised to see the very same descriptions as those accompanying the

Treximet. Since Imitrex has never bothered me,..”


• Do you care if the whole post is positive or negative?

• Or what the specifics are for each issue?

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http://blog.lazyharpy.com/2009/02/18/wt.aspx?ref=rss



Mike Moran


But Google Alerts treats all mentions the same

Doesn’t aggregate volumes or show

competitors

Doesn’t differentiate by venue

Doesn’t separate positive from neutral

and negative

Mike Moran


Who are the current leaders in social listening?

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2010 Forrester Wave

Mike Moran


Sentiment analysis shows opinions

Top Five Tech Pundits in Smart Phone Conversation

Blog URL Net Sentiment (toward Brand)

Rank Traffic

Engadget AVenue falls in the top 1% of highest

trafficked, most influential sites

GizmodoA

Venue falls in the top 1% of highest trafficked, most influential sites

ElectronistaB

Venue falls in the top 10% of high trafficked sites

UberGizmoB

Venue falls in the top 10% of high trafficked sites

SwitchedC

Venue falls in the bottom 90% of trafficked sites

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Mike Moran


Algorithmic sentiment analysis misses sarcasm

“Oh, the iPhone is a beautiful girl, no doubt.”

The automated sentiment analysis failed to identify the

sarcasm and coded the entry as positive for iPhone, while failing to understand

the author was actually saying there was no value for the iPhone beneath its

flashy exterior

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Mike Moran


Algorithmic sentiment analysis misses nuance

You know that these are negative, but there is no word to tell the algorithm

These would be marked neutral by most algorithms

“I waited on line for my entire lunch hour

at my Wells Fargo branch today.”

“State Farm never told me I had no flood coverage.” “Amazon wouldn’t

refund my money.”

Mike Moran


Algorithmic sentiment misses context

The same words mean different things

An “unpredictable” movie is good, but “unpredictable” food quality, not so much

We like “small” cell phones but not “small” hotel rooms

“Faded” jeans are good, butnot “faded” photos

“Frozen” computers arebad, but “frozen”margaritas are good

Mike Moran


70% accuracy on relevance

70% accuracy on sentiment

70% times 70% = 49%

The problem: Algorithms alone fall short

“Oh, the iPhone is a beautiful girl, no doubt.”

The best algorithms seem to fail half the time

Mike Moran


If you need the data to be right, you need people to check the machines

The machines collect the data andmake the easy calls, and theysuggest the answers for the toughones, but humans make the finaldecision

Human analysts can correct the algorithms

Mike Moran


Visualizations make the data understandable

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Mike Moran


The same information is needed organization-wide

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Mike Moran


Workflow distributes insights

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Mike Moran


Workflow also allows engagement

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Mike Moran


Listening tools are growing up

Volume

Word counts/tag cloud

Entry timeline

High-level topics

Venue analysis

Influence

Drill-down to entries

1.0 Monitoring

2.0 Mining

Sentiment

Topics and subtopics

Voices/participants

Key influentials

Incident-level reporting

Custom reporting elements

Human analysis

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Mike Moran


Read all about it “Buy this book, read it, and then

read it again.” --Chris Sherman, Search Engine Watch

Updated at each printing

www.mikemoran.com

The search

marketing best seller

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© 2010 Mike Moran Mike Moran What Are Customers Saying About You? Mike Moran for MENG NJ November 2010