Telcos in Nigeria and Social Media

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    Nigerian Telecommunication Industryand Social Marketing:

    Where Are We?

    Presented By Uche NworahAt The Social Media Club International, Nigeria

    National Conference, Friday, February 26th 2010At Horscal Suites, Nigeria Institute of Medical

    Research Yaba Lagos.

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    Outline

    Social Media Marketing at a glance

    How Social Media Works

    Social Media Landscape

    Major Nigerian Telecom Brands

    Emerging Competitive/Branding Strategies

    Peculiar Challenges Of Nigerian Telcos

    Whats All The Noise About?

    Nigerian Telcos & Social Media

    Way Forward/Conclusion

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    Social Media Marketing

    Social media marketing is a term thatdescribes use of social networks, onlinecommunities, blogs, wikis or any otheronline collaborative media for marketing,

    sales, public relations and customerservice.

    In the context of internet marketing, socialmedia refers to a collective group of web

    properties whose content is primarilypublished by users, not direct employees ofthe property (e.g., the vast majority ofvideo on YouTube is published by non-

    YouTube employees).

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    How Social Media Works

    Firms & Individuals can create buzz or newsworthyevents, videos, tweets, or blog entries that attractattention. These could be viral in nature.

    Buzz is what makes social media marketing work.

    It replicates a message through user to usercontact, rather than the traditional method ofpurchasing of an ad or promoting a press release.

    The key is to create an environment that enablefans of a brand or company to promote a messagethemselves in multiple online social media venues

    It is based around online conversations. Socialmedia marketing is not controlled by theorganization. Instead it encourages user

    participation and dialogue

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    Social Media Landscape

    http://startupsnigeria.com/wp-content/uploads/2008/05/onlinenigeria.jpghttp://startupsnigeria.com/wp-content/uploads/2008/05/legworkcom.gif
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    Major Nigerian Telecom Brands

    http://images.google.com.ng/imgres?imgurl=http://amevor.files.wordpress.com/2009/10/zain-logo.jpg&imgrefurl=http://amevor.wordpress.com/2009/10/03/apres-la-suspension-de-moov-que-fera-l%25E2%2580%2599autorite-de-reglementation-a-mtn-tigo-et-zain/&usg=__BcZkR5wBm3I_UEFseEjk6ftD8ps=&h=1147&w=811&sz=63&hl=en&start=1&itbs=1&tbnid=9iE9y4O6b6km-M:&tbnh=150&tbnw=106&prev=/images%3Fq%3Dzain%2Blogo%26gbv%3D2%26hl%3Den%26sa%3DG
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    Emerging Competitive/BrandingStrategies of Nigerian Telcos

    Out-of-HomeMedia

    Sponsorships

    E-Marketing

    PublicRelations

    PersonalSelling

    Experiential

    Celebrity

    Endorsement

    SalesPromotions

    BroadcastMedia

    Print Media

    Competitive

    Strategies

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    Peculiar Challenges Of Nigerian Telcos

    Infrastructure e.g. energy, security etc

    Increasing competition (increasing number ofGSM/CDMA operators offer similar services voice, data).

    Implications of the coming New Nitel withChinese DNA

    Sales promotion led market (keeping up withthe Joneses). The Herd mentality in Marketing

    Dearth of reliable customer database Network congestion/overall service quality

    Others

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    Whats All The Noise About?

    The latest Facebook demographic data, as of February 3,2010, indicates that there are about a million Nigerians onFacebook (less Diaspora). Compare this with South Africawith 2.3 million, Egypt with 2.5 million and Morocco with1.3 million (all less Diaspora).

    Why do all these Nigerian Facebook statistics matter? Itmatters for Nigerian causes online, for public figuresamassing a following on Facebook and for companiesinitiating Facebook campaigns. The truth is that Facebookhas not gone mainstream, yet. It has about 0.7% of thecountrys population; a sizeable number given Nigeriassize, but not quite what is needed to make the dentrequired for an upset in either business or politics. For now,activists, Nigerian businesses and public figures should(while maintaining their Facebook pages) remember tofirst, take their movements to the streets, if not, they standthe risk of not reaching out to about 99% of the Nigerianpublic.

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    Whats All The Noise About?

    There are several reasons or may Isay, hypotheses why this might beso. First is what I like to refer to as

    the lag effect, second is a relativelack of awareness or even a lowpropensity to adopt the platformamong Nigerians and third, is the

    relatively poor Internet connectivityexperience in Nigeria NmachiJidenma (Next Newspaper 09/02/10)

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    Nigerian Telcos & Social Media

    Major Telcos already have some presence on keysocial media platforms (see screenshots)

    However, social media is still not first choiceplatform amongst the Telcos. Traditional mediastill rule here

    There is a belief that the quest for stature &visibility can only be satisfied by increasedpatronage of more dominant media such asOutdoor, T.V.

    Current usage of social media by Nigerian Telcosis still very much limited to ad placements andclick-thrus, this limits the use of social mediaplatforms.

    There is no evidence of community of brandusers and loyalists.

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    Global Best Practice

    The Pepsi example

    Has shifted one third of marketingbudget to interactive & social media.

    Pulled its ad out of the 2010 SuperBowl diverting the money topromoting a digitally focused socialresponsibility campaign.(www.refresheverything.com)

    http://images.google.com.ng/imgres?imgurl=http://www.andrew.cmu.edu/user/jwilder/pepsi.jpg&imgrefurl=http://www.andrew.cmu.edu/user/jwilder/project%2520abstract.html&usg=__7QFeKS4Z39FP4gMRATxU2zJqGyQ=&h=600&w=800&sz=175&hl=en&start=1&um=1&itbs=1&tbnid=3REA4gn-qwh-BM:&tbnh=107&tbnw=143&prev=/images%3Fq%3Dpepsi%26hl%3Den%26sa%3DG%26um%3D1http://www.refresheverything.com/http://images.google.com.ng/imgres?imgurl=http://www.andrew.cmu.edu/user/jwilder/pepsi.jpg&imgrefurl=http://www.andrew.cmu.edu/user/jwilder/project%2520abstract.html&usg=__7QFeKS4Z39FP4gMRATxU2zJqGyQ=&h=600&w=800&sz=175&hl=en&start=1&um=1&itbs=1&tbnid=3REA4gn-qwh-BM:&tbnh=107&tbnw=143&prev=/images%3Fq%3Dpepsi%26hl%3Den%26sa%3DG%26um%3D1http://www.refresheverything.com/
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    The Big Question For Social MediaAgencies

    If I place my brand on You Tube, Twitter,Facebook etc. How many more rechargecards will that help me sell?

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    Conclusion

    Telcos/Firms should incentivise theforgotten tribe (Internal customers &employees)

    Promote social causes as this may appealto brand users and help them to createcommunities The Pepsi example

    Social media agencies need to do more to

    market the platforms to the Telcos bymaking a case of its contribution to thebottom-line, something the traditionalmedia have been able to do.

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    234next.com (08/02/10)

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    saharareporters.com (08/02/10)

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    nigeriavillagesquare.com (08/02/10)

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    facebook.com (08/02/10)

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    ngrguardiannews.com (08/02/10)

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    MTN on Facebook

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    MTN on Facebook

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    MTN on Facebook

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    Zain on Facebook

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    Glo on Facebook

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    Visafone on Facebook

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    Starcomms on Facebook

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    Starcomms On Facebook

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    nairaland.com (08/02/10)

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    Etisalat on Yahoo

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    Other Nigerian Brands OnFacebook (Lucozade)

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    Vodafone (UK) On Facebook

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    Virgin Media & 02 On Facebook