listening to the conversation — the new communications imperative

© 2009, Converseon, Inc. Proprietary and Confidential.

PRSA Digital Impact Conference

Listening to the Conversation — The New Communications Imperative

Rob Key, CEO, Converseon

April 30, 2009

© 2009, Converseon, Inc. Proprietary and Confidential.

Who is Converseon?

Only leading provider of Conversation Mining with “end-to-end capabilities” -- from listening and reporting, to social media strategy development, technology and implementation

Governing members of the Word of Mouth Marketing Association Clients include some of the world’s largest and most influential brands

including Dow Chemical, Siemens, Samsung, Graco Baby, Palm, etc. Multiple award-winner for a range of social media programs

2

© 2009, Converseon, Inc. Proprietary and Confidential.

Marketing Funnel 1.0

© 2009, Converseon, Inc. Proprietary and Confidential.

Conversation Funnel 2.0

© 2009, Converseon, Inc. Proprietary and Confidential.

Increasing Investment in Social Media

5

© 2009, Converseon, Inc. Proprietary and Confidential.

Converseon’s Social Media Process

A Best Practice Approach to Joining the Conversation

Build foundation for effective social media engagement

Participate and ignite conversations

Report on established engagement metrics and KPIs

Map the landscape

6

© 2009, Converseon, Inc. Proprietary and Confidential.

Conversation Miner™

Listen: Converseon’s Conversation Miner™ scours online discussion areas to capture, understand and report the products, issues and opinions that consumers share between and

among themselves. This includes newsgroups, blogs, podcasts, social media and other forms of user-generated media.

Listen: Converseon’s Conversation Miner™ scours online discussion areas to capture, understand and report the products, issues and opinions that consumers share between and

among themselves. This includes newsgroups, blogs, podcasts, social media and other forms of user-generated media.

© 2009, Converseon, Inc. Proprietary and Confidential.

Search Engine Visibility

How We View the Social Media World

Enterprise Generated Content

MainstreamMedia

ConsumerGenerated Content

Podcasts

Corporate blog

Corporate website

Podcasts

Corporate blog

Corporate website

MSM blogs

Online media vehicles

Analyst forums

MSM blogs

Online media vehicles

Analyst forums

the waterline

visibility

control

Social media

Newsgroups

Detractor sites

Professional blogs

Affiliates

Reviews

Personal blogs

Social media

Newsgroups

Detractor sites

Professional blogs

Affiliates

Reviews

Personal blogs

© 2009, Converseon, Inc. Proprietary and Confidential.

Mining the Conversation

The ConversationsConverseon

Mines and Reports(Each venue has its

own cultural norms which should be

kept in mind)

SOCIAL NETWORKSWIKIS

PHOTO SHARING

BLOGS100+ million

MICROBLOGS

FORUMS/NEWSGROUPS120+ million

VIDEO SHARING Twitter: 4-5 million users (Q4 2008)

Facebook: 200+ million users (Mar 09)35% of adult Internet users has a social networking profile (Dec 08)

SOCIAL MEDIA NEWSAGGREGATORS

Wikipedia: 272 million unique visitors (Sept 08))

YouTube:200+ million viewers (Mar2009)

9

© 2009, Converseon, Inc. Proprietary and Confidential.

Monitoring vs. Mining

10

VolumeWord counts/tag cloud

Entry timelineHigh-level topics

Multi-level sentimentVenue analysis

InfluenceDrill-down to entries

Real-time

Monitoring

Mining

SentimentTopics and subtopics

Human analysisVoices/participants

Key influentialsIncident-level reportingLimited sources (gen.)

Custom reporting elementsDaily, weekly, monthly or quarterly

© 2009, Converseon, Inc. Proprietary and Confidential.

Some Solutions

Free monitoring– Google Alerts, Bloglines, Technorati, Icerocket, Tweetscan,

Tweetbeep,Twitter Search

(“For fee”) monitoring– Radian6, Scoutlabs, Conversation Monitor™, etc.

Conversation Mining– Converseon Miner™, Cymfony, Neilson Online (“Buzz

Metrics”), Motivequest

Engagement Platforms– Converseon eResponder, Visible Technologies, etc.

© 2009, Converseon, Inc. Proprietary and Confidential.

We Combine Advanced Technology + Human Analysis to Provide More Accurate, Reliable and Meaningful Data

[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

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

[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,..”

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

[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,..”

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

Automated systems would have scored the entire message negative for Treximet because

of the ‘cardiac disturbance’ and side effect mentions, completely missing the point that the

author found the drug highly effective and would likely use again

Automated sentiment systems score at record level, missing important details

12

© 2009, Converseon, Inc. Proprietary and Confidential.

Multi-Level Sentiment

We’ve had our 2006 Pontiac Vibe for about two and a half years now and we recently passed 80,000km (just shy of

50,000 miles). Overall the car has been working well for us. We’ve had no

mechanical issues with the car and the only real cost has been regular oil

changes.

Our average fuel consumption for 2008 is currently at

8.34L/100km (~ 28 MPG). This isn’t very good in my opinion

but it does include winter driving with the snow tires on.

One other gripe about the car is that there is a very thin

layer of paint. It seems that everything causes a small

paint chip. I think if you sneezed while standing within 10 feet of the car it would get

a paint chip.

© 2009, Converseon, Inc. Proprietary and Confidential.

Some Key Mining Dimensions

Volume Sentiment Voices Speakers Influence Topics Subtopic Velocity

© 2009, Converseon, Inc. Proprietary and Confidential.

How Do We Find Meaning from Measurement?

© 2009, Converseon, Inc. Proprietary and Confidential.

The Most Effective Listening Requires an Organizational Approach

Social Media Listening is an engine of organizational transformation, and requires recognition that social media is not just a marketing/communications issue, but an organizational issue

– Infusing listening into specific organizational use-cases helps companies become “Listening Organizations.”

16

© 2009, Converseon, Inc. Proprietary and Confidential.

Don’t Forget: Cultural Listening…

© 2009, Converseon, Inc. Proprietary and Confidential.

Cultural Listening

© 2009, Converseon, Inc. Proprietary and Confidential.

Cultural Listening

© 2009, Converseon, Inc. Proprietary and Confidential.

We Believe…

As marketers and brands increasingly penetrate social media communities, backlash will grow in many venues

Driving factors, such as tagging and increasing personalization, will further diversify, not homogenize, community norms

Offline rule norms don’t always apply

Effective engagement requires an altruistic approach that understands, respects and gives to the community without the expectation of specific immediate commercial outcome

© 2009, Converseon, Inc. Proprietary and Confidential.

“Karmic Communication”

The effects of all deeds actively create past, present and future experiences

“Ask not what the community can do for you, but what you can do for the community.”

© 2009, Converseon, Inc. Proprietary and Confidential.

Conversation Mining™Typical Use Cases/Campaign Scenarios Identify influentials who are defining your brand…and category Inform creative by capturing the “real” conversation by and between

your customers and prospects…in near real time Manage reputation Improve and enhance product launches Manage customer service More effective, “real-time” marketing research Inform search/content development Measure campaign effectiveness Inform media by understanding where relevant conversations are

actually occurring Competitive intelligence Inform an overall social media strategy

© 2009, Converseon, Inc. Proprietary and Confidential.

Use Case: Brand Health Report Purpose: Provide brands with full

assessment of their current position in the online conversation

Analyzes 60 days of data (generally 30 days retroactively)

Full analysis and go-forward engagement recommendations delivered approximately 45 days after engagement (includes go-forward resource recommendations)

Analysis includes volume, sentiment, topic/subtopic, influence, voices

Can include competitive intelligence

© 2009, Converseon, Inc. Proprietary and Confidential.24

Customer Service

“For companies that don't tend to their customers, the consequences can be dire. Consumers frustrated by the regular fix-it channels are increasingly employing vigilante tactics. Whether they're making YouTube, Google videos or posting account numbers on blogs filled with digital rants, more and more consumers are getting companies to respond on their terms.”

• Business Week, February 21, 2008

© 2009, Converseon, Inc. Proprietary and Confidential.

Use Case: Identify Potential Customers

• Takes supplements as a part of overall wellness routine; likely part of online diet club

• Better informed than the average consumer about dietary needs, specific nutrients and the effect on the body

• Has few health problems overall; likely to focus on cosmetic or general benefits like increased energy as opposed to specifics

• May have tried multiple brands of OTC fish oil/Omega-3 supplements

My naturopath suggested to increase weight loss you have too increase your metabolism . to do that he suggests to eat small snacks during the day and not to avoid the good fats like the omega 3,6 and to use things like flax oil or flax seeds ground up on salads or in soups and salmon is a good source of the good fats. Webmd.com

Karen, middle age femaleCurrent weight 200; goal 135

My naturopath suggested to increase weight loss you have too increase your metabolism . to do that he suggests to eat small snacks during the day and not to avoid the good fats like the omega 3,6 and to use things like flax oil or flax seeds ground up on salads or in soups and salmon is a good source of the good fats. Webmd.com

Karen, middle age femaleCurrent weight 200; goal 135

© 2009, Converseon, Inc. Proprietary and Confidential.26

Use Case: Reputation Management

Purpose: To enable brands to quickly identify and address potential reputation challenges

Approach: – Utilization of eResponder platform

to capture “hot” relevant conversation near real-time

– Configuration of rules-based engagement platform for potential engagement

– Engagement database to profile key venues and trending

© 2009, Converseon, Inc. Proprietary and Confidential.

Use Case: Inform Media Planning

Brand Discussion Mobile Broadband Fixed Broadband Hi-Def TV through Broadband

Domain Rank Domain Rank Domain Rank Domain Rank

twitter.com A howardforums.com B whirlpool.net.au A whirlpool.net.au A

whirlpool.net.au A forums.dpreview.com A digg.com A dslreports.com A

menstennisforums.com C whirlpool.net.au A hardforum.com C tgdaily.com A

answers.yahoo.com A exetel.com.au C forum.lowyat.net B digitalhome.ca B

forum.gsmhosting.com A evdoforums.com C p2pnet.net A twitter.com A

forums.hardwarezone.com C forum.lowyat.net B 3.8mustang.com C digitalspy.co.uk

wiili.org C twitter.com A overclockers.co.uk C forum.videolan.org A

forum.lowyat.net B mybroadband.com.za C forums.digitalpoint.com A webwire.com A

megite.com C vodafone.co.uk B twitter.com A investorshub.advfn.com A

eu.playstation.com B forums.crackberry.com A dslreports.com A tvover.net C

A

A

C

A

A

C

C

B

C

B

B

A

A

C

C

B

A

C

B

A

A

A

C

B

A

C

C

A

A

A

A

A

A

B

A

A

A

A

A

Domain Influence Scores - Ranks:

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

B Venue falls in the top 10% of high trafficked sites

C Venue falls in the bottom 90% of trafficked sites

Blog

Forum

Micro-blogging platform

Wiki

News Aggregator

Domain Influence Scores - Ranks:

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

B Venue falls in the top 10% of high trafficked sites

C Venue falls in the bottom 90% of trafficked sites

Blog

Forum

Micro-blogging platform

Wiki

News Aggregator

Common top domains

Twitter.com

Whirlpool.net

Forum.lowyat.net

Dslreports.com

C

Conversation Top Domains March 2009

Main Findings:

• Given the highly technical and specific nature of broadband technology conversation, forums are the most common venues, since they allow participants to find others that share their interests and ask/answer questions

• Search-friendly blogs are common venues of conversation for consumer-friendly topics, such as hi-def TV

• Given that broadband technology availability is highly linked to geographical location and service provider offerings, top venues of conversation are commonly geographically/service provider specific

© 2009, Converseon, Inc. Proprietary and Confidential.

Use Case: Creative and Insights

Captures the “real” language utilizes by consumers within conversations about specific products and services

Also captures where the conversation is happening for better/more efficient media targeting

Specific insights can be important for R&D/product development

© 2009, Converseon, Inc. Proprietary and Confidential.

Use Case: Search Engine Reputation Management

© 2009, Converseon, Inc. Proprietary and Confidential.

Inform Search

What is the sentiment and makeup of top search results?

Where are the social media engagement opportunities to maximize Search Engine Results Page visibility?

© 2009, Converseon, Inc. Proprietary and Confidential.

Identify Opportunities to Inform a Social Media Strategy

Conversation Topics/Solutions Matrix

31

Health risks

Price/cost

Availability

Effectiveness

Pre-Treatment Procedure

Environmental Impact

Home/Family Impact

ReEvaluationValue

Insurance

Opportunity for content creationOpportunity for content creation

© 2009, Converseon, Inc. Proprietary and Confidential.

Trending

Changes in Conversation– Increases in sentiment,

volume, “share of conversation,” etc.

Cost per action– Sign up, view video,

application usage, sales, etc.

Downstream behavior Correlative impact for

eventual econometric modeling

© 2009, Converseon, Inc. Proprietary and Confidential.33

Where this Goes Next? Predictive Modeling

Overlay all relevant data sets for correlative analysis and, eventually, to enable predictive modeling

Overlay all relevant data sets for correlative analysis and, eventually, to enable predictive modeling

Conversation Mining

Traffic

Conversion/Analytics

Sales Brand Tracking

© 2009, Converseon, Inc. Proprietary and Confidential.34

Graco: Listen, Plan, Engage

We Listened first Conversation Mining

report to set benchmark & inform strategy

Assessed social media traffic

Continually listening with Conversation Miner

Planning & training process lasted several months

34

© 2009, Converseon, Inc. Proprietary and Confidential.35

Graco: Listen, Plan, Engage

Our Goal: Relationships

Graco doesn’t just blog, it enhances the community

Read & comment at others, link to their blogs, meet them in person

Host Graco Get-Together events around the country

35

© 2009, Converseon, Inc. Proprietary and Confidential.36

Graco: Joining the Community

© 2009, Converseon, Inc. Proprietary and Confidential.37

Graco: Ongoing Relationships

She IS Graco, that Lindsay.  And Master Recon Specialist. 

The girl misses nothing.-- Mommy Needs a Cocktail

She IS Graco, that Lindsay.  And Master Recon Specialist. 

The girl misses nothing.-- Mommy Needs a Cocktail

Another company getting it right-Graco. I’ve chatting with Lindsay on Twitter,

watched as they crafted a MOMblog that actually is written by Moms about things Moms write about. It’s not just product discussion. I’m thrilled to say the Graco blog, it’s bloggers, and the other people

involved in the effort are part of our community. That’s right, they did it-we gave them the secret handshake and everything. Why? They’ve engaged

bloggers in conversations, events, and they kept it REAL.-- Queen of Spain

Another company getting it right-Graco. I’ve chatting with Lindsay on Twitter,

watched as they crafted a MOMblog that actually is written by Moms about things Moms write about. It’s not just product discussion. I’m thrilled to say the Graco blog, it’s bloggers, and the other people

involved in the effort are part of our community. That’s right, they did it-we gave them the secret handshake and everything. Why? They’ve engaged

bloggers in conversations, events, and they kept it REAL.-- Queen of Spain

© 2009, Converseon, Inc. Proprietary and Confidential.38

Graco Case Study: Parenting 1st, Products 2nd

38

As a (relatively) new parent, the Graco brand certainly has made a footprint in our household. Through a new Twitter friend, I found out about the new(ish) Graco blog. As a corporate blog, this is one of the best I’ve seen yet. That’s pretty impressive considering the role the Graco Legal Department probably played in this launch, and ongoing maintenance!Here’s a few reasons why Graco is rocking this blog…

--Community Guy, Jake McKee

© 2009, Converseon, Inc. Proprietary and Confidential.

Results

Volume of the online conversation for the Graco Brand nearly doubled, while positive sentiment increases from 68% 2007 to 83% in 2008

GracoBaby blog featured on Today Show and as a case study at BlogHer Business conference

In just 6 months, blog is ranked as the 59th top parenting blog in the hundreds strong Parent Power Index

Positive reviews from industry commentators and parenting bloggers alike including the 5th highest ever score in Mack Collier's series of Corporate Blog Reviews

Named to Mashable’s “Smartest Big Brands in Social Media.”

© 2009, Converseon, Inc. Proprietary and Confidential.

What is Myth vs. Reality re: Social Media?

Listening is a luxury

Social Media is for consumer goods companies only

Social media is just another channel

Social media is easy

Social media belongs to a particular marketing discipline

40

Listening and acting on what you hear should be integrated across the enterprise, including R&D, product development, communications/marketing and customer service

Some of the greatest beneficiaries and innovators in social media are other types of companies

Social Media is a primary driver of organizational transformation that transcends marketing-communication

Culturally it can be very difficult

Social media transcends marketing disciplines – and most brands are not organized effectively to act

© 2009, Converseon, Inc. Proprietary and Confidential.

Thank You

rkey@converseon.com212 213-4297 ext 301

Twitter.com/converseonBlog.converseon.comwww.converseon.com