Social Strategy

Social StrategyThe Case of ZyngaCreative Capitalism and Social StrategyIf we can find approaches that meet the needs of the poor in ways that generate profits for business and votes for politicians, we will have found a sustainable way to reduce inequality in the world: Bill Gates Social Media : Some Startling FactsMore than a billion people use social platformsWhy do they do? Meet new peopleStrengthen existing relationshipsFacebook has more than 750 million users and its valuation in excess of 100 billion USDCompnaies have launched FB fan pages and Twiteter accounts to find and retian customersSome succeed and some dont in generating profits on social platforms Why?: Perhaps due to 2 distinct strategies,viz; Digital strategy and Social strategy

Digital Strategy vs Social Strategy

Source: Mikotaj Jan Piskorski, Social Strategies that Work, HBR, Nov 20014Social MediaSocial media in its earliest avatar: Evident that it was changing the way consumers interacted with each other and brandsTremendous potential in brand marketing: Consumers define brands-Shaping conversations and demanding to be heard by brands they connect with Social community managers realize the need for more creative strategies for leveraging engagement of publicSocial MediaEnhances brand experience Makes it easier to engage with brand Make it easier to share brand experience with peer networksSocial marketers need to give adequate reason to share and recommend brands and hence the need for a Social Media StrategyIn short, social strategy does the following:

Connects/Supports User ExperienceIn-store/Web/Social Media/Point of saleEmpower consumer to have voices heardWhat do Social Strategists Do?Pushes boundaries in having real understanding of marketForces to think what are the overall business objectivesTypical QuestionsHow is it furthering our objectives?How can learning from social communities impact larger business decisionsHow does social media fit into our paid, owned and earned eco system?

Social Strategy: Pushing BoundariesFour Ways to Pursue Social Strategies

Source: Mikotaj Jan Piskorski, Social Strategies that Work, HBR, Nov 2001

8Types of Social Media StrategyEmbrace uncertainty using small-scale testsAim to learn by listening to users on FB and TwitterThe Case of ZyngaLearning ObjectivesDrawing distinctions b/w CSR and CSVVital for stakeholders involved in sustainable socially strategic endeavour to have a vested interestRole for-profits can play in poverty alleviationWhat are the hurdles faced by for-profits face in profitable partnerships/ sustainable strategic endeavours to alleviate povertyRole that social networks and new media play in developing /expanding corporate social strategies for contributing in this arena

Some Relevant QuestionsZyngas approach to raise funds through player base and Zynga.org representative of its social strategyZynga.org: Is it different from traditional CSR and if so how?Should a companys value (public or private) determine its social strategy? CEO Mark Pincus strategy: Should he have allowed the studios to determine which organizations to partner and which to turn away? Whether to participate in .org campaign or not? Marks leadership?If you are the CEO of Zynga what criteria you would use to determine partner organizations?Irrespective of Zyngas social strategy outcomes many companies would still go for the traditional model of CSR. Why so?

For Benefit Enterprise: The 4th Sector of the EconomyHybrid enterprises called for-benefit as entrepreneurs are looking to set organizations that generate earned income but give top priority to explicit social missionSalient featuresCommitment to social purpose (also called social enterprise, sustainable business, fair trade and green)Reliance on earned incomeRedefines fiduciary duty ,governance, ownership, stakeholder relationship in fundamental waysFound across wide range of industries and pursuit of myriad important goalsWith a more conducive eco-system ( public policy, financial markets, accounting standards, professional services) in future one might se more of theseThe Patient Protection and Affordable Act encouraging creation of community operated and oriented plans(appropriated 6 billion USD in start-up loans, set a goal for each state in US to have at least one by end of 2014)COOPs(Community Operated and Oriented Plans) combine best of non-profit, for-profit, co-operative and public models