the friendship model™
Post on 19-Sep-2014
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FRIENDSHIP
MODEL
HOW TO BUILD BRAND ADVOCACY IN A CONSUMER-DRIVEN WORLDTHE
A SELF-GUIDED ORIENTATION BY BRANDON MURPHY
A new business tool?
A positioning for the agency?
A belief about marketing?
A philosophy for how we work?
A measure of our success?
SO, WHAT IS IT?
YES
YESThank you
J/K
Let’s start with the first question...
why did we create it?
Let’s start with the first question...
why did we create it?
[BECAUSE WE HAD TO]
In case you haven’t heard, we have a bit of a sordid past...
GOT IT ?
Well, boiled down:
we were a divided culture
split between two o!ces
with no united perspective
and no common method for doing what we do
(+)
we were falling o" the grid
cast as a regional agency
who specialized in retail
...NOT who we wanted to be.
and...We were trying to change the way we do business....just like every other ad agency who existed before web 2.0
But the real problem...
Source: Microsoft Digital Advertising Solutions
Click to watch video
She’s a consumer.He’s an advertiser.All she wants is genuine a!ection.All he gives is loyalty reduction.
Source: Microsoft Digital Advertising Solutions
People want brands that...
...more like friends than salespeople
ACT
And when brands DO, people talk:
Brands perceived to act on their customers’ behalf have 44% more advocates*[ ]
*22squared Friendship Model Research
So we need to help brandsDO
To get people talking...
BUT...
... we needed to create
relationships worth talking about.
We needed to turn our original way of marketing on it’s head...
Literally
AWARENESS
PURCHASE
[OLD]
PREFERENCE
ADVOCACY
PURCHASES
RELATIONSHIPS
[NOW]
does an agency create relationships worth talking about?
HOW
that good brands are like people.
REALIZE,
ARE THE SAME
The actions that make people great friends
that cause people to advocate for brands
[“you can make more friends in 2 months by being interested in other people than in 2 years by making other people interested in you.”
- Dale Carnegie
]
Think about it...
...what do friends do?
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDSFRIENDS
Makes sense, right?
But how do we put that theory in action?
FRIENDSHIP
State of being a friend
Someone you know and trust
A member of the same group/nation
Allied in a struggle, cause or movement
MODEL
FRIENDSHIP
State of being a friend
Someone you know and trust
A member of the same group/nation
Allied in a struggle, cause or movement
An example of a behavior; a philosophy lived out
Statistical method for accomplishing something
A compass that points you in the right direction
A belief that never lets you down++
[OUR PURPOSE]
Increase the number of advocates
[OUR PURPOSE]
BIGGER
SHAREHOLDER
EVANGELISTRECOMMENDER
MARGINALCUSTOMER
DISSATISFIEDCUSTOMER ACTIVELY
AGAINST
REPEAT SATISFIED
ADVOCATES BUYERS CRITICS
Here’s how we size up advocacy:
% of brand’s customers who are...
TA = A - C
TRUE ADVOCACY
TA = A - CADVOCATES CRITICS
TA = A - C
NOTE: We’ve done lots of research on this...on 180 brands with over 40,000 people
TA = A - C
TA = A - C
Are advocates worth more than other customers?$
YES(THE SHORT ANSWER)
44
TA = A - C
Buy more
Talk and share more
Recommend more
WHAT THEY DO
Spend levels
Conversation rates
Recommendation rates
WHAT WE MEASUREADVOCATES
When advocates talk, brands growFACT :
GROWTH
TRUE ADVOCACY
seriously, check it out...
*Growth index combines revenue growth, profit margins and operating income growth over a three-year period, from 05 - 07
SOURCE: 22squared Apparel Retail White Paper
APPAREL RETAILERS
Average annual growth rate from 05 - 07
SOURCE: 22squared Wireless Provider White Paper, 2008
WIRELESSPROVIDERS
Average annual passenger revenue growth rate from 05-07
SOURCE: 22squared Airline White Paper, 2009
AIRLINES
does the Friendship Model help us grow advocacy for brands?
Play a more meaningful role in their life
Create momentum, get people talking more and moving toward the brand
Identify the actions the brand must take to increase advocates
1) 2) 3)
HOWROLES ACTIONS MOMENTUM
Play a more meaningful role in their life
1)
ROLES
The better friend you are, the more customers talk
Understand the role a brand play’s in the life of the customer and deepen it.[ ]
FACT :
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
351 Index
A unique connection; a brand you can’t live without
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
Inner-circle, depend on, always there.
351 Index
A unique connection; a brand you can’t live without
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
Familiar, in a narrow context, but in a restrictive way.
143 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
Still new, but on the road to becoming closer
320 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
Ambivalent, no expectations and little reward
143 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
On the road to becoming closer
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
By association or inheritance, not solely your choice
286 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
On the road to becoming closer
Ambivalent, no expectations
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
A short-time experiment, likely to happen only once
177 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
On the road to becoming closer
Ambivalent, no expectations
By association or inheritance
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
Lack of options, out of proximity or avoidance.
210 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
On the road to becoming closer
Ambivalent, no expectations
By association or inheritance
Short-time experiment
SOUL MATE
CLOSE FRIEND
NICHE FRIEND
NEW FRIEND
ACQUAINTANCE
FAMILY FRIEND
DEFAULT
FLING
FORCED
No choice, feel trapped and want to escape.
231 Index
A unique connection; a brand you can’t live without
Inner-circle, depend on, always there
Familiar, in a narrow context
On the road to becoming closer
Ambivalent, no expectations
By association or inheritance
Short-time experiment
Lack of options, proximity or avoidance
Remember...
...it’s about BEHAVING like a friend.
IT’S NOT ABOUT BEING FRIENDLY
Identify the actions the brand must take to increase advocates
2)
ACTIONS
The more brands behave like friends, the more customers return the favor
Brands that are perceived to act on their customer’s behalf have 44% more advocates than brands that do not.*[ ]
FACT :
*22squared Friendship Model Research
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDSFRIENDS
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
FRIENDSSPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
HAVE CHEMISTRYcreate a visceral spark or a gut reaction
FIREWORKS FORCED
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
REMAIN AUTHENTIC
FRIENDS
Original, real and distinctly meaningful
FOR REAL FOR NOT
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDS
ACT TRANSPARENT
FRIENDS
Be honest and have clear intentions
CLEAR HIDDEN
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDSARE EMPATHETIC
FRIENDSFRIENDS
Understand their needs desires and lives
GETS ME HASSLES ME
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDSSUPPORT EACH OTHER
FRIENDSFRIENDSFRIENDSBe helpful, useful act on their behalf
THERE FOR PEOPLE THEY’RE PEOPLE?
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
Provide talk-worthy immersive experiences
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
FRIENDSSPEND QUALITY TIME
FRIENDSFRIENDSFRIENDSFRIENDSALWAYS CLEAR NEVER HEAR
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
Common lifestyle belief system or attitude
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SHARE A POV
FRIENDSFRIENDSFRIENDSFRIENDSFRIENDSBELIEVE USE
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
Provide value and meaning beyond the money spent
FRIENDSFRIENDSFRIENDSFRIENDS
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
GIVE MORE THAN GET
A DEFINING EXPERIENCE A VACATION
FRIENDSSPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
Build anticipation, add value & communicateSTAY IN TOUCH
CARD CARRYING MEMBER ON THE SHELF
H AV E C H E M I S T R Y
REMAIN AUTHENTIC
ACT TRANSPARENT
A R E E M P A T H E T I C
SUPPORT EACH OTHER
SPEND QUALITY TIME
S H A R E A P O V
GIVE MORE THAN GET
S T A Y I N T O U C H
INSPIRE EACH OTHER
FRIENDS
Motivates you to be di!erent or betterINSPIRE EACH OTHER
BE DIFFERENT BE NORMAL
Tran
spar
ency
Authe
ntici
tySu
ppor
ts m
eEm
path
y
Qua
lity
time
Shar
ed P
OVCh
emist
ry
Insp
ires m
eGet
mor
e th
an I
give
Stay
s in
touc
h
-10
-5-4
-2
-10
-3
-7-8
0
-11
2)
ACTIONS AT&T IMPROVED THESE ACTIONS?
Category Mean
PERFORMANCE
WHAT IF...
2)
ACTIONS WOW, THIS...
advocacy increase
(07 customer count of 70MM)
(based on 3 per week)
(based on 10% conversion of 33.6MM)new customers a month
Average customer revenue: $606.00
conversations/week
incremental advocates
4%
2.8mil l ion
8.4
3.4
mil l ion
mil l ion
BIGTHOSE ARE
NUMBERS.
Create momentum, get people talking more and moving toward the brand
3)
MOMENTUM
STOPPED TALKING TO BORED TO TALK TALKING
3)
MOMENTUM
FADING STABLE GROWING
STOPPED TALKING TO BORED TO TALK TALKING
Hawaii
Costa RicaVirgin Islands
Florida Keys
Mexico
Jamaica
Belize14
45
242118
-6
-18
3)
MOMENTUM
FADING STABLE GROWING
119
189
52
63
90
Costa Rica social media volume compared with 6 competitors
HAVE ADVOCATES THAT AREN’T LOUD ENOUGH...COSTA RICA:
GROW REVIEWS/POSTS
: :
NOW POTENTIAL
3)COSTA RICA COULD INCREASE THE INFLUENCE OF THEIR ADVOCATES?WHAT IF...MOMENTUM
1 Visitor influences 1 future visit 1 Visitor influences 1.5 future visits
350,000
: :
NOW POTENTIAL
$1,000 $350MMIncremental Visitors
Based on estimated 700,000 US citizens/year
Source: US State Dept.
Estimated from 2007 int’l travel visitors and receipts
Source: UNWTO
Estimated from 2007 int’l travel visitors and receipts
Source: UNWTO
X =Avg. Rev./Person Incremental Rev.
3)small increase = BIG gainsMOMENTUM
BIGAGAIN...THOSE ARE
NUMBERS.
TAKE A BREATH
Let’s get back to the second half of our purpose.
Increase the number of advocatesBIGGER
[OUR PURPOSE]
WE JUST COVERED THIS
Magnify their voice and increase their impact
[OUR PURPOSE]
NOW LET’S TALK ABOUT THIS:
LOUDER
3Imperatives for LOUDNESS
BE OF SERVICE
PROPAGATE
ENGAGE
Actions speak louder than words
Light the fuse
Engage: Right time, right place, right context
2)
1)
3)
BE OF SERVICE1)
Purpose (over positioning)
Content (that builds and spreads)
Experiences (that spark advocacy)
Utilities (be useful)
Actions (do more and do good)
Participation (power of social connection)
Actions speak louder than words
Have a purpose that’s bigger than your product or service.
Entertain and provide content that people can use, influence,
adopt and adapt.
Create experiences worthy of participation and word of mouth.
Alternative Reality Game: Find the new ad. Win a solid gold dice.
Facebook Group for hints.
>
Marketing is the product: create things people can use and make
their lives better.
Hear your run. See your run. Connect with runners.
90% reco rate
>
Do things for consumers, and enable consumers to do
things for others.
Give customers a role in helping the brand succeed, allow them to participate
and they will advocate
PROPAGATELight the fuse
2)
PROPAGATION PLANNING
Plan not for the people we reach, but for the people that they reach
Early Majority Early AdoptersInnovators Late Majority Laggards
Broadcast Media: targets the majority
Early Majority Early AdoptersInnovators Late Majority Laggards
Broadcast Media: targets the majority
Propagation:Spreadable content
CREATIVESTIMULUS
1)
ImagesAudio AssetsVideo Assets
ProductBrand
What can we share that is interesting?
Plan for the content you don’t have.
Propagation Process
CREATIVESTIMULUS
MARKETINTELLIGENCE
Identify Fan CulturesUncover Connection
& Dialogue Points
1) 2)
ImagesAudio AssetsVideo Assets
ProductBrand
What can we share that is interesting?
Plan for the content you don’t have.
What innovator/ earlyadopter tribe can we
connect with?
Propagation Process
CREATIVESTIMULUS
MARKETINTELLIGENCE
Identify Fan CulturesUncover Connection
& Dialogue Points
1) 2) 3)
IDEAPROPAGATION
Blogger OutreachTribe MobilizationPublic Relations
ImagesAudio AssetsVideo Assets
ProductBrand
What can we share that is interesting?
Plan for the content you don’t have.
What innovator/ earlyadopter tribe can we
connect with?
How do we share the idea?
How do we get fans to work for us?
Propagation Process
CREATIVESTIMULUS
MARKETINTELLIGENCE
Identify Fan CulturesUncover Connection
& Dialogue Points
1) 2) 3) 4)
IDEAPROPAGATION
Blogger OutreachTribe MobilizationPublic Relations
PARTICIPATORYPLATFORM
YouTube UploadsWebsiteMobileBlog
ImagesAudio AssetsVideo Assets
ProductBrand
What can we share that is interesting?
Plan for the content you don’t have.
What innovator/ earlyadopter tribe can we
connect with?
How do we share the idea?
How do we get fans to work for us?
Build the platformand feed it with
interesting content.
Propagation Process
CREATIVESTIMULUS
MARKETINTELLIGENCE
Identify Fan CulturesUncover Connection
& Dialogue Points
FEEDBACKPOINTS
Email AccountsVoicemailFacebookMySpace
1) 2) 3) 4) 5)
IDEAPROPAGATION
Blogger OutreachTribe MobilizationPublic Relations
PARTICIPATORYPLATFORM
YouTube UploadsWebsiteMobileBlog
ImagesAudio AssetsVideo Assets
ProductBrand
What can we share that is interesting?
Plan for the content you don’t have.
What innovator/ earlyadopter tribe can we
connect with?
How do we share the idea?
How do we get fans to work for us?
Build the platformand feed it with
interesting content.
Monitor thefeedback andparticipation.
AdSpace Pioneers (Reworked)
Propagation Process
A QUICK EXAMPLE: BWW
EXTENDING THE USE OF OUR ADVERTISEMENT
EXTENDING THE USE OF OUR ADVERTISEMENT
Bu!alo CircleExclusive Email EXCLUSIVITY IS SOCIAL CURRENCY
Give our fans a sneak peekSomething to share to their friends
EXTENDING THE USE OF OUR ADVERTISEMENT
EXCLUSIVITY IS SOCIAL CURRENCYGive our fans a sneak peekSomething to share to their friends
USE FOOTAGE ON THE EDITING FLOORNow we have a platform to leverage additional content that the client paid a lot of money to get
EXTENDING THE USE OF OUR ADVERTISEMENT
EXCLUSIVITY IS SOCIAL CURRENCYGive our fans a sneak peekSomething to share to their friends
USE FOOTAGE ON THE EDITING FLOORNow we have a platform to leverage additional content that the client paid a lot of money to get
EXISTING CULTUREPeople like to share Bad Calls on YouTube
Point our audience to these existing videos
EXTENDING THE USE OF OUR ADVERTISEMENT
Prior to Broadcast
“Bad Calls” shared by others that we neither
claim nor deny involvement
7 Days
Prior to Broadcast
3 Days
UGC Tie-in
SHARING TIMELINE
Upon Broadcast
ENGAGEEngage: Right time, right place, right context
3)
Define your target and their best relationship with the brand
Find the best times to engage with them
Determine the value the brand can add to their life during that time
Determine the ultimate action the brand will take
OOH/SMS
MobileInstant Messaging
Rich Media
Paid Search
Gaming
Social Networks
WAP
Social ToolsSocial Networks
Applications
SweepstakesWidgetsGames
Quizzes
Bracket Challenge
BehavioralTargeting
Social Media
O"ers+CouponsEmail
Rich MediaSocial Networks
Event Alerts
WidgetsDisplay Ads
Social Networks
Mobile Twitter
E-Cards OOH/SMS
Blogging
IM
Free WiFiVideoEvents In-Game
CalendarIn-Store Digital Messaging
Digital/Social Media
Focus
Identify the best channels
Tactics
Featured Drinks
Takeout
Boneless Thursdays
Night Hunger
Beer of the Month
Featured Foods
Sauce Posters
Wing Tuesdays
Website Games
WT Get Here Early Campaign
Website Boss Button
Local Lunch Programs
B2B Local
TV/Radio
WT/BT Messaging Campaigns
Touchtunes
Spring/HolidayGift Card
Cable Added ValueCBS PartnershipLocal TV/Radio
ESPN PartnershipNFL RadioLSM Sports Sponsorships
Football Pick ‘Em
Fantasy Football
Competition Ideas
Bracket ChallengeBuzztime
Local Sports Partnerships
Golden Tee, Silver Strike, Etc.
BWW Film SchoolBlazin’ Challenge
Creatively use the channel to make a connection and encourage conversation
So this is how we use the Friendship Model
Increase the number of advocatesBIGGER
So this is how we use the Friendship Model
Increase the number of advocatesBIGGER
So this is how we use the Friendship Model
LOUDERMagnify their voice and increase their impact
WE BELIEVEin it so much, that we changed our name...
like getting a tattoo only better.
86
137
169
206
244
274
317
352378
403
Accumulation of Friends Over Time
6 to 17 25 to 29 30 to 34 35 to 39 40 to 44 45 to 49 50 to 54 55 to 59 60 to 64 65 to 7318 to 24
Age Group
Source: June 2007 National Consumer Panel Study Among Census-Weighted SampleSample size = 1,168 (Answers are accurate to +/- 2.5% at 90% confidence level)
Our research told us that people make an average of 484 friends in their lifetime.[ ] 484
THE SQUARE ROOT OF FRIENDSHIP
THANK YOU