Social media

Blogging, social media & customer service (Part 3)

June 29, 2008 by Susan Getgood

Part 3: Impact of Social Media on Customer Care

Customers are engaging with social media. So are many companies. For example, nearly 12 percent of the US Fortune 500 companies have a blog of some kind. The benefits that accrue for both individuals and companies include deeper relationships with peers and customers, increased awareness of the brand, whether personal, professional or corporate, broader and deeper professional networks, improved search engine rankings and increased traffic to the website.

But what about the specific impact on customer care? How has the social media explosion changed the playing field for customer service and consumer affairs professionals?

As noted earlier, postings on customer care experiences influence purchase decisions. In the SNCR study, 74% reported that they choose companies and brands based on others’ customer care experiences shared online.

Source: Society for New Communications Research, Exploring the Link Between Customer Care and Brand Reputation in the Age of Social Media

The SNCR study also reveals an opportunity. While consumers feel that one person can influence many about a bad customer care experience, only 30% of the respondents thought that businesses take customer opinions seriously. And that’s the opportunity – to start listening and acting on what customers may be saying online.

Source: Society for New Communications Research, Exploring the Link Between Customer Care and Brand Reputation in the Age of Social Media

This is a scary idea for many — indeed most – companies, mostly because we tend to focus on the negative. And there is negative, no question. There aren’t many people in business who don’t know the story of Dell Hell, and how one prominent blogger’s negative postings about Dell customer service exploded into a serious PR problem for the computer maker in 2005.

However, it’s not all bad. Customers leave unsolicited positive comments about the products and services they love every day on blogs, review sites and discussion forums. And for the most part, companies are just as silent.

But not Dell. The company launched its Direct2Dell blog in July 2006 to engage directly and publicly with customers about problems. Though the blog had a rocky start, Dell succeeded in showing even its most severe critics that it was both paying attention and acting on customer feedback. The company monitors consumer sentiment in the blogosphere and has seen its negative rating decline from 49 percent negative in August 2006 to 21 percent negative in January 2008 (Source: Presentation at New Comm Forum 08 by Richard Binhammer, Dell)

There are two very important lessons from the Dell experience. First, top management support is absolutely essential. Customer feedback must be actionable. Dell had that support from Michael Dell. Second, your best customer is often the formerly unhappy customer. Jeff Jarvis, the blogger who launched Dell Hell in 2005, wrote a positive piece about the company’s efforts for BusinessWeek in October 2007 and commented on his own blog Buzz Machine:

“After giving Dell hell two years ago, I may well be accused of throwing them a wet kiss now. It’s a positive piece. But it’s hard not to praise them when they ended up doing everything I was pushing in my open letter to Michael Dell. I’m not saying that I caused that, just that we ended up agreeing and they ended up seeing the value in listening to and ceding control to customers. They reached out to bloggers; they blogged; they found ways to listen to and follow the advice of their customers. They joined the conversation. That’s all we asked.” (October 18, 2007)

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In part 4, we’ll discuss what customer service should do about and with social media.

Tags: blogs, social media, dell

Blogging, social media & customer service (Part 2)

June 27, 2008 by Susan Getgood

Part 2: Social Networks, Communities, Aggregators and Wikis

The third social media space where you will find your customers are social networks. These range from public networks like LinkedIn, Facebook, Flickr and YouTube to private branded networks. You need to understand if your customers are actively engaged in these networks, and participate accordingly.

The easiest way to understand LinkedIn and Facebook is to understand their roots. LinkedIn started as a way for business professionals to connect with each other through mutual connections. Facebook, as the name implies, was the Internet version of the ubiquitous college facebook. Although it started as a closed network for college and high school students, it’s been open to the general public since 2007 and really exploded that spring. Both networks offer numerous interactive features and interest groups in which members can collect around shared interests.

Flickr, YouTube and similar networks are more specific to a certain type of interest; Flickr is photography, YouTube is for video clips, and so on. Conversation happens but it is about the photo, about the video clip.

For the most part, though, these public social networks are more enablers of conversation and community than places where folks “hang out” for any length of time. In my opinion, they have a flatness that stems from their primary role as conveyers of information. However, you need to understand how your customers are participating in these spaces. Some Facebook and LinkedIn groups are very active; if your customers happen to have joined together in one, you should be aware and act accordingly.

Private branded communities, enabled by social software like Ning, let anyone build a community around a set of shared interests.

Companies may also launch their own communities using enterprise-level software. For example, Saturn recently launched a community that exceeded its six-month estimate of signups in the first three weeks.

When these communities succeed, whether consumer-driven or company supported, the conversation and engagement level is generally quite high because the distraction factor of other interests is absent.

Some of the other social media tools and terms you may hear of:

Aggregators or memetrackers like Memeorandum and Tailrank collect the most linked/talked about posts of the day and present them in a threaded format – the original post and the follow-on ones so you can follow the online conversation. Another news aggregator site is Digg, which uses a voting system to promote articles to the front page.
Wikis are simply websites edited by a group versus an individual using specialized software that tracks changes, updates and access rights. The best known public wiki is Wikipedia but increasingly wikis are used by companies for internal project management and support knowledge bases. You will often find them built into online communities.
Podcasts and videocasts are online radio or video shows. They are typically pre-recorded. Unlike streaming audio or video, listeners/viewers can download the show to their computer or a portable device like an iPod and listen or watch whenever they want. Users can also sign up for regular updates.

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In part 3, we’ll discuss the impact of social media on customer care. If you’d like to read more about customer service issues, please check out my client Caras Training’s blog For the Face of Your Business. Principal Ronna Caras has been focusing on customer service of late, and I think you’ll enjoy her perspective. I certainly do!

Tags: blogs, social media, customer relations, customer satisfaction

Blogging & social media: What customer service professionals should know, and do, about it (Part 1)

June 26, 2008 by Susan Getgood

This article is based on a workshop I delivered at the SOCAP International Symposium in April.

Part 1- Defining Social Media: Blogs & Microblogs

Customer service. It’s the new marketing.

Huh? Anyone who has been in business for more than five minutes knows that customer service has always been part of marketing. The scale of the modern enterprise and the realities of distribution may have separated them functionally, but practically, a customer’s experience with our product is just as, if not more, important than any ad, promotion or package.

Ah, but it’s different now. Customer satisfaction is more important than ever. Research conducted by global think tank Society for New Communications Research in Spring 2008 reported that 72 percent of respondents researched products and services online, and 84 percent considered the customer care reputation of the company when making a purchase decision.

Where are consumers finding this information? Not on your corporate website. Increasingly, they are turning to social media like blogs to both share their opinions and find out what others think. In the SNCR study, search engines, online rating systems, discussion forums and blogs were all considered more valuable sources of information than the company website.

Source: Society for New Communications Research, Exploring the Link Between Customer Care and Brand Reputation in the Age of Social Media

Social media is a collective term used to refer to a variety of online tools including blogs, social networks like Facebook and Twitter, and online consumer forums. This article will give you a brief overview of the ones most important for customer service and satisfaction. The key thing about all of them is that they give consumers a way to communicate with each other, fast. Faster than sometimes the company can respond. As customer service and consumer affairs professionals, you need to understand which ones your customers are using, and develop strategies to use those same tools to improve your service and satisfaction.

We’re going to focus on the tools most relevant to customer service: blogs, microblogs and social networks.

Technically, blogs are simply websites developed using a lightweight content management system (CMS). They use HTML, just like your company website, but the CMS tools are designed to be simple to use for people without technical knowledge. Well known CMS include Typepad, Blogger, Movable Type and Word Press.

The things that most clearly identify a site as a blog are:

Content, or posts, presented in an article-like form, in reverse chronological order.
Ability for readers to leave public comments
Ability to subscribe to the blog’s RSS feed or by email

In practice, however, blogs are much more than that. Unlike your company website, which is probably a fairly static presentation of company capabilities not that different from a brochure, blogs are a conversation. Bloggers write about and link to other bloggers’ ideas. They create space on their blog for readers to comment, and they reply back. This dynamic is why news can spread so very fast from blog to blog.

Blogs typically have a point of view and they are not overtly commercial or promotional, even if they are a company or product blog. It’s all about engaging in a conversation in an authentic, honest way.

The easiest way to understand microblogs – services like Twitter, Jaiku and Pownce – is to think of them as group instant messaging. It’s real-time one-to-many; unlike instant messaging, when you post a public message, everyone in your network can see and respond to it. The most popular service is Twitter, and companies like JetBlue, Comcast, Dell and online shoe store Zappos are already using it to communicate with customers.

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In part two, we’ll look at social networks and communities.

Tags: customer service, customer satisfaction, blogs