Word of Mouth Presentation as part of the Social Media Masters 2011 series ( www.socialmediaclub.org ) as presented by Sean Moffitt, President - Agent Wildfire and Author/Managing Director - Wikibrands ( www.wiki-brands.com )

1. Word of Mouth Marketing: Creating Buzz and Engaging Influencers September 2011Social Media Masters NYC @wikibrands Sean Moffitt @seanmoffitt

2. Who is Sean Moffitt…. Just A Blonde Guy With a Cause

3. Agent Wildfire – Canada’s Word of Mouth People

4. We WoM with these Influencers…

5. Wikibrands - 2011 Booklist Business Book of the Year Authored by Sean Moffitt and Mike Dover Published by McGraw-Hill Link Twitter: @wikibrands Facebook group: Wikibrands Now also a Business Consultancy

6. A Premium Brand is Now a Mark of Participation Wikibrands - There’s a new currency on how to build business… “Something you Want” 1950 “Something you Trust” 1910 “Something you Buy” 1850 “Something you Participate In” 2011 “Something you Prefer” 1980 “Something you Love” 2000

7. Forget Marketing’s 4Ps… the Wikibrand 13Es Mission Drivers Would you recommend my brand to a friend or colleague? Well would you? Advanced Drivers Effiliation Experience Premium Drivers Equity Ennovative Entimate Entertainment Basic Drivers Education Entegrity Exposed Exchange Esthetics Company-driven User-driven

8. Web WoM is credible, shareable, action-driving and consideration-driving Word of Mouth Social Media Social Business

9. “Word of mouth is social media’s daddy, social business is its granddaddy.” Word of Mouth Social Media Social Business

10. Technology and tools are less than 20% of the deal “The diffusion of innovation is based more on sociology and psychology than on technology.” Everett Rogers, 1962- The Diffusion of Innovations

12. Grassroots marketing

13. Social influence

14. Customer participation

15. Digital engagement

16. Online community

17. Connected media

18. Member collaboration

19. Awesome customer experience

20. Distributed ContentEquals success in business

21. The 4 Laws of the Social ‘Net Customer -Driven Socialness Authenticity Awesomeness

22. The 1st Law of the Social Net #1 - Awesomeness There is only one thing in the world worse than being talked about, and that is not being talked about. Oscar Wilde, The Picture of Dorian Grey

23. September WoM in New York

24. September WoM in New York

25. Who were #1, #2 and #3 people to fly across the Atlantic?

26. The Law of Awesomeness Online Only 0.9% of Facebook Users have… More than 500 friends Only 1.5% of Tweet conversations… Are three levels (replies) deep

27. In a Wikibrand World- Act different, be different, think different Top 8 Differentiation Drivers Unique Dynamic Different Distinctive Innovative Visionary Daring Progressive Source: Y&R Brand Asset valuator

28. The 2nd Law of the Social Net #2 - Socialness 19 19

30. To Connect

31. To Make Sense of the World

32. To Reduce Risk & Uncertainty

33. To Benefit Economically

35. Me in 2011 Me in 1992 150 3500 X 12 X 170 150 X 12 2000 8000 X 500 X 170 5000 4000 X 170 X 190 800 X 40 1800 People Strength 5.4 Million People Strength

36. The 3rd Law of the Social Net #3 - Authenticity

37. You don’t “Do, Kill, Buy, Trade in Social”, YOU LIVE IT

38. A Culture Change is Required MASS MARKETING DIRECT MARKETING SOCIAL INFLUENCE MARKETING

39. Top Reasons – Why Now Social Media? #1 The Need for Authenticity and Transparency -42% #2 The rise of social networks - 38% #3 Increasing role of wireless/mobile - 35% #4 Customers/people waning attention spans - 25% #5 Media fragmentation - 22% #6 Change in mass marketing effectiveness - 20% Agent Wildfire -The Buzz Report, April 2010

40. The 4th Law of The Social ‘Net – Customer-Driven

41. Customer Experience Reigns - Who Knows Better Than Your Customer - Executives who believe the Customer Experience is the new battleground - 95% Executives who believe they are delivering a positive customer experience - 80% Customers who agree - 8%

42. The Modern Customer’s Key Needs - Engage Me, Excite Me, Make it Easy or Pay the Price -

43. Great Brands Are Like Great Sports Teams…

44. The best brands treat customers like valued fans Scout/ Mystery Shopper Thinktank/ Sounding Board Turning Users, Customers and Consumers User Customer Consumer Into Authors, Producers, Scouts, Testers and Collaborators & Broadcasters Collaborator/Producer Community Member/ VIP Insider Brand Fan Evangelist/ Ambassador/ Advocate Seeded Adopter/ Beta Tester Into True Fans, Community Members, Advocates, Ambassadors and Evangelists AdvisoryCouncil/ Cause Torchbearer

46. Where to Start with WOM?

47. Elwood:Er.. what kind of music do you usually have here? Claire: Oh, we got both kinds. We got Country, and Western.

49. Community

51. Badging (indirect)

52. Pass along Referrals (direct)- Social Influence (indirect) Source- Intersection Consulting

53. What are the biggest elements to WoM? Tools used /platforms built? Customer Experience? Audience who participates? Incentives for referral? Great Product/Brand? Conversation Worthy Idea/Concept? Culture/employees of a company? Strong process? Creative/design used? Method of interaction?

54. Top 10 Ranked WoM Elements Great ideas that spread are rare and valuable #1 Conversation Worthy Idea/Concept* #2 Great Product/Brand #3 Customer Experience provided #4 The Audience who participates* #5 Culture/employees of a company #6 Method in which it interacts with its audience #7 Incentives for referral #8 Strong process #9 Creative/design used #10 Tools used /platforms built*

55. W F I I L R D E Processes and Tools Agent Wildfire – an 8-step process WOM OVERVIEW: WILDFIRE Fan the Flames Rebroadcast content, expand referral, share testimonials What the Big Idea? Buzzworthy, Spreadable, Repeatable, Visual, Online/Offline Incubate the Conversation Ongoing dialogue, moderation, content and incentives Influencer Recruitment Find, connect and invite the connected, savvy opinion leaders Research and Insight Feedback, analysis, adjustment and action Lay the Foundation Develop the platform, forum and tentacles for content and activity Expansion Fuel larger geography, portfolio, activity, features and/or scope Deliver an Experience Online, cause-related, event, incentive or VIP experience

56. Some of these people are not like the others….The Influencer Matters

57. 1690 – John Locke "We are like chameleons, we take our hue and the color of our moral character, from those who are around us.”

58. 1844 – Ralph Waldo Emerson "Who shall set a limit to the influence of a human being?" "The best efforts of a fine person is felt after we have left their presence.”

59. 1991 – Geoffrey Moore “This consumer is part of the herd. They're word-of-mouth creatures ... They're asking their friends and colleagues, 'Are you using that camera yet? Me, neither.' But if they ask around and people say, 'Yeah, I use it all the time,' then they'll rethink and try it out.”

60. 2002 – Malcolm Gladwell The Law of The Few: “The answer is that the success of any kind of social epidemic is heavily dependent on the involvement of people with a particular and rare set of social gifts.” Malcolm Gladwell, The Tipping Point

61. 2008 – Seth Godin “The new opportunity is that it's easier than ever to find, organize, and lead a tribe. The Web has enabled an explosion of all kinds of tribes -- and …created shortage of people to lead them. This is the growth industry of our time.”

62. The open web has not reduced, but instead, exposed the importance of influencers….

63. Influencers Answer Questions 0.7% of Wikipedia users edit… 50% of the articles 1.7% of Wikipedia users author… 70% of the articles

64. Influencers Stay on Top of What’s Current 2.2% of Twitter users account for… 58% of the tweets 1.7% of Twitter users have … More than 1,000 followers

65. Influencers Fan, Poke, Pic, Share… 0.7% of Facebook pages have… More than 100k fans 8.7% of Facebook Users … Update their status daily

66. Influencers Hire and Network 0.8% LinkedIn members … Visit each day 1% of LinkedIn members… …are responsible for 34% of the site’s traffic

67. Influencers Generate Lots of Content High authority bloggers post … 300x more frequently than low authority bloggers Only 9% of top blogs… Get over 10,000 visitors per month

68. Influencers are Big Online 13.8% of online population… …create 80% of the online influence posts 6.2% of online population… …create 80% of the online influence impressions

70. Influence ≠ Followers

71. Influence ≠ Popularity

72. Influence is Interest Specific

73. Influence Can’t Be Peddled

74. Now we can provide the raw evidence

76. Influencers Help Grow Stuff… Brand Advocacy - as a marketer, Influencers are your “people market” multipliers Brand Buzz- as a media person, Influencers are a grassroots complement and amplifier Brand Perception – as a PR person, Influencers are game-changing allies

77. Influencers Help Change and Build Stuff… Brand Content – as an agency or innovator, Influencers are potential creative partners and crowdsourced sources of solutions and ideas Brand Insight - as a researcher or innovator, Influencers are a savvy alchemy of outsider wisdom and feedback Brand Support- as an organization, committed Influencersare extraordinarily effective and valuable brand ambassadors and customer service agents

78. Should we care? Why do we care?

79. The marketing influence model is being turned upside down

80. Influence is not Distributed Equally…

81. Spreading messages effectively on the social web happens in two steps … The Crowd The Influencers

82. You can’t chase everybody… “The suggestion that a firm merely needs to participate in a conversation is a little naive. Microsoft was mentioned 2.5 million times in the blogosphere the previous year, and we have eighty-nine thousand employees. How can you realistically be expected to operationalize a response to all of them?”

83. Why are they so damn valuable?

84. E C S R Four sources of Influencer power x x x = Reach Exposure Credibility Suasion

86. More colleagues and associates

87. More affiliations to groups of interest

88. More links to other influencers

90. Exposed to more interests

91. Make sense of the world more easily

92. More prolific content production

94. More authoritative

95. Honest and care

96. Relevant and Timely

98. Likability

99. Reciprocation and involvement

100. Expressiveness/strong communication

102. The Influencers – Word of Mouth Powerbrokers

104. “The Message Credibility” – 3.6% of population - Gatekeepers, Databanks, Authorities, Filters, Gurus, Torture Testers, Filters “The Message Magnets” 0.8% of the population - Endorsers, Mega Hubs, High Priests, Fame Magnets, A-Listers “The Message Spreaders” - 1.8% of population - Organizers, Sneezers, Bees, Social Glue, Converters, Chatterers, Promiscuous, Connectors

106. Find Your Real Hardcore Fans Invite them into The Front Row or On Stage

107. Why We Word of Mouth? 36 Reasons

108. The Short Version - The Three Basic Reasons Why Ideas Spread through Word of Mouth “It’s Who THEY Are” “It’s WHAT You Do” “It’s Who YOU Are” 10 Audience Attributes 15 Buzz Firestarters 11 Inescapable Traits

109. THE BUILDING BLOCKS OF WORD OF MOUTH – THE 36 REASONS WHY PEOPLE BUZZ - The Brand/Product The Experience The Person Intrinsic-ally Motivated Passionate About the Topic Rallying Cry Authentic Altruistic Intimacy Likable Influence Involved/ Committed Brand Experience Trustworthy Logo Lovers Tight Boundaries Extrinsic-ally Motivated Ritualistic Social Currency Edgy Social Brokers Network Effects Innovative Feedback Seekers The Best At What You Do Memes Self-Expressives Easy to Talk About Visibility Remarkable/ Outrageous Ego-Driven Scarcity Explicitly Motivated Fame Expertise Knowledge Seekers Sensory Bite-Sized Participation ReciprocityDealers Liberating/ Problem Solving VIP treatment/ Customization Rewards $$

110. The Who

111. # 1 – Passionate about The Topic # 2 – Logo Lovers # 2 – Logo Lovers "Life is either a daring adventure or nothing. – p.s. just survived an intentional parachute failure at 10,000ft”

112. # 2 – Logo Lovers “D’OH! The Simpsons’ effect on TV is like the Beatle’s effect on music. We will buy them until they have nothing left to do.”

113. # 3 – Knowledge Seekers “Just another day of blowing something up”

114. # 4 – Social Brokers “You wanna hug it out?”

115. # 5 – Altruistic “Move that bus!”

116. # 6 – Involved / Committed “We're not the only people on this island and we alllllll know it!"

117. # 7 – Seeking Feedback "What does that mean when the fitness instructors are ahead of the mayors?"

118. # 8 – Ego Driven “Show me someone without an ego, and I`ll show you a loser.You’re Fired.”

119. # 9 – Reciprocity Dealers “But we can only offer this level of programming with your help.”

120. # 10 – Self – Expression “SOME PEOPLE THINK BEAUTY IS SOMETHING YOU'RE BORN WITH......AND NOT SOMETHING YOU CAN CREATE......HOW NAIVE!!!!”

121. The What

122. # 11- Social Currency “I thought it'd be great, you know? have some time alone with my thoughts... turns out, I don't have as many thoughts as you'd think."

123. # 12- Brand Experience(s) “I think it’s really down to the wire, and we’re afraid we’re last.”

124. # 13 – Fame “I genuinely believe with all my heart that we have found (a worldwide star) with you.”

125. # 14 – VIP Treatment / Customization “Sophie gets what Sophie wants and Sophie is always right”

126. # 15 – Scarcity ” Watch out—I’m coming to town and I can’t bring all my friends, so I’ve decided to look for a new BFF. I need a best friend who is hot, who can keep up with me, and most of all, who is real and won’t be a backstabber.”

127. # 16 – Influence “You can only vote for him, you can't actually adopt him. Call now."

128. # 17 – Intimacy “Will you accept this rose?”

129. # 18 – Visibility “The top 10 CNN heroes -- remarkable everyday people changing the world -- were revealed by CNN's Anderson Cooper. All were nominated by CNN viewers inspired by their hard work and commitment.”

130. # 19 – Tight Boundaries “Yeah, I'm obnoxious, yeah, I cut people off, yeah, I'm rude. You know why? Because you're busy. “

131. # 20 – Rallying Cause “And remember you can make a difference…”

132. # 21- Rewards “DEAL OR NO DEAL”

133. # 22 – Expertise “So now America, with an open heart and an empty stomach, I say unto you in the words of my uncle: Allez cuisine!”

134. # 23 – Bite-Sized Participation “There’s no such thing as 110%. It stops at 100.”

135. # 24 – Network Effects “Books were my pass to personal freedom. I learned to read at age three, and soon discovered there was a whole world to conquer that went beyond our farm in Mississippi.”

136. # 25 – Memes Man hands “No soup for you! There was shrinkage! Vanderlet Industries! The bro and manziere. Happy Festivus. Yada, yada, yada.”

138. # 26 – Innovative "The following takes place between ??:?? and ??:?? pm"

139. # 27 – Remarkable/Outrageous “What's the quickest you've ever knocked anyone out? 18 seconds including the ten-count. I think you're gonna break that today. “

140. # 28 – The Best At What You Do “That was unbelievable.”

141. # 29 – Authentic “This is NOT fashion camp!”

142. # 30 – Liberating / Problem Solving “Dead body, Bonus!”

143. # 31 – Edgy “Move forward. This never happened. It will shock you how much it never happened”

144. # 32 – Trustworthy “I understand that you want to make finance entertaining, but it's not a f***king game”

145. # 33 – Likeable “Just go up to somebody on the street and say "You're it!" and then run away.”

146. # 34 – Easy To Talk About “You’re engaged ?”

147. # 35 – Ritualistic “The belief in a supernatural source of evil is not necessary. Men alone are quite capable of every wickedness.”

148. # 36 – Sensory “Who will speak for Planet Earth?”

149. Summary - The 36 Reasons Why People Word of Mouth

150. 30 Hard-Won Tips to WoM The best preparation? The top ideas? The right squad? The golden touch? Avoiding the potholes? Building relationships?

151. #1-5 Live in the tribe …. - Find your lifestyle target, read their content, listen to their exchanges - Make a scouting report about their likes, dislikes and interest - Know who they hang with - Link to their content, credit their work - Go easy - Make a friendly first connection

153. Video chat

154. Phone call

155. Chat service (AIM, Skype)

156. E-mail

157. Facebook message

158. Facebook wall post

159. TweetAre you listening to me? Highest engagement Lowest reach Lowest engagement Greatest reach

162. Does it combine your brand traits, with motivating activities and a primed audience?

163. Does it max out on one of the 36 reasons why people word of mouth (and three of them on a secondary basis)

164. Does the experience and follow up match the promise that’s been set up? Does your buzz have longevity?

166. Are you grabbing the right type and combination of influencer (tastemaker, trendspotter, opinion leader, expert, social ringleader, celebrity) at the right time and motivation?

167. Do they feel connected to your brand or mission for reasons beyond the freebie – social connection, shared values, ability to express?

169. Celebrate their talents and the new tribe they’re in

170. Let them know “why” they’ve been chosen

171. Involve them in what you’re doing, before you do it

173. Give them tools and forums to make their participation easy

174. Set up content so that is easily shareable and customizable

175. Thank them, regardless of outcome

177. Provide unexpected surprises along the way

178. Create milestones, celebrate upon achievement

179. Expand/tier/refresh circle of influencers over time

181. Let’s Start The Conversation… Inquire: sean@wiki-brands.com smoffitt(at) agentwildfire.com Phone: 416-255-4500 x226 URL: www.wiki-brands.com Blogs: http://BuzzCanuck.typepad.com/ Explore: The Buzz Report (e-newsletter) Signup at www.AgentWildfire.com Learn: Executive Seminars