The Business Value of Social Media to Dell
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1 The Business Value of Social Media to Dell Rajiv Narang Executive Director, Social Media and Marketing Innovation CIO Gallery, Columbus OH, May
2 Where is the ROI Business Value of Social Media 2
3 Why Social Media? Experts will become our best Marketers (inside & out) 3 Confidential
4 Recognizing & Aligning a powerful ecosystem to deepen customer relationships Dell.com External Communities Our Communities Team Members 4 Confidential
5 Dell s Online Heritage: Critical Enabler First to sell complex configurable items First company to hit $1M a day in online revenue Leader in online frictionless commerce from order to delivery One of the first to launch online discussion forums One of the first companies to launch online support Early adopter of social media 5
6 Five years of experiments and experience February 2006 Michael Dell Asks Why don t we reach out and help bloggers with tech support issues? December 2006 Ratings and reviews on Dell.com October 2007 Michael Dell quote in Business Week Jeff Jarvis story quote, These conversations are going to occur whether you like it or not. Do you want to be part of that or not? My argument is you absolutely do. You can learn from them. You can improve your reaction time. And you can be a better company by listening and being involved in that conversation. May 2008 Dell Outlet achieves $0.5M in sales via Twitter Community team active on Twitter Small Business blog launched June 2009 Global Twitter revenues of $6.5 M Dell named #1 most social brand in ranking of 100 top brands August 2006 Blog outreach expands beyond tech support February 2007 IdeaStorm Launched A voting based site allowing customers and others to submit ideas for Dell. March 2008 Accepted Solutions launched on Community Dell France begins Online Community Outreach January 2009 Dell Organizes in to 4 customer focused business units June 2009 $2M+ Sales via Twitter March 2010 China Micro-Blogging Social Media Listening Command Center August 2006 Blog outreach expands beyond tech Support 6 July 2006 Direct2Dell launched Today Direct2Dell exists in English, Spanish, Norwegian, Japanese and Chinese. January 2007 StudioDell launched Dell s video and podcast site, with helpful tips and tricks. Eventually expanding this into the YouTube channel making sharing easier. June 2007 Dell joins Twitter Dell launches EmployeeStorm Internal Blogs Launched for Employees. January 2008 Dell aligns organization for success February 2008 Twitter expanded November 2007 DellShares launched The first investor relations blog by a public company. April 2008 Inside IT launched Blog focused on business customers, and Cloud Computing. June 2008 Channel blog launched Spring 2009 Some Members of Community and Conversations deployed within each of the new Dell Business units 2009 Dell TechCenter December 2009 Huffington Post Blog Dell Social Media and Community University launched/5,000 team members trained by end of year (Aug.) Altimeter recognizes Dell with Open Leadership Award for Innovation and Execution (Oct.) Dell launches B2B pages Facebook (Jun.)
7 SM B2C & B2B 7
8 Intersection of Customer & Business value is where social media works Product Development Marketing Online Presence Feedback Loop Early Warning New Product Ideation Demand Forecast Lead Generation Message Reach Ratings & Reviews Communities Customer Stories Sales Leads Collaboration Thought Leadership Blogs Customer Service Listening Support Widgets Outreach Communication Rich Media Brand Reputation Influence Reputation
9 Social Media delivers business value across the entire customer lifecycle Insight: SM keeps customers engaged, provides solutions and improves loyalty Awareness Insight: Social media improves Dell s reach and share of voice. Social words improve SEO / SEM CLV (loyalty) Dell.com Research and Consideration Insight: Established causality between social media activity and purchase Insight: Social media based support improves sentiment and correlates with higher revenue Support Our Communities External Communities Demand / Lead Gen and Sales Insight: Social Media provides high Business Value and contributes as a demand gen vehicle
10 Our Process: Use Social Media to listen and engage with customers Use Analytics to harness insights & generate business value Social Targeting Social Net Advocacy (SNA) Social Profile/Social CRM Integration of social for customer acquisition and retention Empower employees Generate leads Optimize sales process Improve NPS/Brand health Increase Marcomm ROI Lower support costs Social Media competitive intelligence Listen & Engage Harness Insights Generate Business Value >10 patents in the pipeline
11 Listening and Web Analytics. Integration with CRM data Building the Social Enterprise an analytical view Created a framework to prioritize and guide customer engagement per selected business need. Maintaining a knowledge base of cause and effect. Consistent, outside-in view to all parts of the business harnessing Social Media as a business tool for driving customer centricity Twitter Facebook TechCenter Social Universe Clicks and Comments ID Individuals / segments and Conversations worth engaging + How to engage Integrate with Existing Processes Sales and Marketing. Customer Support. PG / Customer Research. PR / Legal. LinkedIn CNET Ect Maintaining a knowledge base of cause and effect driving improvements in engagement models and predictive analytics Competitive Intelligence.
12 Track the customer river of comments and clicks
13 SNAP Measuring purchase favorability for your brand using Social Data Over 25k Dell conversations everyday Equivalent to real-time customer feedback about each product and every facet of our business How to Measure? Easy to understand metric derived from all social conversations which represents overall brand sentiment and purchase favorability What it tells us? Biz Managers can gauge the effectiveness of their actions in the market and use insights to plan or course correct 13 Confidential
14 How does it work? Aggregate Enrich Collate Deliver Aggregate all conversations pertaining to Dell / industry / competitors Filter, categorize comments into a hierarchy of topics. Determine customer sentiment on each topic using best-in class NLP engine Calculate an aggregated metric (SNA) which represents overall brand sentiment and purchase intent. Weigh different authors differentially Real-time tool for monitoring SNA and actionable insights for business managers at any level 14 Confidential
15 SNA Demo 15
16 Thank you!
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