Social Networks Part 4: Quantitative ROI
October 6, 2008 by Mary Wynne-Wynter · Leave a Comment
RedShift Social Media-Network Model for Business
Businesses across all industries are paying more attention to social networks which are predicted to explode worldwide. Although clearly there’s tremendous opportunity and potential it can be overwhelming to grasp the rapid disruption happening and the voluminous information getting pushed out.
Decision makers need help discerning what’s valuable from what’s hype and in taking a direction that makes sense for them. My goal is to help them do that with a unique 4-stage map that is more strategy than tactics and more visual than wordy.
My posts on stages 1-3 are:
- Social Networks Part 1: Community Segmentation
- Social Networks Part 2: Integration
- Social Networks Part 3: Qualitative ROI
The purpose integral to my model is that businesses of all size increase their natural natural influence by using social networks to expand their social capital, brand awareness and sense response skills and abilities.
The quantifiable return in my model is the sum of actionable metrics that follow the qualitative experiential learning of the earlier phase. What’s most important in the very organic world of social networks, is patiently directing the movement, or progression from one stage to the next and not losing commitment to authentic community relationship-building in the quest for ROI.
I developed this model to support a practical approach to social media with recommendations including:
- Determine if and how social networks can help you grow your business and/or improve profitability.
- Accept the disruption resulting from a shift from seller to buyer power.
- Involve people in the decision making process who will challenge assumptions and habitual responses to change and disruption.
- Understand that it will take two years to measure returns on integrating social networks, whether external, internal (behind the firewall), or both.
- Model natural and authentic communications both offline and online and give incentives for participation.
- Don’t wait, over-plan, over-control, micro-manage or over-analyze. Adopt a test and learn approach to social networks.
- Be open-minded and creative about results and metrics you choose to track, knowing that you could get an unexpected equivalent result, or something even better.
- If the above don’t convince you, consider the cost to your business of doing nothing.
Social Networks Part 3: Qualitative ROI
October 2, 2008 by Mary Wynne-Wynter · Leave a Comment
Return on Natural Influence - RO(n)L
In previous posts I’ve talked about Social Networks: The Pre-requisites, a model for Social Network Community Segmentation, and also Integrating Social Media and Networks (using RedShift as a case study).
Clients, of course, want to understand the ROI, in quantitative metrics, of their investment in social media and networks. That’s understandably important to them.
But its helpful to first understand ROI from a qualitative perspective to ensure that there’s a success path that makes sense and that can be simply and effectively communicated to gain support and participation. If you can’t do that, you could go the wrong way and reach a dead end when you try to quantify the return on your social network investments.
Its important to understand that the link between your investment and the quantifiable return is “indirect”. You need a map to get from one to another.
Three major roads on the RO(n)I map are:
- Social Capital: shared information, support and strengthened ties that facilitate business actions and inter-actions.
- Brand Awareness: the cumulative trust-building effect of proving the brand promise, demonstrating the brand message and building the personal/business reputation.
- Sense Response: unique individual and collective skills and abilities that result from practicing a new way of listening and interacting so that you respond to change before it happens and unmet needs before they’re expressed.
The map may have different signs and paths, depending on your specific business and industry. But having one is critical to avoid getting lost in a failed social network initiative.
Use visuals to simplify and clarify.
August 26, 2008 by Mary Wynne-Wynter · Leave a Comment
RedShift: Natural influence expansion in the connected world
Most of the popular small business advice is tailored to product companies. That’s because service firms are always more challenging to define and differentiate without creating complexity which then leads to confusion. And that confusion will increase as new small and solo professional service firms are founded by generalists, multiple careerists and encore careerists.
The nimble solo psf’s are uniquely able to create services for evolving markets that emerge from disruption, convergence and shifting demographics. Their challenge is to simply and effectively communicate who they are, where they’re going and how they help their clients.
If I can’t easily explain my content, I step back, formulate a question that I think needs to be answered and then convey that answer in some visual format. I give my right brain the right of way so to speak. I know its a highly effective method for gaining “creative clarity” and I use it extensively and successfully in client work.
Here’s a recent example of mine. To improve my ability to more clearly communicate RedShfit’s benefits to my clients and community, the question I asked myself is: How do RedShift programs create natural influence and why is that good?
By creating the graphic, I let my right brain (mostly) give me the answer.
You don’t need high-end graphics skills to do this; a whiteboard sketch is great. I used CmapTools for the natural influence concept map.
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Naturally influence the sales call
August 25, 2008 by Mary Wynne-Wynter · Leave a Comment
If you’re in professional services you’re hearing some version of this when you make a sales call: “All this blogging and social networking and having conversations is too much work, too expensive, giving my expertise away for free and just another passing fad. I need to get good leads because I know I can close the business if I have the leads. So I want you to help me with a business development plan so that I meet my business and life goals and objectives.”
In the past, I’d be immediately mentally rehearsing my exit thinking “they’re clueless, don’t waste your time, there’s nothing here.” I’m now practicing a better response by being be present with, open to and curious about these potential clients. My approach is to meet them where they are and drop any attachment to getting their business. I don’t try to persuade them about anything, its futile. And I avoid getting drawn into long, detailed story and history, its meaningless.
What I commit to is understanding how a business owner responds to change out of old habit and then continually reinforces the counter-directing assumptions by endlessly, willfully and forcefully repeating them. “Push” is the modus operandi. But “push back” is no longer mine. That alone can shift the dynamic of the meeting and create an opening for inquiry, deep listening, re-framing and shared understanding. Whether new business results or not, positive fulfillment, often indirectly, unfailingly corresponds with my choice to be naturally influential, even when the sales call seems hopeless.
I may not get a new client, but I’ll definitely gain a new friend.
The value of You!
July 24, 2008 by Mary Wynne-Wynter · Leave a Comment
If everything you read or hear about money and finance contradicts your present experience, what you want and where you’re going, why look or listen? Think about it: do you want the so-called “experts” to determine your worth?
You may protest, saying you have $100 in the bank and owe $20,000, so you know you’re toast. Really? By what criteria? Most of the financial valuation criteria was designed for a world economy that bears little resemblance to the present, and maybe none to the near future.
So perhaps:
You’ve heavily invested in your physical well-being that will likely prolong your life for 20 years. Is that not a high-yield investment?
(click image to enlarge)
You’ve created a global micro-branded business that is not generating much revenue. What about the many intangible assets that can be amortized? How much? How long?
You’re beginning your encore career and are concerned with making yourself and the world better. How do you value your present and future impact? On how many lives? For how many generations even after you’re gone?
You’re sticking out, for 8 more years, a job you despise to meet your financial goals. How do you value what you really owe for that 8 years, or beyond?
The probable scenarios are countless. What does yours look like?
Remove your attention from the 100% negative financial reporting and boldly claim and create the value of you. Its not a fantasy. Its creative authority. Perhaps your -$19,900 negative worth is actually +$4 million. Which will you intend?.