Monday, 31 October 2005
Happy Halloween!

Amusingly, Hetty was on a conference call with a very important client during the whole proceedure.
Happy Halloween!

I got to meet John Moore of Brand Autopsy today. He spoke here in Tulsa at the local BMA chapter meeting. Neat guy. He presented on marketing lessons learned from his experience at Starbucks. It's all stuff that is going to be in his book "Tribal Knowledge" due out next fall. Tulsa BMA, on the other hand was a little trippy. There was a bit of an impedance mismatch between John and the local Tulsa marketing folks, but I think they dug him, as did I.
He presented 10 "nuggets" of Tribal Knowledge. I'm not gonna steal his thunder and post all ten but I will say that I could post them and tell you they came from Kathy Sierra and you wouldn't know the difference.
I do want to mention some personal favorites though.
Favorite number 1... Tell the Story. Don't make up a story.
With all the talk about transparency and story telling I think this is a simple and insightful point.
Favorite number 2... Sample to Share. Don't Sample to Sell.
The point here is that Starbucks empowers their partners (what they call employees) to share their passion for coffee with customers. The difference here is subtle but important. The irony here, of course, is that Starbucks Samples to Share... to Sell.
Favorite number 3... There's only one reason to start a new business - to change the world.
Idealistic? Sure. But what a great sentiment.
In summary, John Moore... neat guy, great thinker. Check him out!
I just finished Dave Balter & John Butman's new book Grapevine. Dave is the founder of the paradigm-shattering buzz marketing agency BzzAgent, and renowned nice guy. Wow! What a great look at this radical proactive approach to word of mouth marketing.
The book is about BzzAgent's conception and young history. It explores BzzAgent's approach to WOMM with great stories illustrating lots of wonderful lessons learned. The usual suspects are in there - honesty, transparency, remarkable product first, listen, listen, listen - but they're presented in an unusual way - specifically with concrete examples and anecdotes. There's new stuff too - The Myth of the Influentials and The Weird Value of Negativity are both things I want to talk about in later posts. But more importantly, this book is really fun to read. Dave and John - them kids is funny.
In the interest of full disclosure, while reading this book I became BzzAgent mattgalloway. I'm signed up for the BzzBlast of this book but, as far as I can tell, I don't get anything for my efforts and I'm not really sure what I'm supposed to do. I really just signed up to figure out what the hell BzzAgent is about and besides, I'd be writing this anyway - except now I have to add this annoying disclosure. I did get a free copy of the book at the NYC WOMMA event - but I would have bought it anyway because, as Seth Godin said, my friends, colleagues and competitors have probably already read it. I met Dave Balter at the same conference we talked for approximately 2 minute 47 seconds during which conversation he offered me no compensation of any type. He did mention that he's read my blog and I think I said something about wanting to find out more about BzzAgent but it was typical conference small talk. He's since sent me an email that said - and I'm paraphrasing slightly but only slightly - "nice to meet you" to which I responded - again paraphrased - "ya, right back at you". I'm not under hypnosis or drugs - legal or otherwise - of which I am aware. My wife works for a market research firm although I lie about this on surveys because otherwise they don't let you take them. Oh, and I'm Pieces in case that matters. I hope you guys at Commercial Alerts are happy.
The thing that I love most about this book is the fact that you can't tell the marketing from the market research. To me, this is a clear sign that we're really talking about WITH* marketing instead of AT* marketing. WOMM folks love to talk about listening - which I agree is critically important. But listening is not really marketing - it's really market research - so I'm gonna start calling the listening part of WOMM - WOMMR. Online CGM monitoring, for example, is not WOMM, it's WOMMR.
Recently, there have been some discussions of engagement or the lack thereof, particularly of large consumer facing companies like the incompetent folks over at Volkswagen. These large companies are listening or at least monitoring but they take this information into the conference room where it gets talked to death - way outside of the consumers' view. So you know what people are saying - now what are you going to do? The CGM analytics folks like to call the results of their monitoring tools actionable business intelligence. Great, so what's the action? You've got the WOMMR part now what about the WOMM.
Well, here's where things get a little tricky. This is where old habits die hard. This is where good ideas get melted down and pounded into mediocre SparklyPerfect* marketing messages or worse... the Subservient Chicken or Perky Squirrel*. Marketers that are learning about WOMM and trying to jump on the bandwagon are taking their WOMMR and going into the war room to design a killer SparklyPerfect marketing campaign that will be just what people want. They go into their branstormers and emerge six months later without a clue what people actual want or what they are actually saying.
This is still traditional marketing. It might be based on six month old WOMMR but it's still AT marketing. It's ain't WOMM.
Remember that with WOMM you don't control the message. You might based your message on what WOMMR tells you people want to hear but it's still your mouth. It ain't WOM if it is YOUR MOUTH - regardless of the message or where the message came from.
So, one approach is then to call a company that has tens of thousands of volunteers ready to listen to facts (not marketing messages) or willing to try products and then talk with others - good or bad - and report back. (That company would be BzzAgent BTW.) You ask people to talk - they may not, they may say negative things - and then they tell you how it went. Not only do you have little to do with the actual message, you don't conduct your research until after the (hopefully purple) cows is out of the barn. You can have WOMMR without WOMM, but not the other way round. If you are not generating WOMMR from your WOMM effort then sorry, it ain't WOMM after all.
After reading this book, thats my epiphany. A litmus test for (good) WOMM is whether or not it generates WOMMR.
WOMM, WOM, WOMMR
I think that's the real genius of BzzAgent.
*WITH marketing, AT marketing, SparklyPerfect, Perky Squirrel are all terms from the book. I think they are all destined to be as common as Godin's sneezers, Gladwell's connectors, mavens and salesmen, and Keller & Berry's Influentials so I'm gonna start using 'em now so I can say I knew Dave when...
About 35 million workers -- one in four people in the labor force -- visit blogs and on average spend 3.5 hours, or 9%, of the work week engaged with them, according to Advertising Age’s analysis. Time spent in the office on non-work blogs this year will take up the equivalent of 2.3 million jobs. Forget lunch breaks -- blog readers essentially take a daily 40-minute blog break.
A few days ago, I had the opportunity to speak with Shawn Conly, VP of Advertising and Consumer Insights for Electronic Arts about EA's use of blog analytics tools. This was the first "interview" of this type that I've done for my blog and Shawn was super gracious. We talked on the phone for about 30 minutes or so and he provide me with some great new insight into how these tools are really being used.
EA is unique in that they are the only company that competing CGM analytics firms Intelliseek and Umbria Communications both publicly claim as a customer. I had hoped to get a real world side-by-side comparison. On a personal note, I also wanted to write a better article than the "professional" journalist over at Business 2.0. Alas, it turns out that the services of the two competitors are used differently at EA and Shawn has no direct knowledge of EA's use of Intelliseek's services - although he had nice things to say about Intelliseek's CMO, Pete Blackshaw from his experiences in a former life.
A little over a year ago, Shawn was the guy responsible for selecting Umbria over Intelliseek. He was pitched by both companies and was left with definite opinions about differences in the offerings, but he's quick to add that he hasn't actually used the Intelliseek product. Since then, Shawn and his folks have used Umbria's products for ongoing tracking of buzz about EA and all of its games titles in the blogosphere. Shawn says EA has used Intelliseek on a few small narrowly focused projects, but they were outside of his purview.
"Ours is a market driven by trends." says Shawn. "Much like Hollywood's opening weekend, video games are made or broken in the first two weeks of sales." Understandably EA uses all kinds of traditional and non-traditional MR. Their adoption of blog analytics was driven by the opportunity to add another dimension of consumer insight. By tracking sentiment trends, particularly by demographic, EA can better focus their marketing efforts in those crucial weeks just before a game's release.
EA only considered two vendors for the job - Umbria and Intelliseek. Shawn was unaware of competitor BuzzMetrics or any other vendor offering comparable services. I should point out that Shawn is no technophobe - he came to EA from Intel where he was responsible for all of Intel's websites world-wide. He gets this stuff and has a deep appreciation for the potential of the technology. That said, he only knew of the two vendors - I think this is telling of where this young industry is in the development cycle. It's still anyone's game. But I digress...
Shawn was impressed with the sales presentations of both vendors and still has a strong recollection of Intelliseek's pitch. When asked what tipped the decision, Shawn said that there were two clear points in Umbria's favor...
Since the video game market skews young and male, it's easy to understand why EA is interested in Umbria's ability to infer age and gender in order to separate the insights of their traditional and non-traditional customers. When I asked Shawn if he thought Umbria's inferred demographics are reasonably accurately, he responded "Well that's the million dollar question isn't it!" He went on to say that when compared to EA's other traditional MR sources that Umbria's data "seems to be pretty consistent with positive and negative sentiment trends within demographics." He then quipped "It's better than not having anything."
He mentioned that he thought Intelliseek may have developed demographic profiling since EA's selection of Umbria, but that it wasn't available at the time. It's my understanding that Intelliseek is currently in beta with demographic profiling, but clearly Umbria has an experiential lead of at least a year in this area.
Umbria is less than two years old. Intelliseek is over seven years old. Shawn was impressed with the technological capabilities of both firms but he characterized Umbria as "new and hungry". "Umbria was able to offer a higher value proposition" Shawn recalled, noting that Umbria's offering was less expensive than Intelliseek's. He said that Umbria was able to provide solutions that EA was able to add into their existing dashboards. Shawn often works directly with Umbria founder and CEO, Howard Kaushansky and praises their ability and willingness to be flexible to EA's evolving needs on an ongoing basis.
Of course, not all of the "pros" were on Umbria's side of the spreadsheet. Shawn's impression of Intelliseek is that they have more "consultative experience" than does Umbria citing both the presentation of Intelliseek's deliverables and their P&G heritage. Shawn thinks that EA is only scraping the surface with blog mined insights and says they are still trying to figure out the "business implications" - the action part of actionable. Shawn's impression is that currently, Intelliseek is better equipped to help clients understand business implication than is Umbria. Generalizing, Shawn said that Umbria seems more technology focused while Intelliseek seems more consultative.
EA has been using Umbria for a little over a year. They have integrated Umbria data into existing dashboards. Shawn says all of the deliverables from Umbria that they use are web-based and dynamic. He's been impressed with the level of detail and reporting available and specifically mentioned EA's use of positive/negative sentiment, demographic profiling, timing, trending and positive/negative trending features. The Umbria interface allows EA to look at a quantitative summary of positive/negative sentiment within demographics about particular title or concept and then drill down into individual full-text posts if necessary.
EA's Umbria subscription only gives access to data related to EA, one of it's titles, or other agreed upon subjects - this is typical of CGM analytics products. Shawn praises Umbria's ability and willingness to adjust the scope of their subscription to meet changing needs or competitive analysis. "I just call Howard and let him know what we need." says Shawn.
One interesting aspect of online CGM analytics is coverage. Most vendors claim to cover not only blogs but also forums, Internet newsgroups, etc. That said, blogs are the low hanging fruit because of RSS feeds and ping servers. I often question coverage of forums and such because of the relative difficulty of reliably extracting speaker identity and text.
So, I asked Shawn about his perception of Umbria's coverage. He said "I don't have a good sense of coverage outside of the blogosphere, but I don't think Umbria has a lot in forums." Shawn goes on to say that EA is in a unique space in that they have a long history of being involved with several large video game focused online forums and as such feels that they have a good handle on this aspect of online CGM. Shawn views Umbria primarily as a blog analytics tool.
Overall Shawn is very pleased with Umbria's products and service, but feels that EA is not yet getting "complete value of [the data from Umbria]" and wants to "get more out of what is provided by [Umbria]". Shawn looks at this as an EA issue and not a short-coming of Umbria but agrees that Umbria would be well served by bolstering the consultative aspect of their offering. Shawn is big on the potential of blog analytics but emphasizes the need of the industry - both vendor and client - to figure out the "business implications" riddle.
Finally, I asked Shawn the golden question: "Would you recommend Umbria to peers who are considering blog analytics vendors?"
Absolutely! Umbria has been a really good partner. They are very willing to adjust to changing needs. They've always been right there with me. I have no regrets.
Thanks to Mr. Conly for taking the time to talk with me and to Ms. Nagel for introducing us. Those kids over at Electronic Arts really get it.
Not to be discouraged, I contacted P & G’s communications department this morning, and Tami Jones, from P&G Corporate ER told me,
“P&G does not compensate any participants, there are no cash payments, some programs for our clients do involve free samples, but that is because people have to see the product to get an opinion about a product.”
I asked Tami if P&G provides any training to participants on how to advocate a product. Tami said,
“We don’t provide any training, actually we don’t encourage, or discourage participants to talk about the products. We don’t require participants in the Tremor program to promote or endorse the product. We see the Tremor program as a teen word of mouth advocacy program; participants are informed and not compensated for taking part.”
It seems pretty clear to me that P & G is not paying people to endorse products and therefore is not breaking the FTC’s rules. Gary do you have further comment on this issue, exactly what rules is P & G supposed to have broken?
Commercial Alert, a Portland, Ore., organization backed by Ralph Nader, said today it had written to the FTC to request an inquiry.
...
Commercial Alert singles out Tremor, in part, because the company is said to have enlisted 250,000 teenagers in its buzz-marketing sales force. According to Tremor’s Web site, “P&G created our unit to drive research and explore the challenges and promises of word-of-mouth marketing.” The Web site also claims to deliver 200,000 influential teenagers, the “gateway to the total teen population.”
110 percent: You can give 100 percent. That’s all. More annoyingly, offices are in the midst of metaphorical percentage creep. Since 110 percent is now expected, now employees are giving 150 or 200 percent. Until human cloning is commonplace, never cross the century mark.
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I start driving to New Hampshire three days later and the brakes freeze and I got smoke pouring out of the back of my car.
Pete Blackshaw has some thoughts on my Listening to Online WOM: A Primer article. Matthew Hurst points out that "NLP it's not just about classification!" and suggests reading the Wikipedia entry on Natural Language Processing for a more accurate definition. Unlike me, Matthew knows what he's talking about when it comes to NLP and the like. While somebody calling themselves "Diddy" agrees with me that the industry could use some more tangible examples. (Sure it's an anonymous endorsement, but an endorsement none the less.) Also Jeff Nolan of SAP Ventures quotes me and says some nice things.
I'd love to hear from others on this. As I tried to explain to Matt H. on his blog, my intent was to help marketers and market researchers get a better feel of the CGM analytics space. Let me know what you thought.
So, according to Gfk NOP, people – particularly Influentials – read newspapers and print media a lot. However, according to Starcom USA (via Ad Age - free reg. required)
...65% of the consumers believe that advertisers pay for editorial mentions [in magazines].
So the conversation goes something like this:
Marketing Guy: Roper* says everyone reads newspapers.
Cluetrained WOMM Advocate: Sure they do Otto, they just don't trust them.
Marketing Guy: Well in that case, let's pay the magazine guys to say good things before it's too late.
Okay marketing folks, listen up. Karma time. For years you've known that it doesn't matter if your product or service is any good as long as people thought is was good. Perception is reality, right? Well guess what, it doesn't matter if you shill or not either – you've already lost consumer trust. Perception is reality, you moron. This is what Pete Blackshaw means when he talks about the marketing commons.
Now, go watch "My Name is Earl" to figure out what karma is.
* The Marketing Guy calls GfK NOP "Roper" because no one in marketing seems to know the real name. Maybe if they went more that 12 months without changing the name it would help. Hmmmm. Being a really good market researchers doesn't necessarily make you a good marketer I guess.
Matt Galloway
Mobile Phone: 918-808-3072
Height: 5'6"
Qualifications: None
Location: Tulsa, Oklahoma USA