May 19, 2011

Yelp helps drive local business accountability

As more consumers look to the local business review and rating site, Yelp, merchants and service providers are finding themselves reviewed like never before. Yelp was founded in 2004 and built "to help people find great local businesses like dentists, hair stylists and mechanics." From 2007, site reviews grew from less than one million to about four million by 2008.

Initially, Yelp seemed to spark popularity for restaurant and coffee shop reviews, but the range of businesses being reviewed has increased dramatically as its number of visitors has increased. Do a local search on Yelp now and you'll find reviews for practically anyone who sells goods or provides a service, from moving companies to psychiatrists.

Many companies who've heard about Yelp have signed up for their free account, manage their profile and -- if their smart -- attempt to manage customer feedback. This includes damage control, when a customer leaves a negative review. Yelp allows businesses to comment on reviews and send messages to reviewers. Often, a reviewer will update negative feedback with a positive comment about how the business apologized or compensated for some lack of service. Some businesses take it a step further and ask their customers right after purchase to leave a review on Yelp.

Sadly, it also seems that some businesses aren't yet informed about Yelp or don't care about negative reviews. And that can hurt them. A co-owner of a San Francisco based moving company says, "Oh that Yelp....I don't pay any attention to it." I'm guessing he didn't like what some people had to say (and some reviewers can be harsh with their comments). Unfortunately, what business owners like this fail to realize is that customers care about what others are saying and they're making informed decisions on what businesses to patronize from Yelp reviews.

August 9, 2010

Consumers dramatically increase their leverage with social media complaints

Before social networking, consumer complaints were limited to a phone call, a letter, or an email to one audience: the company whose product or service they were complaining about. They had little power over the actions the company would take. Would the company give them a refund or other desired result? Would they even respond to the complaint?

The sad truth is that most complaints were never satisfactorily resolved in the favor of the consumer through old media channels. Buyers had very little leverage. Unless the complaint received attention from a large audience - e.g., newspaper or TV media - most companies got away with delivering mediocre products or service. But social media has changed that.

Social networkers are the new global advertisers, evangelists and consumer "watchdogs."

Facebook Friends and Twitter Followers have become the large audiences that Television, Radio, and Newspapers once supplied. Through social media channels, consumers have dramatically increased their leverage. What used to be a solitary, one-line complaint in an email to Customer Service can now be a 140 character product killer.

Companies who've caught on to the power of social media are now carefully monitoring sites, especially Twitter and Facebook pages where audiences can reach the multi-thousands. Dell, Wells, Fargo, and Eddie Bauer are some of the companies who have set up Twitter accounts or Facebook pages (often both) to deal with both consumer accolades and complaints.

Jessica* who had problems getting a refund by Dell found quick success through Twitter. "I emailed Dell customer service repeatedly and got nowhere," she recalls. She then decided to tweet her frustration on Twitter and heard back from Dell via a Twitter reply in less than 30 minutes. "They took my information and a check was sent in a few days. It was so easy."

Jessica was successful because she has a lot of Twitter followers, but on Facebook, buyers can receive equal attention through company Facebook group or fan pages, which boast hundreds to thousands of followers (note however that unlike on Twitter, Facebook moderators can delete user posts).

Melanie*  discovered how leaving a comment on the Lands End Facebook page received her the attention and answers she desired much more quickly than if she had called or emailed them. "They not only acknowledged my complaint on their page, but also immediately sent me a private message."

Successful companies know that customer satisfaction is a big component of company sustainability.  Now that social media makes consumer opinions so transparent, buyers have a lot more power than they used to. This also means that companies need to pay more attention to how they handle consumer complaints - online and through traditional media to avoid social media complaints in the first place. I suspect those companies who are keeping up with the social media bandwidth will fair much better than those who ignore it. News travels much faster and much further today thanks to global networking sites.



*Name changed to protect privacy.

February 19, 2010

U.S. Americans are socializing like the rest of the world - thanks to Meetup.com and Social Media

For many years, socialization among US Americans has been a topic of particular interest for me. Perhaps, it's because I've socialized with friends from around the world since I was very young, yet born and raised in the U.S., and noticed some key differences (and because my degree is in Psychology).

For me, it started with pen pals - from Greece, France, and Japan (I'm still in touch with my Japanese friend after more than 20 years!). In college, my pals were from Germany, Nepal, Greece, and who had multiple citizenship with the US, France, and Italy. I spent a Semester Abroad in Paris and hung out with students from all over the world. After college, I befriended a group of South Americans from Chile, Argentina, and Peru. For the past several years, I've also enjoy my Brazilian friends, as well as those from Scandinavia.

One thing that has stood out to me for a long time is the difference between how US Americans (and maybe Canadians) and other nationalities socialize. The distinction I've noticed is this: After college, US Americans tend to be very "couple-oriented" while those from other countries still socialize in groups. By "couple-oriented," I mean male and female, romantic couples (though certainly, it may be similar for non-heterosexual couples). If you're in a relationship in the US, chances are you'll be invited to dinners or outings where there are other couples (US Americans tend to be obsessed with even-ing out the number of male and females). Chances are, if you're single, you won't be invited to these same events (noticed that single folks?).

Non US Americans socialize in pairs, sure, but they also socialize quite a bit in mixed groups. For example, when I hung out with my South American friends, we would do things together, as a group. It was a mixed group of females and males, some couples, mostly singles. If, say, I wanted to go to a movie, I could call up any of the friends, male or female, and ask them if they were interested - without the platonic vs non-platonic stigma you find in North America (e.g., "She/he wants to date me"). How refreshing!

The important social psychological / anthropological point I'd like to make regarding the difference in socialization styles is the fact that I suspect that US Americans have, until recently, left out a large percentage of people from social events. This in fact, could very well have (wouldn't be surprising) led to isolation and depression in the United States (heck, if they claim that almost 19 million people in this country are depressed then something has got to be wrong, right?).

What's fascinating - and very wonderful to me - is how social media and especially sites like www.meetup.com bring people together, create community, and foster group events with both single and partners. While Meetup.com groups create events for singles that may have otherwise been lacking the friends or excuses to get out, social media sites such as Facebook and MySpace foster communication between people in an unprecedented amount. It's truly a significant change in our socialization and I am very interested in seeing how those "Depression" statistics play out in the coming years.

November 11, 2009

How Adobe is Using Facebook for its Social Media Grab

I checked out Adobe's Facebook product Fan Page for Photoshop CS recently and I really like how they're beginning to utilize the power of this social media site's tools. I think it's an excellent example of a Fortune 500's consumer (B2C) social media strategy in the works.

I say "in the works" because I suspect this Facebook page is an Adobe social media study - a foot in to test the social media waters on a site that they're previously only dedicated to the Education / Students market. They don't have any other product-specific Facebook Fan pages up yet and their Adobe Fan page for Students is really lacking in interaction with their audience.

However, Adobe is off to a great start with the Photoshop CS page. They're not only promoting their products, they're supporting them with tips & tricks and inspirational design ideas. They're promoting Photoshop's extensive tool set and while doing so, supporting users to be more proficient and comfortable with their product.

Participation is enhanced through forum discussions and fan feedback. Additionally, Adobe has sections specifically for fans to post their own Photoshop images and related videos, creating a sense of fan ownership and dedication.

One of the best things about Adobe's strategy here is that they are responding to feedback from users, for example, explaining and apologizing for some website issues from an external link. I'd like to see more of that, even when users aren't complaining.

Where else could Adobe step up? A couple of ways. The Events section seems outdated since the last post was in July. They might work with third-parties who host product related events. Their Video section is also extremely lacking, with only five Adobe-sponsored items compared to 39 user posts. Adobe could be taking advantage of their large selection of in-house and 3rd party tutorial videos here, especially transferring those  they post on their Wall. That seems like an obvious direction completely missed.

But for the minor "lackings," I salute Adobe. It's a win-win for both consumer and vendor and I think a good model for other consumer companies. Keep up the good work Adobe. We'd like to see more!

October 28, 2009

Transparency and Social Media - What you should know



By now, most of us have heard the stories of employees ranting about their bosses or colleagues on Facebook, forgetting these folks were part of their Friends list and privy to everything written on their "Wall." But there's even more to consider.

Given the extent of our Twitter "tweets," Facebook and FriendsFeed updates, and similar broadcasts across the net, our personal dialogues (and who we really are) are becoming more and more transparent. Search engine (SEO) ties between social media outlets such as Twitter with search results on sites such as Yahoo, Google, and the like -- which are providing real-time results -- increase this transparency further.

And now, Google just released Social Search, which takes it even further by analyzing a person's network of friends' feeds.

Let's not forget that our updates, tweets, blog posts, forum and other comments, etc., are also archival. Have you ever searched your name and found a forum post you made a few years ago? Yep, that's what I'm talking about. And you think deleting your Facebook updates will help? No such luck. Facebook just updated their privacy policy dictating why deleted content will live on. It's an uncomfortable thought.

To put it bluntly, if you have something to say online, especially using social media, you might want to think carefully about the contents of your monologue.

Your words may not be written in stone, but they may be available to everyone, anyone, anytime.

October 15, 2009

The Basics of a Successful Facebook Application


I've been thinking about Facebook applications for a while because they intrigue me. How do they make money? What makes them attractive? And most importantly, What makes them so addictive?

Having a degree and interest in psychology, I am curious about what makes apps "sticky," why users get interested and remain interested, and what fosters interaction between players and their Friends. In my research of various, successful Facebook applications (particularly games or game-like activities), I have discovered that several simple social psychological theories apply. Like with all science, results should be measured and proven statistically because our "guesses" regarding human behavior are often not correct. I have not been privy to such results, but I do believe any developer or strategist would find my suggestions useful and relevant.

Below are what I would consider and strongly suggest as key application features.

Key Features

  • Stickiness - employ both psychological and statistical proven tactics that attain and maintain user visits and on-site and application duration, many of which are summarized below.

  • Analytics / Tracking Statistics - Statistics that track user total duration within your application and specified areas. Track avenues for successful subscriptions and participation by user Friends; ads clicked; demographics, etc. Some Facebook application are SiteCatalyst, FB Insights, Kontagent, and Adnomics.

  • Interaction (user-centric and via other users and Friends) - Your application should provide user-centric interaction with application objects and games, as well as interaction with other users and social media friends. New Friends can be made via non-Friends who are currently using the application. Users can interact with their current Friends, as well as in ways that encourage these Friends' participation with your app. Encourage further interaction via online forums, trading, and other activities which build a feeling of "common interest" and belonging to a community. Also consider giving "gifts" or similar interactions among Friends, which will reinforce the "art of reciprocity," and stimulate stickiness and further interaction among prospective users.

  • Fun - The user must have fun! You can achieve this via strong interaction within your app and with other users, varied customization options, and games. You can apply "game theory" where applicable, since there are particular methods that make games more "addicting" and enjoyable. Simple additions, such as animations and sounds (i.e., "cuteness") can increase the "fun factor."

  • Competition - Encourage competition between users to create sense of urgency and participation among new and existing players.

  • Reward System - Your app must be a rewarding experience, both in the sense of being intrinsically rewarding and also externally rewarding, such as via a "token system," which rewards behaviors (e.g., using, playing, which encourages stickiness). It should also allow for further extrinsic rewards (e.g., shopping, climbing levels, etc.).

  • Ease of Use - Your app must be user-friendly from the user's first experience on forward, so it won't frighten off or frustrate newcomers. Instructions and guidance may be necessary on first use and available on further use. All instructions/help must be clear and simple. User application goals and usage must be clear.

  • Flexibility and Scalability - There should be some flexibility and scalability in the program so the user doesn't get bored. An example of this might be additional levels with additional rewards. The app must be scaleable so that users don't reach a "wall" and run out of activities (and e.g., rewards). You might also encourage user participation by increasing options, such as user-generated content.

  • Customization - Part of the "fun" that users can experience is through customization. Examples are: creating an avatar; naming an avatar; changing their avatar; customizing an environment; or adding favorite games to dashboard.

  • Profitability - Consider income revenues via banner advertising, branded advertising (e.g., objects in an environment are of a specific brand such as a London Fog coat, TGIF Restaurant, etc.), cash purchases for items such as tokens or content, affiliate partnerships (ads or purchases with affiliates equals rewards for user), and user purchases to access special venues.

  • Quality - Since users will get easily turned off by bugs that prevent or make usage frustrating, you need to well test your app and make sure it's free of critical bugs. Many applications have had a very short life due to problems that frustrated users. People will rate and talk about your application. Word spreads fast. If there are problems, users will find out and often avoid your application because of it. Due your diligence: QA your product.

August 21, 2009

Who says you can't look "too eager" for a job?

About job prospecting, I'm sure you've heard people repeatedly say, "Don't look too eager when interviewing for a job! Play hard to get." I outright disagree and argue circumstances for when "playing hard to get" is not an advantage.

There's nothing wrong with being openly enthusiastic about a company or position. Many companies recognize and want employees who are excited about working there. There's a big difference between being "eager" and being "desperate." I don't recommend the latter because seeming desperate can look unfavorable to anyone. But eagerness by a prospective can demonstrate future high productivity, happiness on the job, and an easier time adjusting to the new culture and position.

In fact, when I've interviewed candidates, I've been more put off by those who seemed aloof, overly inflexible, or uninterested. So, "playing hard to get" in many instances may hurt your chances rather than help.

The most important tip I would give is to just be yourself. If you are excited about working for a company or having a certain position, express that. Show them that you are flexible about scheduling calls and interviews and they'll see someone who has potential for flexibility and teamwork on the job. Demonstrate your enthusiasm. They'll see that you have potential for being a happy and productive employee.

And even if you're not interviewing for your dream job, stay positive. Just having a positive outlook on life can produce rewarding results! You never know; that job may just turn into the best work you've ever had.

June 27, 2009

The Jury is In -- Following the Masses on Twitter

Several weeks ago, I was still undecided on whether one should follow everyone that followed them on Twitter (see two previous blogs ago). Well, now, I have a clear answer for you -- at least, from me.

I say, Yes! follow your Followers. Follow each one (except maybe those annoying marketers who keep sending you solicitous direct messages -- and BTW, you know, I don't even like it when they send even one of them without asking nicely first).

Following has multiple advantages. First, the social psychology of "Reciprocity" still rules (my old professor would be so proud): you do something nice for me, chances are, I'll do something nice for you. Same for following -- and it works in reverse too; If you are not following someone, there's the possibility that they will be offended, disappointed, ticked off, whatever, and un-follow you. And you like to be followed.

Next, if each of you are following each other on Twitter, then you can send each other Direct Messages. This can come in handy. You may not realize how this might come in handy right now, but it will. Trust me. You'll see....

So, scratch my previous ambiguity on Following. Follow, follow, follow...the yellow brick road (paved in gold?).

May 17, 2009

Twitter - A Voice but am I Listening?

I learned recently that the "scientific" threshold to relationships is 150. What this means is that a person is apparently only capable of having a true connection with 150 people; after that, they can't maintain the relationships.

What does this mean for Twitter? Well, I'm at a few shy of 500 Followers and I am following 0ver 200. I passed my threshold a couple of weeks ago and I'm clearly realizing its effects (see my article and thoughts previously, below on the Twitter Threshold).

On the positive side, my daily Followers has decreased. Maybe this isn't an advantage if my goal is as many Followers as possible. But where I can appreciate is in the fewer people I need to thank and the less profiles I need to review. Again, if my goal is just to increase my audience and not my connection with people, this probably wouldn't be important to me. But it is. I appreciate the relationships I foster and the connections I have with my Twitter friends. I am not there for a one-way relationship. I want to read what others have to tweet, respond to their tweets, re-tweet their great 140 or less characters, even banter a little.

So, you start to see the dilemma. How can I maintain this by following over 150 tweeters? Unfortunately, the answer is I can't -- at least, not with all of them. In fact, with over 150 people that I'm following (or whatever the real number is, though I suspect it might be even less) I can't even see all their tweets on the small length of the page Twitter gives me (about 25). So -- and I'm not a mathematician but -- with 25 tweets per page and 200 tweeters, how many tweets can I see if even a quarter of them are tweeting at the same time? About half?

And, as those I'm following and new users only gets larger, this dilemma grows. Do I lessen my list of people I'm following? If so, am I seen as too picky, non-congenial, or even rude? What's the Twitter etiquette in this case? Many Twitter users follow everyone who follows them. But clearly, we see that this does not create true relationships; it only lessons them.

I will be interested in how the Twitter platform develops and our ability to maintain -- or decrease -- our virtual relationships (all be them 140 characters per seconds) develops.

Your thoughts? Tweet me at http://twitter.com/kairaca.

April 21, 2009

How to Attract and Keep Twitter Followers

This is my third week on Twitter. I have over 300 Followers, so I imagine I must be doing something right!

Truth is: I Love Twitter. I mean love it. So, that probably helps a lot. However, I think I have learned a few good tips I'd like to share that I believe will help you attract and retain Twitter followers.

  1. Be Interesting - Don't tweet about the mundane such as what you ate for dinner, how cute your dog is (okay, they are, but unless they're exceptionally special, we probably don't care enough), or how you've just finished your laundry. Yawn. That stuff will leave us bored and to the Unfollow button.

  2. Be Creative - Be different. Don't just tweet the same stuff everyone else is. Tweet tweets that are unique to you. You have a lot of competition.

  3. Don't just RT others - This may be a personal anti-preference, but if I see a lot more RT's (Reply - Tweets) thank original tweets from the person, I won't follow them. It's hard to follow a discussion between tweeters, so come up with some interesting things to say by yourself.

  4. Acknowledge your Followers - This gets much harder to do as your Followers grow, but I still believe in the "connection" between people and there's nothing like a "Thank You" to those who follow you. People like to feel appreciated. Let them know you appreciate them! After all, without them, you are a voice on a deserted planet.

  5. Follow - Follow those who follow you and follow those who don't. Followers you engage with and learn from also help you gain more followers. Now, does this mean you have to follow every person who follows you? That's unclear to me at this moment. There's a certain psychology to reciprocity; meaning that if I do something for you, you're more likely to do something for me in return. But I don't believe that every person you follow is going to reciprocate. So, my tip is to follow whom you find interesting and things will fall into place.

  6. Engage - Interact with both your Followers and whom you follow. Engaging gets you noticed, builds relationships, and helps build your reputation as a serious Tweeter.
Questions? Feel free to Follow me and drop me a line on Twitter! I'm usually there - @kairaca.