Twitter; the core of digital marketing age

Twitter; the core of digital marketing age

22/06/2010 09:30:00

Do you know what TGIF means? It does not stand for Thanks God It's Friday anymore, but Twitter, Google, iPhone, and Facebook. It reflects how greatly social media are impacting the people and thus companies should find ways to use them for their business. Shortly, digital marketing is the inevitable for businesses. In short, digital marketing is inevitable for today's businesses.

This is not a story only applicable for the United States. After iPhone was launched in South Korea early this year, the use of social media became crucial to Korean marketers. Therefore, IDG Korea will be holding the Digital Marketing 2010 conference on July 1st, at the Sheraton Walkahill Hotel, and will be sharing the newest global trends in the marketing industry to Korean marketers. Sean Garrett, the vice president of communications of Twitter, will deliver how Twitter is used by companies and how it helps to generate profits.

Garrett said that Twitter is a powerful tool to reach customers not only of B2C market but also of B2B market in an email interview with IDG Korea.

IDGKR: Even still, many people do not have ideas about what is Twitter exactly. Please explain what Twitter is, and how Twitter makes opportunities for enterprises.

Garrett: Twitter is a real-time information network powered by people all around the world that lets you share and discover what's happening now.

Twitter is a simple tool that helps connect businesses more meaningfully with the right audience at the right time. Businesses and organizations of all shapes and sizes are now able to stay connected to their customers. It can be used to quickly share information with people interested in your company, gather real-time market intelligence and feedback, and build relationships with customers, partners and other people who care about your business. Customers can use Twitter to tell a company (or anyone else) that they've had a great--or disappointing--experience with your business, offer product ideas, and learn about great offers they've selected to be notified of.

IDGKR: How many users does Twitter have? How do you measure your real-time contents in terms of quality and quantity? Do you have any tools for your contents quality control? Garrett: Twitter has more than 125 million registered users and there are more than 65 tweets a day. "Quality control" is created by individual users who decide what users they want to receive tweets from based on their interests. IDGKR: Marketers are getting interested in using Twitter for their marketing activities. Please introduce successful cases.

Garrett: There are thousands of examples of business marketing using Twitter worldwide.

They include the American airline called JetBlue. In the midst of bad economic times and terrible customer relations between airlines and customers, the magazine Fast Company says that JetBlue has managed to create a "brand powerhouse" in just a few years because of social media -- with Twitter playing a big role. JetBlue has more than one million followers on Twitter and uses it to better listen to customers, augment traditional branding campaigns and enable their customers to be advocates for the company. The result of this is that JetBlue has the highest ranking "social currency" of any American company as measured by a Fast Company study.

The Dell Outlet is a another great example. A division of the giant made-to-order computer business, Dell Outlet carries refurbished equipment and other inventory that it needs to sell quickly. Because the division has to get the word out fast, it doesn't have the luxury of hiring an agency and developing an ad campaign. Instead, the outlet relies primarily on email marketing, paid search results, search-engine optimization and affiliate links to raise awareness and drive sales. It's always looking for new, cost-effective ways to reach people.

The Dell Outlet began providing coupons for deals via Twitter. Where they successful? Very much so. Not only do they get retweeted and picked up by coupon sites--both of which spread the brand name--they also drive sales. Dell Outlet has booked several million dollars in revenue attributable to its Twitter posts. In addition, the division has done research showing that awareness of the outlet has grown, too.

Dell now has more than 80 Dell-branded Twitter accounts (including @dellhomeoffers for new system deals) offering everything from videos of new technologies to promotions for Asia-Pacific customers. It also encourages employees to twitter, and has well over 100 employee accounts. Dell uses many of those accounts (with names like @StefanieAtDell), primarily for customer service exchanges that require direct messages (Twitter's private channel) and to reach out to people who are twittering about Dell (which they find via Twitter search).

IDGKR: Most of enterprises users for marketing are B2C companies. How can Twitter be used for B2B enterprises, and please introduce case studies if any. Garrett: The New York Times recently wrote about the success of the B2B telecom provider Avaya on Twitter. They wrote:"What are people saying about your company? Unlike conversations by phone or e-mail, Twitter conversations usually are not private, and listening is fair game. "One company that has built a sophisticated listening post is Avaya, a global communications provider in Basking Ridge, N.J. Avaya uses third-party applications to track mentions of its brand name and has automated alerts for dozens of keywords for products and competitors, said Paul Dunay, Avaya's global managing director of services and social marketing. "The company follows up to 2,500 Twitter postings a week, often from clients with technical issues, he said. 'If we see those, we're on them in 15 or 20 minutes,' Mr. Dunay said. 'That's providing killer support and customer delight.'"Avaya also looks for sales leads and opportunities to replace competitors. One day, a company posted about its quest for a new phone system. Mr. Dunay replied, introduced himself and offered to put this person in touch with an Avaya strategic consultant. 'Within 13 days, we were able to convert that one tweet into a $250,000 sale,' he said."

IDGKR: How do companies and users evaluate 'promoted tweets' which is currently released? Please introduce results for enterprises using 'promoted tweets' if any.

Garrett: We are still in the early stages of Promoted Tweets with six brands testing the new service. However, as told to the publication Advertising Age, there has been some early success, including:• The day Virgin America's Promoted Tweets went live it recorded its fifth-highest sales day in its history.• Virgin used Promoted Tweets as the sole means of announcing its expansion into Toronto, offering 50 percent off for the first 500 travelers who flew out of two California airports. Thanks to retweeting, said Porter Gale, Virgin's vp, marketing, the offer sold out in three hours.• When Virgin started using Promoted Tweets, it had 64,000 followers on Twitter. Three weeks later, it had 76,000. Now it has 85,000• Bravo used the program in conjunction with parent NBC Universal's Earth Week initiatives. Inviting consumers to find out their green IQ in a game on its Web site, the offer hit the maximum number of Promoted Tweets' retweets allowed, 300, within a couple of hours, said Ellen Stone, svp, marketing at Bravo. In one day, she added, it received 200,000 impressions.

IDGKR: As we understand so far, you are preparing other functions for enterprises marketing other than 'promoted tweet'. What is your plan to provide marketing tools for enterprises?

Garrett: Our plan is to provide analytics, simple account verification and other powerful tools to businesses that we will announce later this year.

IDGKR: Number of Korean users is increasing rapidly. Do you have plans to launch Korean service or collaborate with Korean companies? How do you find business potential in Asia Pacific market?

Garrett: The Asia Pacific region is very important to Twitter and we are seeing very strong growth there, especially in Japan, Indonesia and Korea. We do plan to launch a Korean language version of Twitter and hope to do so in 2010.

IDGKR: Many people voice concerns over profit model of Twitter. What is your profit plan?

Garrett: We just launched our Promoted Tweet effort in April and look for it to grow substantially. Our main focus on everything we have done is to grow the user base while providing lots of value for consumers, businesses and everyone else who uses Twitter. This value will translate into profits. IDGKR: How do you predict the future of Twitter as a marketing platform? How do you draw a picture of your future and what is your ultimate business goal?

Garrett: Our ultimate goal is to build a sustainable business that can make a difference in the world while having fun doing it.

Source: idg.no
Author: Hyuna Kim
Date: 22/06/2010

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