If anyone doubts that content is king on the Internet, they have obviously been ignoring the rapid emergence of Consumer Generated Media (CGM). Whether a company has built its business model on content creation and dissemination, or selling deodorant, it must incorporate an understanding for CGM into its web strategy.
Not that getting it right is easy.
The New York Times reported that, after proclaiming grand plans to bring elaborately produced sitcoms, talk shows and other television-style programs to the Internet, the head of Yahoo’s Media Group, Lloyd Braun, is sharply scaling back those efforts. He said the group would shift its focus to content acquired from other media companies or submitted by users.
“I didn’t fully appreciate what success in this medium is really going to look like,” Braun a former Hollywood executive told the Times. “This is not about creating one-off hits like in my old business. That is not going to create a sustainable competitive advantage over the long term.”
His answer? CGM. “I now get excited about user-generated content the way I used to get excited about thinking about what television shows would work.”
In an article in CRM Magazine, Alexandra DeFelice provides a number of interesting case studies of major brands who are not only excited about CGM, they’re making it work.
For example, Kao, the manufacturer of Ban deodorant, created a contest asking, “What would you ban?” It generated roughly 50,000 website visitors, about 10 percent of whom entered ads they had created online. Nine semifinalists were selected and given promotional materials to try to get people to vote for their ads. Within two weeks, those nine individuals generated 150 percent more traffic than all the company’s advertising had in the previous few months.
“As consumers are inundated by ads, marketers will need to stand out by finding better ways to reach them. Simply put, companies must develop methods that are interesting and compelling to consumers,” writes DeFelice.
She also offers seven tips for fostering creativity:
1. Stay grounded, but consider alternatives. Alternate channels are a complement to other forms of marketing and rarely can be used as a standalone effort.
2. Get buy-in. Make sure your corporate culture will allow you to experiment.
3. Set goals. Have a sense of what you want to accomplish before trying it. Understand overall ROI versus return on brand equity, which helps build future consumer loyalty or shift customer attitudes. Know how to put the metrics in the context of your company’s broader measurement strategy.
4. Budget. Allocate roughly 10 to 15 percent of the overall marketing budget for innovative techniques and alternative channels.
5. Test, test, test. It’s imperative to know what works and what doesn’t as well as which metrics work and which don’t.
6. Keep watch. Get proof of performance so that you know if things are going according to plan.
7. Think strategically. Don’t get caught up in cool ideas. Choose alternate channels that make sense based on your strategy.
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