Tapping the Value in Enterprise Communities
The ROI and Transformation of Business as We Know It
Moderator – Dr. Natalie L Petouhoff Weber Shandwick – @drnatalie
John Belanger Yahoo! Inc.
Jaeme Laczkowski LeapFrog Enterprises, Inc.
Keith Redfield Juniper Networks
Lois Townsend Hewlett Packard Consumer Support
Overview of the session: http://www.web2expo.com/webexsf2010/public/schedule/detail/12018
Examples of Benefits
Call volume, SEO savings, agent productivity, email volume
Increases product ideation, Conversion rates, WOM, Customer lifetime value
Examples of Investment
Training, staff, change managment
marketing social media
What would a Social Business ROI Look Like?
Input -> Aggregate -> Use -> Value ->ROI -> Repeat
Social Net -> Platform -> Disciplines -> Quan/Qual ->Benefits/Costs -> Ongoing Competitive Advantage
The results –
Absent of politics/resistence
Web 2.0 lead to transformation of service/support, consumer affairs, engineering, etc.
How does web 2.0 change CLTV evaluations
Social maybe one of the only ways to engage customers that don't complain and allows for service recovery
How does a forum/community help save money?
Lois – ROI forecast was essential to get organizational support. Measure call deflection. HP has volunteers that take content back into the organizations. Saving MILLIONS of dollars for the company. Employees enjoy getting customer time and helping solve problems. The knowledge help R&D solve problems for future development and saved $500,000. Either get support for the community or miss the opportunity to work with customers.
Keith – Expert type of day allowed the development team to work directly with customers where they never had the opportunity in the past.
Dr. Natalie – Don't be afraid of customers saying bad things about you. They are already doing it. Provide customers a mechanism to engage.
John – Rather than the cost you can look at the value you create for the customer by creating deeper integration.
Jaeme – Seen significant reduction in posts on partner sites. Which is important since the partners are selling the products. Estimated in 2009 they deflected 25% of calls to the call center.
John – Relaying an example of listening and getting solutions solved since there are many eyes watching.
Super-users are passionate and work for your company
Lois – You can't test every scenario and having 'mini-labs' with user set ups help understand issues. More active users are invited to participate in special groups and get access to special knowledge.
Keith – Channel partners demonstrate their expertise in the forums and can lead to new business for them. The call center is very expensive. Roughly 1000 solutions on forums and was about 20% of call volume.
UGC in the shopping funnel?
Jaeme – Working to surface customer content on products, rather than just marketing photos.
John – Best Buy gets roughly 20% bump in cart from users that engage in community.
Lois – Vendor selection was difficult since they had very specific high level requirements. Lithium Tech.
Keith – Uses Lithium as well.
Jaeme – Chose Lithium as well.
John – Was on Lithium but moved to a Google to build his own.
ROI is difficult to come up with, how did you get real dollar amounts?
Jaeme – Call deflection.
Lois – Customers that are not using the website to find the answers, they use Google.
John – You have to come up with an arbitrary number, but you want a consistent measurement framework and don't game it.
Do you have advice for ensuring employees distribute that content internally?
Jaeme – Appoint a community manager to funnel content to the proper business groups. Then it is up to the business unit.
Lois – Employee involvement is key, but the product people are reviewing content weekly. Not just metrics, but customer words make a difference with product teams.
John – Has a team that will bring the customer voice back to the product team. Also have to help with the 'unknown' issue. Community can solve issues, but where they can't it helps to have employees.