The Business Value of Social Media to Dell

Rajiv Narang Executive Director, Social Media and Marketing Innovation CIO Gallery, Columbus OH, May 15 2012

Global Marketing

Where is the ROI Business Value of Social Media

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Why Social Media? Experts will become our best Marketers (inside & out)

3 Confidential

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Recognizing & Aligning a powerful ecosystem to deepen customer relationships

4 Confidential

Dell.com

External Communities Our Communities

Team Members

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First company to hit $1M a day in online revenue

One of the first companies to launch online support

First to sell complex configurable items

Leader in online frictionless commerce from order to delivery

Dell’s Online Heritage: Critical Enabler

Early adopter of social media One of the first

to launch online discussion forums

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Five years of experiments and experience

August 2006 Blog outreach expands beyond tech Support

August 2006 Blog outreach expands beyond tech support

December 2006 Ratings and reviews on Dell.com

July 2006 Direct2Dell launched Today Direct2Dell exists in English, Spanish, Norwegian, Japanese and Chinese.

February 2006 Michael Dell Asks Why don’t we reach out and help bloggers with tech support issues?

January 2007 StudioDell launched Dell’s video and podcast site, with helpful tips and tricks. Eventually expanding this into the YouTube channel making sharing easier.

February 2007 IdeaStorm Launched A voting based site allowing customers and others to submit ideas for Dell.

June 2007 Dell joins Twitter Dell launches EmployeeStorm Internal Blogs Launched for Employees.

October 2007 Michael Dell quote in Business Week Jeff Jarvis story quote, “These conversations are going to occur whether you like it or not. Do you want to be part of that or not? My argument is you absolutely do. You can learn from them. You can improve your reaction time. And you can be a better company by listening and being involved in that conversation.”

November 2007 DellShares launched The first investor relations blog by a public company.

January 2008 Dell aligns organization for success

February 2008 Twitter expanded

March 2008 Accepted Solutions launched on Community Dell France begins Online Community Outreach

May 2008 Dell Outlet achieves $0.5M in sales via Twitter Community team active on Twitter

Small Business blog launched

April 2008 Inside IT launched Blog focused on business customers, and Cloud Computing.

June 2008 Channel blog launched

January 2009 Dell Organizes in to 4 customer focused business units

Spring 2009 Some Members of Community and Conversations deployed within each of the new Dell Business units

June 2009 $2M+ Sales via Twitter

2009 Dell TechCenter

June 2009 Global Twitter revenues of $6.5 M

December 2009 Huffington Post Blog

March 2010 China Micro-Blogging

2006 2007 2008 2009 2010 2011

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Altimeter recognizes Dell with “Open Leadership Award for Innovation and Execution”

(Oct.)

Dell Social Media and Community University launched/5,000 team members trained by end of year (Aug.)

Dell launches B2B pages Facebook (Jun.)

Dell named #1 most social brand in ranking of 100 top brands

Social Media Listening

Command Center

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SM B2C & B2B

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Intersection of Customer & Business value is where social media works

Product Development

• Feedback Loop • Early Warning • New Product Ideation

Marketing

• Demand Forecast • Lead Generation • Message Reach

Online Presence

• Ratings & Reviews • Communities • Customer Stories

Sales • Leads • Collaboration • Thought Leadership • Blogs

Customer Service

• Listening • Support Widgets • Outreach

Communication

• Rich Media • Brand Reputation • Influence • Reputation

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Awareness

Research and Consideration

Demand / Lead Gen and Sales Support

CLV (loyalty) Dell.com

External Communities

Our Communities

Social Media delivers business value across the entire customer lifecycle

Insight: Social media improves Dell’s reach and share of voice. Social words improve SEO / SEM

Insight: Social Media provides high Business Value and contributes as a demand gen vehicle

Insight: SM keeps customers engaged, provides solutions and improves loyalty

Insight: Social media based support improves sentiment and correlates with higher revenue

Insight: Established causality between social media activity and purchase

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Our Process: Use Social Media to listen and engage with customers Use Analytics to harness insights & generate business value

Listen & Engage Harness Insights Generate Business Value

Social Targeting

Social Net Advocacy (SNA)

Social Profile/Social CRM

Empower employees Generate leads Optimize sales process Improve NPS/Brand health Increase Marcomm ROI Lower support costs

Social Media competitive intelligence

Integration of social for customer acquisition and retention

>10 patents in the pipeline

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Social Universe Clicks and Comments

Listen

ing an

d Web

Analy

tics.

Integr

ation

with

CRM

data

ID Individuals / segments and Conversations “worth”

engaging +

How to engage

Sales and Marketing.

Customer Support.

PG / Customer Research.

PR / Legal.

Competitive Intelligence.

Integrate with Existing

Processes

Building the Social Enterprise – an analytical view Created a framework to prioritize and guide customer engagement per selected business need.

Maintaining a knowledge base of “cause and effect”.

Twitter Facebook

TechCenter

Maintaining a knowledge base of “cause and effect” – driving improvements in engagement models and predictive analytics

Consistent, “outside-in” view to all parts of the business –

harnessing Social Media as a business tool for driving customer centricity

LinkedIn CNET Ect…

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Track the “customer river of comments and clicks”

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SNAP – Measuring purchase favorability for your brand using Social Data

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Over 25k Dell conversations everyday

• Equivalent to real-time customer feedback about each product and every facet of our business

How to Measure?

• Easy to understand metric derived from all social conversations which represents overall brand sentiment and purchase favorability

What it tells us?

• Biz Managers can gauge the effectiveness of their actions in the market –and use insights to plan or course correct

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How does it work?

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Aggregate Enrich Collate Deliver

Aggregate all conversations pertaining to Dell / industry / competitors

Filter, categorize comments into a hierarchy of topics. Determine customer sentiment on each topic using best-in class NLP engine

Calculate an aggregated metric (SNA) which represents overall brand sentiment and purchase intent. Weigh different authors differentially

Real-time tool for monitoring SNA and actionable insights for business managers at any level

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SNA Demo

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Thank you!