ROI

Turning Strangers into Friends

by David Lee King on September 13, 2011

The Thank You Economy

I just read The Thank You Economy by Gary Vaynerchuk. Good read. Here’s an interesting thought I got out of it that relates to libraries.

On page 53, he writes about Nielson conducting a study on what drives consumer trust. 70% of people said they turn to family and friends for advice when making purchasing decisions.

Then Gary says this: “The ROI of your relationship with your mother is going to be much higher than that of the one you have with a good friend. Both, however, are more valuable than the one you have with an acquaintance, which trumps the relationship you have with a stranger. Without social media, you and your customer are relegated to strangers; with it, depending on your efforts, you can potentially upgrade your relationship to that of casual acquaintances, and even, in time, to friends. The power of that relationship can go so far as to convert a casual browser into a committed buyer, or a buyer into an advocate.” (pg 54-55).

This idea of turning strangers into friends works great in libraries, too. The goal is simply this – become casual acquaintances, or even friends, with our customers. We have done that for years in our buildings – I’d say that’s business as usual.

Online? We can do the same thing by using social media tools like Twitter and Facebook. Start friending people in your community. Your customers. That’s how you start turning strangers into friends … and into customers of your library.

Here’s what Gary did – he created Twitter alerts for wine words like Merlot. When someone had a question about that term, he answered it … and started growing a reputation about actually knowing something about wine.

We know stuff too – we are librarians, after all! Use a tool like Twitter. Do a zip code search for your local area or a town search … then add some words to that search, like book, reading, etc. Or business terms … or whatever the hot issues in your town happen to be.

Then start answering questions or making comments as they seem relevant. Point to your stuff, like the book that answers it, when it makes sense. Be helpful … like you already are in your building.

It’s a way to get out in the community without actually leaving the air conditioning!

Pic by Steven Rosenbaum

Be the first to comment

Podcamp Topeka – Social Media ROI

by David Lee King on November 8, 2010

Social Media ROI – presented by Eric Melin at Spiral16

Who owns social media?

public relations – crisis management
marketing – brand reputation management
sales/bizDev – lead generation
customer service – engagement/retention
product development – competitive intelligence
IT – deployment/integrating new solutions

IE – everyone owns social media

Social Media isn’t free – it takes valuable time
You need human resources for planning, creative insight, content creation, product management, measurement, etc

What does ROI mean?
It’s challenging to define gains and costs with social media efforts

There is no way to calculate social media ROI with a one size fits all equation. People who claim that really just made a tool for their business and goals – not everyone.

Needs to be specific to your business.

ROI is difficult because it’s a financial metric. Hard to define that with social media, because it’s not based on financial gains inherently

Make sure you have clearly defined business objectives first. Then make sure your social media initiatives support your business goals.

Common metrics (like twitter follower number) – ask yourselves which ones matter to your business

2 ways to implement:
- figure out how SM can support existing company initiatives
- create new sum initiatives that help

Online data that matters:
- semantic results
- sentiment
- volume/frequency
- where does it live

Developing strategy – set up timelines and expectations – help measure if you reached your goals or not

He likes correlating traditional metrics with online metrics
Ex – actual sales = positive/negative sentiment
Retail traffic = message reach
etc

Can you see spikes in sales in correlation to your social media efforts

Be the first to comment

Speakers: Neal K. Kaske, Mary Lou Cumberpatch, Guy Dobson

Key questions:

  • what are the levels of use made of the electronic resources offered by your library
  • what are the estimated cost savings fromt he use of these electronic resources

Assumptions:

  • value of staff time saved can be estimated
  • using only direct labor costs provides conservative estimates
  • value of the public’s time can also be estimated! conservative estimate for general public’s time is placed at $6 an hour, below minimum wage – so if patron uses library website for 10 minutes, that’s $1 in value.
  • levels of use measured by standard web metric packages is accurate
  • usage numbers are local numbers…
  • some search/time numbers are estimated… ie., time to search for phone calls is 15 minutes (so it’s a rough average)

Must know what we are counting: looks like they defined what a search was for each database they included in the count and equated that with a patron coming into the library, pulling out an index, and doing a search. That type of stuff…

aside … I’m sitting 15 feet from the screen, and I can’t read the slide! at least 15 points, with sub-points, in small font, all text… break that slide up!

Showing an example of data and $$ values associated with that data – ie., website visited 3 million times, dollar value = $322,000 – page views = 1 minute = $.10 each…

Guy Dobson:

He is figuring total value by mining SIRSI records on borrowing use and an averaged item price. Nice. Some patron’s library cards are worth more than $10,000 per year, because they check out so much!

2 comments