Becoming P2P: Principal characteristics of the new Social Business

Skip this indented part if you’re in a hurry and you already know how the term P2P came to be:

Though I am sure that someone thought of it long before I did, I coined the term P2P in 2008 in response to a question someone asked me about the evolution of business. The individual was asking about differences between B2B and B2C (business-to-business vs. business-to-consumer for the uninitiated) and it occurred to me that the context of the question required that I remove those two categories from his line of thinking. I suggested that he might want to look at the way businesses communicate more in terms of P2P (People to People). Thus, the idea of P2P was born – at least in my world.

Fast forward to today: Dozens of presentations, trainings and speaking engagements later (and well into writing the book on this ), I thought it would be interesting to start outlining some of the characteristics of the type of business that thinks of itself more as being P2P than B2B or B2C. I was thinking about it so much this week that I actually had a dream that I was writing this post last night, which prompted me to write this in the real (awake) world this morning. So here we are.

By the way, what we are talking about here isn’t an evolution from B2B and B2C to P2P, but rather a cultural shift that allows businesses to – while still falling into a B2B or B2C category when it comes to their relationship to their markets – see themselves primarily as P2P organizations from a cultural and operational perspective. Does that make sense? In other words, businesses don’t cease to be B2B or B2C when they adopt a P2P “lifestyle”. They just get better at doing business, basically. MUCH better.

If you skipped ahead, welcome back. Start reading now.

What might a P2P business look like? Well, that may be  too long a topic to cover in a blog post – hence the book, but what I can share today is a short list of characteristics you might find when encountering (or looking for) such a business culture. Here are the first few that jumped to mind:

1. The P2P business doesn’t hire though job sites or advertising. It hires by inviting candidates already connected to the company through social networks, both online and offline. New hires rarely have more than two degrees of separation from their new boss and team, meaning they are either connected directly to at least one of them via a social network or came personally recommended by someone connected to a member of the team. In other words, the P2P business hires people it knows, respects, trusts, and has a relationship with instead of relying on a “human resources” bureaucrat to pluck complete strangers out of a resume pool.

2. The P2P business no longer has a Director of Social Media, just like traditional B2B and B2C businesses no longer have a Director of Telephones: Social Media is completely embedded in the organization from an operational standpoint. What does that mean? It means that every department, from HR to Marketing to Product Development to Customer Service to Community Management uses Social Media the way they use any other tools and channels to do their jobs. There is no longer a separation between “traditional” media, “digital” media, “telephonic” media, “Water Cooler” media, and “Social” media. The company uses Social Media fluently to communicate with people inside and outside the company. (Note that I did not utter the word “customer” once in this paragraph.

3. The P2P company doesn’t block FaceBook. The P2P company doesn’t block Twitter. The P2P company doesn’t block LinkedIn.  It doesn’t frown on access to community platforms like Ning. As a matter of fact, the P2P company helps its employees participate in online and offline networks more effectively through training and development instead of trying to insulate them from those “dangerous” online community platforms. As a bonus, since HR is no longer tasked with recruiting complete strangers, its staff manages this function beautifully.

4. Within the P2P business, the I.T. department no longer plays the role of cranky gatekeeper when it comes to adopting and deploying digital tools. The I.T. department has morphed into the T.E. department: Technology Enablement. Former I.T. professionals with passive-aggressive tendencies who get in the way of employees using the latest and most effective digital tools no longer have a place in the P2P Business. (Buh-bye. Don’t let the door hit you in the ass on your way back to the ’90s.)

5. P2P Brand Managers are among the most sophisticated business strategists on the planet. No longer do they mostly be concerned with push messaging, self-serving marketing communications, trade dress and the ever ubiquitous logo redesigns. Their skillset has now exploded to meet the needs of an increasingly complex organization and marketplace.

• They are now fluent in the four precepts of effective P2P program ownership: Development, integration, management (where monitoring lives) and measurement.
• They are personally involved and invested in the communities that support and align themselves with the brand(s) they manage.
• They are now equally involved in every step of the product lifecycle process, from ideation, design, development, manufacturing, testing, launch, and management.
• They spend at least as much time in the world as they do inside the bubble of their corporate office, because they realize that is where their brand and products actually live.
• Brand Managers are now mobile. They are cultural anthropologists as much as they are business managers. They look to free themselves from the corporate cocoon as much as possible to keep their perspective fresh and their insights untainted.
• Brand Managers have become socio-cultural designers. Think about that for a minute and then think about it some more. This is key.

Why this change? Because the P2P business realizes that since everything touches the brand, the brand requires an advanced level of strategic, tactical and management sophistication not currently found in your average brand manager. These folks are highly connected, well traveled, intellectually curious, passionate leaders, not just mid-career marketing professionals with 3-5 years of product launch experience.

6. The P2P business understands how to smoothly blend campaigns with its daily mix of activities. Though it is naive to think that there is no longer a division between PR, Advertising, email marketing, web “marketing”, mobile marketing, customer support and community engagement, these roles and the deliverables they create work seamlessly together. Two reasons for this:

• A structure now exists that both requires and enables  lateral communication through  real time collaborative tools between all deliverable owners. (Nice corporate-speak, right? Gotta love it. See (7) below.) In other words, the left hand talks to the right hand a) because they can and b) because they must.
• Doing business any other way is just stupid and management at the P2P Business understands that all too well.
• See (5) above: The Brand Manager and his staff are actually capable of managing this level of complexity now.

The P2P business knows how to integrate project teams from outside firms and agencies. They are now embedded in the business rather than treated as an external element.

7. The P2P business only uses corporate speak to make fun of corporate speak – and out of a sense of responsibility: Keeping that dying linguistic tradition alive will serve as a lesson to future generations that the world of gray cubicles, and cretinous business language almost destroyed business in the early 21st century. Footnote: For whatever reason, Bullshit Bingo meetings usually happen on Mondays and Thursdays. Don’t ask me why.

8. Employees of P2P businesses don’t hate their jobs. Why? Because they are empowered by their management team to collaborate with employees and the communities they touch. As a result of being  clearly aware of their operational boundaries and because they receive ongoing, multilateral support from their organization, they know how to act professionally when dealing with the public. While roles and org charts are still clearly defined for obvious reasons, employees enjoy a greater level of operational flexibility, working across silos/departments when their breadth of skills match the needs of a particular project or program.

For the organization, this interconnectivity helps break down silos, helps accelerate project completion time-lines, and reconnects the company organically with the outside world (their markets). From an employee perspective, it results in a dynamic ecosystem which fosters professional and personal development on a day-to-day basis. Empowered, engaged employees are usually happy employees. Happy employees usually create fantastic customer experiences and help make good companies great.

9. The P2P business no longer outsources its customer service. Period.

10. The P2P business partners with like-minds. Put simply, it understands that the partners it aligns itself with say at least as much about its brand(s) as it does on its own. Even when partnerships are meant to be purely strategic or tactical, they signal an alignment of values that the marketplace (the community) is quick to take note of and interpret. The P2P business understands that public opinion drives its brand. It no longer puts itself in a position of having to defend its choice of strategic partners. Cultural compatibility is now as important as strategic benefits. Call it a positive byproduct of transparency, and a welcome farewell to the corporate need for PR’s much maligned (and increasingly ineffective) spin function.

11. In case it wasn’t obvious: People would sell their grandmother to work there. Not just because the P2P company pays well (it might not) but because it is known to be a fantastic place to work, learn, and build lasting professional and personal relationships. People who work there are happier than most, professionally engaged and fulfilled, consider themselves successful (their definition may differ from yours), and wouldn’t dream of working anywhere else.

That ought to get the conversation started. 😉

Speaking of P2P implementation… Without revealing too much too soon, I would start planning to attend the February 2010 #Likeminds conference in Exeter, Devon, UK. Bring a thick notebook and a couple of extra pens. That’s all I can say for now.

Cheers. 😉

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Engagement Paradigm: Focus on Lateral Action

So we’ve been chatting about engagement these last few days, and particularly vertical action (essentially brands addressing their communities from the top-down, and creating mechanisms through which their communities can communicate vertically with them using the same channels). When you look at corporate blogs, Twitter accounts and most branded community sites, this is mostly what you see: Vertical engagement between companies and their customers/fans/friends/users.

Likewise, the breadth and depth conversation we had last week also relates to vertical action: Brand managers, Community managers and/or Social Media managers finding ways to engage customers from a brand-to-community perspective. Even when dialog exists, even when the communication channels are truly 2-way, most of what happens is vertical: Brand-to-customer and customer-to-brand. And that’s nice, but it is only half the story: In order to understand the power of the social web, the power of communities and the power of truly engaged fans, you also have to tip your hat to lateral action.

What is lateral action? Simple: Lateral action is simply peer-to-peer engagement that happens within or across communities. A brand or community manager may have planted a seed along the way (a tweet, a blog post, a comment, a promotion, etc.), but once it has hit the community, the message/info/conversation is spread from customer to customer without having to be prompted by any official brand representative.

Another example of lateral action is WOM (word-of-mouth): Peer-to-peer recommendations are classic examples of lateral action. Rumors are examples of lateral action. Community tweetup invitations are examples of lateral action. RT’s on Twitter tend to be examples of lateral action.

Lateral action is what happens when the brand, the company, the official presence of a business gives its community the opportunity to BE a community by taking a step back and letting people share what is important to them with peers.

And lateral action is often the answer to the question raised last week about breadth and depth of engagement: Once a brand has managed to scale its community to several thousand or tens of thousands (or hundreds of thousands, even), how can a team of community managers possibly engage so many people properly? It’s impossible, right? (This being the logic behind some Social Media directors’ decision to focus on depth at the cost of breadth.) Truth: Vertical action alone cannot serve the purposes of engagement (breadth mostly, but depth also) in the Social Media space… or even when it comes to fostering vibrant brand-centric communities in the “real” world. Lateral Action is the yin to Vertical Action’s yang. Lateral Action is how community engagement actually scales and transcends any breadth-related engagement limitations.

And though Lateral Action is nothing new, it is not a typical strategic mode of thinking for most Marketing professionals who have spent most of their careers working in traditional media (yes, even in the world of the web). This is why MANY Marketing folks still talk about the challenge of creating “content” even in the Social Media space. This is why advertising, messaging and marketing products are still among the first things marketers try to “plug in” when it comes to leveraging Social Media “channels.” This is all top-down thinking. Vertical Action thinking. And though it has its place here, it cannot succeed in the Social Media space without an equal (and in many cases greater) measure of Lateral Action.

Brand managers, Social Media managers, Community managers – whatever their designation may be – need to understand that their job isn’t just to produce content and constantly stimulate vertical engagement. There is only so much they can accomplish this way. What they must also do is empower their communities to manage themselves to a great extent and generate conversations and motion from within. Community members have to reach out to each other. They have to reach over to other communities. They have to share and discuss and debate and organize themselves. Brand Managers in the Social Media space have to learn how to be good hosts and patrons and supporters without being mother hens 24/7. This lateral action has to be fostered, nurtured, and built into their online and offline communities.

This is a crucial point for all brand managers to understand if they want to be successful in the age of Social Significance and Community Marketing. I hope the video and this post help you understand the difference between vertical and lateral action… and their importance our ongoing discussion of community “engagement.”

Tomorrow, we will bring our engagement discussion to a close with some far less strategic yet much more valuable advice than what we’ve touched on so far. 😉

Have a great day!

Bonus Footage: Oui, en Francais! (For my Francophone readers, a question: Since I can, should I also start shooting videos in French?) And since a few of you have asked me if I would say my name in its original French so you can hear what it sounds like – Two birds, one stone. You ask, I deliver. (And yes, I take requests.) Check it out:

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Photos from Clemson University’s networking 2.0 panel

Yours truly, Steve Gonzalez, John Warner, Phil Yanov, Trey Pennington

So Steve Gonzalez, John Warner, Phil Yanov, Trey Pennington and I spent the latter part of the afternoon chatting with Clemson University students and faculty about the power of networking. The premise (eloquently framed by John Warner and Trey Pennington) was basically this: “Build Dig  your well before you get thirsty.” In other words, don’t wait until you graduate. Start building your future professional network now, while you still have a year or two of school ahead of you. Do this right, and you may never need to even draft a resume or go through a formal interview process.

The panel was pretty stacked with talent (between Steve, John, Phil and Trey, we had some of South Carolina’s most influential and well connected movers and shakers) so I was basically just lucky to be there.

We could have easily spent half a day talking about building relationships, building communities, effective networking, and effective social media usage, so maybe we’ll be lucky enough to be invited back. Until then, rather than give you a written play by play of the discussion, I will post a link to the video from the event (Courtesy of View Digital) as soon as it is available. (Though you can already check Twitter coverage here and here.)

Speaking of coverage, Doug Cone came out to Clemson to hang out with us and take photos, so I have to give him props for doing a great job behind the camera. All of the photos you see here are his work.

View Digital's camera crew

The audience trickling in

Phil Yanov showing off his dry cleaner's wicked starching skills

The microphone bank

Bobby Rettew doing a great job as the panel's moderator

Fielding questions from Bobby

Steve Gonzalez and John Warner

John Warner, Phil Yanov, Trey Pennington

Learning lots from Steve Gonzalez

Defending my hyperactive Twitter usage. Again.

John Warner apparently not tweeting (or so he says)...

Bringing this kind of discussion into an academic setting is invaluable, and the engagement from the audience was kind of infectious. I could get used to this. (Let’s hope this was one of many such events.) 🙂

Thanks again to my fellow panelists for quietly enduring my loquacious answers, to Bobby Rettew for putting this on and asking me to join such an A-list bunch of folks on the panel, to Clemson University for taking such good care of us today (minus the parking ticket), and especially to our audience for being a great crowd and asking us some pretty smart questions. Let’s do it again soon. 🙂

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The Functions of a Marketing department

Via BrandXpress –

Rob Engelman was recently asked what a Marketing Department should be responsible for. His answer came as a list:

1. Focus on the Customer
2. Monitor the Competition
3. Own the Brand.
4. Find & Direct Outside Vendors.
5. Create New Ideas.
6. Communicate Internally.
7. Manage a Budget.
8. Understand the ROI.
9. Set the Strategy, Plan the Attack, and Execute.

Because we like to focus on brand stuff, here’s what Rob has to say about #3:

“The perceptions and feelings formed about an organization, its products / services, and its performance is what is known as its “brand.” The Marketing Department is responsible for creating meaningful messages through words, ideas, images, and names that deliver upon the promises / benefits an organization wishes to make with its customers. Furthermore, the Marketing Department is responsible for ensuring that messages and images are delivered consistently, by every member of the organization.”

Not a bad start. And for the most part, yes, he is right.

Read the rest of Rob’s points here.

Rob’s list is a great first step for any marketing department that finds itself needing to define its functions clearly. Let’s take it one step further though, with this second list, which should best serve marketing departments that have already accomplished all nine of Rob’s recommendations and are looking for the next step in their evolution:

1. Befriend your customers.
2. Become your market. (Don’t just monitor the competition. Rewrite the rules. Set the pace. Lead. Outdistance your competition. Make them copy you. Force them to up their game.)
3. Breathe your brand.
4. Recruit and direct outside vendors.
5. Foster Innovation.
6. Simplify your internal communications. Then simplify them again. And again. And again.
7. Strategize as if your budget had been slashed in half. Deliver as if your budget had been twice what it actually is.
8. Make your ROI completely clear to your clients and everyone in your organization.
9. Observe, adapt, strategize, anticipate, plan, execute. … and be ready to improvise at a moment’s notice.

If you can truly make this your list for 2009, you will probably blow away your competition. (Recession? What recession? … Exactly.)

Now get to work!

Have a great Wednesday, everyone.

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Engagement is not a campaign: Learn to become a P2P Business.

Above and below: Some revamped slides from Monday’s presentation. These two companion messages (Engagement and P2P) seem to have resonated with the audience, so I thought I would elaborate on that topic a little.

First: Should companies continue to launch and drive  marketing, advertising, promotional and other types of business development and awareness campaigns?

Yes. Absolutely. No question.

Traditional media “push” strategies and tactics, when developed by the right people and used properly, can be extremely effective. I am a big fan of great campaigns, so keep creating GREAT push campaigns.

But “engagement” – and by that I mean customer engagement (even if those customers are not technically customers yet) – is not a campaign. It isn’t even a strategy. It is a commitment to a being the kind of business that people will want to be a part of and whose products and community people will want to share with friends and family. The kind of business that people  will naturally want to support proactively for years and years.

What we are talking about here has its basis in culture. Call it company culture, corporate culture, management culture… it doesn’t matter. The point is that if your company still refers to itself as a B2B (biz to biz) or a B2C (biz to consumer) company, you are missing the boat. Thin about every great experience you’ve had with a business: Fantastic service at a hotel – where the folks at the desk (and the rest of the staff) makes a point to remember your name. Think of the same kind of service at a restaurant or retail outlet. Think about how you feel about a physician with fantastic bedside vs. a physician who acts like spending any time with you is the chore from hell. Now ask yourself which you would rather be: The business that makes people WANT to come back and recommend you to their friends, or the business that will either fail to be memorable – or worse, give people a reason to find a better option than you next time.

It doesn’t matter if you are a hair salon, car rental company, commercial lender, real estate agent, architectural firm, coffee shop or IT distribution company: Create great experiences based on building relationships with your customers (and your community) and your brand will quickly find itself on the rise.

Fail to do so, and your situation will NEVER improve. No matter how much you lower your prices, no matter how much money you spend on advertising, public relations, call campaigns and promotional incentives, you will still be struggling to get past 5% annual growth (once the economy recovers, that is).

You must learn to become a P2P (people to people) company. Period. There is no other option for you. Not anymore.

Starting with the way you treat your employees – from the way in which you hire, train, mentor and manage them and the words you choose to use around the office (do you refer to your team members as “headcount”?), to the type of relationship you build with the people you do business with.

Have a great Weekend, everyone. 😉

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Tish Grier on the seven core traits of a great community manager

Via community Strategist Connie Bensen comes this great little list from Tish Grier that outlines the seven core traits of a great community manager:

1. Commitment to “the cause”. It’s very important for your community manager to believe in your cause. Their communications need to be transparent & authentic. The job has many challenges so they need to inherently believe in their work & the brand.
2. Love people. The position is about connecting & communicating. There is interaction with all types, so a community manager needs to enjoy it. (This is why it’s a great position under marketing).
3. Must enjoy technology. It’s a web 2.0 job. Technology is changing quickly. The tools are constantly shifting & evolving. One has to thoroughly enjoy being immersed. And if your product/brand is technology oriented then it’s natural to be involved in product development & providing feedback.
4. Must understand online culture. Did I mention this a web 2.0 job? Working online is a bit different than face-to-face. A person needs to maintain a sense of humor & not take things personally. Working online requires a level of perceptiveness so that you can interact with all types of people.
5. Powers of Observation. I just mentioned being perceptive but it’s more than that. Providing feedback on trends, monitoring brand & being ever present require one to be ever watchful. As a metacustomer the community manager is the eyes & ears for the company – all teams – and responsible for providing feedback from the customers.
6. Flexibility. Community work is 7 days a week. Checking in on my communities & responding to their needs isn’t a 9 – 5 job. (I do sleep though). But I’m cognizant of the time zones when I add people to teams. It’s nice to have people providing assistance from around the world (so I can sleep! 🙂 ).
7. Life experience trumps youthful energy. Tish’s point is to not entrust this important job to an intern or someone who is a short-timer. The more life experiences a person has, the more they have to offer the community.

I like that “commitment to the cause” was #1 on the list. If I could add a few more, they would be:

8. Coupled with #2 (love of people) is the need to be a solid communicator. Even a great one. In any type of management – especially community management – understanding the value of communications (and being a natural communicator) can have a tremendous impact on the success of that community. (Note that the description of #2 is 100% about communication.)

9. Connectedness. Natural community managers tend to be active in a number of communities already. Look for a diverse socio-professional network on their LinkedIn and Myspace accounts. Also look for telltale signs that they are social media power-users (Blog activity, Twitter, Plurk, Seesmic, etc.) The ability to mesh social media tools with their propensity to be an active member within their chosen communities is a sign of good things to come. Also in the connectedness vein, great community managers tend to be natural connectors: They see the synergies between communities, organizations and individuals. They are often the folks who will provide the types of introductions that will strengthen bonds within communities and organically recruit new members.

Also picked up from Tish’s original piece:

“Your potential community manager should be open, congenial, and can handle difficult situations with tact and diplomacy (not like a cop or Marine sergeant).”

“Don’t confuse liking technology with loving it beyond everything else.”

Remember (per Tish) that “a lot will be riding on this person – more so than which tools are used. Your community manager should understand people well and be good at creating and maintaining relationships and ability to create relationships, regardless of which tools are available.”

With so many companies turning to user/customer community engagement to strengthen their brands, this little primer is worth its weight in gold.

Incidentally, Connie will be speaking at the Social Media Strategies Conference in San Francisco (October 29-30) with fellow Marketing 2.0 contributor and social media expert Francois Gossieaux, Jive Software CMO Sam Lawrence, and a very solid panel of other (hopefully) familiar names. Check your calendars.

Cheers.

Image source: TID

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The Evolution of Brands: From Broadcasting to Facilitation to Community Engagement

That the always brilliant David Armano recently wrote yet another thought provoking post on his Logic + Emotion blog isn’t exactly front page news. He has a habit of doing so pretty much weekly… but what is particularly cool about this post is the fact that one of his graphic looks identical to a community engagement model I sketched out almost a year ago for some colleagues (who, back then, looked at me like I was speaking Chinese).

Check this out:

The first graphic shows a typical brand-as-a-broadcaster model, in which a company essentially fashions a messaging strategy and then uses various channels to broadcast it down to its buckets of potential customers and existing users (market segments or the more cynically named demos).

Note how the second graphic takes a much more organic, communal, non-directional approach to customer/user community engagement. In this model, the brand isn’t an external entity connect with individuals and communities through rigid vertical channels. In this model, the brand exists in conjunction with the communities. It’s hard to see where the brand ends and the communities begin. Marketing communications cease to exist as a product to be distributed, and become instead a living, breathing dialogue. This is exactly the model of community engagement that I sketched out, right down to the influencer/friends tags (though Dave’s version is much prettier than my improvised chicken-scratch). This is the community engagement model for brands whose products are important enough to scale in this way AND create users so passionate that they would give up valuable time to be active in these communities. Examples: World of Warcraft, Harley Davidson, the Microsoft Partner Community, Fiskateers, Comicon, Star Trek, BMW, WOMMA and the New York Yankees, for starters.

Note: Best in class companies typically manage to juggle both models simultaneously. Ideally, you should strive towards that balance as well.

Good to see Dave Armano come to the same conclusions I have. (I feel 100% validated right now, and I like it.)

Nb: Community engagement and brand building aside, it isn’t every day that I run into a graphic that is so precisely like mine that it makes my jaw drop. If we were talking about prehistoric cave paintings instead of marketing sketches, anthropologists would have a serious mystery on their hands. But this being the internet age, I’ll just chalk it up to Dave and I being in synch about a topic we both write (and sketch) about a lot. Still, I think it’s pretty cool that without having ever met, Dave and I have managed to tap into the exact same visual interpretation of two different concepts born of a single root idea.

Check out Dave’s otherwise not-weird-at-all post here.

Have a great, completely normal Tuesday!

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