University of Pretoria Social Media and Web 2.0 Dr Gené van Heerden Department of Marketing Managment

Structure Introduction Web 2.0 Social Media – social networking Marketing landscape and social media The consumer Organisations and this space Summary

Introduction Contemporary societies Information is at the core of these developments Individuals are more connected Technology has changed marketing Environment: Powerful, interactive and collaborative

Web 2.0 Web 1.0 was read only top-down Web 2.0 is read/write, and bottom up Collaborative environment created by Web 2.0

Social Media Peer to peer communication Sharing, creating and discussing information Community “ architecture of participation ” Instant responses

Social Media Mobile and web-based interactive platforms are used (Kietzmann, Hermkens, McCarthey, & Silvestre, 2011). User experiences and key functionalities of social media: – Identity - LinkedIn – Presence – Relationships – Conversations – Groups – Reputations - Facebook – Sharing - Youtube

Social Networks Social networks: – a social structure – connected by specific interdependencies – ability to facilitate an abundance of information

Social Networks Transformed marketing communications – Reach and richness – Large numbers of users simultaneously use – Vast amounts of information communicated – Ability to tailor it – Create two-way communication

Marketing landscape and Social Media Challenges loss of power and control of the messages ‘ Collaborative world ’ (Hanna, Rohm & Crittenden, 2012). ‘ Dominant social networking culture ’ (Parent, Plangger & Bal, 2011). Consumers expect to actively be a part of the media process ‘consumer experience ’ (Hanna et al., 2012)

Marketing landscape and Social Media Traditional pushed-based marketing Replaced by personal and authentic conversations Media landscape has changed : – Integrated and mobile – Individuals are at the core and the drivers

Marketing landscape and Social Media A number of questions: – how should we integrate this space effectively – into their marketing activities and – create competitive advantage

Who is the consumer? Individual within communities Consumers are co-creators (Berthon, Pitt, McCarthy & Kates, 2007) Conversations create value = market Content creation Digital and mobility

Organisations and this space Present and active Open and flexible Understanding of the social, economic and technical environment - to understand the activities Management - Resource implication Research orientated

Summary Networking – Past, present and platforms Monitor – Listening, relationship and participate – who is talking about what Measure – Metrics – change in traditional view Resources – Time and personnel Content – Space for co-creation

Thank you

References Berthon, P.R., Pitt, L.F., McCarthy, I. & Kates, S. (2007) “When customers get clever: Managerial approaches to dealing with creative consumers”, Business Horizons, Vol 50(1), pp Hanna, R., Rohm, A. & Crittenden, V.L. (2012) “We’re all connected: The power of the social media ecosystem”, Business Horizons, Vol 54, pp Kietzmann, J.H., Hermkens, K., McCarthey, I.P. & Silvestre, B.S. (2011) “Social media? Get Serious! Understanding the functional building blocks of social media”, Business Horizons, Vol 54, pp Parent, M., Plangger, K. & Bal, A. (2011) “The new WTP: Willingness to participate”, Business Horizons, Vol 54, pp Stewart, D.W. & Pavlou, P.A. (2002) “From Consumer Response to Active Consumer: Measuring the Effectiveness of Interactive Media”, Journal of the Academy of Marketing Science, Vol 30(4), pp