Chapter 11 Social Media and Social Entrepreneurship

Opening Discussion Read the case of Invisible Children and Kony 2012, and answer the following questions:  What was the goal of the Kony 2012 campaign?  What strategy did Invisible Children adopt in achieving this goal?  How would you rate the success of the campaign? Why?

Chapter Outline New media, new possibilities Myths and realities about social media New media and information sharing New media and fundraising New media and stakeholder engagement A “pyramid” model of social media–based strategy New media, new challenges

Introduction: The Rise of New Media The Internet and social media have quickly become an inseparable part of our lives:  Internet use  Social media use This rapid diffusion of new media generates new possibilities, and poses new challenges, for social entrepreneurship.

New Media, New Possibilities Classification of social media

Myths and Realities about Social Media “It’s free.” “Everyone is doing it.” “It’s another channel to reach people.” “It’s the way to reach the next generation.” “You can build relationships with donors and volunteers.” “You mustn’t get left behind.”

New Media and Information Sharing The Internet and social media provide a great tool for organizations to disseminate information, enabling organizations to “push” information to the masses. Social media also make marketing a significantly more time-consuming task, creating a new role for a public relations director. Examples:  Athens Nurses Clinic  Text4baby

New Media and Fundraising The number of people who donate online has consistently grown in the past two decades. Social media applications offer new ways for nonprofits to fundraise. Examples:  Chirpify  MoveOn.org

New Media and Stakeholder Engagement New media offer social entrepreneurs new ways to get their message across. New media increase an organization’s opportunity for external exposure. There are managerial and governance consequences to consider. Examples:  Red Cross  Compassion International

A “Pyramid” Model of Social Media–Based Strategy

This model offers a framework for understanding the process through which social entrepreneurs use targeted stakeholder communication on social media to further their cause:  Stage one: the priority is to reach out and bring awareness of the cause to the public.  Stage two: the priority switches to sustaining communities of interest and networks of supporters.  Stage three: the priority becomes mobilization, be it a request for donations or a call to action.

New Media, New Challenges The challenge of information overload: the information environment is “richer” and yet difficult to navigate. Introducing the new concept of “attention philanthropy”:  “Philanthropy in which all players (donors, funders, supporters, nonprofits, etc.) are potentially overwhelmed by information overload and confronted with the challenges of attention deficit” (Guo and Saxton) The broad implications of attention philanthropy:  There is less predictability in who gets attention.  Donors and supporters tend to notice attention-grabbing stories and “focusing events” such as natural disasters and crises.

The Implications of Attention Philanthropy for Social Entrepreneurs The challenge for social entrepreneurs is twofold:  Getting attention  Turning attention into action Coping strategies:  Strategic communication: reaching targeted audiences through targeted messages  Resource allocation: devoting resources to attention management  Bypassing the gatekeepers of attention in the media

Discussion Use an example to illustrate the three stages of the “pyramid” model of social media–based strategy. Identify a social venture that has been relying on traditional tools and platforms for relationship building and stakeholder management, and propose a social media– based strategy to improve its stakeholder engagement.