The Social Contact Centre

to a social networking way of working through the eyes of a Contact Centre manager

Posts Tagged ‘PeerIndex

Metrics for Social Commerce success

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Infographic courtesy Bazaarvoice

I really believe that at the end of every working day it is important to know whether you are winning or losing. It’s a viewpoint that ensures you stop doing pointless things and push harder on the things that work. When times are tough it puts it in perspective if you can look back at previous victories and can see that the current challenges are only on the journey to something good – showing the light at the end of the tunnel. Fundamental to this are very clear objectives and targets.

Social media is no different . We’re putting in the effort for a reason and it is important to understand, and more specifically for our bosses to understand, what the return looks like. I’ve blogged previously to indicate that the Social Media metric is Return on Influence. The emphasis on monetising social media is spawning the term social commerce.

In my mind the challenge is to think of social media as a channel. With my contact centre manager hat on I am used to understanding the return on investment of my activities. My clients understand their customers and they believe that the right balance of cost and service for their customers is to target me on answering 80% of their calls within 20 seconds for example. I know that to achieve this Erlang calculations tell me the number of people I need to have answering telephone calls at each part of the day. I can calculate my total costs by considering the amount of shrinkage I need to allow for holidays, sickness, lieu days, training, toilet breaks etc. Looking at it from the client’s side I can consider the value of each sale they make and the conversion rate against inbound calls. By factoring in the margin they make on each item I can work out a return on their investment in my contact centre. The important thing about inbound activities, whether they are telephone, white mail, web chat or email is that they are demand driven. In a purely inbound world the handle on the sausage machine turns and 1000 contacts produces x number of orders and so x number of products need to be manufactured to meet the demand. The emphasis in call centre operations these days is to minimise cost through first time resolution and to focus on customer satisfaction (which may require a few more touch points).

Social media turns the model on its head because, used well, it seeks out the conversation. I will discuss the merits of cars many times more than I will contact an automotive company’s help line. The challenge for automotive manufacturers is to build a relationship with me so that when the time comes to monetise my interest I understand the brand. It is much, much more complex though because I have a part to play in the influence of others too. Everyone likes to be seen as a clever consumer and so we tend to think that the car we drive/the holiday we chose/the clothes we wear were the best choices and we rate them accordingly. Bazaarvoice research as indicated by the infographic shows the difference between the Millennials (those born between 1981 and 2000 also known as Generation Y) and the Baby Boomers (1946-1964) in the importance of User Generated Content to their purchasing decisions. The bottom line is that the smart social commerce players want the potential purchasers of the car I drive to talk to me about my experiences, not send them a brochure.

So coming back to targets, the objective of the social commerce practitioner is to create and grow a carefully focussed community and to groom it with a light touch. Whereas my contact centre with its traditional channels is governed by demand, the perfect community would be the place where THE conversations happen. Only the Community Manager fully understands that the Community exists, its scale and its influence because it is built on layers of blogs, websites, Twitter feeds, Pinterest pages, and Facebook pages. Original content is created to feed the interest of participants but also the movers and shakers will participate. Taking the automotive example, it’s a big day when Jeremy Clarkson comments on your blogpost. And here is a further challenge; while it may be a great day if he likes what you have to say, woebetide it if he decides that today is the day to vent his spleen. Of course Mr Clarkson is subject to social pressure too – he wants to be seen building brand Clarkson by being Clarkson-esque but carrying some serious weight too. If your offer great cars and great service he is going to face a backlash if he decides to buck the trend.

I like to think of social media like water. It is a very precious resource that needs protecting and keeping pure but it is also an unpredictable natural resource – you will never master it. At best you can protect against the extreme damage and channel it to provide benefits in a wide range of ways but knowing that your best laid plans at some point have to change due to either drought or flood.

Initially your community of customers will be hugely grateful for the supply of fresh water you have provided for them to bathe, drink, create water features, enjoy as a natural spectacle, fish, swim, sail etc The moment you become complacent however they will start to scrutinise what you are doing more closely and challenge the price and service you provide!

So, at the end of today, how well are you managing the water? Market research is a key measure which indicates how well you are doing. You will never get the precision of knowing that a particular advertisement played well but the brand perception should move in accordance with your activities. There will be instances where the influence of social media can be captured precisely. Within the contact centre we regularly capture which specific advertising treatment triggered the purchase and the same crude mechanism could identify those customers who are following on Twitter for example. The customer database will grow with today’s name address, telephone number and email address being appended with Twitter name. Permission to contact by mail with carefully chosen offers could be altered to requesting permission to “friend” on Facebook.

Your customer satisfaction scores should also improve if you are proactively listening and engaging rather than relying on them getting in touch for help. Associated with this will be the day-to-day little wins – the new customer who takes the time to explain that the reason they are purchasing was a positive review they saw on Amazon or recommendations from Twitter followers.

The growth of PeerIndex, Klout and other social influence scores are becoming more and more relevant as they add social media platforms and work on the weightings and measures they use. I can see a day when Klout (or its future equivalent) is a reliable and meaningful metric that social commerce practitioners can treat in the same way a FTSE 100 board treat the share price. Accordingly I can see the time approaching where industry publications publish a regular index. In case you think it is a long way off, have a look at Dachis Group’s Social Business Index page http://www.socialbusinessindex.com/

 

Written by greencontact

October 22, 2012 at 3:21 pm