It’s an interesting question. If social media is to, actually it has, taken over and because of the demands of the new marketing approach that’s emerging, why do we need a marketing department at all? In his blog post http://thebrandbuilder.wordpress.com/2009/10/29/becoming-p2p-principal-characteristics-of-the-new-social-business/ Olivier Blanchard sets out that a P2P business (people to people) doesn’t even need a Social Media Director citing that social media is completely embedded in the organisation. He has a point!

Social media removes the need for one department to be responsible for marketing. Indeed, perhaps if a company does have a marketing department, they are completely subverting what social media can do. Marketing, in the future, will be about valuable conversations, enlightening collaborations and strong connections, all wrapped snuggly in a ‘word of mouth’ blanket!

In fact here’s a suggestion, if we are moving from B2C/B2B to P2P, perhaps we need to merge human resource and marketing departments. They have a lot in common in the suggested P2P environment. Retention of staff/customers, loyal customers/staff, great conversations, cultural shifts in expectations and bevhaviour, the way we treat people, the relationships we have, brand equity and so on and so on.

It makes sense, there is so much synergy between the two disciplines now that it would be a shame to miss an opportunity to add value to the P2P relationships we have both internally and externally. By the way, Olivier’s post is well worth the read!

It’s easy to get trapped into doing everything. After initial start up, you’ll get dragged into all sorts, particularly if you can’t say no! Then it gets all messy and complicated, something us humans have turned into an art form. Cut to the chase, keep focused on building value and concentrate on these five aspects:

1. A proven track record. It builds reputation

2. Develop word of mouth mechanisms that reinforce your track record. Keep marketing costs low by adopting this strategy. Creates credibility.

3. Continuously grow your skill base, knowledge and understanding. Become an influencer in your area of expertise.

4. Let your character come through, it’s the only unique thing you have.

5. Identify what you are really good at and thrust yourself into that.

Refresh it, change it, reinvent it occasionally but never stop working on them.

In the past we have segmented the market based on product rather than the solution, then measured market share by that product. This also involved the benchmark of that products features against its competitors. Companies then started adding on by offering more features rather than adding value. In this situation you are solving the wrong problem.

Segmenting by customers doesn’t tend to work either. In an increasing sophisticated environment, slicing up by gender, age and location or by business size has become as useful as the world having one telephone. Customers increasingly don’t conform to the average customer in the segments you have had in the past.

New ways of marketing and the onslaught of social media throws a new perspective into the mix. We have become too good at creating products that don’t help customers do a job. Companies need to go back to the drawing board and look at what their customers are experiencing and what problems they need solving.

If you want to to build a brand that means something to customers, you need to create products and services that mean something to customers. Markets are no longer driven by typical customer segments but by small groups of people with niche common interests and connections. Traditional demographics such as gender, age and geographic location have taken a step back and we need to be segmenting on the ‘experience’ customers want.

There are four types of business behaviour at the moment in response to the social media revolution:

1. Talk to the hand – the ignorant and the arrogant.

2. Tolerant – but little acceptance so far. It’s a fly in their soup. Fearful of losing control is at the forefront of this behaviour.

3. Dipped toes – have tried it, quite liked it, the water’s warm, but don’t know what to do next to embrace it fully.

4. Riding the wave – hey they are way ahead of the game….

If you can admit to being in either 1 or 2, go look at this video. Clay identifies huge implications to the cross over to the business application of social media.

http://www.ted.com/talks/lang/eng/clay_shirky_how_cellphones_twitter_facebook_can_make_history.html

If you’re not convinced after this, I give up, you are not listening!

Lets talk about something different, similarity! Groove Armada said it in their song ‘if everybody looked the same, we’d get tired of looking at each other.’ Look around you, we do look the same. Coffee shops on the high street, marketing agencies, bottled water, training companies, banks, solicitors. Just go and compare these two sites; www.hellyhansen.com and www.musto.com and you’ll get a flavour of what I mean.

When your competitive advantages are the same, you have got to approach how you engage with your market place better, which is why I keep banging on about customer experience. Here’s a suggestion. Set up a new project team that meets on a regular basis. Make it cross functional and call it the ‘Disruptive Team.’ Their job, to disrupt the status quo, to discover what TRULY makes you different and to guide you swiftly away from similarity.

Undertaking something like this won’t destroy your brand, indeed, it might just be it’s saviour.

It really is okay to use certain words even if a number are overused and overhyped. A few people I was on a course with yesterday mentioned a few cliches they hate; innovative, unique and community to name but a few. These words including creative, ideas, engaging, diverse, vibrant, inspirational and social are great explanatory words.

Use these words but present them in context. The reason people get bored with them is because we haven’t done our job and made them tangible. There is nothing wrong with using the phrase cutting edge’ if you are. The problem occurs when you are not. Use the word landmark or the best only if you have independent testimony to back that up. If you took all of these fabulous words away, what would we have left? Mundane, flat, uninspiring words.

People will often say that your brand is like Marmite, they either love it or hate it. Your retort should always be, as long as people don’t find us indifferent. These ARE times for ’sticking your head above the parapet’ and ’sticking out like a sore thumb’ as long as it’s for something exceptional of course.

Being in an indifferent position is fundamentally a difficult place to be. Customers don’t see you and therefore ignore you. It becomes inherently difficult to build any traction on the customer loyalty front. Many companies initiate the worst action with poor consequences by trying to buy customers through traditional marketing tactics. That only gets you bad profits which you can’t sustain over the long term.

Better have a smaller list of customers who love what you do, promote what you do and buy more of what you do again and again. Rather than the ‘yeah whatever’ group that aren’t listening. Those that hate you…..well that’s just life!!!

Some time ago John McMahon from www.forum21.co.uk professed that there were nine competitive advantages ranging from production cost to marketing to R & D. I still think he is right but those nine can be honed down into two differentiating factors; the price you charge and doing something definably different/innovative.

Realistically, if you’re in the price sensitive market, price in some ways is all you’ve got and we know where that leads. More price reductions, more price promotions, more sales deals, less margins. People want quality but have low expectations of customer service. Let’s be honest, if I go into Primark, I’m not that bothered about having a meaningful, long term relationship with the people in there. I want my t-shirt for £1 and then I want to leave.

If you’re delivering something different and innovative, now that’s a different ball game all together. Expectations from the start are critically higher. We demand undivided attention if we are buying a premium product. We desire a mutually respectful relationship that’s full of trust. Our motivations to purchase are just as much about the product as the service and its emotional too. The focus has got to be the unrelenting exceptional customer experience.

Or, you can just be in that very vulnerable, very competitive place, the middle like Next, River Island, Debenhams and Marks and Spencer where you have to look good, be good and deliver a good price too. In fact, you have to hit both competitive advantages simultaneously, continuously, everyday! Now that’s difficult.

Well not quite literally! In the past we have imposed ourselves on our customers through advertising, selling and ‘interruption’ marketing tactics. Are we now entering an era of invitation only? I’m not talking about ‘if your names not down, you’re not getting in’ but is the web not enabling us to communicate the true us, targeted effectively to those that are listening?

Should our marketing now be about communicating distinguishing information that exposes our grace, humility and expertise? Our customers can find us easier than we can find them nowadays. We don’t need vast amounts of info in our head when we can get the answer via a few clicks. If we have a clearly definable presence on the web, that’s highly focused, is that all we need? If we have that high profile and what we talk about is intriguing enough, interesting and based on an honest relationship, perhaps it will be inviting enough!

Businesses all over the world are reinventing their strategic models and considering new ways to deliver success. Some of the most innovative are doing it from the start. Take www.threadless.com A company started in 2000 by two young entrepreneurs. Setting up a t-shirt business could have been one of the most ‘me too’ projects ever undertaken but Jake Nicholl and Jacob DeHart have delivered a return on investment most of us would break a leg for.

The business is simple. The site sells t-shirts. People submit t-shirt designs, others vote on which one is best and the winner gets free t-shirts for the winning design. The successful t-shirts are sold for between £10 and $25. In 2006 Threadless turned over $17 million. They don’t have or need a marketing budget as their business works via word of mouth. And, all growth is driven by an online strategy.

Right from the start in 2000, they recognised that one t-shirt is very much like another t-shirt. So instead of focusing their creativity and imagination on the product, they focused their action on the relationship with the customer, fan or, what is rapidly becoming known as the ‘crowd.’ They literally built a system that could deliver that.

Not one of their products has been a flop. By using followers/customers to vote on the best designs and rate new designs, Threadless have effectively exploited technology to build an unrivalled relationship with people and turn market research on it’s head. The cost in cash terms, very little and they get a higher validity rating on their research.

Threadless has allowed its customers to create the product, to contribute to the designs, to be involved in the product selection process and to have a voice. In some ways, many of us are busting a gut trying to grow our businesses using old school models when the answer to doing something differently is right there under our nose.