What’s the Next Layer on the Stack?

pancakesI was privileged to speak to a class at Southern Methodist University last week on social media for nonprofits. Nina Flournoy, the charming, accomplished corporate communications professor, was taking a very practical, professionally focused approach to the material. Clearly, the bright, enthusiastic students were hungry to comprehend the marketing power of social media.

They asked great questions – What makes something go viral for a business or nonprofit? How do I know what to post? When to post? How do I find my audience? Looking back on the day, my insights were many, but I was surprised to notice that though we may be asking similar questions, our points of view were remarkably different. Facebook, Twitter, and social media are as much a part of their daily lives as the telephone or the iPod. In fact, they live perpetually connected lives. Therefore, looking at these social media sites as marketing channels to be managed or positioned can feel incongruent. Social media is simply how they live, how they interact with the world and each other. It’s second nature—breathing, eating, sleeping—and tweeting! The reality is here:

As part of a slightly older generation of professionals, I am still experimenting with ways to integrate, coordinate, and differentiate somehow. But whether you are Generation X, Y or Z, I think these are questions we as marketers must address right now, in the moment. We are all trying to figure out how to weave social media tactics into the overall marketing mix—and manage them effectively. As we know, setting up a Facebook account or a Twitter profile is just the beginning—definitely not the whole story.

Content is king—but even more important is the conversation it triggers. Social media is less about information and more about participation. And geez, that is very hard to schedule! It is an activity, behavior, and process. Therefore, the question is—does the user experience have value? I think that’s where businesses and nonprofits are stymied. They look at social media and ask, “how is this relevant?”

And yet, that’s probably the flawed interpretation. Twitter, Facebook, and Linked In are really relevance-neutral. They are only as effective as their context. Sage North America recently released survey data that “88 percent of U.S. and Canadian nonprofits are using some form of social media, although less than half of this number have been using it for more than a year.” The surprising news is, “Of those who have not adopted a social media campaign, 45 percent indicated that it was because they were unsure of its relevance or advantages. Others said that they were unable to devote the time or resources.” The other hesitancy seems to be an uncertainty about integrating existing online transactions with social media environments. “91 percent of nonprofits said that they raise funds online, yet only 58 percent of these respondents said they use social media for fundraising.”

The challenge is to embrace the social media landscape in a valuable, productive way. That is, from a business perspective, we need to find a way to aggregate the vast, messy world of social media into a usable set of metrics, messages, behaviors, and/or outcomes. As I have written in earlier posts, it’s the new success measure—ROE, return on engagement.

At the end of the class, the SMU students asked me the question, “What’s next? What’s the next big thing?” What a fabulous and provocative question. There is some buzz about this among thought leaders. They suggest it is the question is really “What’s next on the stack?” We need to think about the media communication world as a stack or a progression. Many point to aggregation, dashboards for marketers, and consolidation tools. Chris Vary of Weber Shandwick and the Dallas Social Media Club says he suspects Twitter has probably peaked in terms of growth, so we should keep our eyes on the social media horizon. I have read there are 11,000 registered third party apps built on top of Twitter and probably more for Facebook; therefore, I’m thinking the cycle dictates some sort of consolidation or filtering.

Thinking back on my visit to SMU, where I earned an MBA and an MA, I am dizzied and overwhelmed by the acceleration of change. When I was sitting in those same chairs in the Hughes Trigg Building (well, maybe replaced since then) twenty-ahem years ago, I was thinking about taking my box of punch cards to the guy who worked on the other side of the little window in the mainframe building. No PCs. No Internet. No email, even. Still had the old Smith-Carona and Liquid Paper, for heaven’s sake! So hard to fathom.

gartner-social-software-hype-cycle-2009
Gartner Social Media Hype Cycle

And now, I can’t imagine a day without my iPhone and HootSuite. I guess I’m sort of a hybrid. As I wrapped up my remarks, I waxed a little nostalgic and encouraged the students to stay open, curious, and highly, highly adaptive.

The human condition is evolving at hyper-speed—intertwined with high-velocity technological innovation focused solely on expressive capability. As NYU professor Clay Shirky observes, “The moment we are living right now, this generation, represents the largest increase in expressive capability in human history.”

So consider this—social media as we know it right now will not be recognizable in 3-5 years. What do you think is next? Are you ready?

Elaine Gantz Wright writes about social media and other communications phenomena. Please post your comment below and join the conversation. elgantz@ yahoo.com

The New Peer-to-Peer Potential

hand
The Giving USA Foundation/Giving Institute released its Annual Report on Philanthropy for the year ending December 31, 2008 in June of this year. Notably, despite the impact of the recession and arguably the most challenging economy since the Great Depression, total giving to charitable causes in the United States reached an estimated $307.65 billion.

The key finding here is that individual giving continues to account for the largest percentage of overall giving at 75 percent of the total. Individual giving is an estimated $229.28 billion, (down by 2.7 percent over 2007 with a -6.3 percent adjustment for inflation). Education organizations received an estimated $40.94 billion, or 13 percent of the total. Gifts to this type of organization decreased 5.5 percent with a -9 percent adjusted for inflation.

As fundraisers, the path is clear. Individuals represent our greatest opportunity for recovery and growth. That said, our methods of securing individual donations definitely deserve some scrutiny and consideration—especially in light of rapid-fire technological changes impacting the landscape.

Just how can we maximize individual giving? And what are the fundamental trends and challenges influencing the proven solicitation process?

Throughout my career, I have heard mentors chant, “People don’t give to institutions; they give to people.” It is a time-tested fundraising adage, and it defines the essential nature of one-on-one solicitation at the very heart of fundraising. The process of one person asking another to give is what fundraising is all about. One-on-one meetings and conversations are the moments where the school’s case for support is made most effectively with a blend of passion and hard facts. It is the personal relationships between volunteer solicitors and donors that generate funding and continuing support for institutions across the street and across the globe. Research, cultivation and stewardship are all part of the solicitation process, but nothing happens until—we ask.

As we learned from the game-changing success of Internet fundraising in the last presidential campaign, closed–door handshakes and smoke-filled rooms are anachronisms. One of the most remarkable aspects of the Obama groundswell was the return of grassroots participation—the return to people. That is, people reaching out—one to another—to ask for support. Whether online or on the front porch, people asked— peers and strangers.

The automation of the contact process was nothing short of amazing—phone scripts downloaded seamlessly to kitchen and dining-room computers all over the nation and people giving up their Sunday afternoons to attend calling parties with cell phones in hand. Real-time tracking reports updated party calling returns as it the volunteers were dialing—thus enlivening the competitive spirit along with the political passion for change.

This was the fruitful marriage of personal peer-to-peer power and technology.

Today, the world of online fundraising tools and platforms is evolving rapidly. Social media is a radical new milieu impacting the time-honored one-on-one tradition. Think about Facebook CAUSES with more than 33 million monthly active users and social action sites such as www.change.org. or www.care2.com.

Everyone is trying to figure out how the infuse electronic appeal with the authenticity of human emotion. Photos, audio, video—innovations are expanding exponentially. Charity:Water has used video as the medium for its organization’s message very effectively.

So, what are some other opportunities tools and methods? I am interested in learning how schools, universities, and institutions are absorbing these tactics. What’s working? What’s not? What’s changing? What needs to change? How can we best automate and streamline the peer-to-peer solicitation process?

In a world with so many demands on time and attention, we as fundraisers will be more successful if we can appeal to the behaviors and preferences of those making the asks—our volunteers, ambassadors, and emerging Gen X leaders of today and tomorrow.

Contact me at elgantz @ yahoo.com.

Getting smart about online communities

capI am excited about my new focus on helping universities, colleges, and private schools provide continuing, multi-dimensional value to their alumni through social media—and specifically, custom online communities.

The opportunities for engagement and exchange are rich and powerful in a higher education environment. Leveraging the strength of the profound personal connection through the “ambient intimacy” of online interaction can ultimately help increase giving, boost admissions referrals, and engage more alumni in meaningful ways. For alumni associations, the applications are very compelling:

• Increase investment in affinity products and institution-related activities.
• Enrich and deepen the institution’s “brand” experience for students, faculty, staff, alumni, and friends.
• Promote and strengthen the foundations of affiliation (class year, school/college, dorm/Greek organization, student activity, professional focus)
• Position the institution’s community to positively impact loyalty-related outcomes, such as annual giving, association membership, reunion attendance, and etc.

The challenge is maximizing the ongoing value of an online community by balancing institution content control with user participation. Remember, it’s about relationships—building on the ephemeral—memories, experiences, and bonds based less on practical deliverables and more the emotions of affiliation.

In his August 2009 Wall Street Journal article on corporate branded communities, The Fans Know Best, Dr.Uptal Dholakia of Rice University contends:

“Allowing discussion and activities like networking and socializing leads visitors to participate in the site for emotional and social reasons. It keeps them coming back, and thus strengthens the bond between them and the company (and each other). Part of giving up control is also giving visitors the freedom to complain and criticize the brand, or to wax lyrical about a competitor, to their heart’s content.”

Therefore, our task becomes more focused on orchestrating, monitoring, and responding–rather than drafting, editing, and deleting.

Though Dr. Dholakia is speaking of the corporate sector here, I think the ideas can be applied to association communities, as well. Visitors frequent communities, because they enjoy the experience—not because it is something on the to-do list. Think about the silly quizzes on Facebook. The “fun factor” should not be underestimated as a key driver of engagement. Yet, it’s possible for universities and colleges to deliver real value in the process. We must not forget the truly “social” component of social media—providing a platform for witty banter. And universities alumni already have a built-in affinity. The potential is boundless—to create what I call the “perpetual reunion.” It’s 365/24/7 engagement.

Dr.Uptal Dholakia offers a high-octane example of community-building savvy from the corporate world:
lego
“When Lego Group set out to develop Mindstorms NXT, the latest version of its game for building programmable robots, it enlisted help from a group of adult enthusiasts whom it found on Lugnet.com, the largest unofficial community of Lego fans. While the marketing target for Mindstorms is mainly teenage boys, the people that Lego reached out to were men in their 40s and 50s who knew each other from communicating and working together on elaborate Lego projects on Lugnet.com.

The group’s members, according to a Lego spokesman, contributed ‘incredibly valuable insights’ in hardware, software, design and usability based on their own experiences. The company credits the group with helping to make Mindstorms NXT appeal both to adults and ‘a new, younger generation of robotics enthusiasts.’”

Just think of the application for a university community—building connection between alumni, faculty, and staff—students and even prospective students. Not all colleges and universities are systematically monitoring their “unofficial” user-driven groups on LinkedIn, Fan Pages on Facebook, and Twitter feeds. But tracking and engaging these communities can provide a wealth of opportunities, alliances, ideas, innovations, and energy.

What are your thoughts? To learn more about unleashing the power of the web, contact me: elgantz @ yahoo.com.

The ROI that would be king

ElaineGantzWright’s blog is for people interested in using the Web and online marketing to drive social change. Elaine covers social media for nonprofits, philanthropy trends, online giving, cause marketing, random life musings, and more.

crown2The pursuit of social media ROI (return on investment) continues to vex me. Last week, my blog post featured some comments about its confounding elusiveness and sparked lively discussion—on and offline. It’s still a very hot topic—at conferences, webinars, cocktail parties, bunko nights, and marketing strategy meetings going on as I type.

Once again, I turn to one of my master media mentors—Clay Shirky. He says:

“A revolution does not happen when a society adopts new tools. It happens when a society adopts new behaviors.”

And I think that quote sums up the core conundrum. At the end of the day, social media is really not “a program” at all. It is a fundamental shift in the way customers, donors, constituents, and employees consume and produce information. It’s behavior—a change in the way we are in the world.

Therefore, the future of marketing is not about telling people things—but about doing things with and for people. Think about it. How do you calculate ROI on messaging coming from your target audience? How do you calculate ROI (an old media metric) in a new media environment? It’s a brave new world, indeed—where we are “creating an environment for coordination and collaboration.”

Even if you consider the question in old media terms, isn’t it like trying to figure ROI on your phone, your conference room, or your fax? Few of us really think about these things in relationship to ROI. But since it’s the Internet, there is still a certain geek mystique. We are a little squeamish and feel the need to “ROI everything”—even if it means constructing elaborate parallel expense models based on paid Google adwords or other media buys. But the truth is, social media will soon be the rule—not the exception. Cost of doing business. David Spark addresses some of these issues from a refreshing perspective on socialmedia.biz. The requirement that everything fit in a discrete ROI queue is simply unrealistic and soon, anachronistic.

Perhaps, a 21st century take on this question would be Return on Engagement—taking the focus away from the justification of hard costs and considering opportunity costs. What do we sacrifice if we are not involved? What are the benefits—tangible and intangible—of spending your time monitoring and creating conversation? What business or donor involvement have you created?

Rules of Engagement

talking Still, even in the ROE context, just having a blog, Facebook account, or Twitter profile does not a social media strategy make. The fabric of social media success is woven from many threads and yarns, including compelling content, irresistible contests/quizzes, provocative video/photos, and authentic voices. You wouldn’t use just one traditional channel to market your product or organization, so it is probably not useful to think that one Twitter account or a blog post by itself can somehow produce ROI—or even ROE—overnight. Attributing a direct revenue equation to an isolated social media marketing activity simply isn’t relevant or accurate. Though weak individually, coordinated social media activities can certainly move the needle.

Engagement fosters affinity, trust, commitment—and ultimately, investment. Marketing has become equal parts science and art. Remember, creating a blog on WordPress of Blogger is free. Right now, Facebook and Twitter are free. So, social media’s costs are mostly labor, time, and creative energy. Therefore, social media success really comes down to commitment, clarity about your objectives, and getting over your fear of exposure—a horse that has already left the barn, I might add. Also, it helps if you have something to say that will interest your audience. Whether you call it—ROI, ROE, or RBI (wait, that’s baseball), here are some thoughts on how to plan, launch, and execute an effective social media plan:

• Focus on conversation, content, and benefits—not tools and technology
• Highlight intangibles
• Justify qualitative, as well as quantitative objectives.
• Compare costs of alternatives, benefits, and of not doing anything.
• Use pilot projects to test and evaluate
• Streamline data collection
• Get buy-in by using a cross-functional team or committee
• Release your fear

The pre-social media business universe was built on linear measurement. I think it’s time to consider using a different kind of yardstick—something with multiple dimensions and constant movement, something we have yet to invent. If small is the new big and free is the new economic engine, what are the new metrics? Is it time to get comfortable with a whole new level of ambiguity. What do you think?

Listening Lessons

ElaineGantzWright’s blog is for people interested in using the Web and online marketing to drive social change. Elaine covers social media for nonprofits, philanthropy trends, online giving, cause marketing, random life musings, and more. Find out more at SocialFuse.

“To listen well is as powerful a means of influence as to talk well, and is as essential to all true conversation.”
-Chinese Proverb

ear
I attended a meeting of social media aficionados last week—the Dallas Social Media Club. It was a vibrant group of new-media-savvy folks with cutting-edge interests and razor-sharp wits. I loved the energy in the room and the combination of slightly smug awareness and wide-eyed curiosity about what might replace Twitter as the next techno-networking phenomenon. Officially, “the Social Media Club Dallas focuses on social media practitioners in corporate, agency, and PR roles—primarily interested in how the medium to large enterprises are leveraging social media to reach, engage, and most important, drive revenue.”

Interestingly, but not surprisingly, Thursday evening’s confab consisted primarily of “vendor” types—as the speaker, Chris Vary, VP of Weber Shandwick’s Digital Division, noted when he conducted a quick poll of the room. I think this strongly indicates that the social media charge is still led by the practitioner-evangelists, and that most businesses, small to large to small (including nonprofits), have still not seen the proverbial light. On a practical level, they have not figured out how to integrate it into everyday operations.

As I have posited in past posts, I believe this is because it is more than a change of media. It is a change of mentality. That’s a tougher paradigm to shift. Clay Shirky is one our most articulate voices around the gestalt of this communication transformation, yet it’s still a bit slippery.

As I interact with nonprofits and small businesses, I struggle to identify ways to provide high-value impact. So many complain that they have set up their various social platform accounts on Facebook, Twitter, and Linked In, but they sit dormant—like throwing a party and no one attends. Still, nonprofits and for-profits are tentative about investing—staff time, budgets, mindshare to the care and feeding of these communities without tangible proof of ROI. I was amazed when the PR big wheels at Weber Shandwick had to cajole their Fortune 10 client— General Motors, to commit to social media. It took three years. They had to construct some sort of elaborate expense metaphor quantifying projected Google pay-per-click costs.

So, more and more, I’m thinking it is really all about listening. I’m not too keen on the concept of “active listening,” because I think that is redundant and a little cheesy, as my teenage sons say. “Passive listening” is simply not paying attention in my book. (That reminds me of some relationships I’ve had.) That said, I think businesses should first approach social media as a listening tool, as opposed to a communications tool—an ear as opposed to a mouth. I think that helps marketers diminish some of the execution-related tension. All of the social media gurus—from Beth Kanter to Seth Godin, recommend starting with listening. However, I’m now thinking this should be the fundamental objective—allowing other opportunities to blossom.

Really, social media is a gift to market research professionals—a way to gather real-time and real customer feedback inexpensively. Then, the way we respond can dramatically enhance, strength, and embellish our brands in this new context of conversation. Crafting the response becomes the artistry. We can provide customer service, build relationships, or even soothe the ruffled feathers of cranky influencers/bloggers. This must be authentic, customer-validating, spin-free conversation.

Chris Vary talked about the new PR being the “virtual newsroom.” He is definitely on to something. We as public relations and communications professionals must me become more like monitors than marketers. Great places to start include: (Begin with the free ones.)

Technorati
Google Alerts
Social Mention
Delicious
Twitter
Radian 6

RSS feed rules:

Your feed dashboard becomes your roadmap. Set up Google Reader, iGoogle, or Bloglines to track—organization names, names of key leaders/board members, other players in your space, industry terms, your URLs, possible controversial subjects, etc. Get creative with keywords. And as Beth Kanter advises, involve the entire operation in the process. Here’s Beth’s great presentation:

Move social media out of the silo of the communications department. Empower all of your employees as listeners. Then, your social media strategy looks more like a training initiative for your various constituents and stakeholders. Brainstorm keywords, learn how to respond effectively, and handle red-flag issues. This is where social media gets organic, integrated, and exponential in impact.

Are you listening?

Global, Social, Ubiquitous, and Cheap

Professor Clay Shirky
Professor Clay Shirky

ElaineGantzWright’s blog is for people interested in using the Web and online marketing to drive social change. Elaine covers social media for nonprofits, philanthropy trends, online giving, cause marketing, random life musings, and more. Find out more at SocialFuse.

I have just discovered Clay Shirky, New York University Interactive Technology Professor and my new favorite media provocateur. He talks about social media in the context of the broadly transformed media landscape with massive cultural implications. He spoke at the NTEN conference in April, and Blackbaud Blogger Chad Norman documented several quotes that he claimed “blew his mind.” And, indeed they do mine, too! Shirky has remarkable vision and shrewd insight. His fundamental premise is that cell phones, the Web, Facebook and Twitter have radically changed all the rules of the media game, allowing ordinary citizens to access extraordinary new powers to engage in and impact real-world events. It’s a fascinating concept that certainly informs the way we think about social action as a whole. Further, in considering Shirky’s observations, I’m wondering if we could be on the verge of a systemic reinvention of how we address society’s most pressing needs across the board? Could the “nonprofit organization” as we know it be ripe for transformation? In a presentation on TED, Shirky makes a sweeping claim:

“The moment we are living right now, this generation, represents the largest increase in expressive capability in human history.”

He goes on to say that only four other periods in history have manifested such revolutionary change:
• In the mid 1440s, the invention of the printing press, movable type, and oil-based inks.
• About 200 years ago—the invention of the telegraph, followed by the telephone—
enabling 2-way communication, slow text-based conversations, then real-time voice
conversations.
• About 150 years ago—recorded media, other than print—introduction of photographs, then recorded sound, then motion pictures—all encoded into physical objects.
• About 100 years ago—harnessing the electromagnetic spectrum to send images through the air—radio and television.

Reviewing the 20th century, Shirky suggests, “The media that’s good at creating conversations is no good at creating groups. The media that’s good at creating groups is no good at creating conversations.” The Internet has shattered this model—in several salient ways.

Bill Cheswick's map of the Internet
Bill Cheswick's map of the Internet

First, it natively supports groups and conversations simultaneously. Now “many can talk to many,” as opposed to “one talking to one” or “one talking to many.” The other big change is the Internet is carriage for all other media. Everything exists side by side and intertwined. And the marriage of the Internet and mobile technology has taken this a step further—making media global, social, ubiquitous, and cheap. And this reality has enabled the third big shift—the consumers are now the producers. Shirky suspects there are now more amateurs producing media than professionals, leading to another one of those provocative quotes—”Media is increasingly less just a source of information and increasingly more a site of coordination.”

So, I have to ask— where does this leave the “marketing communications professional”? What exactly is our role now? It’s a question I’ve been asking myself recently. We are no longer about “carefully crafting and conveying messages” – but about ““creating an environment for convening and supporting.” As marketing professionals, are we becoming party hosts, rather than communicators? Hmmm. How does this new media model integrate with the current structural framework of business? There is the rub. This is a shift to be reckoned with. But consider the other conundrum . . .As drivers of organizations, how do we make use of this new landscape? And how does the traditional nonprofit organization adroitly adjust to this new media environment?

I can’t help but think about social entrepreneur Manny Hernandez’s success with a non-traditional approach to social action—transitioning his initiative from independent social media communities to official nonprofit status, as opposed to the reverse. His success in creating support networks for diabetes through free Ning tools is an example of the phenomenon Shirky describes as the value of “social capital,” rather than “technical capital.” He aptly observes that “tools don’t get socially interesting until they get technologically boring.” Wow. Another revelation. He adds that the real innovation happens when the tools become second-nature for the user. Manny’s post titled “How To Create Social Change Without Forming a 501-c3” details how he drove the development of his communities independently — TuDiabetes (almost 10,800 members) and EsTuDiabetes (almost 5,400 members) before deciding to establish a nonprofit organization, Diabetes Hands Foundation. You can read more about his transition from the social media cloud to nonprofit organization on Beth Kanter’s blog.

Personally, I have been on both sides of this question, but the rapid-fire change from just a year ago makes it difficult to discern a definite path or any firm conclusions. Having worked for nonprofits and with a for-profit, cause-focused, social-media start-up, I have experienced the challenge of engagement from many vantage points. I believe the key is to optimize the global-social-ubiquitous-cheap equation in ways that leverage “social capital” and capture the imaginations of the wide web of user-consumer-producers. Definitely a brave new world! And an energizing, astonishing, and sometimes befuddling time of recreation.

How do you think nonprofits should adapt?

What are you?

ElaineGantzWright’s blog is for people interested in using the Web and online marketing to drive social change. Elaine covers social media for nonprofits, philanthropy trends, online giving, cause marketing, random life musings, and more. Find out more at SocialFuse.

ringquestion I am the first to admit it. I am an anomaly—a distinctive amalgam of eclectic experiences and pronounced passions. I am a seasoned, accomplished professional, schooled in the most traditional marketing media techniques; but I have also journeyed to the cutting edge of the vast social media abyss. It’s largely uncharted territory for my brethren “of a certain age,” so carving out my professional niche while straddling disparate worlds, approaches, and generations can be a challenge.

In fact, I am still processing a recent conversation with a respected nonprofit headhunter in Dallas. The silver-maned, super-savvy staffing pro peered over his polished tortoiseshell reading glasses, took a breath, and asked, “So, Elaine, what are you?” The silence was palpable. I’m thinking in my rattled brain things like—single mom, daughter, job-seeker, brunette, social media consultant, and . . . derailed.

He continued, “So really, are you a fundraiser, or are you a marketer? Which one? I think you need to decide.” My first reaction to that was, “Well, of course, I’m both, and that is the value that I bring to my clients and my employers.” I’m not sure he bought that, because he added, “Well, you have to understand that my client needs to churn out hundreds of funding proposals.” I think he was just a product of his context—his pre-Web 2.0 consciousness.

All weekend, I have pondered that three-hour conversation and its many nuances. Lots of food for thought as he expertly excised ever decision I have ever made since age four. Invasive yet thought-provoking. Later, I mused that I really do hate labels, but I understand they are a necessary evil in the recruiting biz—especially with this economy with such a buyer’s market. But, I suspect I do have to address the question—what (or who) am I, anyway? And what is it I am on this earth to accomplish?

I know I have I entered the social media space for a reason—even though I am not your typical demographic for the job. And I believe more strongly than ever that social media is becoming the new norm and the essential vehicle for product and service communication—whether it’s for nonprofits or for-profits. It’s merging the accepted definitions of marketing, sales, public relations, market research, customer service—and even fundraising for nonprofits.

socapThe recent Socap 09 Conference is a salient example of this invention and innovation. It exemplifies our morphing toolbox for addressing social needs. The whole realm of social enterprise fascinates me. Though the concept of the “social entrepreneur” may even seem like an oxymoron to some, it’s the emerging reinvention of society’s approach to achieving results in the social sector—a new way to think about ROI and change the world.

Socap09 in San Francisco brought together a unique mix of the world’s leading social innovators—traditional investors, impact investors, social entrepreneurs, philanthropists, new media evangelists, NGOs and nonprofits, wealth managers, development agencies, venture capitalists, MBA students, and other groups interested in the growing opportunities related to social capital. These folks account for a new breed of philanthropist—the social catalysts. Last year’s conference gathered more than 650 leading global investors and entrepreneurs from 26 countries. This year’s sold out again and featured speakers from the Skoll Foundation, Food Inc, LINKtv, Invisible Children, Global Giving, the World Economic Forum, Virgance, Kiva, Change.org, Ushahidi, McKinsey, The Economist, and many others. The opening keynote will be given by Sonal Shah, director of the White House Office for Social Innovation.

Founder Kevin Jones said, “In these turbulent times, social innovators in the public and private sectors, from foundations to social venture funds to development agencies to grassroots Web 2.0 activists, are working together to build a new economic foundation for the world.”

I heard about one panel that particularly intrigued me. Having worked with a fledgling cause website, I know this space can be tricky and challenging. “The Future of Social Innovation on the Web” panel was facilitated by Dennis Whittle of Global Giving and featured Premal Shah of Kiva.org, Jonathan Greenblatt of Our Good Works, Steve Newcomb of Virgance, and Ben Rattray of Change.org.

Beth Kanter attended and interviewed several of these guys after their presentation. She reported that Premal talked about the need for creating “magic for users” and building in workflow software that actively facilitates relationship-building through a clear process of engagement. In talking about the next Web transition, he said, “If Web 1.0 is about one-way communication, and Web 2.0 is about two-way communication, then Web 3.0 is about building a bridge between two-way online communication and offline actions and impact.”

Ben Rattray commented on the effectiveness of social media platforms—now and down the road:

“The vast majority of social good platforms have failed because they have modeled social-good platforms on commercial applications. We assumed that if we created a generic platform that people would start their own actions. They don’t. It isn’t as easy to throw up an action on the web as it is to throw up a video. The vision is to provide a platform for collective social action, so it is easy for people who care about an issue to connect. There must be catalytic organizations. If you build the platform, will spontaneous organizing happen? No! Synthesis of grassroots organizations is needed to channel social change.”

And from Premal Shah:

“Kiva is at the intersection of money and meaning. There is going to be a socially responsible investment. There is a third access – it is not about ROI or social impact. It’s the user experience that drives adoption. Never underestimate something that is fun and has short feedback loops. If we want people to engage, it has to be easy, fun, and addictive. Return on experience versus investment.”

Clearly, the line between for-profit and nonprofit is blurring. It’s less about “what you are,” and more about what you can achieve.

Stay tuned, hold on tight, and think about it . . .
“What are you?” or better yet, “What do you want to be?”

Tweet Surrender: The Truth about Twitter

tweet_twoThe decibel level of Twitter buzz only continues to crescendo. Harvard Business School is even studying the complexities of Tweet-ology. A Harvard MBA student examined the activity of a random sample of 300,000 Twitter users in May of this year—to try to understand the phenomenon that is Twitter. We hear it referenced almost daily—and more and more, you can follow just about anyone or anything on Twitter, but what’s really going on? And this begs the question—just how do we make it work for us?

Continuing along my own journey of social media comprehension, I have to admit I was startled by this recent data—especially in comparison to what I know about other popular social media sites, such as Facebook. The researchers discovered that 80% of those sampled were “followed by” or “followed” at least one user. By comparison, only 60 to 65% of other online social media site members have at least one friend (measuring these stats for sites at similar levels of development). This suggests that entrenched, active users really do understand exactly how Twitter works. (Unlike much of the non-Web 2.0 world.) The initiated get it — not really too much of a revelation, methinks.

However, it’s the metrics around gender behavior that particularly intrigue me. Although men and women follow a similar number of Twitter users, men have 15% more followers than women. And, men also have more reciprocated relationships, in which two users follow each other. This “follower split” suggests that women are driven less by followers than men, or perhaps they have more stringent criteria for reciprocating relationships. This seems somehow counter-intuitive, though—especially given that females hold a slight majority on Twitter—45% are men, and 55% are women.

Even more enlightening is— who follows whom:
• A man is two times more likely to follow another man than a woman.
• A woman is 25% more likely to follow a man than a woman.
• A man is 40% more likely to be followed by another man than by a woman.

This cannot be explained by different tweeting activity, either, because both men and women tweet at the same rate. These results are remarkable in light of previous social media research. On other social networks, most of the activity is focused around women. Men seem to follow content produced by women they do and do not know, and women follow content produced by women they know.

Generally, men receive comparatively little attention from other men or from women. The researchers conjectured that perhaps men and women find the content produced by other men on Twitter more compelling than on other social networks. And maybe, men find the content produced by women less compelling because of the lack of photo sharing, detailed biographies, etc. After all, men are visual creatures.

Or could the cryptic nature of the 140-character-post limit and truncated URLs inhibit more meaningful sharing—that women often prefer? It’s a thought-provoking question.

Overall, Twitter’s usage patterns are also very different from a typical online social network. On Twitter, there is a small, very active user group. Specifically, the top 10% of Twitter users accounted for over 90% of tweets. Oh, there’s that old 90/10 rule again! Fundraising 101, indeed. On a typical online social network, the top 10% of users account for only about 30% of all production.

From this perspective, Twitter is actually more of a one-way, asynchronous communication vehicle than a two-way, peer-to-peer network. Perhaps nonprofits can harness the platform for a new way of crowd fundraising? Worth considering. The leaders initiate and the followers acquiesce. Hmmm . . . a whole new way to think about the social web? Perhaps a new social science. I wonder.

What do you think? @ellagantz

Will microvolunteering have a macro impact?

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I was very intrigued by the latest social media philanthropy trend I saw posted by NPR on my Facebook page—The Extraordinaires, a snazzy, new social media enterprise that delivers microvolunteer opportunities to mobile phones that can be done on-demand and on-the-spot. The article begins – “Got five minutes? Got a cell phone? Want to do good?” What a concept—weaving volunteer activities into the fabric of your busy, over-programmed day. Interesting concept, but does it make practical sense? When you are waiting at the doctor’s office or in line at the grocery store, might you have time or focus to translate an email newsletter into Spanish—or figure sum-of-the-years-digits depreciation on the purchase of a new copier? I wonder. It’s a great concept, indeed—multi-taking at the highest level of win-win efficiency.

Upon download, I realized the opportunities offered were almost universally photo-related—tagging images for the Smithsonian or cataloging images for the Brooklyn Museum. My mind was racing with other options or opportunities. Still, I was a bit bewildered. The app asked that I describe what I saw—one session asking me to tag what appeared to be 19th century French Genre paintings. Now, I’m thinking this is a bit freewheeling for a museum. Luckily, I took art history in college, but I’m not so sure I would trust the random, crowdsourced public to accurately catalog these esoteric works for posterity. Definite fact-checking and review required, indeed.

As I hit submit, I suspected that it was less about the task at hand, so to speak, and more about the experience. It’s kind of like taking one of those Facebook quizzes. It’s fun and enlightening in a pseudo-informational sort of way, but the value is questionable. However, I was surprised that there seemed to be no data capture—no way of engaging me further after my “micro” interaction. There was just a very cordial thank you for “making the world a better place.” So, the ongoing social media question looms—how do we bring those touched through casual encounters such as an iphone tagging exercise into our cultivation universes?

Extraordinaires co-founder Jacob Colker, 26, says, “We hope people might look differently at that ride on the bus and not just play video games.” He continues, “Microvolunteerism is perfectly suited for the Millennial Generation. They are used to text messaging, MySpace, Facebook, get-in, get-out, instant gratification. For them, going out and cleaning up a park—that’s not necessarily attractive to them.” So, is microvoluteerism the new media equivalent of a one-night stand? No commitments . . . no strings? I guess we’ll have to stay tuned!

I cringe to think the entire paradigm for volunteerism is shifting to micro tasks and instant gratification. I prefer to see this as fresh, innovative concept yet another option to attract “followers” and “fans.” I am reminded of the mission trip my 17-year-old son recently took to northern Michigan. The group of 35 students spent a week renovating a deteriorating campground for economically disadvantaged youth. They built Adirondack chairs, sanded fences, and painted cabins. They got their hands dirty and their hearts engaged. No cell phones were allowed. And, the gratification may not have been instant, but it was most certainly—genuine.

What do you think about microvolunteerism?

Nonprofit Social Media Savvy Outpaces Private Sector

Though nonprofits are often seen as late adopters on the technology frontier, a recent study conducted by the University of Massachusetts Dartmouth Center for Marketing Research indicates quite the contrary with regard to social media. Results shows nonprofit groups are actually well ahead of their brethren for-profit businesses in their use of social-media tools such as Twitter, Facebook, and blogs. The soon-to-be-released study found that 89 percent of nonprofit organizations are using some form of social media. Fifty-seven percent report that they use blogs. Forty-six percent of those studied report social media is very important to their fundraising strategy.

It’s really not so surprising. Since the beginning of time, nonprofit leaders have been concerned with finding new ways to do more with less. They are necessarily lean and scrappy—so they recognized early on the cost-effectiveness of capitalizing on the interactivity, reach, and efficiency of social media tools to broaden their marketing efforts. It really makes sense on many levels. When I speak too nonprofits about embracing social media, I always mention the time-proven fundraising adage –“People don’t give to organizations. They give to people.” In a nutshell, that is the power of social media—harnessing the power of the personal appeal—in a new media paradigm.

Plus, any organization— from your local pet shelter to the American Red Cross can instantly establish a presence on many social networks, acquiring followers, fans, and benefactors it might never reach traditionally. The only investment is time. And a little expertise can help avoid the pitfalls and ramp up your presence more quickly and productively. The question is no longer, “Do you tweet?” It’s, “What’s your social media strategy?”

Face it, Facebook has a tantalizing appeal –even at first blush! It has an inherent attraction for development folks. Ideas such as “establishing a dialogue,” “engaging in the conversation”, and “cultivating interest” are all the very fundamentals of the development process. But alas, many organizations think it sounds great, but they never harness the real power. But, the truth our stories “sell” our organizations. It’s the emotional connection that makes social media magic.
Consider this – the cause-marketing consulting firm Cone Inc. has published the statistic—“93% of consumers now expect your organization to use social media. “ The University of Massachusetts study tells us that “89% of NPOs do. “ Perhaps, those for-profit companies wishing to remain so in these tough times should actually take a page out of the “nonprofit journal” to catch up to a whole new marketing philosophy that nonprofits are already embracing. The numbers tell all. Recent research reveals:

• Worldwide, 60% of execs and IT professionals “do not understand the potential social media offers employees or customers” (source: Avanade)
• Only 16% of the Fortune 500 companies have public blogs (source: US Web Central)
• Approximately 5% of small businesses use social media (source: eMarketer via Sage Research)

As a matter of fact, I discussed this issue just this week over coffee with a very high-powered business marketing exec in Dallas. We were exploring the nuances of the social media phenomenon, and he observed that the marketing concepts we all learned in business school are morphing in real time. It’s a completely different ballgame, and we need to rewrite the playbook. Whether you are a 501 (c) 3 or Sub Chapter S, now, it’s less about “building a brand.” It’s more about “creating a conversation.”

Do you have a nonprofit social media success story? Tell us about it.