Archive for the ‘Twitter’ category

Twitter case study – Dell

October 26th, 2009

from: http://business.twitter.com/twitter101/case_dell

@DellOutlet: Raising awareness, increasing sales, measuring results

Dell Outlet faces a common but vexing challenge. A division of the giant made-to-order computer business, Dell Outlet carries refurbished equipment and other inventory that it needs to sell quickly. Because the division has to get the word out fast, it doesn’t have the luxury of hiring an agency and developing an ad campaign.

Instead, the outlet relies primarily on email marketing, paid search results, search-engine optimization and affiliate links to raise awareness and drive sales. It’s always looking for new, cost-effective ways to reach people.

Holding Conversations

When company employee Ricardo Guerrero discovered Twitter at the South by Southwest conference in 2007, he thought he’d hit on a good channel for pushing out information. The rest of the team agreed.

“We thought, ‘Great—this has a really short lead time, and it will let us communicate our message effectively,’” says Stefanie Nelson, manager of demand generation at Dell Outlet. “We started using it for one-way communication.”

The company was surprised when people responded. “They wanted to ask questions. They wanted to share their experiences, good and bad,” says Nelson, who’s based in Austin, TX. “We realized that people were really interested in talking with us.”

Raising awareness

So instead of using Twitter just to let people know about deals, the company has come to think of it as a good place to interact with customers—and to raise awareness about the brand. “When we respond to people on Twitter, they get really excited, and we gain advocates.”

That doesn’t mean Dell Outlet has abandoned the deals. In fact, the company often posts offers that are exclusive to Twitter. They twitter only a few times a week so as not to spam their followers, and they use tracking URLs to gauge what followers find most appealing.

Increasing sales

Do the coupons work? Big time. Not only do they get retweeted and picked up by coupon sites—both of which spread the brand name—they also drive sales. Dell Outlet has booked more than $3 million in revenue attributable to its Twitter posts. In addition, the division has done research showing that awareness of the outlet has grown, too. “The uplift has been more than we dreamed,” says Nelson.

Connecting with customers

Dell now has more than 80 Dell-branded Twitter accounts (including @dellhomeoffers for new system deals) offering everything from videos of new technologies to promotions for Asia-Pacific customers. It also encourages employees to twitter, and has well over 100 employee accounts. Dell uses many of those accounts (with names like @StefanieAtDell), primarily for customer service exchanges that require direct messages (Twitter’s private channel) and to reach out to people who are twittering about Dell (which they find via Twitter search).

Nelson has learned when starting a new account on Twitter, it’s smart to reach out to your current customer base. They’re already interested in chatting with you, and they’ll tell other people about you. But no matter who’s following you on Twitter, she says, “offering relevant information that people are interested in is key.”

Find a ‘Tweet’ Deal on Advertising

October 26th, 2009

fomr: http://www.entrepreneur.com/advertising/article203214.html

Banner ads aren’t the only way to advertise online; take advantage with these affordable alternatives.

The first question you must answer before launching an advertising campaign for a new business, product or service is: “Who is my audience?” Once you determine your ideal customer, you can go on to produce successful, targeted ads.

Social networking as an advertising tool is a new trend, but it’s expected to represent more than 20 percent of advertising overall by 2014, according to recent studies. And Twitter is poised to lead the pack.

“Most advertisers are interested in reaching more prospects, especially new audiences, and getting direct return on investment,” Brian Carter, founder of TweetROI says. “Twitter is a new place to [do that]. People are already talking about all kinds of things on Twitter–people who need what small businesses offer.”

TweetROI is one of a small but growing group of emerging platforms that leverage Twitter as a low-cost medium for companies to place ads that reach very specific targets. Basically, a business buys into the service and offers a cash incentive to those who tweet its ads. Each platform has unique features and benefits, so it’s up to entrepreneurs to decide which suits their business best.

Carter believes social media has the potential not only to help entrepreneurs target consumers more effectively, but also to bring in bigger returns by taking a larger bite out of that web-based pie.

TweetROI
Businesses send TweetROI their suggested text and a link, then choose campaign settings such as how much they will pay per tweet, a maximum number of tweets, how often they can go out and how long the campaign will run. There’s a function for advanced bidding that allows businesses to pay more or less depending on the tweeter’s influence and viral potential. According to TweetROI’s website, Twitter users recommend stuff they like in their own words.

“Businesses should both build their own Twitter accounts and advertise via pay-per-tweet,” Carter says, noting businesses can expect a faster ROI from their TweetROI investment than their social media labor hours.

“Pay-per-tweet is cheap compared to existing online advertising channels.” Carter says. “TweetROI averages $3 per tweet and its average cost per click comes out to about 50 cents.” He recommends that small businesses start with $500 a month to test the service. “It’s critical that sufficient web analytics are in place to measure the conversions and revenue that come from pay-per-tweet,” he adds.

adCause
Founded by Andy Arnott, a startup veteran, this service is designed to appeal to users who want to make money on Twitter and share that money with causes they are passionate about while promoting socially conscious advertising. AdCause allows both tweeters and businesses to suggest charities and to make donations directly to charities through PayPal.

Businesses that want to advertise can match their ads to tweeters by searching by name, location or number of followers. Tweeters control which ads appear; if they select a network option, only businesses that match their subject matter will display. Then it’s click to purchase via PayPal, or to negotiate a better deal. The message will automatically appear on the Twitter stream of the chosen person when the transaction is completed. Campaigns start as low as $1, but Arnott suggests an initial investment of $100 to test the waters.

Sponsored Tweets
Brainchild of Ted Murphy, CEO and founder of IZEA, Sponsored Tweets lets companies see the potential impact of each tweeter by offering a graded profile based on the tweeter’s number of followers and how often that tweeter engages in conversation. The service also allows tweeters to manually select companies whose ads are most relevant to their personal preferences. Though Sponsored Tweets gives businesses a how-to for suggesting content, tweeters are free to write the content themselves.

Murphy, like Carter and Arnott, recommends starting a campaign with a few hundred dollars–Sponsored Tweets start at 50 cents to $1 CPC. “Remember, it’s not all about clicks,” Murphy says, “Engage a broad range of people with large and small audiences. Pick the best performers and re-engage those people in future campaigns.”

The service is also appropriate for building buzz, Murphy says, adding “I would use the tool to build followers and anticipation prior to launch.”

Twitter offers a kind of word-of-mouth marketing that works, Arnott says. “It’s a perfect fit for companies looking to form a lasting relationship with their customers. By engaging users with relevant ads, companies are not only building their brand but engaging their customers in a relevant dialog.”