Ask three marketing executives to define "social business" and you'll get three different views.
One may see the potential of using the big data of social media to enhance the customer experience. Another explains how collaborative social tools like Yammer enhance productivity. Some may see social business as a way to enhance brand. And they all may be right in the context of their own experience.
One thing upon which they would probably all agree upon is that we're just beginning to understand social business. To help shed light on the topic, we contacted Vala Afshar, co-author of The Pursuit of Social Business Success.
Promoting Socially Savvy Companies
Afshar is also CMO of Extreme Networks, responsible for brand awareness, demand generation, investor relations and, of course, social media. As you'll see, he's a strong evangelist for social media and writes often on the subject for publications like The Economist, Forbes and CMSWire.
Murphy: Is social business gaining traction in the workplace?
Afshar: Social is everywhere. People expect to be connected no matter where they are – whether it’s at home, work or a ballgame. The No. 1 use of the web is social networks and the No. 1 access method is mobile. It’s been shown that 94 percent of customers believe C-level social involvement is important. Meanwhile, 82 percent of employees trust a company with social leaders. There is an inherent trust factor that is established when someone connects with a socially savvy company. They are treated as more than a customer and the company is perceived as much more than a vendor.
When I connect to a customer on social that becomes the default mode of communication for me, and it is becoming that way for many in our industry. This is evident from the recent publication of the top 100 Social CIOs on Twitter, who have an average of 3,330 followers and are listed on average 150 times. However, as John Hagel, the co-chair of Deloitte's Center for the Edge, said, digital has “a delicious paradox,” as the very same technologies that bring awesome opportunities and new possibilities, at same time bring mounting performance pressures, accelerating change and growing uncertainty. But, in the end, I believe you are either a digital business or a dead business.
Murphy: As you’ve noted recently, only about 5 percent of the data out there is being tapped. How quickly do you see that rate rising in the next year, five years or 10 years?
Afshar: Big data is a huge opportunity for companies. Ninety percent of all the data in the world has been generated over the last two years. And that trend is only increasing. According to CSC, it is expected that there will be 4300 percent increase in annual big data generation by 2020. Companies that are able to correlate and analyze this data explosion are poised to be the big beneficiaries of this trend. Gartner recently introduced the concept of a "business moment," which is when companies are able to instantly analyze data and react. This requires a very lean and agile process.