Digital Economy

Chapter 1: Digital communication

Online communication - How do the brands communicate today?

Clutrain manifesto is a book, 1999: birth of customer power manifesto

“The Clutrain is a customer power manifesto, it’s the relation between customers and the brands in the area of digital media. Networkers market are beginning to self-organize faster than the companies that have traditionally served them. Thanks to the web, markets are becoming better informed, smater, and more demanding of qualities missing from most business organizations. “

Markets = people are better inform about services, products. So the brands can’t lie about the product because markets will know. The relationship between customers and brand is in the game.

“A powerful global conversation has begun. (peer recommendation = the value of the product depend what customers are saying. People on web say there opinions très honnêtement, they don’t care if we buy or not ≠ sallers at La Fnac has merges with this or this product, so it’s not a true opinion of quality).  Through the Internet, people are discovering and inventing new ways to share relevant knowledge with blinding speed (rapidly). As a direct result, markets are getting smarter and getting smarter faster than most companies.”

95 theses:

1 – Markets are conversation

6 – The internet is enabling conversations among human beings that were simply not possible in the era of mass media (cinema, display, press, television, radio). (Signal from the mass media is top down (one way) = we can’t answer ≠ in the internet we can communicate with our peers)

7 – Hyperlinks subvert hierarchy (the internet allow us to have information, customers have the power and no more the brands ➔ brands have to reinvent their strategies)

8 – In both internetworked markets and among intranetworked employees, people are speaking to each other in a powerful new way

9 – These networked conversations are enabling powerful new forms of social organizations and knowledge exchange to emerge.

10 – As a result, markets (= consumers) are getting smarter, more informed, more organized. Participation in a networked market changed people fundamentally.

11 – People in networked markets are figured out that they get far better information and support from one another than from vendors. So much for corporate rhetoric about adding value to commoditized products.

95 – We are waking up and linking to each other. We are watching. But we are not waiting. (we share if the brand lie).

Brands need to learn how to communicate differently

→ They have to take risks and to learn to communicate on social medias.

• Acceleration of space and time: customers are very different in the time (technology changes the needed of customers).

• Deep transformation of the customer:

• Technology pervades daily life and changes lastly the uses, and therefore consumer expectations with respect to the brands.

• Multiplication of points of contact with the brand
• Revolution of interfaces: use new interfaces
• Development of new social uses, location based, mobile.

• Consumer:

• Always connected in contact with the community in real time, speaking on all subjects, the new “consumer-actor” feels more than ever king
• More demanding, more suspicious and more volatile
• Want to experience innovative, real-time, novelty (nouveauté) at every moment and at every point of contact with the brand and all a great price!

• New imperative of digital marketing: learning to move quickly and adapt in real time to customer requirements without sacrificing quality.

• This requires:

• A clear view of ongoing initiatives
• Better collaboration of IT and marketing teams
• Taking into account the ecosystem of agencies and partners necessary to the success of a digital marketing project
• Developing a culture of experimentation and performance, to test new concepts, provide experiences, and retrain only the most effective strategies that create value for the consumer and the brand.

Digital advertising experienced 3,5% growth in S1 2015, compared with S1 2014.

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