Reaching Out: Four Retail Companies That Are Reaching Out with Blogs and Social Media

Embracing blogs to connect with a company’s network of customers is fait accompli for the tech industry, but what about the rest of the planet that doesn’t put its every movement up on Twitter? 

Here are four retailers that are using blogs and social media in an attempt to better connect with customers.


WalMart

Revenue: $375 Billion
# Locations: 6,800
Notable URL: http://www.checkoutblog.com/
Notable post: “Great News About WalMart’s Milk” (over 230 comments)

After several failed attempts at blogging, most notably the reviled “WalMarting Across America” shill blog, the planet’s largest retailer might be starting to get its act together.  In 2007, the Bentonville, Arkansas company launched the “Checkout Blog,” a group blog penned by nine of its corporate buyers that covers topics from the garden to video games to sustainability.  A definite step in the right direction for the company, with actual employees communicating about their individual areas of interest, with minimal company shilling taking place.

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McDonald’s

Revenue: $23 Billion
# Locations: 30,000+
Notable URL: http://csr.blogs.mcdonalds.com/
Notable post: “A Trip Down Memory Lane” (Good handling of a troll in the comments)

WalMart wasn’t the only retailing behemoth to receive derision for its initial forays into blogging.  McDonald’s, too, had its challenges. (Hopefully, you missed the fake “Lincoln Fry” blog, about a french fry shaped like the 16th President of the United States.  Yes, it was as abysmal as it sounds.)

The company behind the golden arches now has a “Open for Discussion” blog with weekly postings on topics regarding “Corporate Social Responsibility.”  While certainly better than the LIncoln Fry, there are still some challenges here:

1)  It looks to me like someone at McDonald’s headquarters has committed to some sort of MBO of “one blog post per week.”   As such, the posts are infrequent and not heavily trafficked.

2)  While it’s great to spread the wealth, all the most recent posts on the site (March-April 2008) are from different authors.  Accordingly, each post is starting with a “who I am and what my role is” statement.  This also means that the revolving cast of characters hasn’t a chance to connect with readers.  It’s drive-by blogging.

3) To their credit, comments on the blog are open.  However, the paucity of comments makes me think that either (a) the blog is receiving almost no traffic or (b) the comments are being heavily moderated.  The bold TERMS AND CONDITIONS of the blog also state: “McDonald’s owns any comments or other content that you post on this
site. That means that McDonald’s has the right to make, have made,
offer for sale, use, sell, copy, distribute, perform, transmit,
display, modify, adapt and otherwise use your submission(s) throughout
the world in perpetuity in any manner that it sees fit without
compensation to you. McDonald’s also has the right to use your name in
connection with any use of your submissions.”  This is not the best method to develop trust and a long-term relationship with a customer.

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Starbucks

Revenue: $9 Billion
# Locations: 15,000+
Notable URL: http://mystarbucksidea.force.com/
Notable post: “Vote For All Day Bold” (Giving contrarian viewpoints their due)   

Of the four retailers profiled here, Starbucks has gone the furthest with respect to using social media to not only connect the organization to its customers, but to enable customers to rally around ideas as a community.  Their “My Starbucks Idea” site is a venue where customers can submit suggestions to the organization, vote on the suggestions of other individuals, and see which ideas are going to actually be implemented by the organization.

The best part of the site is not the technical implementation but, rather, the cultural one.  Starbucks does not seem to be censoring comments about their organization in any way, even when the feedback is less-than-stellar.  For example,  one representative comment on the site states:

“Decaf drinkers want strong coffee also. I go (or used to go) to
Starbucks because of the decaf Sumatra, Verona etc. I can get Pikes
Piss coffee from Tim Horton’s or McDonald’s. My grandmother makes
stronger coffee. Starting today I am no longer a customer of Starbuck’s
coffee except for whole beans. I urge everyone reading this to follow
my lead and make Starbuck’s understand that the reason we (used to)
spend our money on their overpriced coffe is because it is the best and
no one else offers a strong decaf. There is strength in numbers – walk
away today!”

The key thing that Starbucks realizes is that these conversations are taking place anyway.  If this site didn’t exist, customers such as the individual above would be making these comments in other forums that were removed from the organization, or on his or her own blog.  With My Starbucks Idea, the organization is getting the feedback in realtime, and has the opportunity to address issues in a rational and constructive way.

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Whole Foods Market

Revenue: $4 Billion
# Locations: 270+
Notable URL: http://wholefoodsmarket.com/socialmedia/blogs/
Notable post: “Slow Down and Green Up” (Rich conversation)   

Although their CEO got himself and the company in some hot water by commenting negatively about a competitor using a pseudonym (n.b. the investigation into his actions has now been concluded), Whole Foods has a farmer’s market full of blogs, podcasts and videos they are using to give customers a variety of methods to learn more about the organization. Retailers such as Whole Foods are a great way for suppliers to have their products reach the masses, with some suppliers using a whole foods vendor portal from companies similar to RangeMe to get their products on the shelf of one of the biggest retailers in the world.

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Conversations Abounding

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All sorts of good things going on this week.  Here we go!

1) The "networks don’t have people…people have networks" concept floated here has become a full-fledged snowball.

  • Ross Mayfield – "Here’s some related Soylent Green."
  • Demian Entrekin – "Individuals create value for organizations through the impact of their Project Network, not through their position in the organization chart."
  • David Wallace – "It’s about the people, people."
  • David Cushman – "When you aggregate personal data in profiles (eg facebook) you risk imposing structural limitations on the conversation and on the way groups form. This leads to severe restrictions on value and growth creation in your network."
  • Marshall Lager – "It’s why Facebook (for example) has been having trouble – it takes ownership of pieces of you."

2) A point of caution on the "social media divide" from Francine Hardaway (with more here) – "Fellow geeks, we live in a dream world — a world of Twitter – Twhirl – Friendfeed – AlertThingy – Seesmic. And if you think most people reading this can identify any of those things, think again. Moreover, if you think there’s a chance of any of those crossing the real chasm in the next ten years, think again."

3) A pragmatic step toward mobile networking for the iPhone

Launching Now: BlogHer Guide to Political Bloggers Networking Widget

Our customer BlogHer just launched
their new BlogHer Guide to Political Bloggers.  Neat stuff, built on top of Cerado Ventana.  (But i’m biased
:-)).

Check it out. From the BlogHer page:

Blogherpolitics
"We’re excited to announce our latest project, BlogHer’s
Guide to Political Bloggers, brought to you by BlogHer’s politics team
and our friends at Cerado.
While we love the many blog-lists that abound of amazing political
blogging by women, we got tired of trying to guess which state bloggers
are from and/or which party they’re in or leaning toward. That’s why,
as a non-partisan guide to women who blog, BlogHer has developed a
widget that you can instantly categorize your blog in and find other
bloggers. You can:

  • Search by state
  • Search by blogger’s first or last name
  • Search by political party using the color key:

Blue = Democrat
Green = Green
Gray = Undecided
Khaki = Libertarian
Orange = Independent
Purple = Other/Multiparty
Red = Republican

This guide is incredibly easy to use –both to list your blog and
then to post on your blog, too. We’ve pre-loaded it with a few bloggers
we know, but hey — we don’t want to make a mistake about where you live
and what you think! So rather than pour all 700-ish blogs from the
BlogHer Politics blogroll into the mix, we think it’s better if you add
your blog."

If you still have questions, use the Help button, let us know or see it in action. 

The New, Improved Organization: Now Without a Chewy Center!

"If it happens twice it’s coincidence; if it happens three times, it’s a trend." – Anonymous

For the past few months, I’ve been dealing with one of those gut, right-brain feelings — not enough hard data to draw the graph, yet well-more than enough to get the spidey senses on alert.  That gut feeling tells me that business is about to get really weird.  Happily, I also have a feeling that ultimately said weirdness is going to manifest itself in a positive, transformative way.

The key driver behind this feeling has been the humanization of so many organizations that, heretofore, have been opaque and, well, corporate.   Dell.  GM.  Salesforce.  Wells Fargo.  Oracle.  In all of those cases, the organizations have started to make transformations from being purely represented in the marketplace by their sanitized, focus-grouped-to-death marketing departments into organizations where at least some identifiable number of their employees or representatives are having "real" identities online that integrate both their "corporate" and "human" sides.

As we discovered here, individuals from Big Companies self-identify online with a variety of sites online that they state as their "home base."  For many of us, our blogs are "home" — when someone asks us "where can I find you online," we give our blog URLs.  (This is the camp into which I fall.)  For many others, a Twitter stream, or even a Facebook or LinkedIn profile might be that touch point.  Some of us have separate homes, one for our "professional" self, and another for our "personal" self, perhaps even under a pseudonym.  I have a feeling (again, no hard data here) that the generation coming online now will more strongly identify with themselves and their peer networks, rather than any organizational home online, regardless of how benevolent that organization may be.

Here are three other posts that are poking on different side of this:

Umair Haque: "There’s only one real answer: rethinking strategy itself. A world of
cheap, abundant, always-on interaction, where value is shifting to the
edges, demands a fresh understanding of what’s truly strategic and
what’s not."

Fred Wilson: "We are in the midst of a groundbreaking shift from a centralized
economy dominated by large "orthodox" companies to a "edge economy"
dominated by end users."

Jeff Jarvis: "Where orthodox strategy advises hiding information and making things
less liquid, what does edge strategy advise? Exactly the opposite:
release information bottlenecks and make things more liquid."

What do you think?  Will organizations continue to fragment, and become more networked and organic, or is the current vogue of online individualism merely an outlier that will eventually return to a more traditional strategic state?

Hot Links: Free-conomics, Relationships and Theremins

  • Frshhotlink
    How Free Goes Viral
    – "In the beginning, no one will believe you. Stick with it long enough,
    experience breakthrough, and you’ll have more business than you know
    what to do with."
  • Talent, Systems and Relationships – "[Organizational systems] don’t know how to deal with
    relationships, character, ethics and the multitude of tangents to those
    ideas. Why is this? Is this a personal issue?"
  • And, just for fun, a cat playing a Theremin (via Make).

Networks don’t have people. People have networks.

"Networks don’t have people.  People have networks." – Demian Entrekin

Was having dinner with Demian earlier this week, and the quote above was a pure moment of clarity.  He is absolutely, 100% right.  And, in those seven words, I think he summed up the next five years of our industry. 

Other data points:

Doc writes: "We have many relationships online. All of them, however, are defined and controlled (sometimes from both sides) within each company’s silo. What we don’t have are personally controlled global approaches to relationship, including privacy variables."

Dave McClure writes: "’Web 3.0′ is the condition which exists when someone is always ‘logged in’ on the web, and can move from site to site without ever having to re-enter a username/password."

And Kevin Werbach brings it home: "One of the key questions for the Network Age is the interplay of aggregation and fragmentation…should we own our own identity though some user-centric ID model? Will change happen top-down, or bottom-up?"

The points above seem to point in a clear direction.  We’re heading to an inflection point that is as significant as the move from mainframe to PC.

Having my information (social network connections, preferences, purchase history, etc.) stored in someone else’s silo makes no sense.  Having my information stored in (literally) dozens of silos makes even less sense.  (Yes, dozens.  Think about it.  Your information is in Facebook, and LinkedIn, and innumerable CRM systems like Salesforce — one for each vendor you deal with — and in Visa’s systems, and in…you get the point.)

The right point of integration is around the individual.  Each of us is the center of our own universe.

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(image credit goes to the inimitable david armano.  cross-posted to the conversation hub.)