I decided to put together a list of reasons why I think many marketing agencies “don’t get” social media. Some are legitimate reasons, most aren’t. Feel free to add some of your own.

1- Elitism

The marketing industries - advertising, PR - are considered to be ‘cool’ or chic. These industries (including social media by the way) are filled with people who are self-consciously aware of this. For years I’ve been on online forums filled with ad people trashing the industry, talking about the lack of creative talent the whole time positioning themselves as being above it all.

Enter social media and its marketing aspects and these self-important types have something else to look down upon. If that attitude is prevelant in an agency, then it means you’ve got an agency that’s closed off to innovation.

2- Lack of Vision

An agency gets an RFP for a major client. They have meetings to brainstorm. How to position the brand. What creative they should use. Where they should make placements. Do we look to bring in a spokesperson? What strategies, what tactics?

And the whole time, social media didn’t enter their mindset.

That may be because they’re too rushed to give their response to the RFP and, because they haven’t had the time to learn much about social media. When it comes crunch time, it never occurs to them to do something with social media.

3- Lack of Interest

A couple of years ago I contacted a mid-size ad agency to see if they were going to incorporate any type of online marketing capabiliites. They had no interest in it. It was more than a lack of vision. It was simply put, a fundamental lack of interest of what was happening around them

4- Unable to figure out the revenue model

This is an underrated and compelling reason. I don’t believe as some doom sayers do that advertising is on its way out. But it is changing and some of these new business models involve little revenue. If you’ve to a lot of overhead and a project comes in that could mean little revenue, you’re going to be flummoxed and scared shitless of this.

5- Terrified of Technology

Often, people in agencies play the “he’s a tech guy” routine. Cordoning off those who do online stuff as a whole as tech people. And tech people usually aren’t marketing types. So by placing that label on it, ad types both partially remove internet marketers from the decision making pro and set up a situation where they don’t have to deal with technology - and the unknown.

6- They undervalue what it takes to establish a capability

Other times I’ve talked to agencies that it seems they want to hire someone “young” and not pay them much and “teach” them about online marketing, even though those that teach no little of what they speak. Developing an online capability is viewed as a cost, not an opportunity and the idea then is to go as cheaply as possible.

7- Methodologies are still being developed

Yes, this is true. The field is very new and, while there have been many successes, the constantly changing nature of social media - blogs, social networks, microblogs, online video, is often in a flux. Methodologies have to play catch up.

8- Social media is largely unproven

No, this is not heresy. It’s the truth, plain and simple. It’s an emerging field and, while social media usage is growing phenomenally, it’s growing in many different directions. Each time it grow, new lessons have to be applied to new strategies.

9- Too much hype from social media strategists

“Engage or die”. “The customer is in control of the brand”. Overblown statements by ‘visionaries’ that usually aren’t true and turn off traditional marketers. Statements like that seem to be directed at other social media strategists where it becomes part of the echo chamber. Not everyone had to ‘engage’ and not everyone will die if they fail to do so.

I recently got to thinking about the article Chip Griffin wrote last month in MediaBistro. It was called “Throwing Out the Social Media Rulebook” and it created quite a stir. Some even got a little hostile.

I agree with all he wrote in that some in this open environment are creating certain rules suddenly come about that many say we must adhere to. Often by the most strident voices. But some of those same voices, while strident, make sense.

One of Chip’s points caught my eye. Actually they all did, but this one in particular:

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The culture of participatory social media is having some surprisingly significant effects on both the way satisfied customers play a role in contributing to the marketing message development of products and services. And it is also playing an increasingly important role in defining the key touchpoints that customers use in the deciding factors one what to purchase. What makes this all the more noteworthy is that much of this is rooted in offline purchases. I’m putting this together from two recent studies…

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I keep on trying to legitimize the reasons that Facebook is using to justify their new marketing program, “Facebook Beacon”. But it’s just not happening. It keeps on coming back to user relationships, user privacy, and user benefit. You know, the USER.

If you’re not sure what Beacon is, it’s basically this. Facebook is setting up agreements with online retailers that aren’t part of Facebook to have the retailer directly send information of what people buy on the retailer site to their “friends” on Facebook. The user is first supposed to see a notice on the retail site for which they need to give the thumbs down if they object. So the system is supposed to be opt out. But there’s been some circumstances where the information is just automatically sent without approval or even notification of the buyer. That means the next time you buy a book from Amazon or an item from Overstock.com, the retailer could end up letting your friends know what you bought unless you explicitly stop it.

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The November 8th edition of The Economist has an article that asks us “Will Facebook, MySpace and other social networking sites transform advertising?”

In truth, the article is poorly written. It asks the wrong question, it’s lazily researched, and it provides little actual theory or empirical evidence to justify the premise they are trying to suppose. Perhaps the reason for this is that The Economist is a general news publication – one that I respect – and that the article was intended for a mainstream readership that’s likely mostly interested in reading about general trends and not deeper analysis. But nevertheless…

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