The Future of Marketing and Social Media

My first post on this blog, while less visually pleasing, was very content heavy, and for me if was one of the 
more intriguing subjects I've written about. Now that I have some more experience with blogging and knowledge of social media marketing in general, I will now attempt to clarify and elaborate on that post.

Without rehashing too many of the points I made in the first blog post, let me show you what I was talking about. There are countless types of YouTube channels out there. Some of the more popular genres are cars, DIY, video games, tech, fashion, make-up, food, home decor, TV shows, movies and more. It's hard to believe but there is almost nothing, you can't find on YouTube. There is so much desirable content on YouTube in fact, that YouTube reaches more US adults ages 18-34 than any cable television network, according to Nielsen. 

This is the future of marketing:

Why is this the future of marketing? HTC may be one of the first to embrace the groundswell in such a fashion, but more will catch on in time. Companies will begin to realize that people are skeptical, cynical and weary of claims made in commercials. Commercials don't sell products anymore. Commercials make people aware of certain products, but it doesn't necessarily make them buy it. I need a new phone, I see a dozen phone commercials on TV, but I'm a child of the internet. I'm not just going to buy something because a commercial told me to. I'm going to go online, read tech blogs who have done reviews of new phones. I'm going to watch my favorite tech review channel on YouTube to see what they have to say about the phone. And if everyone agrees that a certain phone is a good option and meets other criteria I may have such as price, then I will look into buying it. 

HTC understands this. HTC is embracing this. This commercial shows they have confidence in their product. The object of the commercial is to simply make you aware of the existence of the product, and encourage you to read up on it. It's like drug commercials, "ask your favorite tech reviewer if the HTC One is right for you!"   


Three of the main concepts that Groundswell emphasizes is listening, talking, and energizing. 

Listening involves simply paying attention to what is being said about your product or brand. On YouTube this can be done by watching videos reviewing your product, videos about your competition, as well as reading the comments on those videos. 

Talking is not simply getting your message about your product across. Talking is about finding creative ways to get your product out there, and boost brand recognition. On YouTube this can be done by sending free samples of your product to the appropriate "YouTubers" for a review. This way they can create more content for their channel, and in doing so will provide their viewers with an honest review of your product. This is a great and cheap way to promote your brand. 

Energizing the groundswell is done by encouraging them to participate in social media regarding your product. Obviously by providing YouTube channels with free samples this creates a space for people to discuss the product in the comments section of each video. Of course your company or brand should have a website with some kind of feature that allows people to create accounts on the site and give their input. But simply encouraging people to use the internet and social media to discuss your product is a version of energizing the groundswell. Again, the future of marketing:

Tesla Motors: Social Media Monitoring Part 2

We've established that Tesla Motors has a smaller, but more passionate customer base than your average car manufacturer. According to Social Mention, an online social media analytic site, Tesla has maintained its passion on social media since the last time I posted, but has increased it's reach and strength. Of course this fluctuates on a day to day basis, but anytime these numbers go up is a good thing. 

We can also see specific examples of peoples passion and support of the company via posts made to their Facebook and Twitter pages.

The Tesla audience is so passionate, they frequently get ideas and suggestions from them!

Some people want a Tesla so badly, they would be happy just to see a glimmer of hope of getting one via a sweepstakes!

They have quick and attentive customer service.








Tesla fans poke fun at how slow other companies are to make improvements (right). While others would love to work for the company and regret not investing earlier (below).

By this point, Tesla should be accustomed to entering uncharted waters from a business sense, and being successful at it. Not though, for only the third time in the companies short history they are releasing a new car! The Tesla Model X. The Model X is a sport utility vehicle, which is one of the most popular vehicle types for consumers in the United states. With an expected release date of 2015 there is still plenty of time to built hype. But that time for hype can also be a time for criticism if Tesla isn't careful. For example if you go to the Tesla website, you can reserve yourself a Model X for a $5,000 deposit. However you can order yourself a Model S for a $2,500 deposit. Does this mean the Model X is to be 50% more expensive? Or is the Model S cheaper simply because it is already in production? It certainly raises questions and concerns.

Initial payments required for Tesla's Model S and X.

It's particularly concerning because based on my personal observation at least, most supporters of Tesla can't really afford to buy them! I would love to own one, and I know many friends who would love to own one, but we are young people who are in, graduating, or recently graduated from college. We aren't exactly in a position to purchase a $60,000+ vehicle. We're not the only ones. There are many people across the world who would love to have a Tesla but cannot afford it, and some of those people vocalize this through social media. This obviously has not prevented Tesla's success thus far. Perhaps they intend to appeal to similar markets that BMW or Mercedes appeals to. Maybe Tesla doesn't want to produce a cheaper car for the broader population. The only point I would make here is what I've been saying this whole time. Tesla has a uniquely passionate audience. Many people who cant afford a BMW or a Mercedes don't want one that badly. Sure, they might dream about it or think it would be nice, but generally they don't have that passion that you find in Tesla fans. 

This raises an interesting question regarding the Groundswell. How does a company with large Groundswell support turn that support into profitability when many of their supporters cannot afford the product? Well, I suppose we've learned that social media and the Groundswell is not really about getting direct, quantifiable return on investment. It has more to do with reputation and brand marketing. Your brand is what the people say it is. If people use social media to say your brand stinks, then that message will carry the day. In Tesla's case though, they have very passionate supporters who are actively and positively promoting the brand via social media, despite the fact they cannot afford the product. This can have a positive impact, because those who can afford the car will take into consideration the companies reputation. Do they have good customer service? Are they well liked? Do they fix problems quickly and effectively? In this particular market, will people revere my car? What kind of statement am I making when I drive this? Social media plays a role in answering all of these questions. 

Tesla's Model X, coming in 2015.

At the end of the day, it seems Tesla has a plan for the future and are going to stick to it. And it's not a bad plan! They have already expanded in the last several years at a pretty impressive pace. They began with one car, and next year they will have three. My only criticism is that they are not adopting that "Ford" attitude, where everyone can afford a car. I'm not saying they should make all their cars affordable, or even that they should do anything about this right now. But at some point in the future I believe Tesla should produce one electric car model that the "Average Joe" can afford. If Tesla wants to get this country and the world off of oil, which it should if it wants to maximize its future potential, eventually they will need a car that everyone can bear the expense of. A Tesla in every home!           

How 'Groundswell' Helped Me With My Homework

Internal communication can boost synergy

When reading chapter 11 of Charlene Li and Josh Bernoff's Groundswell, I immediately began thinking about my graduate capstone project. For this project, my group and I partnered with a non profit organization called Road to Responsibility. They needed us to help them come up with ways to better communicate their goals to the public, but also within the organization. They were worried that not everyone within the organization clearly understood what their goals were, specifically regarding a new project. This can be a huge problem, because as the book says, "They [employees] ought to have a common goal: your company's success." (p. 216). And if the employees do not understand the company's goal, how can they fully share and achieve that goal?

When I was thinking about this dilemma for Road to Responsibility, I was thinking about what technology they can use to better communicate internally. They can use an intranet, send out e-newsletters to employees, etc, but it doesn't seem like enough, or like something people would get excited about. And then I read "...it's about relationships, not technology." (p. 226).

Road to Responsibility's mission statement

Great! Lets read on to figure out what more they can do. The book talks about the importance of listening form the top-down. Management must be willing to listen. From my experience with Road to Responsibility, the management is very willing to listen to anyone's opinion. They seem to be very open when it comes to that. The book then goes on to say the organization should "find and encourage the rebels" (p.229). Now here is something they may not already be doing. But again, they don't seem like the type of organization that stifles someones opinion if it is different than the leadership.

Finally in this chapter, the book talks about how organizational culture and relationships are more important than technology. I am pretty certain that Road to Responsibility has the correct culture and relationships with its employees to foster this already. Which leads me back to my original thoughts; what technologies can they use to better communicate internally. The book mentions blogging, and forums. Those are a couple of ideas that may just be able to help them out!  

Tesla Motors: Social Media Monitoring Part 1

Who is "Tesla" and Why is His Last Name "Motors"?

Tesla Motors logo

Nikola Tesla

Tesla Motors is a relatively new American automobile company that was founded in 2003. They got their name from Nikola Tesla who is credited for designing the modern alternating current (AC) for electricity. If you've ever been the the Museum of Science in Boston, you may have seen the giant Van de Graaff generator that they use for their lightning shows. They also make use of large Tesla Coils in the show. Since Nikola Tesla played such a large part in modern electricity, why not name an electric car company after him? That's what billionaire Elon Musk thought when founding this venture. 

Elon Musk

Elon Musk became very wealthy after co-creating PayPal, an e-commerce business that allows online transfer of money. Musk also created SpaceX, which is an aerospace company which had the first privately funded liquid-fueled rocket to reach orbit. They also were the first private company to launch a rocket into orbit and recover it, send a spacecraft to the international space station, and to put a satellite into Earth's orbit. And of course, he co-founded Tesla Motors, an all electric automobile company. 

Tesla Motors in Social Media 

Tesla Motors is a company that has the benefit of being born in the midst of the social media revolution. Back in 2003 when Tesla Motors was founded, social media was already playing a significant role in peoples lives. They realized early on that participating in social media is necessary, and so the company has used it for the entirety of its existence, which is pretty unique. It has a presence on Facebook, Twitter, YouTube, and Pinterest.  

As you can see Tesla has nearly 400,000 likes on Facebook, with about 32,000 people talking about them. Now people "talking about this" is simply anyone who likes a post by Tesla, comments, shares, etc. Compare this with automobile giant Ford Motor Company, who has about 2.2 million likes, and you'd think that's a big difference; and it is! Tesla is a much smaller niche company than Ford is. But compare Tesla's 32,000 people talking about them to Ford's 50,000 and that tells a somewhat different story. Considering Ford has almost 5 times more likes on Facebook and therefore 5 times the audience reach, they don't have many people talking about them. It's safe to say that while Tesla's audience is smaller, they are more engaged and passionate. 

On Twitter, Tesla Motors has 216,000 followers. For consistency, we'll continue to compare them to Ford. Ford has 406,000 followers. A much smaller gap than on Facebook. And that gap may be smaller, if it weren't for Ford following about 37,000 people compared to Tesla only following 200. The reason that can make a difference is because of the Twitter community. The "If you follow me, I'll follow you" mindset. And Frankly, that's a decent way to use Twitter to expand your audience and name recognition of the product. If Tesla went around following people who follow relevant or related topics on Twitter, they could get more followers in return. Followers who may not know about Tesla Motors. 


Tesla has a good YouTube channel also, filled with high quality videos showcasing their vehicles and their achievements. Their featured video at the moment shows the company driving a couple of its cars across the country, from L.A. to New York. This is to show that an all electric car is capable of making long drives. They are able to do this thanks to Tesla Motors themselves, creating the infrastructure (building official charging stations at strategic locations) for this. So the cars can get from one charging station to the next without the battery dying.  
























 Again, comparing Tesla with 53,000 subscribers to Ford, who has around 180,000 subscribers, another pretty large gap on the face of it. But if you put it in context, it's pretty impressive. Go drive around for 15 minutes and count how many Fords you see compared to how many Tesla's you see. I bet, depending on where you live, you'd see zero Tesla's and probably 5 to 10 Fords, maybe more. So given how little of the car market Tesla has, they are competing quite well on YouTube and social media in general.

Tesla is even actively making use of Pinterest, which is impressive since many other car companies don't use Pinterest. Tesla has about 1,600 followers and 8 different image boards. 

Compare this to Ford Motor Company...

Yeah, broken image, no boards, just empty. But somehow they have about 1,500 followers. I guess they are just waiting for Ford to get with the program. 

Tesla Motors

Ford Motor Company

According to Social Mention, an online social media analytic tool, Tesla Motors has a pretty strong presence as far as being talked about. And generally pretty positive, with a 7:1 ratio positive to negative sentiment. However, Ford is ultimately crushing it both in positive ratio and social media strength.  

According to Google Trends, Tesla Motors has been on the rise in 2013 and 2014. This is probably due to their release of the Model S and increased sales. Prior to 2012, Tesla only had the $100,000+ Roadster model. Now, a family can get their hands on a base Model S for around $60,000. Obviously that has boosted sales and notoriety.    

Overall, Tesla Motors has a long way to catch up to other automotive companies like Ford in a business sense as well as name recognition and popularity. But in regard to social media savvy, and overall presence, I'd say Tesla is doing well. The difference on Pinterest is quite telling, and Ford's silence there is deafening.  

Social Media: The Erosion of Human Interaction

While Continuing my read through Groundswell by Charlene Li and Josh Bernoff, I began to realize something. Social media may actually be making us less social! The book uses an example of a couple who is going through a tumultuous time in their pregnancy at the hospital. They found it more convenient to use social media to communicate medical news to their friends and family:

"'I hated getting calls,'Michelle told us. 'I was in the hospital, telling the same story over and over again.' Her husband, TJ, was also overburdened as he tried to juggle communications with relatives, his job at a mortgage company, supporting his wife in a hospital more than an hour from his home, and making crucial medical decisions" (p.154).

Of course given the circumstances, it would be reasonable for them to do this. The book makes it clear that they don't have the time to make personal contact with all the concerned parties. Perhaps I'm just traditional, but it seems to me that important and personal news such as that regarding a pregnancy should be communicated in an important and personal way. Updating a blog post might contain important information but its certainly not personal by definition. It is intended to be a general statement for consumption by a group, not an individual. I'm not criticizing their decision to do that, as it is obviously more convenient and less stressful to get the message out to loved ones. I'm simply pointing out that if everyone does this, then when do family members get calls? Facebook has largely taken over for holiday messages such as birthdays. Some people announce engagements and pregnancies over social media now as well. Only the immediate and closest relatives get personal calls to convey the news.

The book then proceeds to give a brief history of customer service method, specifically about call centers and their associated costs:

"Companies that do telephone support spend billions of dollars to run those call centers.
     The quest to reduce those support costs has driven two of the huge trends in America in the past ten years" (p.157).

Those two trends being outsourcing the call centers and directing people to websites for additional information. And now trends are showing that forms of social media are becoming the most common customer service method; and the cheapest. They discuss how computer company, Dell has switched to online support forums where there are official Dell staff to help people, but more often other people help individuals with problems.

"Forums work. Applications range from iRobot, which uses the to help owners of its robot vacuum cleaners solve each other's problems," (p.162).

I do agree with the main point of the chapter though! Social media is far easier, and cheaper for companies to provide customer service. Especially when other customers are doing it for you. And it can be a lot less stressful during tough times to communicate with family and friends. There is a reason why this has gained popular support among individuals and companies. My point is simply this: We should all make a conscious acknowledgment of what is occurring. Lets not say goodbye to face to face, or voice to voice interactions without realizing that they are being left behind, and recognize possible consequences of this.

Tesla Direct Sales Ban in NJ; A Marketing Opportunity?

Tesla's original "Roadster" model

Big news in the car industry is that the New Jersey Motor Vehicle Commission has banned Tesla Motors from continuing direct sales. This Forbes article gives a good description of what is going on. For those of you unfamiliar, here is a brief background on how the automobile industry works in the world. A car company is created. Be it Ford, Honda, Hyundai, or any other. The way they sell cars to the masses is through car dealerships. This happens when an individual in an area, like Boston, New York, or Los Angeles pays the car company for the privilege to sell their cars to the people in their given area. In other words, dealerships work as a middle-man. The dealership buys the car from the manufacturer, you buy the car from the dealership. It has been this way for decades. So now Tesla Motors comes along and says "no, we're not doing it that way." But this should be no surprise to anyone, Tesla as a company is all about leaving the traditional automobile industry behind, and embracing change, and the future. Tesla decided to have their own stores, where you and I can walk in, and purchase a car from the company directly. Imagine for a moment a world without awkward and annoying local car dealership commercials. *Queue sun rays beaming from the heavens and angelic music*

Tesla's most lucrative "Model S" sedan

Anyway, needless to say traditional car dealerships view this as a threat. If Tesla is very successful in doing it this way, maybe other car manufacturers will follow suit. Cutting out the middle man, and therefore eliminating lots of jobs. That's a fair point, however I don't believe that's what is driving this. New Jersey is the third state this has happened in. Now, maybe I've been watching too much "House of Cards" but I think there's some back-room dealings going on here. There are automotive retailer associations across the country that have significant funds. And with significant funds, comes significant power. Especially when those funds are used as either incentive or as a threat to elected officials. This can be done by offering campaign donations in future elections, or by threatening to fund an opponent. Other ways are public endorsements or personal favors.

They make cool hats too!

Now, since automobile retailers are presumably behind getting Tesla booted out of several states, I think its time Tesla takes the gloves off. Tesla, take note. First step is to find out whether the people on this commission are elected or appointed. If elected, then the following applies to each individual member who voted against Tesla. If they are appointed, the following need only apply to the elected official who appointed them, presumably the Governor (as is Chris Christie isn't in enough hot water already). Find direct links or evidence that shows or implies what has been going on. Whether it's bribes, back-room deals, whatever, even if it just looks bad, and use social media to get the word out. Find out if these individuals (or the person(s) who appointed them) have previously claimed to be pro-business and or pro-free market or for that matter, pro-American. If they have publicly said things like that in the past, then the fun begins. Tesla could then launch state-wide ad campaigns about how either the folks on the commission or the Governor has claimed to be pro-American, but here he is hindering the success of an innovative American car company. If they said they were pro-free market or pro-business, same spin applies. Because then the message is that either they are hypocrites or they are pawns of the automobile retailers and companies. Either one is not good for their public image. Tesla would do this with a media blitz, doing TV interviews, newspaper and magazine editorials, billboards, commercials, and social media. Obviously some of these are more cost-effective methods than others, but New Jersey is a pretty large car market, so it may be worth it. Especially if this is a trend across the country, which it looks like it could be. It's better to get political and fight back now, than let the trend continue and eventually run the risk of being run out of business. Of course that is assuming Tesla passionately believes it should have the freedom to sell its product to the public in a way it sees fit, and not be told by the government how they are allowed to do it.      

Now That You Love My Blog...

My attempt at "cool"

Allow me to introduce myself! My name is Ethan Cohen. I am a graduate student at Clark University in Worcester, Massachusetts. I am pursuing a Master's Degree in Public Administration, which I will receive upon graduating in May 2014. I graduated last May (2013) with a Bachelor's Degree in Political Science. (If only my high school guidance counselor could see me now!) I know what you're thinking; why is this guy who has a degree in Political Science, and who is now getting a Master's in Public Administration writing a blog about social media marketing?! Well, it's for a class I'm taking. BUT WAIT! Before you leave and think I'm just another idiot on the internet who thinks they know everything, allow me to explain. It all started back in 2007 *queue wavy flashback animation and music*.

A custom-built Computer

I was an average high school student. I was more concerned about "being cool" and spending time with my friends than I was about school. Sure, I wanted to go to college, but which one? And what would I study? I didn't start seriously thinking about that until after the SAT was over. I liked computers, games, cars, normal teenage boy stuff. What could I do with cars? Car salesman? No, not really my thing. Car repairs? That could be cool as a hobby, but I wanted to make more money than that. Ok so cars are out, Computers and games? I think I missed the bus of opportunity for the computer market by a decade or two. So computer science is not an option for serious money, but I'll keep it as a backup. Well what else do I like, that I am pretty good at? Politics! No, not as a politician, but at framing arguments! My father was always watching the news on television or listening to talk radio in the car. I was always so frustrated by the people and politicians who were trying to get their points across. I felt like they were always doing or saying the wrong thing. Sure, they had a good point but they weren't selling it effectively. So I thought, there's money in politics (how naive), I'll study that!

I worked on a few political campaigns throughout my senior year of high school and all of college. I even worked as an intern at the Massachusetts State House for the State Treasurer. And while I gained some

great experience and met some really wonderful people, I realized this wasn't really what I wanted to do. As far as campaigning goes I realized, this is getting me nowhere. I had licked enough envelopes and held enough signs. And working at the State House was certainly cool, but I just wasn't getting that feeling of "this is what I want to do all the time". So what was it about politics that had initially gotten me so hooked and passionate? That these politicians may have had the best intentions, but they were just not good at getting their message out to the voters. They needed to go high tech, they needed to speak more to my generation. On long car rides between home and school, or in the shower I would find myself thinking about if I was in a political debate, how would I counter what the opponent is saying? Or about a commercial I saw on TV earlier and how it was boring or annoying and could have been done better. It wasn't until I began graduate school that I put the pieces together, and realized I wanted to do PR and marketing.

While my degrees and experience may not be exactly what marketing employers are looking for, I feel like they are not totally disjointed. It's not as if I had a degree in theoretical physics and decided I wanted to fly planes for a living. No, I believe politics and marketing are actually closely related. Both rely on data about the public. And depending on the specifics of the campaign, you'll need data about certain parts of the public.  Both also require you to be able to create a professional message that ideally is not controversial, but still attention grabbing. Although no publicity is bad publicity (unless it gets you fired!) And both fields require constant innovation in public outreach mediums and strategies. Always be looking out for the next big thing, and how to take advantage of it. Right now, the big thing is social media. And just like the phone replaced snail mail, and e-mail replaced the phone, and social media replaced e-mail, something someday will replace social media as the best way to contact the public.  

So here I am! Taking a social media marketing and communications class! Feel free to ask me questions or leave comments
and I'll do my best to answer them! Happy reading all!