Presentation on theme: "An Overview of Internet Community Fundamentals and Operations Management by Digital Places www.digiplaces.com."— Presentation transcript:
An Overview of Internet Community Fundamentals and Operations Management by Digital Places
Capitalizing on Community n Sponsor communities frequented by target customers n Participate in communities frequented by your high margin target customers, partners and employees. n Build communities to be frequented by those with whom you have the most valued relationships
Digital Places Communities are more cost effective than content- focused services because they positively influence each of the four factors in the online service equation: n Members create content which reduces the cost to produce the service. n Active members establish reputations within the community, become committed to remaining and tell friends about it. These dynamics contribute to increasing the average customer life and decreasing the average cost of customer acquisition. n Marketers will pay more for access to committed, active community members who constitute a tightly-focused target market. Net Profit/Loss = Cost Acquiring Customer - Life of Customer [ ] Revenue Avg/Customer Cost Avg/Customer ( ) - * The Online Service Equation
Digital Places Operational Highlights n Organize internally for success n Manage the Social factors –Carefully select and train Caretakers –Support the Motivators n Provide –Value for their information –Applications –Presence Infrastructure & search/browse
Digital Places Community Applications n Msg boards, chat, listserves, IM n Homepage/Profile building and search
Digital Places Agenda n Membership and Presence n Community Profiles n Community Management Roles
Digital Places What Is Community? n Any online group wherein the site developer provides facilities that enable communications among members. May be: –typical message boards and chat –feedback mechanisms like eBay –elaborate virtual worlds like Palace & WorldsAway
Digital Places Organizational Goals n Why a re you investing in developing an online community?
Digital Places Defining Your Membership n Who is your Target Audience? –Demographics –Psychographics –Wants and Needs
Digital Places Online Presence n Enable individuals to express their identity and/or develop a reputation online n Expanding presence increases interaction n Presence => Member communications => Community Experience
Digital Places Creating Presence n Individual Profiles –Information about the member –Provided by the member –Structured by Community Developer –Contains information important to the community –Richness increases depth of engagement
Digital Places Member Involvement n n Caretakers -.5% n n Motivators - 3% n n Actives - 15% n n Passives - 80%
Digital Places Figallos Community Profiles n Interactivity n Focus n Cohesion
Digital Places Interactivity n Shrines Theatres Cafes n Cafes –Dont impose strict controls –Advertisements are more tolerated n Shrines –Host knowledge of subject is very important –Heavy participation by host required
Digital Places Focus n Bazaars Malls Boutiques n Bazaars –Games & play, little focused interaction n Malls –May act as portal sites, ads more tolerated n Boutiques –Deliberate participation, subscription models more likely
Digital Places Cohesion n Loners Associates Families n Loners –Warning sign n Associates –Core of loyal users, lots of interaction n Families –Pre-packaged, value history and traditions –Message boards more effective than chat
Digital Places Management Roles n Executive Producer –Responsible for fiscal success of the business n Community Manager –Responsible for social success of the community n Online Staff –The bridge between you and your community
Digital Places Management Relationships Executive Producer Content & E-commerce Webmaster & Designers Community Manager Remote Staff Customer Service Training & Events
Digital Places Executive Producer n Duties/Responsibilities –Directs creation of total service »Content, e-commerce, and community –May decide business direction and models –Keep community consistent with these goals –Revenue attainment & cost containment
Digital Places Executive Producer n Qualifications –Conscious user of online media –Technically savvy –Business savvy - understands cost/return tradeoffs n Performance Measurements –Total membership, growth –Revenue, Profit/Loss
Digital Places Community Manager n Duties/Responsibilities –Selects, trains and monitors hosting staff –Guides social aspects as they relate to the total service (content, e-commerce, etc.) –Liaison between community members, hosts, producers –Enforce/Implement site policies
Digital Places Community Manager n Qualifications –Naturally sociable person –Sensitivity and knowledge of legal environment –Able to motivate staff and participants n Performance Measurements –Member retention (quality & quantity) –Ratio of community staffing costs to total members
Digital Places Online Staff Roles Advisors, Allies, Ambassadors, Community Proxies, Feedback Gatherers, Greeters, Mediators, Moderators, Representatives, Role Models, Supporters, Teachers….
Digital Places Online Staff Skills/Qualifications n Helpful, patient, tolerant n Initiator, entrepreneur, leader, respected within community n Natural enthusiasm, know their tools, know their own limits
Digital Places Online Staff - Special Skills n Chat n Message Boards n Events n Backend Tools fast typist, efficient communicator, attentive higher degree of communication, summarization moderation, motivation, preparation broader technical savvy, feedback solicitation and summarization
Digital Places Recruiting Online Staff n Online communities are a burgeoning training ground n Recruit from services you respect n Balance observation with application process
Digital Places Training Online Staff n Set expectations of effort and conduct n Train to meet those expectations n Teach how-to not do-for – sowing the seeds of future staff
Digital Places Managing Online Staff n Motivation –Lessons to be learned from DOL versus AOL n Compensation –The 10th best worker is a volunteer – you cant make them do what you want to do… –Scott Kurnit, CEO of MiningCo.com n Burnout –Only you can prevent forest fires.
Digital Places Question: n What is the most important element of any community?
Digital Places Answer: n The Members
Digital Places Trust is Central The community belongs to the members. Serving the members is the first and foremost goal. Decisions that subordinate this goal can undermine trust and jeopardize the stability of the group.
Digital Places Violating Trust n Things that undermine trust
Digital Places Generating Trust n One idea for generating trust in community members –Ideas will be posted on by April 30.
Digital Places Keys to Successful Communities n Establish trust n Make visitors feel welcome n Participate with the users n Select Caretakers carefully n Control membership influx
Digital Places Where is Your Community Going? n Plan your community to meet organizational goals n Costs vary based on Interactivity & Cohesion n Control and guide this to meet business goals
Digital Places Where is Your Content Going? n Is your content appropriate to your members needs? n To your needs? n Control your content, dont let it control you.
Digital Places What are Your Goals for... n Interactivity? n Cohesion? n Focus?
Digital Places Wrap Up n What one thing will you change, and when will it be done? –What resources are you missing? –Where will you get them?