Convertising Vs Advertising

1. Convertising The Opposite Of Advertising Consumers Now Hold Your World In Their Hands

2. The World Of Advertising…. • Is Being Transformed…. • 1 – 3% Return From Ads Is Standard • 96% of Online Ads Don’t “Click” • 98% of Sales Come From Referrals Josh Bernoff from Forrester said “Marketers don't understand channels where you have to talk and listen at the same time... The marketing industry's idea of a two-way communication is to put an 800 number or a web address or in an ad and take orders.”

3. Yet Advertisers Keep Spending • $1.5 Trillion Globally Online • $375 Billion Online In the U.S. • Off Line Spending Is Moving to Online Spending Rapidly While Spending Has Shifted The Methods Remain the Same!

4. The Market Has Shifted • Are People Loyal to Brands Or Brands Loyal to People? Brands Have It Backwards! • How Do People Find Stuff When They Need or Want It? SEARCH: 245 Million Times A Day • Could Brands & Merchants Improve Their Relationship With the Marketplace? Relationships Are Formed From Experience • Why It’s Called Social Media Because the emphasis is SOCIAL Not Institutional experiences

5. What Is Social Media? Plain & Simple: It is Communications & Communicating The process of social media involves: • Use Of Technology • Creating and distributing valuable conversations • Engagement of conversations to appropriate and relevant markets • Methods and messages that create pull and engagement • Building and sustaining an audience (relationships) of listeners • Continually feeding the audience with conversational currency; value they can use: Not Advertisements!

6. Advertisers Use of Social Media The Corporate Executive Board said “Most companies are embracing social media—but too many are wasting their efforts through sloppy management More than 70% of companies are already using social media; many are planning to increase their spending on social media across the coming years. Whether for learning from customers, building their brands or a range of other hoped-for outcomes, companies are clearly diving in. Unfortunately, few have thought very hard about managing these initiatives. In a classic case or “ready, fire, aim,” companies are committing resources to social media efforts with very little process behind them. The result? A hodgepodge of unrelated initiatives, wheels re- invented and resources wasted.”

7. Push Vs. Pull: The Difference

8. Advertising vs. Convertising?

9. Which Creates A Higher ROI?

10. ROI From Convertising? Can you create any kind of return on anything without communicating? The answer is NO!. Thus the way you get a “ROI” from social media is to learn how to communicate more effectively, efficiently, relationally and in human not advertising or marketing terms.

11. People Create Convertising People are conversing with people about life, their stuff, your stuff, and the currency exchange is stronger than any past advertising method. One Conversation is worth 200 Ad Impressions! Get It?

12. Even The Media Agrees "For companies, resistance to social media is futile. Millions of people are creating content for the social web. Your competitors are already there. Your customers have been there for a long time. If your business isn't putting itself out there, it ought to be.”

13. The Dynamics Have Changed

14. The People Are Now In Charge We the people are the new more powerful force and now we’ve been digitally enabled to find what we want when we want it . We’re are learning from our friends, not the advertisers.

15. Convertising: A New Method Learning “How to Use” Social Media • “What” Tools Of The Trade: Blogs, Twitter, Networks, YouTube and the list goes on and one • “How”: Learning "how" to effectively use social media isn't about the technology. The knowledge of "how" is a process of discovery that changes frequently. Knowledge isn't static and neither is human interest.

16. Convertising Transactions? • Advertising was about “pushing” consumers into a transaction • Convertising is about giving consumers the “freedom” (without intrusion) to transact PLUS • The tools and convenience to get what they want when they want it AND • Saving them time and money AND • Making the experience “social” SO • They will tell their friends about the experience

17. Changing The Transaction How……. •People Access Brands & Merchants •Gain Discounted Pricing •No Paper Coupons •WOM References •Markets of Affinity •Brands and Merchants Save Money •Total Digital Experience •Paperless & Seamless But Again How?

18. With Financial Innovation Consumers can now get discounts, cash, rewards between each other and directly from brand merchants and all at the click of a mouse

19. A Convertising Economy

20. A Social Media Card…. …..loaded with value that keeps on giving and is worth talking about again, again and again

21. Why Is It Different? • Lowers Advertising Cost • Socially Acceptable and Assessable • Existing Cards Aren’t Enabled to Do What This Does • Driven by Innovative Integration: Finance+ Conversations + Brand Merchants + Consumer Friendly + Affinity Groups = Something Never Before Offered

22. How Does It Work?

23. Why Is It Better? • Because Pull Is Better Than Push • Because Convertising Is Cheaper Than Advertising • Because Awareness Comes From People Not Ads • Because Digital Is Better Than Paper • Because It Is Time For An Advertising Revolution • Because “Social” Is Better Than “Ad”versity

24. Advertising or Convertising? • Social Media Is A Revolutionary Communications System • Advertising Is A Mass Media System • Communicating Is A Relational Dynamic • Advertising Is An Institutional Dynamic • Convertising Is A Recommendation • Advertising Is An Institutional Trick • Convertising Is Inexpensive • Advertising Is Expensive Which Is Relational & Logical?

25. Do You Need To Convertise?

26. When Will You …..? Now Is Always A Good Time To Start! Jay Deragon Social Media Strategist Jay.deragon@gmail.com Thank You!