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04 Feb 10

Social networking for fast-moving consumer goods

Is there a product out there that you love? Something that you share with your friends and recommend to others? Is this product one that you stand behind 110%? I have a few of these, so I’ve been thinking about where social networking fits in with fast-moving consumer goods (FMCGs) and brand loyalty.

What would cause you to go and visit kitkat.com ?

If you think about it, you normally wouldn’t, right? Unless of course you were incentivised to go there to enter a competition of some sort to win money or play free games. However, this is something that can be changed. If FMCG’s / packaged goods were able to harness the power of having a social media network, these brands would then be able to create a genuinely sticky community of customers and advocates. Not only that, they would be able to listen to their detractors. Detractors are never a bad thing, though you may initially believe them to be. Without detractors, how would you know what to improve upon? Sometimes it takes listening to negative feedback to jump over a hurdle that needs to be faced. Think of the power you create by listening to the feedback and making changes. It provides an opportunity to transform them into advocates.

Speaking of detractors and turning things around, recently Domino’s Pizza released a new TV commercial and web video in the US taking some of the feedback they had received to heart:

According to the Washington Post:

“For sheer corporate candor, it’s tough to beat Domino’s latest delivery. In its new TV commercial and Web video, the pizza chain admits something startling — namely, that its pizza is pretty terrible.

” ‘Worst excuse for pizza I ever had,’ ” a company executive says grimly, quoting a customer’s comment. ” ‘Totally devoid of flavor.’ ” “Domino’s pizza crust to me is like cardboard,” says a woman in a clip taken from a focus-group panel.

Another employee, who appears near tears, reads another review: ” ‘The sauce tastes like ketchup.’ ” This is a way to win customers?

Domino’s very public admission of its own awfulness might represent the most elaborate mea culpa ad in history. But it’s hardly the first. Companies sometimes admit their flaws and faults in a bid for public empathy. The strategy usually has two parts. Part one: Fess up. Part two: Vow to do better. While Domino’s never quite expresses remorse, the crusty comments in its commercial do set up the company’s promise to improve, with better ingredients and a new pizza recipe.

So, Dominos has been getting feedback for a while. Obviously. They have been on Twitter and also have a FB page with quite a following. However, I see a huge potential with what Dominos could actually DO with creating their own social network space, especially given the potential of their new campaign. This would give them the opportunity to be involved in a deeper conversation with their advocates and detractors. [Hey Dominos or Pizza Hut-give us a call when you’re ready to take that next step into social space.]

In my opinion, I think what Dominos has done is great. Could they lose some credibility? Perhaps. But I think that by admitting publicly their shortcomings, people are going to want to at least try their new product.

Now, I’ve been checking out the websites of some of my favorite FMCG’s. Although some of these sites are great, here is my prediction: With the evolution of Web 3.0, companies are going to need to incorporate more user-driven sites. In other words, more sites are going to move towards their own social networking space, so advocates can converse amongst themselves. A place where they can share recipes, share stories, and share ideas. This is where the future of the web is headed. If you’re ready to go there, we’re ready to help with the process. If the social network is provided, brand loyalty will follow. What are you doing to get your advocates talking?

What do you think? Are there any sites that you would like to see more conversation occurring? Do you have a FMCG that you have a great idea for?  Tell us what you think.

posted by Piers Hogarth-Scott in the category Social Media Social networking Web 3.0
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