Guest Post: Peter Reiser: The Power of Social Recommendations
By Michael Snow on Nov 09, 2011
The Power of Social Recommendations
There are many ways you can improve the Return on Investment (RoI) of your web properties.
Traditionally, you acquire new customers by buying Google keywords or by advertising your web offerings on social sites like Facebook.
When these new users find their way to your site, you can engage them using clever targeting/personalization technologies to tailor your content to the target audience.
(I recently took a training on WebCenter Sites (formerly FatWire) and was pretty impressed about their intelligent real time targeting engine.)
This will likely improve your Conversation Rate (CVR) and Revenue.
Ok - these are key elements of a typical Ecommerce strategy and pretty well known best practices.
But how can we leverage REAL social engagements ?
Implicit Social Recommendations
Implicit Social Recommendations are based on feedback from strangers provided through various social channel and sites.
As example, a site has a product review section and the reviews, ratings and feedback of "strangers" is influencing the buying behavior.
The level of influence is directly related to how much the user trust the feedback/recommendations from strangers.
Explicit Social Recommendations
Explicit Social Recommendations are from the strong tie connections of a user's social network - friends/people you know and trust.
As example, a user is looking for a nice Golf Hotel and a friend recommends a hotel via a social network. Its pretty likely that the user is checking out the hotel.
Social Engagement Strategy
Wow - if you can leverage the Power of Social Recommendations, your Conversation Rate (CVR) and Revenue will likely grow fast!
So - what should be the key elements of your successful Social Engagement strategy?
- Build Trust trough Transparency
- Be part of the Conversation by actively building vibrant communities
- Engage the "trusted" strangers in the public social networks like Twitter, Facebook, LinkedIn etc. (and maybe you should consider social sites like Quora as well)
- Think carefully how to build your "Explicit Social Recommendations" strategy. Do you really want to invest to drive YOUR audience trough public social networks or do you want to have YOUR audience on your own social network which is seamless integrated with your web properties and business applications .. and you have access to the entire Social Graph of your network! (Hello Oracle Social Network )