Social responsibility > Social marketing > Social media

@BobPickard | Burson-Marsteller

SOCIAL RESPONSIBILITY

Understanding Expectations

SUSTAINABILITYResource Constraints

IntelligenceTwo Way Communication

Transparency Social LicenseTrust

Strategic LensEfficiencies

Operational Excellence CompetitivenessTechnical Innovation

3

Social marketing

Do not smoke!

4

Social marketing

Wear seatbelts!

Merger of social & brand marketing

Corporate Responsibility

Global Responsibility

Sustainable Value

Sustainable Development

Soul

Sustainability

Corporate Social Responsibility: Making a Difference

Citizenship

Corporate Responsibility and

Sustainability

Our people believe passionately that what we do makesa difference for customers and our society as a whole.

Generic messages don’t work

We are committed to being a great place to work,a thoughtful steward of the environment and a caring citizen

in the communities where we live and work. We are passionate about sustainably connecting people and places

and improving the quality of life around the world.

To us, CSR means taking steps to improve the quality of life for our employees and their families as

well as for the community and society at large. ”“”

“”“

“Socially responsible corporations conduct their operations in line with international guidelines on sustainability.”

“Socially responsible corporations pay back into society.”

?

Forces of Change

DigitizationGlobalization Empowerment

Digitization

Storytelling through infographics

The death of deference

PR professionalism of NGOs

Speed commands the news cycle

Everything that famously goes wrong is now called a ‘PR disaster’

• the BP oil spill• the Toyota recall• the Tiger Woods spectacle• the Wenzhou train wreck

© B U R S ON -MA R S TE LLE R , LLC | © P E N N , S C H OE N & B E R LA ND A S S OC IATE S

79% ARE ONLY 12 MONTHS FROM A POTENTIAL CRISIS – HALF THINK THIS WILL HAPPEN IN THE DIGITAL SPACE

Q29-37: How likely do you think it is that your company will experience any of the following potential crisis in the next 6-12 months?

(Top 2 Very + Somewhat likely to experience this type of crisis)

Global

Controversial company developments 50%

Online or digital security failure 47%

Logistic difficulties 47%

Intense regulatory scrutiny of your product or company 45%

Critical or negative new media campaigns 43%

Danger to product safety 42%

Technical accidents 40%

Intense political scrutiny of your product or company 40%

Criminal actions 33%

79%

21%

Likely to experience a potential crisis

Not likely to experience a potential crisis

© B U R S ON -MA R S TE LLE R , LLC | © P E N N , S C H OE N & B E R LA ND A S S OC IATE S

HALF OF COMPANIES DO NOT FEEL CONFIDENT HANDLING NEW MEDIA DURING A CRISIS

Q134/135: Which of the following statements is closer to your view?

46% DO NOT

HAVE FULL EXPERTISE

54% DO HAVE FULL EX-PERTISE

50% DO NOT HAVE A GOOD GRASP

50% DO HAVE A GOOD GRASP

Engaging and monitoring social media channels

Understanding who online stakeholders are and how to engage with them

© B U R S ON -MA R S TE LLE R , LLC | © P E N N , S C H OE N & B E R LA ND A S S OC IATE S

SOCIAL MEDIA PUTS INCREASING PRESSURE ON COMPANIES TODAY

81% of respondents believe that new media’s role in driving reputation during a crisis is on the rise

65% of respondents feel that new media makes crises more difficult to manage…

…And 65% believe it is hard to know who influences opinion online

When it comes to new media

66% of respondents believe new media has significantly increased the potential cost of a crisis

However, after a crisis, 55% believe new media (including social media) has made it easier to recover

Be prepared to apologize!

Burson-Marsteller l Evidence-Based Communications

Twice as many on social media this year

Asian MNCs going digital

2010 20110

102030405060708090

AsianWestern

Percentage of companies using a branded social media platform

Burson-Marsteller l Evidence-Based Communications

Korean MNCs lead the way

Percentage of companies using a branded social media platform

Burson-Marsteller l Evidence-Based Communications

Use of digital for CSR

Percentage of corporate marketing or communications posts to company social media channels across Asia-Pacific during the period July 01-15, 2011

Go peer-to-peer

ON

E-W

AY

M

ON

OLO

GU

E

“They can’t hear me and I feel insignificant”

“They must listen and I will

be heard”

PASSIVE CON-SUMERS

TWO-WAY DIALOGUE

ACTIVE

PRO-SUMERS

C O N V E R S A T I O NC

O N

T R

O L

The rise of peer-to-peer communications

We used to control messages about a company.Now messages are created, exchanged and modified by a vast, distributed ecosystem of employee, customers, partners, communities, interest groups and ‘observers.’

We used to tailor communications for specific audiences.Now everyone is a participant.

We used to have distinct expertise in and control over the channels of communication.Now channels are exploding in number, are easy to use and now ‘belong’ to everyone.

The Authentic Enterprise, An Arthur W. Page Society Report, 2007

Then & Now

We must position companies, but also define them.Now messages are important but business model, brand, culture, policies and values are even more important now.

We must not only develop channels for messaging but also networks of relationships.Now we must lead the development of social networks and the tools and skills of relationship building and influence.

We must shift from changing perceptions to changing realities. Now in a world of transparency, we must lead in shaping behaviour – inside and out – to make the company’s values a reality.

Then & Now

The Authentic Enterprise, An Arthur W. Page Society Report, 2007

People used to looked to the government to solve big problems.

Now 90% of consumers and 85% of executives believe that large corporations should play a broader role in society.*

The trust gap between consumers and corporations, McKinsey Quarterly, 2008 and PSB Corporate Social Responsibility Branding Survey, 2010

Then & Now

debt crisis • food prices • climate changeenergy supply • the digital divide nuclear security • youth unemployment

80 major global ‘threats’ identified

• old systems and institutions simply cannot cope with new complexity and speed

• these challenges require the engagement of an entire society of stakeholders

• the role of public relations is therefore key

Governments cannot do it alone

Klaus Schwab, World Public Relations Forum 2010

Traditional Influencing Model

Collaborate with stakeholders for success today and sustainability tomorrow demands:

• Governments need to engage corporations, NGOs and ordinary citizens in their work

• Corporations must show ‘micro-level’ accountability to all stakeholders

• “Public relations in the public interest” – relationship brokerage to help bring about economic recovery, political freedom, technological advancement and social justice

The modern Relationship Imperative

Source: Dan Tisch, Global Alliance for PR and Communications Management

Real Engagement Cloud

“…the past is over and it is the future that beckons to us now.”

“We choose to go to the moon”

Social responsibility > Social marketing > Social media

@BobPickard | Burson-Marsteller