The Not So Quiet Revolution of Consumer 2 Consumer Business

The digital mobile revolution has transformed consumer behaviours. Over the last decade there’s been a shift in how consumers are finding and purchasing products and services. Many start ups have capitalized on this trend and have created businesses centered around mobile apps and social media. Think of Airbnb, Taskrabbit, Uber, Taobao, etc. It’s these two items that have paved the way for the next generation in consumer to consumer (C2C) business. With features such as customer reviews, ratings and engagement; buyers now have a greater level of transparency than in typical business to consumer (B2C) models.

airbnb_hosting

The success of the new C2C model has challenged many static B2C industry models forcing them to modernize their service offerings or risk losing market share. Let’s take a look at two examples to gain more insight in how they’re revolutionizing the way we buy.

Uber

One of the most controversial examples of the new C2C model is Uber. Operating in over 58 countries Uber and has shaken the foundation of the traditional taxi B2C service model.

Uber is an on-demand car service that allows a consumer to request private drivers through their mobile app. The service utilizes dispatch software to send the nearest driver to the location[1]. By using the Uber software app drivers are connected to consumers through a service request. People can sign up to become an Uber driver using their own vehicles.

In my opinion there are four main things that Uber did to evolve the C2C model:670px-Use-Uber-Step-9-Version-2

  1. Rate your driver- The ability for passengers to rate their drivers and read reviews. Transparency about service from real reviewers provides a higher level of authenticity and trust.
  2. Pay for Performance- Drivers are empowered to get a 4 star rating or greater. This keeps service levels high and increases earning potential.
  3. Pay through your phone. Payments are made through the credit card linked to your Uber account, on your phone. No cash accepted.
  4. Contact Your Driver– Once the trip is booked on the app, the passenger will receive the cell phone number of the driver and can watch them approach on their mobile device.
  5. BYOC– Drivers can bring their own car to work! All they have to do is lease the mobile app. and be adequately insured.

Bitcoin

Bitcoin_Digital_Currency_LogoBitcoin is a digital payment system that enables peer to peer transactions without having to go through an intermediary financial institution. Bitcoins can be purchased through an electronic trading system using a smart phone. This video is a great short summary of how Bitcoin works. Since its launch in 2008, bitcoins have gained significant traction, with more than 45,000 transactions ($48.5 million dollars) handled through its network each day[2]. It’s introduced the concept of a decentralized virtual currency where value is determined by its users.

In my opinion Bitcoin that evolved the C2C model in four ways:

  1. Universal Currency- No need to convert to various currencies. Value is determined by its users- globally.
  2. Lower Merchant Fees- Fees for retailers are much lower than the 2-3% typically imposed by the credit card companies.
  3. Real Time Payment- Once the bitcoin transaction is complete the digital currency is transferred directly from the consumer to the vendor’s digital wallet. No middle financial companies required.
  4. Peer to Peer Money Transfers– Money can be wired directly to others through the digital wallet.

bitcoin_2bitcoin_1bitcoin_3

The new C2C model is not only convenient but lucrative. In 2014, C2C had a recorded $105 billion dollar market size compared to $71billion dollars for B2C e-commerce[3].  A testament that consumers have embraced it.

With this new model, the traditional work model is also changing. Services like Taskrabbit and Uber offer freelance opportunities where you can define your own hours and accept the jobs you want. Motivators for incentives and rewards are geared to work/lifestyle balance or earnings potential. Is this the laying the foundation for the way we define the way we work? As C2C continues to become more lucrative, companies may need to rethink work arrangements, incentives and rewards to remain competitive and retain its workforce.

What does C2C mean for your company?

Like what you see? Follow me on LinkedIn, Twitter @annzaliebarrett, or subscribe to my blog. I look forward to hearing from you.

Blog:  https://sailorann.wordpress.com

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[1] http://www.wikihow.com/Use-Uber

[2] http://www.hongkiat.com/blog/bitcoin-questions/

[3] http://article.sapub.org/10.5923.j.ijnc.20140402.01.html

Career Product Marketing- What Are You Selling?

In my last blog post I talked about how organizations are using crowdsourcing to improve marketing messages to make products more appealing. I spoke about how HR functions can also utilize this rich data to improve its employee value proposition and employment brand. As Recruitment functions start to climb out of a 2.0 model attention is being directed to use social media platforms for recruiting. In a quest to increase reach, many companies continue to push out long, traditional, wordy job postings that serve to instruct the reader rather than entice them. It looks something like this:

old_jd

If product marketing took this approach it would be the equivalent of pushing out a product specification to attract buyers. Sounds absurd right? Marketing knows they have to develop compelling messages to entice the reader to at least find out more about the product. Messages are developed into visual ads where social media acts as a forum to engage and interact with consumers. The difference looks something like this:

samsung_spec       samsung_product_ad

What if recruitment took a business approach and treated “careers” as products they’re trying to sell? Each vacancy would represent an individual product marketed through a job ad. The marketing approach would centre on crafting key messages to attract relevant prospects for the product. Job postings would be more marketing friendly focused on key communities to interact and engage in a meaningful way.

For companies who have embraced this type of thinking the outcomes are creative and concise ads geared at soliciting relevant prospects with links where the reader can learn more.

ASCPUN201006237Ad00701

1234807_10151794314309346_1163308203_n  microsoft_jobad

Think about what is attracting you to these ads. What makes you linger? Visual and emotional cues make you want to read more. Visual content marketing has a higher impact on social media because it’s easier to consume and share.

Some companies such as Salesforce.com have taken this even one step further by extending career marketing to a video format. This approach is far beyond recruitment 2.0, and actually moves into the realm of recruitment 4.0. Here, the Manager takes an active role in the recruitment process. The video is short, engaging and easily downloadable so it can be viewed on the go. Prospects are also offered the opportunity to engage with the Manager via social media (in this case Twitter) for more information. This creates the opportunity for real interaction instead of a one way push.

salesforce_pic

A forward thinking approach.

I know many of you reading this may think this is a huge amount of work that requires a lot of money. Not to mention, Managers would never do a video. To that I would say, start small. Do you have a few key roles you can start with that you can pilot? Start to create the foundation by shifting the mindset. Many companies have fantastic in-house creative, brand, communication and digital teams. Partner with them. Learn from them. Small successes pave the way for larger successes.

To help you get started, I’ve mapped out how recruitment can craft career marketing messages using the same thought process as a product marketer. Product marketing essentially has to answer three main questions for consumers:

Business Product Marketing Messages Career Product Marketing Messages
1- What will this product do for me if I buy it? (What’s In It For Me- WIFM?) 1- How will this job utilize and/or enhance my skills and develop my career? (WIFM?)
2- What are the main/exciting features of this product? What does it do? 2- What are the main/attractive features of this job? What would I do? (Keep it concise)
3- How is this product different from its competitors? 3- Why should I work for your company instead of your competitors?

I hope this blog post has energized you to think of your job postings in a new way! I would love to hear about your success stories.

 

By Ann Barrett, Director eRecruitment & Social Media Strategy

Is Your Organization Ready for Social Recruiting?

It’s hard to believe that less than five years ago many companies were still contemplating whether social platforms such as LinkedIn, Facebook and Twitter could be used as sourcing channels. Fast forward to 2013. The landscape of recruitment has significantly changed. The industry is in the midst of shifting away from traditional recruitment practices to what is now called “Social Recruiting”. Social recruiting is a model focusing on pro-active sourcing, brand marketing, engagement and metrics on social and mobile platforms. In a 2011 Jobvite survey, more than 80% of companies indicated they were using social media as part of their recruitment efforts.

So how are companies successfully using social media to assist with recruiting? Here are a couple of key suggestions to help you move to a social recruiting model:

  • Don’t treat social media as an add-on to your existing recruitment process – Social recruiting is an interactive, candidate centric model. It means socialinteractionthinking about sourcing in a drastically different way. Traditional recruitment focuses on a requisition centric approach. Recruiters spend administrative time screening out applicants to get to a qualified pool. Social recruiting turns this process upside down focusing on pro-actively finding qualified individuals and engaging them to market job opportunities. Instead of recruiters narrowing the applicant pool, they’re generating a qualified candidate pool through engagement. Successful companies have realized that social recruiting should focus on engagement, marketing and proactive sourcing. So, if you’re using social media as a job posting board it’s like using a smart phone to only make phone calls. If you don’t use the other options you won’t truly yield all the benefits.
  • Focus on engagement to build talent pools– Social media provides potential candidates with the opportunity to learn about your organization in an open and transparent way. Platforms such as Glassdoor and Indeed allow people to anonymously provide feedback about their experience with New-Rules-of-Recruiting-Promocompanies. In the social world, opinions carry a lot of clout. Most people will take feedback into consideration to help them form an opinion about a company. Candidate behavior is also shifting as social media becomes more commonplace and accessible. More than 60% of candidates expect to use a social media platform to engage with recruiting. Successful companies have realized that having a social media presence means providing a forum for people to interact. Candidates need to have an avenue to ask questions, provide comments or talk to someone if they want more information. What channels are available for your potential candidates to connect and communicate with you?
  • Really Proactively Source– Many companies buy into the concept of proactive sourcing but have trouble successfully executing. The shift from traditional post and pray to proactively searching can be a huge change for recruiters. It requires a thorough jobseekers_statsintake conversation to understand the search criteria. Most of all, it requires patience and perseverance. Statics show that 88% of all job seekers have at least one social networking profile. Successful companies have realized that they need to invest in training to ensure recruiters have the necessary skill set to execute. Consider partnering with a third party vendor with expertise in boolean search. If recruiters understand the basic concepts of online searching they will feel more confident executing.
  • Use metrics to anchor your strategy– Like any good strategy, metrics should be a core element.  Successful companies have realized that metrics can be used to tie their strategy together:
    • Measure to anchor accountabilities: Develop guidelines around what will be measured. Set expectations around ROI, and anchor accountabilities by creating benchmarks and frequently measuring against them. Hold people accountable for their performance.
    • Expand what you measure:  Traditional measures such as source of hire and cost per hire only tell part of the social recruiting story. Consider adding engagement and branding measures such as #followers, InMail acceptance % and talent reach to your dashboard to show the broader picture.
    • Refine your strategy based on results:  What is the data telling you? What are the accomplishments and gaps? What are the trends? As you consider your strategy for the next year let the data help you make the correct decisions. Make sure you communicate and share the your findings so there is transparency into the model.

These are just a few suggestions you can use to help build your social recruitment strategy. What tips would you suggest?