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Use Web 2.0 Tools to Build
Better Products and Strengthen
Customer Relationships

Silicon Valley Product Management
Association (SVPMA)



John Burton
Director, Product Management
SAP Labs, LLC
August 6th, 2008
Speaker Background: John Burton


 Involved in enterprise software industry in Silicon Valley since 1999
 Product Management Director at SAP
 Moderator and “Top Contributor” of various SAP web forums
 Author of industry publications, wikis, blogs, and forthcoming book
 Taught SAP and business computer classes at Central Michigan University
 B.A. from University of Michigan, MBA from Central Michigan University
 Consumed over 1,000 espresso-based coffee drinks last year
http://www.linkedin.com/in/sapjohnburton
Company Background: SAP


Third largest business software company in known universe…

Enterprise software provider of products such as
 Enterprise Resource Planning (ERP)
 Customer Relationship Management (CRM)
 Business Intelligence and other software

Over 51,000 employees, 47,800 customers, € 10 Billion annual sales
Agenda




Introduction
Public online discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
What is Web 2.0?   (Just Kidding, Next Slide Please!)
The Topic: Web 2.0


Web 2.0 is about enabling users to share information and collaborate

We will focus on Web 2.0 tools that can help you – as a product manager –
build better products and strengthen customer relationships
 Public discussion forums
 Online private communities
 Blogs
 Wikis

Not in scope for this presentation
 Integration of social networking sites into your products
 Leveraging cloud computing
 Widgets, RSS feeds, etc.
 AJAX
 Creating mashups
Web 2.0: In Scope Topics for Our Presentation
The Challenge: Product Management “Lone Ranger
Style”

As product managers, we are ultimately responsible for our products and our
customers even though we might not technically own either
 We collect customer/market requirements
 We define new features and new products
 We sign off on the product before it is released to customers
 We often support the field
 We are sometimes even the first person to receive customer complaints

Additionally, we have numerous daily distractions that keep us from focusing on our
real jobs – making sure our customers are successful
 Answering emails
 Attending meetings
 Filling in random templates, forms, reports

How do we do it all – without any help?
 Developers are churning away in their cubes, converting coffee into functions & subroutines
 Sales people are busy selling (and calculating their commissions)
 Quality management is obsessed with executing test scripts
The Answer: Relax (with a Nice Book and Latte) While Your
Customers Do the Heavy Lifting


Leverage Web 2.0 tools to make your products better, your customers happier, and
your job easier
 Public discussion forums
 Closed-door private online communities
 Blogs
 Wikis

Enable your customers take over your job responsibilities
 Answering technical questions
 Defining new product requirements
 Creating product marketing collaterals
 Generating documentation and roll-out materials
 Coaching/training customers to represent your company like an employee
Web 2.0: The Internet Puts on a Jacket and Tie, Joins
the Corporate World

Dell IdeaStorm
 Launched in February, 2007
 Allows customers to suggest ideas, vote on which ideas are best

MyStarbucksIdea
 Launched in March, 2008
 Allows customers/employees to suggest ideas, vote on which ideas are best

SAP Community Network
 Launched in December, 2007
 Discussion forums, blogs, wikis with points-based ranking system of ecosystem experts
Dell IdeaStorm Forum
Starbucks “MyStarbucksIdea” Forum
Agenda




Introduction
Public online discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
1) Public Online Discussion Forums


What is it?
  An Internet discussion forum is a web applications for facilitating discussions between people

Goals
  Entice experts in your ecosystem (customers, partners, consultants, etc.) to answer questions and help
  trouble-shoot technical issues for other customers
  Enable customers to find existing solutions or reach out to peers for real-time assistance
  Provide information on how to resolve most common issues
  Reach out to customers for new requirements and product feedback

Usage
  Public collaboration between your company and your customers and partners

Benefits
  Reduces workload on your organization (and on you personally)
  Enables customers to connect with each other and share tips, tricks, experiences
  Provides faster customer service from experts
  Roll in customer requirements
  Lowers cost of service/support and increases profit margin
Reduced Workload on Service Organization by Shifting
Support to Ecosystem
Let Customers Provide ‘Customer Service’ to Each
Other
Enable Users to Search the Forum To Find Immediate
Answers
Enable Users to Search the Forum To Find Immediate
Answers
Push FAQs and Corporate Content to Customers
Push FAQs and Corporate Content to Customers
Agenda




Introduction
Public online discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
2) Closed-Door Private Online Communities


What is it?
 A private online community is a collection of web resources (such as discussion forums,
 articles, downloads, etc.) only made available to select users (e.g., your best customers)

Goal
 Provide secure collaboration area for select partners and customers to share ideas in a safe
 secure business network with built in governance

Usage
 Private collaboration between your company and select customers and partners for
 Intellectual Property (IP) relevant topics or other confidential discussions

Benefits
 Confidential information is protected from competitors
 IP relevant documents are protected by mutual non-disclosure agreements
 Customers feel comfortable sharing semi-private information that they might not want
 released to “the street” or to competitors
Example of Private Online Community
Additional Recommendations for Using Private Closed-
Door Online Communities

Web 2.0 is about using the unique strengths of
the Internet and Web based tools (i.e., easy
information sharing and collaboration) to
change the way your business operates.

Yet, you also have to recognize the limitations
of the Internet and Web 2.0. For example, it’s
very hard to buy someone a drink and connect
on a deep personal level via e.g., a Wiki page.

Recommendation:

If you regularly use private online communities
for your best customers, supplement them with
real face-to-face meetings once or twice a
year.
Agenda




Introduction
Public online discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
3) Blogs


What is it?
 Blogs are regularly updated, journal-style web sites, sorted in reverse chronological order

Goals
 Entice experts in your ecosystem (customers, partners, consultants, etc.) to share their
 knowledge, success stories and experiences (even painful ones) of your products
 Push information and marketing messages to customers
 Collaboratively drive thought leadership and brand value together with ecosystem

Usage
 Public sharing of information with the world (or anyone who will listen)

Benefits
 Customers create marketing and sales-related collaterals on your behalf
 Customers “sell” your products (often more effectively than paid internal sales force)
 Customers create online documentation and how-to guides on your behalf
 You can deliver marketing messages and other important information is a reader-friendly,
 informative, casual style
Encourage Customer Blog Entries:
Live Customer Affidavits
Encourage Customer Blog Entries:
Product Reviews
Encourage Customer Blog Entries:
Configuration Guides
Disseminate Information and Drive Marketing
Messages with Corporate Blogs
Disseminate Information and Drive Marketing
Messages with Corporate Blogs
Agenda




Introduction
Public online discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
4) Wikis


What is it?
 A wiki is a collection of web pages that people can edit or contribute to collaboratively

Goal
 Provide your ecosystem (customers, partners, etc.) with collaborative Web tools that allow
 users to edit documents, share ideas, or monitor the status of a project

Usage
 Public/private, collaborative creation and maintenance of information, documents or projects

Benefits
 Reduces workload on your company’s product management and information development
 organization
 Increases timeliness, relevancy, and accuracy of information about your products and their
 usage by customers
 Allowing various experts to collaborate on documents and projects
Enable Collaborative Creation and Maintenance of
Information with Wikis
Agenda




Introduction
Public discussion forums
Closed-door private online communities
Blogs
Wikis
Conclusion
To Blog or Wiki?
Open discussions or closed doors?

Blog                                                Wiki
 Written by an individual                            Worked on by teams or groups
 Published once and not ever changed/updated         Regularly modified/updated
 Short, journal-style entries                        Larger articles or projects
 Sorted by entries in reverse chronological order    Organized logically by topic



Public Online Discussion Group                      Private, Closed-Door Online Community
 Open to the world                                   Invitation only, closed-door format
 Appropriate for most general topics                 Ideal for IP relevant or confidential topics
 Anonymous (guest) users or registered users         Only registered, password-protected users
 Limited IP protection and confidentiality           Fully supported by non-disclosure agreements
Summary: Use Web 2.0 to Drive Communication,
Collaboration, Adoption, and Co-Innovation

Communication Channel               Driving Communication
     Reach out to customers and users “in context”
     News channel
     Support product launch

Interaction Channel           Driving Collaboration
     Enable customer-to-customer interaction
     Enable company-to-customer interaction
     Virtual networking

Support Channel         Driving Adoption
     Implementation support
     Problem solving
     Sharing best practices and experiences

Feedback Channel             Driving Co-Innovation
     Discuss ideas
     Get feedback
     Build better products
Timeline for Engaging Your Customers to Collaboratively
Define and Build Products



                                                                                     Deep Ocean of
                                                                                      Engagement
   USER GENERATED CONTENT




                                          UI design

                                                           Market
                                                        requirements
                                            downloads

                             references                          CO-INNOVATE
                                               forums     customer
                                                           council
                                   blogs        INTERACT &              wishlist
                                               COLLABORATE
                              news          podcasts      wiki

                              COMMUNICATE                                      ratings
                               & CONNECT
                                                            panels
                            information       videos



                             Wet Toes                   Knee Deep               Neck High
Example of Success That Can Be Achieved with Web
2.0 Tools

Example of success that can be achieved with Web 2.0 tools. SAP launched
a new online forum (for one product area) in December 2007
 140 blogs since launch
 2,500 views of one customer go-live blog
 7,000 homepage hits in one month
 35,000 views of video clips
 85,000 forum contributions/postings
 800,000 forum visits (views)
Web 2.0 Risks, and Ways to Deal Risks


While there are many advantages to using Web 2.0 tools to allow your ecosystem to
assist you with your job, there are also risks.
 Disgruntled employees, customers or competitors may abuse the system
 Users may not be aware of the rules of engagement
 People might have the motivation to get involved, but not the required skills


Things you can do
 Clearly state and enforce the rules of engagement
 Enforce proper etiquette and behavior using moderators – trusted expert users (from within
 your organization or outside)
 Utilize a peer-awarded point system to identify top experts versus “trolls”
 Implement a mentor program where top experts coach new bloggers on proper techniques
 and etiquette
(Properly) Motivate Your Ecosystem to Participate


There are a number of simple and inexpensive ways
to encourage individuals to participate
 Provide useful content, resources, and networking
 opportunities that help people do their jobs
 Points-based incentive systems with rewards (even just
 inexpensive token gestures) can be a highly powerful
 Personal recognition of top contributors (e.g., monthly top
 3) can foster friendly competition
 Featuring top contributors prominently in articles,
 presentations and real-life events also encourages further
 participation and motivates individuals who are looking for
 new career opportunities, promotions, or just some (well-
 deserved) recognition
Q&A


Questions?

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Tools to Build Better Products and Strengthen Customer Relationships

  • 1. Use Web 2.0 Tools to Build Better Products and Strengthen Customer Relationships Silicon Valley Product Management Association (SVPMA) John Burton Director, Product Management SAP Labs, LLC August 6th, 2008
  • 2. Speaker Background: John Burton Involved in enterprise software industry in Silicon Valley since 1999 Product Management Director at SAP Moderator and “Top Contributor” of various SAP web forums Author of industry publications, wikis, blogs, and forthcoming book Taught SAP and business computer classes at Central Michigan University B.A. from University of Michigan, MBA from Central Michigan University Consumed over 1,000 espresso-based coffee drinks last year http://www.linkedin.com/in/sapjohnburton
  • 3. Company Background: SAP Third largest business software company in known universe… Enterprise software provider of products such as Enterprise Resource Planning (ERP) Customer Relationship Management (CRM) Business Intelligence and other software Over 51,000 employees, 47,800 customers, € 10 Billion annual sales
  • 4. Agenda Introduction Public online discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 5. What is Web 2.0? (Just Kidding, Next Slide Please!)
  • 6. The Topic: Web 2.0 Web 2.0 is about enabling users to share information and collaborate We will focus on Web 2.0 tools that can help you – as a product manager – build better products and strengthen customer relationships Public discussion forums Online private communities Blogs Wikis Not in scope for this presentation Integration of social networking sites into your products Leveraging cloud computing Widgets, RSS feeds, etc. AJAX Creating mashups
  • 7. Web 2.0: In Scope Topics for Our Presentation
  • 8. The Challenge: Product Management “Lone Ranger Style” As product managers, we are ultimately responsible for our products and our customers even though we might not technically own either We collect customer/market requirements We define new features and new products We sign off on the product before it is released to customers We often support the field We are sometimes even the first person to receive customer complaints Additionally, we have numerous daily distractions that keep us from focusing on our real jobs – making sure our customers are successful Answering emails Attending meetings Filling in random templates, forms, reports How do we do it all – without any help? Developers are churning away in their cubes, converting coffee into functions & subroutines Sales people are busy selling (and calculating their commissions) Quality management is obsessed with executing test scripts
  • 9. The Answer: Relax (with a Nice Book and Latte) While Your Customers Do the Heavy Lifting Leverage Web 2.0 tools to make your products better, your customers happier, and your job easier Public discussion forums Closed-door private online communities Blogs Wikis Enable your customers take over your job responsibilities Answering technical questions Defining new product requirements Creating product marketing collaterals Generating documentation and roll-out materials Coaching/training customers to represent your company like an employee
  • 10. Web 2.0: The Internet Puts on a Jacket and Tie, Joins the Corporate World Dell IdeaStorm Launched in February, 2007 Allows customers to suggest ideas, vote on which ideas are best MyStarbucksIdea Launched in March, 2008 Allows customers/employees to suggest ideas, vote on which ideas are best SAP Community Network Launched in December, 2007 Discussion forums, blogs, wikis with points-based ranking system of ecosystem experts
  • 13. Agenda Introduction Public online discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 14. 1) Public Online Discussion Forums What is it? An Internet discussion forum is a web applications for facilitating discussions between people Goals Entice experts in your ecosystem (customers, partners, consultants, etc.) to answer questions and help trouble-shoot technical issues for other customers Enable customers to find existing solutions or reach out to peers for real-time assistance Provide information on how to resolve most common issues Reach out to customers for new requirements and product feedback Usage Public collaboration between your company and your customers and partners Benefits Reduces workload on your organization (and on you personally) Enables customers to connect with each other and share tips, tricks, experiences Provides faster customer service from experts Roll in customer requirements Lowers cost of service/support and increases profit margin
  • 15. Reduced Workload on Service Organization by Shifting Support to Ecosystem
  • 16. Let Customers Provide ‘Customer Service’ to Each Other
  • 17. Enable Users to Search the Forum To Find Immediate Answers
  • 18. Enable Users to Search the Forum To Find Immediate Answers
  • 19. Push FAQs and Corporate Content to Customers
  • 20. Push FAQs and Corporate Content to Customers
  • 21. Agenda Introduction Public online discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 22. 2) Closed-Door Private Online Communities What is it? A private online community is a collection of web resources (such as discussion forums, articles, downloads, etc.) only made available to select users (e.g., your best customers) Goal Provide secure collaboration area for select partners and customers to share ideas in a safe secure business network with built in governance Usage Private collaboration between your company and select customers and partners for Intellectual Property (IP) relevant topics or other confidential discussions Benefits Confidential information is protected from competitors IP relevant documents are protected by mutual non-disclosure agreements Customers feel comfortable sharing semi-private information that they might not want released to “the street” or to competitors
  • 23. Example of Private Online Community
  • 24. Additional Recommendations for Using Private Closed- Door Online Communities Web 2.0 is about using the unique strengths of the Internet and Web based tools (i.e., easy information sharing and collaboration) to change the way your business operates. Yet, you also have to recognize the limitations of the Internet and Web 2.0. For example, it’s very hard to buy someone a drink and connect on a deep personal level via e.g., a Wiki page. Recommendation: If you regularly use private online communities for your best customers, supplement them with real face-to-face meetings once or twice a year.
  • 25. Agenda Introduction Public online discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 26. 3) Blogs What is it? Blogs are regularly updated, journal-style web sites, sorted in reverse chronological order Goals Entice experts in your ecosystem (customers, partners, consultants, etc.) to share their knowledge, success stories and experiences (even painful ones) of your products Push information and marketing messages to customers Collaboratively drive thought leadership and brand value together with ecosystem Usage Public sharing of information with the world (or anyone who will listen) Benefits Customers create marketing and sales-related collaterals on your behalf Customers “sell” your products (often more effectively than paid internal sales force) Customers create online documentation and how-to guides on your behalf You can deliver marketing messages and other important information is a reader-friendly, informative, casual style
  • 27. Encourage Customer Blog Entries: Live Customer Affidavits
  • 28. Encourage Customer Blog Entries: Product Reviews
  • 29. Encourage Customer Blog Entries: Configuration Guides
  • 30. Disseminate Information and Drive Marketing Messages with Corporate Blogs
  • 31. Disseminate Information and Drive Marketing Messages with Corporate Blogs
  • 32. Agenda Introduction Public online discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 33. 4) Wikis What is it? A wiki is a collection of web pages that people can edit or contribute to collaboratively Goal Provide your ecosystem (customers, partners, etc.) with collaborative Web tools that allow users to edit documents, share ideas, or monitor the status of a project Usage Public/private, collaborative creation and maintenance of information, documents or projects Benefits Reduces workload on your company’s product management and information development organization Increases timeliness, relevancy, and accuracy of information about your products and their usage by customers Allowing various experts to collaborate on documents and projects
  • 34. Enable Collaborative Creation and Maintenance of Information with Wikis
  • 35. Agenda Introduction Public discussion forums Closed-door private online communities Blogs Wikis Conclusion
  • 36. To Blog or Wiki? Open discussions or closed doors? Blog Wiki Written by an individual Worked on by teams or groups Published once and not ever changed/updated Regularly modified/updated Short, journal-style entries Larger articles or projects Sorted by entries in reverse chronological order Organized logically by topic Public Online Discussion Group Private, Closed-Door Online Community Open to the world Invitation only, closed-door format Appropriate for most general topics Ideal for IP relevant or confidential topics Anonymous (guest) users or registered users Only registered, password-protected users Limited IP protection and confidentiality Fully supported by non-disclosure agreements
  • 37. Summary: Use Web 2.0 to Drive Communication, Collaboration, Adoption, and Co-Innovation Communication Channel Driving Communication Reach out to customers and users “in context” News channel Support product launch Interaction Channel Driving Collaboration Enable customer-to-customer interaction Enable company-to-customer interaction Virtual networking Support Channel Driving Adoption Implementation support Problem solving Sharing best practices and experiences Feedback Channel Driving Co-Innovation Discuss ideas Get feedback Build better products
  • 38. Timeline for Engaging Your Customers to Collaboratively Define and Build Products Deep Ocean of Engagement USER GENERATED CONTENT UI design Market requirements downloads references CO-INNOVATE forums customer council blogs INTERACT & wishlist COLLABORATE news podcasts wiki COMMUNICATE ratings & CONNECT panels information videos Wet Toes Knee Deep Neck High
  • 39. Example of Success That Can Be Achieved with Web 2.0 Tools Example of success that can be achieved with Web 2.0 tools. SAP launched a new online forum (for one product area) in December 2007 140 blogs since launch 2,500 views of one customer go-live blog 7,000 homepage hits in one month 35,000 views of video clips 85,000 forum contributions/postings 800,000 forum visits (views)
  • 40. Web 2.0 Risks, and Ways to Deal Risks While there are many advantages to using Web 2.0 tools to allow your ecosystem to assist you with your job, there are also risks. Disgruntled employees, customers or competitors may abuse the system Users may not be aware of the rules of engagement People might have the motivation to get involved, but not the required skills Things you can do Clearly state and enforce the rules of engagement Enforce proper etiquette and behavior using moderators – trusted expert users (from within your organization or outside) Utilize a peer-awarded point system to identify top experts versus “trolls” Implement a mentor program where top experts coach new bloggers on proper techniques and etiquette
  • 41. (Properly) Motivate Your Ecosystem to Participate There are a number of simple and inexpensive ways to encourage individuals to participate Provide useful content, resources, and networking opportunities that help people do their jobs Points-based incentive systems with rewards (even just inexpensive token gestures) can be a highly powerful Personal recognition of top contributors (e.g., monthly top 3) can foster friendly competition Featuring top contributors prominently in articles, presentations and real-life events also encourages further participation and motivates individuals who are looking for new career opportunities, promotions, or just some (well- deserved) recognition