Getting Hasbro into the Game

Toy companies face a challenging and ever-changing landscape in terms of marketing. Not only are they vying for the attention of child consumers, they are also hoping to sell their products to parents. As trends and interests change, keeping up with these consumers can be a daunting task. Add into the mix the rise of privacy laws and acts, such as the Children’s Online Privacy Protection Act of 1998, the challenge becomes even greater.

 The emergence of social media has provided a unique opportunity to engage consumers and enhance brand loyalty. By offering special services and encouraging conversations, companies can benefit greatly from these relationships with their audience. As Keith O’Brien noted in his blog, “While the traditional media still holds sway, the emergence of brands as storytellers has significantly altered the dissemination of information” (O’Brien, 2009).


The top two toy manufacturers are Mattel and Hasbro. While Mattel has chosen to dip into the social media pool, Hasbro has not exactly been what some would call a social media darling (that would be the Starbucks, Coca Colas, etc., of the world). The company’s presence on social media outlets such as blogs, Twitter, Facebook and YouTube has been very limited. Instead, Hasbro has remained focused on traditional marketing vehicles, including print and television.


In order to succeed in today’s digital world, companies have to be creative, engaging and authentic. And, they have to understand that they are no longer driving marketing strategies; the consumer is. Social media vehicles provide the outlets needed to achieve these goals and enable the customer to be part of the brand. Hasbro must embrace these new mediums to extend its reach to its customers and provide opportunities to bring them into the conversation.


About Hasbro
Hasbro, Inc. is a worldwide leader in children's and family leisure time products and services with a rich portfolio of brands and entertainment properties that provides some of the highest quality and most recognizable play and recreational experiences in the world. As a brand-driven, consumer-focused global company, Hasbro brings to market a range of toys, games and licensed products, from traditional to high-tech and digital (Hasbro, 2009).

Hasbro’s mission is to “provide some of the highest quality and most recognizable play and recreational experiences in the world” and “inspire play” through its brands. The company does so by offering a wide array of products, including traditional toys and games to those with high-tech, interactive capabilities. Some of the most recognizable and popular toys include, the popular Transformers series, Tonka and Parker Brothers (Monopoly and other popular board/video games).


In 2008, annual sales were more than $4 billion. This is about two billion shy of Hasbro’s main competitor, Mattel. Mattel’s annual revenue was approximately $6 billion last year (Hoover’s, 2009).


Demographics:
The company’s primary target audience is children ages 3-12 (22 percent). The male to female ratio for that audience is almost dead even, with females edging out males 54 percent to 46 percent. The company’s Web site – Hasbro.com – reaches 1.5 million consumers monthly (Quantcast, 2009). During the past two years, the company has placed an enhanced focus on “tweens” (kids ages 8-12) by focusing on products that are high-tech/digitally innovative products (Hoovers, 2009).


Current Marketing/Advertising Strategies:
In a day and age when many Fortune 500 companies are transitioning their marketing plans to include social media and other new mediums, Hasbro’s main advertising vehicle continues to be television which helps them to reach their primary target audiences – children ages 12 and under.


Each year, more than $17 billion is spent on advertising to children (Lagorio, 2007). Last year, Hasbro spent more than $4.5 million on advertising (Hasbro Annual Report, 2009). And, it is easy to understand why when you look at the big picture. Many children have televisions, DVD players and other electronic devices in their room. According to Nielsen ratings, kids ages 2-5 spend 32 hours a week watching TV, while children ages 6-11 watch TV approximately 28 hours per week (McDonough, 2009). So, television still hits a large audience for Hasbro; however, reaching the adult populations (i.e., the parents) becomes more challenging. This is where social media vehicles such as the experiential marketing (“reliving” their favorite childhood Hasbro games and sharing those via on-line communities/websites), Twitter, Facebook and branded entertainment can really enhance that strategy.


Children also contribute to the bottom line of toy companies. Children ages 8-12 spent $30 billion of their own money on toys. Additionally, they greatly influence what their parents spend on products, estimated at $150 billion per year (Lagorio, 2007).


In addition to traditional advertising through print and television, Hasbro markets its products through the American International Toy Fair which is held each year in New York.

Hasbro also engages in branded entertainment through such mediums as the Monopoly game at McDonald’s and Monopoly City Streets to the continued success of Transformers toys into big-screen box office hits. Hasbro recently implemented a heavy ad push for "Family Fun Night" where it markets board games, as well as Wii video board games. The company took the branded entertainment one step further this fall by teaming with Domino's and Target to offer unique discounts to encourage families to take part in family game night (Powers, 2009).


Ellen Degeneres also has been helping Hasbro market the Family game night by playing some of the games on her show, including Bop-It and Guesstures. Because The Ellen Degeneres show embraces social media, Hasbro has benefitted from this partnership. There are many opportunities for Hasbro to further enhance its branded entertainment presence by integrating more “personal” experiential marketing strategies that truly engage consumers.


Research and Data:
Trends and use of social media has changed dramatically during the past few years. With the increased use of social networking sites, Twitter, YouTube and other social media tools, companies are constantly re-evaluating their marketing strategies. The following research/data will be useful in developing Hasbro’s marketing plan.


In a recent study from the Center for Marketing Research at the University of Massachusetts, Inc. 500 companies (five of the top 10, 12 and 15 companies and 38 of the top 100 companies) were interviewed about trends/uses of social media (Barron, 2009). Several trends/statistics were discussed in the survey that deserve some attention, and ones that have real value for Hasbro’s marketing plan:

• Social networking leads the way. Seventy-five percent of respondents reported this as the most familiar aspect of social media.

• Fifty-two percent of the companies responding use Twitter.

• Social media is here to stay. Ninety-one percent of respondents used some sort of social media in 2009.

• Inc. 500 companies attribute success to social media communication. Eighty-two percent had a success rate with Twitter and 87 percent for other social media tools (Wikis, social networking, blogging, video, etc.).


The Razorfish Digital Brand Experience Report 2009 found the following:


• More than 65 percent of consumers reported having a positive or negative digital experience that affected how they viewed a brand.
• Ninety-seven percent of those individuals reported that the experience ultimately determined whether or not they bought a product from that brand.
• Seventy percent of respondents have read a corporate blog.
• Sixty-seven percent have watched a commercial or video advertisement on YouTube.
• Seventy-three percent of respondents indicated posting a product or brand review on a web site like Amazon, Yelp, Facebook, or Twitter.


In 2008, Cone LLC presented the findings from its “2008 Cone Business in Social Media” survey. The following items are worth noting as part of the recommended marketing strategy for Hasbro:


• Sixty percent of Americans use social media and 59 percent of those individuals interact with companies via social media.
• Ninety-three percent of these social media users feel a company should have a presence in social media, and 85 percent believe not only should a company have a presence, but they also should interact with consumers via this new medium.
• More than half of these individuals feel a stronger connection with and better served by companies when they interact with them via a social media environment.
• Forty-one percent of the respondents think companies should solicit feedback on products/services.
• Forty-three percent of respondents think companies should use social networks to solve problems.


Additionally, more and more companies are making experiential marketing part of their strategy to help to build relationships with their customers. And, it’s working. According to a survey by MICE Group, more than 80 percent of companies/organizations believe experiential marketing is extremely or very important to the success of their organization. Forty-three percent of the respondents also noted that they expect to increase their budgets to increase experiential marketing tactics in their organizations during the next two years (MICE, 2009).


Social Media Implementation Strategies
Hasbro has been what a Wetpaint and Altimeter study dubbed “wallflower” when it comes to social media. By taking a few simple steps to incorporate social media as part of the overall marketing strategy, Hasbro can enhance its brand and engage customers, which, in turn, will lead to greater loyalty. Hasbro will need to be “selective” in determining the right fit for the organization. This is critical in developing the strategy. Hasbro does not want to try to be all things to all people. It needs to clearly define what social media strategies it will use, blend those strategies with the traditional marketing tools, and do them well.


In addition to using the traditional marketing vehicles (print and television), the use of the following social mediums is encouraged as part of the overall marketing strategy.


Blogs
As noted earlier, 70 percent of respondents in the Razorfish study said that they have read a corporate blog. Consumers are interested in what companies are doing and saying, and now more than ever before they have access to a wealth of information about companies/organizations available at their fingertips. In his blog, Jeff Bullas noted seven reasons why a company should blog. In looking at Hasbro’s marketing strategy and adding blogs to that strategy, two points stand out: 1) blogs are viewed as more trusting than company Web sites/press releases and 2) blogs can move customers to purchase your product (Bullas, 2009). Consumers will still look to a friend or next door neighbor for advice on what type of lawn care to use or what type of mp3 player to buy, so it is easy to understand why blogging, as well as other social mediums, is so important in branding and marketing.


Blogs are the easiest way to engage consumers in conversation. They provide open dialogue among consumers all over the world. It not only serves as a communications tool to educate customers, but it also provides companies opportunities to learn what others are saying about them.


In his book, Join the Conversation, Jaffe lists the 10 characteristics of a “good conversation” (Jaffe, 2007). Two characteristics are especially important: it is natural (not forced) and it is open. As Hasbro works to develop its blog – whether it be from the CEO or a toy designer – it is important to adhere to these golden rules. If you are not authentic, your consumers won’t believe you, and they will go elsewhere when they want information about products (or, they won’t buy anything from you again). You have to be willing to be open to the different points of view and be respectful of those viewpoints. Comment on others’ blogs.


Hasbro can easily incorporate blogs into the marketing strategy. It could offer an employee who has been working on a particular toy the chance to blog about that toy. He/she could discuss why he/she likes this toy, what is cool about it, etc. This will open the door for conversation from consumers. If by chance the toy is not actually a hit once it rolls out, the two-way (or multi-level) communication provides valuable feedback for Hasbro.


Hasbro should also ask for something via a blog. For example, perhaps the CEO could reminisce about his/her favorite childhood memory/experience with a Hasbro toy. Then ask for comments, stories, etc., from readers. Ask them to include photos. The feedback from customers is a valuable tool that can help further develop the company’s overall marketing strategy. Customers are your biggest salespeople. And, with the viral implications of social media, they can make or break a company.


Facebook
As our research indicates, adults ages 35-54 using Facebook grew more than 170 percent in less than a year, and adults ages 24-35 and 55+ also saw substantial growth, more than 97 percent (Corbett, 2008). These are the parents and grandparents (and, in some cases siblings or great-grandparents) of our primary target audience. Reaching these groups is critical to the overall success of our company.


Hasbro has no real Facebook presence. The page has less than 2,000 fans and it provides little to no opportunity for users to write on the wall or share information (Facebook, 2009). The main point of social media is to engage and share information, and Facebook is a social networking site aimed at achieving those goals.


Hasbro has simply established a page for the sake of having a page. As part of our marketing strategy, the company will focus on enhancing this page to allow for the exchanging and sharing of information via the wall, special offers, photos, etc. Because our “secondary” target audience (parents and grandparents) is using this page, this is an area where there is great potential to engage consumers.


Facebook provides an opportunity to build relationships with consumers. By developing a solid "fan" following, Hasbro can develop marketing strategies to build brand loyalty. For example, the company should offer special discounts, "sneak peeks" and other premium services to “fans” of the page. The company could also offer incentives to those fans who “recruit” a set number of new fans to the page.


Many companies are already doing this, and consumers want these special services.
Mark Walsh noted that a Razorfish study shows that 44 percent of Twitter followers and more than 37 percent of Facebook/MySpace followers note receiving exclusive offers/deals/promotions is the main reason for subscribing/friending a brand via social media. Providing discounts and premium services makes your consumer feel special. And, driving them to your Facebook page or Web site provides additional opportunities to further engage them (wall posts, photo uploads, etc.).


Hasbro much enhance its presence on Facebook and work to provide fans with useful information that draws them in and provides them an opportunity to share their thoughts, ideas and stories.


Tweets
One simple step Hasbro can take to get consumers engaged is to offer the ability for consumers to sign up to receive information from the company via Twitter. Currently Hasbro relies on postings on its Web site or e-mail to notify customers of special offers or recalls.

By developing a Twitter page that they use to keep customers informed of these important notifications will help them build relationships and enable them to deliver information quickly. Keeping the message simple and to the point is crucial. Stefanie Nelson, the voice of the DellOutlet Twitter page, notes that we are living in an online culture where people are scanning information versus reading. "The shorter and more direct your message is, the more successful you're going to be," she explains.


Dell has been using Twitter to "tweet" coupon information for the Dell Outlet. The tweets link to the company's Facebook page where interested consumers can get more information, review the offers and make additional purchase. Hasbro can easily incorporate this feature as part of their Twitter presence as well.


Additionally, Twitter offers a unique opportunity to further engage consumers by seeking their feedback. For example, a fun, creative use of Twitter could be developed during the holiday season to ask consumers what their pick is for their favorite Hasbro toy. Or, Twitter serves as a great outlet to notify followers of the latest Hasbro toy launch.


Twitter offers a simple, cheap and effective way to cast the Hasbro net to more consumers and bring them into the conversation.


YouTube/Flickr
Much of social media revolves around user-generated content. In 2008, more than 82 million people generated their own content via various social mediums, including video, social networking, etc., and during the next five years those numbers are anticipated to grow to nearly 115 million (Ostrow, 2009). Sites such as Flickr and YouTube provide users with the ability to create their own information in creative and unique ways. In the Digital Outlook Report, Iain McDonald discusses the whole premise of social object theory and social influence in marketing. In the article, he notes that much of social media is built around an object that helps us make connections to others (i.e. photos, videos, URLs). It is these objects that we build our relationships around and discuss via the various social mediums.


YouTube provides a wonderful opportunity for Hasbro to market its products. Whether it is using the site to showcase special toys or creating outlets for consumers to share their story, Hasbro can capitalize on the power of YouTube. Mattel is already using YouTube in unique ways to help its consumers. In October of 2009, it launched shopmattel.com and uploaded a video outlining how the site works and what it has to offer.

Hasbro can engage consumers by providing useful information via this video site (shopping tips, what’s hot for the season, commercials) and by offering consumers an opportunity to join the conversation. Like Twitter and Facebook, YouTube can be used as a vehicle to share special memories of Hasbro toys. For example, ask for videos showcasing your child’s favorite Hasbro toy. Ask consumers to share their own videos of them enjoying a Hasbro moment.


YouTube also can be used for what Jaffe termed “advertising on demand” (Jaffe, 2005). In today’s world where more and more consumers are skipping through traditional television advertising, YouTube offers companies an opportunity to showcase products and services via the new social medium. And, more importantly, it allows the consumer to choose the advertising he/she wishes to engage in. Because the site is also viral, the opportunity to reach a broader audience is greatly enhanced.


Mobile Applications/Technology

In Razorfish’s Digital Outlook Report, the researchers/authors noted that mobile technology will continue to “get smarter” and fulfilling the same brand promise that a company provides via the stationary Internet will be a focal point. The report also notes “Mobile is poised to be the most potent digital opportunity of the year and, perhaps more than any other sector, retail stands to gain immensely from broad adoption of mobile media and technology tools” (Razorfish, 2009).


As more and more consumers move to Blackberries, iPhones and other mobile devices, developing services and applications will become increasingly important because the consumer expects it. The challenge is developing a program/app that peaks the interest of your consumers while working across multiple mobile platforms.


Hasbro could benefit from mobile applications that provide parents with information that can make their life easier. For example, if Hasbro can develop an application that allows parents to track toy information, make lists, get recommendations – all based on data provided by them (i.e., age of the child, sex of the child, child’s interests) – will help parents. Hasbro’s application could then tailor toy information based on the data provided, as well as offer tips for finding the right toy, where to find it, etc. Another application that would benefit the consumers is a storefront window of toys from Hasbro.


Mobile coupons are expected to become a popular tool for companies moving forward. This technology provides ease of use, higher redemption rates and is more cost effective for the actual company (Razorfish, 2009). Hasbro can easily use this tool to as a reward incentive to those customers who have engaged in other social media mediums at Hasbro.


Conclusions:
Social media has put consumers in the driver’s seat. The level and types of engagement ultimately affect the financial success of a company. Those who engage and build/maintain relationships tend to be more profitable. Conversations and engagement are critical in helping to build trust, loyalty and support for a company/organization. Understanding and incorporating the right social media strategies will continue to be an important piece of an overall marketing strategy. Identifying and using those mediums that are most appropriate for your company or organization is key in developing your strategy.


Obviously privacy issues will continue to arise with our main target audience – children under the age of 12. But, what also is likely to change is the demographics of who is using the various mediums. As found with Mattel, even children are getting involved with Twitter and Facebook (example, Barbie – kids follow her tweets and are fans of her Facebook page, 250,000 and counting). As technology changes at a rapid pace, companies will have to continually invest in emerging technology and manpower to keep up with those changes.


Hasbro can incorporate some simple social media strategies, outlined above, that will help to enhance their overall brand and further engage consumers. By taking these simple steps, Hasbro will achieve greater success and possibly catapult over Mattel as the number one toy manufacturer.


References:
Adler, D. (2009, July 31). Twenty-one top Twitter tips. Forbes. Retrieved Dec. 26, 2009, from http://www.forbes.com/2009/07/31/top-twitter-tips-entrepreneurs-technology-twitter.html


Barnes, N. and Mattson, E. (2009). Social media in the 2009 Inc. 500: New tools & new trends. Retrieved Dec. 12, 2009, from http://www.umassd.edu/cmr/studiesresearch/socialmedia2009.pdf


Bullas, J. (2009, July 10). Seven reasons companies should blog. Retrieved December 2, 2009, from http://jeffbullas.com/2009/07/10/7-reasons-why-companies-should-blog/


Cashmore, P. (2009, Sept. 7). Monopoly City Streets: Google launching online version of Monopoly. Retrieved Dec. 27, 2009, from http://mashable.com/2009/09/07/monopoly-google-maps/


Cone, Inc. (2008). Cone finds that Americans expect companies to have a presence in social media. Retrieved Dec. 15, 2009, from http://www.coneinc.com/content1182


Corbett, P. (2008, June 20). Facebook demographics 2008 update -- It’s getting older in there. Retrieved October 30, 2009, from http://www.istrategylabs.com/2008/06/facebook-demographics-2008-update-its-getting-older-in-there/


Hasbro, Inc. (2009, February 25). 10-K and Annual Report to Shareholders. Hasbro.com. Retrieved November 2, 2009, from http://www.scribd.com/doc/12937028/HASBRO-INC-10K-Annual-Reports-20090225


Hoover’s (2009). Hasbro, Inc. and Mattel, Inc. Retrieved November 1, 2009, from http://www.scribd.com/doc/12937028/HASBRO-INC-10K-Annual-Reports-20090225

Jaffe, J. (2005). Life after the 30-second spot. Chapter 9, pp. 95.


Jaffe, J. (2007). Join the Conversation. Chapter 11, pps. 120-121.


Lagorio, C. (2007, May 17). Resources: Marketing to kids. CBS News. Retrieved October 21, 2009, from http://www.cbsnews.com/stories/2007/05/14/fyi/main2798401.shtml


Mattel (2009). Retrieved November 1, 2009, from www.mattel.com and http://www.shopmattel.com/ and http://www.youtube.com/watch?v=CNWKUPu2-sw

McDonough, P. (2009, October 26). TV viewing among kids at an eight-year high. Nielsen Wire. Retrieved November 22, 2009, from http://blog.nielsen.com/nielsenwire/media_entertainment/tv-viewing-among-kids-at-an-eight-year-high/


MICE Group (2009, September 8). New international survey predicts experiential marketing 'set to become major growth area in next five years'. PR Newswire. Retrieved November 11, 2009, from http://www.prnewswire.co.uk/cgi/news/release?id=178594


O’Brien, K. (2009, April 7). Why the future of PR lies in social media. Attention! Blog. Retrieved Dec. 21, 2009, from http://blog.attentionusa.com/2009/04/why-the-future-of-pr-lies-in-social-media/


Ostrow, A. (2009, February 19). 82 million user-generated content and counting. Retrieved December 6, 2009, from http://mashable.com/2009/02/19/user-generated-content-growth/


Powers, V. (2009, October 30). Hasbro’s family game night teams with Domino’s Pizza: Free pizza, mini games. Retrieved November 22, 2009, from http://www.houstononthecheap.com/hasbros-family-game-night-teams-with-dominos-pizza-free-pizza-mini-games


Razorfish (2009). FEED Report. Digital Brand Experience Report 2009. Retrieved November 9, 2009, from http://feed.razorfish.com/downloads/Razorfish_FEED09.pdf


Razorfish (2009). Digital Outlook Report. Retrieved Dec. 1, 2009, from http://www.razorfish.com/#/ideas/reports-and-papers/special-reports/


Walsh, M. (2009, November 8). Online Media Daily News. Razorfish study: Special offers drive engagement in social media. Retrieved November 9, 2009, from http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=117008


Wetpaint and Altimeter (2009, July). The world’s most valuable brands. Who’s most engaged? Retrieved from http://www.engagementdb.com/

World of social media opens windows to conversation

The world of social media is broad. And, everyone has an opinion on how companies/organizations should handle the use of this ultra medium. During the past few weeks, we have seen some wonderful, and some not so wonderful, uses of blogs, video, Twitter, Facebook, etc., to help consumers become part of a brand. By engaging them in conversations, companies are not only building brand loyalty, they are also gaining valuable information that can help to set them apart from the competition.

As we come down the home stretch of our social media marketing class, there is a lot of information to sort through, thoughts and ideas to decipher, and more importantly, choosing the right marketing plan that will help our “choice” company heighten its social media presence.

In a recent study from the Center for Marketing Research at the University of Massachusetts, Inc. 500 companies (five of the top 10, 12 and 15 companies and 38 of the top 100 companies) were interviewed about trends/uses of social media (2009, Barron). Several trends/statistics were discussed in the survey that deserve some attention, and ones that I feel have real value as I begin to craft the marketing plan for Hasbro:

·        Social networking leads the way (75 percent of respondents reported this as the most familiar aspect of social media.

·        Fifty-two percent of the companies responding use Twitter.

·        Social media is here to stay. (Ninety-one percent of respondents used some sort of social media in 2009).

·        Inc. 500 companies attribute success to social media communication (82 percent success rate with Twitter and 87 percent for other social media tools (Wikis, social networking, blogging, video, etc.)/

As we are talking about sorting through the “wealth” of information, Larry Brauner’s article this week on sorting through social media clutter is very apropos (2009, Brauner). Specifically a couple of things jump out as simple, yet critical steps, to taking action. The first one is his statement, “Be reliable and be consistent.” As we have discussed throughout this course, you have to be accountable and you have to be authentic/reliable. If you say what you do and do what you say, consumers are more likely to take stock in what your company has to say. And, of course, don’t do it in such a way that you are talking over people, instead of to them or with them.

The second point he makes that I think is valuable advice when looking at use of social media is the concept of not being everything to everyone. There are companies out there that do this well. (I noted National Geographic last week in my post. A great example.) But, not every company is going to have the staff or resources to accomplish what these top tier companies are doing. It’s important to find out what your consumers want and give it to them. Pick those mediums that you believe you can do well and ones that will really add value to building relationships with those consumers.

Additionally, recent changes to privacy policies for Facebook (2009, Brauner) and research regarding consumers’ likelihood to provide (or control) behavioral advertising data, could make social media marketing even more interesting, and, in some cases, challenging (2009, Rodgers). The addition of privacy changes (and there will probably be more to come) is not a bad thing. The point of social media is to engage consumers, and as Jaffe noted in Join the Conversation, “prosumers” or “consumers” make the world go round and “today’s consumer is your best friend and worst enemy” (2007, Jaffe). There is no doubt consumers are leading the way, and that is why it is more important than ever for companies to become more engaged with consumers so that they can reach those audiences with messages they want to hear, with products they said they want to see and deliver it in the manner in which they have asked to receive it.

The world of social media is scary, yet one that blows open the windows of communication to an audience who is ready to be part of these conversations.

References:

Barnes, N. and Mattson, E. (2009). Social media in the 2009 Inc. 500: New tools & new trends. Retrieved Dec. 12, 2009, from http://www.umassd.edu/cmr/studiesresearch/socialmedia2009.pdf

Brauner, L. (2009, Dec. 13). 8 simple ways to penetrate social media clutter. Online Social Networking blog. Retrieved Dec. 13, 2009, from http://online-social-networking.com/8-ways-to-penetrate-social-media-clutter

Brauner, L. (2009, Dec. 6). Social networking privacy hampers marketers. Online Social Networking blog. Retrieved Dec. 12, 2009, from http://online-social-networking.com/social-network-privacy-hampers-marketers

Jaffe, J. (2007). Join the Conversation. Chapter 5, pps.41-51.

Rodgers, Z. (2009, Dec. 14). Few Google users are opting out of behavioral targeting. Retreived Dec. 14, 2009, from http://www.clickz.com/3635881

User-generated content complements traditional marketing strategies

Social media has opened windows to what I like to term “multi-level” discussions or as Jaffe notes, “many-to-many” communication (Jaffe). This is probably the single most significant point of social media: making conversation. From these conversations, companies can gain valuable knowledge on what consumers are saying about their products/services and gain insights into what consumers really want or need.

And, what all of this means to business is ultimately success (or, in some cases, failure).

During the past few weeks, we have been looking at what successful organizations and businesses are doing with social media. The use of consumer-generated content such as blogs, photo sites and YouTube, is luring people into conversations and providing opportunities to share ideas and experiences like never before.

In 2008, more than 82 million people generated their own content via various social mediums, including video, social networking, etc., and during the next five years those numbers are anticipated to grow to nearly 115 million (2009, Ostrow).

As I continue to work on my plans to catapult Hasbro over Mattel in the social media world, the idea of user-generated content is one that deserves a lot of attention. The company currently isn’t doing much in the way of engaging consumers via this platform, but there are certainly wonderful opportunities to bring them into the conversation, so to speak.

One of the vehicles I think could be very fun and engaging for Hasbro is the use of photo and video sharing. This can be done very simply and inexpensively. In talking with random people about toys, one of the things I found very interesting was the memories people would have of their favorite toys. And, often these individuals are now sharing those memories (and many of the Hasbro games/toys) with the next generation of family members – kids, grandkids, etc. As part of the marketing plan, I plan to incorporate the use of a YouTube site and photo sharing site for consumers to upload their favorite photos/videos of them or their family members with their favorite Hasbro toys. This will give them an opportunity to be engaged, while offering other consumers to comment on those stories.

Blogs are another easy and inexpensive way to engage consumers in a conversation. I like the idea of using Hasbro employees to write blogs about their favorite childhood toy memory and asking consumers to share their stories. Additionally, it would be great to do a special holiday blog where either the CEO from Hasbro talks about the newest or greatest toy of the holiday season and why he/she picked that particular toy. This will give consumers a chance to chime in on their thoughts about the toy.

By incorporating this form of user-generated content, consumers will not only be able to share their stories, but this will also serve as an opportunity for Hasbro to use these stories and photos in further enhancing brand recognition and marketing efforts. There is truly no more powerful form of marketing than to hear the words of the people who use these products.

Companies are adjusting marketing budgets to incorporate different strategies, including social media, to add value to their services/products. In a recent feature on General Mills on Fox News, Mark Addicks, chief marketing officer for General Mills, discusses the various outlets the company is using to reach its diverse audience. He notes that while the company looks at return on investment based on actual dollars in terms of advertising, the company also looks at “activity” around social networks when developing marketing messages and new ways to engage customers (2009, Fox). As he further notes in the interview, General Mills will continue to remain focused on the television market as it works to provide a significant return on investment for the company, but it also looks at the social media market as a complementary vehicle for engaging consumers. General Mills is being very strategic when incorporating social media marketing. It is not using social media to be the beat all end all.

I think Hasbro is much like General Mills in that much of the target audience of its brands (parents/children) still gets much of their information from television. But, the parents are also one of the biggest users of social networks, representing a 170 percent growth rate among users ages 35-54 (2008, Corbett). Integrating the various marketing strategies will enable them to extend the brand reach/recognition while developing and building relationships that will help drive success.

Marketing techniques and strategies are evolving at a rapid pace, and social media is certainly an integral piece of that strategy. It is important to continually develop and re-develop your marketing plan to integrate the various resources available for companies to engage consumers and build brand loyalty. By incorporating the traditional marketing tactics with the new social media vehicles available to marketers, companies will be enhance performance while helping to make consumers feel like they are part of your brand.

 Ostrow, A. (2009, February 19). 82 million user-generated content and counting. Retrieved December 6, 2009, from http://mashable.com/2009/02/19/user-generated-content-growth/

Fox News. (2009, November 16). Engaging consumers through social networking. Retrieved December 8, 2009, from http://www.foxbusiness.com/search-results/m/27431720/engaging-consumers-through-social-networking.htm