Q&A with DaimlerChrysler’s Randall McAdory: Learning from the “Social Media”

When consumers use blogs, forums, or other forms of “social media” to complain about a product or a service, they probably think they have the ear of only a handful of other disgruntled shoppers. But DaimlerChrysler’s Randall McAdory, for one, is listening. Marketers need to know what social media say about their company, says the manager of business intelligence and interactive marketing for DaimlerChrysler, because blogs, forums, and chat rooms are where enthusiasts go to share their true feelings about brands.

McAdory was a keynote speaker at BlogOn 2005 Social Media Summit on Oct. 17, where he shared tips on how brands should handle the blogosphere. He sat down last week with CHIEF MARKETER’s Tim Parry to talk more about the impact of social media on marketing.

CHIEF MARKETER: Why should major corporations such as DaimlerChrysler know what bloggers and other members of the social media think about them?

McAdory: Understanding what social media is saying about the Chrysler Group and our products is important because, increasingly, automotive enthusiasts utilize the medium of the Internet – blogs, forums, chat rooms, etc. – to express their opinion about automotive products. It’s critical to understand what these enthusiasts are saying due to their influence on automotive purchases. Enthusiasts not only influence the auto purchases of other readers and participants in social Web media but also the automotive purchases of family and friends. We describe these enthusiasts as “influentials.”

CHIEF MARKETER: What has DaimlerChrysler learned from scanning social media, and has the company been able to correct any misperceptions or mistakes as a result?

McAdory: We’re constantly learning information about what consumers–and particularly “influentials”–think about our products by listening to social media. A recent example involved the early Web buzz surrounding the new Dodge Charger. Initial sentiment came from traditional Charger purists highlighting their belief that any vehicle bearing the Charger name should be a two-door vehicle like the original model. Of course, the all-new Charger is a four-door sedan. Instead of immediately reacting to this negative two-door vs, four-door sentiment from purists, we waited to hear and understand sentiment from other automotive enthusiasts. Fortunately the sentiment from these enthusiasts highlighted their excitement surrounding Charger styling, performance, and the practicality of a four-door sedan. Additionally, the volume of positive buzz from enthusiasts was much higher than the buzz from purists. In this example, no reaction was necessary. However, because we were listening, we could have reacted if we thought a marketing, advertising, or PR response would be appropriate.

CHIEF MARKETER: Is the scanning of social media something a corporation should do on its own, or should a company have multiple sources run reports?

McAdory: The decision of companies to scan social media on their own obviously depends on the personnel structure of the company combined with how deep the need is for detailed Web sentiment information. At the Chrysler Group, we have three automotive brands – Chrysler, Jeep, and Dodge – with many nameplates sold under each brand. Thus, we made the decision to utilize a third-party partner–Toronto-based Brandimensions–because we want frequent Web sentiment information for all Chrysler Group vehicles including concept vehicles that we periodically reveal at auto shows and other events. This allows us to focus on understanding Web sentiment and not on the myriad of methods of accessing social media buzz about our products.

CHIEF MARKETER: Are all gripes and praise made in the social media legit, and how does a brand separate the truth tellers from the ax grinders?

McAdory: Clearly there are gripes and praises made in social media that are incorrect. However, at the Chrysler Group we’re mostly concerned about social media perception. Once we understand perception, we can then craft strategies for reacting to consumer perceptions if necessary.

CHIEF MARKETER: Could a blog for consumers on the Chrysler Website help separate fact from fiction?

McAdory: A Chrysler Group consumer blog potentially could help separate fact from fiction. However, our present strategy is to listen and understand what social media is saying about us, and react if necessary through proven traditional techniques–marketing, advertising, public relations, and product improvement.