• 10Aug

    Here’s a really interesting tidbit from Fast Company. The July issue featured a profile by Adam Penenberg of Professor Paul J. Zak of Claremont Graduate University, a.k.a. Dr. Love, who is pioneering a new field, neuroeconomics, the study of brain chemicals and their impact on consumerism.

    In a series of studies spanning nine years, Zak has changed our understanding of human beings as economic animals. Oxytocin is the key (and please, do not confuse the cuddle drug with the painkiller oxycontin). Known for years as the hormone forging the unshakable bond between mothers and their babies, oxytocin is now, thanks largely to Zak, recognized as the human stimulant of empathy, generosity, trust, and more. It is, Zak says, the “social glue” that adheres families, communities, and societies, and as such, acts as an “economic lubricant” that enables us to engage in all sorts of transactions. Zak is a walking advertisement for oxytocin; his vanity license plate reads oxytosn, and he hugs virtually everyone he meets. (“I’ll hug you, too,” he warns.) It’s this passion for the hormone that led to his Claremont campus nickname, Dr. Love.

    What Zak discovered is that oxytocin, the cuddle chemical, not only engenders generosity and trust, it also promotes social networking. Apparently, hanging out on Twitter or Facebook stimulates the release of oxytocin in our brains.

    “Your brain interpreted tweeting as if you were directly interacting with people you cared about or had empathy for,” Zak says. “E-connection is processed in the brain like an in-person connection.

    Consider what this really means. According the the article, when 200 University of Maryland students were asked to give up social networking for a day, many of them actually had withdrawal symptoms. The implications for business are huge. If companies start trading in trust, they can reap greater profits:

    The idea is that if businesses wish to thrive in our interconnected world, where consumers’ opinions spread at the speed of light, they must act as a trusted friend: create quality products, market them honestly, emphasize customer care.

    So the reasoning goes something like this. Companies that engender trust in their customers will gain customer loyalty and even customer evangelists. If you have a positive experience with a vendor then you Tweet or post to Facebook about it – it’s the entire business premise for Yelp! The actual act of sharing information online promotes trust, not only because of our sense of online connectedness, the tribal nature of social media, but because our brains are wired to release oxytocin while networking, which promotes trust and a sense of connected well-being. Ergo, companies that engage in building trust online have a leg up on the competition, not only because they build a closer relationship with their customers, but because people’s internal hormonal chemistry makes them more disposed to trust their online connections.

    Not long ago, when sitting in a marketing meeting with a client, the Vice President of Sales repeated a worn marketing axiom, “People are motivated by fear and greed.” If Dr. Love’s research is any indicator, people are also highly motivated by trust, and it’s time that companies started realizing that they will go farther by building a loyal customer following than striving to scare of con them into buying a better mousetrap.

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  • 25Dec

    YouTube Preview Image Although this clip is from 2008, it’s even more relevant today. Here is a little holiday fun and inspiration from Old Saint Nick for all those good girls and boys who have been working so hard at online marketing, branding, and public relations in 2009. Here’s hoping we all have a more prosperous 2010.

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  • 12Nov

    internetbdayI can’t believe that I forgot the Internet’s 40th birthday. Throughout most of my professional career the Internet has been a steadfast ally; a friend that has helped me stay in touch and brought me new business. I have been writing and talking about Internet technology for 25 years now. Some of my first clients sold TCP/IP stacks for Windows, VMS, and Macintosh (no, the IP protocol wasn’t always bundled with the OS). I worked with early SMTP vendors, including the guys who created the MIME standard that lets us send files by e-mail, and the first SNMP stack vendors selling raw, Internet management goodness.

    The march of alphabet soup has continued over the years, the Internet has become a bosom companion. Who knew that from the early ARPANET days, the Internet would grow from a network of loosely connected college computers to a global infrastructure supporting billions of users? One of the things that continues to amaze me about the Internet is that it is an autonomous entity. There is no central Internet authority. And while the Internet Engineering Task Force (IETF) remains the harbinger of evolving networking standards, the Internet infrastructure itself has become a self-healing mesh of data arteries that remains incredibly reliable, even though no one entity is really in charge.

    The Internet’s actually birthday is somewhat in question. One group claims that it was born in 1961 when Dr. Leonard Kleinrock presented a paper on packet-switching at MIT. Most acknowledge the Internet was born in 1969 when data was transmitted by two California universities. Wherever you set the marker, the world has never been the same since.

    And it is important to remember that the Internet is not the same as the World Wide Web. The Web has made the Internet more consumer-friendly and commercially accessible, but the Web is only 20 years old. Tim Berners Lee first proposed the concept of the Web to CERN management in March 1989. However, the Web is just another protocol that runs over the Internet, like e-mail of file transfer.

    So with the growth of the Internet and the Web, our world has changed. And as a PR professional, our world has changed dramatically as well. I have been doing PR long enough to remember stuffing envelopes with press releases that were mailed to editors for publication. Today, of course, data is distributed via e-mail, blog posts, Twitter, and any number of other Internet-driven communications. Information access has become virtually instantaneous, which makes our jobs as publicists infinitely more challenging. We have to make our clients’ stories more compelling, more relevant, and more Web-friendly in order to have an impact. We need to engage in the Internet-driven conversation, rather than pitching stories in a one-way channel, pleading with editors to write about our clients.

    The Internet has made the world much smaller, and given us instant access to an unprecedented amount of data. I believe that part of our responsibility as PR professionals is to use the power of this incredible technology for good, and to promote best practices, authenticity, and adopt new methodologies that promote truth and authenticity. And the 40th birthday of the Internet seems to be an appropriate moment to pause and consider what role we can play in shaping the future of the information revolution.

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