Toro Pioneers Influencer Relations to Grow Commercial Business

“We like to joke that we make tall grass short,” says Michael Happe, vice president and general manager of the Commercial Division at Toro Co.

In fact, caring for turf is a lot more complicated than that – and critically important – when you’re a golf course or a stadium. These commercial customers seem to recognize that and reward Toro with about a 10 percent premium for many of Toro’s products because they appreciate the ways Toro can help make their turf just a little bit better and deliver better TCO. Happe told members of the Business Marketing Association here in Minneapolis this week that such customer loyalty has ultimately been created through strong multidimensional relationships built over many decades.

Clearly, “social networking” predates Twitter and Facebook.

Toro equipment at St. Andrews - courtesy Toro Co.

Toro equipment at St. Andrews - courtesy Toro Co.

Happe considers People to be the “mysterious fifth P” of marketing but it’s clear that it’s not just a trite saying. I was actually rather fascinated to learn the degree to which Toro leverages influencer networks to grow their business. My firm, Weber Shandwick, has partnered with Community Analytics to help clients quickly identify influencers that matter, but Toro has nurtured its own

network over a long period of time, and it’s delivered business results.

Golf is Toro’s biggest business and they’ve been serving it since courses motorized horse-pulled reel motors in the 1920’s. Through the decades, the company has invested a tremendous amount of effort creating advocates from individuals that have never bought their products.

These influencers are people like golf course architects, irrigation designers, consultants, universities and associations. Toro has a corporate accounts person who spends nearly all of his time just on these influencers. They are an integral part of the Voice of the Customer process, with their own Toro-sponsored events, meetings and networking opportunities. As a result, when customers call trusted advisors for advice, inevitably these people tell them they can trust Toro.

Influencer relations for Toro is also about unleashing Toro experts to do more than selling. Some of the most important business development employees at Toro don’t sell equipment. Like Dr. Jim Watson, who became a go-to guy for Toro for nearly six decades whenever customers had turf problems. He helped the Chicago Parks Department solve an emergency turf issue at Soldier Field in the early ‘90s when they needed to lay new sod over sand without roots, two weeks before the first Chicago Bears game of the year. He advised the Chicago Parks Department that they could get through the season by cutting the sod several inches thick so it would stay in place during football play despite the lack of roots.

Or John Singleton, a Toro employee who for decades became the go-to-guy for irrigation issues for golf architects like Robert Trent Jones, and put this comprehensive service ahead of selling. They were successful because of their relationships.

Channel partners, ad agencies, market researchers – the way Toro engages with all these groups reflects the high value they put on deep, interdependent relationships.

Today, Toro has a leading share in the golf industry. The recession has been difficult and they’ve had to cut back on some of these efforts to make it through, but Toro’s CEO has been with the company for 32 years, knows what sustainable success requires, and has instilled it in the culture of the company. It’s a good reminder of the limits of quarter-to-quarter business management.

Leverage Partnerships in B2B Social Media Too

It seems that partnerships in social media are an overlooked asset. We often rely in traditional strategies and tactics to partner with our customers for case studies, analysts for white papers and media for events. So why not take this approach to social media? This is in fact what we did at CME Group.

I blogged here two weeks ago about the value of using StockTwits for investor relations. Last week we officially announced via video from out trading floor in Chicago that we are going to work closely with StockTwits to partner in our social media efforts to reach traders. With approximately 100,000 users on its network discussing stocks, futures and forex, this partnership is a great social media match for us.

 

Initially we are focusing on some basic, traditional sponsorship activities, such as adding a CME Group logo to your Twitter avatar and placing banners within specific product streams. The real value of our partnership though is to connect the exchange with traders in order to further enhance relationships with our customers. In the coming weeks we are planning to work more closely with StockTwits on an event in Chicago with the goal that in person events will be replicated in other cities. Ultimately, our partnership allows us to build credibility with our customers since we are endorsed by a brand they trust — StockTwits. In addition, StockTwits, which is nine months old, can build its credibility through the endorsement by the exchange, a 150-year-old and trusted organization. I hope to report back on the success of our relationship in 2010.

So what about you? What partnerships — big or small –  have you launched? What other B2B partnerships in social media have you noticed?

Case Study: CME Group

Our own B2B Voices co-founder, Allan Schoenberg, is a tried and true case study that deserves mention, and B2B financial services marketers can learn a lot from him. One of the leaders in the social media movement within the financial services sector, Allan heads up corporate communications for the CME Group.  He has done several interviews regarding his social media strategy in this challenging industry. I’ve listed and credited the locations of these interviews below.

Exchanges, Banks and Brokerages Start Tweeting via Wall Street and Tech

How CME Group connects with the financial industry through Twitter via Blog Council

PR Rock Stars: A Conversation with Allan Schoenberg via Communications Conversations

You can follow Allan on Twitter at @allanschoenberg.

B2B Case Study: ShipServ

The social media program that this case study is based upon was a joint effort between ShipServ and Velocity Partners, a London-based B2B Marketing agency specializing in technology markets.

So what works for a B2B company? Let’s start by taking a look at a campaign that’s been pretty successful so far. This campaign was driven by John Watton, the VP of Marketing for ShipServ, an internet trading platform for the shipping industry. ShipServ has a global audience and a dispersed community of purchasers who are, believe it or not, quite eager to network.

Goals of the campaign:

  • Raise the awareness of the ShipServ brand amongst our target audience
  • Increase traffic to shipserv.com by 50% in three months
  • Engage with the audience and start to build community

Challenges faced:

  • Limited budget
  • Conservative target audience, late to adopting the internet and Web2.0 technologies

ShipServ’s Strategy:

  • Build an online community of advocates
  • Move communications from broadcast to discussion, engaging the audience in ongoing,open dialogue
  • Nurture prospects through drip feed of relevant content
  • Establish key themes on a quarterly basis, and develop rolling thunder of editorial content

Tactics Used:

  • Launch of the ShipServ Maritime Trading Network Group on LinkedIn in December 2008
  • Joined five other maritime groups on LinkedIn
  • Launch of the ShipServ blog as a container for opinion pieces
  • Opened up a twitter account, taking direct feeds from the website
  • Undertook keyword planning, optimized the website and developed landing pages for SEO
  • Revamped company newsletter to be more point-of-view oriented
  • Distributed humorous viral video

  • Underpinned site with lead nurturing system (marketo) to track visitor behaviour and nurture leads
  • Developed six themes, each of which manifested itself in:
    • A discussion posting on the LinkedIn groups
    • A social media release, distributed via PitchEngine
    • A blog posting

Results:

Building the community

  • Built a community of nearly 400 on LinkedIn
  • Attracted nearly 300 visitors to blog postings
  • Attracted over 50 relevant followers on Twitter
  • Over 600 views of the viral video, 62% of which came via email distribution and 18% via shipserv.com/linkedin distribution

Web site stats:

  • Visitors went up by 59% (increase in quantity)
  • Page views went up by 70% (increase in quality)
  • Average time on site went up by 25% (increase in quality)
  • Linkedin and Twitter went from zero to being in top 20 traffic sources
  • Number of leads passed to sales increased by 400%

This is a great example of using social media as a low cost way to build brand awareness and encourage engagement in a B2B space. Ship Serv, and John Watton, are instituting pioneering strategies with social media in a what is usually considered a pretty conservative industry.

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