Blue Cross Blue Shield of Massachusetts -- can robocalls be human?

by Josh Bernoff

It's amazing how the world looks different once you think that people should be treated as humans.

I said I would call out examples of companies behaving in a way that is not as human as it should be. But companies are made of humans, too, and have objectives. So I will present the company's point of view as well, so we can discuss what ought to happen.

The call

On Monday I got a call from a machine. The recorded voice said this, basically:

Blue Cross Blue Shield of Massachusetts needs some information from you about your health insurance. This call is for Joshua Bernoff. If you are this person or the spouse of this person, please press 1.

OK, I'm thinking a few things now.

• Why is my health insurance company calling me? Are my benefits in danger? Do I owe somebody money? Is someone hurt?
• I don't like getting calls from a machine, especially one that demands I answer questions.
• How can I be sure this is really my insurer and not a scam of some kind?

So, of course, I pushed 1 and got connected to a woman who asked what other insurance I have. When I asked why, she provided the unhelpful answer "Coordination of benefits." That sounds like something that helps them, not me. Eventually she admitted this was voluntary, and I hung up. I am resistant to giving out information about my health to people who call me. Aren't you?

The company's side

I talked with, Tara Murray, a spokesperson for BCBS of Mass. She told me that Blue Cross needs to know about who has Medicare and situations (as when both parents of a child work) where a person can be covered by more than one type of insurance. Why? First, if they bill when Medicare should be paying, this is a violation and they get penalized by the government. And duplicate payments to health care providers drive costs higher.

According to BCBS of Mass., they start by sending letters, which generates 50% responses. These automated calls have added another 20% responses, and cost less (of course) than actual people calling. "Not everybody loves the calls," explains Tara, "but they seems to be helpful in getting the increased response rate, and helpful in the goal of keeping costs down, for members and for ourselves."

Also, after reviewing a draft of this post, Tara responded with this: "[A]fter we talked about your recommendations, the business owner was provided your feedback and he noted that he is going to look into how to improve communicating the goal and the benefit to the member." At least they are open to improving.

Are they treating me like a human?

No. Robocalls from your health insurer don't qualify as treating me like a human. Neither does asking for information without providing a good reason.

While I recognize what BCBS of Mass. needs here, that's only because I took the time to call their spokespeople. Most people won't understand what's going on here. The insurer runs the risk of a backlash including blog posts like the one you are now reading.

I feel that companies must use robocalls very carefully. When my pharmacy generates an automated call to tell me that my prescription is ready, that's good. When my dentist's office calls to remind me of that I'm due for a cleaning, I guess that's ok, since I know him. But a health insurance company trying to coordinate benefits? Doesn't pass the test.

My second suggestion is that the company be explicit about why it is collecting information. "We need to know if you have medicare or are covered by another policy, to avoid duplicate payments and keep our rates low," might be better than "Give us your information for coordination of benefits."

Finally, what prevents them from communicating by email instead of interrupting what I'm doing? "I'm calling from Blue Cross Blue Shield" commands immediate attention, since a call from your insurance company sounds medically urgent. Instead, they are collecting information for their own benefit. An email is far less interruptive and more appropriate for this sort of thing. Is there some regulation against insurers collecting their subscribers' emails, or against employers providing them?

The medical world is inhuman enough already, and so is the insurance world. Blue Cross, please stop the robocalls and treat me like a human.

Blog readers, what's your opinion?

Rentvillas.com shows how to be a human

by Josh Bernoff

Last week I lamented that so many marketers have forgotten how to be a human. Now I'd like to introduce you to one who hasn't.

Rentvillas.com rents houses and apartments to Euroepan travelers, about 2,000 rentals every year. I interviewed Suzanne, the founder. Kevin, her son is the CEO and Web wizard.

I am a Rentvillas customer. Traveling to another country where everything is different -- the power outlets, the language, the time they eat lunch -- is scary and intimidating, especially if you vacation with your children. In this frame of mind, I found Rentvillas four years ago, when planning a trip to France. I used them again for my trip to Italy this September. And I have to say, this is a company that acts like a human, and treats me like a human, in ways that surprised and pleased me.

Can this be done electronically? Definitely. I've already written about their incredible marketing email. Here's an excerpt:

As I wander through the picturesque main street of tiny Castellina-in-Chianti, I find myself a bit dismayed. It's 2 PM, and I'm famished. In America this wouldn't be a problem, but here in Italy I'm faced with empty streets and closed doors. That's right: lunch is over, and everyone is fast asleep.

Where was I at noon? I was photographing Podere Cristina, the most family-friendly accommodation I've ever seen. Younger guests are welcome to play with the outdoor toys and splash in the pool, while adults will appreciate the window screens (rare in Italy) and terrace views. Everyone who visits raves, which is why I was assigned to bring back some better shots. Check out Earth, Air, Fire, and Water-- believe it or not, there's still some availability for this year.

Visit the Web site, enter your requirements, and sort through sites with photos that are hard to resist. There are plenty of quirks in these little cottages, and the extensive customer-generated reviews help you figure out just what inconveniences you can live with (more on the reviews later).

After you sign up, you're assigned a travel advisor (one of 13 employees at Rentvillas) who will answer anything. I asked mine where the local Internet cafes where, and got back a listing and a couple of links. A nice packet arrives in the mail with a booklet of practical advice on stuff like mobile phones and when things are closed, along with an actual Michelin map of the area you'll be inhabiting.

The reviews make the site work, so Suzanne and her team work hard at them. A week or so after you get back (enough time to get over the jet lag) you get the email asking you to submit a review. If you ignore it, they'll gently remind you again, and remind you that you could win a free rental. If you ignore that, you'll get a phone call from Suzanne. This is persistent, but not in an annoying way, since they're not selling you anything. Suzanne proudly informs me they get more than 80% of customers to complete a review survey (and 99% say they will use the company again).

But Rentvillas doesn't stop with reviews on its site. Once you fill out that review, you'll get a personal email from Suzanne. Here's the one she sent me:

Dear Joshua,

I have just read your reviews of Ca’ Muraro and Il Canale Grande.  I am delighted that you had such positive experiences, and that you took the time to share your comments.  With regard to Ca’ Muraro, I will let the owner know about the refrigerator needing to be replaced – but that you loved the location and the wonderful garden.  It sounds as though your Venice apartment needs some updating – and was a little far from the major sites.  I’m glad that you found it quiet and a good place to “crash”, however!

Now that you've given us your reviews, might you be willing to take a few moments to share your experience with other travelers beyond Rentvillas.com?  The Rick Steves web site is a good resource for travelers, and we'd love to see your review on their site.  Just click on the following link (check the Posting Guidelines listed to the right) and enter your comments in the box.  Here's the link:

http://www.ricksteves.com/graffiti/graffiti23.html

Whether you decide to contribute a review to the Rick Steves web site or not, I want to thank you most sincerely for the review that you submitted to our site.

Reading property reviews like yours is the best part of my job.  Thank you!  You are now registered in our end-of-year drawing for a free vacation rental for 2009!

This knocked my socks off. Suzanne sends at least 5 of these notes a day, all with personal touches like mine. The result is a series of positive reviews on sites like Ricksteves and Slowtravel.comSlowtrav.com. Yes, that takes work. Yes, it's inefficient. Yes, it's effective.

Those who read the Groundswell blog regularly know I concentrate on results. So I persuaded Suzanne and Kevin to share some results with me:

• 20% of Rentvillas customers rent again with three years (this is a big-ticket item, after all)
• 40-50% of customers come from referrals. I bet their net promoter score would be sky-high!
• Their email click-through rate is 3 to 4%.

I'll close with some final words from Suzanne. Remember, this woman writes 1700 personal emails a year, just to generate reviews. Here's what she says:

I still am having a good time. I love that I’ve made all these great friendships with people. We have such good relationships, it just makes such a difference.

Is that how you feel about your job? Why not? Being a human isn't just good business, it's a lot more enjoyable, too.

Viral marketing successes

by Josh Bernoff

As usual, Seth Godin has crystallized an idea more briefly and powerfully than the rest of us. Read what he says about viral marketing, and take it to heart. From his blog post:

Something being viral is not, in an of itself, viral marketing. Who cares that 32,000,000 people saw your stupid video? It didn't market you or your business in a tangible, useful way.

Marketers are obsessed with free media, and, as is often the case, we blow it in our rush to get our share. We create content that is hampered or selfish or boring. Or we create something completely viral that doesn't do any marketing at all.

I've pointed out that viral "campaigns" that work have to balance the desire for people to spread them with the value to the brand. Here's one that's likely to work -- but you do have to work a little to get to the brand (did you figure out who did it?). Good, but not that perfect balance. Still, 400,000 views later, a fine viral campaign. Here's what I said before about video, which is a fine watchword for anything viral.

When it comes to viral video, you need to make sure 1) you create something people will spread and 2) that the video carries a payload -- a message about your product. Fail on point 1 and your video won't spread. Fail on point 2 and you'll be a hit -- but it won't help your company. It's a very difficult balance. Blendtec hits it brilliantly, as does Greg the Architect. Very few others have.

From the Forrester Groundswell awards, here are a few others that worked well:

• Xanadu's viral campaign to get the Tony Award. They didn't get the Tony, but they won the New York Times theater poll.
• The Travel Channel's "Kidnap" application for Facebook. 1.7 million people "kindnapped" by their friends, have to go to the Travel Channel site to get free.
• Reebok's Run Easy. Share photos and Google maps of where you run.
• Swarovski Enlighted watch design contest. 2,000 designs later, Swarovski has new ways to sell its gemstones with sparkling new designs.

None of these embody Seth's principle that the best apps have viral built right into them. But we can't all create Facebook. Hit the right balance between spreadable fun for the visitors and value for your brand and you can still succeed. It's not easy, but it's worth it.

How to be a human

by Josh Bernoff

Yesterday I talked to the reservations manager at a hotel in Freeport, Maine. I had made a non-refundable reservation using Expedia, they already had my money. Then I found out I won't need the reservation. I was screwed. But I still called the hotel and asked, nicely, if there was anything they could do. I restrained myself and didn't lie about funerals, nor did I rail against the system, because I knew I was stuck. I just asked.

The reservations manager explained, nicely, how these reservations work (which I already knew). But I will be going back to Freeport, I have family there. So when she suggested a free night's stay in the future, I was happy. It's not a refund, but I knew I didn't deserve that. And you know, she treated me like a human being, and I did the same to her, and I left a little lighter in the wallet, but happy. And I will be going back to her hotel, and not just for the free night.

The problem with this interaction is that it's all too unusual these days.

I work with a lot of clients. I travel a lot. I collaborate a lot with my coworkers, some more junior than me, some high up in management. I talk to reporters and bloggers and my publisher.

And I get a lot of email. An awful lot. After 13 years as an analyst, a lot of people know my email address, and I’m on many, many marketing mailing lists. I am a target for PR people.

In all these interactions I have observed something. When people treat me like a human and not a “marketing target,” I like that. Not only that, when I make a human connection with somebody, whether it’s the client building a social application strategy or the person checking me in for my flight, it goes better.

When things go wrong, I can nearly always trace it back to somebody not behaving like a human, and not treating me like a human.

I will no longer put up with this. And you, my readers, are going to help me.

Those of you who have read The Cluetrain Manifesto (most people reading this blog, I would guess) will find this theme familiar. I find it a little strange to be reaching this conclusion ten years after they did. Cluetrain may well be right that this is the future of business, but it sure ain’t here yet. Not even close.

It will never be here, because treating people as a mass is more efficient than treating them as humans. Being part of an organization is harder than behaving like a human. And while that isn’t likely to change any time soon, I think some of the most valuable things that a company can do come from being human and talking to people as humans. And some of the most awful things that companies do come from being inhuman to customers.

Now that the humans have blogs, YouTube, Twitter, and discussion forums, the balance may shift a bit.

It’s time to do some lessons in being human.

Consider yourself on notice. To every PR person, every service person, everyone I interact with: I may call out your humanity right here. I will also call out your inhumanity here. I will make every effort to contact you first, to get your point of view, but I will out you.

My life is now an open book. Laugh, suffer, and smile along with me. Argue with me if you want. But treat me like a human. Please.

Look for future posts tagged "How to be a human." Or write your own.

People don’t trust company blogs. What you should do about it.

by Josh Bernoff

Consumers trust company blogs less than any other channel.

This result comes from a survey we did in Q2 of 2008. Have a look at the data yourself. Not only do blogs rank below newspapers and portals, they rank below wikis, direct mail, company email, and message board posts. Only 16% of online consumers who read corporate blogs say they trust them. If you’re a corporate blogger or somebody who advises companies, you need to take this into account.

For our clients, the full report is here. If you're a marketer who would be interested in this report, you can download it after you register here.

Now I suspect this report is going to generate a lot of discussion in the blogosphere, and it’s easy to misinterpret. So please, humor me and read the rest of this post before you write your own take on this. If you’re interested in the way we collect data, that’s at the end.

We examined these results further. Among people who regularly read blogs (at least once a month), 24% trust company blogs. Among people who blog themselves, 39% trust them. These are low numbers any way you slice it.

In fact, those who trust company blogs are the most trusting of all consumers. Not only do they trust blogs more than average consumers, they trust everything more. Your blog isn’t winning over many skeptics, folks.

In retrospect this result is not that surprising. People don’t trust companies in general. Why should they trust a company blog any more than a press release or an advertisement?

So, what should you do about this?

Make no mistake. This is not a plea to give up on blogging.

It is a plea to be thoughtful in how and why you blog.

This means that if you blog, your goal should be to create a blog about which people say “I like that – I don’t think of it as a company blog.” For the most part, that’s a hurdle you need to jump to gain their trust. I don’t mean to hide who is writing the blog. I mean it has to be more about your customers than it is about you.

Blogs exclusively about companies and products are what I think generate these low trust ratings. So don’t do a blog like that.

Instead, adjust your strategy based on your objectives. (Sound familiar?)

If you want to be a thought leader and helper for your customers, and you blog frequently about those customers’ problems and solutions, then you can generate trust. This takes time and effort, but it will enhance your company’s reputation and it’s worth it. Want an example. Check out Rubbermaid’s blog.

If you have created a community for your customers, your company needs a voice in that community. A blog is a natural way to meet this need.

If you have hordes of fans, blog for them. This is great if you are Harley Davidson or Apple (which, ironically, have has no company blogs). For the other 99% of brands it doesn’t apply.

You can also blog, or Twitter, just to be on the record about your company. This is fine; Motrin could have benefited from this strategy. But if you do this, just recognize that you’ll be playing defense, and that people in general will not trust you.

So, right at the moment when companies are getting ready to join the groundswell, I’m telling them to stop and think. Always a good idea before taking a step into the melee, wouldn’t you agree?

A note about how we collect data. The data comes from an online survey we conducted in Q2 of this year. Our online panel is as representative as we can make if of the US online adult population (18 and older). Companies use our data all the time, and I believe it’s the best available survey of its kind; we’ve been conducting surveying consumers since 1997. In this case, we surveyed over 5000 people. We asked them to rate how much they trust information sources on a five-point scale, from 1 (don’t trust at all) to 5 (trust completely). Respondents could also answer that they didn’t use a particular information source. In this case about 80% of those we polled said they did use corporate blogs. Of those who used them, only 16% rated them 4 or 5 on the five-point trust scale.

Webinar on Recession & Metrics

by Josh Bernoff

Awareness Networks, a supplier of white-label communities, has hired me to give a Webinar on our research on social media in a recession and how to measure social media.

I'm happy to be highlighting some of our new research. (If you think this means I've given the Groundswell speech too many times, well, I suppose you may have a point there.)

As a bonus I'll be showcasing some of the winners of the Forrester Groundswell Awards.

Register here. It's free.

Are you good enough to be our next social media analyst?

by Josh Bernoff

Amid all the news of economic disaster, we are still looking to hire a talented social media analyst. Why? Because even amid the downturn -- perhaps even more since the downturn -- our corporate clients want and need our help. I have been all over this country, Canada, and Europe, and found clients hungry to learn more about how to use social technologies. Groundswell is the name they recognize.

We have a great team here, including Jeremiah Owyang in California; our European analysts including Mary-Beth Kemp, Jaap Favier, and Rebecca Jennings; and our new Jupiter colleagues including Emily Riley and Nate Elliott. And we have hired one analyst, a former advertising staffer, who will start soon. But we still need more help in the US.

We are very selective, which is why we are still looking. We have gotten plenty of good resumes, but we are looking for someone special. You have to be very good to work here. But if you want to make an impact on what real companies do, and get people talking about your market-leading thinking, this is the place to do it.

Here's how to tell if you should apply for this job:

• You are obsessed with the idea of figuring out what's next in the social application world. You are a very curious person. Your favorite word is "Why."
• The idea of helping interactive marketers figure this stuff out excites you. You want to find real-world applications with proof that they work, not just participate in academic discussions.
• You have already developed and delivered some good ideas on the topic of social media. You're probably working for an agency, a tech vendor, or within a company using these techniques, or else you're a successful consultant on social media.
• You'd like the freedom to analyze things independently of what's good for any individual company in the space.
• You are highly skeptical of claims made by companies in this space. You take very little on face value.
• You are probably blogging and/or twittering about your thoughts in this space already. When I read your best blog posts I will say "Hmmm, that's a new idea."
• You like numbers and data, because they help to reveal the truth.
• You are equally good -- and happy -- speaking in front of groups of a couple of hundred, or fifteen, or just sitting down for a discussion with one or two people.
• You like writing. Your writing is clear and definitive.
• After you read Groundswell, you said "That's interesting and helfpul, but there's a lot more to say on this topic that they haven't covered." (Having read Groundswell is not a requirement for this job, of course.)
• You are willing to get on airplanes several times a month if there is a client who needs your help on the other end.
• You live in Boston or the San Francisco Bay Area. Or if you don't, you're ready to move there.

Come on, people. I know you are out there. I am hoping that now is the time you are thinking "I need a new job." We'd like to hear from you.

Click here to see the job description and here to apply. Please mention that you saw this blog post.

A holiday gift that makes your clients smarter

by Josh Bernoff

If you were thinking that your clients, customers, or staff deserve a nice gift this holiday to remind them how valuable you are, may I not-so-humbly suggest a signed copy of Groundswell? Feel free to skip the rest of this post if you find this too self-promotional; otherwise, read on . . .

At around $20 a copy Groundswell may well be the cheapest way to help people understand the power of these new technologies. I can't give you a discount on the books (the publisher won't let me) but I can add the power of my personalized message to your clients or employees. Here's how it works:

1. This program is available to US addresses only.
2. Send an email to Angie Polanco at apolanco (at) forrester.com. Angie is a research associate on my team and will be coordinating this program. Copy me at jbernoff at the same domain.
3. Tell Angie how many copies you will be sending; minimum 10 copies. While you are responsible for getting the copies to us, we will ship them back to you free of charge for the first 100 copies of Groundswell about which we receive emails. Angie also needs your contact information including street address, phone number, and email.
4. Angie will tell you if your order is in the first 100 copies. If it is, we will send them back to you for free (ground shipping). If it is not, we'll still sign the copies but you need to pay the shipping costs back. Be prepared to share your FedEx account number with us for this purpose. If you want the books back more quickly you can pay for faster shipping.
5. Also tell us a short (140 characters?) message you'd like me to write above my signature. We'll reject anything too long or salesy; this is not an endorsement, and remember it's direct from me. Might I suggest something like "A few powerful marketing ideas can go a long way," for example.
6. Go to Amazon, Barnes & Noble, 800 CEO READ, or your favorite online book retailer and send the books to this address: Angie Polanco, Forrester Research, 400 Technology Square, Cambridge, MA 02139. Telephone contact number 617 613 6000. Books must arrive by 15 December for this promotion.
7. When the books arrive, I will add your message and sign them. Angie will return them with your selected shipping method within two business days.

Groundswell has already reached tens of thousands, but I'm hoping this promotion will allow us to reach an even broader mass of businesspeople with the groundswell message. I'm looking forward to hearing from you.