The web is a vital tool for any modern business. Customers today search online for everything from their local plumber to a global brand. New technology and faster connection speeds have meant that more customers and businesses are connected than ever before. But how customers are using the internet is changing. This provides both new opportunities and risks for your business.
Online content has become richer, more collaborative and social. Increasingly, customers expect to engage with a brand online in a variety of ways. The term 'Web 2.0' is commonly used to describe this 'second generation' of the internet. Whereas the 'old' internet was about static content and online information, the 'new' internet is about dynamic, user-generated content or 'social media'. This change is altering the way that businesses now build customer relationships online.
This guide will give you a better understanding of how the web is changing and advice on how to build your web presence using the technology and tools available. It will also provide advice on how to target customers more effectively to ensure your message is getting across.
How the web is changing
Although widely used, there is much disagreement over what the term 'Web 2.0' actually means. Put simply, the internet of the 1990s was about static, information-based content and a clear separation between content provider and end user. The 'new' internet or 'Web 2.0' is all about richer content based on collaboration and information sharing, encouraging end users to be more interactive with the content they access and more proactive about producing their own web content.
Web 2.0 could mean new opportunities for your business. Users can easily access the web at home, in the office or on their phone. Faster connections, new devices and new online applications have all helped to change the way people work, socialise and shop. It is now easier than ever for you to directly target customers with viral marketing campaigns, offer new online services or build brand awareness through the use of blogs, forums or social networking sites. Web 2.0 is far more about creating a community around your brand and conversing online with your customers - a 'web culture' that means greater interaction between you and your customer.
See our guide on how to identify and sell more to your most valuable customers.
A new web culture
Because of this 'new web culture', customers are increasingly looking to engage with a company or brand online in multiple ways. They expect richer content - and a greater variety - including audio and video podcasts, blogs, online forums and social networking. Increasingly, customers want to build a relationship with the brand. This requires a two-way dialogue between the customer and the business. Although this new web culture provides a richer customer experience, it also raises issues of how businesses use and manage these new technologies - see the page in this guide on legal implications and best practice when using social media.
Web 2.0 and social media should be incorporated into your public relations (PR) strategy. PR means getting people to talk and think about your business in a positive way. Social media provides an accessible platform for your customers to talk with each other. How you manage that platform and engage with what your customers are saying, is an important part of your PR strategy. For more information, see our guide on PR: the basics.
The new web culture has also raised customer expectations. Customers expect immediacy in their online interactions, where content is regularly updated and where any comments that they make are quickly replied to. There are more choices than ever before for customers online, so websites need to balance accessibility with richer and more engaging customer experiences using the variety of tools that are available.
What is Web 2.0?
Web 2.0 does not refer to a particular technology but to a general trend. There is no checklist to decide what Web 2.0 is and whether you can apply it to your business, but there are several features that tend to distinguish it.
It may be helpful to consider integrating some of the following into your website or business:
- User generated content - this is the ability for your customers to interact with your business online by being able to leave comments, rate products or add information, eg user reviews. This adds real value for other customers and provides you with customer insight. Business blogs are another example of how you can communicate directly with your customers, canvass opinion, and advertise new products or services - see the page in this guide on Web 2.0 tools.
- Collaboration - nearly all Web 2.0 applications centre around some community aspect where users can share experiences and knowledge. Increasingly the web is being used for 'open innovation' or e-collaboration, where organisations are opening up areas of their business to the online community. In doing so, business is using the online resources and expertise available to solve problems or create innovative products or services. Find out about e-collaboration on the open innovation website - Opens in a new window.
- Online networking and social media - the ability for people to find others with similar interests and express themselves to a community of like-minded people, eg social sites such as Facebook, MySpace and Twitter. Business networking sites such as LinkedIn can also be used to develop professional networks, to enhance career or recruitment options or simply to keep in touch with former colleagues and contacts. See our guide on online networking.
- Personalisation - the facility to customise the way you view or interact with websites, for example, the ability to set your local area so you get so you receive information based on your location such as the news or weather. 'Web apps' or web applications are also growing in popularity, providing users with applications that they can add to websites or mobile devices such as a smart phone, providing personalised web experiences.
Common to all of these is the ability for users to add and edit content, to contribute online using different types of technology from anywhere in the world, and to be able to express and publish their own views to a community of users using different types of interactive media.
Web 2.0 tools
The fast rate of new developments online has become part of what customers expect from the internet. If your business website is static and not keeping up, customers may look elsewhere. However, making a successful site does not require huge investment. You need to think about what your customers want.
- Would Web 2.0 tools add value to the user experience and enhance your online brand?
- What is the cost, technical, legal and business implications of adding these tools to your website?
Listed below are just some of the technologies you can use and how they can help your business. In some cases you can find free or inexpensive ways to add these to your site, which can change the way your customers view your brand.
Blogs
These are websites where individuals and businesses can post opinions or news about themselves. Many businesses now use these to connect more informally with their customers and let them know about changes in the business or provide information on new products or services. Blogs are also a good way of gathering informal feedback from your customers, adding to your market awareness.
Businesses can use their blog to create links back to their website. Since blogs are updated regularly creating new content, these back links are well received by search engines and will help improve your page ranking. Also think about contributing to other, well-respected, high traffic blogs - providing links back to your site where appropriate. Either approach could help your website appear more prominently in search results, encouraging visitors to your site. See our guide on search engine optimisation.
When allowing users to contribute to your blog there are also legal and best practice issues to consider - see the page in this guide on legal implications and best practice when using social media. Find blogging news, updates and figures on the Technorati website - Opens in a new window.
RSS feeds
RSS (Really Simple Syndication) feeds are an automated way of sending updates to your customers. By subscribing to an RSS feed, customers can identify the content that is most relevant to them so that they can stay up to date, without needing to visit your site. When adding RSS feeds remember that if you have content that changes regularly, eg blogs, customers are more likely to return to your site. Customers can also feature syndicated feeds on their own website, helping to generate even more traffic and potential customers.
Photo and video sharing
Personal photos and videos can be a great way to engage customers as demonstrated by the popularity of websites like Flickr and YouTube. Instead of putting up generic imagery, encourage your customers to tell their own story by posting to your site. But remember, there are issues to consider when allowing users to post content to your website. See the page in this guide on the legal implications and best practice when using social media.
Think about ways in which you can incorporate video content on your website. If your website includes case studies on satisfied customers, perhaps this would be more engaging if it was presented as a video clip rather than text. Read about how you can use YouTube as part of your e-marketing strategy on the National B2B Centre website - Opens in a new window.
How Web 2.0 can be used for business
Customers have never had so many choices to buy online. Unless you directly engage with your target audience, they are likely to find what they want elsewhere. Generating an online buzz around your products and your brand is vital to make sure customers keep coming back. The good news is that there are many tools available that can help you.
Think about what your customers are looking for when they visit your website. Could they benefit from additional information or advice from previous customers? What can you offer beyond simply selling products or providing information? Think about how you can use Web 2.0 tools to enhance your relationship with your customers and build a community around your brand.
Customer content can improve the value of your site. A good example might be a business selling pet accessories that boosts its profits by letting customers post pictures of their pets. This not only encourages people to return after making a purchase, but also attracts new customers. The more visitors you have to your site the more likely you are to sell. So, even if you can't see an immediate benefit, improving your customers' web experience will help your business in the long term.
Extend your customer base - 'Local hero, global brand'
Is your business or industry relevant only to the local area you operate in? Perhaps you already have a good local reputation and don't see the need to build a website. However, there are always potential new customers in your marketplace and a good website can be an effective way to minimise your advertising spend and extend your reach.
User-generated content can put your business on display for a worldwide audience. For example, if you run a local bakery, you may not deliver worldwide but if you add your unique recipes and let people from New York to New Delhi post comments on them via your website, it will instantly make people see you in a different light. With a website that acts as a permanent online advert, you may not need to use other marketing methods to attract customers.
A significant advantage is that many Web 2.0 tools can be added to your site at little or no cost. However, you need to allocate time and resources to monitor user content, to reply to customers and to add new content to your website to keep it up to date.
Legal implications and best practice when using social media
Before you launch any new features to your website, make sure you have thought about the legal aspects. For example, while many social media tools are useful, they often require users to post personal details. Managing these details can be straightforward, but you must make clear to your users what you are and are not responsible for.
Make sure you have the following on your site:
- privacy policy - lets users know how their personal details will be used
- disclaimer - lays out the limits of your legal liability
- terms and conditions - lets users know what they can expect from the site
Depending on the type of user-generated content you are allowing, it would be wise to have robust text and image filtering or approval processes to reduce the risk of inappropriate or offensive material being put onto your site.
See our guide on e-commerce and the law.
Protect your brand
It is important for your business to consider the monitoring of user comments. Depending on your business, you may find that some users post inappropriate comments. This could include:
- Profane language - if your customers are likely to be sensitive to certain language make sure that you use a method by which all new posts are monitored.
- Libellous material - you may be held responsible for any user comments on your site that insult or libel someone. Make sure you monitor what users are saying.
- Damaging comments - while customer opinion can be useful, you don't want to have too many negative comments about your business. If you find this is the case, look into the reasons behind the comments and try to rectify them.
While you should try to protect your brand and your site from potential threats, this should be balanced with maintaining brand honesty. It is important that site users feel that there is an open and honest, two-way exchange of ideas and opinions. This will build trust between you and your customers and encourage loyalty. If you do receive negative comments, respond in a professional and positive way and address the issues that have been raised. It is also important to monitor the social buzz or chatter around your brand to see how your business is being talked about on other websites, so that you can respond accordingly.
You should position your marketing strategy on the social web very carefully. Any campaigns should be designed with the social web in mind. Avoid simply placing the same messages you use in other marketing channels into a social web context. Instead, tailor your campaign so that it will sit comfortably with both the site and its users.
The future of the web and how it may affect your business
How will the internet change in the future and how will these changes affect business? While definitions of the third generation of the internet or 'Web 3.0' prove just as contentious as the earlier versions, below we outline three technologies that may help point the way to how the internet will evolve in the future.
The mobile web
The concept of mobile web access has existed for some time but has gained momentum recently through increased interest in mobile devices, eg smart phones and netbooks. Mobile content has also developed, providing more targeted and location dependent information. This gives businesses greater opportunities to connect with their customers - anytime and anywhere.
Mobile marketing techniques include sending text and multimedia messages, or targeted advertising via 3G internet. News and information providers are using mobile technology to push extra subscription services and more personalised content. Some businesses are using the mobile web for special offers and promotions sending vouchers and discount codes to mobile devices via Bluetooth. 'Web apps' or web applications are being created with richer content including video, games and animations - providing businesses with greater mobile marketing opportunities.
Find out about mobile marketing on the Mobile Marketing Association website - Opens in a new window.
Cloud computing
Cloud computing provides business with a way of managing data, hardware and software requirements using resources on the internet. Documents, emails, customer information, business applications and other assets are all stored online - 'in the cloud'. This makes them accessible from any computer or mobile device with an internet connection and a web browser.
Business benefits include reduced IT costs, greater flexibility in your IT planning, access to the latest technology, more flexible working practices and professionally managed 'back up' for all your resources over the internet. However, there are risks involved including data protection issues, business continuity concerns and issues around service 'lock-in' by providers.
A very simple example of cloud computing are email providers like Yahoo, Hotmail or Google. Instead of running an email client locally on your computer, you access your emails from any computer, anywhere in the world, by logging on to your account over the internet. For more information see our guide on cloud computing.
Virtual worlds
The idea of virtual reality online has been around for a long time, but has seen limited success to date. However, virtual worlds look set to increase overall, building on social and collaborative opportunities. Expect to see social networking sites allowing even greater customisation, with increased opportunities to connect with your customers in a virtual world. While this is far removed from the virtual reality seen in films, it can still provide opportunities for your business to build relationships with customers using shared three-dimensional spaces.
Here's how Web 2.0 technology benefited my business (Flash video)
Lucy and Kurt Jewson
Frugi - Opens in a new window
Lucy and Kurt's top tips:
- "Create a website that expresses 'who you are as a business', using Web 2.0 technology to open up a two-way dialogue with your customers."
- "Start a blog to communicate with your customers. Be honest in your conversations and react positively to any negative feedback you receive."
- "Use search engine optimisation to improve your page ranking on the natural listings of search engines and help drive customers to your website."
Frugi has been producing its range of organic clothes for mothers, children and babies since 2004. Owners Lucy and Kurt Jewson have had an e-commerce website since the start. More recently they have begun using Web 2.0 technology to build brand awareness and create an online community around their product. Here Lucy and Kurt explain how they have set about doing this and the benefits and risks involved.
Related guides on businesslink.gov.uk
Planning for e-commerce
Know your customers' needs
Benefits of email and the internet
Develop an e-marketing plan
Generate business from your e-marketing plan
Online networking
Learning through networking with others
Online networking
Planning for e-commerce
Develop an e-marketing plan
Generate business from your e-marketing plan
Search engine optimisation
Branding: the basics
Best practice in web design
Branding: the basics
Comply with data protection legislation
Develop an e-marketing plan
Sample internet policies and notices
E-commerce and the law
Cloud computing
Related web sites you might find useful
Web 2.0 guidance on the O'Reilly website
http://www.oreillynet.com/pub/a/oreilly/tim/news/2005/09/30/what-is-web-20.html
Social media information on the Internet Advertising Bureau website
http://www.iabuk.net/en/1/socialmedialanding.html
Blog news, updates and figures on the Technorati website
http://www.technorati.com/blogging/state-of-the-blogosphere/
E-marketing using YouTube guidance on the National B2B Centre website
http://www.nb2bc.co.uk/articles/?id=109
UK small business podcasts on the SmallBizPod website
http://www.smallbizpod.co.uk/category/online-business/
Internet advertising regulation guidance on the Internet Advertising Bureau website
http://www.iabuk.net/en/1/guidetoregulations.html
Mobile marketing information on the Mobile Marketing Association website
http://mmaglobal.com/main
Cloud computing guidance for business on the computing.co.uk website
http://www.computing.co.uk/computing/video/2226260/definitive-guide-cloud
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