Web 2.0: a guide for business
The internet 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 mean more customers and businesses are connected than ever before.
Web 2.0 is the term used to describe internet content that is richer and more collaborative than traditional, static, information-only websites. Dynamic, user-generated content or 'social media', is changing the way that businesses now build customer relationships online - creating new opportunities but also potential risks for your business.
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 also has advice on the legal issues you will need to consider and the techniques that you can use to help protect your brand online.
How the web is changing
The internet of the 1990s mainly consisted of static, information-based content, with a clear separation between the content provider and end user. Although exact definitions vary, the term
Web 2.0 generally refers to providing richer content based on collaboration and information sharing. Newer websites often encourage their end users to interact with the content they access and produce their own web content in response.
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.
How customers' online expectations are changing
Because of this growing web culture, customers are increasingly looking to engage with a business or brand online in multiple ways. They expect richer content - and a greater variety - including audio and video, 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.
This new web culture has also raised customer expectations. They now expect immediacy in their online interactions - where content is regularly updated and any comments they make are quickly replied to. This places new demands on how you manage your website. For more information see our guide on
maintaining your web content and technology.
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:
- User-generated content - this is the ability for your customers to interact with your business online, eg by posting information, comments, or product ratings and reviews to your website. This adds real value for other customers and provides you with customer insight and content that is unique to your website. 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 like 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 information based on your location such as the news or weather. Web applications or 'web apps' are also growing in popularity, giving users applications they can add to websites or mobile devices like a smart phone - providing personalised web experiences.
Common to all of these is the ability for users to add and edit content - contributing online using different types of technology and interactive media, and creating more personalised web experiences.
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. But making a successful site doesn't need 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 are the technical, legal, financial 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 - letting them know about changes in the business and promoting new products or services. Blogs are also a good way of gathering informal feedback from your customers, adding to your market awareness.
You can use your blog to create links back to your business' 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. If a visitor to your website subscribes to your RSS feed, they will automatically receive notifications whenever that particular content is updated. This feed, along with any others subscribed to, is read using an RSS reader - software that will aggregate multiple web feeds. This software can be web-based or installed directly onto a PC or other hardware device, eg a smart phone.
RSS feeds let your customers stay up to date with relevant content without needing to revisit the website. If adding an RSS feed to your site, remember that these work most effectively with content that changes regularly, eg a blog. Your customers could also feature syndicated feeds on their own websites, helping to generate even more traffic and potential customers to your site.
Photo and video sharing
Personal photos and videos can be a great way to engage people - as demonstrated by the popularity of websites like Flickr and YouTube. Instead of putting up generic images, you could encourage your customers to tell their own stories 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.
Different types of content, like photos and video, can also contribute positively to your search marketing strategy. Popular search engines now blend their results, returning different types of content including news, video, images, blogs, product listings etc. Optimising for
universal search will help you 'own' your position in the search engines results page. For more information see our guide on
search engine optimisation.
Think about ways you can incorporate video content on your website. For example, 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. So, to help ensure your customers keep coming back, you should try to generate an online buzz about your brand and products or services. Engaging directly with your target audience will help you do this.
Think about what your customers are looking for when they visit your website. Could they benefit from product reviews or advice from previous customers? What can you offer beyond simply selling products or providing information?
Build an online community
Think about how you can use Web 2.0 tools to enhance your relationship with your customers and build a community around your brand. For example, if your business sells tools and hardware, you might consider posting video tutorials showing how to carry out common DIY jobs. You could also have an online forum to let other users of your site share their own advice and tips.
This would encourage people to return to your site after making a purchase and should also attract new visitors. The more visitors you have, 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.
Improve your brand's image
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 recipes to your website and let people from New York to New Delhi post comments on them, this will improve perception of your brand. With a website that acts as a permanent online advert, you may not need to use other marketing methods to attract customers.
Many Web 2.0 tools can be added to your site at little or no cost. But you will need to allocate time and resources to monitor user content, to reply to customers and to keep your website up to date.
Legal implications and best practice when using social media
Before you launch any new features on 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 it clear to your users what you are and are not responsible for.
Make sure you have the following on your site:
- a privacy policy - letting users know how their personal details will be used
- a disclaimer - setting out the limits of your legal liability
- terms and conditions - letting 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. This will 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's important to consider monitoring user comments. Depending on your business, you may find that some users post inappropriate comments. This could include:
- Inappropriate language - if your customers are likely to be sensitive to certain language, make sure you have a system for monitoring all new posts before they go live.
- 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 put things right.
While you should try to protect your brand and your site from potential threats, this should be balanced with
maintaining brand honesty. Site users should feel that there's 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 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.
There are a range of paid for and free services that will help you monitor what people are saying about your brand online. For example, you can set up Google alerts to notify you by email of mentions of your brand across the web and different types of social media. These tools can also be used to keep up-to-date with what is being said about your competitors - helping you understand your market better. Think also about how you can secure your brand identity across different social platforms - avoiding misrepresentation by third parties.
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 Committee of Advertising Practice (CAP) Code
From 1 March 2011, the CAP Code's remit is being extended to include any online advertisement or statement that's intended to sell products or services. This includes non-paid-for space under your control on social media sites, as well as marketing material on your own website.
You can find out more in the page on
the Advertising Codes in our guide on how to
comply with advertising standards.
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? Definitions of the third generation of the internet - or 'Web 3.0' - are already proving just as controversial as the earlier versions. Below we outline three technologies that may help shape the internet of the future.
The mobile web
Mobile web access has existed for some time, but has recently become much more popular. This is mainly due to cheap, powerful and user-friendly mobile devices - eg smart phones, netbooks and tablet computers - becoming more widely available.
Mobile content has also improved, with web applications or 'web apps' providing richer, more targeted and location dependent services. This gives businesses greater opportunities to connect with their customers - anytime and anywhere.
Depending on your type of business, it may be worth considering creating a mobile version of your website. This would be a simpler version of your main website - designed to be quick-loading and easy to navigate on a small screen. Other, more traditional, mobile marketing techniques include sending promotional texts and multimedia messages to your customers.
Find out about mobile marketing on the Mobile Marketing Association (MMA) website - Opens in a new window.
Cloud computing
Cloud computing gives businesses a way of managing data, hardware and software requirements using resources supplied via the internet. Documents, emails, customer information, business applications and other assets can all be 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 can include:
- reduced IT costs
- greater flexibility in your IT planning
- access to the latest technology
- more flexible working practices
- professionally managed 'back up' for your data
But, there are risks involved including data protection issues, business continuity concerns and issues around service 'lock-in' by providers.
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.
Another emerging technology is
augmented reality (AR). This is where real-world video displays have graphics laid over the top to create a semi-virtual world which users can then interact with. Early examples of this include smart phone applications that also use global positioning technology to direct users to nearby places of interest when they use their phone's camera viewfinder.
Read an explanation of AR on the HowStuffWorks website - Opens in a new window.
Here's how Web 2.0 technology benefited my business (Flash video)
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 products. 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
Search engine optimisation
Branding: the basics
Best practice in web design
Comply with advertising standards
Comply with data protection legislation
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 marketing regulations guidance on the Internet Advertising Bureau website
http://www.iabuk.net/en/1/guidetoregulations.html
Download CAP Code remit extension guidance from the Advertising Standards Authority website (PDF, 131K)
http://asa.org.uk/Media-Centre/2010/%7E/media/Files/CAP/Codes/CAP%20Digital%20Remit%20Extension.ashx
Mobile marketing information on the MMA 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
AR explained on the HowStuffWorks website
http://www.howstuffworks.com/augmented-reality.htm