00:09 Gary Vaynerchuk: Let me paint you a picture of 2017. How many of you are real nerdy? Who knows what NFC technology is? Raise your hand. Small amount. NFC is a chip in the phone, near field communication. Here is what's gonna happen in 2016-17. Ready? I'm gonna walk into Walgreens, and I'm gonna take out my phone, because that's what we all do, all the fucking time. And I'm just gonna be looking at it, while I'm looking for some chips and shit, and I'm gonna see on my newsfeed, whether it's Facebook, or Twitter, or Tumblr, or something else, I really don't care, please don't care about that part. And I'm gonna see that Johnny says that chocolate-covered pretzels from Y's are delicious. Because, oh, by the way, I don't know if you know this, we are social creatures. We are sharing things on these platforms that none of us would have ever picked up the phone and called a friend about. Nobody 10 years ago was gonna pick up the phone, and call their friend and say, "Pink-berry watermelon is yummers!"
01:06 Vaynerchuk: Nobody does that. But now, all of you do that all the time. We're extroverts even if we're introverted. The reason the fashion industry is a gazillion dollar industry, is because inherently, as animals, we want to express ourselves. It's how we roll, period. That is the same dynamic in play in social. We want to do it. I know when you first saw Twitter. You thought it was the dumbest shit ever. You said to yourself, "Who gives a fuck if I'm eating a pizza?" Right? I know what you thought. The problem is, you didn't realize that this social media game, it isn't about talking. All of you need to wire your mouth shut and start using your big fucking ears because that is the game in play. So what's gonna happen is Johnny is gonna say chocolate-covered pretzels are yummers, and I'm gonna be like, "Okay". And because Y's potato chip company is in play and has an incentive any time their brand is mentioned, I'll see a little icon, I'll click. And because they're gonna know that I'm in Walgreens, it's gonna say, "Buy Y's potato chips chocolate covered pretzels right now, and get 50 cents off." And you know what I'm gonna do? I'm gonna buy those fucking pretzels. And you know what that is? ROI.
02:16 Vaynerchuk: And when you start looking at status updates or pushes in a social environment, that is not done by your companies, but is done by word of mouth of the ecosystem, and you could see that this one comment led to $74,000 in transactions. Whether you have a store, or a website, or whatever it is, that's when people are gonna start paying attention. Because what every person knows in this room... How many people here have gotten some form of business because of word of mouth? Raise your hand. All of you, period. Word of mouth is the currency. And now we have infrastructure for word of mouth to be on steroids. Word of mouth is hanging out with Barry fucking Bonds.
02:57 Vaynerchuk: It carries dramatically further than it ever did before. When I used to do my surprise and delights back in the day, it didn't carry the weight it does today. When I had a lady call me from Bergen County complaining because FedEx threw her package in the bushes, and she couldn't get it 'cause she was 647 years old, and on three days before Christmas I took a case of Beringer whites in, and threw it in my car and drove it up there and gave it to here, during peak hours, I wasn't gonna get pressed for that. 60 Minutes wasn't following me. But today our actions and our engagements are being spread. They just are. And every day, our consumer base, no matter who you're reaching, is getting more, and more into that ecosystem. And sure, you see things like what Facebook did this week to push those envelopes. And it might go too far, and it comes back and it flows, but the cat's out of the bag because the fundamental fact of the matter is, is even though it's going through your mind right now, nobody gives a fuck about privacy.
03:53 Vaynerchuk: I know. Some of you think I'm a dickhead right now, but I'm telling you, I'm not. I'll tell you why. Because the cause of privacy, the pain point of privacy is money, right, and health. See, the news and traditional media have told us that we're bad. The most underrated brand in the world my friends, is us. Brand human being is the number one underrated thing. The problem is we always watch the news, and they tell us how bad we are. We killed this kid, we raped that kid, we stole this car, you only hear the bad. But if you look at the data, in the world we're living in now, where people know where you are all the time, it is stunning how little bad stuff is going on. It's shocking, by data. But we don't wanna talk about that, and so we focus on things that nobody cares about.
04:39 Vaynerchuk: Remember Foursquare, and everybody said, "Well, now people are gonna rob your home when you check into places." Well, when you left a status update on Facebook saying you were on vacation, they could have done it too. Nothing changed. It's just the same argument being recycled all the time. We're living in one business, all of us, one. We are in the eyeballs and ears business. No matter what you do, and how you roll, B-to-B or B-to-C, you are in the eyeballs and ears business. We are trying to convert. We are living through a massive culture shift of where those eyes and ears go. We just do. And what I'm fascinated by is what happens when you start creating context?
05:18 Vaynerchuk: How many people here knew of me before I gave this talk? I'm looking at the crowd. A lot of you I know as well. I know Rizzo right over here, right? I have different context towards him. I feel differently. When I was out here talking, I was like, "Shit, his beard is getting heavier!" Like you know, I have context, I have an emotional relationship. A bunch of you now are gonna come to the table at the book signing, and we're gonna create more context. I am fascinated by what you're willing to do for your mother, that you're not willing to do for your brother. And that for your brother, what you're not willing to do for your best friend. And for your best friend, what you're not willing to do for an acquaintance. And for your acquaintance, what you're not willing to do for a co-worker. And for your co-worker, what you're not willing to do to a kind of stranger. And for that kind of stranger what you are willing to do, that you are not willing to do to a perfect stranger, like [06:08] ____, remember him? Anyway, that is the game. I believe that companies have the opportunity to take themselves from a non-human element to a human element.
06:18 Vaynerchuk: I believe... And this is about to get real weird. So, stick with me for half a sec. I believe that we're living through the beginning of the humanization of logos, that we're going to have relationships with logos. I equate it very similar to what's happened with the pet dog. If you look at the data of the pet dog in the 1950s, Spot spent most of his time outside. Now Spot is inside. But I think as many of you know, Spot is pretty aggressive. He actually doesn't only live inside. He lives in your bedroom. And I don't know about this, but you might know, Spot actually wears better clothes than you do.
06:59 Vaynerchuk: And he wears better clothes and he eats better than you do, because he eats gourmet every single night. You don't let your kids into your bedroom and Spot sleeps on your bed. That is what has happened with the data, we have humanized Spot. Once we are done humanizing our circle, we humanize our pet, and if you start looking... Lipton Brisk Iced Tea is one of our clients. During the NBA Draft this year, we had one of the highest engagements around the NBA Draft with Lipton Brisk. Because people were asking, "Hey, @Brisk, what do you think about that pick in the second round?" Truly treating our logo like their boy. Truly humanizing. Why? Because when we engage on Facebook and Twitter and these platforms, we're not just using it as a press release. So many of the companies in here, when I was doing my little research, are using their Facebook pages as another newsletter.
07:52 Vaynerchuk: How many people here have done email marketing in their career? Raise your hands. A lot. How many of you have done it for more than seven years? Raise your hands. Scarce. Okay. So, the 30 of you will know exactly what I am talking about. Open rates on email are nowhere close to what they used to be 10 years ago. Do you guys remember how much this country loved email 15 years ago. They made a movie called "You've Got Mail". We loved it. You were so... It was like Christmas back in the day, when you heard, "You've got mail." And you are like, "Fuck, yes." You were pumped.
08:24 Vaynerchuk: How many people here love email now? If you look at email open rates over the last since mid-2009, last two years, they are down 20% globally, down. The whole Groupon and LivingSocial phenomenon, that deal of the day, Gilt Groupe, Kevin was speaking here today about operations, that whole crew, those guys mastered the email game and conversion. But remember how you felt two years ago when you first find out about one of these sites? You couldn't wait, couldn't wait to buy $40 worth of sushi for $20. You were so pumped to get a bikini wax for half-price. You were pumped. Now, the email open rates are so down, you don't give a shit if Groupon is offering you a $1 million home for $300, you're deleting that shit as spam.
09:12 Vaynerchuk: Because here is the big point. Everything I believe about the new social web, everything I wrote about in my book will be ruined in five years. Seriously, everything I truly believe in, from a marketing standpoint will be ruined five years from today. Because there's a funny little secret, marketers ruin everything.
09:34 Vaynerchuk: Everything I believe that's coming from the right place is going to become a tactic and people are gonna be doing these things over and over. It's gonna be the free shipping rule, free shipping, winelibrary.com, 1998, first time we ever did it. We sold so much wine that weekend, I was in the store till five in the morning and then coming back in at seven, for three days in a row just to catch up with all the orders. We sold so much wine that weekend, it's like people thought their cure was inside of all those wine bottles. One guy places an order and in his notes says, "Thank you so much for doing this perfect for me, I'm gonna buy this for my daughter's wedding." Me living in the "Thank You Economy" back then and not knowing what it was, decided to call him and thank him, "Jim, thank you so much. Where is the wedding? I'd like to send a nice bottle of champagne to celebrate the wedding." He goes, "Oh, no, no, no, Gary. My daughter is 12 years old."
10:35 Vaynerchuk: I said, "What?" He goes, "My daughter is 12 years old." He goes, "But this is such a sick deal, I'm gonna put this wine in the basement and I will save it for her wedding."
10:44 Vaynerchuk: Now every single person in this room 13 years later doesn't buy anything online unless it has free shipping. We're all prying doubt and everything else. This is going to become a tactic. We have a 36 to 60-month window to create context. We know what happens when we touch our consumers. Our Twitter customers at winelibrary.com are outperforming our non-Twitter engaged customers by 60% because we created context. We answered a wine question. They feel more emotional about us and they are buying from us. That is how it used to be in the small town rules. In the 1930s and '40s when you went to your butcher store, the second you open that door that man was cutting your roast beef 'cause he knew things about you. You lived in a small town. We literally left our laundry outside. We left our front doors open. We knew a lot about each other. We are now replicating that.