MAERSK LINE Harvard Case Solution & Analysis

MAERSK LINE Case Solution

Maersk Line’s success in social media and its drive for success

As far as the case is concerned, Maersk Line was successful in its strategic initiative taken to improve its social media presence in the market. In October 2011, Johnathan Wichmann decided to bring the company towards social media. Initially, the company used social media, not to sell shipping containers, but to raise brand awareness and increased the loyalty of the customers in the market. However,after the tremendous impact, which social media had on the sales of the company he saw it was possible to sell shipping containers. By diversifying and engaging into different social media platforms, the company was able to gain strong presence in social media such as inFacebook it gained over 1.1 million likes, in Twitter it gained over 120000 followers, in LinkedIn it gained around 150000 followers), and in Google+ it got almost 2000 followers, whereas Facebook and LinkedIn were used to enhance the relationship between the business and its customers by attracting and engaging its customers by sharing both negative and positive information as well as sharing photos of vessels, containers and ships with stories attached so as to engage the customers on a more personal level. On the other hand,Twitter was used to share more serious industrial news and service updates with no interaction with its users, as a result, enhancing the B2B relationships of the company. These factors could be attributed to the tremendous growth and success of the company in its initiatives towards social media, where the company connected with its customers on a more personal level, which increased the brand awareness as well as it increased customer loyalty towards the company. Furthermore, the company used Facebook to engage its employees in such a way where they could connect with their colleagues and stay up-to-date with the company.

Evaluating Maersk Line social media plan & platforms

The company handed Jonathan Wichmann the task of managing and controlling Maersk Line's social media profiles and presence in the market. This was an enormous task that involved companies with B2B business engaged in social media, and its end users, hence Wichmann evaluated the company and what it required to achieve its mission. For this reason, Wichmann learned more about the B2B social media practices of Dell and GE. After evaluating the practices conducted by Dell and GE,he formulated a plan and strategies to improve social media presence of the company. Moreover, he incorporated effective social media practices to achieve excellence in four key areas; communication, customer service, sales and internal usage. By using various social media platforms including Facebook, Twitter and LinkedIn, the company increased its customer loyalty and brand awareness by sharing positive and negative information with its customers informally.

Wichmann calculated ROI on Facebook

The ROI calculated by Johnathan Wichmann on Facebook seems correct, as thestudy revealed that value creation with a ROI of 5000%, hence 1500% calculated by Wichmann is a conservative estimate. Therefore, it could be said that he may have assessed all of its Facebook followers where he found that only 22% of the population comprised of actual customers of the company whereas, the remaining population comprised of either container enthusiasts or non-customers resulting in incorrect adjustment. The reason for ROI calculated by Wichmann could be the fact that more people are engaged in social media nowadays. In the US, most people spend more time on social media than they spend interacting with people in real life. The high level of usage of Facebook does not indicate that all are the potential customers of the company, as most of the people that use Facebook are there to pass time while connecting with their colleagues and friends online. As a result, this has led to a wrong analysis of total potential customers available on Facebook for the company to calculate the amount of return which it generates from its investment in Facebook.....................

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