The current economic downturn are forcing libraries to do a reality check and think anew about their services, products, marketplaces, brands, budgets, organizational structures, skillsets and underlying technologies. Web 2.0 tools are strategically positioned to enable libraries implement the changes needed. In this presentation a brief overview is given of what Web 2.0 is, where Web 2.0 is positioned in the Gartner Hype Cycle, how Web 2.0 can be plotted on the Balanced Scorecard as a strategy, the different types of Web 2.0 tools that exist, potential barriers to using Web 2.0 tools, and how to implement a web 2.0 tool. This is then followed by a discussion of each tool, with an overview of its value for libraries. Then, at the end of the presentation the lessons learned through implementing these tools at the University of Pretoria is given.