ppt

Report
Author:
Thomas Strapko
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“The Marketplace is a conversation”,
companies can either join the conversation or
go crazy trying to shout their message at it.”
Jim Stearne
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Volume of consumer-created buzz for a brand based on number of posts
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Amount of buzz based on number of impressions
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Shift in buzz over time
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Buzz by time of day / daypart
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Seasonality of buzz
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Competitive buzz
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Buzz by category / topic
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Buzz by social channel (forums, social networks, blogs, Twitter, etc)
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Buzz by stage in purchase funnel (e.g., researching vs. completing transaction vs. postpurchase)
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Asset popularity (e.g., if several videos are available to embed, which is used more)
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Mainstream media mentions
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Fans
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Followers
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Friends
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Growth rate of fans, followers, and friends
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Rate of virality / pass-along
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Change in virality rates over time
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Second-degree reach (connections to fans, followers, and friends exposed - by people or
impressions)
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Embeds / Installs
Downloads
Uploads
User-initiated views (e.g., for videos)
Ratio of embeds or favoriting to views
Likes / favorites
Comments
Ratings
Social bookmarks
Subscriptions (RSS, podcasts, video series)
Pageviews (for blogs, microsites, etc)
Effective CPM based on spend per impressions received
Change in search engine rankings for the site linked to through social media
Change in search engine share of voice for all social sites promoting the brand
Increase in searches due to social activity
Percentage of buzz containing links
Links ranked by influence of publishers
Percentage of buzz containing multimedia (images, video, audio)
Share of voice on social sites when running earned and paid media in same environment
Influence of consumers reached
Influence of publishers reached (e.g., blogs)
Influence of brands participating in social channels
Demographics of target audience engaged with social channels
Demographics of audience reached through social media
Social media habits/interests of target audience
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Geography of participating consumers
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Sentiment by volume of posts
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Sentiment by volume of impressions
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Shift in sentiment before, during, and after social marketing programs
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Languages spoken by participating consumers
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Time spent with distributed content
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Time spent on site through social media referrals
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Method of content discovery (search, pass-along, discovery engines, etc)
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Clicks
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Percentage of traffic generated from earned media
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View-throughs
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Number of interactions
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Interaction/engagement rate
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Frequency of social interactions per consumer
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Percentage of videos viewed
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Polls taken / votes received
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Brand association
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Purchase consideration
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Number of user-generated submissions received
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Exposures of virtual gifts
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Number of virtual gifts given
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Relative popularity of content
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Tags added
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Attributes of tags (e.g., how well they match the brand's perception of itself)
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Registrations from third-party social logins (e.g., Facebook Connect, Twitter OAuth)
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Registrations by channel (e.g., Web, desktop application, mobile application, SMS, etc)
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Contest entries
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Number of chat room participants
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Wiki contributors
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Impact of offline marketing/events on social marketing programs or buzz
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User-generated content created that can be used by the marketer in other channels
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Customers assisted
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Savings per customer assisted through direct social media interactions compared to other channels
(e.g., call centers, in-store)
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Savings generated by enabling customers to connect with each other
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Impact on first contact resolution (FCR) (hat tip to Forrester Research for that one)
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Customer satisfaction
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Volume of customer feedback generated
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Research & development time saved based on feedback from social media
Suggestions implemented from social feedback
Costs saved from not spending on traditional research
Impact on online sales
Impact on offline sales
Discount redemption rate
Impact on other offline behavior (e.g., TV tune-in)
Leads generated
Products sampled
Visits to store locator pages
Conversion change due to user ratings, reviews
Rate of customer/visitor retention
Impact on customer lifetime value
Customer acquisition / retention costs through social media
Change in market share
Earned media's impact on results from paid media
Responses to socially posted events
Attendance generated at in-person events
Employees reached (for internal programs)
Job applications received
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The point of the previous slides was the show
how most marketers feel about social media.
Because of the sheer volume of information,
they are too often willing to bypass social
media.
The point here is not to measure everything,
but to incorporate social media into your
business strategy. You must have GOALS!
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All marketing decision makers and C level
executives
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The trends indicate a growing acceptance of
using social media as a significant piece of
company marketing strategy:
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74% of all Chief Marketing Officers will tie
social media spending to ROI in 2011
(Bazaarvoice). In addition, 53% of CMO’s will
increase their company’s social media budget
in 2011 (marketing Sherpa).
“While much has been written questioning the
value of social media, this landmark study
has found that the most valuable brands in
the world are experiencing a direct
correlation between top financial
performance and deep social media
engagement. The relationship is apparent
and significant: Socially engaged companies
are in fact more financially successful.”
Engagement db: Ranking the Top 100
Global
Brands
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As indicated by the social media efforts of
other companies, if you haven’t already
started, you are behind the eight-ball.
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Anywhere the internet is present, therefore
everywhere
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You must identify your goals, to make the
measurements useful.
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Classic push sales style. Marketing focused
exclusively on Public Relations and Avertising.
http://www.youtube.com/watch?v=5y4bDEkIps&feature=share
During the Glory Days of advertising, Don
Draper understood the desire of people to
exercise choice
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The internet is unique because of its one to
many approach, which allows users who
understand the medium to leverage an
incredible set of tools.
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The first many to many communication
channel, “it is that which allows anybody to
communicate with everybody.” In other
words, consumer generated content
distributed through easy to access online
tools.
Social Media Metrics
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Forums and Message Boards –
Review and Opinion Sites – Amazon.com and
Epinions.com
Social Networks- Facebook, LinkedIn, and
Myspace
Blogging
Microblogging – Twitter
Bookmarking – Stumbleupon and Digg
Media Sharing – YouTube and Flickr
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Likes/followers
Retweets
Comments
Mentions
@replies
All of these will indicate the level of progress
and whether or not you a building a
community that is engaged
While this is directional, these metrics have
little value to the average executive
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Revenue
Cost
Customer satisfaction
If you can not tie your metrics to the
following, your efforts will fall by the wayside
very quickly
What are the goals of Business?
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Increase revenue
Decrease cost
Increase customer satisfaction
If your goal is improving reputation or relationships with your audiences, then
measure:
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relationship scores
recommendations
positioning
engagement
If your goal is sales, then measure:
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engagement index
cost per customer acquisition
web analytics
sales leads
marketing mix modeling
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#1 Brand Awareness: If the goal is to create
more brand awareness, two things need to be
quantified:
Number of people that the message is
exposed to
The subsequent actions taken based on this
metric
Measured like “old school” advertising: Cost
Per Impression, Cost Per Click, Cost Per
Engagement, Cost Per Site Visit
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Exposure is a measurement of Brand
Awareness
By reaching more people at the top of the
funnel, this is likely to lead to higher sales as
an end product
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#2 Customer Retention: Encourage customers
to stay longer, buy more and buy more often
depending on the product
Measured by: Customer Retention Rates,
Average Revenue Per Purchase, Average Units
Per Purchase, Average Transactions Per
Customer, Lifetime Value of a Customer
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#3 Lead Generation:
Can you show that social media contributed
to the sale?
Usually measured by lead forms and sales.
It is measured by the following: Cost Per
Lead, Cost Per Subscriber, Cost Per Sale,
Average Revenue Per Sale, Average Units Per
Sale, Conversion Rate of Leads
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Being successful in social media is about
more than the number of eyeballs that have
seen the message
Although a wide audience is necessary,
engagement is the integral factor
Who are the stakeholders?
* What's important to them?
* Where do they go for information?
* What do you want them to know?
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Facebook page acts as a communication
bridge between current and former Navy
personnel, family, Navy followers.
Returns include: 7,000-20,000 Facebook
interactions, 500-700 mentions on Twitter,
2,500-3,000 visits to the Navy blog, 10,00015,000 referrals to Navy.mil
PER WEEK!
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Awareness: How many people saw what you wrote?
This is very information to acquire by a site such as
www.google.com/support/feedburner, feedburner
works for how many people have taken action, viewed
or clicked on your page,
Engagement: When somebody cares and interacts.
In other words when your brand affinity is high but
your interaction is low, you are not engaged. You may
choose to start a blog through a variety of
aformentioned channels.
“The net of promoters minus detractors doesn’t show
up in your profit and loss statements, but the
detractors destroy your future” (Frederick Reichheld
p. 133)
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Engagement: This is the stage where the
rubber really meets the road. A perspective
customer must now engage with your brand.
Could be measured by number of messages
Re-Tweeted, clicks on your link, website
visits, or took other actions as a result of
exposure to your brand
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Need to examine three key measurements:
Message multiplier tells you whether the message is popular or prosaic by measuring what
people thought was worth repeating
Velocity how quickly the message spread and the scope of the message
Reach
The previous measures tell you if the message is resonating
These measurements will allow you to gain insight into the messages effectiveness. Is the
message resonating with the target group?
Influence is about: size of audience, degree of connectedness, and the power of their voice
Levels: readers, fans, repeaters (why keep score? Because if you can discover the people who
are evangelizing others, you should devote part of your target market to them)
Twitter measures: Number of followers, followers of followers (the multiplier effect is huge
here), tweet recency and frequency, ratio of following to follower, retweets, Michael Jackson
example. Twitter is impossible to measure well. Human coders only agreed on the message
conveyed in the tweet 68% of the time. Therefore trend analysis tools in this area should be
directional rather than absolute.
Types of influencers: key influencers (journalists for example, propound to the masses and
exhibit a critical mass of followers, social influencers (everyday people who purchase and are
very active, known peer influencers (closest to the purchasing decision and the consumer, have
great background knowledge about consumer)
Socialmention.com
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Sites like Mashable and Stumbleupon are
considered influencer sites.
In addition, you can use Klout scores to track
influencers. This involves setting minimum
values for influence within Klout and having
the Klout measure your audience for
influence above that threshold.
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Measuring Engagement by Facebook: New
Page Likes, Posted Link Clicks, Site Visits,
Comments, Content Likes, Photo/Video
Views.
Measuring Engagement by Twitter: New
Followers, Posted Link Clicks, Site Visits,
Mentions, Retweets, Direct Messages.
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Influence measures the importance of each
Facebook “like” or Twitter follower
Using a site such as Klout can assist you in
measuring influence. Klout allows you to link
social media sites together to produce a
“Klout” score.
Why is this important?
People will buy products from those that they
are associated with rather than a stranger.
A high Klout score makes it likely that you are
associated with influencers who will in turn
influence others regarding your product.
http://www.klout.com
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Most effectively captured by Analytics tools such as
Radian 6 or Google Analytics which can measure
attitudinal shifts over time to accurately assess brand
equity among other things
Join socialmention.com, search twitter, use Google
alerts
Why is Amazon so successful? People still have highest
levels of trust for people who are “like them” (Edelmen
Trust Barometer, Nov 2007) and recommendation is
the number one reason people choose a certain site
(Royal Mail’s Home Shopping Tracker Study, Sep 2007)
and review users said that reviews generated by fellow
consumers had a greater influence than those
generated by professionals (comScore/ The Kelsey
Group, October 2007)
http://www.youtube.com/watch?v=RbkS8AnqN
GU
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Are potential customers becoming more engaged
in new ways?
This is where you would measure you social
media efforts via blogging, tweeting, You
Tube,etc.
Are your efforts increasing engagement? Digg,
Stumbleupon, etc measure noteworthiness.
Social Media Standards have three things:
How many people shared a link to your content,
how many links have been shared, how many
people clicked through it in a given time span?
Increasing brand loyalty?
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Conversion: Two aspects to conversion.
First, completed lead forms where a
customers contact information is acquired.
Second, the actual completed sale which is
the pot of gold at the end of the tunnel. The
two are not necessarily sequential.
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The American Outdoorsman
Goal: Expand brand association with outdoor
adventure to attract large retailers.
Goal: Gain retail licensing program.
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Action: Developed an outdoor website to
promote online recreation activities.
Action: Identified influencers in various
outdoor activities.
Action: Started a blog and included stories
about outdoor adventure activities.
Action: Tweeted about adventure activities
while filming their TV shows.
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Measurement: Measured word association
with their brand and saw keywords such as
adventure, outdoor, activities, experts,
professional, and training show up in their
keyword cloud.
Measurement: Illustrated the strong positive
association with the brand and compared it to
that of target retailers.
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Ultimately, American Outdoors landed a
multi-million dollar licensed goods program
with a retailer over a three year period.
The cost of social media associated with
listening, engaging, and measuring totaled:
$25,000!
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Is your message getting to the right people at the right
time?
This allows you a window into the marketplace to see and
understand what your customers are feeling.
To be effective, this must change customer service,
support, and business strategy.
Listen to them: praise and complaints
Ask them to participate
Ask them to contribute
How can you measure Twelpforce? Best Buy is tracking by
Brand Value: Has TF positively or negatively impacted your
impression of BB? Has TF improved your perception of BB
24/7 avail? Has TF improved your perception of BB’s
offering expert advice? Has TF improved your perception
of BB’s ability to fix a problem? Did TF initiate a visit to a
BB store?
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This is where you circle back around and measure what
impact your social media efforts are having on business
outcomes.
Are you meeting the goals laid out by the big three goals
of business?
Measure Success:
* To measure web traffic, use Google Analytics. It's free and
easy to use.
* To measure your incoming marketing (search) effectiveness,
use Hubspot. Get started with their free Website Grader.
* Measure your relationships with online surveys at
SurveyMonkey.
Without context the measurements don’t matter and with
business goals, the metrics are hollow
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Awareness: How many people know about your
company or offering?
Survey completions: How many people are willing to
answer your questions?
Subscriptions: How many people signed up for your
newsletter, blog, or tweets?
Registrations: How many people want to be a
member of your club?
Blog Comments: How many were engaged in
conversation?
Blog Posts: How many mentioned you to others?
Leads: How many are potential customers?
Purchases: How many actually bought something
from you?
Establish Benchmarks: what was data like
before implementing social media?
 Develop Strategy: how does social media
support my business goals?
 Measure Results: will vary depending on
industry, but it must be connected to the
bottom line.
 Correlate Traditional and Online Metrics: this
will vary by industry.
It is important to remember that data without
context is just NOISE!
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An affective Social Media Marketing Balanced Scorecard considers
metrics from four different perspectives:
Financial: Has revenue or profit increased or costs decreased?
Brand: Have consumer attitudes about the brand improved?
Risk Management: Is the organization better prepared to note and
respond to attacks or problems that affect reputation?
Digital: Has the company enhanced its owned and earned digital assets?
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Measured in potential, not actual reach.
Add up friend and follower counts of those who
share your content to attain total potential reach.
Share of Conversation: how present and
recognized you are among the conversations that
you want to be associated with.
Strength of Referrals/Recommendations: split
into direct recommendations (request for
information or referrals from the larger
community) and implied recommendations
(general positive sentiment).
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Attribution or direct cause which indicates that the
social media is the sales channel itself.
Correlation: after tracking sales in the aggregate,
tracking spending on social media and social media
activity increase, from there if both increase you can
correlate the data.
Lead Generation: After gathering all lead data, look at
how many leads have been tagged with a social
media source and what is the percentage of your lead
pipeline?
Conversion Rates: A successful interaction according
to your measurements, not necessarily a sale.
Direct Response sales: provide a unique mechanism
for people to buy that is exclusive ala Dell special
deals on Twitter.
Cost Per Issue Resolution: Measuring what it
costs to resolve issues through traditional
channels such as a call center.
Issue Resolution Time: How long it takes from
inception until a case is closed?
Cost Per Dollar Raised: Cost of an advertising
campaign against total potential reach and then
calculate how much it will cost to reach every
thousand people.
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Use ratios, averages, and percentages rather
than raw data
Use stoplights, thermometers and the like
rather than pie charts and graphs
Highlight change over time instead of
showing data tables
Remember that effective KPI’s drive action
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Intuit uses Radian 6 to compute reach, influence, and sentiment
Still use humans to categorize comments ranging from very positive to
very negative
In 2008, ran a contest called Super Status to answer 30 mini challenges
to problems and had to use Facebook, Myspace, or Twitter.
Had a hard time measuring value added at first. Trying to measure the
affect of the contest on familiarity with Intuit, brand image, and
purchase intent
The master stroke was the manager of social media marketing
partnering with the group manager of research and added a twist; they
asked the participants to send a link to the questionnaire to their friends
The contest lifted brand image among frequent contest participants of
eight percent against control group
In measurements such as: the brand I trust, value for the money, worth
paying more for an easy way to get a big refund, it does the work for
me, it gives me the confidence to do my own taxes, it’s the easiest way
to prepare my own taxes; each of these statements received an increase
of between 9 and 14 percent.
The icing on the cake is that purchase intent increased by 10 percent
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You have goals
You have a way to measure your audience
reach
You have a way to maintain and identify
influence
You have a way to measure and identify
sentiment
You have a way to listen and measure what
you hear
You have a way to measure response and
business outcomes
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If the big three measurements are improving, the
results will speak for themselves and stand on
their own merits.
How to get buy in:
Accept role as a change agent, little rudder turns
big rudder
Tailor your message to the person
Low Hanging Fruit (share social media success
stories)
Make it personal (managers compensation tied to
revenue, etc so stay big)
Bring a plan: will it be centralized or distributed
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Utilize the measures to truly transform
conversations with executives
Achieving these measurable results requires
just that, turning “measurement” into
quantifiable results
Understand what needs to be measured, set
the direction
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Start using Campaign Tracking which will allow
you to track a customer from a source to a
conversion.
Use link abridging sites like Ow.ly which shorten
URL’s.
You can then plug this information into an
Analytics program such as Google Analytics
which is built into the Campaign Links.
Conversion will show up, telling you which
sources were most successful.
Campaign Tracking is very useful because it
allows marketers to separate marketing activities
to assess the true cost of each effort or item. It
will also allow you to identify leads by the source
that they were generated from.
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Look at Whistler Blackcomb as an example of
engagement in social media.
http://www.youtube.com/watch?v=LOXusAChyEE
Results: With 1% of the Marketing Budget directed
toward social media they generated:
Over 500,000 forms of engagement, 128% lift in total
impressions, decreased cost per impression by 23%,
decreased cost per engagement by 82%, decreased
cost per website visit by 86%.
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Customer retention is key because it is
universally accepted that it is cheaper to keep
your existing customers rather than cultivate
new ones.
Social media is unique because it is part of a
conversation about your brands. It allows
each company to address negative
perceptions and point out the positive ones.
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There are two ways to increase revenue from
existing customers:
First, increase the customers will spend at
each transaction.
Second, increase the frequency of purchases
by each customer.
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Measuring loyalty should be operationalized
using three things:
First, surveys can be valuable for direction.
Second, the aforementioned revenue
measurements indicate levels of loyalty.
Third, you can use the following metrics: Average
number of website visits, Average time on site,
Average number of website referrals per
customer, Customer retention rate, Average
number of online mentions per customer,
Lifetime value of a social media customer.
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A challenging task due to social media still
being in its infancy
Social media metrics can not be a language of
their own
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#1 Social Media is not a fad
It is here to stay long term, consider the
following:
900,000 blog posts per day
4-6 million tweets per hour
30 billion pieces of content shared on
Facebook alone per month
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#2 Social Media is not simply an “add-on”
To be conducted effectively, you need staff
resources dedicated to the following:
Planning
Creative Insight
Content Creation
Product Management
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#3 Social Media is part of a new wave of
cooperative ownership
Public Relations
Marketing
Sales/Business Development
Customer Service
Product Development
IT
Each of these elements must “buy in”

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