2014 Redefining China Social Platform

Redefining China's Social Platforms

2014 Rethinking User ValueBusiness Value of Social Platforms

Issued by:

Chapter 1 Cause ·Social marketing is the most important new marketing method ·China’s social platforms are under differentiation development

Chapter 2 Research process ·Redefining social platforms based on consumer value ·The research covers four typical user types in first, second, and third tier cities ·Five major social platforms are studied

Chapter 3 Redefining social platforms based on user value ·User behavior differentiation of social platforms ·Relationship differentiation of social platforms ·Differences between social tool and social media ·Product setting differences between social tool and social media ·User psychological differences between social tool and social media

Chapter 4 Business value of social platforms ·Six steps of social marketing ·The capability of social platforms to implement each step of social marketing ·Weibo is more comprehensively influential due to its openness ·How to conduct social marketing through Weibo and Wechat

CONTENTS

Currently social marketing is the most important and widely applied new marketing concept. 71% of advertisers consider social marketing far more important than other new marketing concepts, and 75% of enterprises are applying this concept into practice.

Its importance is rooted in China’s fast-developing social platforms and the enhancement of consumer rights.

The concept and operation of social marketing also achieved continuous development during practice.

Social marketing is the most important new marketing method

China’s social platforms are under differentiation development.

·Weibo and Wechat remain the largest and most influential platforms in the Chinese market.

·However, new platforms with social attributes (e.g. Yixin, Laiwang) are mushrooming. These platforms are different in function setting, resource and user relationship.

·Due to the development of mobile Internet, mobile end-users and PC end-users have become equally important.

China’s social platforms are under differentiation development

Extremely important %

Data source: 2013 Report on China’s One Hundred Advertisers by Millward Brown and Media 360

Importance rating of new marketing

strategies by one hundred advertisers

Social marketing is the most important new marketing method

China’s social platforms are underdifferentiation development

Listen to consumers

Trigger demand

ShareMaintain customer relationship

Purchase Stimulateaction

7166

57 5649

46

34

1612

Social marketing

Word-ofmouth

marketing

Crossscreen

convergence

Content marketing

Influence marketing

Relationship marketing

SOLOMOCO Sponsorship marketing

n-game marketing

Millward Brown proposes the six steps of social marketing.

CHAPTER 1 CAUSECHAPTER 1 CAUSE

Page 5

The study of consumers should be conducted first in order to understand the develop-ment of China’s social platforms, because the long-term development of all the products and services rely on the realization of consumer value.

Millward Brown and its affiliated qualitative research brand Firefly conducted a series of surveys and completed the report: 2014 Redefining China’s Social Platforms.

This report is open to marketers of China’s enterprises and brands and provides them with an opportunity to recognize the user value and business value of social platforms.

Redefining China’s social platforms

As a world-leading marketing research body, Millward Brown focuses on brand, communication and media research. Firefly, a sub-brand of Millward Brown, emphasizes qualitative research.

Firefly is an information and consulting business division under the Kantar – WPP group.

Firefly is a research engine pushing forward the development of New Media by:

·Proposing that beyond-seo and Internet advertising can help establish a brand

·Proposing IGRP and cross-screen convergence together with Miaozhen to reach MixReach

·Proposing cross-media evaluation standards

·Releasing Brand Digital Asset List together with Baidu

Pushing forward the development of New Media

Millward Brown issued 2014 Redefining China’s Social Platforms

Four typical user types

Group of influential opinion leaders

Group with increasing consumption capability

Emerging new low and middle-income group

Group who has earliest contact with social media

Cities covered:

The survey was conducted in Dec., 2013.

Research method: Qualitative consumer forum and one-on-one interview

Research subject: (four typical consumer types)

The survey covers four typical user types from first, second and third tier cities.

·First tier : Shanghai, Beijing

·Second tier : Wuhan

·Third tier : Mianyang

台湾

兰州

银川

呼和浩特

哈尔滨

长春

沈阳

西安

重

庆市

贵阳

昆明

南宁

长沙

广州香港

南昌

福州

武汉

合肥南京

上海

杭州成都

郑州

济南

北京

天津

石家庄太原

拉萨

海口

乌鲁木齐

西宁青

海

宁夏

河

北

山

西陕

西

甘

肃

四川

山东

湖北

安

徽

河南

辽宁

黑

龙

江

江苏

湖

南

浙江

福建

江

西

广东

贵州

海南

云

南

ShanghaiWu

hanMianyang

Beijing

VIP

Middle class

“Diaosi”

Student

CHAPTER 2 Research process

The survey covers four typical user types from first, second and third tier cities


Page 7

·China’s social platforms have formed into two development trends of social tool and social media

·Tool platforms make a certain behavior demand go online. It emphasizes more on initiative, purpose and real-timing, with Wechat as the main representative

·Media platforms center on interest content. Its emphasis is more on openness, diversity and emotion-oriented content, with Weibo as the typical representative

·Specifically, the two development trends of social tool and social media show distinct differences

Behavior: Wechat: Communication-oriented, focusing on the small world; Weibo: Information-oriented, looking around the big worldRelationship chain: Wechat: strong real relation- a replication of actual interpersonal relations; Weibo: weak relation, identified by interest – a projection of real selfProduct setting: Wechat: Lower threshold, focusing on real time and easy communication; Weibo，establishing social prestige and encouraging participation in social affairsUser positioning: Wechat: “Me in the eyes of others (me) ”; Weibo: Free me (i)

·China’s social platforms will continue to differentiate between social tool and social media, and the two trends will co-exist through their differences. The major competitors of social tool are other non-social utilities, while those of social media are other media

·The success of new social platforms relies on clear and precise positioning

Key findings - Utilization and Mediumization co-exist in social platforms

Wechat

Sina Weibot.cn

Representing mirco-blog Platforms

QQQQ space included

RenrenRenren.com

DoubanDouban.com

Five major social

platforms

Five major social platforms are studied


Key findings - Utilization and Mediumization co-exist in social platforms


This research aims to discuss the user behavior and psychological value of major social platforms. Five social platforms are selected as research subjects based on their user coverage rate and activeness.

Five major social platforms are studied

Page 9

·When practicing social marketing, Weibo is more comprehensively influential, especially with a clear advantage in pre-sales word-of-mouth marketing and maintenance, therefore Wechat is more suitable for one-to-one after-sales service

- Weibo: Free expression and active response; communication model is easy to form hot topics; users receive marketing information in a more open way

- Wechat: prudent expression; keyword filtering and screening; user has lower accep-tance of marketing information; the closed and linear communication model is unlikely to create dramatic hot topics

·Weibo is more comprehensively influential due to its open media property- Open and public platform- Open data- Participation in TV program- Participation in marketing packages

Key findings - Weibo is more comprehensively influential in social marketing due to its openness

Tool-oriented Making a certain behavior demand go online (e.g. messaging and voice communication) Initiative, purpose and real time-orienteda

Information-orientedReceiving information of interest and

feeling satisfiedOpenness, diversity and

emotion-oriented

User behavioral differentiation of social platforms—from tool-oriented to information-oriented

Real time interaction

Interpersonal relationship

Knowing updates

Receiving information

Interest &

Hobbies

One-to-one chatting

Group chatting

Original release

One-to-one chatting

Group chatting

Know aboutfriend updates

Content forwarding

Know aboutcelebrity updates

Reading news

Interestgroup

Know about interest circles

Check for interest information

Know about friend updates

Wander for fun

Six steps of social marketing

Listening to consumer

Trigger demand

Stimulateaction

Maintaincustomerrelation

PurchaseShare

1 2

3

45

6

Key findings - Weibo is more comprehensively influential in social marketing due to its openness


User behavioral differentiation of social platforms—from tool-oriented to information-oriented

CHAPTER 3 Consumer value on social platforms

Page 11

Weibo looks around the big world, while Wechat focuses on the small world

Extroverted

Outer World

Others

Inner world

Self-centered

Inner heart

Relationship differentiation on social platforms—From realistic relationship to interest-based network

Real relationship Strong relationEmphasizing privacyMy identity: real-name, clear individual identity, and real interpersonal relationsIndividual information is well known by the relation chain on the platform.

Interest-based NetworkWeak relation

Emphasizing mutual interestMy identity: anonymous, exist merely

based on interest, just a part or a projection of myself.

QQ Space

Renren

Wechat

Weibo

Douban

Hot social issues

Humor & Jokes

Celebrity & News

Big

wo

rldS

ma

ll wo

rld

Weibo looks around the big world, while Wechat focuses on the small world


Relationship differentiation on social platforms - From realistic relationship to interest-based network


AcquaintancesFriends updates

Interests and hobbies (books/movies)

Updates of old classmates

Personal updates

Page 13

The development of China’s social platforms has differentiated into two major trends of social tool and social media

Social tool is based on real relation, which utilizes real behavioral demand, with Wechat as a representative

Social media is based on content, which groups people with similar interest, with Sina Weibo as a representative

China’s social platforms have two development trends of social tool and social media

Product setting is the basis of social platform differentiation, while product differenti-ation is the basis of developmental differentiation of social platforms. The setting of each social product must comply with its basic positioning logic. Taking Weibo and Wechat as example,

Weibo is featured with social property. It is a socialized information release platform which transmits public information and has certain governmental functions.

Wechat is featured with personal property. It is a social communication tool focusing on friend circle and personal relationships.

Product setting differentiation is the logical basis of the differentiation of social tool and social media

Too

l-orie

nte

d

Info

rma

tion

-orie

nte

d

Interest-based network

Real relationship

Weibo (social media platform) Wechat (Social tool platform)

Multiple to multiple

One-way following

Forwarding and commenting known

Individual and media on the same platform

PC end and Mobile end equally important

Open data

One to one, one to multiple

Two-way following

Forwarding and commenting not known

Media separated

Mainly mobile end(higher timeliness)

Closed data

Weibo

Douban

Renren

Wechat

QQ

China’s social platforms have two development trends of social tool and social media


Product setting differentiation is the logical basis of the differentiation of social tool and social media


Page 15

Weibo: a medium encouraging participation in social affairs

“Since friends’ comments are inundated by other comments, mostly I read the mircoblogs by celebrities and grassroots VIPs. It is interesting”--Interviewee from Mianyang

“I use Wechat to chat with friends, or know what they have been doing, where they go for fun or what good food they eat”-- Interviewee from Wuhan

Wechat: a tool which facilitates communication between friends

One circle, CelebrityEnterprise have larger voice

Size of the icon indicates voice volume

·Mainly scanning for interesting contents

·Trying to make one’s voice heard and draw attention

·Equal and timely communication betweenfriends

Friends &Relatives

Celebrity / Enterprise Celebrity/Enterprise

Different circles, voice of ordinary people is enlarged

Online friends Online friends

Acquaintances Acquaintances

Weibo: a medium encouraging participation in social affairs


Wechat: a tool which facilitates communication between friends


Pro

du

ct s

ettin

gC

on

su

me

r ex

pe

rien

ce

Friends &Relatives·Number of followers= one’s reputation on Weibo

·Hits, comments and forwarding remain visible to all users

·Encouraged by a sense of social achievement, users will participate more in creating and discussing contents on the platform

·More forwarding and comments

·Establish social image and participate more in social affairs

·Following and replies visible only to friends

·Common users unable to know whether the content is forwarded or saved

·The platform doesn’t encourage participation in social affairs, and too much participation tends to inspire dislike

·User mainly focuses on communication between friends, and updates information that only caters to friend’s needs

Pro

du

ct s

ettin

gC

on

su

me

r ex

pe

rien

ce

Page 17

Weibo and Wechat exhibit distinct differences in platform attribute and consumer psychology. It is in line with future trends for Weibo to further reinforce the differences, develop its unique characteristics and co-exist with Wechat.

A platform connecting the small world to the big world

A platform for users to show a better and stronger self

A platform for users to gain a larger voice and enhance personal influence

A platform for users to follow and absorb diverse information

A platform for users to better maintain the small personal world

A platform to reinforce real identity

A platform to enhance interaction among friends and maintain personal relationship

A platform which screens out irrelevant information

Psychological differences between Weibo and Wechat users ·Different relationship chains result in different driving forces of use. Different individual

projections cannot co-exist in one platform

·Wechat weighs more on the high-intimacy relationship chain, while Weibo weighs more on the low-intimacy relationship chain

·Since the high-intimacy chain needs continuous maintenance, user character on Wechat is “Me in the eyes of others” (me). Most actions are driven by the need to further reinforce and identify one’s position in the real society: a good leader, employee, client or mother, etc

·Instead, since there are fewer high-intimacy chains in Weibo, “i” have more freedom to discover myself and establish a new image (i)

“ i” in Weibo, “ me” in Wechat

·More thoughts

·More concerned with current politics

·More fashionable and have diverse interests

·Higher sense of public merits and social morality

·More social influence

Psychological differences between Weibo and Wechat users


“ I ” in Weibo, “ Me ” in Wechat


Friends & Relatives

Acquaintances

Online friends

Interest-based network

Interpersonal relations

To

ol-o

rien

ted

Info

rma

tion

-orie

nte

d

Page 20Page 19

Future of social platforms: Consumers use social tool and social media at the same time

China’s new social platforms keep emerging, but their success lies in positioning differ-entiation. The more real the relationship is, the more difficult it is to convert.

Development of new social platforms is determined by positioning differentiation

定位的差异化

WorkmateWhat’s app

Phone

Msn

QQ

QQ

Wechat

Wechat

Laiwang

Momo

Renren

Renren

LINE

Weibo

Tieba

Weibo

Tencent Sohu

Douban

Tieba

Douban

Yixin

YixinFeixin

YY

YY

Acquaintance Friend Common interest

Generally consumers own accounts of different platforms and disperse different user functions in these platforms.

Use of social tool and social media are inter-independent and co-exist with differentiation.

The major competitors of social tool are other non-social utilities, while those of social media are other media.

Stranger Expert

Communication

Workarrangement

Shopping communication

Tool-oriented

Work discussion

Friend share

Expressing one’s mood

Media-oriented

Spreading opinion

Entertainment

Inquiring

Acquiring diverse information

Future of social platforms: Consumers use socialtool and social media at the same time


Development of new social platforms is determined by positioning differentiation


Page 21


Six steps of social marketing Six steps of social marketing

1. Listening to consumer

4.Purchase

5.Share

6.Maintain customer relation

3.Stimulate action

2.Trigger demand

Social platform capacity to realize each step of social marketing

Identify market opportunityCrisis management & controlResearch and observation

Data opennessUser intention of

consumption-related discussionUser quantity

Coverage rateContent attractiveness

User acceptance of marketing info

Content credibilityCoordination with other media

ConvenienceAffordability

Open and public sharingSharing intention

Customer informationCustomer accessibility

Copyright: Millward Brown

Deliver info. to current andpotential usersWide coverageCreate hot topics

Affectively attract and persuade clientsChange attitude of target receiversStimulate client behavioral intention

Purchase platform (online & offline)

Word-of-mouth among usersEstablish reputation

Customer serviceRe-sale

Marketing effects RequirementsSocial

media

Social

tool


CHAPTER 4 Business value of social platforms


1. Listening to consumer

4.Purchase

5.Share

6.Maintain customer relation

3.Stimulate action

2.Trigger demand

Data opennessUser intention of

consumption-related discussionUser quantity

Coverage rateContent attractiveness

User acceptance of marketing info

Content credibilityCoordination with other media

ConvenienceAffordability

Open and public sharingSharing intention

Customer informationCustomer accessibility

Requirements

Social platform capacity to realize each step of social marketing

Page 23

Weibo: Media embracing individual opinion and free speech Wechat: Tool with restricted and prudent speech

Weibo: Focuses more on entertainment, open attitude to marketing information Wechat: Focuses more on affairs, dislikes irrelevant marketing information

◆Chasing hot topics, subjective judgments and free speech

·Adore one of the cute kids in Where are we going? Dad1

·Express ideas about the trial result of Li Tianyi Case and Li’s parents

·Express understandings of the 18th CPC National Congress resolutions

◆Actively participating in enterprise and brand image discussions

·Participate in discussions of inside stories of a certain brand or new product exposure

·Commenting on brands and enterprises under heated debate, talk about use experience and exchange experience with others

·People use Weibo to entertain themselves and look for “affairs” with an open mind

·Hot topics are followed, so that marketing information will be followed when it appears as a hot topic

·All interesting information is read in a wide manner, and marketing information is highly accepted by users

“I’m just looking for fun in Weibo. I read everything, and it’s OK to have some advertisements, just not too much.” --Interviewee from Wuhan


Weibo: Media embracing individual opinion and free speechWechat: Tool with restricted and prudent speech


Weibo: Focuses more on entertainment, open attitude to marketing informationWechat: Focuses more on affairs, dislikes irrelevant marketing information

◆Hot topics highly related to oneself and people around, restricted speech

·Remind users to keep themselves safe and only send information about common sense of life

·Unable to send provocative information because of family in Wechat

·Less irrelevant information to avoid annoying others

◆Enterprise and brand image relies on real consumption experience so the recommendation is highly credible

·One’s particular use experience assures recommendation: I recently bought a baby chair and found it very useful, so that I would like to recommend it to mothers within the friend circle.

Note 1: A hot Chinese reality show featuring five fathers and their kids as they travel to different rural areas in China.

·People use Wechat to see if they are “looked for” by some affairs with a nervous mind

·Upon receiving information, user’s first reaction is to “sieve out” useful information; what matters is whether the information is relevant or useful to “me”

·Irrelevant information will be filtered or screened, marketing information is disliked

“Once Wechat rings I think friends are looking for me and I want to see it. Therefore I screen irrelevant groups or shopping groups” --Interviewee from Beijing

Copyright: Millward Brown

Six steps of social marketingMarketing effects

Note: Size of the circle represents the supporting capacity of the step. Broken circle indicates related function layout.

Social

media

Social

tool

Page 26Page 25

Capacity of social tool and social platforms to support social marketing

Weibo: Short-term concentrated impact on target receiversInformation is under explosive diffusion in Weibo through wave to wave from the tipping point to periphery. The diffusion is in relative disorder.

Keyword: real-time, concentration, explosion

Wechat: Small but steady impact on target receiversInformation is in a linear flow. Information is forwarded to private users one-by-one from the publisher (public account). The diffusion channel is relatively closed.

Keyword: time linearity, vertical, closeness

Information diffusion difference of social tool and social media to support social marketing

Audien

ceAu

dien

ce Audience

Forward

Source

Audience

Audience


Information diffusion difference of social tool and social media to support social marketing


Capacity of social tool and social platforms to support social marketing

Information reprocessing

Original tipping point

Second tipping Second tipping

Second tipping

Third tipping

Third tipping

Identify market opportunityCrisis management & controlResearch and observation

Deliver info. to current andpotential usersWide coverageCreate hot topics

Affectively attract and persuade clientsChange attitude of target receiversStimulate client behavioral intention

Purchase platform (online & offline)

Word-of-mouth among usersEstablish reputation

Customer serviceRe-sale

1. Listening toconsumer

4.Purchase

5.Share

6.Maintain customerrelation

3.Stimulate action

2.Trigger demand

Solve brand crisis

Clear up misunderstanding

Customer relationship management

Understand consumerdemand

Define brand together with consumers

Timely interaction

Create hot topics in communication

Promote implementation of marketing activities

Customer relation management

Guide sales

Apart from providing enterprise-client communication channels, social platforms are also beneficial to all-media marketing

Page 28Page 27

Weibo is more comprehensively influential due to its open media property

An open and public platform

Participation in marketing packages

Participation in TV programOpen data

“It’s good for food safety. The official KFC Weibo clarifies that all its food materials are safe.”- A VIP user from Wuhan

“Once Nokia organized an online poll asking for customer’s Lumia use experience, so that the Product & Technology Dept. can improve the product according-ly. I find it very considerate. ”- A middle-class woman from Beijing

“Stars of Where are we going? Dad all have Weibo, so that we can interact with them or the program group, express our opinions and participate in discussions”- Diaosi woman from Mianyang

“We can communicate directly with the producer. Last time I sent a message to Lamv through Wechat, asking that we were out of fluorescent green pens, and they told me where to buy them.”- A middle-class man from Shanghai

Authentic reputation on Weibo rapidly promotes real-time program popularity

·Before “Where are we going? Dad” was broadcast, its Weibo promotion was low-key. The discussion stayed at a few hundred or thousand pieces before 11 October, but surged to 180-thousand after its broadcast, so it really pushed the discussion to a high level

·Hot topics can create all-member concern during the process

·Stars and staff further enhance topic heat

·Psychologists, constellation columnists, and sociologists spontaneously publish papers and inspire in-depth discussion

·Many real moms get involved, and share their own viewing experience combining their parenting experiences so as to stimulate discussion

·With Weibo keeping the the topic sizzling, more people wanted to watch the show, so that sharing and discussion became more heated and every episode was improved


Weibo is more comprehensively influential due to its open media property


Authentic reputation on Weibo rapidly promotes real-time program popularity

Page 29

Weibo: Presale reputation establishment and maintenance Wechat: One-to-one after-sales customer service

·Durex proposes a topic discus-sion :#Best fan#，#No bullshit#，#Daily guessing#, etc

·Interact with Weibo users and tell jokes

·Inset brand into hot topics to promote brand, such as making shoe cover with Durex in Beijing storm

·Characteristics of Durex official Weibo:Many original micro-blogs with same style

Humorous, stylish and interesting

Brand image is well embedded

·Regular content forwarding such as Durex Lecture

·Listen to consumer’s questions and timely conclude feedback of “Weekly question collection”

·Proposed “I want welfare” free lucky draw to attract followers and enhance impact

·Characteristics of Durex official Wechat:Content forwarded is closely related with the brand

Communication with consumers are rapid and well-targeted, which helps improve the brand-consumer relationship

How to conduct social marketing through Weibo and Wechat Case: Weibo and Wechat marketing of Durex

Reinforce brandimage and maintain

brand popularity

Enhance consumer-brand relation


Weibo: Presale reputation establishment and maintenance Wechat: One-to-one after-sales customer service


How to conduct social marketing through Weibo and Wechat Case: Weibo and Wechat marketing of Durex

“I followed the Weibo of “Shanghai Release”, which regularly releases news about Shanghai, such as debate of whether to raise water fees or not: moreover, it can offer you services if you follow its Wechat. For instance, if you ever get lost in Pudong, you can ask for directions through Wechat.” - A Diaosi woman from Shanghai

Suggestions andcomplaints

Form purchasinginterest

Use experiencesharing

After-sales demand

“I followed CMBC bank’s Weibo. It mostly releases news, but we are able to check savings if we follow the Weibo, so it is very convenient.”- A middle-class woman from Beijing

Enterprise marketing process

One-to-one customized service

Timely monitoring and response by

enterprise

Suitable communication

Create hot topics

Presale

Sales target reached

After-sale

2014 Redefining China Social Platform

Social Media

Transcript of 2014 Redefining China Social Platform