eMarketer Webinar: Measuring Social Media Success

40
©2012 eMarketer Inc. Debra Aho Williamson Principal Analyst J A N U A R Y 1 9, 2 0 1 2 Measuring Social Media Success Sponsored by:
  • date post

    11-Sep-2014
  • Category

    Business

  • view

    23
  • download

    0

description

 

Transcript of eMarketer Webinar: Measuring Social Media Success

Page 1: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Debra Aho WilliamsonPrincipal Analyst

J A N U A R Y 1 9, 2 0 1 2

Measuring Social Media Success

Sponsored by:

Page 2: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

What we’ll look at today…

1) Why it’s important to get measurement right

2) The four problems of measurement today

3) Metrics for success: Three things all marketers should do

4) How to take measurement to the next level

Twitter: #eMwebinar

Page 3: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

What’s wrong with social media measurement? A snapshot

“Not a single one of the vendors could help them

justify the spend that they’d made in their

tools, much less their social campaigns.”

Big company

11 social measurementvendors

Page 4: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

The Importance of Social Media Measurement

Page 5: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

“Global executives attribute 52% of their brand’s reputation to how social it is online today, up from

45% one year ago.”

“They project that 65% of their brand’s reputation will come from its online sociability in three years.”

Marketers believe social media will bring a range of benefits …

… if they can only unlock the key to success.

Source: Socializing Your Brand: A Brand’s Guide to Sociability, October 2011

Page 6: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Measurement and budget go hand in hand

Marketers need proof that social media works, so they can feel comfortable continuing to invest.

Trial: organization does not have a process or guidelines for performing social marketing. Transition: organization has an informal process with a few guidelines it sporadically performs. Strategic: organization has a formal process with thorough guidelines it routinely performs.

Twitter: #eMwebinar

Page 7: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

The rewards can be great, but the risks are high. Accurately measuring social media is a must.

Marketers’ Top Two Digital Marketing Challenges

#1 Generating and leveraging deep customerinsights is a necessity tocompete effectively

#2 Managing brand health and reputation is harder when social media plays an important role in marketing

Source: McKinsey & Company “McKinsey Quarterly,” November 2011

Image: fotographic1980 / FreeDigitalPhotos.net

Page 8: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Social Media Measurement Today

Page 9: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Here’s what marketers say:

Social media measurement is not very effective. Even though there are many ways to measure, concrete success metrics remain elusive.

Fan count is still a top metric. 60% of marketers use friends, followers or “likes” as a success measure (Chief

Marketer, 2011).

The ROI question is unanswered. Return on investment is a top challenge of social media marketing, making budgeting difficult.

We don’t know what tools to use. One tool or several?

Twitter: #eMwebinar

Page 10: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Marketers in their own words

“I wish I could say there are many best practices and case studies out there, but right now we are still at the infancy stage of defining a framework for social media measurement.”

“I don’t think anybody’s really cracked the code about how these types of online tools directly impact revenue or ROI.”

“We’d like to be able to say that because we launched a Facebook sampling tab we’ve increased our fan count and increased sales by a certain percentage, but we’re not in that place yet to have those sorts of metrics.”

Page 11: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Only 13% of marketers say they are ‘very effective’ at measuring results

Page 12: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Marketers are more apt to count fans and ‘likes’ than sales

No change from 2010

3 points lower than

2010

Page 13: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Measuring social media ROI is frequently cited as a challenge

Page 14: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Marketers do not know what tools to use to measure success

Twitter: #eMwebinar

Page 15: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

TKTK

Credit: jscreationzs / FreeDigitalPhotos.net

How can social media marketers get to the metrics that matter?

Page 16: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Measurement must move beyond the basics and prove business value

“We have gotten to the point where brands and companies are making decisions on whether to increase

investment in a channel that is receiving a huge amount of consumer attention. It’s

very important to start to move toward measuring in a better, more business-

value-focused way.”

Page 17: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Three Things Every Marketer Should Do

Page 18: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

1) Start measuring

39% of worldwide retailers don’t measure social media marketing. (Economist Intelligence Unit, April 2011)

36% of UK B2B marketers don’t measure. (PricewaterhouseCoopers, September 2011)

6.9% of high-revenue companies worldwide* don’t measure. (CMO Club/Bazaarvoice, 2011)

* half of respondents worked for companies with $1 billion+ in sales

Image: nattavut / FreeDigitalPhotos.net

Don’t assume it’s impossible

Page 19: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

The measurement landscape is crowded—but navigable

Page 20: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

2) Don’t wait for the silver bullet

Because businesses use social media for so many reasons and goals, there may never be a single success metric.

Twitter: #eMwebinar

Page 21: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Every social media effort should start with clear goals and KPIs

Experienced marketers use multiple metrics

Page 22: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

3) Demand that your marketing partners play a larger role

“The bigger consultancies and agencies—out of self-defense—will start to develop some pretty good methodologies and mental models for social performance and social ROI.”—Erik Huddleston, Dachis Group CTO

The days of recommending social as an add-on without a clear set of goals are gone

Page 23: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Some are already stepping up to the challenge

Page 24: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

How to Take Measurement to the Next Level

Page 25: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Three goals for increasing measurement sophistication in 2012

It’s not the fans, it’s what you do with them. Understand who your brand followers are and how influential they can be on your behalf.

Go beyond brand metrics. The more marketers can work toward understanding how social media impacts actual business, the better.

Integrate social analytics and marketing analytics. Understand how social media can make other media spending more efficient, and how online buzz relates to overall marketing performance.

Twitter: #eMwebinar

Page 26: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

1) It’s not the fans, it’s what you do with them

Understand who your brand followers are and how they can be influential on your behalf.

Focus on measuring leads, sales and revenue.

Page 27: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Only 28% of marketers track the number of people who contribute to a brand’s social community

Page 28: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

2) Track more than just brand metrics

Awareness and engagement may be easier to measure, but social media can do more. Harder metrics can show social’s contribution to business results.

Make sales an objective. Only 17% of marketers use sales or leads as a success metric. (Econsultancy/SEMPO)

“Sales are what matter to our agents. You can only measure how many people or how many positive comments for so long before people start to question it, especially in this economy.”

Page 29: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Questions:

How does an increase in positive online buzz impact CPG sales? How does negative buzz impact sales? How long can the effect be expected to last?

Methodology: Gathered point-of-sale sales data and online buzz for two brands: Lay’s chips and Skinny Cow ice cream

Case study: Measuring the impact of buzz on CPG sales

Twitter: #eMwebinar

Page 30: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Case study: Results

Finding #1: Incremental sales increases correlate to the amount of online buzz

Finding #2: An ad campaign can trigger online buzz, which in turn can cause a sales surge

Next steps: Study campaigns with less social activity to determine the

influence of buzz Incorporate ad campaign data to better filter out the impact of

advertising vs. buzz

Page 31: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

3) Integrate social analytics with other analytics to help build future business

And save money, too?

Can buzz generate leads?

Page 32: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Jim Farley, Ford’s global marketing chief:

“We’re shifting the timing of our [ad] spend. Social media allows us to start to build a community months before a vehicle goes on sale. We learned this with the Fiesta Movement and we are continuing to perfect the model.”

If a social campaign drives broad awareness “we can take the traditional media [spending] down a notch.”

Page 33: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Marketers have an opportunity to integrate social analytics just as they have integrated social media into marketing

Page 34: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Key Takeaways

Page 35: eMarketer Webinar: Measuring Social Media Success

©2012 eMarketer Inc.

Getting to the metrics that matter

Social media measurement has evolved, but still doesn’t satisfy most marketers. The effectiveness question remains top of mind.

Measurement and budget go hand in hand. Marketers need adequate metrics to be able to determine budget allocations.

Marketers are still too reliant on counting what is easy to measure. Counting fans and followers is fine as a basic benchmark metric, but marketers must strive to understand what those hand-raisers do for them.

Marketers must apply business-level analysis to social media measurement. Understanding social media’s effect on a company’s bottom line is critical. As SymphonyIRI and Ford have shown, it’s getting easier to consider the relative influence of social media on lead generation and sales.

Twitter: #eMwebinar

Page 36: eMarketer Webinar: Measuring Social Media Success

CFO vs. CMO

Page 37: eMarketer Webinar: Measuring Social Media Success

Powerful Intelligence For Social & Search Advertising

Page 38: eMarketer Webinar: Measuring Social Media Success

Real-Time Data So Marketers Can…

Prove ROIMake Better Ad DecisionsSurface Customer Insights

Page 39: eMarketer Webinar: Measuring Social Media Success

Clickable 4.0 Workflow

CompanyGraph ™

CRM

Ads Layer

Insights

Data Layer

Learn more: [email protected]

Page 40: eMarketer Webinar: Measuring Social Media Success

©2011 eMarketer Inc.

Measuring Social Media Success

Questions & Answers

Registrants will receive an email tomorrow that includes a link to view the deck and webinar recording.

For more discussion, please join us after the webinar on Twitter.

To learn about eMarketer Total Access please visit www.emarketer.com/productsor contact us: (800) 405-0844 or [email protected]

Twitter Hashtag: #eMwebinar

Presented by:Debra Aho WilliamsonPrincipal Analyst, eMarketer, Inc.

Sponsored by: