Social Media’s Affect on your “Brand” Andrew Warzecha, VP, Strategy, Software Solutions Group
Social Media Revolution Link © 2010 IBM Corporation
IBM Software for a Smarter Planet
Social Media Influence
of consumers trust peer recommendations Source: August 25, 2009, “The Broad Reach Of Social Technologies” Forrester report
million people worldwide visited a social networking site. Source: comScore, Social Networking Phenomenon 2
© 2010 IBM Corporation
IBM Software for a Smarter Planet
For CEOs – It’s About Greater Customer Intimacy
88% of CEOs will focus on getting closer to their customers in next 5 years
82%
85%
of CEOs want to better understand customer needs
of CEOs require more visibility into their businesses
Businesses are focused on understanding their customers to drive more/greater business value with their marketing spend Source: 2010 IBM CEO Study
© 2010 IBM Corporation
IBM Software for a Smarter Planet
Justifying and Measuring Digital Marketing
Winterbury Group, October, 2010
30% + consumer media spending is through digital channels Standardization of digital metrics is fueling wider adoption Suppliers (agencies) continue embracing digital capabilities to get in front of their customers 4
© 2010 IBM Corporation
IBM Software for a Smarter Planet
Consumer Insight - Customer Example PepsiCo’s 4-Point Strategic Plan for Social Media Analytics 1. 2.
3.
4.
Establish Social Analytics Center of Excellence Establish Advanced Social Analytics Capability for Brands, R&D, Strategy, and Public Relations Progressively develop and roll out Social Analytics cockpit across PepsiCo Brands and Organizations Train Business Analysts within each organization to leverage tools & consumer insights
Integration
Evolving Topics
Analytics Affinity
Gatorade Mission Control Link
Sentiment © 2010 IBM Corporation
IBM Software for a Smarter Planet
Employee Sentiment Analysis at IBM Employee Internal blogs and community rooms, Lotus Connections
Consumer Insight Firewall
Career discussion forums, job posting blogs, Monster.com, Linked In, etc.
External Social media content
© 2010 IBM Corporation
IBM Software for a Smarter Planet
© 2010 IBM Corporation
IBM Software for a Smarter Planet
IBM Customer example - personal care products company Sponsorship of well known model, who also advertises other, non-competing brands ■ Lots of chatter due to her “next top model” TV appearances, but brand or company names were mentioned in only 3% of the social media postings ■ One of the other brands championed by the model accounted for the majority of the mentions ■ TV appearances by the model generated no buzz around this sponsored brand
1.5% 1.6% 0.3% 3.1%
13.7%
82.0%
Other 1 Other 2 Other 3 Other 4 Company Brand
Evolving Topics
The company used details behind these insights to provide advice to the model on how to alter her sponsored mentions and generate brand association and sponsorship ROI © 2010 IBM Corporation
IBM Software for a Smarter Planet
IBM Customer example - washing detergent manufacturer Washing powder manufacturer tunes into a new thread of dialog on what consumers like and dislike about the competition 60.0%
Discussions by Topic/Concern
30.00% 25.00%
50.0%
24.20%
20.00%
Drill down
30.0%
15.00% 10.00%
40.0%
7.40%
5.00%
20.0%
1.9% 1.50% 1.2% 0.50%
0.00%
10.0%
“Smell” Related Discussions by Brand
Competitive A Brands B C D E F G H I
0.0%
Smell Palm oil
Stains Allergies
Hygiene Cold wash
“Seriously, “Seriously,I Idefinitely definitelycan’t can’t recommend recommend[brand [brandA]A]totoanyone anyone with a sensitive nose! After with a sensitive nose! After22 wash washloads, loads,the thewhole wholehouse house smells smells––urgh!!” urgh!!”
“Have “Haveagain againbought bought[brand [brandE]. E].I Ijust justcan’t can’t take the smell of [brand A] any more and take the smell of [brand A] any more and fortunately fortunatelythe thebottle bottleisisalmost almostempty. empty. Somehow, my clothes start smelling Somehow, my clothes start smellingkind kind ofofsour after a couple of days in the closet, sour after a couple of days in the closet, when whenI’ve I’veused used[brand [brandA]A]” ”
Further drill down provides new insight for the product development lab on consumer sensitivities , and an opportunity to capitalize with a quick-response competitive campaign © 2010 IBM Corporation
IBM Software for a Smarter Planet
IBM Customer example - personal care products company Hair care manufacturer finds out what consumers really chat about
■ Their earlier analysis of Google search requests suggested that hair problems formed a significant part of what consumers care about…
■ … but CCI showed that people rarely chatted about their hair problems when discussing and comparing hair care products 47.4%
7%
0.1%
23% 46%
24%
Hair style Hair care Hair problems Hair color
1.9% 6.7% 2.9% 5.2% 7.8%
15.8% 6.8% 5.4%
Hair color Hair style Allergy Quality Durability Loyalty Value Sales channel Expensive POS
The marketing messages were re-focused in line with this more nuanced insight – promoting what customers want for their hair to harmonize with the social media agenda
© 2010 IBM Corporation