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This project was part of Initiatives Consumer Connections global research program which now spans in excess of 50 countries. Our studys sample was designed to identify those actively engaged in social media. As a result we conducted 8014 online interviews with consumers aged 18-54. Interlocking age/gender and regional quotas were set to reflect the national population in each country, the only exceptions being China where the focus was on Tier 1, Tier 2 and Tier 3 cities and Canada where the Nunavut, NWT, Yukon regions were excluded. We used complex factor analysis to identify drivers of social behavior. This enabled us to quantify consumers social influence and identify those who are leveraging their superior social connections to influence purchase decisions.
The importance of social media has been discussed at length for several years now. We know that in many markets time spent online has surpassed that of TV and that daily social media usage is continuing to increase. We know that the once linear and transaction-centric purchase funnel is now multi-directional, random and heavily influenced by opinion and information gathered by consumers. And we know that because of social media and technology, consumers can now enter the purchase cycle at various points, and spontaneously influence others as they travel along the path the purchase. But do we really understand how marketers can unlock the real value of all this? Do we know how social media works with other more established media? And do we know how to harness the power of social media for real commercial gain? In order to find answers to some of these crucial questions, Initiative set out to explore the individual and combined strength of TV, social and mobile, and how consumer interaction with each has altered the path to purchase. Specifically, we wanted to investigate: How do we produce greater synergy between our siloed media, social and mobile budgets and tactics that result in a greater return on investment? What are the impact of social, TV and mobile on shopper decision-making? What role does consumer influence play along the path to purchase? To do so, we conducted a global online study among 8014 web users aged 16-54 across eight countries: Argentina, Australia, Canada, China, Germany, the Netherlands, the US and the UK. We also spoke one-on-one with a group of super influencers in the US and the UK to gain a better understanding of social behavior.
SYNERGY
TRANSFORMING A
First, marketers must seed messages with consumer influencers who have the ability to quickly and effortlessly amplify brand messages across their large social circles. While this is not a new idea, social media has changed the size of influencers in the population and the speed with which messages can spread. Back in 1962, sociologist Everett Rogers popularized the Diffusion of Innovation theory estimating that only 2.5% of a given population are innovators, being the first to adopt new innovations and influence others to try them. We identified that 10% of online users have a disproportionate share of influence - we focused on this group and called them the Top 10%. These super influencers are defined by several key attributes and behaviors: having higher levels of media consumption, a social predisposition and wide category shopping; being more likely to research products online and make recommendations to others. These social extroverts have significantly larger social circles than those with lower influence and a higher proportion of their regular social contacts (every 1-2 weeks) are communicated with online.
21 10 38 7 46 9
10% 10%
INFLUENCERS
INFLUENCERS
TOP
BOTTOM
Average number of people in my social circle Base: Web users aged 16-54 years of age
10% 10%
INFLUENCERS
SMARTPHONE 86% 30%
TOP
BOTTOM
INFLUENCERS
DEVICES OWNED
LAPTOP 98% 97% TABLET 53% 5% OTHER MOBILE 25% 46%
Talk on a smartphone Send or receive email Text on a smartphone/mobile Access a social networking site/microsite Chat using instant messaging services Read an online forum/discussion Send an MMS/picture message on a mobile Socialise with others at home Contribute to an online forum/discussion Socialise with others outside the home Participate in online gaming Video conference 69%
9% 5% 1% More than once a day 1% Once a day 1% More than once a week 2% Every 1-2 weeks 1% Every 3-4 weeks 2% Less often 1% Never
The Top 10% are Media Mavens who skillfully navigate between the offline and online media, from reading both printed and digital magazines and newspapers to accessing the mobile internet which 72% of them do once a day or more, compared to only 18% of the Bottom 10%. When it comes to technology, the Top 10% are also more likely to own smartphones and tablet computers, as well as use technology as a social tool. The frequency with which the Top 10% use technology such as Skype, instant messenger (IM), mobile and social networking to supplement face to face conversations is also higher across the board. Their influence comes from their above average use of social media, with 79% using it more than once a day (vs. 29% of the Bottom 10%) and spending on average three hours a week engaged with it. But, most importantly to marketers, 99% of these influencers say that their friends ask their opinion before making an important purchase, compared to just 13% of the Bottom 10%. They are also extremely active during the zero moment of truth - more likely to research or talk about their forthcoming purchase online using social media and mobile before making their purchase decision. Compare this to the Bottom 10% as many as 29% failed to research any products/ services online before purchasing versus just 1% of the Top 10%. The Top 10% are more likely to discuss certain types of high engagement product categories such as mobile, travel, fashion, music and even beauty and personal care. Marketers should monitor these discussions and create platforms for positive sentiment to be used to influence other consumers in the consideration stage. By leveraging their influence, marketers can inject a trusted voice into the path to purchase with the ability to influence in real-time.
Media synergy also demands that marketers re-evaluate how they perceive media and its role in the purchase process. Too often, media is relegated to driving awareness, consideration and buzz, but if planned properly media can make a much bigger impact. When selectively combined, TV, social and mobile create a dynamic path to purchase that speeds up the overall decision-making and purchase process, while making shoppers feel good about their choice. We discovered that each medium examined in our study was found to have core strengths (see right). We also found that certain countries had a greater affinity for social and mobile as a marketing vehicle. For instance, in Argentina, online users are more likely than other countries in our study to think social media helps you share important info about a brand with others, (70%), find out more about a brand that you are interested in, (57%) and provides you with an unbiased and trusted recommendation about a product/service or a brand, (51%). On the other end of the spectrum, online users in the Netherlands had the least favorable perceptions about social medias role in marketing. Only 24% believe that social media provides unbiased and trusted brand recommendations and a little over a third (36%) think it is helpful for sharing brand information. When it comes to internet-enabled mobile, Chinese online users have a greater affinity for mobile with 77% having personal use of a smartphone compared to 58% of total online users in our study. Their mobile usage is also more varied as they use their smartphones in the following ways more than once a week: 63% - wifi access, 61% - mp3 player, 57% - video camera, 41% - instant messaging, 40% - video player. It is no surprise that they also rate mobile more favorably as a vehicle for interacting with brands. For them, mobile provides basic information about brands (41%), is a way to find out more about a brand that you are interested in (40%) and share important information about a brand with others (38%). Media planners and buyers are well versed in the role of media as a communication vehicle, but now must expand their expertise to include how different combinations of online and offline media perform as a point of influence.
TV AD
48%
56%
43%
46% 37%
HELPING YOU FIND OUT MORE ABOUT A BRAND
50%
PROVIDING YOU WITH A TRUSTED RECOMMENDATION ABOUT A BRAND
36%
32%
HELPING YOU FIND OUT MORE ABOUT A BRAND
33%
MOBILE
SOCIAL
Inuences by leveraging peer and expert advice
Q: Thinking about the range of different resources - social media, internet enabled mobiles/ smartphones, TV shows and TV ads - which of the tasks shown here are these things good at? Base: Web users aged 16-54 years of age
40%
30%
Web users*
20%
10%
Household appliances
Q: Which of these products/services have you ever... * Percentage of web users who have shopped for the listed categories in the last two years and used social touchpoints Base: Web users aged 16-54 years of age
Consumers are organically having conversations about brands prior to purchase, but marketers are not always using these conversations as a distinct point of influence on the path to purchase. We also found that these points of influence occur across categories. Once marketers can establish where their points of influence are for their category and brands, we think there is an opportunity to create social environments that transform organic community conversations into product information portals. Once inside the portal, consumers seeking brand information should be given the option to obtain more information, participate in a brand experience that underscores brand benefits, request a sample or more personalized information or link to make a purchase. By converting influence into action, marketers can use media more effectively, and improve the consumer and shopper experience by providing relevant information and expediting the shopping process. In return, consumers are more likely to share positive experiences about brands with their communities and hopefully become brand loyal.
Integrate everything
Media synergy is not business as usual, it requires new beliefs, practices and organizational structure. While many have adopted integrated marketing in theory, nearly 20 years after its conception, most organizations function in separate silos. To create a media synergy effect, marketing departments such as brand management, advertising, media and digital, as well as their accompanying budgets will need to be integrated. If physical integration of a companys marketing departments is not feasible, then an integrated planning approach with frequent communication among cross-disciplinary teams is a must. Integration is also required outside of an advertisers marketing department. Marketing will need to work more closely with other departments such as customer service or retail/trade to activate, monitor and respond to conversations occurring at the points of influence. Additionally, marketers will need to seek new methods of collaboration among groups of agency, media and technology partners that may have once seemed unimaginable. Those who are nimble enough to adapt to new work styles or have the capability to deploy technology solutions that facilitate integration will win.
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Target the power source. Target the top 10% of influencers in order to accelerate marketing effectiveness.
Engage with social influencers early and often. They have the power to make or break campaigns. Test brand messages with them pre-launch and carefully monitor their feedback during the duration of the campaign.
Go far beyond the 30-second spot and create additional content, such as behind the scenes footage, historical timelines and cultural associations to drive discussion and provide a link to brand discovery.
Enlist a team of brand and category relevant social influencers to preview new products and campaigns, stimulate dialogue and disseminate content along the path to purchase.
Integrate everything. Encourage an agency exchange program across partners. Designate time for specialists in all agencies to gain respect for aspects of building connections.
AbOUT INITIATIVE Initiative is a performance-led media communications company. Initiative believes that all marketing should be performance-driven. Data, analytics, insight and innovation are central to all our services, and we hold ourselves fully accountable to client business goals. This commitment to performance is at the heart of Initiatives unique process and culture. Owned by the Interpublic Group, Initiative is part of media management group Mediabrands and a partner of Magna, IPGs centralized media negotiation entity. Initiative employs more than 2500 talented professionals, working in 89 offices across 71 markets, worldwide. Initiatives comprehensive range of performance-led communications services include: research and insight, media planning and buying, digital communications solutions, content creation, and evaluation and accountability services.
CONSUMEr CONNECTIONS Through our Consumer Connections program of research, we are connected to 230,000+ consumers across more than 50 markets. We interact with these consumers to understand purchase patterns and media behaviors across continents to bring fresh insight into their lives and the role of the brands they use. The powerful single source data we gather as part of this programme also informs planning decisions delivering enhanced ROI for our clients.
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