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Measuring the Impact of Stories
One of the most frequent complaints/challenges I hear from both clients and colleagues is the lack of a framework for
measuring the impact of marketing efforts – including storytelling - on an organization’s overall marketing and business
strategy.
1
VP - Warschawski
Warschawski is a global, full-service marketing communications
agency headquartered in Baltimore, MD with offices in NYC and
Washington, DC.
HELLO,
LET ME INTRODUCE MYSELF…
I’m Sam. I have a fairly non-traditional background in finance, but I currently manage all
digital marketing & data analytics initiatives & accounts for Warschawski. I’m on the
faculty at Betamore Academy, Cabrini University & Johns Hopkins & teach graduate level
courses on a variety of topics. I’m also involved in the start-up community and love all
things ice hockey and football (the American version)
STRATEGY DIGITAL
MEASUREME
NT
LinkedIn
/in/samruchlewicz
Twitter
@samruchlewicz
E-mail
Sam.ruchlewicz@warschawski.com
PEOPLE DON’T READ ADS.
PEOPLE READ WHAT INTERESTS
THEM.
Howard Gossage
PEOPLE LIKE STORIES
Stories are more than just entertainment – from an evolutionary standpoint, they are essential for communicating knowledge, shaping
attitudes, creating social norms and fostering social cooperation – in short, most of the things that make us human. In fact, the human
mind is wired to divert attention and precious resources to character-centric narratives – which, in turn, causes a host of biochemical
reactions that ultimately result in our being more inclined to take actions.
6
WE HAVE FOR A LONG TIME
In fact, some researchers from MIT
analyzed 1,327 different works of
fiction from the Project Gutenberg
library using sentiment analysis –
and found that nearly all of them
followed one of six emotional arcs
or trajectories – and almost all of
them follow a similar narrative
pattern
STORIES FOLLOW PATTERNS
7
CONNECT & ENGAGE
Stories allow us to forge a human, personal connection in
an increasingly digital, impersonal world
WHAT DO
STORIES DO?
What is the point of telling stories? How do they
help us capture our prospect’s attention, captivate
them with our messages and convert them into loyal,
paying customers?
INFORM & EDUCATE
Humans retain exponentially more information from a
story than from a mere recitation of facts – allowing
brands to inform and educate consumers simultaneously
INSPIRE ACTION
Engaging stories naturally cause audiences to empathize
with the characters and they trigger the same
biochemical activity as if the audience was experiencing
the story first-hand – providing a perfect opportunity to
drive action
LOVE & LOYALTY
Stories are memorable experiences – they bring us
closer to brands and forge the types of emotional
connections that countless studies have linked to brand
loyalty and preference. Your challenge is to determine
what stories do this best.
8
Biologically, humans are wired to detect
patterns – whether or not they are there.
Stories play into that need, constantly
generating and releasing tension in a
(fairly) predictable way. In fact, studies
show that stories generate both cortisol
and oxytocin.
ATTENTION
We’ve all seen the movie Inception, right?
Where an idea implanted in a person’s mind
goes on to shape their reality? Well, the
same thing happens with stories. We
remember them. We internalize them. And
we use them as bases for action in the future
– consciously or not.
BELIEF
Stories can be up to 22x more memorable
than facts and figures alone – likely
because (1) stories engage our entire brain
and (2) our ability to use them has been
selected for over thousands of years of
evolution
MEMORABILITY
Humans are wired to feel stories as if they
are experiences; stories stimulate the entire
brain – not just the parts associated with
language.
Stories, then, engage the entire brain –
which is both memorable and emotive.
EMOTION
S T O R I E S & M A R K E T I N G
WHY ARE WE
HERE?
Since stories are so wonderful and great, so ingrained in our history and our
biology, then why are we here? Clearly they are effective.
But it doesn’t matter what we know. It matters what we can prove.
THE PROBLEM
H O W T H E P R O B L E M S T A R T S
11
Someone – usually in the marketing department or
the C-Suite – insists that the company begin
incorporating ”stories” in communications - for
whatever reason
THE DRIVER
Everyone jumps & starts creating
stories galore. We share them on
social, we use them in ads, we publish
them everywhere we can. Things are
good.
WE TELL STORIES!
No one has good answers to the good
questions – and no one knows where to get
them. Things are decidedly NOT good.
HOW DID WE GET
HERE?
The problems peak the attention of some HIPPOs –
who starts asking questions about the storytelling
program. Why are we doing it? How has it helped us?
Should we be doing more? Doing less? Where does it
fit in our sales & marketing strategy?
QUESTIONS ARISE
Excitement fades. Buyers’ remorse sets in.
Stories cease to have the impact they once did.
Complaints or customer service issues may start.
No one is sure what stories to tell, or how to tell
them. Inconsistencies arise.
UH-OH
12
“We’re spending a fortune on these
‘Content Marketing’ consultants – and I
don’t even know what they’re doing!”
“What do all of these metrics mean? Is
it good if more people “like” our new
brand video? How do I read these
reports? What is useful here?”
“The CEO says we NEED to be on
Social Media, but I don’t know what we
need to do on there or how it helps us
sell our products & services.”
”Our SEM is converting through the
roof! We should just fire those content
guys and spend all of our money on
that!”
T H E P R O B L E M
Most marketers – about 61% according to a HubSpot survey, to be exact – cite content marketing (including
storytelling) as a “go-to” marketing tactic. The problem arises when those marketers are asked to quantify the value
of the outcomes produced as a result of those efforts.
R E P O R T I N G
There are simply too many “metrics” being thrown around – and there is too little emphasis on identifying and solving for the ones that
actually matter to the bottom line.
And unless you have clarity of your goals, there is simply no way that you’ll be able to quantify the value of your
marketing/media/storytelling/social/digital efforts – let alone justify the budgets supporting them to C-Suite executives
ENGAGEMENT
RATE
What does this even mean? FOLLOWER
SWhat are they good for?
REACH
Who here knows that this
is a calculated metric?
UNIQUE
VISITORS
CPM
SENTIMENT
COMMENTS
13
IMPRESSIO
NS
AVE
CPV
C LIC KS LIKES
SHARES
14
WHO
CARES?
What is the value of a story to your business? How does the
number of ‘likes’ on brand story help you achieve your goals on
social or other channels? And most importantly, how are the stories
your company is telling helping you achieve your bottom-line goals?
STEP BACK
T H R E E B I G Q U E S T I O N S
16
HELP THE
BUSINESS?
HOW DO
YOU KNOW?
IS IT WORTH
IT?
WHAT ROLE DO STORIES
PLAY?
For humans, stories can be a connector, an educator,
and an entertainer. For business, the roles stories
play are likely different – is it a converter, an informer,
an engager? What are stories doing to help you
engage, captivate and convert your target audience
into real, paying, profitable customers?
WHAT IS SUCCESS?
Storytelling is a marketing investment –
even if you are just sharing content you
already have. There’s time, creative,
design, review, etc. So, how do you know
this is time/resources well spent? What
does success look like? How does that
success help your bottom line?
WHAT STORY TO TELL?
This is one of those questions most people
don’t both to ask – everyone assumes that
since people are social storytellers,
businesses should follow suit. But does
that make sense for your brand?
HOW DO YOU
KNOW?
The four words that will forever change your life as a marketer, social media
guru, analytics junkie, brand evangelist, whatever.
THE (BIG)
PROBLEM SOUND FAMILIAR?
Marketing Team: Traffic is up across every channel! CTR is up,
CPC is down for our paid search campaigns, overall content
marketing/storytelling efforts are a HUGE SUCCESS! Lots of ROI!
Executives: Great! But how does this impact our expected
earnings for Q2?
Marketing Team: Well, our brand story video generated 65% more
engagement on social over last year!
Executives: …..
19
METRIC DISCONNECT
Content/Social metrics don’t correlate to business outcomes
2 UNCLEAR STRATEGY
Regarding how storytelling is expected to contribute
3 NO COORDINATION
Across teams and departments regarding content/story
4 BAD THINGS HAPPEN
There’s a reason CCOs & CMOs have the shortest tenure
in the C-suite. And there’s a reason the average agency
relationship lasts less than 18 months
P U T A N O T H E R
W A Y
Most marketers have absolutely no idea what contribution (if any) storytelling
efforts are making to their bottom line – and no idea how to figure it out.
Lack of clarity here = a lack of understanding in what stories to tell
1
RESET
21
S T O R I E S
TACTILE
Humans feel stories in a personal, human way
MOTIVATIONAL
Stories are natural motivators – whether that be to
remember, to buy or to share. They inspire action
INNATE
Humans have a unique, innate predisposition to see
patterns – and stories align nicely with that tendency
VIRAL
Stories are shareable because they are memorable – once
we see the pattern of the story, we can easily share it
EVERGREEN
We’ve been telling versions of the same story for millennia
– and we’ll likely continue doing it forever.
Why do we tell them?
What do they do?
How do they help?
T H I N G S W E C A R E A B O U T
22
AWARENESS TRUST THOUGHT
LEADERSHIP
PERCEPTION
CREDBIILITY CUSTOMERS SALES PROFIT
23
PREFERENCE DEAL SIZE DEAL VELOCITY LIFETIME VALUE
Why do we buy from one brand
over another? Why do we trust
one bank over all of the others?
Why do we pay more for Apple
or Starbucks?
Small deals are nice – big deals
are nicer. Stories not only help
close the sale, they help us
cross-sell or upsell, increasing
overall transaction revenue.
Stories are natural motivators –
they inspire action. In business
terms, a story that resonates is
likely to encourage buyers to
make purchases now.
Stories create emotional
connections – which tends to
result in higher LTV (ask
Starbucks) and increased
customer loyalty
WHICH DRIVE
24
& W H A T M A T T E R S
(PEOPLE & PROFIT)
25
H O W I T S H O U L D
B E
Storytelling measurement doesn’t need to be a foreign
concept or something that “just has value” – we can (and
should) quantify how effective our stories are so we know
which ones to tell (and which ones to not).
P R I O R I T Y 1
P R I O R I T Y 2
P R I O R I T Y 3
BUSINESS GOALS
ALIGNED METRICS
PROFITABLE
REALITY
What do we expect Stories to do for us?
That allow us to see if stories are meeting our
goals
The thing we’re all looking to find
A BETTER WAY
I’ve been obsessed with thinking about this situation – and I’m convinced there
is a better way to do this. Because as marketers and communicators, we’re
creating a TON more value than we’re getting credit. And that needs to change.
QUANTIFYING
OUTCOMES
1 2
3 4
28
The things we count – like
impressions, site visits, followers,
retweets, etc.
VANITY METRICS
Better-than-vanity metrics (like CTR,
CPV, etc.) that provide some context to
vanity metrics and allow us to better
understand what is happening, maybe
in real-time
PERFORMANCE
METRICS
Connecting metrics to KPIs and looking for
interesting relationships; segmentation
across different performance metrics;
statistical analysis
INSIGHT DRIVEN
A complete, quantified understanding
of how our marketing organization is
performing relative to the user’s intent
and what is likely to happen next.
PREDICTIVE,
END-TO-END
OUTCOMES
A VISION FOR
MEASUREMEN
T
THE END GOALTHE PLACE EVERY STORY MUST START
OBSESS ABOUT
INTENT
You can’t judge every visitor by a transaction or every new customer by their
LTV – that’s not materially different from judging a fish by its ability to climb a
tree.
Stories should be designed to meet people where they are and take them to
where they want to go – which is why we need to measure every stage of the
process and obsess about intent.
31
1
2
3
4
SEE
Largest Addressable Qualified Audience
THINK
Largest Addressable Qualified Audience with some
commercial intent
DO
Largest Addressable Qualified Audience with A LOT of
commercial intent
CARE
Customers with at least TWO transactions
F R A M E W O R
K S
Here is one (incredibly useful) framework for doing
exactly that – developed & made popular by Avinash
Kaushik at Google. I use it in more detail on the
following slide
A C Q U I S I T I O
N
B E H AV I O R
O U T C O M E S
SEE THINK DO CARE
MARGINAL
INCREASE IN
SEARCH
I.I. BRAND
RECALL
CONVERSION
RATE
AMPLIFICATION
APPLAUSE
CONVERSATION
MICRO-
CONVERSION
LOYALTY
RATIO
LTV PER
CUSTOMER
PROFIT
PER PLACEMENT
& USER
MICRO-
CONVERSION
SITE
ENGAGEMENT
REPEAT VISITORS
PER PLACEMENT
VIRAL
COEFFICIENT
32
B E T T E R M E T R I C S
33
BRAND
PERCEPTION
PERMANENCE II PURCHASE
PROB.
ECONOMIC
VALUEDoes the story create an
emotional connection with your
brand? Do those people who
hear/see/experience it tend to
think of your brand more
favorably after the story?
The average individual sees
upwards of 5,000 brand
messages a day – so how long
does that story remain in their
mind? How memorable is it?
Does your story inspire
action? Do the individuals who
see/hear/experience your story
exhibit a higher propensity to
purchase than those that don’t?
The holy grail - the true value of
your story to your company,
broken down in bottom-line
terms. In other words, is this
a profitable endeavor?
34
OTHER AWESOME
METRICS
These are just some of the metrics that can be used to calculate the
value of stories – and I’m sure there are many more
PROFIT PER
PLACEMENT
OR STORY
APPLAUSE
AMPLIFICATION
CONVERSATION
RELATIVE
CONVERSION
TIME
MARGINAL
INCREASE
IN SEARCH
PURCHASE
INTENT LIFT
INCREMENTAL
INCREASE IN
BRAND
RECALL
INCREMENTAL
INCREASE IN
DOMAIN
AUTHORITY
MARGINAL
INCREASE IN
INFLUENCER
SCORE
UNIQUE
ENGAGED
USERS
THOUGHT
LEADERSHIP
INDEX
CONVERSATIO
N RATE PER
STORY OR
CHANNEL
VIRAL
COEFFICIENT
LOYALTY
RATIO
1 2 3
M E T R I C S A R E N O T E N O U G H
35
Metrics alone will not tell you the degree
to which a particular story or campaign
or whatever actually added real value –
after all, you were going to convert
some customers anyway. Seek to
quantify incremental value added –
don’t succumb to post hoc, ergo propter
hoc
QUANTIFY VALUE
ADDED
QUANTIFY
While we all LOVE quantitative data,
many of the game-changing insights lie
in the qualitative realm – the comments,
the reviews, the tweets. Incorporating
qualitative data with quantitative can
yield incredible insights into what stories
are resonating – and which ones aren’t.
QUALITATIVE
MATTERS
FEEL
Every great brand is continually refining
the stories it tells based on customer
feedback – both overt (collected) and
implied (clickstream/monitoring) – and
you should do the same. After all,
people do lie to us (I know you’re
shocked)
TEST, TEST, TEST
EXPERIMEN
T
36
T H E Q U A L I T A T I V E S I D E
So any attempt to quantify their impact must take into account the positive (or negative) emotions they
create within your target audience. Luckily, we live in a world where most people post their feelings
online regularly – and tend to do so all the time. Sentiment Analysis provides a powerful tool for
marketers to understand the qualitative side – and even predict which ads will be most successful
STORIES DO MORE THAN IMPACT NUMBERS OR
PURCHASES
E C O N O M I C V A L U E M E T H O D S
37
COMPARABLES ONLINE/OFFLINE FINANCE WITH & WITHOUT
Use your company’s
established models for
comparable
tactics/channels/whatever. Take
it. Use it.
Tag all of the “leads” generated
online (coupons, forms, offers,
unique phone number, etc.) in
the CRM, wait 1.5 sales cycles
and pull the results.
Finance/Accounting should be
your BFF. They have a ton of
models that you can use to
evaluate everything, from LTV
to Expected Value to ROI. And
they know how much other
areas of marketing pay for
comps.
“With & Without You” is actually
a borrowed sport-stat reference
meant to capture the value of a
player based on how (s)he
impacts the play of teammates.
38
USE THE ONE
THING EVERYONE
GETS
(Money)
W E C A N M E A S U R E T H A T , T O O
39
Social Listening
L Sentiment
Analysis
S
Digital
Platforms
D Network
Analysis
N
 We’re fortunate to live in an age when
everyone – from a small child to a
grandparent – has the ability (and in
the inclination) to post their thoughts
and feelings – all the time.
 It has never been easier to understand
how key members of your target
audience are feeling about your story,
ad or brand
 Sentiment Analysis allows us to better
understand the content and context of
conversations at scale
 Network Analysis allows us to quickly
understand the nature of influence –
who is connected to who, how
influential various people are and how
likely a story is to resonate
1
2
3
4
5
40
WHAT ARE
STORIES?
To put it simply: they are a better way of earning the attention
of your target audience. So measuring their impact is as
simple as measuring the impact of every other ad
Structure
A Test
Launch
the
Creative Calculate
The
Increment
Translate to
Bottom-
Line
Outcomes
Calculate
ROI or
ROAS
SOME EXAMPLES
MEH.
Basic Facebook & Analytics reports provide little real value – and a ton of ”vanity” marketing metrics.
None of this tells us how effective our stories (or anything, really) are at engaging, inspiring or converting our prospects into customers.
PRETTY GOOD!
We can see the per session value for each channel – as well as the fact that social (in this case)
is dramatically under-performing relative to other channels like paid search and affiliates.
But this doesn’t show us how effective our stories are – it simply shows us channels. Not as helpful, but it is better than the FB/GA
defaults. And drilldowns into this report might reveal that specific messaging/campaigns are better than others.
SOLID
Per session value AND conversation probability – great step!
M E A S U R I N G I M P A C T
45
QUITE HELPFUL
These graphs (all provided courtesy of Facebook & Nielsen) show us how effective our stories are – and how long a prospect must be
exposed to them before we can expect to see effects to recall, awareness & purchase intent.
The graph at right shows us how significant each tactic is (FB, TV, both) at generating purchase intent.
EVEN BETTER
One of the big questions marketers need to ask is how often a prospect needs to be exposed to a story before an effect
(awareness/recall/purchase intent) is created – which is answered by the chart at left. Knowing this, we can optimize delivery of ads to
maximize effect and minimize cost.
The chat at right shows us just how powerful stories can be – a sequence of three ads generates 8x lift over three sustained ads
ONE STEP
MORE
I T A P P L I E S T O E V E R Y O N E
49
PROOF ANALYTICS
IN ACTION:
AIRBNB
One of AirBnB’s greatest challenges was
convincing customers that it was OK to stay
in people’s houses – and convincing
homeowners that it was safe to have guests
CONNECTIONS
AirBnB launched in 2007 with a goal to
radically change travel & lodging – by
creating a peer-to-peer rental system
INNOVATION
There’s also the profit component of this –
could AirBnB scale this new concept into a
profitable business, all while competing with
traditional hotel marketing powerhouses?
NUMBER ONE
53
2 IMPORTANT GOALS
Airbnb quickly learned that stories could help them achieve two (equally) important goals: (1) create
emotional connections between guests & hosts, thereby increasing bookings and (2) make it easy for
hosts to get started, thereby increasing supply to meet demand
Airbnb had a rough start – after the first year, the company was making
less than $1,000 a month ($12,000/year) in reservation fees. Times were
tough – and the company resorted to selling cereal to raise capital
ROUGH START
One of the major complaints with the platform was that the pictures –
and the stories – were lacking. Prospective renters couldn’t “see
themselves” staying at various properties, which discouraged booking
COULD STORIES HELP?
V I S U A L S T O R I E S
54
Airbnb’s three co-founders became “self-taught” photographers, traveling regularly from San Francisco
(where the company was based) to NYC (where the most rentals were located) in order to meet with
customers and take “professional” pictures of Airbnb properties
S O C I A L C O N V E R S A T I O N
55
Airbnb invests in professional
photographers for listings; sees
2x jump in reservations
TURNING POINT 1
Airbnb launches ”experiences”
for hosts/travelers to connect in
more meaningful ways
TURNING POINT 2
0
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Airbnb launches ”experiences”
for hosts/travelers to connect in
more meaningful ways
TURNING POINT 2
S E A R C H I N T E R E S T
56
Airbnb invests in professional
photographers for listings; sees
2x jump in reservations
TURNING POINT 1
0
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
2009 2010 2011 2012 2013 2014 2015 2016 2017
Airbnb
launches ”experiences” for
hosts/travelers to connect in
more meaningful ways
TURNING POINT 2
N E W Y E A R S B O O K I N G S
57
Airbnb invests in
professional photographers
for listings; sees 2x jump in
reservations
TURNING POINT 1
58
ANNUAL BOOKINGS &
REVENUE
One of Airbnb’s initial user complaints was that properties were not desirable – and it was difficult to
determine what it would ”feel” like to say at one of these properties.
In short: there was no personal, emotional connection between host & guest
$-
$200,000,000.00
$400,000,000.00
$600,000,000.00
$800,000,000.00
$1,000,000,000.00
$1,200,000,000.00
$1,400,000,000.00
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
0
20,000,000
40,000,000
60,000,000
80,000,000
100,000,000
120,000,000
Room Nights Revenue
Airbnb invests in
professional photographers
for listings; sees 2x jump in
reservations
TURNING POINT
59
AIRBNB IS A GLOBAL
PHENOMENON
The number of Airbnb properties by continent, 2018
North America
South America
Europe
Africa
Asia
Oceania
1.2
M
250
k
1.8M
100
k
600
k
250
k
K E E P I N G I T G O I N G
60
Airbnb has fully committed to its brand story – helping guests “experience
places like a local” – and that is reflected in every aspect of the UX
“LIKE A LOCAL”
Expanding on this success, Airbnb launched “experiences” in 2017, where
guests can learn to make pasta from an chef in Italy or hike with wolves in
Portland. You choose the experience, Airbnb brings it to life (profitably!)
EXPERIENCES
Finally, there are stories – which Airbnb launched in 2018. These allow
guests to share their trip with others, and hosts to create powerful, lasting
emotional connections
STORIES
1 2
3 4
61
Airbnb’s team of marketers & data
scientists is constantly testing image,
copy & host information to see what
performs best & generates bookings
TESTING
The company has built several
algorithms to continually scan reviews
and recommendations - helping to
determine which stories resonated and
which reservations delivered
memorable, positive experiences
NLP & REVIEWS
While historical data is helpful, what really
moves the needle for businesses is
forecasting – being able to approximate the
impact of proposed changes -- which is
exactly what Airbnb does every day
FORECASTING
IMPACT
Armed with all of this data, Airbnb
makes it easy for photographers to
take the best photos, for hosts to
incorporate the best features and for
users to find exactly the property they
are looking for – keeping them
engaged in the story and coming back
for more
PRESCRIPTIVE
MODEL
ALWAYS
MEASURING
IMPACT
IN ACTION:
NIKE
This story was created to speak directly to
core Nike target audiences – Millennials,
African Americans, etc.
AUDIENCE
One of Nike’s over-arching goals in this
campaign was to leverage an existing social
conversation in the US within their brand
storytelling efforts
CONVERSATION
As a major player in a highly elastic, short-
sales-cycle space, Nike was searching for a
way to boost revenue immediately
REVENUE
64
Story within a Story
Engineered To Appeal
Ready For Backlash
Plan To Calculate Impact
A DIFFERENT
KIND OF STORY
In the “Kaepernick Campaign”, Nike took a
powerful stand and aligned its brand with a
divisive individual and a (possibly) more divisive
social issue. What does this tell us about
storytelling? And how can we measure impact
1
2
3
65
PRETEST
REPORT
Nike pre-tested the “Dream Crazy”
Kaepernick campaign – and it almost wasn’t
launched because of the results from ABX
Overall Score of 94
(Below Average)
The Campaign’s Clarity &
Brand Scores were Dismal
Strong “Talk” Scores Indicated
Backlash Was Likely
B E F O R E & A F T E R
66
Nike Favorability
Strong Favorable Favorable Neutral Negative
Nike Favorability
Strong Favorable Favorable Neutral Negative
BEFORE AFTER
T E S T B R E A K D O W N S
67
T H E P R E P
68
69
The online reaction was swift – and negative – to Nike’s Kaepernick campaign. But that’s not our entire
story; and Nike was ready for it.
SWIFT NEGATIVE REACTION
I G N I T I N G A C O N V E R S A T I O N
70
P U R C H A S E I N T E N T
71
72
THE IMPACT
What does all of that translate into? Was this just a conversation-starter
or did this campaign actually product some bottom-line results?
31% Increase in Online Sales (14% Incremental YoY)
$78,696,290 per week in incremental US revenue
$9,507,232,078 Market Capitalization Increase
GO FORWARD!BE AWESOME
BETTER MEASUREMENT ISN’T
OPTIONAL DON’T LET THE
PERFECT GET IN
THE WAY OF THE NECESSARY
1
DON’T MAKE IT AN
AFTERTHOUGHT
LINK WHAT YOU’RE DOING TO
WHAT THE COMPANY CARES
ABOUT FIRST
2
END-TO-END OUTCOMES
SHOW YOUR BOSS & THE WORLD
THE IMPACT YOU ARE MAKING!
3
T H A N K Y O U !
A N Y Q U E S T I O N S ?
AWESOME!
Same report as above, with RPC (revenue per click) and CPC (cost-per-click) data added –
which allows me to quickly see which clicks/campaigns have the potential to be profitable
(and which ones don‘t!)
E V E R Y T H I N G L O O K S
G O O D !
The Power of PowerPoint | thepopp.com 79
All Channels &
Campaigns Profitable!
B U T … I S I T R E A L LY ?
80
A Deeper Look – Some
Campaigns Are Net Losses
P I P E L I N E V S .
T R A N S A C T I O N
81
Higher Ratios = Pipeline
Potential
Lower Ratios = Trans.
Revenue
VA L U E C R E AT E D B Y
C A M PA I G N
82
How much it’s all worth!
B O T T O M - L I N E I M PA C T S
83
Higher Ratios = Pipeline
Potential
Lower Ratios = Trans.
Revenue
S T O R Y S T R U C T U R E
84
INTRODUCTION COMPLICATION CLIMAX FALLING ACTION DENOUMENT
Freytag’s Pyramid – a structure that we can trace all the way back to Aristotle and the Ancient Greeks – still holds true today;
in fact, a similar structure is found in cultures around the world (Jo-ha-kyū, Kishōtenketsu, etc.)
S T O R Y S T R U C T U R E – P A R T 2
85
Nancy Duarte, in her book Resonate, argues that
effective stories – from presentations to advertisements
and beyond – all follow a similar pattern and similar
structure, designed to lead the audience through a
situation using the story’s protagonist as a guide.
The chart at left shows how the experiences of the
audience (in blue) are driven by the actions and
experiences of the protagonist (in grey), all while
following the same general Freytag structure.
This shows how stories can help us understand
problems we didn’t know we had and imagine how
possible solutions might make our lives better.
BRINGING THE AUDIENCE
ALONG
S T O R I E S B Y S T A G E
86
LOYALTY
RETENTION
ACTION
INTEREST
ATTENTION
AWARENESS
Does the story increase awareness among
individuals previously unaware of your
brand?
AWARENESS
Does the story generate interest - i.e. some
level of commercial intent – among those
paying attention to it?
INTEREST
Is the story memorable? Do potential
customers who hear the story tend to
remember it? How long does this memory
persist? Is it favorable over time?
RETENTION
Does the story capture the attention of your
target audience? Do they stay engaged?
ATTENTION
Does the story drive action – whether that be
a social media share or a purchase? How
significant is this impact?
ACTION
Are those individuals who remember the
story more likely to be loyal customers?
Does the story increase their likelihood to
recommend to re-purchase? By what
margin?
LOYALTY
87
Storytelling is a business activity
There are very real costs associated with
doing it – including content creation/curation,
promotion and evaluation
Like every other (good) business activity,
storytelling should make a measurable
contribution to your organization’s bottom-
line goals
L E V E L
S E T
Everyone loves to be “popular” – and marketers are no different.
Whether it’s page “likes” or the dreaded following-to-follower ratio.
We love to see our stories shared, read & heard.
The problem is that being popular doesn’t pay the bills. And it
doesn’t justify budgets. It just makes us feel good about ourselves.
POPULAR
Every marketer’s dream – the ability to quantify the impact they are
having on the company’s bottom line (and in doing so, justify their
continued existence). How many of your stories are profitable?
PROFITABLE

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Sam Ruchlewicz for PRAXIS 2018

  • 1. W E L C O M E ! Measuring the Impact of Stories One of the most frequent complaints/challenges I hear from both clients and colleagues is the lack of a framework for measuring the impact of marketing efforts – including storytelling - on an organization’s overall marketing and business strategy. 1
  • 2. VP - Warschawski Warschawski is a global, full-service marketing communications agency headquartered in Baltimore, MD with offices in NYC and Washington, DC.
  • 3. HELLO, LET ME INTRODUCE MYSELF… I’m Sam. I have a fairly non-traditional background in finance, but I currently manage all digital marketing & data analytics initiatives & accounts for Warschawski. I’m on the faculty at Betamore Academy, Cabrini University & Johns Hopkins & teach graduate level courses on a variety of topics. I’m also involved in the start-up community and love all things ice hockey and football (the American version) STRATEGY DIGITAL MEASUREME NT LinkedIn /in/samruchlewicz Twitter @samruchlewicz E-mail Sam.ruchlewicz@warschawski.com
  • 4. PEOPLE DON’T READ ADS. PEOPLE READ WHAT INTERESTS THEM. Howard Gossage
  • 5. PEOPLE LIKE STORIES Stories are more than just entertainment – from an evolutionary standpoint, they are essential for communicating knowledge, shaping attitudes, creating social norms and fostering social cooperation – in short, most of the things that make us human. In fact, the human mind is wired to divert attention and precious resources to character-centric narratives – which, in turn, causes a host of biochemical reactions that ultimately result in our being more inclined to take actions.
  • 6. 6 WE HAVE FOR A LONG TIME In fact, some researchers from MIT analyzed 1,327 different works of fiction from the Project Gutenberg library using sentiment analysis – and found that nearly all of them followed one of six emotional arcs or trajectories – and almost all of them follow a similar narrative pattern STORIES FOLLOW PATTERNS
  • 7. 7 CONNECT & ENGAGE Stories allow us to forge a human, personal connection in an increasingly digital, impersonal world WHAT DO STORIES DO? What is the point of telling stories? How do they help us capture our prospect’s attention, captivate them with our messages and convert them into loyal, paying customers? INFORM & EDUCATE Humans retain exponentially more information from a story than from a mere recitation of facts – allowing brands to inform and educate consumers simultaneously INSPIRE ACTION Engaging stories naturally cause audiences to empathize with the characters and they trigger the same biochemical activity as if the audience was experiencing the story first-hand – providing a perfect opportunity to drive action LOVE & LOYALTY Stories are memorable experiences – they bring us closer to brands and forge the types of emotional connections that countless studies have linked to brand loyalty and preference. Your challenge is to determine what stories do this best.
  • 8. 8 Biologically, humans are wired to detect patterns – whether or not they are there. Stories play into that need, constantly generating and releasing tension in a (fairly) predictable way. In fact, studies show that stories generate both cortisol and oxytocin. ATTENTION We’ve all seen the movie Inception, right? Where an idea implanted in a person’s mind goes on to shape their reality? Well, the same thing happens with stories. We remember them. We internalize them. And we use them as bases for action in the future – consciously or not. BELIEF Stories can be up to 22x more memorable than facts and figures alone – likely because (1) stories engage our entire brain and (2) our ability to use them has been selected for over thousands of years of evolution MEMORABILITY Humans are wired to feel stories as if they are experiences; stories stimulate the entire brain – not just the parts associated with language. Stories, then, engage the entire brain – which is both memorable and emotive. EMOTION S T O R I E S & M A R K E T I N G
  • 9. WHY ARE WE HERE? Since stories are so wonderful and great, so ingrained in our history and our biology, then why are we here? Clearly they are effective. But it doesn’t matter what we know. It matters what we can prove.
  • 11. H O W T H E P R O B L E M S T A R T S 11 Someone – usually in the marketing department or the C-Suite – insists that the company begin incorporating ”stories” in communications - for whatever reason THE DRIVER Everyone jumps & starts creating stories galore. We share them on social, we use them in ads, we publish them everywhere we can. Things are good. WE TELL STORIES! No one has good answers to the good questions – and no one knows where to get them. Things are decidedly NOT good. HOW DID WE GET HERE? The problems peak the attention of some HIPPOs – who starts asking questions about the storytelling program. Why are we doing it? How has it helped us? Should we be doing more? Doing less? Where does it fit in our sales & marketing strategy? QUESTIONS ARISE Excitement fades. Buyers’ remorse sets in. Stories cease to have the impact they once did. Complaints or customer service issues may start. No one is sure what stories to tell, or how to tell them. Inconsistencies arise. UH-OH
  • 12. 12 “We’re spending a fortune on these ‘Content Marketing’ consultants – and I don’t even know what they’re doing!” “What do all of these metrics mean? Is it good if more people “like” our new brand video? How do I read these reports? What is useful here?” “The CEO says we NEED to be on Social Media, but I don’t know what we need to do on there or how it helps us sell our products & services.” ”Our SEM is converting through the roof! We should just fire those content guys and spend all of our money on that!” T H E P R O B L E M Most marketers – about 61% according to a HubSpot survey, to be exact – cite content marketing (including storytelling) as a “go-to” marketing tactic. The problem arises when those marketers are asked to quantify the value of the outcomes produced as a result of those efforts.
  • 13. R E P O R T I N G There are simply too many “metrics” being thrown around – and there is too little emphasis on identifying and solving for the ones that actually matter to the bottom line. And unless you have clarity of your goals, there is simply no way that you’ll be able to quantify the value of your marketing/media/storytelling/social/digital efforts – let alone justify the budgets supporting them to C-Suite executives ENGAGEMENT RATE What does this even mean? FOLLOWER SWhat are they good for? REACH Who here knows that this is a calculated metric? UNIQUE VISITORS CPM SENTIMENT COMMENTS 13 IMPRESSIO NS AVE CPV C LIC KS LIKES SHARES
  • 14. 14 WHO CARES? What is the value of a story to your business? How does the number of ‘likes’ on brand story help you achieve your goals on social or other channels? And most importantly, how are the stories your company is telling helping you achieve your bottom-line goals?
  • 16. T H R E E B I G Q U E S T I O N S 16 HELP THE BUSINESS? HOW DO YOU KNOW? IS IT WORTH IT? WHAT ROLE DO STORIES PLAY? For humans, stories can be a connector, an educator, and an entertainer. For business, the roles stories play are likely different – is it a converter, an informer, an engager? What are stories doing to help you engage, captivate and convert your target audience into real, paying, profitable customers? WHAT IS SUCCESS? Storytelling is a marketing investment – even if you are just sharing content you already have. There’s time, creative, design, review, etc. So, how do you know this is time/resources well spent? What does success look like? How does that success help your bottom line? WHAT STORY TO TELL? This is one of those questions most people don’t both to ask – everyone assumes that since people are social storytellers, businesses should follow suit. But does that make sense for your brand?
  • 17. HOW DO YOU KNOW? The four words that will forever change your life as a marketer, social media guru, analytics junkie, brand evangelist, whatever.
  • 18. THE (BIG) PROBLEM SOUND FAMILIAR? Marketing Team: Traffic is up across every channel! CTR is up, CPC is down for our paid search campaigns, overall content marketing/storytelling efforts are a HUGE SUCCESS! Lots of ROI! Executives: Great! But how does this impact our expected earnings for Q2? Marketing Team: Well, our brand story video generated 65% more engagement on social over last year! Executives: …..
  • 19. 19 METRIC DISCONNECT Content/Social metrics don’t correlate to business outcomes 2 UNCLEAR STRATEGY Regarding how storytelling is expected to contribute 3 NO COORDINATION Across teams and departments regarding content/story 4 BAD THINGS HAPPEN There’s a reason CCOs & CMOs have the shortest tenure in the C-suite. And there’s a reason the average agency relationship lasts less than 18 months P U T A N O T H E R W A Y Most marketers have absolutely no idea what contribution (if any) storytelling efforts are making to their bottom line – and no idea how to figure it out. Lack of clarity here = a lack of understanding in what stories to tell 1
  • 20. RESET
  • 21. 21 S T O R I E S TACTILE Humans feel stories in a personal, human way MOTIVATIONAL Stories are natural motivators – whether that be to remember, to buy or to share. They inspire action INNATE Humans have a unique, innate predisposition to see patterns – and stories align nicely with that tendency VIRAL Stories are shareable because they are memorable – once we see the pattern of the story, we can easily share it EVERGREEN We’ve been telling versions of the same story for millennia – and we’ll likely continue doing it forever. Why do we tell them? What do they do? How do they help?
  • 22. T H I N G S W E C A R E A B O U T 22 AWARENESS TRUST THOUGHT LEADERSHIP PERCEPTION CREDBIILITY CUSTOMERS SALES PROFIT
  • 23. 23 PREFERENCE DEAL SIZE DEAL VELOCITY LIFETIME VALUE Why do we buy from one brand over another? Why do we trust one bank over all of the others? Why do we pay more for Apple or Starbucks? Small deals are nice – big deals are nicer. Stories not only help close the sale, they help us cross-sell or upsell, increasing overall transaction revenue. Stories are natural motivators – they inspire action. In business terms, a story that resonates is likely to encourage buyers to make purchases now. Stories create emotional connections – which tends to result in higher LTV (ask Starbucks) and increased customer loyalty WHICH DRIVE
  • 24. 24 & W H A T M A T T E R S (PEOPLE & PROFIT)
  • 25. 25 H O W I T S H O U L D B E Storytelling measurement doesn’t need to be a foreign concept or something that “just has value” – we can (and should) quantify how effective our stories are so we know which ones to tell (and which ones to not). P R I O R I T Y 1 P R I O R I T Y 2 P R I O R I T Y 3 BUSINESS GOALS ALIGNED METRICS PROFITABLE REALITY What do we expect Stories to do for us? That allow us to see if stories are meeting our goals The thing we’re all looking to find
  • 26. A BETTER WAY I’ve been obsessed with thinking about this situation – and I’m convinced there is a better way to do this. Because as marketers and communicators, we’re creating a TON more value than we’re getting credit. And that needs to change.
  • 28. 1 2 3 4 28 The things we count – like impressions, site visits, followers, retweets, etc. VANITY METRICS Better-than-vanity metrics (like CTR, CPV, etc.) that provide some context to vanity metrics and allow us to better understand what is happening, maybe in real-time PERFORMANCE METRICS Connecting metrics to KPIs and looking for interesting relationships; segmentation across different performance metrics; statistical analysis INSIGHT DRIVEN A complete, quantified understanding of how our marketing organization is performing relative to the user’s intent and what is likely to happen next. PREDICTIVE, END-TO-END OUTCOMES A VISION FOR MEASUREMEN T
  • 29. THE END GOALTHE PLACE EVERY STORY MUST START
  • 30. OBSESS ABOUT INTENT You can’t judge every visitor by a transaction or every new customer by their LTV – that’s not materially different from judging a fish by its ability to climb a tree. Stories should be designed to meet people where they are and take them to where they want to go – which is why we need to measure every stage of the process and obsess about intent.
  • 31. 31 1 2 3 4 SEE Largest Addressable Qualified Audience THINK Largest Addressable Qualified Audience with some commercial intent DO Largest Addressable Qualified Audience with A LOT of commercial intent CARE Customers with at least TWO transactions F R A M E W O R K S Here is one (incredibly useful) framework for doing exactly that – developed & made popular by Avinash Kaushik at Google. I use it in more detail on the following slide
  • 32. A C Q U I S I T I O N B E H AV I O R O U T C O M E S SEE THINK DO CARE MARGINAL INCREASE IN SEARCH I.I. BRAND RECALL CONVERSION RATE AMPLIFICATION APPLAUSE CONVERSATION MICRO- CONVERSION LOYALTY RATIO LTV PER CUSTOMER PROFIT PER PLACEMENT & USER MICRO- CONVERSION SITE ENGAGEMENT REPEAT VISITORS PER PLACEMENT VIRAL COEFFICIENT 32
  • 33. B E T T E R M E T R I C S 33 BRAND PERCEPTION PERMANENCE II PURCHASE PROB. ECONOMIC VALUEDoes the story create an emotional connection with your brand? Do those people who hear/see/experience it tend to think of your brand more favorably after the story? The average individual sees upwards of 5,000 brand messages a day – so how long does that story remain in their mind? How memorable is it? Does your story inspire action? Do the individuals who see/hear/experience your story exhibit a higher propensity to purchase than those that don’t? The holy grail - the true value of your story to your company, broken down in bottom-line terms. In other words, is this a profitable endeavor?
  • 34. 34 OTHER AWESOME METRICS These are just some of the metrics that can be used to calculate the value of stories – and I’m sure there are many more PROFIT PER PLACEMENT OR STORY APPLAUSE AMPLIFICATION CONVERSATION RELATIVE CONVERSION TIME MARGINAL INCREASE IN SEARCH PURCHASE INTENT LIFT INCREMENTAL INCREASE IN BRAND RECALL INCREMENTAL INCREASE IN DOMAIN AUTHORITY MARGINAL INCREASE IN INFLUENCER SCORE UNIQUE ENGAGED USERS THOUGHT LEADERSHIP INDEX CONVERSATIO N RATE PER STORY OR CHANNEL VIRAL COEFFICIENT LOYALTY RATIO
  • 35. 1 2 3 M E T R I C S A R E N O T E N O U G H 35 Metrics alone will not tell you the degree to which a particular story or campaign or whatever actually added real value – after all, you were going to convert some customers anyway. Seek to quantify incremental value added – don’t succumb to post hoc, ergo propter hoc QUANTIFY VALUE ADDED QUANTIFY While we all LOVE quantitative data, many of the game-changing insights lie in the qualitative realm – the comments, the reviews, the tweets. Incorporating qualitative data with quantitative can yield incredible insights into what stories are resonating – and which ones aren’t. QUALITATIVE MATTERS FEEL Every great brand is continually refining the stories it tells based on customer feedback – both overt (collected) and implied (clickstream/monitoring) – and you should do the same. After all, people do lie to us (I know you’re shocked) TEST, TEST, TEST EXPERIMEN T
  • 36. 36 T H E Q U A L I T A T I V E S I D E So any attempt to quantify their impact must take into account the positive (or negative) emotions they create within your target audience. Luckily, we live in a world where most people post their feelings online regularly – and tend to do so all the time. Sentiment Analysis provides a powerful tool for marketers to understand the qualitative side – and even predict which ads will be most successful STORIES DO MORE THAN IMPACT NUMBERS OR PURCHASES
  • 37. E C O N O M I C V A L U E M E T H O D S 37 COMPARABLES ONLINE/OFFLINE FINANCE WITH & WITHOUT Use your company’s established models for comparable tactics/channels/whatever. Take it. Use it. Tag all of the “leads” generated online (coupons, forms, offers, unique phone number, etc.) in the CRM, wait 1.5 sales cycles and pull the results. Finance/Accounting should be your BFF. They have a ton of models that you can use to evaluate everything, from LTV to Expected Value to ROI. And they know how much other areas of marketing pay for comps. “With & Without You” is actually a borrowed sport-stat reference meant to capture the value of a player based on how (s)he impacts the play of teammates.
  • 38. 38 USE THE ONE THING EVERYONE GETS (Money)
  • 39. W E C A N M E A S U R E T H A T , T O O 39 Social Listening L Sentiment Analysis S Digital Platforms D Network Analysis N  We’re fortunate to live in an age when everyone – from a small child to a grandparent – has the ability (and in the inclination) to post their thoughts and feelings – all the time.  It has never been easier to understand how key members of your target audience are feeling about your story, ad or brand  Sentiment Analysis allows us to better understand the content and context of conversations at scale  Network Analysis allows us to quickly understand the nature of influence – who is connected to who, how influential various people are and how likely a story is to resonate
  • 40. 1 2 3 4 5 40 WHAT ARE STORIES? To put it simply: they are a better way of earning the attention of your target audience. So measuring their impact is as simple as measuring the impact of every other ad Structure A Test Launch the Creative Calculate The Increment Translate to Bottom- Line Outcomes Calculate ROI or ROAS
  • 42. MEH. Basic Facebook & Analytics reports provide little real value – and a ton of ”vanity” marketing metrics. None of this tells us how effective our stories (or anything, really) are at engaging, inspiring or converting our prospects into customers.
  • 43. PRETTY GOOD! We can see the per session value for each channel – as well as the fact that social (in this case) is dramatically under-performing relative to other channels like paid search and affiliates. But this doesn’t show us how effective our stories are – it simply shows us channels. Not as helpful, but it is better than the FB/GA defaults. And drilldowns into this report might reveal that specific messaging/campaigns are better than others.
  • 44. SOLID Per session value AND conversation probability – great step!
  • 45. M E A S U R I N G I M P A C T 45
  • 46. QUITE HELPFUL These graphs (all provided courtesy of Facebook & Nielsen) show us how effective our stories are – and how long a prospect must be exposed to them before we can expect to see effects to recall, awareness & purchase intent. The graph at right shows us how significant each tactic is (FB, TV, both) at generating purchase intent.
  • 47. EVEN BETTER One of the big questions marketers need to ask is how often a prospect needs to be exposed to a story before an effect (awareness/recall/purchase intent) is created – which is answered by the chart at left. Knowing this, we can optimize delivery of ads to maximize effect and minimize cost. The chat at right shows us just how powerful stories can be – a sequence of three ads generates 8x lift over three sustained ads
  • 49. I T A P P L I E S T O E V E R Y O N E 49
  • 52. One of AirBnB’s greatest challenges was convincing customers that it was OK to stay in people’s houses – and convincing homeowners that it was safe to have guests CONNECTIONS AirBnB launched in 2007 with a goal to radically change travel & lodging – by creating a peer-to-peer rental system INNOVATION There’s also the profit component of this – could AirBnB scale this new concept into a profitable business, all while competing with traditional hotel marketing powerhouses? NUMBER ONE
  • 53. 53 2 IMPORTANT GOALS Airbnb quickly learned that stories could help them achieve two (equally) important goals: (1) create emotional connections between guests & hosts, thereby increasing bookings and (2) make it easy for hosts to get started, thereby increasing supply to meet demand Airbnb had a rough start – after the first year, the company was making less than $1,000 a month ($12,000/year) in reservation fees. Times were tough – and the company resorted to selling cereal to raise capital ROUGH START One of the major complaints with the platform was that the pictures – and the stories – were lacking. Prospective renters couldn’t “see themselves” staying at various properties, which discouraged booking COULD STORIES HELP?
  • 54. V I S U A L S T O R I E S 54 Airbnb’s three co-founders became “self-taught” photographers, traveling regularly from San Francisco (where the company was based) to NYC (where the most rentals were located) in order to meet with customers and take “professional” pictures of Airbnb properties
  • 55. S O C I A L C O N V E R S A T I O N 55 Airbnb invests in professional photographers for listings; sees 2x jump in reservations TURNING POINT 1 Airbnb launches ”experiences” for hosts/travelers to connect in more meaningful ways TURNING POINT 2
  • 57. 0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 2009 2010 2011 2012 2013 2014 2015 2016 2017 Airbnb launches ”experiences” for hosts/travelers to connect in more meaningful ways TURNING POINT 2 N E W Y E A R S B O O K I N G S 57 Airbnb invests in professional photographers for listings; sees 2x jump in reservations TURNING POINT 1
  • 58. 58 ANNUAL BOOKINGS & REVENUE One of Airbnb’s initial user complaints was that properties were not desirable – and it was difficult to determine what it would ”feel” like to say at one of these properties. In short: there was no personal, emotional connection between host & guest $- $200,000,000.00 $400,000,000.00 $600,000,000.00 $800,000,000.00 $1,000,000,000.00 $1,200,000,000.00 $1,400,000,000.00 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 0 20,000,000 40,000,000 60,000,000 80,000,000 100,000,000 120,000,000 Room Nights Revenue Airbnb invests in professional photographers for listings; sees 2x jump in reservations TURNING POINT
  • 59. 59 AIRBNB IS A GLOBAL PHENOMENON The number of Airbnb properties by continent, 2018 North America South America Europe Africa Asia Oceania 1.2 M 250 k 1.8M 100 k 600 k 250 k
  • 60. K E E P I N G I T G O I N G 60 Airbnb has fully committed to its brand story – helping guests “experience places like a local” – and that is reflected in every aspect of the UX “LIKE A LOCAL” Expanding on this success, Airbnb launched “experiences” in 2017, where guests can learn to make pasta from an chef in Italy or hike with wolves in Portland. You choose the experience, Airbnb brings it to life (profitably!) EXPERIENCES Finally, there are stories – which Airbnb launched in 2018. These allow guests to share their trip with others, and hosts to create powerful, lasting emotional connections STORIES
  • 61. 1 2 3 4 61 Airbnb’s team of marketers & data scientists is constantly testing image, copy & host information to see what performs best & generates bookings TESTING The company has built several algorithms to continually scan reviews and recommendations - helping to determine which stories resonated and which reservations delivered memorable, positive experiences NLP & REVIEWS While historical data is helpful, what really moves the needle for businesses is forecasting – being able to approximate the impact of proposed changes -- which is exactly what Airbnb does every day FORECASTING IMPACT Armed with all of this data, Airbnb makes it easy for photographers to take the best photos, for hosts to incorporate the best features and for users to find exactly the property they are looking for – keeping them engaged in the story and coming back for more PRESCRIPTIVE MODEL ALWAYS MEASURING IMPACT
  • 63. This story was created to speak directly to core Nike target audiences – Millennials, African Americans, etc. AUDIENCE One of Nike’s over-arching goals in this campaign was to leverage an existing social conversation in the US within their brand storytelling efforts CONVERSATION As a major player in a highly elastic, short- sales-cycle space, Nike was searching for a way to boost revenue immediately REVENUE
  • 64. 64 Story within a Story Engineered To Appeal Ready For Backlash Plan To Calculate Impact A DIFFERENT KIND OF STORY In the “Kaepernick Campaign”, Nike took a powerful stand and aligned its brand with a divisive individual and a (possibly) more divisive social issue. What does this tell us about storytelling? And how can we measure impact
  • 65. 1 2 3 65 PRETEST REPORT Nike pre-tested the “Dream Crazy” Kaepernick campaign – and it almost wasn’t launched because of the results from ABX Overall Score of 94 (Below Average) The Campaign’s Clarity & Brand Scores were Dismal Strong “Talk” Scores Indicated Backlash Was Likely
  • 66. B E F O R E & A F T E R 66 Nike Favorability Strong Favorable Favorable Neutral Negative Nike Favorability Strong Favorable Favorable Neutral Negative BEFORE AFTER
  • 67. T E S T B R E A K D O W N S 67
  • 68. T H E P R E P 68
  • 69. 69 The online reaction was swift – and negative – to Nike’s Kaepernick campaign. But that’s not our entire story; and Nike was ready for it. SWIFT NEGATIVE REACTION
  • 70. I G N I T I N G A C O N V E R S A T I O N 70
  • 71. P U R C H A S E I N T E N T 71
  • 72. 72 THE IMPACT What does all of that translate into? Was this just a conversation-starter or did this campaign actually product some bottom-line results? 31% Increase in Online Sales (14% Incremental YoY) $78,696,290 per week in incremental US revenue $9,507,232,078 Market Capitalization Increase
  • 74. BETTER MEASUREMENT ISN’T OPTIONAL DON’T LET THE PERFECT GET IN THE WAY OF THE NECESSARY 1
  • 75. DON’T MAKE IT AN AFTERTHOUGHT LINK WHAT YOU’RE DOING TO WHAT THE COMPANY CARES ABOUT FIRST 2
  • 76. END-TO-END OUTCOMES SHOW YOUR BOSS & THE WORLD THE IMPACT YOU ARE MAKING! 3
  • 77. T H A N K Y O U ! A N Y Q U E S T I O N S ?
  • 78. AWESOME! Same report as above, with RPC (revenue per click) and CPC (cost-per-click) data added – which allows me to quickly see which clicks/campaigns have the potential to be profitable (and which ones don‘t!)
  • 79. E V E R Y T H I N G L O O K S G O O D ! The Power of PowerPoint | thepopp.com 79 All Channels & Campaigns Profitable!
  • 80. B U T … I S I T R E A L LY ? 80 A Deeper Look – Some Campaigns Are Net Losses
  • 81. P I P E L I N E V S . T R A N S A C T I O N 81 Higher Ratios = Pipeline Potential Lower Ratios = Trans. Revenue
  • 82. VA L U E C R E AT E D B Y C A M PA I G N 82 How much it’s all worth!
  • 83. B O T T O M - L I N E I M PA C T S 83 Higher Ratios = Pipeline Potential Lower Ratios = Trans. Revenue
  • 84. S T O R Y S T R U C T U R E 84 INTRODUCTION COMPLICATION CLIMAX FALLING ACTION DENOUMENT Freytag’s Pyramid – a structure that we can trace all the way back to Aristotle and the Ancient Greeks – still holds true today; in fact, a similar structure is found in cultures around the world (Jo-ha-kyū, Kishōtenketsu, etc.)
  • 85. S T O R Y S T R U C T U R E – P A R T 2 85 Nancy Duarte, in her book Resonate, argues that effective stories – from presentations to advertisements and beyond – all follow a similar pattern and similar structure, designed to lead the audience through a situation using the story’s protagonist as a guide. The chart at left shows how the experiences of the audience (in blue) are driven by the actions and experiences of the protagonist (in grey), all while following the same general Freytag structure. This shows how stories can help us understand problems we didn’t know we had and imagine how possible solutions might make our lives better. BRINGING THE AUDIENCE ALONG
  • 86. S T O R I E S B Y S T A G E 86 LOYALTY RETENTION ACTION INTEREST ATTENTION AWARENESS Does the story increase awareness among individuals previously unaware of your brand? AWARENESS Does the story generate interest - i.e. some level of commercial intent – among those paying attention to it? INTEREST Is the story memorable? Do potential customers who hear the story tend to remember it? How long does this memory persist? Is it favorable over time? RETENTION Does the story capture the attention of your target audience? Do they stay engaged? ATTENTION Does the story drive action – whether that be a social media share or a purchase? How significant is this impact? ACTION Are those individuals who remember the story more likely to be loyal customers? Does the story increase their likelihood to recommend to re-purchase? By what margin? LOYALTY
  • 87. 87 Storytelling is a business activity There are very real costs associated with doing it – including content creation/curation, promotion and evaluation Like every other (good) business activity, storytelling should make a measurable contribution to your organization’s bottom- line goals L E V E L S E T
  • 88. Everyone loves to be “popular” – and marketers are no different. Whether it’s page “likes” or the dreaded following-to-follower ratio. We love to see our stories shared, read & heard. The problem is that being popular doesn’t pay the bills. And it doesn’t justify budgets. It just makes us feel good about ourselves. POPULAR Every marketer’s dream – the ability to quantify the impact they are having on the company’s bottom line (and in doing so, justify their continued existence). How many of your stories are profitable? PROFITABLE

Hinweis der Redaktion

  1. No slide master
  2. H/T: Framework - Avinash Kaushik; Chief Evangelist at Google
  3. For instance: 100 web leads generated, 80 viable, 50 pitched, 20 closed. Total Revenue: $200,000. Margin: $35,000. Value per lead: $350. You can do the same thing to value various goal completions: Segment & Calculate Relative Value (easy) Run Cross-Market Tests (cease one advertising tactic in a few markets for 1.5 sales cycles; maintain advertising in the others) – measure the outcome
  4. FB Creative Test Infographic – provided by Facebook
  5. FB Creative Test results – provided by Facebook
  6. FB Creative Test Infographic – provided by Facebook; Nielsen Digital Brand Effect Test Example; provided by Neilsen
  7. Sentiment provided by Brandwatch (I believe)
  8. No idea where I found this one
  9. Provided by Proof Analytics (proofanalytics.ai)
  10. No slide master
  11. No slide master
  12. No slide master
  13. Source: Airbnb public documents
  14. Airbnb
  15. No slide master
  16. No slide master
  17. No slide master
  18. No slide master
  19. No slide master
  20. Nike public filings & various media reports
  21. Found on: http://tomtunguz.com/storytelling-duarte/