4. Digital Media – Brand Equity Perspective
Brand equity: A set of brand assets and liabilities linked to a brand name and symbol,
which add to or subtract from the value provided by a product or service
David Aaker
Brand Equity
Awareness
Loyalty
Quality
Advertising
Engagement
WOM
Community
Association
Transparency
Responsive
“Cares”
5. Earlier Consumer Decision journey
The Funnel
Marketers have long used the famous
funnel metaphor to think about touch
points: Consumers would start at the
wide end of the funnel with many brands
in mind and narrow them down to a final
choice.
Consumers started with a large number
of potential brands in mind and
After purchase, their relationship with the
brand typically focused on the use of the
product or service itself.
Source: Branding in the Digital Age: You’re Spending Your Money in All the Wrong Places.
6. Fundamental changes in purchase
• Consider & Buy: Marketers often
overemphasize the “consider” and
“buy” stages of the journey,
allocating more resources to
building awareness
• Evaluate & Advocate: Marketing
investments that help consumers
navigate the evaluation process
and then spread positive word of
mouth about the brands they
choose
• Bond: If consumers’ bond with a
brand is strong enough, they
repurchase it without cycling
through the earlier decision-journey
stages. Helps in building brand
community
Source: Branding in the Digital Age: You’re Spending Your Money in All the Wrong Places.
7. Impact on Purchase Funnel
Global
• 51% of brand word of mouth on
internet is due to TV advertising 1
– 19% of word of mouth is due to PR, events
and brand news
• 24% decline in confidence on TV
advertising2
• 18% increase in trust on Word of Mouth
since 2007 for purchase
India
• 77% of internet users refer to online
reviews before purchase3
– Second most trusted source after friends
and family
• 21% decline in confidence on TV
advertising for purchase
Brand advocacy is an
important driver of brand
consideration and choice in
the age of social web
1Data2decision
research 2013 http://www.warc.com/LatestNews/News/TV_advertising_is_vital_to_word_of_mouth.news?ID=31155
Trust in advertising (2012) http://www.nielsen.com/us/en/reports/2012/global-trust-in-advertising-and-brand-messages.html
3Nielsen India Release (April, 2012) http://www.fi.nielsen.com/site/documents/NielsenTrustinAdvertisingGlobalReportApril2012.pdf
2Nielsen
8. Importance of digital media
Brand Engagement
Sales
Feedback
Research
Brand Community
• Consumers spend more time on digital media
• Influencers, Engage with loyalists
• Direct sales channel
• Reduce lead costs
• Instant feedback
• Reduce online negative word of mouth
• Better understand consumption patterns,
brand perceptions in social context
• Build digital brand asset for brands such as
community
11. Brand Engagement
•
•
•
•
•
Touch Point
• Since consumer spend more time on digital, it
becomes an important touch-point
Brand Recall
• Aid brand recall
Loyalty
Sharing
• Brand activity is visible through social nature of
digital media
Engagement requires
•
•
•
Research - Right understanding of audience
Targeting – Effective targeting through media planning tools
Execution – Creative that integrates desired brand positioning with
target audience understanding
12. Digital Campaign
Stage 1
Setting Objectives
Metrics
Brand Awareness
Sales
Share of Voice
Sentiment
Growth in
community
Engagement
Stage 2
Conceptualize
Stage 3
Execute
Factors
1. Brand
personality
2. Integration with
overall
communication
3. Understanding
Target Audience
Factors
1. Decide Platforms
2. Media Buying
3. Engagement
tools
4. Optimizing
media (CTR,
CPM, CPC)
Stage 4
Measure
Factors
1. Use of analytics
tools
2. ROI – Sales,
Community
membership,
Engagement
13. Key success factors
Aligned
with brand
personality
Why digital campaigns go wrong?
Key
factors
Integrated
Target
Audience
Not aligned with the overall
brand positioning
Not integrated with other
communication such as TV, Print,
Radio etc.
Lack of understanding of the
digital habits of the target
audience
15. Platforms
Important question to ask?
Is the platform aligned with
my objectives?
Does it help build a brand
community?
Is it helping create a digital
asset?
Source: Mahesh Murthy - RoI in social marketing: some metrics. By Mahesh Murthy of Pinstorm
16. Common Mistake
Chasing Facebook Fans!
• Typically less than 5% of
your updates are shown
to your fans
• You need a sponsored
story to reach your own
fans
• Every time you need to
engage with Fans, you
need to spend more!
Is Facebook page a digital asset for a
brand?
Source: Mahesh Murthy - RoI in social marketing: some metrics. By Mahesh Murthy of Pinstorm
17. Why did this happen?
• Facebook is a Social Networking platform
• With more ads and brand updates, user loose interest, which
harms Facebook as a platform
• Facebook stock price was declining
• To boost revenues, stock price, brands were asked to pay more
to reach their own fans
• Facebook has launched new ad formats – In feeds, and video!
18. Pepsi vs. Coke during IPL 2013
IPL 2013 season
Pepsi’s share of voice was back to the same level after investing heavily in IPL
2013
Source: Pepsi vs. Coke study – Drizzlin Media
26. Example: Dove Real Beauty
Dove's real beauty story is almost 9
years old, which began with market
research in 2004 that indicated that
only 4% of women in the world
consider themselves beautiful.
Dove’s campaign received more
than 60 million visits
of women in the world
consider themselves
beautiful.
30. Influencers
•
•
•
Followers
•
An existing follower base
Credibility
•
Credibility on a topic e.g. cooking, automobiles
Community
•
Belong to a community (social and psychological) and have a strong influence
How to go about influencer engagement?
Identify Target
Audience
Identify
influencers
• Tools (Statsit)
• Blog Aggregators
Promote
Influencer
engagement
Measure
Engagement
33. Social CRM
Not responding to angry consumers on social media on time has the
potential to be a PR disaster!
• Consumer are powerful
• Rants can go viral
• Consumer can organize in groups
• It requires you to be
• Proactive
• Responsive
• Sympathetic to problems
• Engaging in follow-up
• Common metrics
• First response Turn Around Time (TAT)
• Resolution response TAT
35. How should I measure whether the activities on
digital media have been successful or not?
36. ROI
ROI from a tactical to strategic continuum
Tactical
Sales
Equity
Share of Voice
Growth in traffic
Engagement
Growth in Fans
Strategic
Market Share
Sentiment
Growth in followers
Click through rate Cost per click
38. Second Screen
Developing countries are
driving global internet and
mobile usage growth1
Country
China
India
Indonesia
2008-11 Additional
Internet users (Mn)
215
69
37
2011 Internet Users (Mn) Y/Y Growth
513
121
55
12%
38%
22%
Population
penetration
0.38
0.1
0.23
Philippines
28
34
44%
0.35
U.S.A
15
245
1%
0.79
Smartphones (2013) 3
India Stats(2013) 2
70-80% growth in smartphone
sales in 2014 will be driven by
BRIIC nations
61.4% growth prediction in
smartphone sales in India
19% CAGR in BRIIC markets
predicted between 2012-2016
74% of all internet users use social39.7 million active mobile internet
media
user base
62 million urban social media
32.5 million active social
users
networking users
82% penetration of social media 18.2 million of active Mobile
in college students
Internet users access social
77% of Indian users use mobile formedia
social media
1KPCB
Mobile Internet Usage 2
India (2013)
2012 Digital Trends http://kpcb.com/insights/2012-internet-trends
2Internet and Mobile Association of India (IAMAI) and Indian Market Research Bureau (IMRB) http://www.informationweek.in/internet/13-0314/77_percent_of_indian_users_use_mobile_for_social_media.aspx
3 Canalys (2013) http://www.canalys.com/newsroom/developing-markets-will-drive-smart-phone-market-growth-2013
40. Social TV
• Internet did not kill TV!
• Socially integrated viewing experience has assuaged the initial fears
of some professionals in the television industry who wondered if social
media would drastically reduce the amount of time people might
spend in front TV
• Social media is now recreating “group viewing” with people talking
about programs on spaces created by broadcasters
• This intersection of TV and social media has led to the emergence of
“Social TV”
• online social interactions that occur between viewers while watching
television
41. Social Media is helping TVCs
• Growing popularity of social media has coincided with the decline of a consumer’s use of
traditional media1.
– Growth of social media is driving popularity of Television Commercials (TVCs).
• Spikes in online conversations around huge events like the Cricket matches, IPL, or the
Oscars show how digital conversation is driving more people to tune in
• 43% people follow social media conversations about a TV program on a companion
mobile device while watching the program2
Social Media users following conversations while watching TV (2013)2
Category
Developing Countries
Developed Countries
Passive listening
30%
17%
Active engagement
27%
10%
• Need to target engaged audience
due to declining attention span of
consumer
S.no:
Attention span statistics1
Data
1
The average attention span in 2012
8 seconds
2
The average attention span in 2000
12 seconds
1Treadway, C., & Smith, M. (2010). Facebook marketing: An hour a day.Indianapolis, IN: Wiley
2Motorola engagement research. Analysis of video consumption habits of 9,500 consumers across 17 markets globally
http://mediacenter.motorola.com/Press-Releases/Mobile-Devices-and-DVRs-Shifting-Global-Media-Consumption-3c1d.aspx
3 Harald Weinreich, Hartmut Obendorf, Eelco Herder, and Matthias Mayer: “Not Quite the Average: An Empirical Study of Web Use,” in the ACM
Transactions on the Web, vol. 2, no. 1 (February 2008) (Sample: 59,573 page views)
42. Examples: Super Bowl
Super Bowl XLVII set a new All-Time Record in social TV with 30.6M social media
comments. Twitter accounted for 27.7M, public Facebook accounted for 2.8M
Sources
https://wordpress.bluefinlabs.com/blog/2013/02/04/super-bowl-up-150-in-social-tv-sets-new-all-time-record/
http://mashable.com/2012/02/06/super-bowl-xlvi-social-tv-stats/
43. Sustainability
One of the biggest challenges in
sustainability till now has been the
unwillingness of consumers to pay more for
goods that took care of the society.
A recent study by Nielsen that surveyed
more than 29,000 global respondents found
out that the percentage of people willing
to reward companies that gave back to
the society had increased to 50% in 2013
Impact on countries such as India
from 45% in 2011
The demographic willing to spend more is
also the demographic that is more active
on social media
Source: http://www.domainofhope.com/2013/08/companies-bill-and-csr-to-impact-indian.html
Companies Bill and CSR to
impact Indian Social
Media investments
44. Example: Unilever “Project Sunlight”
Project Sunlight campaign -- a sustainable lifestyle initiative.
Project Sunlight launched Brazil, India, Indonesia, the UK and the US, is encouraging
parents to join what Unilever sees as a growing community of people who want to
make the world a better place for children and future generations.
Impact: 11 million+ views
Sources:
http://adage.com/article/the-viral-video-chart/unilever-s-project-sunlight-campaign-makes-viral-chart/245439/
http://www.unilever.com/mediacentre/pressreleases/2013/Unileverlaunchesprojectsunlightanewinitiativetoinspiresustainableliving.aspx
46. Industry
Digital media industry has
Creative
Ad
Research
Digital
Media
Media
buying
Tech
PR
• Pure creative agencies that
conceptualize and create digital
campaigns
• Old ad and PR agencies who have
extended their services to digital
• Technology companies that work
on customized solutions such as
websites, applications etc.
• SEO, SEM
• Technology companies that
provide analytics and intelligence
• Media buying companies and
customized media owners
• Includes SEM, Facebook, YouTube ads
48. Additional Reads
Adage Digital
http://adage.com/channel/digital/20
Branding in the Digital Age: You’re Spending Your Money in All the Wrong
Places
http://hbr.org/2010/12/branding-in-the-digital-age-youre-spending-your-money-in-allthe-wrong-places/ar/1
Redefining Advertising: How 2013 Transformed Digital Marketing
http://www.google.co.in/think/infographics/redefining-advertising.html
RoI in social marketing
http://www.slideshare.net/maheshmurthy/ro-i-in-social-marketing-some-metrics-bymahesh-murthy-of-pinstorm