Digital Pearl Fishing
The Scholz & Friends Strategy Group looks at the question:
“How can we use online conversations to aid
insight research?”
The Scholz & Friends TopicTracker | December 2008 | Page 1

As everyone is now aware, the media landscape has
undergone fundamental change.
“Technology is shifting the power away from the editors,
the publishers, the establishment, the media elite.
Now it’s the people who are in control.”
Rupert Murdoch, Wired Magazine, July 2006
The Scholz & Friends TopicTracker | December 2008 | Page 2

Today, anyone can just create, distribute and receive
content.
The Scholz & Friends TopicTracker | December 2008 | Page 3

People are no longer mere passive consumers,
they are now active participants.
Consumer Participant
Person
Producer Community
Multiplier
Source: adapted from David Armano “Micro Interactions + Direct Engagement”, 2008
The Scholz & Friends TopicTracker | December 2008 | Page 4

Together, they form a dynamic and networked
communication system.
Source: adapted from David Armano “Micro Interactions + Direct Engagement”, 2008
The Scholz & Friends TopicTracker | December 2008 | Page 5

They choose to congregate around topics that
interest them – and to interact with each other.
The Scholz & Friends TopicTracker | December 2008 | Page 6

People use the internet to chat, discuss, inform
and to influence each other.
3/4 of internet users go online to find out
more about products and services.
1/3 have rated a product or service online.
15% of all conversations on the internet are
about products and services.
8% of German internet users post
comments on blogs, be it their own or
other people’s.
Source: Pew I “How Men and Women use the Internet“, 12/2005
BITKOM press release, 05/2007
The Scholz & Friends TopicTracker | December 2008 | Page 7

People trust the opinions of their peers more than
they trust advertising or brands.
Online product enquiries Reliability of online sources
Private internet users Users consider to be credible...
Manufacturer‘s
information
Product ratings in
magazines
Other Users‘ ratings
and comments
Price Company Quality Users‘ Discussion
comparison websites tests comments forum
Source: Allensbach Computer- and Technology-Analysis (ACTA), 2008
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Buried among these voluntary, unprompted internet
conversations and opinions are valuable insights.
The Scholz & Friends TopicTracker | December 2008 | Page 9

Insights that have become of interest and relevance
to major brands.
The US two biggest advertisers, Procter & Gamble and
Unilver, are planning to shift money from traditional
consumer research to analysing social networks, blogs and
consumer comments for their marketing.
Source: KONTAKTER, September 22nd, 2008, No. 39/2008
„Online communities are a boon to marketers seeking qualitative research data to
guide their increasingly customer-focused strategies. They are cost-efficient,
accessible and effective forums in which marketers and market researchers can
connect with hundreds or thousands of consumers.“
Source: Elisabeth A. Sullivan on www.thinkpassenger.com, October 28th, 2008
The Scholz & Friends TopicTracker | December 2008 | Page 10

Our device for finding these buried insights is:
The TopicTracker ®
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We start with a question – any question!
For example:
What topics or problems are being
discussed that relate to my brand?
?
What is being said about What is being said about my
my competitors? product or brand?
What is a particular interest What product characteristics are of
group talking about? interest to my target group?
Is a buzz evident before or after
In what context is my brand
a product launch?
being discussed?
Is a buzz evident before or
Who is driving discussions?
after a campaign?
What product developments are
What ideas could improve my
people in my category talking
product?
about?
The Scholz & Friends TopicTracker | December 2008 | Page 12

®
The TopicTracker principle: systematically monitor and
evaluate conversations in defined communities.
What are particular groups talking about
in regard to particular questions?
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The major difference to conventional, qualitative
market research: the quality of the insights.
e.g. focus groups: TopicTracking:
insight generation based on small insight generation based on
number of moderated opinions. large number of volunteered opinions.
=
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What’s more: we can now back qualitative insights
with quantitative factors for the first time.
e.g. significant peaks
+ e.g. chronologies
The Scholz & Friends TopicTracker | December 2008 | Page 15

Buzz value: an important qualitative factor.
How significant is a discussion?
Amount of posts
del.icio.us digg
Page rank Technorati rank
(social
(link popularity) (degree of (actuality & activity)
bookmarks)
crosslinking)
Impact Factor
Buzz Value
Response Factor Relevance Factor
Amount of feedback Proportion of relevant content
(comments, trackbacks, threads)
The Scholz & Friends TopicTracker | December 2008 | Page 16

The following six basic parameters can be covered
®
by the TopicTracker:
Content – attitudes and opinions on topics
Quality – calibre of discussion, opinion and content
Chronology – development of discussions/topics over time period
Volume – quantity of terms, opinions and contributors
Links – degree of interconnection between sources or topics
Distribution – type of blogs or discussions analysed
The Scholz & Friends TopicTracker | December 2008 | Page 17

The procedure: systematic use of technology
(to collect) and intelligence (to condense).
1. Identify sources 2. Collect data 3. Filter information 4. Derive insights
The quantitative results are
Conversations in the Resulting information is
Blogs and forums relevant to
processed and insights
identified “alpha spots” are viewed, aggregated and
the task (“alpha spots”) are
derived and/or
recorded, categorised and evaluated.
defined.
recommendations made.
archived – either once or
repeatedly.
The Scholz & Friends TopicTracker | December 2008 | Page 18

To this end, information analysts and
strategy consultants work hand in hand.
Media analysis
Planning Planning
1. Identify sources 2. Collect data 3. Filter information 4. Derive insights
IA IA IA
SC SC SC
The quantitative results are
Blogs and forums relevant to Conversations in the Resulting information is
processed and insights
the task (“alpha spots”) are identified “alpha spots” are viewed, aggregated and
derived and/or
recorded, categorised and evaluated.
defined.
recommendations made.
archived – either once or
repeatedly.
The Scholz & Friends TopicTracker | December 2008 | Page 19

The result: processing and evaluation that’s tailored
to the brand strategy.
Record
Graphs
Original quotes Findings
Tables
The Scholz & Friends TopicTracker | December 2008 | Page 20

®
The strengths of the TopicTracker:
1. Its many benefits.
Delivers high-quality insights
Based on quantitative arguments
Chronologies can be included
Data is easy to comprehend
Can be used flexibly
The Scholz & Friends TopicTracker | December 2008 | Page 21

®
The strengths of the TopicTracker:
2. Its many applications.
INSIGHT BUZZ REPUTATION
SPY MONITOR ALARM
Topics
Product launch PR problems
Brand
Campaign launch Discussions
Target group
Strategy shift Public opinion
Product
Competitors
The Scholz & Friends TopicTracker | December 2008 | Page 22

If you’d like to know more,
we’d be happy to hear from you.
Scholz & Friends Strategy Group GmbH
Hanseatic Trade Center
Am Sandtorkai 76
20457 Hamburg
Germany
Tel. +49 (0) 40/3 76 81-0
Fax +49 (0) 40/3 76 81-681
http://www.s-f.com
Vincent Schmidlin Holger Schneider
Managing Director Strategy Director
vincent.schmidlin@s-f.com holger.schneider@s-f.com
The Scholz & Friends TopicTracker | December 2008 | Page 23

Further links related to this topic.
Slideshare:
YouTube:
Brands and Communication in
Dramatic Shift in Marketing Reality
the Era of Media Democracy
www.youtube.com/watch?v=ciSrNc1v17M
www.slideshare.net/SFStrategy/brands-and-communication-in-the-era-of-media-democracy
The Scholz & Friends TopicTracker | December 2008 | Page 24