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The
Connected
Economy
Insights from the network
Insights from the network
As marketers, we’re used to speaking in the millions and billions. We’re excited by
these magnitudes — not frightened by them. Big Data has conditioned us to dig
through mountains of noise until we strike signal, until we recognize patterns that
tell us what we want to know.

Big numbers make it tempting to speak in abstractions, but it has never been more
important to recognize that behind each data point is a person. Those signals are
human signals, and those patterns tell us about how real consumers live their lives.
The responsibility as marketers possessed of this data is to use it to serve those that
supply it, the end consumers that buy our products and tell us how to make them
better.

We’ve created this booklet to share some of what we’ve learned about consumers
around the world — their attitudes and beliefs, preferences, behaviors, and more
— from the billions of conversations that flow through our system every year.

Find more consumer insights in the following places:

Bazaarvoice blog: bazaarvoice.com/blog
The Conversation Benchmarking Tool: bv-url.com/benchmarking
The Conversation Index: theconversationindex.com




                                                                                          1
The Connected Economy: North America Edition

                                               Table of Contents
                                               Insights from the network 	                1
                                               Travel	                                   10
                                               Apparel	                                  14
                                               Department Store & Mass Merchant	         18
                                               Consumer Electronics	                     22
                                               Consumer Packaged Goods Manufacturers 	   26
                                               Financial Services	                       30
                                               Definitions 	                             34
                                               About Bazaarvoice 	                       35


                                               Sources	37




2                                                                                             3
Top Performing Categories
    Did your category make the list of top performers by these
    critical measures?


    Top 5 categories by average rating* out of 5 stars
         4.63                4.54                  4.53     4.50        4.49




        Jewelry         Professional              Flowers   Media   Sporting Goods
                          Services                & Gifts            & Outdoors


4   *See page 36 for definition of these terms.                                5
Top 5 categories by % lift in revenue* per visit                                Top 5 categories by % repeat reviewers*
for review readers
        Apparel &                                                  178%
       Accessories
                                                                                 40%          37%        32%              31%     29%
    Sporting Goods                                                 111%
Department Stores
 & Mass Merchant                                                   81%         Toys, Games    Health     Media       Luxury      Apparel &
                                                                                & Hobbies    & Beauty                Apparel    Accessories
  Housewares &
Home Furnishings                                                   78%
     Hardware &
 Home Appliances                                                   63%
                                                                                Top 5 categories by net promoter score*
Top 5 categories by % lift in conversion* for review readers
        Apparel &                                                  201%
       Accessories

    Sporting Goods                                                 112%           70%         69%         68%         67%         66%
Department Stores
 & Mass Merchant
                                                                   109%
  Housewares &
Home Furnishings                                                   101%           Pets        Food,      Health       Media       Jewelry
                                                                                             Beverage   & Beauty
     Hardware &                                                                               & Drug
 Home Appliances                                                   90%
6                                *See page 36 for definition of these terms.                                                                7
Consumers have no problem
telling you what’s working,
and what’s not. For these
six common business types,
the data is just as clear:
User-generated content
equals massive advantage.
“I think mobile is
 going to be 50
 percent of travel
 booked within a
 few years. It’s up for
 grabs for anybody.”
 Carl Sparks   1



 CEO
 Travelocity
                          11
ROI Questions & Answers — Percentage lift for
     Travel                                                                               product pages
     Compared to site visitors that did not read reviews, review readers in the Travel                             All Clients
     category experience average lift of 52% in page views per visit, 83% in time on
     site, 25% in repeat visits, 77% in conversion, and 61% in revenue per visit. No
                                                                                                  +7%              AVERAGE
     significant gains in Average Order Value were detected. These gains translate into
     sitewide gains of 1% each in conversion and revenue per visit.                                                ORDER VALUE
     The average rating in the Travel category is 4.14 out of 5 stars. Seventy-nine
     percent of Travel reviews are 4 stars or above. Twenty-two percent of reviews come
     from repeat reviewers. When shoppers post questions in the Travel category, 95%
     of the answers posted are from community peers (as opposed to employees).                                     All Clients
     Travel’s Net Promoter Score (NPS) is 46%, with 62% promoters and 16%                         +77%             CONVERSION
     detractors. Ninety-six percent of reviewers in this category input NPS.




                                                                                                                   All Clients
From Destination Millennials                                                                      +61%             REVENUE
                                                                                                                   PER VISIT
     39%           of Millennials won’t rent a hotel room and 32% won’t book
                   travel accommodations without first reading others’ opinions.


12                                                                                                                                        13
“ We’re just doing what we’ve
  always done. We don’t do a
  lot of advertising. We try to let
  customers do it for us. Well
  that’s what social media is. It’s
  customers talking to each other
  — same thing as 20 years ago.”
 Jamie Nordstrom    2



 President
 Nordstrom Direct


                                  15
Net promoter score
     Apparel
     Compared to site visitors that did not read reviews, review readers in the Apparel
     category experience average lift of 93% in page views per visit, 130% in time on
     site, 9% in repeat visits, 178% in conversion, 201% in revenue per visit, and 9% in
     Average Order Value. These gains translate into sitewide gains of 8% in conversion
     and 9% revenue per visit.

     The average rating in the Apparel category is 4.28 out of 5 stars. Eighty-three
     percent of Apparel reviews are 4 stars or above. Twenty-nine percent of reviews
                                                                                                 73%            17%
     come from repeat reviewers. When shoppers post questions in the Apparel
     category, 57% of the answers posted are from community peers (as opposed to
     employees).

     Apparel’s NPS is 62%, with 73% promoters and 10% detractors. Ninety-two
     percent of reviewers in this category input NPS.




From The Conversation Index Volume 3



     42%
                   of product suggestions across reviews in all categories, were
                   “wishes” relating to color, style, or sizing, such as, “I wish these
                   boots were available in brown.”


16                                                                                                                17
“ Consumers’ store-related mobile
  activities are contributing to —
  not taking away from — in-store
  sales, and our research indicates
  that smartphone shoppers are
  14% more likely to convert and
  make a purchase in the store
  than non-smartphone users.”
 Alison Paul
           3



 Vice Chairman
 Deloitte LLP

                                  19
ROI Ratings & Reviews — Percentage lift for
     Department Store                                                                            product pages
                                                                                           AVERAGE ORDER VALUE
     & Mass Merchant                                                                       Department Store
     Compared to site visitors that did not read reviews, review readers in the                                                          11%
     Department Store / Mass Merchant category experience average lift of 74% in           +0%                                    +25%
     page views per visit, 107% in time on site, 9% in repeat visits, 81% in conversion,
     101% in revenue per visit, and 11% in Average Order Value. These gains translate
                                                                                                                                         8%
                                                                                           All Clients
     into sitewide gains of 3% each in conversion and revenue per visit.

     The average rating in the Department Store / Mass Merchant category is 4.27 out
     of 5 stars. Eighty-three percent of Department Store / Mass Merchant reviews are 4    CONVERSION
                                                                                           Department Store
                                                                                                                                         81%
     stars or above. Twenty-five percent of reviews come from repeat reviewers. When
     shoppers post questions in the Department Store / Mass Merchant category, 68%
     of the answers posted are from community peers (as opposed to employees).             +0%                                   +200%

     Department Store / Mass Merchant’s NPS is 56%, with 69% promoters and 13%                                                           85%
     detractors. Eighty-seven percent of reviewers in this category input NPS.             All Clients

From The Conversation Index Volume 2
                                                                                           REVENUE PER VISIT
                                                                                           Department Store

     2%
                  of all reviews in the Department Store / Mass Merchant category
                  mentioned shipping issues, second only to the Home Improvement
                  category in our analysis. Almost half of customer reviews that           +0%                                   +200%

                                                                                                                                         99%
     mentioned problems with shipping rated products very poorly — up to 80%
     lower than average product sentiment. So even if a customer loves a product,
     a shipping hiccup can ruin the experience — and make product ratings plummet.         All Clients
20                                                                                                                                             21
“ One screen isn’t enough
  anymore. Consumers
  want their devices to be
  connected and they want
  their content to move
  freely between them.”
 Tim Baxter4



 President
 Samsung Electronics America

                               23
The Connected Economy: North America Edition

                                                                                             Net promoter score for Consumer Electronics
     Consumer Electronics
     Compared to site visitors that did not read reviews, review readers in the
     Consumer Electronics category experience average lift of 74% in page views per         53%               % of Promoters             % of Detractors
                                                                                                                 9s and 10s                  0 through 6
     visit, 144% in time on site, 9% in repeat visits, 37% in conversion, 48% in revenue
     per visit, and 12% in Average Order Value. These gains translate into sitewide gains
     of 1% in conversion and 2% in revenue per visit.
                                                                                                  Promoters                    Detractors       Passive
     The average rating in the Consumer Electronics category is 4.27 out of 5 stars.
     Eighty-five percent of Consumer Electronics reviews are 4 stars or above. Fifteen
                                                                                                  64%                          11% 25%
     percent of reviews come from repeat reviewers. When shoppers post questions
     in the Consumer Electronics category, 34% of the answers posted are from
     community peers (as opposed to employees).

     Consumer Electronics’ NPS is 53%, with 64% promoters and 11% detractors.
     Ninety-one percent of reviewers in this category input NPS.




From The Conversation Index Volume 1



     19%
                        of all Consumer Electronics reviews included the word
                        “easy,” more than any other category. Consumers in more
                        complicated purchase categories like Consumer Electronics
     are typically looking for ease of use. 0.1% of the reviews that contained “easy”
     also contained both “quality” and “value.”

24                                                                                                                                                               25
“ What could possibly
  be more important
  than what your
  consumers say
  about you?”
 Mary O’Connell  5



 Director of Global Digital Marketing
 Clorox Brands

                                        27
Rating distribution for Consumer Packaged Goods
     Consumer Packaged Goods
     Manufacturers
     Compared to site visitors that did not read reviews, review readers in the         5                                           68%
     Consumer Packaged Goods (CPG) category experience average lift of 88% in
     conversion.

     The average rating in the CPG category is 4.12 out of 5 stars. Eighty percent of
     CPG reviews are 4 stars or above. Twelve percent of reviews come from repeat       4                                           12%
     reviewers.

     CPG’s NPS is 65%, with 78% promoters and 14% detractors. Ninety percent of
     reviewers in this category input NPS.
                                                                                        3                                           3%


                                                                                        2                                           2%
From The Conversation Index Volume 4

     Trending use of specific language reveals consumer interest. In CPG, mentions      1                                           10%
     of “healthy,” “allergies,” and “organic” correlate to consumer sentiment
     and overall trends — even for these lower-consideration products.

28                                                                                                                                        29
“ I think we’re always challenged
  with figuring out ways to engage
  customers in a meaningful way,
  and in a way that they need,
  rather than just trying to drive
  engagement for the sake of
  engagement — which generally
  falls flat in a category like ours.”
 Shawn Morton   6



 VP of Social Products & Platforms
 JPMorgan Chase

                                     31
Average rating
     Financial Services




                                                                                                                                        ALL CLIENTS
                                                                                             FINANCIAL
     The average rating in the Financial Services category is 4.44 out of 5 stars. Eighty-




                                                                                              SERVICES
     seven percent of Financial Services reviews are 4 stars or above. Six percent of
     reviews come from repeat reviewers.
                                                                                                                       4.44                                  4.28
     Financial Services’ NPS is 57%, with 74% promoters and 17% detractors. Ninety-
     nine percent of reviewers in this category input NPS.




                                                                                                         Net promoter score

From The Conversation Index Volume 2
                                                                                                         57%                  % of Promoters          % of Detractors
                                                                                                                                 9s and 10s               0 through 6
     Turns out, customers for 20+ years rate financial products less favorably than
     new customers. Those who have been customers for less than a year rated
                                                                                                           Promoters                                  Detractors        Passive

                                                                                                           74%                                        17% 9%
     products 8% more positively, on average, than these long-tenured clients.

     But all is not lost: 77% of long-term customers said they would recommend
     their financial firms to others — they’re the second largest segment of promoters
     for these types of firms.

     Plus, these customers contributed more content than any other group — they
     created 32% of total product reviews.


32                                                                                                                                                                           33
Definitions                                Revenue Per Visit % Lift
                                                What it is: Total revenue divided by        About Bazaarvoice
                                                total visits, measured in percentage lift
     Conversion Rate % Lift                                                                 Bazaarvoice, a leading social software company, assists clients in bringing the
                                                for visitors who have interacted with
     What it is: The percentage of visits                                                   voice of the customer to the center of business strategy. With over 2,000 clients
                                                user-generated content over visitors
     that end in a transaction, measured in     who have not.                               globally, including over half of the Internet Retailer 500, over 20 percent of the
     percentage lift for visitors who have                                                  Fortune 500 and over one-third of the Fortune 100, Bazaarvoice helps clients to
                                                Why it’s important: Use this to
     interacted with user-generated content     determine the impact of user-generated      leverage social data derived from online word of mouth content to increase sales,
     over visitors who have not.                content on the average revenue earned       acquire new customers, improve marketing effectiveness, enhance consumer
     Why it’s important: Use this to            per visit.                                  engagement across channels, increase success of new product launches, improve
     determine the impact of user-generated                                                 existing products and services, effectively scale customer support, decrease
                                                Net Promoter Score (NPS)
     content on closing the sale.                                                           product returns and enable retailers to launch and manage on-site advertising
                                                What it is: Consumers’ likeliness
     Average Order Value % Lift                 to recommend your company.                  solutions and site monetization strategies. This online word of mouth content can
     What it is: Total revenue generated                                                    be syndicated across Bazaarvoice’s global network of client websites, shopper
                                                Why it’s important: Use this to
     divided by total number of orders,         determine customer satisfaction —           media sites and mobile devices, making the user-generated content that digital
     measured in percentage lift for visitors   how your company is performing in           consumers trust accessible at multiple points of purchase. Headquartered in
     who have interacted with user-             the eyes of your customers.                 Austin, Texas, Bazaarvoice has offices in Amsterdam, London, Munich, New York,
     generated content over visitors                                                        Paris, San Francisco, Stockholm, and Sydney. For more information, visit www.
     who have not.                              Repeat Reviewers %
                                                                                            bazaarvoice.com, read the blog at www.bazaarvoice.com/blog, and follow
                                                What it is: The percentage of total
     Why it’s important: Use this to                                                        on Twitter at www.twitter.com/bazaarvoice.
                                                reviews written by those who have
     determine the impact of user-generated
                                                contributed two or more reviews             Column Five Media created the visualizations for The Connected Economy,
     content on the dollar amount of the
                                                over a specified period of time.            based on data from the Conversation Benchmarking Tool (bv-url.com/
     average transaction.
                                                Why it’s important: Use this to             benchmarking)
                                                measure customer engagement
                                                and identify brand advocates.



34                                                                                                                                                                               35
Sources
     “The Connected Economy”
      1.	 “Travelocity’s Carl Sparks found a job all about travel, but close to home,”
          Dallas Business Journal, October 2012 http://www.bizjournals.com/dallas/
          print-edition/2012/10/12/carl-sparks-of-travelocity-found-a.html?page=all
      2.	“Shaking the Social Media Magic 8 Ball,” Apparel, September 2012 http://apparel.
         edgl.com/case-studies/Shaking-the-Social-Media-Magic-8-Ball82294
      3.	“Smartphones will Influence $689 Billion in Retail Store Sales by 2016: Deloitte
         Study,” Deloitte, June 2012 http://www.deloitte.com/view/en_US/us/press/Press-
         Releases/21b5a46ee8828310VgnVCM2000001b56f00aRCRD.htm
      4.	“Samsung’s Vision Of A Hyper-Flexible Gadget Empire At CES 2013,” readwrite,
         January 2013 http://readwrite.com/2013/01/07/ces-2013-samsung-press-
         conference
      5.	“Competing against ‘the other woman’: How CPG brands can win against
         private labels,” Bazaarvoice Blog, October 2012 http://www.bazaarvoice.com/
         blog/2012/10/08/competing-against-the-other-woman-how-cpg-brands-can-win-
         against-private-labels/
      6.	“Social Pros 24 – Shawn Morton, JPMorgan Chase,” Convince & Convert, July 2013
         http://www.convinceandconvert.com/social-pros-podcast/social-pros-24-shawn-
         morton-jpmorgan-chase/




36                                                                                          37

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The Connected Economy: Insights from the network

  • 2. Insights from the network As marketers, we’re used to speaking in the millions and billions. We’re excited by these magnitudes — not frightened by them. Big Data has conditioned us to dig through mountains of noise until we strike signal, until we recognize patterns that tell us what we want to know. Big numbers make it tempting to speak in abstractions, but it has never been more important to recognize that behind each data point is a person. Those signals are human signals, and those patterns tell us about how real consumers live their lives. The responsibility as marketers possessed of this data is to use it to serve those that supply it, the end consumers that buy our products and tell us how to make them better. We’ve created this booklet to share some of what we’ve learned about consumers around the world — their attitudes and beliefs, preferences, behaviors, and more — from the billions of conversations that flow through our system every year. Find more consumer insights in the following places: Bazaarvoice blog: bazaarvoice.com/blog The Conversation Benchmarking Tool: bv-url.com/benchmarking The Conversation Index: theconversationindex.com 1
  • 3. The Connected Economy: North America Edition Table of Contents Insights from the network 1 Travel 10 Apparel 14 Department Store & Mass Merchant 18 Consumer Electronics 22 Consumer Packaged Goods Manufacturers 26 Financial Services 30 Definitions 34 About Bazaarvoice 35 Sources 37 2 3
  • 4. Top Performing Categories Did your category make the list of top performers by these critical measures? Top 5 categories by average rating* out of 5 stars 4.63 4.54 4.53 4.50 4.49 Jewelry Professional Flowers Media Sporting Goods Services & Gifts & Outdoors 4 *See page 36 for definition of these terms. 5
  • 5. Top 5 categories by % lift in revenue* per visit Top 5 categories by % repeat reviewers* for review readers Apparel & 178% Accessories 40% 37% 32% 31% 29% Sporting Goods 111% Department Stores & Mass Merchant 81% Toys, Games Health Media Luxury Apparel & & Hobbies & Beauty Apparel Accessories Housewares & Home Furnishings 78% Hardware & Home Appliances 63% Top 5 categories by net promoter score* Top 5 categories by % lift in conversion* for review readers Apparel & 201% Accessories Sporting Goods 112% 70% 69% 68% 67% 66% Department Stores & Mass Merchant 109% Housewares & Home Furnishings 101% Pets Food, Health Media Jewelry Beverage & Beauty Hardware & & Drug Home Appliances 90% 6 *See page 36 for definition of these terms. 7
  • 6. Consumers have no problem telling you what’s working, and what’s not. For these six common business types, the data is just as clear: User-generated content equals massive advantage.
  • 7. “I think mobile is going to be 50 percent of travel booked within a few years. It’s up for grabs for anybody.” Carl Sparks 1 CEO Travelocity 11
  • 8. ROI Questions & Answers — Percentage lift for Travel product pages Compared to site visitors that did not read reviews, review readers in the Travel All Clients category experience average lift of 52% in page views per visit, 83% in time on site, 25% in repeat visits, 77% in conversion, and 61% in revenue per visit. No +7% AVERAGE significant gains in Average Order Value were detected. These gains translate into sitewide gains of 1% each in conversion and revenue per visit. ORDER VALUE The average rating in the Travel category is 4.14 out of 5 stars. Seventy-nine percent of Travel reviews are 4 stars or above. Twenty-two percent of reviews come from repeat reviewers. When shoppers post questions in the Travel category, 95% of the answers posted are from community peers (as opposed to employees). All Clients Travel’s Net Promoter Score (NPS) is 46%, with 62% promoters and 16% +77% CONVERSION detractors. Ninety-six percent of reviewers in this category input NPS. All Clients From Destination Millennials +61% REVENUE PER VISIT 39% of Millennials won’t rent a hotel room and 32% won’t book travel accommodations without first reading others’ opinions. 12 13
  • 9. “ We’re just doing what we’ve always done. We don’t do a lot of advertising. We try to let customers do it for us. Well that’s what social media is. It’s customers talking to each other — same thing as 20 years ago.” Jamie Nordstrom 2 President Nordstrom Direct 15
  • 10. Net promoter score Apparel Compared to site visitors that did not read reviews, review readers in the Apparel category experience average lift of 93% in page views per visit, 130% in time on site, 9% in repeat visits, 178% in conversion, 201% in revenue per visit, and 9% in Average Order Value. These gains translate into sitewide gains of 8% in conversion and 9% revenue per visit. The average rating in the Apparel category is 4.28 out of 5 stars. Eighty-three percent of Apparel reviews are 4 stars or above. Twenty-nine percent of reviews 73% 17% come from repeat reviewers. When shoppers post questions in the Apparel category, 57% of the answers posted are from community peers (as opposed to employees). Apparel’s NPS is 62%, with 73% promoters and 10% detractors. Ninety-two percent of reviewers in this category input NPS. From The Conversation Index Volume 3 42% of product suggestions across reviews in all categories, were “wishes” relating to color, style, or sizing, such as, “I wish these boots were available in brown.” 16 17
  • 11. “ Consumers’ store-related mobile activities are contributing to — not taking away from — in-store sales, and our research indicates that smartphone shoppers are 14% more likely to convert and make a purchase in the store than non-smartphone users.” Alison Paul 3 Vice Chairman Deloitte LLP 19
  • 12. ROI Ratings & Reviews — Percentage lift for Department Store product pages AVERAGE ORDER VALUE & Mass Merchant Department Store Compared to site visitors that did not read reviews, review readers in the 11% Department Store / Mass Merchant category experience average lift of 74% in +0% +25% page views per visit, 107% in time on site, 9% in repeat visits, 81% in conversion, 101% in revenue per visit, and 11% in Average Order Value. These gains translate 8% All Clients into sitewide gains of 3% each in conversion and revenue per visit. The average rating in the Department Store / Mass Merchant category is 4.27 out of 5 stars. Eighty-three percent of Department Store / Mass Merchant reviews are 4 CONVERSION Department Store 81% stars or above. Twenty-five percent of reviews come from repeat reviewers. When shoppers post questions in the Department Store / Mass Merchant category, 68% of the answers posted are from community peers (as opposed to employees). +0% +200% Department Store / Mass Merchant’s NPS is 56%, with 69% promoters and 13% 85% detractors. Eighty-seven percent of reviewers in this category input NPS. All Clients From The Conversation Index Volume 2 REVENUE PER VISIT Department Store 2% of all reviews in the Department Store / Mass Merchant category mentioned shipping issues, second only to the Home Improvement category in our analysis. Almost half of customer reviews that +0% +200% 99% mentioned problems with shipping rated products very poorly — up to 80% lower than average product sentiment. So even if a customer loves a product, a shipping hiccup can ruin the experience — and make product ratings plummet. All Clients 20 21
  • 13. “ One screen isn’t enough anymore. Consumers want their devices to be connected and they want their content to move freely between them.” Tim Baxter4 President Samsung Electronics America 23
  • 14. The Connected Economy: North America Edition Net promoter score for Consumer Electronics Consumer Electronics Compared to site visitors that did not read reviews, review readers in the Consumer Electronics category experience average lift of 74% in page views per 53% % of Promoters % of Detractors 9s and 10s 0 through 6 visit, 144% in time on site, 9% in repeat visits, 37% in conversion, 48% in revenue per visit, and 12% in Average Order Value. These gains translate into sitewide gains of 1% in conversion and 2% in revenue per visit. Promoters Detractors Passive The average rating in the Consumer Electronics category is 4.27 out of 5 stars. Eighty-five percent of Consumer Electronics reviews are 4 stars or above. Fifteen 64% 11% 25% percent of reviews come from repeat reviewers. When shoppers post questions in the Consumer Electronics category, 34% of the answers posted are from community peers (as opposed to employees). Consumer Electronics’ NPS is 53%, with 64% promoters and 11% detractors. Ninety-one percent of reviewers in this category input NPS. From The Conversation Index Volume 1 19% of all Consumer Electronics reviews included the word “easy,” more than any other category. Consumers in more complicated purchase categories like Consumer Electronics are typically looking for ease of use. 0.1% of the reviews that contained “easy” also contained both “quality” and “value.” 24 25
  • 15. “ What could possibly be more important than what your consumers say about you?” Mary O’Connell 5 Director of Global Digital Marketing Clorox Brands 27
  • 16. Rating distribution for Consumer Packaged Goods Consumer Packaged Goods Manufacturers Compared to site visitors that did not read reviews, review readers in the 5 68% Consumer Packaged Goods (CPG) category experience average lift of 88% in conversion. The average rating in the CPG category is 4.12 out of 5 stars. Eighty percent of CPG reviews are 4 stars or above. Twelve percent of reviews come from repeat 4 12% reviewers. CPG’s NPS is 65%, with 78% promoters and 14% detractors. Ninety percent of reviewers in this category input NPS. 3 3% 2 2% From The Conversation Index Volume 4 Trending use of specific language reveals consumer interest. In CPG, mentions 1 10% of “healthy,” “allergies,” and “organic” correlate to consumer sentiment and overall trends — even for these lower-consideration products. 28 29
  • 17. “ I think we’re always challenged with figuring out ways to engage customers in a meaningful way, and in a way that they need, rather than just trying to drive engagement for the sake of engagement — which generally falls flat in a category like ours.” Shawn Morton 6 VP of Social Products & Platforms JPMorgan Chase 31
  • 18. Average rating Financial Services ALL CLIENTS FINANCIAL The average rating in the Financial Services category is 4.44 out of 5 stars. Eighty- SERVICES seven percent of Financial Services reviews are 4 stars or above. Six percent of reviews come from repeat reviewers. 4.44 4.28 Financial Services’ NPS is 57%, with 74% promoters and 17% detractors. Ninety- nine percent of reviewers in this category input NPS. Net promoter score From The Conversation Index Volume 2 57% % of Promoters % of Detractors 9s and 10s 0 through 6 Turns out, customers for 20+ years rate financial products less favorably than new customers. Those who have been customers for less than a year rated Promoters Detractors Passive 74% 17% 9% products 8% more positively, on average, than these long-tenured clients. But all is not lost: 77% of long-term customers said they would recommend their financial firms to others — they’re the second largest segment of promoters for these types of firms. Plus, these customers contributed more content than any other group — they created 32% of total product reviews. 32 33
  • 19. Definitions Revenue Per Visit % Lift What it is: Total revenue divided by About Bazaarvoice total visits, measured in percentage lift Conversion Rate % Lift Bazaarvoice, a leading social software company, assists clients in bringing the for visitors who have interacted with What it is: The percentage of visits voice of the customer to the center of business strategy. With over 2,000 clients user-generated content over visitors that end in a transaction, measured in who have not. globally, including over half of the Internet Retailer 500, over 20 percent of the percentage lift for visitors who have Fortune 500 and over one-third of the Fortune 100, Bazaarvoice helps clients to Why it’s important: Use this to interacted with user-generated content determine the impact of user-generated leverage social data derived from online word of mouth content to increase sales, over visitors who have not. content on the average revenue earned acquire new customers, improve marketing effectiveness, enhance consumer Why it’s important: Use this to per visit. engagement across channels, increase success of new product launches, improve determine the impact of user-generated existing products and services, effectively scale customer support, decrease Net Promoter Score (NPS) content on closing the sale. product returns and enable retailers to launch and manage on-site advertising What it is: Consumers’ likeliness Average Order Value % Lift to recommend your company. solutions and site monetization strategies. This online word of mouth content can What it is: Total revenue generated be syndicated across Bazaarvoice’s global network of client websites, shopper Why it’s important: Use this to divided by total number of orders, determine customer satisfaction — media sites and mobile devices, making the user-generated content that digital measured in percentage lift for visitors how your company is performing in consumers trust accessible at multiple points of purchase. Headquartered in who have interacted with user- the eyes of your customers. Austin, Texas, Bazaarvoice has offices in Amsterdam, London, Munich, New York, generated content over visitors Paris, San Francisco, Stockholm, and Sydney. For more information, visit www. who have not. Repeat Reviewers % bazaarvoice.com, read the blog at www.bazaarvoice.com/blog, and follow What it is: The percentage of total Why it’s important: Use this to on Twitter at www.twitter.com/bazaarvoice. reviews written by those who have determine the impact of user-generated contributed two or more reviews Column Five Media created the visualizations for The Connected Economy, content on the dollar amount of the over a specified period of time. based on data from the Conversation Benchmarking Tool (bv-url.com/ average transaction. Why it’s important: Use this to benchmarking) measure customer engagement and identify brand advocates. 34 35
  • 20. Sources “The Connected Economy” 1. “Travelocity’s Carl Sparks found a job all about travel, but close to home,” Dallas Business Journal, October 2012 http://www.bizjournals.com/dallas/ print-edition/2012/10/12/carl-sparks-of-travelocity-found-a.html?page=all 2. “Shaking the Social Media Magic 8 Ball,” Apparel, September 2012 http://apparel. edgl.com/case-studies/Shaking-the-Social-Media-Magic-8-Ball82294 3. “Smartphones will Influence $689 Billion in Retail Store Sales by 2016: Deloitte Study,” Deloitte, June 2012 http://www.deloitte.com/view/en_US/us/press/Press- Releases/21b5a46ee8828310VgnVCM2000001b56f00aRCRD.htm 4. “Samsung’s Vision Of A Hyper-Flexible Gadget Empire At CES 2013,” readwrite, January 2013 http://readwrite.com/2013/01/07/ces-2013-samsung-press- conference 5. “Competing against ‘the other woman’: How CPG brands can win against private labels,” Bazaarvoice Blog, October 2012 http://www.bazaarvoice.com/ blog/2012/10/08/competing-against-the-other-woman-how-cpg-brands-can-win- against-private-labels/ 6. “Social Pros 24 – Shawn Morton, JPMorgan Chase,” Convince & Convert, July 2013 http://www.convinceandconvert.com/social-pros-podcast/social-pros-24-shawn- morton-jpmorgan-chase/ 36 37