WOM MARKETINGMEASUREMENT GUIDELINESThinking about the KPIs of WOM marketing 9/2012 The Word of Mouth Japan Marketing AssociationWOM Method Committee
2 GUIDELINES WOM Method Committee MembersWOM MARKETING METHOD ■Chairman Masayuki Nakajima Kokokusha Co., Ltd ■Members Yu Ishida Agile Media Network Inc. Takahiro Ugajin ADK, Inc Koki Uchiyama Hotto Link Hiroshi Oridate BILCOM Inc. Nozomi Kawashimo D.A.C Dr. Takayoshi Kawai Tokai University Kenichi Kikui Tokyu Agency Inc. Munehiro Kishinami Aoyama Gakuin Human Innovation Consulting Inc. Satoshi Kurokawa Kokokusha Co., Ltd Masahiro Sano Gala Buzz Hirokazu Sato Hot Link Mayuki Morinaga Hakuhodo DY MediaPartners
Are you familiar with “festivals" on the Web? GUIDELINESWOM MARKETING METHOD Original research by Hakuhodo ( 博報堂 ) Dates: March 3 & 4, 2012 Internet research in Japan Respondents: Men and women, aged 15-69, 4000ss, nationwide （ Database: J-Read all Japan newspaper survey ）
Survey: Topics on the Web during the past year 4 GUIDELINESWOM MARKETING METHOD The 5 most popular “festival” topics on the Web (see following pages) １８ . ８％ ４６ . ６％ ６５ . １３ . ５％ ２７ . ２％ ４０ . ７％ 7.1% ２０ . ７％ ２７ . ８％ 3.9% ２２ . ７％ ２６ . ５％ 10.2% １５ . ２％ ２５ . ３％ ■Know well ■Know something
A: Awareness rate 65.3% 5 GUIDELINES Deep awareness rate 18.8%WOM MARKETING METHOD Did you know? Glico, a Japanese food company, featured a “virtual member” of pop group AKB48 in its TVC for "ICE-NO MI” (Fruit Ice)? She is a CG rendition created from parts of various members of AKB48
A: Awareness rate 65.3% 6 GUIDELINES Deep awareness rate 18.8%*WOM MARKETING METHOD Breakdown of 18.8% deep awareness Men, 15-19: 35.4% Women, 15-19: 36.0% Know first by: Know first by: ・ TV program ・ TV program ・ 2ch ・ 2ch summary site ・ Word of mouth from a friend or family ・ Yahoo ! news ・ Twitter ・ newspaper ・ Yahoo! news ・ Word of mouth from ・ 2ch ･ 2ch summary site a friend or family Women, 20-29: 30.7% Know first by: ・ TV program *Awareness rate = includes “Know something” ・ Yahoo! news Deep Awareness rate = only “Know ・ mixi well” ・ twitter ・ Word of mouth from a friend or family
B: Awareness rate 40.7% 7 GUIDELINES Deep awareness rate 13.5%WOM MARKETING METHOD Did you know? After the Great East Japan Earthquake disaster, many public TVCs were broadcast daily by the AC (Advertising Council Japan). A parody video of AC TVC“Popopo-pown” became very popular. AC TVC: “popopo-pown” ( ぽぽぽぽーん） http://www.YouTube.com/watch?v=dXD- KzMzcQI&feature=related Parody of “popopo-pown” The popopo-pown robot http://www.YouTube.com/watch?v=Y2pB7W5g4m4
B: Awareness rate 40.7% 8 GUIDELINES Deep awareness rate 13.5%WOM MARKETING METHOD Breakdown of 13.5% deep awareness. Men, 15-19: 44.5% Women, 15-19: 34.8% Know first by: Know first by: ・ Niko-Niko doga ・ Niko-Niko doga ・ Youtube ・ Youtube ・ 2ch ・ 2ch summary site ・ 2ch ・ 2ch summary site ・ Word of mouth from ・ Word of mouth from a friend or family a friend or family ・ Twitter ・ Yahoo! news Women, 20-29: 24.3% Know first by: ・ Niko-Niko doga ・ Youtube ・ 2ch ・ 2ch summary site ・ Word of mouth from a friend or family ・ TV program
C: Awareness rate 26.5% 9 GUIDELINES Deep awareness rate 3.9%WOM MARKETING METHOD Did you know? Toyota U.S.A. TVC featured Miku Hatsune who is a famous virtual idol.
C: Awareness rate 26.5% 10 GUIDELINES Deep awareness rate 3.9%WOM MARKETING METHOD Breakdown of 3.9% deep awareness Men, 15-19: 17.1% Know first by: • 2ch ・ 2ch summary site • Niko-Niko doga • TV program • Newspaper • Twitter
11 GUIDELINES Starting point for committee discussionWOM MARKETING METHOD We want to measure the degree of influence our communication has on its intended target. But: We don’t want to limit our measurements to the Web, because it does not give us the entire picture.
12 GUIDELINES Considerations for measurement of WOMWOM MARKETING METHOD It is important to measure the effect of WOM correctly without being confused by extreme data on the Web, such as re-tweets, followers, and “Likes”. We need to identify the appropriate data for each specific marketing goal.
13 GUIDELINES Objectives of WOM Method CommitteeWOM MARKETING METHOD • Establish guidelines for measurement of the effect of WOM on marketing campaigns. First, we need to define the effects of WOM. 1) What kind of data should be used to measure the effect of WOM and when should we measure it? 2) We have to think about the effect of WOM in real life, not only on Social Media. 3) What kind of methods are used at present?
14 GUIDELINES The premise of WOM measurement guidelinesWOM MARKETING METHOD ●Our discussion range In general, there are two analysis points for measurement of WOM. 1) Analyze what and how is conveyed by WOM. 2) Analyze WOM with research panel. We will discuss only 1) in 2012. ● The ultimate goal for this year is to define guidelines for measuring the effect of WOM and changes in consumer behavior and action paths as affected by corporate marketing activities.
15 GUIDELINES 1. WOM measurement case studiesWOM MARKETING METHOD We analyzed three different types of WOM. (1) The effect of WOM on perception changes (consumer research) (2) Engagement analysis (users’ behavior in Facebook) (3) Measurement of overall campaign reaction by WOM analysis (users’ behavior in twitter)
16 1-① Analysis of the effect of WOM on perception changes (consumer research) Researched by WOMLabo (Kokokusha Co., Ltd)
① Analysis of effect of WOM on perception 17 GUIDELINES changeWOM MARKETING METHOD Spread of WOM ＊ Kuchikomi Survey 2012 Interest in WOM 57.9% ③ Effect of WOM on ① Effect of WOM perception change Consumer Awareness ・・（ A ） Awareness via WOM 60.4% Potential customer (Trigger brand awareness) 1 In store promotion 30.7% 2 TV 16.6% Interest via WOM 62.6% Prospect 3 Website 14.4% Trigger to purchase via WOM 56% Person who wants to buy your brand Trigger interest ・・（ B ） 1 In store promotion 31.2% 2 TV 15.3% Customer ① WOM transmission path 3 Search engine 12.5% WOM G0 ● Shared own experience by WOM ・・･ 36% Trigger purchase ・・（ C ） ● Shared something seen/heard by WOM ･････ 41% WOM G1 1 In store promotion 26.8% (Share third person’s testimonials by wom) 2 TV 13.3% ● Experience of tweeting,re-tweeting,”Like” ・・ 3 Website 13.2% 28% WOM G2 ● WOM to whom? （ friends & acquaintances) ・ * About products and services purchased 49.6% within past six months ● WOM method （ actual meeting ）・・・･ Share by WOM 75.8% data ： WOMlabo http://www.womlabo.com/
① Analysis of effect of WOM on perception change 18 GUIDELINESWOM MARKETING METHOD The following were defined as WOM Types of WOM measured 1 WOM from a friend in real world Real 2 Coworker Real 3 User Real/Net 4 WOM from a friend in his/her community Real/Net 5 Web communities and blogs Net 6 WOM community （ ex Kakaku.com,Tabelog ） Net 7 WOM from SNS like mixi/twitter/Facebook Net 8 YouTube/NIKO-NIKO DOGA Net
21 Consumer research Understanding the effect of WOM on your brand through GUIDELINESWOM MARKETING METHOD consumer research Spread of WOM ③ Effect of WOM on ① Effect of WOM perception change Consumer Potential customer First Awareness *effect of WOM Prospect Person who wants Trigger interest to buy your brand *effect of WOM ① WOM transmission path Customer WOM G0 Trigger purchase *effect of WOM WOM G1 WOM G2
22 ② Engagement analysis （ effect of WOM via Facebook ） Data source Bilcom
23 GUIDELINES ② Analysis example （ Facebook ）WOM MARKETING METHOD WOM measurement considerations Measure effects WOM based on quality rather than quantity Measure the quality A fan has many needs of fan loyalty ・ Corporate information ・ Response to submissions ・ Product and sales information ・ Reach of WOM
24 GUIDELINES ② Analysis example 1(Facebook)WOM MARKETING METHOD Facebook analysis points 1. Analyze the information transmission structure of Facebook 2. Notice fans talking rather than the # of fans. - Fan activity is more important number of fans 3. Analyze reach in detail. 4. Analyze each message to identify ways to activate fans.
25 GUIDELINES ② Analysis example 1 (Facebook)WOM MARKETING METHOD 1.Analyze the information transmission structure of Facebook The index on Facebook Path of information on Facebook Information Spread Reactions from Capture a fan disseminated of information fans from a brand ・ #s who tell a friend ・ # of WOM ・ # of fans ・ # reached └ Like └ Comment └ Share └ Answer a question Periodical investigations are performed to create a benchmark.
26 GUIDELINES ②Analysis example 2 (Facebook)WOM MARKETING METHOD Facebook analysis points 1. Analyze the information transmission structure of Facebook 2. Notice fans talking rather than the # of fans. - Fan activity is more important number of fans 3. Analyze reach in detail. 4. Analyze each message to identify ways to activate fans.
27 GUIDELINES ②Analysis data 1 （ Facebook ） Compare changes in # of fans withWOM MARKETING METHOD changes in # of people who talk about it. Example of a page where increase in # of fans leads to increased activity ファン数 話題にしている人数 # of fans # of people who talk about it Increasing # of fans influences the # of people who talk about it. ↓ Increasing # of fans facilitates spread of engagement and information.
28 GUIDELINES ②Analysis data 2 (Facebook)WOM MARKETING METHOD Example of a page where increase in # of fans does not lead to increased activity. ファン数 話題にしている人数 # of fans # of people who talk about it The increasing # of fans does not influence the # of people who talk about it. ↓ They have failed to capture true fans.
29 GUIDELINES ②Analysis example (Facebook)WOM MARKETING METHOD Facebook analysis points 1. Analyze the information transmission structure of Facebook 2. Notice fans talking rather than the # of fans. - Fan activity is more important number of fans 3. Analyze reach in detail. 4. Analyze each message to identify ways to activate fans.
30 GUIDELINES ②Analysis example(Facebook) 3. Breakdown and analysis of Facebook reach.WOM MARKETING METHOD Data concerning reach that can be obtained from Facebook Insight: the # of unique users who viewed contents about your Organic reach Facebook page on newsfeed, real time feed in Facebook. the # of unique users who viewed your brand’s topic WOM reach from a friend’s article. the # of unique users who viewed a Facebook AD or Paid reach sponsor article linked to a Facebook page.
31 GUIDELINES ②Analysis data 3 (Facebook) 3. Breakdown and analysis of Facebook reachWOM MARKETING METHOD Comparison of organic reach and WOM reach numbers. Organic reach ＞ WOM reach オーガニッ ーチ クリ クチコミ ーチ リ ファン数 Organic reach is greater # of fans than WOM reach ↓ WOM doesn’t work effectively organic reach WOM reach
32 GUIDELINES ②Analysis data 4 (Facebook ）WOM MARKETING METHOD Organic reach ＜ WOM reach オーガニッ ーチ クリ クチコミ ーチ リ ファン数 WOM reach is greater than organic reach, and reach exceeds the # of fans. WOM reach ↓ The power of WOM has been harnessed effectively # of fans Organic reach
33 ③ Measurement of overall campaign reaction by WOM analysis (twitter) Data source Hot link
③Analysis example(twitter) 34 GUIDELINES Twitter analysis pointsWOM MARKETING METHOD 1.Analysis to include volume of information propagated via twitter Points to watch: # of tweets; # reached; # of information exposures 2. Check content of frequent topics. It is important to analyze not only "negative / positive" but also "topic of conversation” and “attitudinal status of user mind” 3. Check the information source and identify the influencer Track the spread of information: Quoted URL, influencers, propagation routes of WOM. 4. Analysis based on comparison of “timeline” “competition” and "other media”. Comparison and analysis of “before, during, and after”, competitors’ activity, and other data will provide insight into overall campaign reaction.
③ Analysis example (twitter) 35 Indices: # of tweets; # reached; # of information exposures 1: Analyze not only the number of tweets but also the volume of GUIDELINESWOM MARKETING METHOD information propagated. Case Study: HANA-MARU UDON ( はなまるうどん ) campaign (major FC food company) Announcement of extension of expiration date for outdated coupons generated a spike of 7x normal number of Tweets. Tweets of this campaign spiked to 7x normal levels. Exposure refers to all # reached web exposure, not # of exposures limited to unique users. # of tweets
③ Analysis example(twitter) 36 GUIDELINES Index: Positive and negative changesWOM MARKETING METHOD 2: Assess positive and negative changes on Twitter Case study: Hana-maru-udon campaign Negative Positive % of tweet ＃ of positive tweets during campaign 2.977 ＃ of negative tweets during campaign 278 Average ＃ of positive tweets in a day 496 Average ＃ of negative tweets in a day 46
③ Online comments (twitter) 37 GUIDELINES Index: Attitudinal status of user mindWOM MARKETING METHOD Analyze users’ attitudinal status from content of tweets. Case study: HANA-MARU-UDON campaign comments Tell a friend I am fascinated with Hana-maru I experienced this campaign I want to enter this campaign I am interested in it
③ Analysis example(twitter) 38 GUIDELINES Index: Identify influencers and the power of influence Case study: Hana-maru-udon campaignWOM MARKETING METHOD The power of influencers = the number of reaction from follow Ranking 「 himasoku123 」→「 otakomu 」→「 news4kojiki 」… major influencers in order Ranking of the influence Distribution of the power of influencers
③ Analysis example （ twitter ） 39 GUIDELINES Index: Analyze propagation routes Analyze movement of information from who to who at what timing.WOM MARKETING METHOD Case study: Hana-maru-Udon campaign We can identify specific group networks 楕円のサイズ ： 影響力 色の濃さ ： Follower 数 ←( 黒矢印 ) ： Follow 関係 ←( 赤矢印 ) ： RT した / された関係
40 GUIDELINES Summarize Identify the objective of the measurement.WOM MARKETING METHOD - for advertising strategy - for a specific advertising effect - for long-term engagement - for a short-term change of consciousness • How to incorporate WOM to trigger a desired action? • Were you able secure engagement for your brand ? • Were you able to expand awareness through your Facebook campaign?
WOM measurement guidelines The kind of the data which can be used for measurement of WOM41 ① Consumer research ② Facebook ③ Blogs and Twitter OthersCampaign exposure Total campaign volume Total volume of related Attention words gathered by Social Listening Effect of WOM on Perception Change Interest Awareness # of campaign participants Interest Purchase trigger Search Effect of WOM # of exposures Action # of fans # reached # of trials #of tweets WOM transmission # talking about ・ Content of wom Share path your brand. ・ information source ・ organic reach ・ Who is the ・ wom reach influencer