Wave 5 the socialisation of brands


Published on

Wave 5 Universal Media

Published in: Education
  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Wave 5 the socialisation of brands

  1. 1. TheSocialisationof BrandsSocial media tracker - 2010
  2. 2. ContentsExecutive summary 5Introduction 7 • The continuing Wave story 10Methodology 15The social challenge for brands 18The new social landscape: means and motives 23 • The gravitational pull of social networks 28 • The rise of microblogging 42The future face of social media 45The Socialisation of Brands 51The impact: summary 67 3
  3. 3. Executive SummarySocial media is an incredibly dynamic environment. Terms like “friend” and“influencer” are no longer adequate to describe the array of social activity andinteraction that is occurring amongst the vast communities now being built online.A deeper understanding of consumer needs and motivations is the key to unlocking areal understanding of social media and its users.Social networks are becoming powerful hubs of interconnected communities but it’snot just people that are connecting in the social media space. There is huge demandfor a more social and interactive relationships with brands.Almost half of the Active Internet Universe has already joined a brand community.These communities are also clearly having a huge benefit to the brands involved,driving brand loyalty, endorsement and sales.However, understanding the nature of social demand for each consumer, category andmarket is the key to creating a successful social media experience.This report barely scratches the surface of the rich insight and detail available.Wave 5 – The Socialisation Of Brands contains information for 20 categories in morethan 54 countries. You will find contact details if you require further information at theend of this report. 5
  4. 4. Introduction
  5. 5. 47% jo inin 1.5 billio visits n com brand g mu 30% th niti accessing row es g to social10% n the networks social i er media umb ial n c per day via mobil e of so ork netw gers a man The Socialisation of Brands
  6. 6. HelloWelcome to Wave:The largest and longest running dedicated social media study in the world.When Wave started as a project in 2006 we were aware that there was much debate but few factsbehind the social media phenomenon. Therefore we initiated Wave with the aim of measuring thescale and impact of social media across the globe. In this time, we have researched more than 95,300internet users in 59 countries and, if Wave has taught us anything, it is that social media stands upto the hype. Growth has been unprecedented and our tracker has demonstrated how new platformshave sprung up and reached critical mass with blinding speed across vast geographies.Figure 1: Internet penetration by market100%90%80%70%60%50%40%30%20% 10% 0% Ecuador Colombia Philippines Czech Republic Norway Sweden Estonia Taiwan Latvia Malaysia Spain Hungary Portugal Turkey Kuwait Romania Mexico Lebanon Algeria Slovakia Netherlands Bahrain Denmark UK South Korea Germany Japan Belgium Singapore Canada USA UAE France Hong Kong Republic of Ireland Argentina Lithuania Poland Qatar Italy Chile Russia Oman KSA Brazil Tunisia China Thailand Egypt South Africa India Australia AustriaFigures sourced from internetworldstats.com 9
  7. 7. The continuing Wave storyFive years is a lifetime in the world of social media and over the course of our five Waves of research wehave come to a deep understanding of the complex and dynamic nature of social media behaviour.Our first two Waves demonstrated that social media was enabling a large and active community tocreate content and share this content with others. In the process the medium moved from being aprimarily text-based medium to a fully audio visual one. Our third Wave charted the democratisationof influence, how social media was driving ever greater means and opportunity for consumers toinfluence their peers. Influence that was becoming an integral part of many consumers decisionmaking processes. In Wave 4 we examined the reasons behind the huge growth in social mediaby understanding the motivations behind the use of different social media platforms. This clearlydemonstrated that you cannot treat all social media the same, consumers engage with a platformbecause it meet’s specific consumer needs and all platforms meet these needs differently.What the Wave project has shown us is that far from being hype, social media is a an explosivelydynamic phenomenon that is changing the way we interact and that this is having a fundamentaleffect on our thoughts, feelings, attitudes and behaviour. However, with a few exceptions, brandsand companies are still not social. They are struggling to find a way to intelligently, sensitively andeffectively engage with consumers in this space.Therefore, with our fifth instalment of Wave, Wave 5 – The Socialisation Of Brands, we have broughttogether all our understanding of usage, behaviour , influence and motivation, done this across morethan 50 countries and added the missing piece of the puzzle. The data, insight and analysis that willhelp brands create successful social media programmes. The Socialisation of Brands
  8. 8. 15 markets 21 markets7,500 respondents 10,000 respondents 29 markets 17,000 respondents 38 markets 23,200 respondents 53 markets 37,600 respondents 11
  9. 9. The expanding Wave universe The Socialisation of Brands
  10. 10. Wave 1 Wave 2 Wave 3 Wave 4 Wave 5 Australia Australia Australia Australia Algeria China Brazil Austria Austria Argentina France China Brazil Belgium Australia Germany France Canada Brazil Austria Italy Germany China Canada Bahrain Korea Greece Czech Republic China BelgiumPhilippines India Denmark Colombia Brazil Russia Italy France Czech Republic Canada Spain Japan Germany Denmark Chile UK Korea Greece Ecuador China US Malaysia Hong Kong Finland Colombia Mexico Hungary France Czech Republic Pakistan India Germany Denmark Philippines Italy Hong Kong Ecuador Russia Japan Hungary Egypt Singapore Korea India Estonia Spain Mexico Italy France Taiwan Netherlands Japan Germany Thailand Pakistan Korea Hong Kong UK Philippines Latvia Hungary US Poland Lithuania India Romania Malaysia Italy Russia Mexico Ireland (ROI) Spain Netherlands Japan Switzerland Norway Korea Taiwan Peru KSA Turkey Philippines Kuwait UK Poland Latvia US Portugal Lebanon Romania Lithuania Russia Malaysia Singapore Mexico South Africa Netherlands Spain Norway Sweden Oman Turkey Philippines UK Poland US Portugal Qatar Romania Russia Serbia Singapore Slovakia South Africa Spain Sweden Taiwan Thailand Tunisia LIKE Turkey UAE UK US 13
  11. 11. Methodology
  12. 12. MethodologyThe Social Media Tracker has retained the same methodology from Wave 1 through Wave 5, enablingcomparison between data sets. All surveys have been scripted and hosted on UM’s in-house onlineresearch system, Intuition.All surveys are self-completed and the data collected is entirely quantitative. Every market isrepresentative of the 16-54 Active Internet Universe. For Wave 5, 37,600 internet users in 54 countrieswere surveyed with many new markets joining, including the Middle EastWho are the active internet universe and why do they matter?• Active internet users are those people who use the internet every day or every other day• Social media is driven by active internet users, if you don’t use the internet regularly you are unlikely to sign up for tools such as blogging or set up a social network profile.• Active internet users drive adoption of platforms and tools and they will determine which tools and platforms become dominant in the social media space.• They are the best proxy for the future, over time all internet users will increase their usage. Eventually everyone will become an active internet user, just as consumers made the transition from occasional to regular TV watching in the 1950s and 1960s. The Socialisation of Brands
  13. 13. An increasingly active universe Figure 2 : “Thinking about the internet, which of the following have you ever done?” 100 Read blogs / weblogs Start my own blog / weblog Leave a comment on a blog site 80 Upload my photos to a photo sharing site Upload a video to a video sharing site Watch video clips online Create a profile on a social network 60% ever done Manage a profile on a social network Visit a friend’s social network page 40 20 0 Wave 1 Wave 2 Wave 3 Wave 4 Wave 5 Sep 06 Jun 07 Mar 08 Mar 09 Jul 10 17
  14. 14. The social challenge for brandsThe web is changing. It’s no longer just a place for information seeking and shopping but a platformwhere connections are made, friendships formed and information and opinion exchanged.The new social web makes different demands on both consumers and advertisers. Consumers arenot merely finding, they are contributing; writing, uploading pictures, videos, creating regular statusupdates and livestreaming their every day happenings.Social networks have become more embedded in our everyday lives, whether it’s Facebook, Orkut orLinkedIn, we now contact more people in our personal life through our social networks (our researchshows that on average we stay in contact socially with 52 people via these networks) than we dothrough any other means including face to face contact, email and phone.It’s essential for brands to understand why and where different groups of consumers participate inthis new world. It’s not merely a question of identifying the best places to target – the classic mediaplanning/buying approach – but truly knowing what motivates them to be part of it.Understand that and brands can create campaigns, messages and communities that consumerswant to be part of, spreading the message far and wide much more effectively than simply buyingbanners and buttons in these spaces.When we started tracking the growth of social media with our Wave study in 2006, these platformswere merely a seed of what they have since become. The Socialisation of Brands
  15. 15. Fast forward to 2010 and Facebook is no longer the new, new thing but a legitimate rival to Googlefor ownership and domination of the digital space.What we have discovered in every iteration of our research is that social media participation amongactive internet continues to vary widely, in some countries blogging is or was top of the tree, in othersit is or was uploading video, for example. In all markets the use of social networks has been risingsteadily – and in some cases very rapidly indeed.Similarly this latest research project finds that the motivations for blogging, joining a social network,uploading a video or a photo are not only very different at a global level but that individual countriesand regions also have a different take on the value, appeal and utility of each platform.Wave 5 – The Socialisation Of Brands – and the detailed data that lies behind it – will help brandsunderstand what they need to do to connect with consumers on the social web. 19
  16. 16. The Socialisation of BrandsWith Wave 5 we have created a roadmap that will help brands create the right social mediaexperience. We know that people are more than willing to join social communities online and aredoing so in their millions, but do they want to interact with brands in these spaces? The results fromWave 5 – The Socialisation Of Brands answer that question with an emphatic yes and this is trueacross a broad range of categories. The Socialisation of Brands
  17. 17. The challenge then is to identify the kind of social relationship consumers want and we do this byfollowing four steps. Map the Understand social landscape Identify how and, more of the category you are Identify the the platformsimportantly, why operating in and where social needs that best meet people use your consumer fits in of the consumer those needs social media that landscapeThe combination of social demand and platform understanding willgive us the clear insight to create successful social media programmes. 21
  18. 18. The new social landscape Means and motives
  19. 19. Means and motivesIt is our belief at UM that brands should first concern themselves with why people engage in socialmedia, and their motivations, before we try to understand the platforms themselves.When consumers engage socially online they do so to meet certain needs. It could be to promotethemselves, to share new experiences with others or just to have fun and waste time. It is a communitypeopled by a broad range of users, everything from career builders and money makers to communitycreators and story tellers. So social media definitions such as “friend”, “fan” or “follower” cannot reallydescribe the complex interactions and relationships that exist in this environment.Social media are often lumped together too. Sometimes the term is used synonymously with socialnetworks but Facebook and its brethren are merely major players in a diverse eco-system. In factthe social media universe includes a wide range of different platforms ranging from IM, blogging tophoto and video sharing sites. Social networks are trying to offer many of these functions in one placebut the reasons why consumers use them, whether they are on a social network site or a separateplatform vary widely.Therefore looking at why people engage in social media and how effectively each social mediaplatform is able to meet these needs becomes of paramount importance. We can see that blogs,message boards and video sites (see Figure 3) deliver specific needs. Video sites are great for havingfun and being entertained, message boards are great for seeking alternative opinions and changingthose of other others and blogs are powerful platforms for self expression and self promotion.This is the challenge of understanding the complex eco-system of social media. The Socialisation of Brands
  20. 20. Figure 3: “Which of the following do a good job when you want to...” Stay in touch Be creative Change opinions with friends Share new Earn respect experiences Share Explore the knowledge world aroundSeek other Express people’s yourself opinions 0 10 20 30 40 50 Feel like Promote you belong yourself Meet new Hang out or people waste time Manage my Have fun / life better Be entertained Make money Keep up to date Make contacts Learn for work something new Blogs Video sites Message Boards Instant Messenger 25
  21. 21. Means and motivesSocial networks enable us to create a network of digital friends that may or may not correlate withour “real world” friends.So it’s no surprise that meeting people, staying in touch and sharing experiences are key motivationsfor signing up to these platforms; acquiring a sense of belonging is another reason to be part of it.What is more surprising is how effective social networks are at meeting so many other need states,ones traditionally better serviced by more specialised platforms, like blogging. They are also great forchanging opinions, promoting yourself, keeping up to date and earning respect.Split the motivations by country, and once again there is a dramatic split. In China members ofRenren, 51.com and Kaizen001.com are looking for fun, in France consumers are hoping to advancetheir careers while in Germany the search is for a community that participants can be part of. The USand the UK also stand out, driven by the need to self-promote and influence others. The Socialisation of Brands
  22. 22. Figure 4: “Which of the following do a good job when you want to...” Stay in touch Be creative Change opinions with friends Share new Earn respect experiences Share Explore the knowledge world aroundSeek other Express people’s yourself opinions 0 10 20 30 40 50 Feel like Promote you belong yourself Meet new Hang out or people waste time Manage my Have fun / life better Be entertained Make money Keep up to date Make contacts Learn for work something newBlogs Video sites Message Boards Instant Messenger Social Networks 27
  23. 23. The gravitational pull of socialnetworksIt is, perhaps then, unsurprising that social networking is causing the most fundamental shift in socialbehaviour seen since the invention of email. They have moved from being places to meet friends andstay in contact to multi-faceted platforms capable of delivering a wide variety of social needs. What is a social network? A site designed to allow users to meet, communicate, share content and build communities. The Socialisation of Brands
  24. 24. LIKE 29
  25. 25. As a result we see them fast becoming Figure 5: “Thinking about the internet, which of the following have you ever done?”a ubiquitous tool for social interactionand you’d wrong to think that this isonly an activity for the young. Create a profile on a social network Manage a profile on a social networkAlthough penetration amongst 16-24 Visit a friend’s social network pageyear olds remains highest it is in the25-34 year old bracket that we have 100seen the greatest increase in usage,from 52% to nearly 70% in the last3 years. 80However, in all age brackets, we areseeing a similarly spectacular rise.Currently, nearly 3 quarters of the 60active internet universe claim to % ever donehave ever managed a profile on asocial network. If the current trendscontinues, a social networking profile 40will become as fundamental partof our daily lives as our telephonenumber. 20 0 Wave 1 Wave 2 Wave 3 Wave 4 Wave 5 Sep 06 Jun 07 Mar 08 Mar 09 Jul 10 The Socialisation of Brands
  26. 26. A truly global movement 80 61.4% 60 51.4% 45.1% 40 20 Global 79.3% 68.4% 66.1% 64.8% 58.1% 51.4% 48.3% 47.4% 33.1%USA China Russia 74.5% 72.5% 63.6% 62.8% 55.5% 58.6% 53.4% 53.9% 51.4%UK Brazil India 53.9% 55.5% 46.2% 34.4% 36.6% 37.8% 24.0% 29.9% 27.2%Italy Germany Spain 53.2% Figure 6: “Thinking about using the internet, which of the following have you 43.4% done in the last 6 months?” - Manage a profile on an existing social network 26.3% Wave 3 Wave 4 Wave 5France 31
  27. 27. A pull of people and activityWe aren’t just seeing a large rise in the number of people joining social networks. They are alsousing them for a broader range of activities. A ready made, audience combined with increased sitefunctionality means that they are, for example, sharing videos, organising groups and events, sharingphotos and dating (see Figure 7). In fact, in 2009 they were using them for 6.4 activities. In 2010 thishas now risen to 8. Again, this trend is decidedly upwards. S O OT PH The Socialisation of Brands
  28. 28. Figure 7: “Which of the following have you done with your social networking profile?”- Amongst those who have used a social network in the last 6 months80% Message friends Find old friends70% Find new friends Dating60% Update my profile50%40%30%20% 10% 0% Wave 3 Wave 4 Wave 5 2008 2009 2010 33
  29. 29. We are seeing a large rise in social connections via all digital means but leading the way are the social networks. They have become the largest source of social interaction, finally outstripping face to face contact in 2009. As finding friends old and new still remain the most highly participated activities it’s a trend clearly set to continue. This is community growth on an phenomenal scale (See Figure 9). Figure 8 : “Approximately how many people do you stay in contact with in your personal life through the following means?” 60 Face to face Phone Text message 50 Email Instant MessangerAverage number of people Social Network My personal blog 40 Forum / message board 30 20 10 Wave 3 Wave 4 Wave 5 2008 2009 2010 The Socialisation of Brands
  30. 30. Growth on a phenomenal scale Number of people 52 38.8 29.7 Global 53.0 50.0 47 39.5 36.3 31.2 31.8 16.7 15.6USA China 74.0 Russia 57.0 57.5 57.9 58.0 40.6 50.5 43.2 30.7UK Brazil India 66.0 47 41.0 34.7 34.6 25.2 17.6 14.1 16.5Italy Germany Spain 40.0 Figure 9 : “Approximately how many people do you stay in contact with in 23.8 your personal life through the following means?” - Social Network (average) 11.7France Wave 3 Wave 4 Wave 5 35
  31. 31. Content sharing starts to migrateHow is the growing power of social networks affecting other social media platforms? We arecertainly seeing content creation and sharing via photo sharing and video sites continuing to grow.However, we are seeing growth occur at a much slower pace than we have seen in past Wave studies(see Figure 10).Figure 10 : “Thinking about using the internet, which of the following have you done in the last 6 months?”100% Upload my photos to 90% a photo sharing website 80% Visit a photo sharing website 70% Upload a video clip to a video sharing website 60% Watch video clips online 50% 40% 30% 20% 10% 0% Wave 3 Wave 4 Wave 5 2008 2009 2010 The Socialisation of Brands
  32. 32. But the ease with which social networking platforms have incorporated content sharing functionalityinto their sites, particularly in the mobile space, means that users are clearly adopting these platformsfor sharing at a much faster pace than dedicated photo and video sharing sites.Figure 11: “Which of the following have you done with your social networking profile?”- Amongst those who have used a social network in the last 6 months80% Upload photos Upload videos70%60%50%40%30%20%10% 0% Wave 3 Wave 4 Wave 5 2008 2009 2010 37
  33. 33. Specialisation of blogs & forumsAs social networks keep growing we also see them begin to dominate discussion about personal topics.People are moving away from reading and discussing personal topics on both blogs and forums. Atthe same time we see a corresponding rise in social networks as the key platform for personal blogs(See Figure 12). The Socialisation of Brands
  34. 34. Figure 12 : “When you read blogs, which of the following types of blogs do you read most often?”- Amongst those whohave read a blog in the last 6 months, “Which of the following have you done with your social networking profile?” -Amongst those who have used a social network in the last 6 months50% Personal blogs (diary sites)45% Family / friend blogs40% Write a blog on a social network35%30%25%20%15% What is a blog?10% A blog is a website that is created by a user in order to update others with 5% regular commentaries, opinions or share content. 0% Wave 3 Wave 4 Wave 5 2008 2009 2010 39
  35. 35. As a result, we are seeing them become more orientated towards specialised topics. They may nolonger be the platform of choice for personal expression but they are clearly seeing some success intheir battle to become legitimate rivals to the traditional media outlets by building specialist credibility.Figure 13 : “When you read blogs, which of the following types of blogs do you read most often?”- Amongst those who have read a blog in the last 6 months40% News / Current A airs Product recommendations35% Music Technology Business (general news & opinion)30% Business news (relevant to my job) A company/brand blog25% Science Sport Film / TV20% Gaming Travel (holidays, destinations) Celebrities15%10% Wave 3 Wave 4 Wave 5 2008 2009 2010 The Socialisation of Brands
  36. 36. Blogging 100 80Declining or stabilising in Western countries, 60.6% 64.5% 55.3%but growing in others. 60 40 20 Global 74.9% 75.7% 79.6% 59.3% 63.4% 50.2% 54.6% 45.6% 46.7%USA China Russia 74.5% 72.4% 62.2% 63.1% 63.3% 50.7% 41.3% 40.8% 40.9%UK Brazil India 61.9% 63.6% 60.3% 51.0% 55.9% 51.5% 35.2% 36.3% 29.6%Italy Germany Spain Figure 14: “Thinking about using the internet, which of the following have 45.6% 50.2% 46.7% you used in the last 6 months?” - Read blogs / weblogs Wave 3 Wave 4 Wave 5France 41
  37. 37. The rise of microbloggingMicroblogging is a great example of a new form of social mediathat has, within an incredibly short space of time, become a massmarket activity.Figure 15 : “Thinking about using the internet have you used amicroblogging service like Twitter or Jaiku in the last 6 months?”40%35%30%25%20% What is a microblog?15% A blog on which updates are restricted in length10% (usually to less than 140 characters) 5% 0% Wave 4 Wave 5 2009 2010 The Socialisation of Brands
  38. 38. It’s certainly the fastest growing social media platform that we track within our study (see figure 15)and as it has grown we have seen a significant move towards a more female profile amongst thecommunity (see Figure 16).Figure 16 : Age and gender profile of people who have used a microblogging service in the last 6 months 45-54 45-54 8% 8% 34.6% 42.6% 34-44 65.4% 34-44 57.4% 19% 16-24 20% 16-24 41% 39% 25-34 25-34 32% 33% Wave 4 Wave 5 2009 2010Clearly, the fact that it doesn’t require an enormous amount time spent creating content, but stillallows you to maintain a constant stream of news, updates and opinion has much appeal. But it isalso its position as an undiluted way to communicate with audiences, without the need to engagewith a sometimes difficult or prohibitive mass media, that gives it real potency. This has been clearduring recent news events when people sent regular updates on, for example, the Iran protests or theMumbai bombings that added a more personal and visceral dimension to the ensuing events. Forthe same reason it has been adopted wholesale by the marketing fraternity, in particular many highprofile celebrities.There is still much debate about how many people are actually tweeting vs following, however, withits integration into a number of simple mobile applications its growth will continue. 43
  39. 39. The future faceof social media
  40. 40. The mobile engine of social mediaThe most significant shift in social media over the last few years has been the ability of users toengage in social media via mobile. The availability of powerful handsets and tablets with flexibleoperating systems, such as Google’s Android and Apple’s O.S. combined with flat rate data chargeshas created a fertile environment for the growth of mobile social media. Alongside these has beenthe development of a range of easy to use first and third party applications that allow users to engagewith their social media platform of choice, such as Facebook or Twitter, using a simple to use interface.As a result our Wave 5 data shows clear correlation between smartphone ownership, mobile internetaccess and engagement in social media (See Figures 18 and 19). Not only are smartphone usersmore likely to engage in a wider variety of platforms (see Figure 19) they do more often too. Theyvisit their social network profile on average 3.5 times a day, 18% more often than the average socialnetwork user. The Socialisation of Brands
  41. 41. Figure 18 : Percentage of people who access the internet via a mobile device and the % of people who access theinternet via a mobile device and have a smartphone60% Mobile internet users50% Mobile internet users with smartphones40%30%20%10% 0% Italy Spain GLOBAL China Russia UK US India Germany Brazil FranceFigure 19 : “Thinking about using the internet on your mobile device, which of the following have you done in the last 6months?” - Amongst all who have accessed the internet via a mobile device and smartphone owners 0 10 20 30 40 50 Use Instant Messenger Watch video clips online (e.g youtube.com) Read blogs / weblogs Visit a friends social network page Visited an official company / brand websites Visit a photo sharing website (e.g flickr.com) Visit a message board / forum Upload my photos to a photo sharing website Shared a music file / mp3 with a friend Started a topic on a message board/ forum Post / write stories for my own blog / weblog Manage a profile on an existing social network Leave a comment on a blog site Share a video clip with a friend Used micro blogging service like Twitter/JaikuJoined an online community around a brand/prod Upload a video clip to a video sharing website Create a video to upload online Joined a professional social networking site Created an online community around brand/prod All respondents Smartphone owners 47
  42. 42. The connected generationOne of the most interesting things about the mobile social media user is not just the range andfrequency of their activity but who they are. You might be forgiven for thinking that the peopleat the forefront are just the youngest adopters but, in fact, our research shows the higher cost ofsmart phone ownership and usage means that this audience is certainly at the higher end of thesocio-economic scale. They have a broader age range, more like to be aged 25-34. They are morelikely to be male (63%), married (53%), have a medium to high income (62%), have a high level ofeducation (65% have a degree or post graduate qualification). Not only are they a wealthy consumerthey are also highly influential. They are more likely work in senior decision making positions withincompanies(25%) and are more likely to try products first (index 172) and influence others in regardto their purchases (index 157)It is clearly a significant audience and one which not only represents the future face of social mediausage but a very interesting and influential audience today. The Socialisation of Brands
  43. 43. Understanding means and motive iseverything• Social media is an incredibly dynamic environment• A deeper knowledge of consumer needs and motivations is the key to unlocking our understanding of social media• Understanding these motivations explains much of what is happening• Why people engage in social media is an important starting point but there is still a missing piece of the puzzle• What kind of social experience are people looking for with brands? 49
  44. 44. The Socialisation of Brands
  45. 45. Is there a social demand for brands?There is much debate about the role that brands can or should play in social media. The big questionis do people actually want a social relationship with them at all?We have found over the last three Waves of research a decline in the number of people sayingthat they have visited an official company website (See Figure 20). Does this mean that there isless appetite to engage with brands in their “official spaces”? Does the increasing power of peerto peer recommendation and the huge number of spaces that facilitate this recommendation, theburgeoning influence economy, mean that people no longer feel the need to engage directly withbrands to find the information they want? Well, we can certainly see a trend towards consumersengaging with brands in social media. When we look at the numbers of people who are becomingfans with brands on their social networking platform we see a huge rise in the last year (See figure 21).Clearly, just by being present in a space socially relevant to the consumer means that they are morethan willing to engage. The Socialisation of Brands
  46. 46. Figure 20 : “Thinking about using the internet, have you visited an official brand/company website in the last 6 months?”86%84%82%80%78%76%74%72%70% Wave 3 Wave 4 Wave 5 2008 2009 2010Figure 21 : “Which of the following have you done with your social networking profile?” -Amongst those who have useda social network in the last 6 months”50% Wave 4 (2009)40% Wave 5 (2010)30%20%10% 0% A liate with or Join a group become a fan of a brand 53
  47. 47. The answer is a resounding “Yes” But it’s not just on their social networking profile that people are affiliating themselves with brands. Our Wave 5 research shows that, globally, nearly half of the active internet universe claims to have joined a brand community at some point (see figure 22). This clearly identifies a demand for brands in the social space. Figure 22 : “Have you ever joined a brand community online?”100%50% 0% Ecuador Philippines Colombia Czech Republic Malaysia Portugal Turkey Taiwan Mexico Spain Romania Hungary Sweden Kuwait Norway Estonia Lebanon Latvia Algeria Slovakia GLOBAL Thailand Chile South Korea China South Africa Argentina Brazil Hong Kong Singapore India Poland Russia UAE ROI Lithuania Egypt Qatar Bahrain US UK Denmark Austria Australia KSA Tunisia Italy Netherlands Canada Belgium Oman Germany Japan France The Socialisation of Brands
  48. 48. Is social demand true for all categories? Well, we asked people if they wanted an interaction withbrands beyond a simple transaction across a number of categories (see figure 23). These includeda range of interactions from getting access to advance news of products to being able to accessdecision makers and influence product development. It’s clear from the results that, even though thelevel of social demand differs by category, there are significant numbers of people who do want toengage with brands in all categories (even if this engagement was more superficial, like just havingaccess to breaking news).Figure 23 : Amongst those who show an interest in an category, how many want an interaction with companies in thatcategory (i.e. At least one or more interaction). These included a range of interactions from getting access to advancenews of products to being able to access decision makers and influence product development Health Movies Music Travel Telecomms 75% 74% 73% 71% 71% Software Food Cars Finance 71% 70% 67% 63% 55
  49. 49. Brand communitiesSo why are people joining brand communities?Although many are saying that they have joined a brand community online to gain access to freecontent (69.6%), the highest motivations are to learn (78.6%) and get access to advance news ofproducts (76.1%).In the influence economy, information is clearly a very valuable commodity.These motivations are prevalent across all markets but when we look regionally we can see that thereare nuances (See figure 24).In Latin America brand communities are more likely to be driven by the desire to associate themselveswith something (to support a cause or even something they think is cool). In Asia they are more likelyto join if it was recommended to them by their peers and in the Middle East it is about feeling part ofa like-minded community. The Socialisation of Brands
  50. 50. Figure 24 : Agreement with the descriptions of why they joined a brand community amongst those have ever joined abrand community online by region. To support a cause To get advance To share my news on products appreciation with others Because it was To associate recommended with something to me I think is cool 0% 20% 40% 60% 80% 100% To fill time / To learn more have fun about it To get free To feel part of a content like-minded community Europe North America Latin America Asia & Oceania Middle East & Africa 57
  51. 51. What’s the benefit to brands?The other big debate in social media is identifying the value of brand community engagement andinteraction. Of those people who joined a brand community, 72% said they thought more positivelyof the brand as a result, 71% said they are more likely to buy the brand, 66% said they felt moreloyal to the brand and 63% said they recommended others to join. So clearly there is an opportunityto build brand equity, drive sales, increase loyalty and create brand endorsement all of which soundsa lot like the holy grail of marketing communications. Of course, things are not so simple or easy.In order to create a social media experience that will benefit the brand in these ways we must firstunderstand what kind of social media experience consumers want.Figure 25 : “As a result of joining a brand community, please indicate how much you agree with the followingstatements?” 72% 71% 66% 63%“I thought more positively “I am more likely to “I felt more loyal “I recommended of the brand” buy the brand” towards the brand” others to join” The Socialisation of Brands
  52. 52. Mapping the right social mediaexperienceThere are four steps to identifying the right social mediaexperience for brands:• Understand the social landscape of the category• Identify where the consumer fits in this landscape• Identify the social needs of the consumer in the category• Map them to social media platforms that can best deliver them 59
  53. 53. The social landscape of categoriesThe first thing we need to understand is the level of social activity in each category. We do this bymapping involvement across a spectrum of social engagement. From those actively creating contentand collaborating with others to those simply seeking information.What we see is that certain categories with very broad appeal, like music and movies, have largenumbers of people engaged in collaboration, creation, sharing and seeking.Conversely, categories like sport or fashion have a much smaller number of people engaged in thecategory but a higher proportion of those are actively collaborating.However, in all categories there are significant numbers of people already actively engaging withbrands and companies. The reason why it is important to understand the consumers current levelof engagement with the category is because it has a fundamental effect on the depth of socialinteraction they want. The Socialisation of Brands
  54. 54. Figure 26 : “Thinking about how you seek and share information regarding different products and services, which of the following statements best describe how you seek and share information in each of the following categories?” Numbers of consumers (in 000’s). Note: consumers can be active in more than one segment within a category. Wine, spirits & alcohol Non-alcoholic drinks Luxury goods Cosmetics Console/PC Gaming Sport Cars Portable technology Fashion Energy & environment Computer hardware Personal finance Household products Home technology Travel Mobile phones and services Computer software Food Health & wellbeing Music Movies600,000 400,000 200,000 0 200,000 400,000 600,000 800,000 I create content and collaborate with I share opinions, content and people and companies in this category information in this category I often seek information in this I sometimes seek information category to keep up to date in this category when I need it 61
  55. 55. Different categories, differentaudiences, different needsWe can see that different categories have different social media needs. Analysis of the movieand health categories, for example, show that access to fun content is key for the movie category(unsurprisingly in a very visual and content rich medium) whereas learning is the dominant need inthe health category (see Figure 27).Figure 27 : “Thinking about companies Access to fun and entertaining contentin the following categories, which offollowing statements describes the kind Contact employee decision makers and Access toof interaction you would like to have with influence product breaking newsthese companies?” amongst those who developmentshow an interest in the category Tools help express creativity and An opportunity make something to learn worth sharing something new 0% 10% 20% 30% 40% 50% An opportunity Access to to develop unique events my skills or competitions A personal response Communicate to my issues / complaints and share experiences with others Movies Health & Wellbeing The Socialisation of Brands
  56. 56. And it’s not just the category differences that we have to take into account. We also need to considercurrent category behaviour as this has a significant impact on their social needs and expectations.When we look at people actively engaged in the Computer Software category, for example, we cansee that the demand for customer service (a personal response to issues and complaints) is equallyimportant to both content creators/collaborators and seekers of information (see Figure 28). However,in all other regards creators/collaborators want a much deeper and more diverse social relationshipbut in particular we see that learning and skills development are the key social needs. An opportunity toFigure 28 : “Thinking about learn something newcompanies in the computer Access to unique events An opportunity tosoftware category, which and competitions develop my skillsof following statementsdescribes the kind ofinteraction you would like tohave with these companies?” Contact employee decision makers and Access toamongst those who create influence product breaking newscontent or seek information developmentin the category. 0% 20% 40% 60% 80% 100% Tools help express creativity and Free coupons / make something money-o vouchers worth sharing Access to fun and A personal response entertaining content to my issues / complaints Communicate and share experiences with others I create and collaborate with people I often / sometimes seek information and companies in this category in this category to keep up to date 63
  57. 57. Mapping needs to platformsClearly, understanding the social needs of the consumer is the key to creating a successful socialmedia programme. If all the consumer wants is access to information and news there is no pointin creating an all singing, all dancing interactive content sharing platform. On the other hand if theywant to be involved directly with product development then access to new news is unlikely to beinvolving or compelling.Since these needs differ widely by country, category and audience it is essential to have a granularview of the social dynamics at play.The other important factor is an understanding of which platforms and forms of communication bestmeet these needs. Wave 5 – The Socialisation of Brands also contains a wealth of information thatcan help identify the most influential platforms at both macro and micro level.We believe that the combination of social need state and the ability of platforms to meet these needsgives us the crucial insight required. The Socialisation of Brands
  58. 58. Share experiences with other customers Portable Technology Cosmetics Home Technology Personal Finance Wine, Spirits & Alcohol Sponsored link on a search engine Recommendation from a friend Ad on a blog Sponsored music / video player Energy & The Environment Luxury Goods Travel Sport Music Movies Access to unique eventsSponsored link on social network page Food Fashion Opportunity to develop d skills an my m a br Console / PC Gaming Cars tur ing fea C Computer Software Personalised ad on social network pageonline age o cl ip Vide Influence product development website Mobile Telecommunication Brand Comm Instant Messenger Expert recommendationn o Widge unicat Resocial netwo Access to y emperie news Tools to help / Brand BLOGG f a Com nline bran t on a e m breaking Spo O pan nsor ed l Company ink o y / B ded video clip co na web xm site rand expreLO en nces da B ss tio rk 65
  59. 59. The impact Summary
  60. 60. The impactSocial media is an incredibly dynamic environment.Terms like “friend” and “influencer” are no longer adequate to describe the array of social activity andinteraction that is occurring amongst the vast communities now being built online.A deeper understanding of consumer needs andmotivations is the key to unlocking a realunderstanding of social media and its users.Social networks are becoming powerful hubs of interconnected communities but it’s not just peoplethat are connecting in the social media space. There is huge demand for a more social and interactiverelationships with brands.Almost half of the Active Internet Universe has alreadyjoined a brand community.These communities are also clearly having a huge benefit to the brands involved, driving brandloyalty, endorsement and sales.However, understanding the nature of social demand for each consumer, category and market is thekey to creating a successful social media experience. The Socialisation of Brands
  61. 61. What does this mean for yourbusiness?Wave 5 – The Socialisation of Brands is an in-depth study and there are many other aspects thatwe are unable to cover in this report.If you want to know how to operate in the new social media landscape and what this means for yourbusiness please contact:-EMEA APACGlen Parker Natalie PidgeonResearch Director - EMEA Director IQ and Insights - APACGlen.Parker@umww.com Natalie.Pidgeon@umww.comNorth America LatAmHeidi Browning Mario MejiaEVP Global Digital Officer Strategic Director - Colombia / LatAmHeidi.Browning@umww.com Mario.Mejia@umww.comHuw GriffithsEVP Global Director of ResearchHuw.Griffiths@umww.com 69
  62. 62. About this reportWave 5 - The Socialisation of Brands is part of UM’s ongoing research programme aimed atexploring the massive changes occurring in communication technologies.The studies have been conducted annually since 2006.The research is conducted by the UM EMEA research team in collaboration with the UM globalnetwork of agencies.If you have any questions about the research or future Wave projects please contact the EMEAresearch teamGlen ParkerResearch Director EMEAGlen.Parker@umww.comLindsey ThomasResearch Executive EMEALindsey.Thomas@umww.com© UM 2010 The Socialisation of Brands
  63. 63. This report is printed on Cocoon Offset:a paper produced using eco-sensitive technology from 100% recycled and de-inked fibres (FSC certified)