Social Media Measurement,
ROI and Business Outcomes


                 Tim Marklein
     Executive VP, Measurement & Strategy
               Weber Shandwick
Audience poll

• How many of you are currently monitoring online
  and social media for your programs/clients?
Audience poll

• How many of you are engaged in social media
  channels, including Facebook, Twitter, LinkedIn
  and/or others?
Audience poll

• How many of you have clearly defined goals for
  your online and social media engagement?
Proving PR’s value:
                Integration is critical

• Old world, meet new world
   – Integration of traditional, digital and social media
   – Integrating WOM and other new influence patterns

• Silo #1, meet silo #2, silo #3, etc.
   – Integration of PR with other communication disciplines
   – Integration of PR with other marketing disciplines
   – Integration across business units, products, geographies

• Measurement, meet strategy
   – Integration of metrics, data sources, tools, dashboards
   – Integration of data and insights into decision-making flow
Old world, meet new:
       New metrics, sources, concepts
• Content measures: Assess how content is accessed, shared,
  adapted, amplified across various sites and media properties
   – Syndication measures: Assess the volume, engagement, sentiment
     and reach of content shared via the web.
   – Search measures: Assess the paid and organic search rankings for
     company content, brands and keyword associations
   – Site measures: Assess the volume, engagement, feedback and reach
     of content shared via company’s web properties
• Conversation measures: Analyze volume, content, sentiment
  of conversations about company/brands across sites, media
• Community measures: Assess audience, reach and “touch
  points” of company content/conversations across sites, media
• Outcome measures: Assess how the content, conversation and
  community measures correlate with desired outcomes
Old world, meet new:
Analyzing channels, audiences




                          Source: Weber Shandwick
                          Measurement & Strategy
                          practice, based on data pulled
                          from the Sysomos Social Media
                          Monitoring tool.
Old world, meet new:
Analyzing WOM volume and quality
                          Low Volume / High Quality                                 High Volume / High Quality

                                 Nationwid
                                 e
                                               Prudential

                                                                Industry
                                   All State                    Average
Quality of Advocacy (%)




                                                                 State
                                                                 Farm
                                                                                             Metric               Score          Industry
                                                                                    Share of Conversation              10%                4%
                                                                                    Net Favorability                  -62%              18%
                                                                                    Net Recommendation                -24%              29%
                                                                                    Propensity to Relay                31%              50%


                                                                                                                 Source: Weber Shandwick
                                                                                                      AIG        Measurement & Strategy
                                                                                                                 analysis, based on Keller Fay
                          Low Volume / Low Quality                                   High Volume / Low Quality   TalkTrackTM survey data
                                                                                                                 Jan’08-Dec’08
                                                        Share of Conversation (%)
Old world, meet new:
Advocacy takes center stage

                                                                    More than just
                                                                   word-of-mouth…
              45%             ADVOCATES
                                High intensity (9%)              Sharing advice
                                Low intensity (36%)
                                                                 Making recommendations

                    20%                                          Making their loyalty visible
                                 BADVOCATES
                                                                 Reaching out broadly
                                                                 Making fast decisions
                             INFLUENTIALS
                                                                 Taking action
                      OPINION ELITES




  Source: Weber Shandwick’s New Wave of Advocacy™ with KRC Research, March 2007
Sounds great, right?
Be careful what you wish for…
…“badvocates” are everywhere, too…




             Source: Weber Shandwick’s New Wave of Advocacy™ with KRC Research, March 2007
Old world, meet new:
          Uncertainty & scale challenges
• What’s more valuable?
   –   Chicago Tribune print story
   –   WSJ.com online story
   –   Industry blog post with lots of comments
   –   Customer recommendation via Twitter
• Depends on objective, audience, message, tone, influence
   – Not all easily measured or compared across media channels
• Key considerations
   –   Total impressions vs. targeted impressions – efficiency matters
   –   Earned CPM vs. Social CPM – very different scales, don’t equate
   –   Engagement, CPE and Conversion – varies by channel, outlet
   –   Comparative Media Cost – inconsistency of source data
Silo #1, meet silo #2:
Cross-media effects, both ways
Silo #1, meet silo #2:
     Cross-discipline measurement

   Media                       Media                          Web                          Keyword
  Analysis                    Analysis                      Analytics                      Analysis
(traditional)                 (social)                       (site)                        (search)


   WOM                        Brand                       Customer                       Employee
  Analysis                   Tracking                    Satisfaction                   Satisfaction
 (surveys)                  (surveys)                     (surveys)                      (surveys)


 Lead Gen                    Events &                   Analyst Data                  Ind. Awards
& Sales data                 DM data                      & Reports                   & Scorecards
   (CRM)                      (CRM)                     (third party)                 (third party)


     Source: Weber Shandwick Measurement & Strategy practice – ARROW Measurement Suite, February 2009
Measurement, meet strategy:
               Re-framing the conversation

  activities                reach                   relevance                   outcomes                     worth

What activities        Did you reach                Were you                 What business                What is the
were performed        your audience?             relevant to your            results did you            estimated dollar
  to achieve            How many                 audience? Were                 achieve?                 value of your
   results?            impressions,               you credible?                Awareness?               communication
                        web visits,               Did your ideas              Engagement?                efforts? What
                          reports,                and messages                 Reputation?               was the ROI?
                      attendees, etc.             resonate? Did              Leads? Sales?
                            were                    you drive                   Loyalty?
                        generated?                conversation?                Advocacy?


 Quantity/Output             Quality/Outtakes                  Business Impact                       Value/Efficiency

 Communications Team                            Marketing Team                                        Executive Team


                   Source: Weber Shandwick Measurement & Strategy practice, “ARROW” measurement model
Measurement, meet strategy:
 Sample “inline” dashboard

Activities                47 Media, Blogger & Influencer Interviews
                          94 Facebook, YouTube, Blog & Twitter Posts
   Reach                  170 Earned & Social Media Placements
                          3.9M Earned & Social Media Impressions
Relevance
                          64% Earned & Social Message Penetration
                          27% Earned & Social Media Share
Outcomes
                          14% Increase in Brand Engagement (via web data)
                          27% Category Sales Share (source TBD)
    Worth
                          $4.72 Earned CPM (Cost Per 1K Impressions)
                          $8.22 Social CPE (Cost Per Engagement)
   Source: Weber Shandwick Measurement & Strategy practice, “ARROW” measurement model
Measurement, meet strategy:
             Focus on outcomes
                                       • Define clear, precise and
                                         measurable goals in business
                                         or marketing terms
                                          – Borrow from outcomes inventory
                                            published by PRSA and IPR (left)
                                       • Don’t worry whether you can
                                         prove PR’s impact – assume
                                         you can, and then work
                                         backwards to determine how
http://comprehension.prsa.org/?p=628      –   Anecdotal evidence
                                          –   Data-based evidence
                                          –   Correlation
                                          –   Contribution
                                          –   Causation
Anecdotal evidence




The customer said they read a magazine
review, and that’s why they called us to
buy the product.
Data-based evidence




9.7% of the customers we surveyed last
quarter said they called us because they
read a magazine review.
Correlation




Every time our competitive media share
goes up, our sales in that region go up for
the next two months.
Contribution




Based on our marketing mix model, we
determined that PR contributed 2.7% to
our sales goal last quarter.
Causation




720 customers that read about us online,
then went to our site, bought the product
at an average sales price of $675.
Measurement, meet strategy:
     Digital/social outcomes




         Source: Altimeter Group and Web Analytics
         Demystified, http://bit.ly/dldIHf
Proving PR’s value:
                                     Advocacy drives sales




Source: Weber Shandwick’s European
Advocacy Study with Paul Marsden
Proving PR’s value:
Advocacy grows business

         Advocates can
help a company grow an
         average rate of




       their competitors


             Source: Bain & Company

Social Media Measurement, ROI and Business Outcomes

  • 1.
    Social Media Measurement, ROIand Business Outcomes Tim Marklein Executive VP, Measurement & Strategy Weber Shandwick
  • 2.
    Audience poll • Howmany of you are currently monitoring online and social media for your programs/clients?
  • 3.
    Audience poll • Howmany of you are engaged in social media channels, including Facebook, Twitter, LinkedIn and/or others?
  • 4.
    Audience poll • Howmany of you have clearly defined goals for your online and social media engagement?
  • 5.
    Proving PR’s value: Integration is critical • Old world, meet new world – Integration of traditional, digital and social media – Integrating WOM and other new influence patterns • Silo #1, meet silo #2, silo #3, etc. – Integration of PR with other communication disciplines – Integration of PR with other marketing disciplines – Integration across business units, products, geographies • Measurement, meet strategy – Integration of metrics, data sources, tools, dashboards – Integration of data and insights into decision-making flow
  • 6.
    Old world, meetnew: New metrics, sources, concepts • Content measures: Assess how content is accessed, shared, adapted, amplified across various sites and media properties – Syndication measures: Assess the volume, engagement, sentiment and reach of content shared via the web. – Search measures: Assess the paid and organic search rankings for company content, brands and keyword associations – Site measures: Assess the volume, engagement, feedback and reach of content shared via company’s web properties • Conversation measures: Analyze volume, content, sentiment of conversations about company/brands across sites, media • Community measures: Assess audience, reach and “touch points” of company content/conversations across sites, media • Outcome measures: Assess how the content, conversation and community measures correlate with desired outcomes
  • 7.
    Old world, meetnew: Analyzing channels, audiences Source: Weber Shandwick Measurement & Strategy practice, based on data pulled from the Sysomos Social Media Monitoring tool.
  • 8.
    Old world, meetnew: Analyzing WOM volume and quality Low Volume / High Quality High Volume / High Quality Nationwid e Prudential Industry All State Average Quality of Advocacy (%) State Farm Metric Score Industry Share of Conversation 10% 4% Net Favorability -62% 18% Net Recommendation -24% 29% Propensity to Relay 31% 50% Source: Weber Shandwick AIG Measurement & Strategy analysis, based on Keller Fay Low Volume / Low Quality High Volume / Low Quality TalkTrackTM survey data Jan’08-Dec’08 Share of Conversation (%)
  • 9.
    Old world, meetnew: Advocacy takes center stage More than just word-of-mouth… 45% ADVOCATES High intensity (9%) Sharing advice Low intensity (36%) Making recommendations 20% Making their loyalty visible BADVOCATES Reaching out broadly Making fast decisions INFLUENTIALS Taking action OPINION ELITES Source: Weber Shandwick’s New Wave of Advocacy™ with KRC Research, March 2007
  • 10.
    Sounds great, right? Becareful what you wish for…
  • 11.
    …“badvocates” are everywhere,too… Source: Weber Shandwick’s New Wave of Advocacy™ with KRC Research, March 2007
  • 12.
    Old world, meetnew: Uncertainty & scale challenges • What’s more valuable? – Chicago Tribune print story – WSJ.com online story – Industry blog post with lots of comments – Customer recommendation via Twitter • Depends on objective, audience, message, tone, influence – Not all easily measured or compared across media channels • Key considerations – Total impressions vs. targeted impressions – efficiency matters – Earned CPM vs. Social CPM – very different scales, don’t equate – Engagement, CPE and Conversion – varies by channel, outlet – Comparative Media Cost – inconsistency of source data
  • 13.
    Silo #1, meetsilo #2: Cross-media effects, both ways
  • 14.
    Silo #1, meetsilo #2: Cross-discipline measurement Media Media Web Keyword Analysis Analysis Analytics Analysis (traditional) (social) (site) (search) WOM Brand Customer Employee Analysis Tracking Satisfaction Satisfaction (surveys) (surveys) (surveys) (surveys) Lead Gen Events & Analyst Data Ind. Awards & Sales data DM data & Reports & Scorecards (CRM) (CRM) (third party) (third party) Source: Weber Shandwick Measurement & Strategy practice – ARROW Measurement Suite, February 2009
  • 15.
    Measurement, meet strategy: Re-framing the conversation activities reach relevance outcomes worth What activities Did you reach Were you What business What is the were performed your audience? relevant to your results did you estimated dollar to achieve How many audience? Were achieve? value of your results? impressions, you credible? Awareness? communication web visits, Did your ideas Engagement? efforts? What reports, and messages Reputation? was the ROI? attendees, etc. resonate? Did Leads? Sales? were you drive Loyalty? generated? conversation? Advocacy? Quantity/Output  Quality/Outtakes  Business Impact  Value/Efficiency Communications Team  Marketing Team  Executive Team Source: Weber Shandwick Measurement & Strategy practice, “ARROW” measurement model
  • 16.
    Measurement, meet strategy: Sample “inline” dashboard Activities 47 Media, Blogger & Influencer Interviews 94 Facebook, YouTube, Blog & Twitter Posts Reach 170 Earned & Social Media Placements 3.9M Earned & Social Media Impressions Relevance 64% Earned & Social Message Penetration 27% Earned & Social Media Share Outcomes 14% Increase in Brand Engagement (via web data) 27% Category Sales Share (source TBD) Worth $4.72 Earned CPM (Cost Per 1K Impressions) $8.22 Social CPE (Cost Per Engagement) Source: Weber Shandwick Measurement & Strategy practice, “ARROW” measurement model
  • 17.
    Measurement, meet strategy: Focus on outcomes • Define clear, precise and measurable goals in business or marketing terms – Borrow from outcomes inventory published by PRSA and IPR (left) • Don’t worry whether you can prove PR’s impact – assume you can, and then work backwards to determine how http://comprehension.prsa.org/?p=628 – Anecdotal evidence – Data-based evidence – Correlation – Contribution – Causation
  • 18.
    Anecdotal evidence The customersaid they read a magazine review, and that’s why they called us to buy the product.
  • 19.
    Data-based evidence 9.7% ofthe customers we surveyed last quarter said they called us because they read a magazine review.
  • 20.
    Correlation Every time ourcompetitive media share goes up, our sales in that region go up for the next two months.
  • 21.
    Contribution Based on ourmarketing mix model, we determined that PR contributed 2.7% to our sales goal last quarter.
  • 22.
    Causation 720 customers thatread about us online, then went to our site, bought the product at an average sales price of $675.
  • 23.
    Measurement, meet strategy: Digital/social outcomes Source: Altimeter Group and Web Analytics Demystified, http://bit.ly/dldIHf
  • 24.
    Proving PR’s value: Advocacy drives sales Source: Weber Shandwick’s European Advocacy Study with Paul Marsden
  • 25.
    Proving PR’s value: Advocacygrows business Advocates can help a company grow an average rate of their competitors Source: Bain & Company