HARD TO
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Steps To
Successful
Reputation
Measurement
Report Following Roundtable
Hard to Measure Event
23 November 2012
8
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HARD TO
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MEASURE 3Hard to Measure - Roundtable Discussion 23 November 20122 Hard to Measure - Roundtable Discussion 23 November 2012
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Brand Reputation Schematic
Impact on Reputation
HARD TO MEASURE ROUNDTABLE, NOVEMBER 2012
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GEOGRAPHIC /
BUSINESS UNIT
PERFORMANCE
PROFIT PROCESS
ENVIRONMENT
+20%
share value
+15%
brand valueCUST. SATISFTN
HRREPUTATION
HISTORICAL
& FUTURE
PERFORMANCE
Strategy
Values/Culture
Reputation
Identity
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Strategic
Brand
Perspective
Key Factors
Business Performance
Dashboard
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In 1290 AD, the Mapa Mundi was created, a large vellum map
of the world. It currently hangs in Hertford Cathedral. This was
an extraordinary document, part history, part theology, part
guesswork, partly factual. It was created at a time of flux, when
Europe was struggling through the ‘dark ages’ and the view of
the wider world was little known, but more and more important.
By its very creation it shaped the view of the world, and
expanded people’s views of what was possible.
In a similar (but historically much less significant) way, we are
trying to map the hard to measure landscape of brands and
their relationship with customers, to provoke debate, develop
tools, and provide insights into a business world which is also in
flux, and the understanding of
which is being fought over by
different groups.
Whatever industry you operate
within, and whatever your market,
brand reputation has an impact
on your company’s effectiveness –
and yet few companies track and
manage this in a comprehensive
way in the same way as, say, stock
levels, pricing strategy or R&D. If
we can ‘map’ the priorities and problems when understanding
reputation, we can find powerful ways to measure, track and
manage performance.
This document summarises the discussions and our findings
from the first ‘Hard to Measure’ roundtable, on 23 November
2012. The next event will be covering ‘Customer Centricity’ on
18 January 2013, and will continue next year with workshops and
seminars planned.
We hope you find this document interesting and useful. If you
would be interested in coming to a future event, please let us
know at enquiries@hardtomeasure.com.
James Bridgman and Karen Topp, 17 December 2012.
Introduction
A common problem, but no common solutions
What is
‘Hard to Measure’?
Hard to Measure is an
ongoing investigation into
best practice, insights
and tools to deal with the
‘intangibles’ of business
performance.
We set up the initiative
after realising that our
clients faced similar
challenges, despite coming
at business projects from
very different perspectives.
Karen
Topp is a
performance
management
and
management
information expert, who
specialises in the alignment
of performance indicators
to business strategy. She
helps directors understand
how far they are from their
division’s objectives, and
what to do about it.
James
Bridgman is
a branding
consultant
and Creative
Director of
Silverleaf, a creative agency
specialising in helping fast
growth startups, SMEs
and corporates develop
and deliver compelling
brands. With over 16 years
experience working with
every type of company,
James focusses on
creativity as a method
to meet and develop
business objectives.
54 54
The Event The Event
Karen Topp James Bridgman
uk.linkedin.com/in/karentopp uk.linkedin.com/in/jamesbridgman
Karen Topp Consulting
Performance Management Consultant
Brand Consultant
Creative Director Silverleaf
Surinder Hundal
Owner | Director at Rippleseed
Previously head of Brand Engagement at Nokia, Int. Business Leaders Forum
View Linkedin profile: uk.linkedin.com/in/surinderhundal
Arno Castanet
Product Management & Development at MNI - Deutsche Börse Group
Previously at Fitch Solutions, Dow Jones
View Linkedin profile: uk.linkedin.com/pub/arno-castanet/1/76b/760
Madlen Nicolaus
Julie Strawson
Senior Marketing & Community Manager EMEA at Salesforce Marketing Cloud
Previously social media manager at Kodak and account supervisor at Ketchum PR
View Linkedin profile: uk.linkedin.com/in/madlennicolaus/en
Director of Marketing - Monotype Imaging, Founding Partner, Brand Perfect Tour
Previously Marketing Network Consultants Ltd, Lernout and Hauspie Speech Products
View Linkedin profile: uk.linkedin.com/in/juliestrawson
Jeremy Waite
Head of Social Strategy EMEA at Adobe
Previously head of TBG Digital, Phones4u
View Linkedin profile: uk.linkedin.com/in/jeremypaulwaite
Ben Claxton
Founder at nativeye
Previously Director of Consent and Head of Strategy of Panlogic
View Linkedin profile: uk.linkedin.com/in/benclaxton
@rippleseed
@jeremywaite
@benclaxton
@nonofromlondon
@madleeeen
@connectricity
Facilitated by...
Attended by... Location and Agenda
We had a great line up of expert participants who came to
Adam Street on 23rd November to contribute to the debate and
discuss issues from different perspectives. We would like to thank
everyone for attending and contributing – it would not have been
so successful without all of you there.
Our objective was to create a fairly open debate covering core subject
areas that impact brand reputation and businesses’ ability to track,
measure, control and understand it. It was also important that the
participants could shape the direction of discussion if relevant, as they
came from different backgrounds and perspectives.
Adam Street Club,
Central London
Start, personal introductions,
roundtable introduction
Wrap up
First two topics/areas
Follow up discussion topics
(group will determine which)
Final straight
— focussing on concrete conclusions
KEY AREAS FOR DISCUSSION:
•	 Who cares about your brand?
•	 Does everyone ‘live’ the brand?
•	 Prerequisites for a good reputation and
successful brand
•	 What is reputation?
•	 Monitoring and measuring techniques
•	 External drivers of reputation
•	 Sources of data, best practice and
resources
AGENDA
HARD TO
MEASURE 7Hard to Measure - Roundtable Discussion 23 November 2012
If the measurement of reputation, and the promotion of related
metrics onto the overall board-level scorecard, are to happen,
then our very first hurdle is to ensure that the executive
management team actually trusts both the metrics themselves,
and the people who sponsor their use.
Branding and reputation are business problems
— not ‘design’ ones
It is no coincidence that the companies with the strongest brand
presence have significant buy-in from the board to put brand
at the centre of the discussion – a focus often championed by
one strong individual (Steve Jobs, Jeff Bezos, Richard Branson),
which fades when they are no longer there.
The understanding of ‘branding’ is often limited to visual identity
and marketing campaigns, which tend to be run by design-led
marketing departments.
This makes it hard for those
defending a ‘strong brand’ case
to be included in the debate over
business fundamentals. Placing
reputation KPIs on board level
scorecards demands the translation
of chiefly qualitative data into
profitability figures.
Marketers should not be the only ones concerned with
reputation, because all layers of the organisation are affected
in some way by reputation changes, and all of them can in turn
affect the business’s reputation. How much does a positive
reputation support the ability to hire talent? How much can it be
compromised by one poorly trained customer service agent?
Conflicting metrics
It is also hard to make a case for the use of certain metrics when
they deliver vastly different results depending on the parameters
used to calculate them. Brand value is an example, with
competing metrics differing by billions of pounds when assessing
large brands.
How much does a
positive reputation
support the ability to
hire talent? How much
can it be compromised
by one poorly trained
customer service agent?
Secure Sponsorship and Buy-in
Who cares about reputation, and why?
1
Definitions
There are many ways you
can define reputation,
depending upon your
perspective — usually
either customer / market
focussed (what your
‘audience’ thinks) or what
those involved in the
business think (what the
‘stakeholders’ think).
1. Reputation is the
beliefs or opinions that
are generally held about
someone or something
Oxford English Dictionary
2. An organisation enjoys
a good reputation when
it consistently meets or
exceeds the expectations
of its stakeholders. A bad
reputation results when
the organisation’s words or
deeds fall short of
stakeholder expectations.
Managing Risks to
Reputation
Jean-Paul Louisot,
Jenny Rayner
3. a. Reputation is an
intangible asset that allows
the company to better
manage the expectations
and needs of its various
stakeholders, creating
differentiation and barriers
vis-à-vis its competitors.
b. Reputation is the
intellectual, emotional
and behavioral response
as to whether or not the
communications and
actions of an organization
resonate with their needs
and interests.
Reputation
Elliot S. Schreiber, Ph.D.,
Drexel University
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Key Factors
Reputation is...
HARD TO
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2
This is about establishing a brand vision. Do we want to become
visible in the first place? Do we want to be seen as the most socially
responsible superbrand in the world? Do we want 90% of our target
market to think highly of us? Is our goal to have a strong brand, or a
good reputation?
The goal is to evaluate the gap between how the business wants to be
perceived and how it actually is perceived, and to understand why the
gap exists.
Businesses need to measure:
•	 the aspects of reputation that matter the most to them
•	 their performance against the brand objectives they want to reach
•	 the correlations between their own activities and this performance
•	 the correlations between external events and this performance
Ultimately this ‘definition’ of reputation should be unique to every
business and based on qualitative information, the challenge being to
then deliver a quantitative indication of progress against goals.
Here are, however, some pointers towards a generic definition
of ‘reputation’:
•	 Delivery on promises
•	 Recognition of such delivery
(by the people whom we want to impress)
•	 Values
•	 Trust
A business’s brand image is built from the reactions, opinions and
activities of those exposed to it, and it is this behaviour, the reasons for
it, and the results it leads to that companies need to capture.
Define ‘Reputation’ and Your
Reputational Goals
In order to measure something, you need
to know what it is. To you.
Delivery
Recognition
Values
Trust
Reputation
Fragility
The example of Starbucks,
Amazon, etc. in the UK
recently shows that
once an issue relating to
reputation takes off, not
only does it have a serious
impact on the bottom line,
but it can be very difficult
to control.
Researchers from
Manchester Business
School have calculated
that public anger at
Starbucks’ payment of just
£8.6m in UK tax over the
past 13 years on sales of
£3.1bn and staff disbelief
this week at being told
paid lunch breaks, some
sick leave and maternity
benefits were being axed
could result in a fall in
sales of as much as 24% in
the next year.
[source Guardian 7.12.12]
With the impact of social
media, a slow response
to problems can be as
bad as no response at
all. Similarly, running
social media in ignorance
of what is happening
elsewhere in the company
can be equally disastrous
– Quantas recently
launched a #quantasluxury
campaign at the same
time as industrial action
was running, leading to
a firestorm of sarcastic
social media comments
from customers caught
up in the dispute.
HARD TO
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Can customer or ‘crowd
sourced’ content be
directed and controlled
for the benefit of a
brand’s reputation?
Only a clear and honest
dialogue will work.
Understand the Reputation Timeline
Short-term, tactical issues
The timeline of reputation is now increasingly complex – not only are
attention spans shortening (42 seconds of ‘concentration’ in the 60s to
5 seconds or less today), but different generations and cultures treat
sharing, acting on and creating information differently.
Jeremy gave a great example during the session: despite all the fuss over
digital information being ‘available forever’, a tweet has approximately 7
minutes of ‘half life’ (relevance), a Facebook post may be 20 mins, email/
web a week or more, and print much longer of course.
The change of timescales with social media is a challenge, but perhaps
even more important is the nature of the devices and situations when
people ‘take part’.
As people react more and more in short ‘snatches of time’ on mobile
devices where they are, reputation will be created by the quality of these
small interactions, and the ability of brands to draw customers in.
Obviously both huge problems and huge
potential rewards emerge from this new
world, for example Coca Cola crowd
sourcing their corporate content, focussing
on consumer ‘stories’. The challenge
of local vs global relevance, impact vs
personalisation all need to be customised
for each company.
… but long-term, strategic challenges.
Ironically, given this difficulty, a consistent and strategic approach to
brand reputation management, as aligned with company values, will
make responding correctly and appropriately much easier – you know
what matters and why.
If you know why people love your brand, it’s much easier to do the right
things, in the right forums and in the right timescales.
Businesses should also think about the impact of current activities in
the long term – as Surinder pointed out, the excitement generated by a
novel product may overshadow societal changes that will be perceived
as ‘evil’ years later, and create a reputation backlash. A good example
is the change in dietary habits (and the public health consequences)
caused by the apparition of fast food chains in emerging markets.
All in the same industry bag?
There is codependency between the peers of each industry when
it comes to reputation – when one scandal explodes for one bank,
the perception that the public will have of all banks is affected.
Any metrics used to assess brand performance should ensure
that targets are set realistically with regards to what can be
expected within a specific industry context.
Culture, language and interpretation
To look at branding as a purely internal business function is
missing the point – especially with so much social and digital
activity ‘out there’, beyond the direct control of the company.
The definition of ‘reputation’ and the objectives that a business
sets itself in that domain are likely to change dramatically as the
organisation moves from local to global markets (or the other
way around).
Add to the mix the moral and cultural issues of privacy, meaning
(and misunderstanding), and the shifting sands of different digital
platforms – it’s not surprising that brands find it difficult to create
engagement and affinity with their markets.
Your interpretation of sentiment and the words that people
use when they talk about you should always be explored in the
context of a culture and a language.
Although software is becoming increasingly ‘intelligent’ at
interpreting the qualitative information out there, the time has
not come yet where we do not need humans to interpret the
results.
Not everyone is ‘online’ or ‘social’ (yet)
It is crucial not to base reputation metrics solely on social buzz
– always consider the operating context of a business and the
habits of its markets before selecting metrics.
Traditional marketing an PR still have a significant role to play.
Culture changes slowly, so PR activities that can be amplified
on social channels can still be valuable and may have more
credibility with some audiences.
Know Your World
3 4
A reputation is like trust: it takes years to build it,
and seconds to destroy it.
Banks will probably never be loved, and
some countries will never rate you 10/10.
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Understand the Psychology Behind It All
Customers don’t think about branding that much, but when they do it
is often a short cut in their decision making process.
There is increasing evidence that advertising and promotional
activities do not have the impact that was traditionally assumed.
Standing out and being remembered is far more important than
creating a unique hook or even product.
Brand strategy and reputation
management therefore have to take
into account that presence (being
actively visible in the right channels) is
just as important as impact (standing
out and being different). Think of
measuring your business’s ‘presence’ –
how much of it is in the right ‘place’?
In what new places should you be?
Reputation management strategies should address two aspects:
•	 The proactive, day-to-day improvement and maintenance of
reputation: making sure that business activities are selected and
prioritised in a way that will help reach brand vision and reputational
objectives.
•	 The management of crises:  being able to react when a crisis occurs,
which starts with understanding what the risks are, and where they
originate.
Think of:
•	 Internal risks, for example product/quality failures, information
leakages, etc.
•	 External risks, such as attention from the media/public.
Often crises originate when internal and external risks combine –
for example, internally an employee is doing something that goes
completely against the values you advertise, and externally a member of
the public becomes aware of the situation and publicises their reaction.
Two important risks mentioned at the roundtable are worth
mentioning in particular:
•	 Internal politics. These can affect alignment and focus, because
separate departments often are used to measuring reputation with
certain metrics which they are reluctant to question. Alignment
behind a common set of brand objectives is crucial to address this.
•	 Resources (people and technology) shortages. The larger the
organisation, the greater the resource requirements to monitor and
manage reputation.
Measurements can help communicate how far a business is from its
goals, and how well or badly it is being impacted by a reputation
improvement or crisis.
The central understanding of the brand as the core of ‘who we are’ and
driver from the top has a crucial impact in planning different activities
across different marketing channels and company activities (e.g. sales
training).
To empower individuals and teams and move away from silos, give them
permission to innovate within clear boundaries, and make sure they
know when they are making a positive impact on reputation.
Have a Plan
Align activities to your definition of reputation
& clear set of objectives.
Social media has shown that customers value
engagement as much as product or service
65
A strong reputation
suggests that the
products and services
being offered by the
firm are of higher
quality and that the firm
is responsible and will
treat its customers well.
1514 1514
Strategy
Identity
Jeremy gave the example of Vodafone, who place social media
communication at the centre of their marketing and customer facing
activities, meaning that the conversation is not isolated amongst specific
groups or specialists.
Ingredients for successful reputation
management planning...
...easy, right?
It is no coincidence if this section comes after six others – the
prerequisites matter a lot more than the metrics you choose. A
sophisticated indicator will hardly be of any use if no one in your
organisation feels it adds value, understand what it measures or trusts
the results.
A few things to consider when measuring reputation and brand
performance:
•	 You can’t understand performance if you don’t have targets to
which you can compare your actuals. A number alone doesn’t tell
you anything useful unless you compare it to something else.
•	 Have as few metrics as you can. The minimum number is only one.
The more metrics you use, the less attention they will get and the
more confused people will get about performance.
•	 Don’t confuse reputation with customer satisfaction. Your
reputation is of course impacted by your customers’ experience,
but it is ‘lived’ by everyone else as well. What ‘everyone’ means also
differs whether your are B2C or B2B.
•	 Think beyond off-the-shelf and externally supplied measures.
Sometimes analysing your own surveys / qualitative data and
creating a simple index metric based on those will ‘talk’ a lot more
than, say, sentiment analysis.
•	 Consider ‘indirect’ measures: for example, healthy retention, sales
and referral numbers may be excellent (and sufficient) reputation
indicators.
Measure!
Pick a few metrics, set targets, and go.
7
Strong buy-in and sponsorship from the top
Brand visions and objectives
Small selection of metrics to communicate reputation
performance clearly and concisely, against objectives
A clear set of boundaries within which people are empowered to
innovate and tackle immediate risks — if I know that the customer
at the other end of the line is unhappy enough to spread the
word, what can I personally do now to resolve their problem?
Initial risk assessment – where are the internal and external risks?
Mechanisms to monitor risks regularly – think of ways everyone
can raise a risk rather than limiting the discussion to a committee
Internal communcations plan (get the objectives understood, tell
people what to do if a crisis occurs)
3
3
3
3
3
3
3
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HARD TO
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Dashboard Notes:
GEOGRAPHIC /
BUSINESS UNIT
PERFORMANCE
PROFIT PROCESS
ENVIRONMENT
+20%
share value
+15%
brand valueCUST. SATISFTN
HRREPUTATION
HISTORICAL
& FUTURE
PERFORMANCE
Strategy
Values/Culture
Reputation
Identity
Strategic
Brand
Perspective
Business Performance
Dashboard
When we asked our roundtable panel which elements of our proposed
performance management model was the most important driver of
reputation, most of them said ‘the Product’.
So, for all the good work you are doing to manage your reputation, don’t
forget to ensure that:
•	 Your products are of excellent quality
•	 Your processes are set to deliver this level of quality
•	 Your people and technology resources are geared to deliver as well
It is difficult to sum up such a complex and wide ranging debate, but in
broad terms the priorities for businesses aiming to manage, measure and
improve their reputation for the benefit of the business as a whole seem
to focus on three issues which determine success: how credible to senior
management and the board is brand reputation as a key business driver;
how well integrated (and appreciated) are the issues impacting brand
reputation across every part of the business; and lastly how effective and
responsive the organisation is in engaging with their reputation as seen by
the wider public.
These factors do not simply lie at the door of the marketing department, in
fact to make your reputation a true asset, product development, training,
operations and other departments have to understand and participate in
the creation and improvement of the company’s reputation. Great products
or services are critical, but if training doesn’t capitalise on these, marketing
doesn’t communicate them effectively, or the accounts department doesn’t
understand its role in the reputation of the business as a whole, this will not
be reflected in the bottom line. Above all, effective use of brand reputation
depends upon leadership across the organisation.
This is just a start in an investigation into these ‘hard to measure’ areas of
business — there are still some challenging questions each business must
answer:
•	 Who can be affected by reputation changes? What matters to these
audiences? What metrics will they listen to?
•	 Why is reputation important?  Why measure it?
•	 What metrics can we use?  Which one is most useful?  The key ones we
talked about in our roundtable today (sentiment, brand value), but
what else?
•	 How do we set measurable reputation objectives, and how do we set
the right targets?
•	 How do we adapt our targets to the cultural and industry context in
which we operate?
•	 How can we make sure the sentiment or feedback we capture is honest?
Watch this space for more investigations in these areas – or get in touch if
you would be interested in developing solutions to these problems.
Illustration of dashboard
featuring reputation
as a key measurement,
alongside more
traditional metrics
Deliver Conclusion
Ultimately if your product isn’t what you say it is,
“you’ll get found out”.
Integration, Communication, Credibility
8
What to Measure:
Whether or not you have
a reputation. You may
think you do, but have you
researched and tested this
beyond your immediate
customer/client base?
Whether you are
reknowned for what you
stand for. Do you stand
out in what you deliver
and how you relate to your
customers?
How good/bad your
reputation is. Positive,
negative or neutral
(perhaps the worst?)
Levels of activity per
channel – is the media
mix appropriate for
your business, and are
you focussing the most
resources on the most
important ones?
Areas not currently
measured. Be aware
that your reputation is a
moving target. As your
market develops, media
channels change and
combine (the importance
of the ‘second screen’
activity of audiences is a
good example of this) and
issues beyond your control
change perceptions. You
need to be aware of new
opportunities as they arise.
Can you help us
measure the hard to
measure?
Do you have an
innovative solution to
suggest?
Have you managed to
answer some of these
questions within your
business?
Do you have best-
practice case studies
which could help?
If any of these apply, we’d love to hear
from you, either via our web site (launch
date late December 2012) or directly at
enquiries@hardtomeasure.com
HARD TO
MEASURE
www.hardtomeasure.com
enquiries@hardtomeasure.com
Please use twitter hashtag
#hardtomeasure
James Bridgman
james.b@silverleaf.co
+44 (0)20 72263749
+44 (0)7976 891911
www.silverleaf.co
www.brandoptimise.com
@creativexplorer
Karen Topp
karen@karentopp.com
+44 (0)7966 598 758
www.karentopp.com
@karenclondon

8 Steps to Successful Brand Reputation Measurement

  • 1.
    HARD TO MEASURE 1Hardto Measure - Roundtable Discussion 23 November 2012 Steps To Successful Reputation Measurement Report Following Roundtable Hard to Measure Event 23 November 2012 8 HARD TO MEASURE
  • 2.
    HARD TO MEASURE HARD TO MEASURE3Hard to Measure - Roundtable Discussion 23 November 20122 Hard to Measure - Roundtable Discussion 23 November 2012 HARD TO MEASURE Brand Reputation Schematic Impact on Reputation HARD TO MEASURE ROUNDTABLE, NOVEMBER 2012 A B C D E F GEOGRAPHIC / BUSINESS UNIT PERFORMANCE PROFIT PROCESS ENVIRONMENT +20% share value +15% brand valueCUST. SATISFTN HRREPUTATION HISTORICAL & FUTURE PERFORMANCE Strategy Values/Culture Reputation Identity A B C D E F A B C D E F A B C D E F A B C D E F A B C D E F Strategic Brand Perspective Key Factors Business Performance Dashboard A B C D E F A B C D E F A B C D E F In 1290 AD, the Mapa Mundi was created, a large vellum map of the world. It currently hangs in Hertford Cathedral. This was an extraordinary document, part history, part theology, part guesswork, partly factual. It was created at a time of flux, when Europe was struggling through the ‘dark ages’ and the view of the wider world was little known, but more and more important. By its very creation it shaped the view of the world, and expanded people’s views of what was possible. In a similar (but historically much less significant) way, we are trying to map the hard to measure landscape of brands and their relationship with customers, to provoke debate, develop tools, and provide insights into a business world which is also in flux, and the understanding of which is being fought over by different groups. Whatever industry you operate within, and whatever your market, brand reputation has an impact on your company’s effectiveness – and yet few companies track and manage this in a comprehensive way in the same way as, say, stock levels, pricing strategy or R&D. If we can ‘map’ the priorities and problems when understanding reputation, we can find powerful ways to measure, track and manage performance. This document summarises the discussions and our findings from the first ‘Hard to Measure’ roundtable, on 23 November 2012. The next event will be covering ‘Customer Centricity’ on 18 January 2013, and will continue next year with workshops and seminars planned. We hope you find this document interesting and useful. If you would be interested in coming to a future event, please let us know at enquiries@hardtomeasure.com. James Bridgman and Karen Topp, 17 December 2012. Introduction A common problem, but no common solutions What is ‘Hard to Measure’? Hard to Measure is an ongoing investigation into best practice, insights and tools to deal with the ‘intangibles’ of business performance. We set up the initiative after realising that our clients faced similar challenges, despite coming at business projects from very different perspectives. Karen Topp is a performance management and management information expert, who specialises in the alignment of performance indicators to business strategy. She helps directors understand how far they are from their division’s objectives, and what to do about it. James Bridgman is a branding consultant and Creative Director of Silverleaf, a creative agency specialising in helping fast growth startups, SMEs and corporates develop and deliver compelling brands. With over 16 years experience working with every type of company, James focusses on creativity as a method to meet and develop business objectives.
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    54 54 The EventThe Event Karen Topp James Bridgman uk.linkedin.com/in/karentopp uk.linkedin.com/in/jamesbridgman Karen Topp Consulting Performance Management Consultant Brand Consultant Creative Director Silverleaf Surinder Hundal Owner | Director at Rippleseed Previously head of Brand Engagement at Nokia, Int. Business Leaders Forum View Linkedin profile: uk.linkedin.com/in/surinderhundal Arno Castanet Product Management & Development at MNI - Deutsche Börse Group Previously at Fitch Solutions, Dow Jones View Linkedin profile: uk.linkedin.com/pub/arno-castanet/1/76b/760 Madlen Nicolaus Julie Strawson Senior Marketing & Community Manager EMEA at Salesforce Marketing Cloud Previously social media manager at Kodak and account supervisor at Ketchum PR View Linkedin profile: uk.linkedin.com/in/madlennicolaus/en Director of Marketing - Monotype Imaging, Founding Partner, Brand Perfect Tour Previously Marketing Network Consultants Ltd, Lernout and Hauspie Speech Products View Linkedin profile: uk.linkedin.com/in/juliestrawson Jeremy Waite Head of Social Strategy EMEA at Adobe Previously head of TBG Digital, Phones4u View Linkedin profile: uk.linkedin.com/in/jeremypaulwaite Ben Claxton Founder at nativeye Previously Director of Consent and Head of Strategy of Panlogic View Linkedin profile: uk.linkedin.com/in/benclaxton @rippleseed @jeremywaite @benclaxton @nonofromlondon @madleeeen @connectricity Facilitated by... Attended by... Location and Agenda We had a great line up of expert participants who came to Adam Street on 23rd November to contribute to the debate and discuss issues from different perspectives. We would like to thank everyone for attending and contributing – it would not have been so successful without all of you there. Our objective was to create a fairly open debate covering core subject areas that impact brand reputation and businesses’ ability to track, measure, control and understand it. It was also important that the participants could shape the direction of discussion if relevant, as they came from different backgrounds and perspectives. Adam Street Club, Central London Start, personal introductions, roundtable introduction Wrap up First two topics/areas Follow up discussion topics (group will determine which) Final straight — focussing on concrete conclusions KEY AREAS FOR DISCUSSION: • Who cares about your brand? • Does everyone ‘live’ the brand? • Prerequisites for a good reputation and successful brand • What is reputation? • Monitoring and measuring techniques • External drivers of reputation • Sources of data, best practice and resources AGENDA
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    HARD TO MEASURE 7Hardto Measure - Roundtable Discussion 23 November 2012 If the measurement of reputation, and the promotion of related metrics onto the overall board-level scorecard, are to happen, then our very first hurdle is to ensure that the executive management team actually trusts both the metrics themselves, and the people who sponsor their use. Branding and reputation are business problems — not ‘design’ ones It is no coincidence that the companies with the strongest brand presence have significant buy-in from the board to put brand at the centre of the discussion – a focus often championed by one strong individual (Steve Jobs, Jeff Bezos, Richard Branson), which fades when they are no longer there. The understanding of ‘branding’ is often limited to visual identity and marketing campaigns, which tend to be run by design-led marketing departments. This makes it hard for those defending a ‘strong brand’ case to be included in the debate over business fundamentals. Placing reputation KPIs on board level scorecards demands the translation of chiefly qualitative data into profitability figures. Marketers should not be the only ones concerned with reputation, because all layers of the organisation are affected in some way by reputation changes, and all of them can in turn affect the business’s reputation. How much does a positive reputation support the ability to hire talent? How much can it be compromised by one poorly trained customer service agent? Conflicting metrics It is also hard to make a case for the use of certain metrics when they deliver vastly different results depending on the parameters used to calculate them. Brand value is an example, with competing metrics differing by billions of pounds when assessing large brands. How much does a positive reputation support the ability to hire talent? How much can it be compromised by one poorly trained customer service agent? Secure Sponsorship and Buy-in Who cares about reputation, and why? 1 Definitions There are many ways you can define reputation, depending upon your perspective — usually either customer / market focussed (what your ‘audience’ thinks) or what those involved in the business think (what the ‘stakeholders’ think). 1. Reputation is the beliefs or opinions that are generally held about someone or something Oxford English Dictionary 2. An organisation enjoys a good reputation when it consistently meets or exceeds the expectations of its stakeholders. A bad reputation results when the organisation’s words or deeds fall short of stakeholder expectations. Managing Risks to Reputation Jean-Paul Louisot, Jenny Rayner 3. a. Reputation is an intangible asset that allows the company to better manage the expectations and needs of its various stakeholders, creating differentiation and barriers vis-à-vis its competitors. b. Reputation is the intellectual, emotional and behavioral response as to whether or not the communications and actions of an organization resonate with their needs and interests. Reputation Elliot S. Schreiber, Ph.D., Drexel University
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    A B C D E F A B C D E F A B C D E F A B C D E F A B C D E F A B C D E F Key Factors Reputation is... HARDTO MEASURE8 Hard to Measure - Roundtable Discussion 23 November 2012 2 This is about establishing a brand vision. Do we want to become visible in the first place? Do we want to be seen as the most socially responsible superbrand in the world? Do we want 90% of our target market to think highly of us? Is our goal to have a strong brand, or a good reputation? The goal is to evaluate the gap between how the business wants to be perceived and how it actually is perceived, and to understand why the gap exists. Businesses need to measure: • the aspects of reputation that matter the most to them • their performance against the brand objectives they want to reach • the correlations between their own activities and this performance • the correlations between external events and this performance Ultimately this ‘definition’ of reputation should be unique to every business and based on qualitative information, the challenge being to then deliver a quantitative indication of progress against goals. Here are, however, some pointers towards a generic definition of ‘reputation’: • Delivery on promises • Recognition of such delivery (by the people whom we want to impress) • Values • Trust A business’s brand image is built from the reactions, opinions and activities of those exposed to it, and it is this behaviour, the reasons for it, and the results it leads to that companies need to capture. Define ‘Reputation’ and Your Reputational Goals In order to measure something, you need to know what it is. To you. Delivery Recognition Values Trust
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    Reputation Fragility The example ofStarbucks, Amazon, etc. in the UK recently shows that once an issue relating to reputation takes off, not only does it have a serious impact on the bottom line, but it can be very difficult to control. Researchers from Manchester Business School have calculated that public anger at Starbucks’ payment of just £8.6m in UK tax over the past 13 years on sales of £3.1bn and staff disbelief this week at being told paid lunch breaks, some sick leave and maternity benefits were being axed could result in a fall in sales of as much as 24% in the next year. [source Guardian 7.12.12] With the impact of social media, a slow response to problems can be as bad as no response at all. Similarly, running social media in ignorance of what is happening elsewhere in the company can be equally disastrous – Quantas recently launched a #quantasluxury campaign at the same time as industrial action was running, leading to a firestorm of sarcastic social media comments from customers caught up in the dispute. HARD TO MEASURE 11Hard to Measure - Roundtable Discussion 23 November 20121010 Can customer or ‘crowd sourced’ content be directed and controlled for the benefit of a brand’s reputation? Only a clear and honest dialogue will work. Understand the Reputation Timeline Short-term, tactical issues The timeline of reputation is now increasingly complex – not only are attention spans shortening (42 seconds of ‘concentration’ in the 60s to 5 seconds or less today), but different generations and cultures treat sharing, acting on and creating information differently. Jeremy gave a great example during the session: despite all the fuss over digital information being ‘available forever’, a tweet has approximately 7 minutes of ‘half life’ (relevance), a Facebook post may be 20 mins, email/ web a week or more, and print much longer of course. The change of timescales with social media is a challenge, but perhaps even more important is the nature of the devices and situations when people ‘take part’. As people react more and more in short ‘snatches of time’ on mobile devices where they are, reputation will be created by the quality of these small interactions, and the ability of brands to draw customers in. Obviously both huge problems and huge potential rewards emerge from this new world, for example Coca Cola crowd sourcing their corporate content, focussing on consumer ‘stories’. The challenge of local vs global relevance, impact vs personalisation all need to be customised for each company. … but long-term, strategic challenges. Ironically, given this difficulty, a consistent and strategic approach to brand reputation management, as aligned with company values, will make responding correctly and appropriately much easier – you know what matters and why. If you know why people love your brand, it’s much easier to do the right things, in the right forums and in the right timescales. Businesses should also think about the impact of current activities in the long term – as Surinder pointed out, the excitement generated by a novel product may overshadow societal changes that will be perceived as ‘evil’ years later, and create a reputation backlash. A good example is the change in dietary habits (and the public health consequences) caused by the apparition of fast food chains in emerging markets. All in the same industry bag? There is codependency between the peers of each industry when it comes to reputation – when one scandal explodes for one bank, the perception that the public will have of all banks is affected. Any metrics used to assess brand performance should ensure that targets are set realistically with regards to what can be expected within a specific industry context. Culture, language and interpretation To look at branding as a purely internal business function is missing the point – especially with so much social and digital activity ‘out there’, beyond the direct control of the company. The definition of ‘reputation’ and the objectives that a business sets itself in that domain are likely to change dramatically as the organisation moves from local to global markets (or the other way around). Add to the mix the moral and cultural issues of privacy, meaning (and misunderstanding), and the shifting sands of different digital platforms – it’s not surprising that brands find it difficult to create engagement and affinity with their markets. Your interpretation of sentiment and the words that people use when they talk about you should always be explored in the context of a culture and a language. Although software is becoming increasingly ‘intelligent’ at interpreting the qualitative information out there, the time has not come yet where we do not need humans to interpret the results. Not everyone is ‘online’ or ‘social’ (yet) It is crucial not to base reputation metrics solely on social buzz – always consider the operating context of a business and the habits of its markets before selecting metrics. Traditional marketing an PR still have a significant role to play. Culture changes slowly, so PR activities that can be amplified on social channels can still be valuable and may have more credibility with some audiences. Know Your World 3 4 A reputation is like trust: it takes years to build it, and seconds to destroy it. Banks will probably never be loved, and some countries will never rate you 10/10.
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    HARD TO MEASURE 13Hardto Measure - Roundtable Discussion 23 November 20121212 Understand the Psychology Behind It All Customers don’t think about branding that much, but when they do it is often a short cut in their decision making process. There is increasing evidence that advertising and promotional activities do not have the impact that was traditionally assumed. Standing out and being remembered is far more important than creating a unique hook or even product. Brand strategy and reputation management therefore have to take into account that presence (being actively visible in the right channels) is just as important as impact (standing out and being different). Think of measuring your business’s ‘presence’ – how much of it is in the right ‘place’? In what new places should you be? Reputation management strategies should address two aspects: • The proactive, day-to-day improvement and maintenance of reputation: making sure that business activities are selected and prioritised in a way that will help reach brand vision and reputational objectives. • The management of crises: being able to react when a crisis occurs, which starts with understanding what the risks are, and where they originate. Think of: • Internal risks, for example product/quality failures, information leakages, etc. • External risks, such as attention from the media/public. Often crises originate when internal and external risks combine – for example, internally an employee is doing something that goes completely against the values you advertise, and externally a member of the public becomes aware of the situation and publicises their reaction. Two important risks mentioned at the roundtable are worth mentioning in particular: • Internal politics. These can affect alignment and focus, because separate departments often are used to measuring reputation with certain metrics which they are reluctant to question. Alignment behind a common set of brand objectives is crucial to address this. • Resources (people and technology) shortages. The larger the organisation, the greater the resource requirements to monitor and manage reputation. Measurements can help communicate how far a business is from its goals, and how well or badly it is being impacted by a reputation improvement or crisis. The central understanding of the brand as the core of ‘who we are’ and driver from the top has a crucial impact in planning different activities across different marketing channels and company activities (e.g. sales training). To empower individuals and teams and move away from silos, give them permission to innovate within clear boundaries, and make sure they know when they are making a positive impact on reputation. Have a Plan Align activities to your definition of reputation & clear set of objectives. Social media has shown that customers value engagement as much as product or service 65 A strong reputation suggests that the products and services being offered by the firm are of higher quality and that the firm is responsible and will treat its customers well.
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    1514 1514 Strategy Identity Jeremy gavethe example of Vodafone, who place social media communication at the centre of their marketing and customer facing activities, meaning that the conversation is not isolated amongst specific groups or specialists. Ingredients for successful reputation management planning... ...easy, right? It is no coincidence if this section comes after six others – the prerequisites matter a lot more than the metrics you choose. A sophisticated indicator will hardly be of any use if no one in your organisation feels it adds value, understand what it measures or trusts the results. A few things to consider when measuring reputation and brand performance: • You can’t understand performance if you don’t have targets to which you can compare your actuals. A number alone doesn’t tell you anything useful unless you compare it to something else. • Have as few metrics as you can. The minimum number is only one. The more metrics you use, the less attention they will get and the more confused people will get about performance. • Don’t confuse reputation with customer satisfaction. Your reputation is of course impacted by your customers’ experience, but it is ‘lived’ by everyone else as well. What ‘everyone’ means also differs whether your are B2C or B2B. • Think beyond off-the-shelf and externally supplied measures. Sometimes analysing your own surveys / qualitative data and creating a simple index metric based on those will ‘talk’ a lot more than, say, sentiment analysis. • Consider ‘indirect’ measures: for example, healthy retention, sales and referral numbers may be excellent (and sufficient) reputation indicators. Measure! Pick a few metrics, set targets, and go. 7 Strong buy-in and sponsorship from the top Brand visions and objectives Small selection of metrics to communicate reputation performance clearly and concisely, against objectives A clear set of boundaries within which people are empowered to innovate and tackle immediate risks — if I know that the customer at the other end of the line is unhappy enough to spread the word, what can I personally do now to resolve their problem? Initial risk assessment – where are the internal and external risks? Mechanisms to monitor risks regularly – think of ways everyone can raise a risk rather than limiting the discussion to a committee Internal communcations plan (get the objectives understood, tell people what to do if a crisis occurs) 3 3 3 3 3 3 3
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    HARD TO MEASURE HARD TO MEASURE17Hard to Measure - Roundtable Discussion 23 November 201216 Hard to Measure - Roundtable Discussion 23 November 2012 HARD TO MEASURE Dashboard Notes: GEOGRAPHIC / BUSINESS UNIT PERFORMANCE PROFIT PROCESS ENVIRONMENT +20% share value +15% brand valueCUST. SATISFTN HRREPUTATION HISTORICAL & FUTURE PERFORMANCE Strategy Values/Culture Reputation Identity Strategic Brand Perspective Business Performance Dashboard When we asked our roundtable panel which elements of our proposed performance management model was the most important driver of reputation, most of them said ‘the Product’. So, for all the good work you are doing to manage your reputation, don’t forget to ensure that: • Your products are of excellent quality • Your processes are set to deliver this level of quality • Your people and technology resources are geared to deliver as well It is difficult to sum up such a complex and wide ranging debate, but in broad terms the priorities for businesses aiming to manage, measure and improve their reputation for the benefit of the business as a whole seem to focus on three issues which determine success: how credible to senior management and the board is brand reputation as a key business driver; how well integrated (and appreciated) are the issues impacting brand reputation across every part of the business; and lastly how effective and responsive the organisation is in engaging with their reputation as seen by the wider public. These factors do not simply lie at the door of the marketing department, in fact to make your reputation a true asset, product development, training, operations and other departments have to understand and participate in the creation and improvement of the company’s reputation. Great products or services are critical, but if training doesn’t capitalise on these, marketing doesn’t communicate them effectively, or the accounts department doesn’t understand its role in the reputation of the business as a whole, this will not be reflected in the bottom line. Above all, effective use of brand reputation depends upon leadership across the organisation. This is just a start in an investigation into these ‘hard to measure’ areas of business — there are still some challenging questions each business must answer: • Who can be affected by reputation changes? What matters to these audiences? What metrics will they listen to? • Why is reputation important? Why measure it? • What metrics can we use? Which one is most useful? The key ones we talked about in our roundtable today (sentiment, brand value), but what else? • How do we set measurable reputation objectives, and how do we set the right targets? • How do we adapt our targets to the cultural and industry context in which we operate? • How can we make sure the sentiment or feedback we capture is honest? Watch this space for more investigations in these areas – or get in touch if you would be interested in developing solutions to these problems. Illustration of dashboard featuring reputation as a key measurement, alongside more traditional metrics Deliver Conclusion Ultimately if your product isn’t what you say it is, “you’ll get found out”. Integration, Communication, Credibility 8 What to Measure: Whether or not you have a reputation. You may think you do, but have you researched and tested this beyond your immediate customer/client base? Whether you are reknowned for what you stand for. Do you stand out in what you deliver and how you relate to your customers? How good/bad your reputation is. Positive, negative or neutral (perhaps the worst?) Levels of activity per channel – is the media mix appropriate for your business, and are you focussing the most resources on the most important ones? Areas not currently measured. Be aware that your reputation is a moving target. As your market develops, media channels change and combine (the importance of the ‘second screen’ activity of audiences is a good example of this) and issues beyond your control change perceptions. You need to be aware of new opportunities as they arise.
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    Can you helpus measure the hard to measure? Do you have an innovative solution to suggest? Have you managed to answer some of these questions within your business? Do you have best- practice case studies which could help? If any of these apply, we’d love to hear from you, either via our web site (launch date late December 2012) or directly at enquiries@hardtomeasure.com HARD TO MEASURE www.hardtomeasure.com enquiries@hardtomeasure.com Please use twitter hashtag #hardtomeasure James Bridgman james.b@silverleaf.co +44 (0)20 72263749 +44 (0)7976 891911 www.silverleaf.co www.brandoptimise.com @creativexplorer Karen Topp karen@karentopp.com +44 (0)7966 598 758 www.karentopp.com @karenclondon