How Do Red Bull, The Hershey Company, and
Intel Turn Big Data Into Competitive Advantage

S.I. Newhouse School of Public Communications
Global Leaders in Digital and Social Media Speaker Series
March 20, 2013
#NewhouseGLDSM


Contents are proprietary and confidential.
Contents are proprietary and confidential.
Contents are proprietary and confidential.
The communications landscape is changing…




Contents are proprietary and confidential.
How We Consume Media Has Changed…


                                                A large PC        The # of devices in
Yomiuri Shimbun                                manufacturer       use vs. the online
   is the top                Internet users     may have           population of the
                                 online                             world is easily
  newspaper



14           million
                             2.2 250 3:1
                                               million systems
                                  billion
             readers                          in use at any one
                                                     time         today and growing




#NewhouseGLDSM // @chuckhemann on Twitter
Our Brand’s Story Must be Told in Different Ways to
Succeed
                              The majority of content we consume is not via a media
    Media refers to all        outlet. It is through our friends and networks
        content


 News flow has 5 drivers
                              Blogs, Twitter, Facebook wall, mainstream media, video


     Media plans are           If “media” is redefined, how could media plans stay the
    becoming obsolete          same?

    Multiple Channel           Our information needs change as our journey evolves
  Content Consumption          leading to different content, places and devices


   Visual Trumps Copy          65% of people believe they are visual learners


  Content must be Fluid       Content is now part of the rhythm of life. 1,9,90


 #NewhouseGLDSM // @chuckhemann on Twitter
Understanding the 1,9,90 Rule




              1                                   9                         90


  Content Creators                    Content Sharers                Broad Community
  • Top influencers – 1% or           • 2nd concentric circle of    • Like-minded customers who
    less who reach the world            influence – where the         are not yet connected to the
    of your current and                 top influencers get their     brand.
    potential customers.                content and ideas.          • Important to educate them,
  • Important to build                • Important to surround         provide a unique experience,
    relationships here.                 sound paid + earned           and share audiences with
                                        media.                        others

#NewhouseGLDSM // @chuckhemann on Twitter
The Opportunity is Unveiling Itself


              Newsflow                                Human Behavior
              • Blogs and twitter drive 2/3 of flow   • We are only snowflakes to our parents
              • Five drivers of newsflow              • We all follow patterns
              • Mainstream media news cycles driven   • Influencers (top 50) typically source
                by average of 5 people                  from no more than 4-5 people
              • Online content cycles driven by <50   • Who are the top sources?
                people


                                            Four Drivers of
                                               Change

              Media Consumption                       The Social Footprint
              Patterns                                • easy to see where content is shared
              • I read what I want, where I want        and with whom
              • Social channels are becoming the      • Preferred words are clear
                new “third place”                     • Content needs are clear




#NewhouseGLDSM // @chuckhemann on Twitter
Interpreting Behavior



AWARENESS
Getting someone’s attention is the
beginning of every relationship.
Sometimes a whisper is more
impactful than a shout. Yet, volume                                  ASSESSMENT (POST)
won’t matter if your story isn’t                                     Hope you made a good first
compelling.                                                          impression. Now they get to evaluate
                                                                     their experience and relationship with
                                                                     your brand. Did it deliver on the
                                            ACTION
                                                                     promise? Did it disappoint? Either
                                            You’ve hit pay dirt.
                                                                     way, you have to be there to answer.
                                            Customers are now
                                            engaging directly with
ASSESSMENT (PRE)                            your brand gaining
You’ve got their ear. This is where         first hand experience
decisions are made, so what you say         but now they are
– and how you say it – needs to             behind the wheel.
resonate and penetrate the                                           AMBASSADOR
customer’s consciousness. If                                         We’ve reached the defining moment,
successful they take action.                                         customers share their experience,
                                                                     carrying the brand forward to people
                                                                     we could never reach. Now we must
                                                                     forge a partnership with our most
                                                                     loyal customers who are our best
                                                                     advocates… make that evangelists.



#NewhouseGLDSM // @chuckhemann on Twitter
Marketers are Currently Swimming in Data


    People and brands send more than 340m tweets per day


People on Facebook share more than 684,000 bits of content per
                           day


 People upload 72 hours of new video to YouTube every minute



      Google receives over 2 million search queries a minute

 #NewhouseGLDSM // @chuckhemann on Twitter
Social Channels = New Frontier for Research
• Open, unfiltered channels


• Real-time market-driven conversations


• Engaged customer and partner communities


• Early warning system for competitive intelligence


• Hard to make a move without some digital footprint


• Lots of noise to filter, but plenty of valuable signal

#NewhouseGLDSM // @chuckhemann on Twitter
How is Research Changing to Meet the New
Communications Landscape?
10 Trends in Digital Analytics




Contents are proprietary and confidential.
#1 – (Tool) Buyer Beware



            Social Media Listening
           Social Media Engagement
              Influencer Analysis
              Audience Analysis
               Content Analysis
               Search Analytics
Hundreds of Available Tools with no Clear Link…
Yet
#2 – Two Clear Listening Models Emerging




             Listening for program
           planning and listening for
             content development
Taking a Step Back to Set Proper Goals
                                             •   What are people saying about
                                                 your brand

                                             •   Where people are talking
                                                 about your brand

                                             •   When people are talking about
                                                 your brand

                                             •   Who is talking about your
                                                 brand

                                             •   Why people are talking about
                                                 your brand
 #NewhouseGLDSM // @chuckhemann on Twitter
Listening to Develop Content in Real-Time




#NewhouseGLDSM // @chuckhemann on Twitter
Photo credit to: http://darmano.typepad.com/.a/6a00d8341bfa9853ef017ee8b7b819970d-pi
Top Brands Becoming Content Curators…




  • Top curated content from pre-screened, influential online
    sources.
  • Content created by approved staff contributors.
  • Ranked by online reach + whether staff has interacted with it.
  • Potentially featured by a staff Editor.
#NewhouseGLDSM // @chuckhemann on Twitter
#3 – HR, Sales, Product Development, Customer
Service Join the Digital Data Party




                     Digital data’s value extends
                     well beyond its applications
                       for public relations and
                              marketing




#NewhouseGLDSM // @chuckhemann on Twitter
Making Social Data Work Outside of PR/Marketing
•   Concept of building a dashboard
    to listen for conversations
    outside of PR/marketing
    applications is easy

    •     Discover the data

    •     Analyze the data

    •     Segment

    •     Develop insights

    •     Execute based on those
          insights

•   In practice, much more difficult
    to execute at large companies

•   Requires central source for
    listening with organization

        #NewhouseGLDSM // @chuckhemann on Twitter
Social Customer Service is an Emerging Approach

                                            •   Shift in importance away from
                                                traditional customer service
                                                channels toward social media,
                                                smartphones and internet sites

                                            •   79% of respondents in the survey
                                                cited the immediacy of interactive
                                                channels in their preference

                                            •   46% cited those interactive
                                                channels as the most efficient
                                                communication method

                                            •   Listening to conversations for
                                                customer service requires
                                                dedicated team, technologies,
                                                measurement techniques and
                                                processes



#NewhouseGLDSM // @chuckhemann on Twitter
Samsung and Delta are Two Strong Case Studies




#NewhouseGLDSM // @chuckhemann on Twitter
#4 – We Drop “Social” from Social CRM




                      CRM platforms evolve to
                    incorporate social data more
                     easily therefore eliminating
                    the need to keep using social
                           in front of CRM




#NewhouseGLDSM // @chuckhemann on Twitter
The Good News is Current Systems are
Evolving…Slowly




#NewhouseGLDSM // @chuckhemann on Twitter
#5 – Internal Ownership Becomes Critical




                    Companies are dealing with a
                    massive amount of customer
                      data and need to build
                       platforms to handle it




#NewhouseGLDSM // @chuckhemann on Twitter
Intel Has Developed a Social Cockpit…




#NewhouseGLDSM // @chuckhemann on Twitter
#6 – Command Centers are Valuable… Kind of




                        Command centers are
                     valuable internal tools that
                    rally the organization around
                           the idea of social
                    media/listening to customers




#NewhouseGLDSM // @chuckhemann on Twitter
Several Brands Have Built Command Centers




Do you need one of these if you are a brand or representing a brand? It depends




  #NewhouseGLDSM // @chuckhemann on Twitter
                                                                       #gotoexplore
#7 – Measurement Finally Becomes Integrated




                     Communications has been
                     working to break down silos
                     for years. It’s time to do the
                        same in measurement




#NewhouseGLDSM // @chuckhemann on Twitter
Timely Intelligence 
Timely Decisions
                                 Annually:
   Business and comms planning, long-range
   strategy, KPI assessment and goal setting
                                  Quarterly:
       KPI executive reviews, strategy shifts,
  problem escalation, cross-discipline impact
                                    Monthly:
 KPI trends and insights, strategy evaluation,
   program optimization, problem resolution
                                        Weekly:
    KPI tracking, red flags, tactical decisions,
        editorial planning, traffic/sales impact

                                      Daily:
 Media flow, news synopses, topline opinions

                                     Hourly:
   Competitive alerts and crisis management

#NewhouseGLDSM // @chuckhemann on Twitter
Institutionalize Standard Metrics
                     Awareness              Assessment(Consid   Action         Ambassadorship
                     (Reach)                eration)            (Engagement)   (Loyalty/Advocacy)
 Social Networks     Metric #1              Metric #1           Metric #1      Metric #1
 (Facebook)          Metric #2              Metric #2           Metric #2      Metric #2
                     Metric #3              Metric #3           Metric #3      Metric #3
 Blogs               Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
                     Metric #3              Metric #3           Metric #3      Metric #3
 Microblogs          Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
                     Metric #3              Metric #3           Metric #3      Metric #3
 Audio (podcasts)    Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
 Video (YouTube)     Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
 Images (Flickr)     Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
 Documents           Metric #1              Metric #1           Metric #1      Metric #1
 (SlideShare)        Metric #2              Metric #2           Metric #2      Metric #2
 Forums              Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
 Wikis               Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2
 Search (Google)     Metric #1              Metric #1           Metric #1      Metric #1
                     Metric #2              Metric #2           Metric #2      Metric #2


#NewhouseGLDSM // @chuckhemann on Twitter
#8 – Analytics goes hyper-local




                    As marketing programs are
                      built to reach people in
                       specific geographies,
                   analytics tools will need to be
                          built to keep up




#NewhouseGLDSM // @chuckhemann on Twitter
Track conversation by zip code, town, store




#NewhouseGLDSM // @chuckhemann on Twitter
#9 – Forensic Analytics Becomes a Critical
Capability Within Companies



                       Digital and social media
                    present untold opportunities
                   to learn about our customers.
                     The trick is moving beyond
                         counting to actually
                        understand behavior




#NewhouseGLDSM // @chuckhemann on Twitter
#10 – Influencer Analysis is not Synonymous with
Klout




                   The current suite of influencer
                   solutions do not fully capture
                     how influential a person is
                               online




 #NewhouseGLDSM // @chuckhemann on Twitter
The Current Influencer Tools are not the Devil,
but Don’t Accurately Gauge Influence Either




#NewhouseGLDSM // @chuckhemann on Twitter
<50 People Drive Share of Conversation Online


  Thousands of          Millions of                          Hundreds of      50 Top
                                             100+ Metrics.
  key phrases.          webpages.                              Outlets.    Influencers.




 • Have complete clarity
   into who influences your world, and
   how to reach them with your content.




 #NewhouseGLDSM // @chuckhemann on Twitter
Where Did This Come From?


                                Chuck Hemann – Director,
                                   Analytics at WCG




                        Ken Burbary – Chief Digital
                        Officer at Campbell Ewald




#NewhouseGLDSM // @chuckhemann on Twitter
How Do Red Bull, The Hershey Company, and Intel Turn Big Data Into Competitive Advantage

How Do Red Bull, The Hershey Company, and Intel Turn Big Data Into Competitive Advantage

  • 1.
    How Do RedBull, The Hershey Company, and Intel Turn Big Data Into Competitive Advantage S.I. Newhouse School of Public Communications Global Leaders in Digital and Social Media Speaker Series March 20, 2013 #NewhouseGLDSM Contents are proprietary and confidential.
  • 2.
    Contents are proprietaryand confidential.
  • 3.
    Contents are proprietaryand confidential.
  • 4.
    The communications landscapeis changing… Contents are proprietary and confidential.
  • 5.
    How We ConsumeMedia Has Changed… A large PC The # of devices in Yomiuri Shimbun manufacturer use vs. the online is the top Internet users may have population of the online world is easily newspaper 14 million 2.2 250 3:1 million systems billion readers in use at any one time today and growing #NewhouseGLDSM // @chuckhemann on Twitter
  • 6.
    Our Brand’s StoryMust be Told in Different Ways to Succeed The majority of content we consume is not via a media Media refers to all outlet. It is through our friends and networks content News flow has 5 drivers Blogs, Twitter, Facebook wall, mainstream media, video Media plans are If “media” is redefined, how could media plans stay the becoming obsolete same? Multiple Channel Our information needs change as our journey evolves Content Consumption leading to different content, places and devices Visual Trumps Copy 65% of people believe they are visual learners Content must be Fluid Content is now part of the rhythm of life. 1,9,90 #NewhouseGLDSM // @chuckhemann on Twitter
  • 7.
    Understanding the 1,9,90Rule 1 9 90 Content Creators Content Sharers Broad Community • Top influencers – 1% or • 2nd concentric circle of • Like-minded customers who less who reach the world influence – where the are not yet connected to the of your current and top influencers get their brand. potential customers. content and ideas. • Important to educate them, • Important to build • Important to surround provide a unique experience, relationships here. sound paid + earned and share audiences with media. others #NewhouseGLDSM // @chuckhemann on Twitter
  • 8.
    The Opportunity isUnveiling Itself Newsflow Human Behavior • Blogs and twitter drive 2/3 of flow • We are only snowflakes to our parents • Five drivers of newsflow • We all follow patterns • Mainstream media news cycles driven • Influencers (top 50) typically source by average of 5 people from no more than 4-5 people • Online content cycles driven by <50 • Who are the top sources? people Four Drivers of Change Media Consumption The Social Footprint Patterns • easy to see where content is shared • I read what I want, where I want and with whom • Social channels are becoming the • Preferred words are clear new “third place” • Content needs are clear #NewhouseGLDSM // @chuckhemann on Twitter
  • 9.
    Interpreting Behavior AWARENESS Getting someone’sattention is the beginning of every relationship. Sometimes a whisper is more impactful than a shout. Yet, volume ASSESSMENT (POST) won’t matter if your story isn’t Hope you made a good first compelling. impression. Now they get to evaluate their experience and relationship with your brand. Did it deliver on the ACTION promise? Did it disappoint? Either You’ve hit pay dirt. way, you have to be there to answer. Customers are now engaging directly with ASSESSMENT (PRE) your brand gaining You’ve got their ear. This is where first hand experience decisions are made, so what you say but now they are – and how you say it – needs to behind the wheel. resonate and penetrate the AMBASSADOR customer’s consciousness. If We’ve reached the defining moment, successful they take action. customers share their experience, carrying the brand forward to people we could never reach. Now we must forge a partnership with our most loyal customers who are our best advocates… make that evangelists. #NewhouseGLDSM // @chuckhemann on Twitter
  • 10.
    Marketers are CurrentlySwimming in Data People and brands send more than 340m tweets per day People on Facebook share more than 684,000 bits of content per day People upload 72 hours of new video to YouTube every minute Google receives over 2 million search queries a minute #NewhouseGLDSM // @chuckhemann on Twitter
  • 11.
    Social Channels =New Frontier for Research • Open, unfiltered channels • Real-time market-driven conversations • Engaged customer and partner communities • Early warning system for competitive intelligence • Hard to make a move without some digital footprint • Lots of noise to filter, but plenty of valuable signal #NewhouseGLDSM // @chuckhemann on Twitter
  • 12.
    How is ResearchChanging to Meet the New Communications Landscape? 10 Trends in Digital Analytics Contents are proprietary and confidential.
  • 13.
    #1 – (Tool)Buyer Beware Social Media Listening Social Media Engagement Influencer Analysis Audience Analysis Content Analysis Search Analytics
  • 14.
    Hundreds of AvailableTools with no Clear Link… Yet
  • 15.
    #2 – TwoClear Listening Models Emerging Listening for program planning and listening for content development
  • 16.
    Taking a StepBack to Set Proper Goals • What are people saying about your brand • Where people are talking about your brand • When people are talking about your brand • Who is talking about your brand • Why people are talking about your brand #NewhouseGLDSM // @chuckhemann on Twitter
  • 17.
    Listening to DevelopContent in Real-Time #NewhouseGLDSM // @chuckhemann on Twitter Photo credit to: http://darmano.typepad.com/.a/6a00d8341bfa9853ef017ee8b7b819970d-pi
  • 18.
    Top Brands BecomingContent Curators… • Top curated content from pre-screened, influential online sources. • Content created by approved staff contributors. • Ranked by online reach + whether staff has interacted with it. • Potentially featured by a staff Editor. #NewhouseGLDSM // @chuckhemann on Twitter
  • 19.
    #3 – HR,Sales, Product Development, Customer Service Join the Digital Data Party Digital data’s value extends well beyond its applications for public relations and marketing #NewhouseGLDSM // @chuckhemann on Twitter
  • 20.
    Making Social DataWork Outside of PR/Marketing • Concept of building a dashboard to listen for conversations outside of PR/marketing applications is easy • Discover the data • Analyze the data • Segment • Develop insights • Execute based on those insights • In practice, much more difficult to execute at large companies • Requires central source for listening with organization #NewhouseGLDSM // @chuckhemann on Twitter
  • 21.
    Social Customer Serviceis an Emerging Approach • Shift in importance away from traditional customer service channels toward social media, smartphones and internet sites • 79% of respondents in the survey cited the immediacy of interactive channels in their preference • 46% cited those interactive channels as the most efficient communication method • Listening to conversations for customer service requires dedicated team, technologies, measurement techniques and processes #NewhouseGLDSM // @chuckhemann on Twitter
  • 22.
    Samsung and Deltaare Two Strong Case Studies #NewhouseGLDSM // @chuckhemann on Twitter
  • 23.
    #4 – WeDrop “Social” from Social CRM CRM platforms evolve to incorporate social data more easily therefore eliminating the need to keep using social in front of CRM #NewhouseGLDSM // @chuckhemann on Twitter
  • 24.
    The Good Newsis Current Systems are Evolving…Slowly #NewhouseGLDSM // @chuckhemann on Twitter
  • 25.
    #5 – InternalOwnership Becomes Critical Companies are dealing with a massive amount of customer data and need to build platforms to handle it #NewhouseGLDSM // @chuckhemann on Twitter
  • 26.
    Intel Has Developeda Social Cockpit… #NewhouseGLDSM // @chuckhemann on Twitter
  • 27.
    #6 – CommandCenters are Valuable… Kind of Command centers are valuable internal tools that rally the organization around the idea of social media/listening to customers #NewhouseGLDSM // @chuckhemann on Twitter
  • 28.
    Several Brands HaveBuilt Command Centers Do you need one of these if you are a brand or representing a brand? It depends #NewhouseGLDSM // @chuckhemann on Twitter #gotoexplore
  • 29.
    #7 – MeasurementFinally Becomes Integrated Communications has been working to break down silos for years. It’s time to do the same in measurement #NewhouseGLDSM // @chuckhemann on Twitter
  • 30.
    Timely Intelligence  TimelyDecisions Annually: Business and comms planning, long-range strategy, KPI assessment and goal setting Quarterly: KPI executive reviews, strategy shifts, problem escalation, cross-discipline impact Monthly: KPI trends and insights, strategy evaluation, program optimization, problem resolution Weekly: KPI tracking, red flags, tactical decisions, editorial planning, traffic/sales impact Daily: Media flow, news synopses, topline opinions Hourly: Competitive alerts and crisis management #NewhouseGLDSM // @chuckhemann on Twitter
  • 31.
    Institutionalize Standard Metrics Awareness Assessment(Consid Action Ambassadorship (Reach) eration) (Engagement) (Loyalty/Advocacy) Social Networks Metric #1 Metric #1 Metric #1 Metric #1 (Facebook) Metric #2 Metric #2 Metric #2 Metric #2 Metric #3 Metric #3 Metric #3 Metric #3 Blogs Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Metric #3 Metric #3 Metric #3 Metric #3 Microblogs Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Metric #3 Metric #3 Metric #3 Metric #3 Audio (podcasts) Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Video (YouTube) Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Images (Flickr) Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Documents Metric #1 Metric #1 Metric #1 Metric #1 (SlideShare) Metric #2 Metric #2 Metric #2 Metric #2 Forums Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Wikis Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 Search (Google) Metric #1 Metric #1 Metric #1 Metric #1 Metric #2 Metric #2 Metric #2 Metric #2 #NewhouseGLDSM // @chuckhemann on Twitter
  • 32.
    #8 – Analyticsgoes hyper-local As marketing programs are built to reach people in specific geographies, analytics tools will need to be built to keep up #NewhouseGLDSM // @chuckhemann on Twitter
  • 33.
    Track conversation byzip code, town, store #NewhouseGLDSM // @chuckhemann on Twitter
  • 34.
    #9 – ForensicAnalytics Becomes a Critical Capability Within Companies Digital and social media present untold opportunities to learn about our customers. The trick is moving beyond counting to actually understand behavior #NewhouseGLDSM // @chuckhemann on Twitter
  • 35.
    #10 – InfluencerAnalysis is not Synonymous with Klout The current suite of influencer solutions do not fully capture how influential a person is online #NewhouseGLDSM // @chuckhemann on Twitter
  • 36.
    The Current InfluencerTools are not the Devil, but Don’t Accurately Gauge Influence Either #NewhouseGLDSM // @chuckhemann on Twitter
  • 37.
    <50 People DriveShare of Conversation Online Thousands of Millions of Hundreds of 50 Top 100+ Metrics. key phrases. webpages. Outlets. Influencers. • Have complete clarity into who influences your world, and how to reach them with your content. #NewhouseGLDSM // @chuckhemann on Twitter
  • 38.
    Where Did ThisCome From? Chuck Hemann – Director, Analytics at WCG Ken Burbary – Chief Digital Officer at Campbell Ewald #NewhouseGLDSM // @chuckhemann on Twitter

Editor's Notes

  • #8 The 1-9-90 Rule, which states 1% of people online create content, 9% share content, and 90% lurk and learn, is the foundation to the structure of our analysis. The 90% represents the content consuming audience whose expressions are covered in the listening segment of our analysis. We carried out this analysis for each of the three brands.The 9% and the 1% are investigated by the Influencer Meme and the Muse Analysis with emphasis on the concentric circles of influence surrounding topics related to the brands. We identify who creates and shares content.