Special edition Intelligence Applied Brand content’s …...Share this 2 Connected Life Brand...

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Share this 4 Intelligence Applied Brand content’s supply and demand dilemmas Connected Life 2014 Special edition

Transcript of Special edition Intelligence Applied Brand content’s …...Share this 2 Connected Life Brand...

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Connected LifeBrand content’s supply and demand dilemmas

Intelligence Applied | Special edition

As anybody following events at this summer’s Cannes Lions will have noticed, branded content has already made the transition from latest buzzword to mainstream marketing strategy. Brands, it seems, will divert more and more of their budgets to content, and consumers will grow increasingly accustomed to consuming it. Yet there’s also a growing sense that many brands have not yet settled on the most effective approach to content. And TNS’s Connected Life study reveals that many of the greatest opportunities for brand content are currently overlooked.

The global gaps in brand content supply Consumers’ appetite for brand content varies hugely across markets – and so does the frequency with which they encounter it. The challenge for brands lies in the fact that those with the greatest appetite for engaging with their content are often those with the least opportunity to do so. The 10 markets that are most keen on engaging with brands via social media are all emerging markets (India tops the list, with

Africa and South East Asia strongly represented) – yet consumers in these markets actually engage with far less brand content than those in countries with less enthusiasm. Why? Because they are provided with far less brand content to engage with.

It’s not just the gap between content supply and demand that should give brands food for thought, though. Equally important is the gap between active broadcasting and passive content consumption, which demands very different strategies for different markets. Consumers in developed, western markets tend to have a passive relationship to the content that brands produce. They are more inclined to read or watch than to share, discuss or distribute content more broadly. Elsewhere though, more active users of content are just as likely to share it with others as they are to consume it in the first place. In both Malaysia and Taiwan, 54 per cent of consumers broadcast the brand content that they consume, compared to only 26 per cent in the US.

The challenge for brands lies in the fact that those with the greatest appetite for engaging with their content are often those with the least opportunity to do so.

In both Malaysia and Taiwan, 54 per cent of consumers broadcast the brand content that they consume, compared to only 26 per cent in the US.

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Connected LifeBrand content’s supply and demand dilemmas

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Targeting those open to content Taking a market-level view of appetite for and engagement with content reveals the greatest unmet opportunities for brands. But similar opportunities emerge when we look in more detail at how consumers engage with brand content within markets. Even in markets that are generally more passive, brands can achieve far greater impact by targeting those most open to engaging with them – and most active in sharing the content they consume.

The value of different audiences to brand content strategies depends on two closely related factors: their openness to engaging with brands, and their online social engagement. Across the Connected Life study, we find that those who are most active on social media also tend to be those most open to brand engagement. These groups represent the most receptive and potentially the most valuable audiences for brand content. However, they represent different numbers and different types of people in each market. As a result, brands cannot adopt a one-size-fits-all strategy to reaching these influential consumers; they may need to use different channels in different markets, in order to do so.

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Connected LifeBrand content’s supply and demand dilemmas

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Different markets, different strategies In some markets, broadcasting the content that you like to large numbers of other people is standard behaviour for most consumers. As a result, peer recommendation and social sharing are hugely important factors in content distribution. The opportunity for brands lies in identifying the most prolific and influential broadcasters so as to amplify the reach and credibility of their content as efficiently as possible.

In several developed markets however, identifying potential broadcasters is a far more complex task, since the majority of content consumption tends to be passive. Precise understanding of potential influencers and the type of content that they are most inclined to share is essential for amplifying reach and recruiting content advocates to increase awareness and credibility. However, since sharing is rarer in these markets, the stand-out and value of a truly viral piece of content can be all the greater.

At the same time though, it is important for brand content strategies to distinguish between the goals of content consumption and content sharing. In many of the world’s emerging markets, targeting content consumers and content sharers is one and the same thing. However, in developed markets such as the US and UK, where consumers are less likely to share, brands may need to adopt different strategies to reach different groups. Whilst the socially engaged may be inclined to receiving content on social platforms and sharing it with others; distributing content to passive consumers may require investment in paid media such as native advertising, content-focused display ads or owned online platforms.

Precise understanding of potential influencers and the type of content that they are most inclined to share is essential for amplifying reach and recruiting content advocates to increase awareness and credibility.

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Connected LifeBrand content’s supply and demand dilemmas

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Evolving content distribution strategies Whether a brand adopts a paid, earned or owned media strategy, its success will depend on discipline in supplying the precise type of content that its chosen audience demands – and in supplying it through the most appropriate channels for that particular audience.

Each market has a different hotspot when it comes to the most efficient and effective channels for brand content engagement. In particular, Connected Life reveals a huge shift in the relative importance of email and social media between developed and emerging markets. Whilst email still provides content with its greatest reach amongst older, western, developed market consumers, it is being rapidly overtaken by social media amongst younger groups. In the Middle East, Asia and emerging markets, social media and instant messaging already dominate the content distribution landscape.

This requires important adjustments in content distribution strategies. Whereas 68 per cent of Saudi Arabians are willing to engage with brands on social

media, only 7 per cent of Swedes are, and whilst only a quarter of consumers globally read emails from a brand, over half of Italians do.

Content strategies that are attuned to local media realities can deliver spectacular results. In India, where many have limited access to media, Unilever offered a free music-streaming service in exchange for consumers listening to ads for its Lifebuoy Soap brand – reaching an audience of 8 million through this approach. Amongst more digitally savvy consumers in Malaysia however, the same brand launched a Pac-man style game reaching audiences through in-app advertising – and generating a 40 per cent increase in brand health scores.

Content strategies that are attuned to local media realities can deliver spectacular results.

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Connected LifeBrand content’s supply and demand dilemmas

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Functional or emotive? Understanding the brand opportunity Besides tailoring content distribution to the media landscape of each market, brands also need to consider which form of content they are best suited to producing. Most brands have an opportunity to create content that consumers will value – but that valued content will look very different depending on the brand in question. High-involvement categories such as technology, travel, baby care and automotive brands have far more license to make life fun and provide content that can impress others. More functional categories like financial services, FMCG and food and drink, should focus on delivering content with immediate practical value. However, in both cases, content marketers must balance the need to deliver content that engages consumers with content that is genuinely brand-enhancing.

Starbucks has proven itself an expert at mixing functional value to the consumer with clear links to the brand when serving up content. A branded alarm clock app that wakes potential customers on time and rewards them with discounts if they arrive

to order a coffee within an hour of the alarm is just one example: content that gives the brand a relevant, imaginative role in consumer lives.

The opportunity for content marketers The many discrepancies that still exist in the brand content landscape add up to a vast range of marketing opportunities. Identifying and targeting those consumers who are most open to engaging with brands, and most inclined to share brand content more widely, provides a clear roadmap for success in content marketing. However, to make the most of this opportunity, brands need to move away from mass-market, one-size-fits-all content strategies. They should focus on understanding their true functional and emotional relevance to specific groups of consumers – and delivering content that matches it.

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Connected LifeBrand content’s supply and demand dilemmas

Intelligence Applied | Special edition

About Connected Life Connected Life is a leading global study of the digital attitudes and behaviours of over 55,000 internet users across 50 countries, exploring how technology is transforming the lives of consumers across the world. It offers essential insight into the impact of the growing digital ecosystem on the media landscape.

Connected Life also uncovers new and exciting opportunities for marketers to connect with their consumers in this increasingly complex environment; it is a powerful tool that helps brands make better digital decisions.

The fieldwork was undertaken in all markets between March and June 2014.

Please visit www.tnsglobal.com/connectedlife for further information.

About TNS TNS advises clients on specific growth strategies around new market entry, innovation, brand switching and customer and employee relationships, based on long-established expertise and market-leading solutions. With a presence in over 80 countries, TNS has more conversations with the world’s consumers than anyone else and understands individual human behaviours and attitudes across every cultural, economic and political region of the world.

TNS is part of Kantar, the data investment management division of WPP and one of the world’s largest insight, information and consultancy groups.

Get in touch If you would like to talk to us about anything you have read in this report, please get in touch via [email protected] or via Twitter @tns_global

About the authors

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Siobhan Jones is a Digital Consultant for TNS Asia Pacific. Since joining TNS in 2010, she has worked in multiple practice areas, gained broad exposure to many different industries and research techniques and

worked on a range of project types from single to multi-country. She is currently focused on leveraging Connected Life to help brands identify key growth opportunities within the connected world.

Yeehooi Tee is a Digital Consultant at TNS Asia Pacific. Yeehooi joined TNS in 2012 and has since worked across various high profile projects that help brands understand consumers’ usage, behaviours and attitude

in the consumer technology space. In her current role, Yeehooi helps brands uncover insights into consumer interaction with digital media through Connected Life.

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