Zuberance - Paid Vs Earned Media
Transcript of Zuberance - Paid Vs Earned Media
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Sean Corcoran, Senior Analyst, ForresterDavid Armano, Senior Vice President, Edelman Digital
Rob Fuggetta, Founder/CEO, ZuberanceTwitter hashtag: #PaidvEarned
Paid vs Earned MediaApril 19, 2011
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Paid vs Earned Media
Moderator:David SparkSpark Media Solutions
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Paid vs Earned Media
Hashtag for event:
#PaidvEarned
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Successful earned media campaign techniques– B2B, mid-size, communication
Integration strategy of owned, paid, earned– Best uses of each channel for highest ROI, budget mix
ROI evaluation, measurement methods, success metrics– “Viral lift,” conversion rates, tracking
How to manage, scale, automate earned campaign– Resources and tools
Trends
You asked us about…
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Participant Profile: Title & Role
N = 336, Online survey, fielded April 12 – 18 2011
Title
Brand Marketing
Performance/ Interactive Marketing
Communications/ PR
Social Media Marketing or Community Manager
Other
27%
19%
15%
14%
24%
Role & ResponsibilityCMO5%
Other14%
VP21%
Director28%
Manager31%
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>40% 26 - 39% 11 - 25% 0-10%0%
10%
20%
30%
40%
50%
18% 17%25%
40%
Current Spends and Trends
*N = 336; score is a weighted calculation
Q: How are you currently spending resources on Media?Rank in order of importance.*
Q: What % of your marketing budget has shifted from Paid to Earned Media?
Owned
Paid Earned
Budget shifts from Paid to Earned
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Marketers believe customers go to owned media channels most*
Learn & Build Awareness Rank
1. Owned
2. Earned
3. Paid
Make Purchase Decision Rank
1. Owned
2. Paid
3. Earned
*N = 336; score is a weighted calculation
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Owned35%
Earned32%
Paid32%
Biggest impact on business by category
Marketers are evenly divided on views
N = 336
Q: Which category has the biggest impact on your business in terms
of generating sales, new customers, and revenue from marketing-
related efforts? Why?
Owned media such as your
website or blog
Paid media such as search
engines, banner ads or other
advertising
Earned media such as reviews,
online forums, other sources
for peer advice
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Biggest impact on business: Owned
Owned36%
Control content & dist.
Control message
Drive traffic & conversion
N = 336, quantitative and open-ended comment analysis
Content is superior. "Content is King."
[I have] control over content in an environment that directly sells my brand
[Owned media] has the most information and details- [and is a] trusted source of accurate info [Owned media] is used as a research tool, it showcases the most information about our brand in one place. All Paid & Earned Media drive back to our website.
Most of information about what the company does is contained within owned media, giving customers a better understanding of what we're all about.
[It is the] number one area where customers like to book and compare prices.
We drive everyone to the website. Also, people do searches indepenedently, and will be led there. Finally, the obvious reason is that we sell our product on our website through a hosted booking engine.
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Biggest impact on business: Paid
Paid32%
Drive traffic & awareness
Broad reach & scalability
Track & measure ROI
N = 336, quantitative and open-ended comment analysis
As a challenger brand, awareness driving to a large audience is critical for trial and new customer acquisition. Earned builds loyalty, but comes later in the cycle.
Direct response campaigns drive the most the most in-store and onine traffic
Awareness is a key issue in videogames - a launch driven business - and we do not feel Earned or Owned Media gets us enough reach (for most releases).
It's the highest reaching vehicle that creates awareness and drives traffic to your "owned" properties
Very measurable ROI - easy to track how many leads, sales, etc came directly from the investment.
It's measurable and thus gets the most budget
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Biggest impact on business: Earned
Earned32%
Credible & trustworthy
Peer references
Third-party influence
N = 336, quantitative and open-ended comment analysis
They are perceived as being independent and unbiased.
We're a B2B focused brand, so our customers tend to know who we are in the industry. We really rely on the word of mouth on our technology to sell intricate details of our product to buyers.
Word of mouth recommendations are our largest source of referrals and brand discovery/awareness (new sales). Luckily we are one of the few brands that believes credibility, trust, and limited transparency are crucial to success.
3rd party endorsements, whether from peers, other buyers or critical reviews, have great impact.
Customers are looking at how others use products in similar ways and then make value judgments based on that information.
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Paid vs Earned Media
Sean CorcoranSenior AnalystForrester Research Inc
@seancor
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© 2009 Forrester Research, Inc. Reproduction Prohibited
Shifting The Balance Of Media
Sean Corcoran, Sr. Analyst
April 19, 2011
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Word-Of-Mouth reigns again
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This social media thing is real
More than 4 out of 5 online U.S. adults now participate in social media each month
Sources: Forrester Social Technographics Survey Q4, 2009
…and nearly 7 out of 10 European online adults too
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Social networks are really popular
59% of U.S. online adults are visiting social networks at least once per month
Sources: Forrester Social Technographics Survey Q1, 2010
…and 50% of online Metro Chinese adults too
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People are VERY active with social media
Nearly one third of US online adults are “Conversationalists” – they post status updates on social sites at least weekly
Sources: Forrester Social Technographics Survey Q1, 2010
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Word-Of-Mouth Is Now Media (Earned Media)
Word-of-mouth impressions made by people on other people online in the U.S. in 2009:
500 Billion
Source: Forrester North Americans Technographics Empowerment Survery Q4 2009
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And It Lives On
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“Earned, Owned, Paid” redefines the marketing mix
Paid Media“The Catalyst”
Owned Media“The Portable Brand”
Earned Media“The Result”
• Reviews/Ratings
• Blog posts & comments
• Listening platforms
• Volume, Sentiment, etc.
• Paid Search
• Display ads
• Video ads
• Sponsorships
• Web site
• Mobile site
• YouTube
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Brands can now build long term socially-enabled platforms, rather
than just short term campaigns
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Marketers have a tremendous opportunity to energize their advocates and create earned
media16% of the online consumers
generate 80% of online word-of-mouth impressions
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Paid media (advertising) is the catalyst
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Social media has become the interactive platform for TV
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The “true reach” of the Super Bowl includes both earned and
paid media75 million total online views with
55,000 comments and over 185,000 ratings
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O + P = E
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What It Means: An up hill battle for marketers
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Marketers have been on the hunt
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…but the hunters have become the hunted
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Marketers must adapt
Adaptive Marketing:A flexible approach in which marketers respond quickly to their environment to
align consumer and brand goals and maximize return on brand equity.
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In the adaptive marketing era…
• ALL of marketing evolves from a focus on push to pull
• The Groundswell (social media) is mainstream
• All marketing communication is “always on”• Consumers move from passive audience to
active participants• Brands must publish and update content on
a regular basis• Intelligence drives decisions in real time• Loyalty and Influence become the key drivers
of success
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Recommendations• Start thinking about marketing to people
– Most interactive marketers actually market to browsers, phones, and email addressess• Identify your advocates immediately
– Use listening platforms to identify the most influential and NPS to identify the most loyal• Build owned media platforms that enable advocates to promote the brand
– Leverage tools like Facebook Open Graph and Ratings and Reviews• Create cross-team processes
– Share real time data and processes for acting on it across marketing, PR, customer service, IT, etc.• Recognize the true cost is in resources
– You can’t buy earned media, you must empower the organization to cultivate it• Rethink your metrics
– Include earned media metrics in your paid media analysis– Measure the impact paid media has on your owned and earned media assets– Incorporate loyalty and influence as key metrics for any marketing initiative
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© 2009 Forrester Research, Inc. Reproduction Prohibited
Thank you
Sean Corcoran
@seancor
www.forrester.com
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Paid vs Earned Media
David ArmanoSenior Vice PresidentEdelman Digital
@armano
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MEDIA PROPERTIES, OVERLAPS & OWNERSHIPMEANINGFUL ENGAGEMENT IN A CONNECTED WORLDDavid Armano, SVP Edelman Digital | @armano
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DIGITAL MEDIA PROPERTIES & PLATFORMS
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DIGITALPROPERTIES
WEBSITESCUSTOM BUILT PORTALS
INTERNAL/ENTERPRISE
EARNED
media
OWNEDproperties
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PAIDmedia
RICH MEDIA CONTENT ADVERTISINGBANNERSDISPLAYPAID ENDORSEMENTS
DIGITALPROPERTIES
WEBSITESCUSTOM BUILT PORTALS
INTERNAL/ENTERPRISE
OWNEDproperties
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PARTNERSHIPSINFLUENCER NETWORKSBRANDED ENTERTAINMENTNICHE PLATFORMS
RICH MEDIA CONTENT ADVERTISINGBANNERSDISPLAYPAID ENDORSEMENTS
EARNEDmedia
DIGITALPROPERTIES
WEBSITESCUSTOM BUILT PORTALS
INTERNAL/ENTERPRISE
PAIDmedia
OWNEDproperties
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SOCIALplatforms
PARTNERSHIPSINFLUENCER NETWORKSBRANDED ENTERTAINMENTNICHE PLATFORMS
EMBASSIES
RICH MEDIA CONTENT
INFLUENCER ENGAGEMENT
ADVERTISINGBANNERSDISPLAYPAID ENDORSEMENTS
OUTPOSTSRELEVANT MESSAGE BOARDS
BLOGOSPHERE
DIGITALPROPERTIES
WEBSITESCUSTOM BUILT PORTALS
INTERNAL/ENTERPRISE
PAIDmedia
EARNEDmedia
OWNEDproperties
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THE “CLOVERLEAF”WHERE MEDIA LIVES TODAY
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SEARCH & SOCIAL: HOWDIGITAL MEDIA SPREADS
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1. Digital participant initiates search(information)
2. Results ranked by authority/quality
Search: Information based
3. Traffic directed & media sharedvia social networks and e-mail
+
Source: David ArmanoEdelman 2011, edelmandigital.com
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1. Digital participant initiates search(information)
2. Results ranked by authority/quality 3. Traffic directed & media sharedvia social networks and e-mail
Social: Influence based
1. Digital participant views mediafrom social connection (relationships)
2. Media digested, conversed aboutand shared
3. Conversations & social sharing about media influence search results and rankings
+
Source: David ArmanoEdelman 2011, edelmandigital.com
Search: Information based
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EARNING MEDIA THROUGH OUTREACH
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FIRST DETERMINE WHO HAS THE RIGHT INFLUENCE
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Source: Edelman 2011, edelmandigital.com
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THE FOUR C’S FORMEANINGFUL ENGAGMENTIN A CONNECTED AGE
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FOUR C’S FOR A CONNECTED AGE
CONNECTION
CONTENT
CAMPAIGNS
COORDINATION
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CONNECTION: EBAY SOCIAL MEDIA SELLERS
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CONTENT: HUGGIES HIGH CHAIR CRITICS
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CONTENT: HUGGIES HIGH CHAIR CRITICS
•Two months after launch, Highchair Critics (HC) outpaced the growth of Huggies’ Facebook Page – the brand’s most active and engaged online community to date. HC had 67,000 page views compared to Facebook’s 13,500 page views during the same time period
•HC averaged 440 comments on promotional giveaway posts each week (during the commercial program), spurring thousands of positive, personal endorsements from moms, many of whom cited the shaped-to-fit feature as their favorite product benefit
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CAMPAIGN: CLINIQUE
Directing to Facebook competition
3,365 competition entries9,000 votes39,440 visits to the Facebook competition42,053 YouTube video views
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CAMPAIGN: EDGE #SOIRRITATING
“The #soirritating hashtag has been used about 6,800 times, and attention from numerous media outlets has contributed to mounting buzz — all of which likely contributed to Edge’s decision to continue the campaign throughout 2011” (Mashable)
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COORDINATION: BLACKBERRY GLOBAL SOCIAL BUSINESS
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Paid vs Earned Media
Rob FuggettaFounder/CEOZuberance
@RobFuggetta
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Leveraging Earned MediaRob Fuggetta, Founder/CEO, Zuberance
April 19, 2011
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Social Marketing Company focused on Brand Advocates
Turn Brand Advocates into powerful marketing force Generate qualified leads, traffic, sales, positive WOM
About Zuberance
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Where Zuberance Fits In
Listen Engage Sell
Social Media Marketing Products & Services
Zuberance
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Zuberance Brand Advocate Solution
Advocate Expertise
Advocate Services
Advocate Platform
“Advocate E-S-P”
Advocate Apps Marketer Tools Advocacy Engine Advocate Insights
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Brand Advocates, Definition
Highly-satisfied customers who pro-actively recommend brands or products without being paid to do so.
►60 Million Brand Advocates in U.S.Source: Multiple
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Identify Advocates
Energize Advocates
Track Results
How to Leverage Earned Media
Brand Advocacy System
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Identify Brand Advocates…
How likely are you to recommend our brand or product to your friends?
50%
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Ask Ultimate Question in Many Places
Web
Social
Call Center
Product
Packaging
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…Energize Brand Advocates…Advocate Ratings & Reviews Advocate Stories
Advocate Answers Advocate Offers
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…Track Results
Clicks Leads Impressions Sales
►Earned Media is Measurable!
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Real-World Results
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Q: How Compete Against “Big Boys”?
$50M+
Vonage$200M
Ooma<$2M
Source: Vonage annual report, 2010
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Answer: Ooma Unleashes Advocates
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Ooma Acquisition Costs Drop 54%
Before
$146
After
$78
Customer Acquisition Costs (CAC)
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Problem: Negative WOM
►Yet 54% of Norton customers highly likely to recommend
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Solution: Norton Advocates to Rescue!
Before energizing Norton Advocates:
After energizing Norton Advocates:
►Norton sales increased $26 million on Amazon.com
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750,000 Chili’s Advocates 1M+ Recommendations 50,000+ Email Club Sign-Ups
Chili’s Peppers in Earned Media
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10X Higher Conversion Rate
Source: FireClick Index, Zuberance Customer Data
Paid Media Earned Media
25%
2.5%
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1. Do not pay or coach Brand Advocates2. Make it easy for Advocates3. Track and optimize results4. Get an Advocacy system
Best Practices
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Thank You!
Rob Fuggetta, Founder & CEOZuberance
[email protected] Zuberance on Twitter:http://twitter.com/zuberance