The Business Impact of Social Media Monitoring & Analytics
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1 The Business Impact of Social Media Monitoring & Analytics BSH Global Social Media Monitoring Strategy February 26 th 2014 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P
2 About us We <3 white goods! B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 2
3 Strategy Our starting point Social Media Platform Usage Social Media/Digital Marketing Strategy Country A + Country B Cross Functional Social Media Strategy Global Alignment & Exchange Country C B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 3
4 Strategy Our approach Support Overall Business Goals Ensure Commitment of Management Team Avoid Red Shirt Effect McKinsey Strategy Dvortygirl CC BY-SA 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 4
5 Strategy Buying Process What we ve learned about the buying process B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 5
6 Strategy The buying process has dramatically changed Awareness Awareness Consideration Active Evaluation Preference Buy Buy Source: McKinsey B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 6
7 Strategy High complexity through new brand touchpoints Active Evaluation Moment of Purchase Post-Purchase Experience Online Blogs Search Forums Micro-Blogs Social Networks Online Retail Online Auctions Review Sites Price Comparison Sites Video Portals Brand Websites Group Buying Portals Online Retail Brand online shop Forums Social Networks Brand Websites 3rd party technical help sites Micro Blogs Active Evaluation Moment of Purchase Post-Purchase Experience Social Networks Brand Websites (FAQ) Offline Magazines Catalogue Retailer Retailer Word of Mouth Letter / Fax Call Center Test Institutes WoM Retailer = Typical white goods CDJ < 2000 = Typical white goods CDJ today = User generated content (Social Media) B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 7
8 Strategy Consumer insights What we ve learned about our customers B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 8
9 (A) Most consumers in our vertical are disloyal Source: CDJ survey, JD Power 90% of all consumer can be influenced during active evaluation phase pds209 CC BY 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 9
10 (B1) Consumers are not interested in home appliances as long as they do not need a new one Only 20% of all consumers stay informed about home appliances outside of the active evaluation phase zoetnet CC BY 2.0 Source: CDJ survey, team analysis B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 10
11 (B2) But when they are looking for a new appliance, consumers need a lot of information And in most cases they need it very fast to make a profound buying decision ming1967 CC BY 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 11
12 (C) Customers are likely to talk about their purchase Source: CDJ survey, team analysis 50-60% of all customers are willing to talk about their product experience online ninasaurusrex CC BY-ND 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 12
13 Strategy Three core principles Need to convince the consumers before every purchase Low product knowledge due to general lack of interest (1) Focus social media marketing activities on active evaluation (2) Trigger positive conversations to influence other consumers (3) Avoid negative conversations through best in class consumer care Willingness to talk about product experience Social Media Monitoring & Analytics B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 13
14 Social Media Monitoring Infrastructure Social Media Monitoring Software B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 14
15 Social Media Monitoring Reporting & KPIs B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 15
16 What sales and management think! Looks nice, but what s in for business? And what the hell is social buzz? Jesse Millan CC BY 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 16
17 Where s the beef? B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 17
18 Consumer reviews are one of the most powerful sources of information in the buying process gfpeck CC BY-ND 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 18
19 Consumer reviews are one of the most powerful sources of information in the buying process Source: Nielsen Global Trust in Advertising Survey % of global customers trust consumer reviews (58% trust editorial content) 64% of all US customers are actively looking for consumer reviews before their purchase Source: Cone Online Influence Trend Tracker 2011 Source: Cone Online Influence Trend Tracker % of these customers have selected a specific product because of positive reviews Consumer reviews lead to an average uplift in conversion rates by 90% Source: BazaarVoice The Connected Economy 2013 gfpeck CC BY-ND 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 19
20 Sales and management want to know two figures average rating amount of ratings by brand by product division by single product (SKU) our brands competitors B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 20
21 How our most powerful reporting looks like Brand level B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 21
22 How our most powerful reporting looks like Product divisions B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 22
23 How our most powerful reporting looks like Single products B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 23
24 Social media monitoring to become integral part of business reporting Social Media Monitoring Reports & Dashboards Vs. Social Media KPIs Business Reporting Product Development Average Rating Pos/Neg Features Customer Satisfaction Average Rating Flop Products (Reasons) Product Management Amount of Ratings Average Rating B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 24
25 Social media reporting Product development (product application) BSH Produktbereich/Baureihe Produktreihe Produktbereich Wettbewerber-Produkt 1 Wettbewerber-Produkt 2 Wettbewerber-Produkt 3 TOP 3 Positive Bewertungen BSH In Produktlastenheft überführt Feature a (28%) Feature b (24%) Feature c (17%) TOP 3 Negative Bewertungen BSH Maßnahmen neue Baureihe Feature a (22%) Feature b (21%) Feature c (16%) B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 25
26 Social media reporting Customer satisfaction B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 26
27 Social media reporting Product Management (country targets) Example France PLC Top 10 focus products on own and most important retail sites B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 27
28 Social media monitoring is neither a no-brainer nor rocket science Align monitoring to your business goals Look for few but relevant KPIs Integrate KPIs in your business reportings Trevor Blake CC BY-SA 2.0 B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 28
29 THX Jan Philipp Warp BSH Bosch und Siemens Hausgeräte GmbH Senior Consultant Social (privat) B O S C H A N D S I E M E N S H O M E A P P L I A N C E S G R O U P CSA-ECS I Social Media (Monitoring) Strategy I 26 February 2014 I Slide: 29
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