A joint effort between Web Analytics Demystified's John Lovett and Altimeter Group's Jeremiah Owyang

1. Social Marketing Analytics
A New Framework for Measuring Results in Social Media
A Joint Research Presentation With:

2. SOCIAL MARKETING
ANALYTICS:
A New Framework for Measuring
Results in Social Media
@johnlovett @jowyang
#SocialAnalytics

3. 3
About This Research
• A Collaborative Effort
• Our Methodology
• A Nod To Open Research

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Special Thanks To...
• Our co-authors
– Charlene Li, Eric T. Peterson, Christine Tran
• Our Ecosystem Contributors
– Lisa Barone, Connie Benson, David Berkowitz, Blake Cahill, Adam Coomes,
Monica Cordina, Bill Gassman, Jascha Kaykas-Wolff, Rob Key, Justin Kistner,
Scott Lake, Matt Langie, Alex Mann, Louis Marascio, John McCory, Aaron
Neumann, Katie Delahaye Paine, Sean Power, Chris Ramsey, Boaz Ronkin, Shiv
Singh, R “Ray” Wang, Alan Webber, Jennifer Zeszut
– Alterian SM2, Biz360, Cymfony, Lithium, Omniture, Radian6, Scout Labs, Social
Radar StatsIT, SWIX, Trackur, Trendrr, LugIron, Visible Technologies, Webtrends

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The conversation has shifted off
domain
Source: Pew Resource Center’s Internet and American Life Project , October 8, 2009

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Facebook is the second biggest site in
US
Source: : Compete.com , January 2010

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50 million tweets a day on Twitter
Source: Twitter, February 22, 2010

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companies are confused
Source: http://www.engagementdb.com

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The Big Social Experiment
• Many companies are stumbling blindly into
social media marketing without a
measurement strategy
in place
9

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The Numbers are Telling…
• “While 2009 may have been a “trial” run for many
brands and social media, in 2010, CMOs expect
social initiatives to directly impact their bottom
lines, without exception.”
• “CMOs reported that 64% of them would increase
their social media budgets within the next year.”
• In 2009, 89% of CMOs tracked social media's impact
by using standard metrics such as site traffic,
pageviews, and number of fans.
Source: BazaarVoice “CMOs Plan for Higher Social Media Measurability in 2010”
December 8, 2009

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...Still Marketers are Perplexed
• Social media vendors and platforms are
proliferating at an astounding rate
• Solutions exist for every channel
• A multitude of choice creates confusion

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The Big Payoff is Elusive

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The Marketing Funnel

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• The vast majority of businesses tracking
social media today are using the wrong
metrics!
• It’s time for a new Social Media
Measurement standard.

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Introducing...
• Social Marketing Analytics is the discipline
that helps companies measure, assess and
explain the performance of social media
initiatives in the context of specific
business objectives.

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The Discipline Includes a Framework

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Begin with an Inside-Out Strategy

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The SMA Strategy In Practice
Corporate Goals
Business Objectives
Measures of Success
Operational Tactics

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The SMA Strategy: Goals
•Corporate Goals = Vision
•Understand, embrace & support
•Socialize goals widely
•Leverage motivating factors

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The SMA Strategy: Objectives
•Business Objectives = Strategy
•Foster Dialog
•Promote Advocacy
•Facilitate Support
•Spur Innovation

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The SMA Strategy: Measures
•Measures of Success = Management
•Key Performance Indicators…
•Provide context
•Set expectations
•Mandate actions

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The SMA Strategy: Tactics
•Operational Tactics = Execution
•Specific campaigns
•Channel preferences
•Closed loop feedback

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Use a Measurement Framework

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Marketers Need A Framework
• A pragmatic approach using metrics derived
from sound business objectives
• Minimizes confusion about the value of
social marketing efforts
• And delivers tangible results

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The Framework Begins with Goals

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...From Goals Stem Objectives

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...Then Measures of Success

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And Finally Execution

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A Social Marketing Example...
•Goal
•Objective
•Measures
•Tactics
Driving Consideration

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DIALOG Trumps Sponsorship

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Dialog Requires…
• Building awareness by initiating the conversation
• Engaging with individuals to determine their
response to ideas, thoughts, products and activities
generated by the organization
• Responding to individuals on behalf of the brand
through genuine interactions

34. Foster
Dialog
Conversa-
tion Reach
Audience
Engage-
ment
Share of
Voice
Strategy
M
anagem
ent
Execution
Granular Metrics

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Dialog KPIs in action
• Share of Voice:
• Audience Engagement:
• Conversation Reach:

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If I Were At Nike...
Share of
Voice
Conversation
Reach
Audience
Engagement

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Advocacy in a Social World

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Advocacy Requires…
• Encouraging word of mouth activity by
promoting and endorsing conversations
shared by individuals
• Developing relationships with individuals
who have an affinity towards the brand
• Nurturing existing relationships with
customers as a proven method of
building advocacy within an
easily identified segment
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39. Promote
Advocacy
Advocacy
Impact
Advocate
Influence
Active
Advocates
GranularMetrics
Strategy
M
anagem
ent
Execution

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Advocacy KPIs in action
• Active Advocates:
• Advocate Influence:
• Advocacy Impact:

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If I Were At The National Breast Cancer
Awareness Foundation...
Active
Advocates
Advocacy
Impact
Advocate
Influence

42. Support Goes Social

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Support Requires…
• Resolving service issues through social
media channels via direct company response
and crowd-sourcing alternatives
• Expediting issue resolution with quality and
integrity
• Elevate satisfaction through flexible support
options

44. Facilitate
Support
Resolution
Time
Satisfaction
Score
Resolution
Rate
Granular Metrics
Strategy
M
anagem
ent
Execution

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Support kpis in action
• Social Media Issue Resolution Rate:
• Resolution Time:
• Customer Satisfaction Score:

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If I Were At Best Buy...
Issue
Resolution
Rate
Satisfaction
Score
Resolution
Time

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Crowdsourcing innovation

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Innovation Requires…
• Gathering customer insights via social media
channels with a clear mission of identifying
market needs and service opportunities
• Processing ideas and community feedback as a
means to drive products and services requires
receptive product managers
• Delivering new products and services to the
market with credit and acknowledgement to
customers

49. Spur
Innovation
Topic
Trends
Sentiment
Ratio
Idea Impact StrategyM
anagem
ent
Execution
GranularMetrics

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innovation kpis in action
• Topic Trends:
• Sentiment Ratio:
• Idea Impact:

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If I Were At Dell...
Topic
Trends
Idea ImpactSentiment
Rate

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The Framework Is a Process

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What about the Vendors???

54. Business Objective Key Performance Indicator Vendors to Watch
Foster Dialog
Share of Voice
Alterian SM2, Radian6, Scout Labs, Statsit, Trendrr,
Visible Technologies
Audience Engagement
Coremetrics, Webtrends, Radian6, Scout Labs,
Converseon, Filtrbox (Jive), Visible Technologies
Conversation Reach
Alterian SM2, Radian6, Scout Labs, Social Radar,
Statsit, SWIX, Trendrr, Visible Technologies
Promote Advocacy
Active Advocates Biz360, Filtrbox (Jive), Radian6
Advocate Influence
Cymfony, Filtrbox (Jive), Radian6, Razorfish (SIM
Score), Telligent, Twitalyzer, Visible Technologies
Advocacy Impact
Coremetrics, Omniture, Webtrends, SWIX, Telligent
Facilitate Support
Resolution Rate
Filtrbox (Jive), RightNow Technologies,
Salesforce.com, Telligent
Resolution Time
Filtrbox (Jive), RightNow Technologies,
Salesforce.com, Telligent
Satisfaction Score
ForeSee Results, iPerceptions, Kampyle, OpinionLab
Spur Innovation
Topic Trends
Alterian SM2, Cymfony, Filtrbox (Jive), Radian6, Scout
Labs, Social Mention, Social Radar, Trendrr, Visible
Technologies
Sentiment Ratio
Alterian SM2, Converseon, Cymfony, Filtrbox (Jive),
Radian6, Scout Labs, Social Radar, Trendrr, Visible
Technologies
Idea Impact
Biz360, Cymfony, Filtrbox (Jive), LugIron, Radian6,
Scout Labs, Visible Technologies

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Vendors Are A Mandatory Component
• The perfect social media measurement vendor
does not exist
• Existing vendors shine at listening, sentiment and
trending conversations
• Technologies can facilitate data
collection in diverse social media,
but there are no silver bullets
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What about the Channels???

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Specific Channels Are Secondary to
Strategy
• Find your audience, wherever they may be
• Recognize influence above the noise
• Promote advocacy and leverage your people

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A New Social Media Measurement
Playbook is Mandatory
• Measure based on specific business objectives
• Use Key Performance Indicators to Become a
Measurement Hero
• Adopt the Social
Marketing Analytics
Framework and
make it your own
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Your Prescription For Measurement
1. Follow the process:
Vision>Objectives>Measurement>Tactics
2. Know that not all channels are equal
3. Define requirements first; then select vendors
4. Develop your social media measurement
playbook
5. Make our measurement framework your own

60. DON’T BE THIS
GUY, OKAY?
DON’T BE THIS
GUY, OKAY?

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Want to Learn More?

63. Questions?