Stats, facts and future trends: March 2016

Stats, Facts & Future Trends April 1st, 2016

This month, we discover why social content is an iceberg, why jazz fans stay in nicer hotels, and which social media channel women wake up to.

Branded content sways purchase intent

Mobile consumers who view quality branded content are more likely to go on to buy from a brand than desktop users, according to a new study into the effectiveness of branded stories. The study, conducted by social network Mode Media along with Nielsen, found that purchase intent of those using a mobile device was 24% compared to 19% for desktop users. Other findings included:

  • On average, branded stories on were perceived as interesting (76%), exciting (70%) and natural (66%).
  • However, those same stories were considered by some to be excessive (34%) and forced (31%).
  • Overall, respondents indicated they were on average 21% more likely to purchase the brands to which they were exposed.
  • On average, 81% indicated that they enjoyed the content, 75% were likely to view additional sponsored stories, while 63% would share the content with others.

“The one-two combination for branded content success is to combine interesting, helpful and good ideas with gorgeous creative and credible delivery,” said Dan Lagani, Mode Media president and chief revenue officer. “This study proves that branded content is an elegant way for marketers to engage consumers authentically and at scale, while providing valuable insights to marketers seeking to roll out their own branded content campaigns.”

Read the full article here.

Social content is an ‘iceberg’

The overwhelming majority of social content created by brands is meant for an audience of one rather than a wider readership, a new study suggests. According to research from social software platform Spredfast, a relatively small amount of brand content on social media was directed towards a brand’s entire audience, making this the tip of a ‘social iceberg’. Other findings included:

  • Just 7% of brand content on Twitter was directed towards a brand’s entire audience.
  • 93% of content is made up of 1:1 communications that are responding to questions or addressing complaints.
  • These included Samsung (96% of its tweets were replies), Microsoft (96% of its tweets were to individuals) and Asda (whose 1:1 tweets made up 97% of all its 2015 Twitter content).
  • In 2015, the Institute of Customer Service reported an eight-fold increase between 2014 and 2015 in the use of social platforms to make a complaint.
  • However, two-thirds (64%) of customers described their interactions as “a good experience”, with just 14% suggesting their experience was less than positive.

“Not only did 1:1 conversations far outnumber 1:many conversations for 2015, the numbers rose steadily every quarter throughout the year,” noted Chris Kerns, VP/Research & Insights at Spreadfast: “These conversations can’t be planned; they have to be fast, helpful and executed at high volumes.”

Read the full article here.

Top campaigns feature social, video and PR

Many of the world’s top-awarded campaigns employ a strategy combining social media, online video and PR, with emotional marketing the most common creative approach overall, according to a new analysis of this year’s Warc 100.

The Warc 100 is an annual ranking of the world’s 100 best marketing campaigns, based on their performance in effectiveness and strategy competitions. For the new report, Warc compared the case studies ranked in the Warc 100 over the past three years to all of the other case studies it published in the equivalent time period, and found that:

  • The ranked campaigns often use digital-led models, with several top-ranked campaigns combine social, online video and PR.
    Low-budget strategies are becoming increasingly prominent.
  • Half of the Warc 100 campaigns used social media as a lead channel.
  • Campaigns that included online video, word of mouth and PR in their media choices were far more prominent on the Warc 100 than the rest of the year’s campaigns.

In an analysis of performance by region, Australia and New Zealand performed particularly strongly. The region accounted for more than 10% of Warc 100 cases, versus a global adspend share of 1.5%. A great example of this is Penny the Pirate, the top-ranked campaign in the 2016 Warc 100. This combined product development with a smart communications strategy to deliver standout business results.

Source: Warc

Read the full article here.

UK women wake up to Facebook

Many Brits start the day with social media, according to a report from Kantar, with 18.4% of UK internet users first checking their social media profile in bed when they wake up. The study also found that women are more likely to look at their social media accounts than men. Other findings include:

  • Mornings are the most popular time to check social media, up from just 9.9% in November 2014 to 18.4% in March 2016.
  • Almost a quarter of female internet users sign in to social first thing in the morning compared to 12.3% of males.
  • 86% of social network users will access their accounts via mobile phone in 2016.
  • In 2016, 47.6% of mobile phone social network users will be male, with the remaining 52.4% being female.

For all age groups, the most used mobile app is Facebook, with 84% of females aged 24-34 years old having the Facebook app installed, compared to 78% of men. After Facebook, the next most popular social media app was Instagram. However, there are significant variations by age and gender. For example, Pinterest is much more popular with young women aged 24-34 years old (36%) than young men (9%).

Sources: Kantar, eMarketer, Lightspeed GMI

Read the full article here.

What’s topping marketing managers’ 2016 wish list?

A new study has found that improving the marketing technology toolset is a top priority for managers in 2016. The December 2015 survey conducted by enterprise marketing firm Black Ink ROI found that:

  • 56% of senior and mid-level managers reported marketing technology as a key priority for 2016.
  • When considering the marketing technology tools most likely to be purchased this year, respondents said business intelligence, marketing automation and customer interaction were top areas of investment.
  • Six in 10 respondents mentioned business intelligence, while marketing automation and customer interaction were tied for second place, mentioned by 57% of respondents.

Sources: eMarketer, Black Ink ROI

Read the full article here.

Jazz scores with upmarket consumers

Upmarket brands would do well to consider jazz as a way of reaching their desired demographic, as research shows fans of the genre are more likely than other music listeners to shop at top-end stores and stay at luxury hotels. Nielsen’s Audience Insights Report also found that:

  • While jazz accounted for just 1.3% of total music consumption in 2015, jazz fans typically spent more on digital music than the average music fan, were digitally savvy and drawn to high-end brands and services.
  • Jazz music fans tend to be metropolitan and male, although a significant proportion (42%) is female.
  • Jazz fans have a “a taste for the good life”, as they travel more and are more likely than other music listeners to buy designer jeans and shop at upmarket department stores.

Not only does this group of music lovers offer an opportunity to upmarket brands, but there is, almost, a ready-made route to reaching them since they are more responsive than others to music-based activations: for example, 61% say free music downloads increases brand favourability.

“Digital music activations may be an effective way for brands to connect with a desirable audience of high-end consumers,” Nielsen concluded.

Read the full article here.

Mobile drives UK ad spend growth

Mobile ad spending in the UK is expected to rise 35% this year to £4.58 billion, accounting for 27% of UK total media ad spend. That’s a higher figure than eMarketer forecast last year and marks the first time that that mobile has overtaken TV ad spending in this country. Other findings of the report include:

  • TV spend will reach £4.18 billion this year, or 24.6% of total media ad spend.
  • Digital spend will continue to take the largest slice of the overall paid media market – in 2016 its forecast to hold a 53.1% share, which is expected to rise to 60% by 2020.
  • Mobile ad spending will also surpass desktop spend for the first time in 2016. While mobile had already exceeded desktop spend within display, in 2016 mobile search will also beat desktop search spending.
  • By 2020, desktop spend will be £3.17 billion, compared with mobile’s £8.99 billion.

“Ad spend tends to follow eyeballs,” said eMarketer analyst Bill Fisher, “and with mobile time accounting for an ever greater proportion of the average UK consumer’s media day, it’s little wonder that mobile ad spend has hit this milestone and is driving the digital total.”

Source: eMarketer

Read the full article here.

Marketers struggle with personalisation

New research suggests that the majority of marketers think that personalisation can boost customer engagement and improve brand perception, but rather fewer have risen to the challenge. The Drum surveyed 200 brand marketers to better understand how they are addressing this area and the extent of their ability to provide personalised experiences across a growing number of touchpoints, and found that:

  • 80% of respondents felt personalisation had a significant positive impact on brand perception and customer engagement, and 69% thought it very important to the customer experience.
  • 63% indicated they had made changes to their customer insights and analytics strategy over the past year in order to drive greater personalisation.
  • Only 40% were unifying data across channels to better enable personalisation, while many remained focused on more traditional digital channels such as email and website.

But the report said that, on the whole, many marketers were “on the right path towards personalisation” even if many were still at the early stages. It added that personalisation is fast becoming essential as consumers increasingly expect brands to contact them only at relevant times.

This is exemplified in the trend towards “moment marketing” as brands identify brief opportunities to put the right message in front of the right consumer using a combination of big data, programmatic buying and location-based targeting.

Sources: The Drum, Warc

Read the full article here.

Commissioned by The CMA
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