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WOMI Case Study Macy’s Holiday Campaign Thursday, May 21, 2009

People Powered Advertising Word Of Mouth At Scale

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This is the presentation by SocialMedia.com's VP of Marketing Gedioen Aloula on our People Powered Friend To Friend campaign for Macy's department store.It was given at our May 2009 Social Media Boot Camp in New York.

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Page 1: People Powered Advertising  Word Of Mouth At Scale

WOMICaseStudyMacy’sHolidayCampaign

Thursday, May 21, 2009

Page 2: People Powered Advertising  Word Of Mouth At Scale

People I know

People I respect

People with shared interests

No Social component

OnlineRela:onshipPyramid

Thursday, May 21, 2009

Page 3: People Powered Advertising  Word Of Mouth At Scale

PeopleIKnow

Thursday, May 21, 2009

Page 4: People Powered Advertising  Word Of Mouth At Scale

PeopleIrespect

Thursday, May 21, 2009

Page 5: People Powered Advertising  Word Of Mouth At Scale

PeoplewithSharedInterests

Thursday, May 21, 2009

Page 6: People Powered Advertising  Word Of Mouth At Scale

What’saWOMI(TM)?

•WOMIcampaignsspreadposi:vemessagesaboutabrandbetweenfriends.

•2stepprocess:

1. Opt‐in:getconsumerstoexpresstheiropinionaboutabrand

2. WOMI:sharethedesirableresultswiththeperson’sfriends.

•Messagesaredeliveredwithinstandardadunits.

WOMI: Word Of Mouth Impression

Thursday, May 21, 2009

Page 7: People Powered Advertising  Word Of Mouth At Scale

WOMIexamplesOpt‐in:

WOMI:

Thursday, May 21, 2009

Page 8: People Powered Advertising  Word Of Mouth At Scale

Macy’sHolidayExample

•Macy’sholidaycampaignencouragedconsumersto“BeClaus”andasked“whattypeofSantaareyou?”

Thursday, May 21, 2009

Page 9: People Powered Advertising  Word Of Mouth At Scale

Macysbelieve.com

Thursday, May 21, 2009

Page 10: People Powered Advertising  Word Of Mouth At Scale

Macy’sWOMIOpt‐in:Monaisaskedaques:on

WOMI:Mona’sresponseissharedonlywithherfriends

WOMI2:CampaigngoesviralasMona’sfriendsrespondtotheoriginalWOMI

•WOMIpromotedtheMacy’s‘becomingclaus’messageamongstfriends

Thursday, May 21, 2009

Page 11: People Powered Advertising  Word Of Mouth At Scale

WOMICampaignResults

•2Monthcampaign

•5millionWordOfMouthImpressionsdeliveredbetweenfriendsonFB

•Strongclickthroughrates:engagingcontent+friendendorsement

Thursday, May 21, 2009

Page 12: People Powered Advertising  Word Of Mouth At Scale

What’sthepoint?

•Friendsinfluenceeachother

•Onsocialnetworks,peoplecaremoreabouttheirfriendsthancontent

•Webelievemessagesfromfriendsaremorerelevant,morebelievableandlesslikelytobeignoredthanmessagesdirectlyfromabrand.

Thursday, May 21, 2009

Page 13: People Powered Advertising  Word Of Mouth At Scale

Realresults

•Wedon’tbelieveinchasingclicks

•Rela:onshipsdeliverinfluence

•Objec:veistohaveconsumersthinkmorefavorablyaboutyourbrandandbecomemorelikelytopurchase

Thursday, May 21, 2009

Page 14: People Powered Advertising  Word Of Mouth At Scale

Goal:capturethefunnel

Brand Awareness

Message Association

Brand Favorability

Purchase Intent

1.

2.

3.

4.

Thursday, May 21, 2009

Page 15: People Powered Advertising  Word Of Mouth At Scale

A]tudinalresearch•PartneredwithDynamicLogictoconductquan:ta:veresearchon3monthCPGcampaign

•Focusedonfourkeymeasures:

1.TopofMindawareness

2.OnlineAdawareness

3.Favorability

4.Purchaseintent

Thursday, May 21, 2009

Page 16: People Powered Advertising  Word Of Mouth At Scale

Overallresults• Strongincreasesinallfourkeymeasures:

• goalwastoincreaseunaided(top‐of‐mind)awareness,Adawareness,FavorabilityandPurchaseintent

• aidedawarenesswasalreadyhighforthebrand(95%amongcontrol),

Overall Respondents: Brand Metrics

Control Exposed (n=201) (n=300)

Thursday, May 21, 2009

Page 17: People Powered Advertising  Word Of Mouth At Scale

WOMIvs.DigitalNorms

Percentile Ranking of Delta (!)

Aided Brand Awareness

Online Ad Awareness

Brand Favorability

Purchase Intent

AdIndex Score: Normative Benchmarking of Brand Metric Deltas*

* MarketNorms Q3/08 (Category: Personal Care, Baseline Adjusted, N=188 campaigns)

Below Average Average Above Average Excellent

• Top20%ofdigitalcampaignswithincategory

Thursday, May 21, 2009

Page 18: People Powered Advertising  Word Of Mouth At Scale

WOMIBump

Thursday, May 21, 2009

Page 19: People Powered Advertising  Word Of Mouth At Scale

WOMIvs.socialmedia•RatedbyDynamicLogictobeintop20%ofallsocialmediacampaignswithin

category

Aided Brand Awareness

Online Ad Awareness

Brand Favorability

Purchase Intent

Aided Awareness results not surprising given Aided Awareness was almost maxed out (95%)

Below Average Average Above Average Excellent

Thursday, May 21, 2009

Page 20: People Powered Advertising  Word Of Mouth At Scale

ArefriendtofriendWOMIsagimmick?

Control Exposed (n=74) (n=300)

No:•Moreexposuremeantsignificantlyimprovedperformance‐‐eveninbrandfavorability:nowearout•Bestresultsacrosseverymeasureforconsumerswhosawatleast4WOMIs

Thursday, May 21, 2009

Page 21: People Powered Advertising  Word Of Mouth At Scale

ArefriendtofriendWOMIsagimmick?

MoreWOMI=improvedresultsforbrand.•1impressionperweekforcampaigndura:onwasbreakthroughlevel

Frequency of Exposure: Brand Metrics

Metrics Ctrl

(%)

1 2-3 4+

Exp

(%) !

Exp

(%) !

Exp

(%) !

Unaided Brand

Awareness: First Mention 9 10 +0.4 14 +5.0 23 +13.9*

Unaided Brand

Awareness: Any Mention 15 19 +4.2 16 +0.8 26 +10.9*

Aided Brand Awareness 95 92 -2.6 91 -4.0 99 +4.0

Online Ad Awareness 36 56 +19.6* 48 +12.5* 58 +22.2*

Brand Favorability 60 62 +1.7 56 -3.9 72 +11.5*

Purchase Intent 45 44 -0.5 50 +5.0 58 +13.1*

Sample Size 300 63 64 74

Thursday, May 21, 2009

Page 22: People Powered Advertising  Word Of Mouth At Scale

CampaignResults

•Millionsofuniqueconversa:ons

•10M+impressionsservedacross3monthcampaign

•BasedonDLstudyresultsandhistoricalbrandclosurerates:

•60K+addi:onalpurchasesper1Muniqueconsumerswithin1year

•ROIes:mateabove$1.40

•Deeplearningaboutconsumersen:ment

Thursday, May 21, 2009