Reconnect with our consumer (by Thomas Troch)

Senior Research Innovator 2011-current
InSites Consulting

Research Consultant 2010-2011
InSites Consulting

Master in Product Development 2005-2010
Artesis University College of Antwerp

thomas@insites-consulting.com

@thomastroch

>2,000 facts and figures about social media in 19 countries

7,827 consumers (age 15+)
across 19 countries,
representative for the online
population within country on
gender, age and e-commerce.

@thomastroch

Setting the scene.

@thomastroch

3 types of strategic focus (Tracey & Wiersema)

Operational Product Customer
Excellence Leadership Intimacy

@thomastroch

3 types of strategic focus (Tracey & Wiersema)

Operational Product Customer
Excellence Leadership Intimacy
Provide customers with Provide customers with Provide customers with
good, standard products high quality innovative personalized products
at low cost products that exceed
expectations

@thomastroch

Consumers are at the heart of our organisations

@thomastroch

Identification of marketers with their target group

6% 5%

7% 8%

6% 64% 6% 73%

15% 19%

30% 35%

24% 17%

7% 5%

4% 4%

@thomastroch

We are different, yet we have a lot of confidence!

I know what consumers want 72% 70%

My own behavior helps me better understand 69% 69%
consumers' behavior

My gut feeling helps me understand consumers' 68% 67%
behavior

Because I spend a lot of time with consumers, I 66% 67%
understand them better

@thomastroch

Our customers.
Who are they?

@thomastroch

Let’s look at our customers…

@thomastroch

? ?
4 things to remember about the new customer

? ?
@thomastroch

Can you come up with a
crazy weekend activity?

@thomastroch

Consumers create content themselves…

@thomastroch

… and social networks stimulate this.

@thomastroch

Awareness of social network
sites is very high. Facebook is
close to 100%, Twitter reaches
80% awareness and Google+ is
known by 70%.

More than 7 out of 10 internet
users are member of at least 1
social network. This implies that
more than 1.5 billion people use
social network sites.

@thomastroch

The world is not waiting for the
next social network. In fact,
most people want to keep their
digital life as it is.
No need for something new and
no intention to quit.

On average, people only join 1 or 2
social networks.

The Twitter & Google+
paradoxes are living evidence for
this conclusion: both sites are very
well known, but their adoption is
still rather low.

@thomastroch

Consumers are willing to join „unique‟ new social networks

Awareness of new social networks like Instagram and Pinterest is picking up.
25% know Instagram, 24% are aware of Pinterest.

Further, users show a very high intention to use both sites more in the future.

@thomastroch

Consulting and sharing experience in the purchase process

PRE DURING POST

@thomastroch

53% of smartphone
users compare prices
during shopping via
their smartphone.

@thomastroch

57% 14%
A person from
A company
your contact
list

@thomastroch

Everyone is a critic/reviewer and the outcome may leverage your brand…

@thomastroch

... or damage your brand

@thomastroch

?
 Perfect information
 Consumer-generated
 Trustworthy
 Lightning fast
 Fuelled by social media

? ?
@thomastroch

empowered

?
? ?
@thomastroch

Cultures were never so close

@thomastroch

Stimulation junkies. On the go, but 100% connected.

@thomastroch

Boost in adoption
of smart phones:
51% of internet users
have a smartphone,
most have a data
subscription on it.

@thomastroch

On average, people install
22 apps on their
smartphone, 9 of which are
used at least weekly.
Social network apps are the
most popular ones.

@thomastroch

Segmentation? Maybe contextually. Maybe.

@thomastroch

empowered

 Globally in touch
 Hyperfast learning
 Raising bar of expectations
 Segmentation = difficult

? ?
@thomastroch

empowered cosmopolitan

? ?
@thomastroch

What‟s YOUR perfect
restaurant experience
like?

@thomastroch

8/10 consumers want
to help in co-creation
projects of companies
they like.
The only thing they ask in
return: give us feedback on
what you do with our
input.

@thomastroch

Market research communities
are highly appreciated by
consumers.
36% prefer to participate in a
branded research community.
These communities come second
after a Facebook community.
Consumers believe that their
feedback will have a high impact
in a research community. The
latter is their key motivation to
help brands.

@thomastroch

The customer is open to co-creation, but
many companies are not. The challenge is to
integrate the vision of the customer in every
organization, all the way to the boardroom.

@thomastroch

Consumers
are probably the
most effective
consultants your
company can hire.

@thomastroch

Higher purchase intention for products co-created by peers. (van Dijk, 2012)

@thomastroch


?
 Sharing feedback
 Walking in our shoes
 Concrete business outcomes

@thomastroch


smart co-creator

?
@thomastroch

The paradox of choice.

@thomastroch


smart co-creator

 Rational overload
 Emotional heuristics
 Herd behaviour
 Emotional sharing

@thomastroch


emotional smart co-creator

@thomastroch

It’s the
media,
stupid!

@thomastroch

What‟s the impact
on brands?

@thomastroch

Our customers.
How to reconnect?

@thomastroch

Conversation

Activation
POST

Brand

@thomastroch

STEP 1
Brand
leverage

@thomastroch

Branding – definition (American Marketing Association)
A name, term, design, symbol, or
any other feature that identifies
one seller's good or service as
distinct from those of other sellers.

@thomastroch

Brands are emotions

@thomastroch

Understanding the concept of BRAND IDENTIFICATION

Brand identity

My identity @thomastroch

Global R&D project in 15 countries
Houston
Partnership with
University
N=5.900

Brand
Conversations
Purchase brand

Brand
Brand Promote brand
Identification leverage
R²=.50 Brand is
close to ideal
Brand Perception

@thomastroch

TAKE IT FORWARD by creating brand experiences

@thomastroch

STEP 2
Activation

@thomastroch

Broadcasting the ad is just the
beginning, not the end!

Advertising is … the beginning of
a conversation.

@thomastroch

Nomination for product of the year. And lots of conversations.

@thomastroch

DANGER! Activation for
the sake of activation?

@thomastroch

Marketing manager
will be happy

Conversation Manager
will be sad

@thomastroch

STEP 3
Conversation

@thomastroch

“It brings you
answers to questions
you didn‟t ask”
Hans Schmeits
VP Global Marketing pharmaceutical company

@thomastroch

Consumers are
more positive than
you might think.
More than half of their
comments about
brands are positive.
Fewer than 10% are
negative.

@thomastroch

50% post information about products, brands
and/or companies on social networks.

Conversation Starters Product experience

Promotions

Contests

News

Advertising: decreases

@thomastroch

55% of social network users
are connected to brands.

10.6 7.0 5.0
is the average is the average is the average
number of brands number of number of
followed brands brands
followed followers
actively interact with

@thomastroch

Clear expectations from
consumers vis-à-vis brands:
1. Share product info
2. Do promotions
3. Give away free stuff
4. Bring news
5. Use us in co-creation projects

@thomastroch

Until now, we
only used the
first dimension
of social media

@thomastroch

First
dimension:
build reach

@thomastroch

Second
dimension:
collaboration

@thomastroch

High
By combining these

Structural collaboration
two dimensions,
brands can
optimize
the conversation Low High
potential
of their
consumers.
Each of these quadrants
has value in a
conversation strategy.

Low
Reach

@thomastroch

High
Consumer Broad, open

Structural collaboration
consulting collaboration
board

Low High
Conversations

Customer Content
experience
Low

Reach

@thomastroch

RESEARCH

carefully screened group of consumers
gathered around a common interest

@thomastroch

joining a closed online platform
longitudinal connection
managed by passionate moderators

RESEARCH


@thomastroch

joining a closed online platform
longitudinal connection
managed by passionate moderators
beliefs needs
perceptions
motivations
RESEARCH underlying emotions
aspirations


@thomastroch

It is so frustrating not to be
noticed by the bartender! I’m
clearly trying to get his attention,
however others are being served
before me.

@thomastroch

Reconnect with
customers.
What could be
the result?

@thomastroch

To wrap up…

@thomastroch

#1
No matter your
strategy, it‟s always
about the customer

@thomastroch

#2
There is a disconnect
between companies and
customers

@thomastroch

#3
Today‟s consumer
is empowered

@thomastroch

#4
Today‟s consumer
is a cosmopolitan

@thomastroch

#5
Today‟s consumer
is a smart co-creator

@thomastroch

#6
Today‟s consumer
is emotional

@thomastroch

#7
But in the end,
it‟s about people
talking to people

@thomastroch

#8
The brand is
your starting point

@thomastroch

#9
Advertising is
the start of a
conversation

@thomastroch

#10
Observe, facilitate &
join the conversation

@thomastroch

#11
And go into
listening mode

@thomastroch

#12
Because that helps you
connecting with your
customer again

@thomastroch

linkedin.com/in/thomastroch
@thomastroch
thomas@insites-consulting.com

www.insites-consulting.com

Reconnect with our consumer (by Thomas Troch)

Recommended

Recommended

More Related Content

Similar to Reconnect with our consumer (by Thomas Troch)

Similar to Reconnect with our consumer (by Thomas Troch) (20)

More from InSites on Stage

More from InSites on Stage (20)

Reconnect with our consumer (by Thomas Troch)