Tracking What Matters: Best Practices and Common Pitfalls in Social Media Measurement
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The document discusses best practices and challenges for media and entertainment companies in utilizing social media data for business intelligence. It highlights the importance of developing effective key performance indicators (KPIs) to turn complex social data into actionable insights, while identifying common pitfalls in measurement practices. The paper emphasizes the need for a holistic approach to social data measurement to connect business outcomes with social media metrics.
Tracking What Matters: Best Practices and Common Pitfalls in Social Media Measurement
- 1. Tracking What Matters: Best Practices and Common Pitfalls in Social Media Measurement Media and entertainment companies must challenge conventional wisdom to effectively turn social data into meaningful business intelligence that is engrained in and implemented into their operational processes. Executive Summary The ever-changing social media landscape offers a wealth of minable consumer data, including user demographics, affinities and activities. While there is great opportunity to turn these data points into business intelligence, the complexity of social data focused on entertainment properties poses a challenge for media and entertainment (M&E) companies. The primary challenge is the lack of standard key performance indicators (KPIs) that can be applied effectively to the entirety of social data. However, by embracing best practices and common pitfalls in social media measurement, organizations in media and entertainment — and beyond — can create relevant and meaningful KPIs from their social data to make more informed business decisions. Most organizations are well aware of the business potential of social data and the immense market opportunities it can bring to the table. However, current measurement programs are not optimized to effectively support decision- making. For instance, many organizations focus on metrics such as volume of followers and fans; however, these measures do not always align with bottom-line program objectives or provide actionable insights. According to a survey by Altimeter Group, only 34% of respondents feel capable of associating social metrics with business outcomes.1 For the majority, the next step is to realize the vision of turning social data into meaningful business intel- ligence that is engrained in and implemented into their business processes. Not surprisingly, M&E companies face particular complexities when trying to make sense of social media analytics. As with any measure- ment program, KPIs and relevant metrics for M&E companies are unique to the objectives of each line of business, function and program. Even though there can be a high volume of social chatter about certain M&E brands on social networks, it can be difficult to establish metrics for the data and analyze its impact on a particular property. For example, the Season 4 premiere of Jersey Shore accounted for 62% of all online comments made about TV programming that day.2 If 70% • Cognizant 20-20 Insights cognizant 20-20 insights | august 2013
- 2. 2 of those comments were negative, should the users commenting be considered fans? The answer could be “yes” if the commenter were a regular viewer who posted a negative comment about a specific character. Brands must be able to ask the right questions and delve more deeply into the conversations to uncover actual meaning and impact. This white paper examines a few commonly tracked and referenced categories of social measurement and provides insight into best practices, common pitfalls and detailed examples of how this infor- mation can be transformed from mere data points and metrics into true indicators of performance. Gauging Sentiment Sentiment analysis is the practice of under- standing consumer attitudes toward any brand or product. Numerous tools and methods are now available to capture the sentiment of social conversation around a property or brand. Early sentiment analysis tools were based on text analytics technology, using keywords associated with specific emotions. While older versions of this technology were considered unreliable, some experts now believe systems using this method are capable of reaching up to a 70% accuracy rate.2 Leading solutions in the market- place today leverage natural language processing and algorithmic science and can produce refined results. (For examples of these solutions, see our white paper, “Embracing the Power of Social Media for Broadcast Business Insight.”4 ) For further precision, vendors tap human analysts, who review the tool output to generate deeper insights. The Virtue of Real-time Insight When conducted properly, sentiment analysis allows M&E businesses to capture changes in the emotional response of the audience and even make performance predictions. Automated tools can provide consumer insights in real-time, par- ticularly when strong emotions are expressed, such as a tweet containing a profanity. In March, a team of researchers used social media sentiment to accurately predict which contestants of Fox’s X-Factor would be eliminated each week, as well as the winner at season’s end.5 It is not far-fetched to think such data could be used to forecast the success of future programs, such as sequels or recurring seasons of a television show. Common Pitfalls and Best Practices While businesses could uncover a goldmine of insights by monitoring and analyzing consumer sentiment, these insights can be undermined by common measurement mistakes. An example is the tendency to report on the percentage of unstructured conversations, such as the content of tweets and comments, and compare those that are positive and negative, while overlooking the quantitative metrics that measure negative feedback available through a social network’s analytics platform. On Facebook, for example, negative feedback includes actions such as hiding a post, reporting spam and “unliking” a page. It is important to monitor such feedback, because these actions are processed by Facebook’s algorithm and will negatively impact the number of people who ultimately view the page. Another important aspect of measuring negative feedback is investigating the actions and events that trigger them. Ignoring negative feedback perpetuates the inability of M&E companies to engage in consumer conversations. Important questions to ask include: • Who are the drivers of conversation (influenc- ers)? • What is the sentiment toward your brand, and what is driving it? • What are the demographics of those driving the conversation and those being reached? Finally, M&E organizations should measure con- versations that are being driven by participants whose demographics align with their target markets. Insight from sentiment analysis can often be misleading because it includes opinions formed by people who are not part of the movie or TV show’s target audience. Reach and Awareness Another category of social analytics measure- ment is reach and awareness, both of which measure brand exposure and recognition by the brand’s target audience. Social metrics used to measure reach, awareness and engagement vary by platform (e.g., Facebook fans, Twitter followers), and there is no standard for assigning specific metrics to each category. For example, a Twitter “mention,” in which a user tags a brand cognizant 20-20 insights Brands must be able to ask the right questions and delve more deeply into the conversations to uncover actual meaning and impact.
- 3. in his or her tweet, could be a measure of both awareness and engagement, depending on the specific definition that brands establish for their metrics. Converting Reach into Ratings A recent study by Nielsen identified a positive correlation between Twitter buzz about a TV show and TV ratings, further validating the Nielsen Twitter TV rating.6 This new measure will supplement the traditional TV rating based on viewership and will be an indicator of a program’s social popularity. Because of these developments, M&E companies should monitor and learn from the content and volume of social conversation (e.g., Twitter “mentions”), as well as proactively increase reach to improve ratings. Moreover, social data not only provides detailed demographic information about the reach of an organization’s activities, but it can also track the effectiveness of marketing and pro- motional activities, based on the volume of con- versations generated throughout the Web and social networks. Common Pitfalls and Best Practices Organizations can increase the effectiveness of theirmeasurementprogramsbyavoidingcommon pitfalls in measuring reach and awareness. For instance, a movie studio that seeks to calculate online social reach across marketing campaigns for multiple films should not simply add up the “reach” metric provided by Facebook or Twitter; doing so could lead to an inflated measurement, since a single fan following 10 films would be counted as 10 users reached. Such limitations in social data metrics must be taken into con- sideration when calculating metrics that inform business decisions. Furthermore, many M&E companies do not analyze existing talent networks that could help expand reach. Insights could be gained by exploring the interests (other “Facebook likes”) of Facebook fans and then incorporating these back into demographic targeting and marketing tactics. The concept of leveraging owned networks falls into the common social activity of identi- fying social influencers. Several social scoring standards are available, including vendor-owned algorithms that output a score based on a com- bination of metrics. Other scoring standards are unique to a specific platform, such as Fanpage Karma for Facebook, while some measure multiple networks, such as Klout. Brands can use these scoring mechanisms to better understand their reach or influence relative to the competi- tion, as well as the influence of their followers. Identifying top influencers and converting them into engaged fans or brand advocates empowers word-of-mouth and broadens the reach of a brand’s message. Raising Engagement Social media has become a mainstream channel through which brands can build consumer rela- tionships. These relationships, which are critical to brand loyalty and sales, can be initiated and maintained over time through the building blocks of consumer engagement. In the M&E indus- try, engagement is unique- ly available and enabled through the explosion of “social TV” (the technologies that enable social interaction when programs are being viewed) and the “second screen” phenomenon, which is the use of multiple devices when consuming media, such as tweeting on a smartphone while viewing a TV show. Loyalty Breeds Revenue A Nielsen study recently discovered that an 8.5% increase in TV-related tweets correlated with a 1% increase in TV ratings among 18- to 34-year-olds.7 Highly engaging TV programs can lead to increased viewership, as “influencers” encourage others in their social networks to tune in by sharing thoughts, opinions and activities while watching a TV show. Social engagement can also strengthen brand loyalty and advocacy. By connecting with the audience during the broadcast — for instance, by posting Instagram photos or featuring audience votes through Twitter — broadcasters can build a loyal base of returning viewers. Engagement — and the loyalty it builds — can help drive revenue through ad sales, e-commerce and offline sales. Because of this, an accurate analysis of a TV program’s social engagement is necessary for assessing and refining the social strategy. While most M&E companies likely have a social presence, many social programs are currently not optimized for further engagement. To get to this point, a solid strategy must be established. 3cognizant 20-20 insights Identifying top influencers and converting them into engaged fans or brand advocates empowers word-of-mouth and broadens the reach of a brand’s message.
- 4. cognizant 20-20 insights 4 Common Pitfalls and Best Practices Metrics used to gauge the level of social media engagement vary by platform and the brand’s chosen activities. Examples of engagement metrics include the number of times brand content is shared by users (e.g., Twitter “re-tweets”), consumer replies (e.g., Facebook comments), mentions or tags (e.g., GetGlue “check-ins”), video views and other user responses. While many brands already track various engagement metrics, too often these activities are measured in isolation. When a brand analyzes tweets about a movie, show or talent, it can gain more actionable insights by analyzing social engagement in the context of various parameters, such as time, demographics, competitors, similar properties and level of marketing effort. For example, rather than reporting only on the fact that a movie has 100,000 fans, the organization should also reveal how this number has changed over time, analyze causes for dips or spikes, and provide insight that could inform current or future decisions. It is also important to track engagement against level of effort across various social platforms. The relevancy of content depends on the content itself and also on the audience. Because users on different platforms behave in different ways, either due to demographics or platform function- ality, a marketing team may experience lower return for its level of effort on specific platforms. For example, instead of reporting only on the number of Twitter re-tweets or Facebook shares, the organization should evaluate re-tweets as a percentage of the number of original tweets, and shares as a percentage of the number of Facebook posts over a period of time. These numbers would provide a measurement on return per platform. Further investigation could help reveal the optimal channels for engaging consumers. Looking Ahead In TV, ratings today no longer tell the whole story, nor does the raw volume of data. When looking at social media data, it is important to place shows in context, such as similar titles, competitors or programming time. Measuring in context also means looking across distribution windows and channels. Siloed M&E organizations face inherent measurement challenges when attempting to implement an effective social strategy. Only by taking a holistic approach to measurement can they begin to leverage and apply insights gleaned from social data. We believe M&E organizations must undertake three critical steps to effectively turn social data into meaningful KPIs (see Figure 1). • Align social measurements with an articulate business strategy and outcome. • Do not measure in a vacuum. >> Source, track and compare social data with relevant examples to build and maintain con- text and meaning. • Treat social data as you would any more mature data point. >> Develop data governance, maintenance and storage plans for social data. Opportunities exist for connecting the vast amount of social data with business outcomes. Making this connection requires social media data to be treated as a mature data set, includ- ing tracking and storing the data and analyz- ing it in context. Such change will require that leaders break with the status quo and guide their organizations into the forefront of social media measurement. Taking Social Measurement to the Next Level 1 2 3 or without context.strategy. mature data point. Align your social measurements with a Don’t measure in a vacuum Treat social data like a Develop data governance, maintenance and storage plans. Track, store and source comparative, competitive and complementary social data. Figure 1
- 5. About Cognizant Cognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business process out- sourcing services, dedicated to helping the world’s leading companies build stronger businesses. Headquartered in Teaneck, New Jersey (U.S.), Cognizant combines a passion for client satisfaction, technology innovation, deep industry and business process expertise, and a global, collaborative workforce that embodies the future of work. With over 50 delivery centers worldwide and approximately 164,300 employees as of June 30, 2013, Cognizant is a member of the NASDAQ-100, the S&P 500, the Forbes Global 2000, and the Fortune 500 and is ranked among the top performing and fastest growing companies in the world. Visit us online at www.cognizant.com or follow us on Twitter: Cognizant. World Headquarters 500 Frank W. Burr Blvd. Teaneck, NJ 07666 USA Phone: +1 201 801 0233 Fax: +1 201 801 0243 Toll Free: +1 888 937 3277 Email: inquiry@cognizant.com European Headquarters 1 Kingdom Street Paddington Central London W2 6BD Phone: +44 (0) 20 7297 7600 Fax: +44 (0) 20 7121 0102 Email: infouk@cognizant.com India Operations Headquarters #5/535, Old Mahabalipuram Road Okkiyam Pettai, Thoraipakkam Chennai, 600 096 India Phone: +91 (0) 44 4209 6000 Fax: +91 (0) 44 4209 6060 Email: inquiryindia@cognizant.com © Copyright 2013, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the express written permission from Cognizant. The information contained herein is subject to change without notice. All other trademarks mentioned herein are the property of their respective owners. About the Authors Bret Alexander is a Manager in Cognizant Business Consulting’s Information, Media & Entertainment Practice. As a member of the Domain Process Subpractice within CBC’s Media and Entertainment Practice, Bret leads an internal initiative developing intelligence, consulting offerings and competencies in social CRM and analytics. Bret graduated from the University of Southern California with degrees in business administration and the music industry. He can be reached at Bret.Alexander@cognizant.com. J.P. Benedict is a Senior Consultant in Cognizant Business Consulting’s Information, Media and Entertain- ment Practice. He has worked in IT business process consulting since 2009 and specializes in social media analytics, digital security and digital asset management. J.P. has an M.B.A. from the University of Arizona. He can be reached at James.Benedict@cognizant.com. Mary Ermitanio is a Consultant within Cognizant Business Consulting’s Information, Media and Entertain- ment Practice. She has experience in Web, mobile applications, social and general data analytics. Mary has provided social analytics services to support the marketing and direct-to-consumer initiatives of clients in the entertainment industry. She can be reached at Marygrace.Ermitanio@cognizant.com. Footnotes 1 Charlene Li and Brian Solis, “The Evolution of Social Business: Six Stages of Social Business Transfor- mation,” Altimeter Group, March 6, 2013, http://www.altimetergroup.com/research/reports/evolution- social-business. 2 George Szalai, “’Jersey Shore’ Season Premiere Draws Record Social Media Crowd,” The Hollywood Reporter, Aug. 5, 2011, http://www.hollywoodreporter.com/news/jersey-shore-season-premier- draws-219862. 3 John Burn Murdoch, “Social Media Analytics: Are We Nearly There Yet?” The Guardian, June 10, 2013, http://www.guardian.co.uk/news/datablog/2013/jun/10/social-media-analytics-sentiment-analysis. 4 “Embracing the Power of Social Media for Broadcast Business Insight,” Cognizant Technology Solutions, April 2013, http://www.cognizant.com/InsightsWhitepapers/Embracing-the-Power-of-Social-Media-for- Broadcast-Business-Insight.pdf. 5 Stephanie Busari and Monique Rivalland, “The Woman Using Social Media to Predict the Future,” CNN Tech, April 11, 2013, http://www.cnn.com/2013/03/26/tech/noreena-hertz-social-media. 6 Jolie O’Dell, “Nielsen Confirms Twitter Buzz Aligns to TV Ratings,” Venture Beat, March 21, 2013, http://venturebeat.com/2013/03/21/twitter-tv-nielsen/. 7 Mary Lisbeth D’Amico, “IWNY: Nielsen Study to Show How Tweets Boost Ratings,” ClickZ, May 22, 2013, http://www.clickz.com/clickz/news/2269892/iwny-nielsen-study-to-show-how-tweets-boost-tv-ratings.