MUMBAI: Marketers are using social media to build their brands and connect with their audience more directly.
Even as US consumers spend more time than ever using social media, as is demonstrated in the Social Media Report recently published by Nielsen and NM Incite, consumer insights are being developed and utilised by marketers.
Social media is playing an important role in how consumers discover, research, and share information about brands and products. In fact, 60 per cent of consumers researching products through multiple online sources learnt about a specific brand or retailer through social networking sites. Active social media users are more likely to read product reviews online, and three out of five create their own reviews of products and services. Women are more likely than men to tell others about products that they like (81 per cent of females versus 72 per cent of males). Overall, consumer-generated reviews and product ratings are the most preferred sources of product information among social media users.
Preferred sources of brand information: Research shows that social media is increasingly a platform consumers use to express their loyalty to their favourite brands and products, and many seek to reap benefits from brands for helping promote their products. Among those who share their brand experiences through social media, at least 41 per cent say they do so to receive discounts. When researching products, social media users are likely to trust the recommendations of their friends and family most, and results from Nielsen’s Global Online Survey indicate that two out of three respondents said they were either highly or somewhat influenced by advertising with a social context.
Social Media also plays a key role in protecting brands: 58 per cent of social media users say they write product reviews to protect others from bad experiences, and nearly 1 in 4 say they share their negative experiences to “punish companies”. Many customers also use social media to engage with brands on a customer service level, with 42 per cent of 18- to 34-year-olds acknowledging that they expect customer support within 12 hours of a complaint.
Why consumers share their company experiences: On the flip side, another interesting trend is the interest of consumers to act as ambassadors and advocates for brands through social media. A majority of active social networkers (53 per cent) follow brands. These brands are increasingly recruiting their fans and followers to spread word-of-mouth recommendations about their products and services, and among consumers who write product reviews online, a majority say their share their experiences to “give recognition for a job well done” by the company. Social media users are also interested in collaborating with their favourite brands, with 60 per cent of 18- to 34-year-olds saying they want to give product improvement recommendations, and another 64 per cent who want to customise their products.
That statement could well be the start of a whole new wave of media jostling for space with the big daddies of traditional media. It was really the success of YouTube that set the ball rolling for ‘user generated content’. Supported by the millions of video clips put up on the site daily and with mind boggling traffic, YouTube has gained a mythological community-driven status today.
The single most important question: is all the content out there purely put out by users for gratification, a shot of fame or to display talent or will we be able to generate revenue out of this content and distribute it equitably between you – the content generator – and the distributor. Monetization of UGC will be an important key in aiding both growth and quality of the content. (Would you pay to watch a cat play piano? Would the cat owner get a share of the money you pay? No! the cat gets nothing.)
This is the premise that music channels like Channel [V] and VH1 have used to create music programming and a music video respectively. Channel [V] had an enthusiastic bunch of bloggers who got together to shoot the Big [V] concert which was later telecast as a series. Says Channel [V] head Amar K Deb, “‘Made by you’, the blogumentary that spawned a series of music shows was a first of its kind experiment. But it fit in perfectly with Brand ‘V’. People want to participate in our shows, be a part of the process. By definition, television is perceived to be a passive medium but with UGC it takes on a more interactive format. Whether it’s our promos or music programming, our viewers want to contribute.”
While the response to the Nokia and VH1 partnered Shot by Youinitiative was impressive, the quality of video clips or pictures sent weren’t always up to the mark bringing into question the quality of user generated content meant for traditional media.
Web 2.0 is a social experiment and like any other experiment it could fail. But it’s an experiment that has allowed scores of anonymous faces, voices and all kinds of talent to crop up and have their moment in the sun. By extension that also means that a lot of content out there is downright nonsensical. The pay per click or pay per download model would perhaps ensure that a lot of this material is either filtered or relegated to the ‘back pages’.