In our new series CMO Insights, we will be writing about the topics that matter most to CMOs. To kick things off, we are sharing excerpts from a blog post from Forrester Research analyst, Christoper Stutzman. In this post Christopher makes the point that the age of social media has changed the way brand health needs to be monitored and responded to.
This makes sense: consider the example of automotive industry – as cars become more digital, there’s more monitoring of its performance. There are multiple sensors spread throughout the car, sending data to the on-board computer which crunches data on continuous basis to optimize performance of your vehicle. In case of a crash that data could be sent out to a central data repository. Your brand is no different. In the digital age, brands needs monitoring on a continuous basis. But what metrics should you monitor and why? Read the excerpt below from the Forrester blog post to learn more.
Today, a brand’s health is strengthened or weakened by every interaction and exposure with a consumer, which requires a more vigilant approach to managing brand perception. To keep track of your always-on, anytime, anywhere, unfettered-public-opinion-sharing customers, CMOs must demand a new dashboard to augment classic brand metrics. There are four factors of digital influence that CMOs must consider monitoring:
- Volume. Brand perceptions are typically measured using representative samples of consumers. But why settle for a mere sample when more than 81% of US adults use social media to create at least 500-billion influence impressions on products and services?
- Velocity. Marketers usually perform brand-tracking studies once a year or quarterly. But that’s too infrequent to monitor the impact of real-time consumer opinion, as Kenneth Cole’s Twitter fiasco demonstrated — resulting in a 64% decline in brand equity scores in just three days.
- Visibility. Consumers are now empowered to voice their unfiltered opinions about a brand to the general public. Already, 25% of search results for the world’s 20 largest brands are linked to user-generated content.
- Volatility. Brand sentiment can be increasingly unpredictable in this digital age. Gap learned this the hard way with its new logo unveiling, which received such negative consumer response online that it returned to the old logo one week later.
One thing is clear: listening by itself is not enough. In addition to taking the pulse on a regular basis, what should a brand be doing?
Here are two of the recommendations form the blog post:
Sharpen The Brand’s Reflexes By Building Brand Responsiveness
Like a heart monitor, responsive brands manage the real-time performance of the brand’s health. This means CMOs must enable the organization to act quickly on new consumer and marketplace intelligence.
Boost The Brand’s Immune System By Building Brand Resilience
CMOs must prepare the organization to weather unpredictable twists and turns of public opinion to protect the long-term value of the brand. How much negative sentiment will cause damage to brand equity? When should the marketing team spring into action? It doesn’t have to be a guessing game.
How about you? Are you aware of how your brand equity changes on a day to day basis? At MutualMind we help monitor and build brand equity. Contact us to find out how.