Well-intentioned marketers are at risk of inadvertently
converting potential customers into ‘brand blockers’ as a result of
irritating online behaviour. This is the key finding of new global
research into the effectiveness of social media marketing
commissioned by Pitney Bowes Software, a global leader in customer
data, analytics, communication software and services.
Marketers and consumers failing to see
eye to eye on social media. (Photo: Business Wire)
The independent study, conducted by Vanson Bourne, compares
social media marketing trends among marketing directors with
consumer attitudes to marketing via social media across Australia,
France, Germany, the UK and the USA.
The survey reveals that when it comes to external
communications, nearly 70% of marketing directors are placing a
greater emphasis on social media now than ever before, claiming
that one-quarter of their marketing budgets will be allocated to
social media activity in 2013.
However, marketers' enthusiasm for using social media is not
matched by consumers’ views of social media marketing. Only a
quarter use social media to follow and keep up-to-date with certain
companies or brands (26%), while most are predominantly on social
media to keep in touch with friends and family (78%).
In this context, ‘followed’ brands fare relatively well. Nearly
half of social media users (48%) are positive towards receiving
their marketing messages. The reverse is true of communications
from companies people don’t follow, which 40% say they would be
annoyed to receive. What is more, consumers rate unsolicited
marketing (‘spam’) and pop-up advertisements as their worst
experiences of social media marketing.
Perhaps most worryingly, 65% of consumers surveyed say that they
would stop using a brand that upset or irritated them as a result
of their social media behaviour.
In contrast, recommendations from online friends hold more sway:
68% said that they investigated these or even made a purchase
(15%).
Companies out of touch
When it comes to interacting with brands, the research shows
consumers are most interested in discount or money-saving vouchers,
new products and services, and upcoming sales and events. Yet these
are bottom of the list for marketers, mentioned by fewer than one
in ten of those surveyed. Instead, marketing decision-makers highly
rate the effectiveness of newsletters, information about the
organisation’s social responsibility and customer satisfaction
surveys, all of which were least interesting to consumers.
While consumers and marketers were aligned in their emphasis on
Facebook as the most popular and trusted social media site, they
disagreed about the importance of other social media outlets.
Beyond Facebook, marketers devote most of their remaining spend on
Twitter (57%) and Google+ (51%). By contrast, consumers prefer
YouTube – rated only fifth by marketers – over Twitter and
Google+.
“This research is fascinating because it reveals a clear
disconnect between the effort marketers are putting into social
media and the desire among consumers to engage,” says Kieran
Kilmartin, Marketing Director, EMEA & India, Pitney Bowes
Software. "Even well-intentioned marketers that persist with
old-school 'broadcast' marketing models risk inadvertently turning
potential brand ambassadors off, or at worst, triggering them to
disengage completely and ultimately become a ‘brand blocker’."
Further UK statistics:
- UK companies will devote the highest
proportion of marketing spend on social media next year, allocating
close to half of marketing budgets (47%) to social media in
2013
- There are marked gaps in marketers’
ability to quantify the impact of their social media initiatives.
Two-thirds (66%) see their campaigns as effective but only
one-third (33%) are confident that they can establish a link
between social media spend and profitability. The UK is the most
confident market, with as many as 80% saying their campaigns are
effective and 62% claiming that they can establish an impact on
profitability.
- At 78%, the UK was among the most
confident regions surveyed in their view that consumers are
positive toward social media marketing, only exceeded by France
(92%).
- However, the UK also has the biggest
disconnect in terms of social media tactics: UK marketers have the
greatest confidence in customer satisfaction surveys (70%), matched
by the lowest consumer interest in such communications (10%)
globally.
- While globally, only one-third (33%)
overall are confident that they can establish a link between social
media spend and profitability, 62% in the UK say they are very well
informed of the impact social media activity has on
profitability.
To read the White Paper ‘Social media: contrasting the marketing
and consumer perspectives’ – download now: http://bit.ly/10fIiYn
– Ends –
About the study
In August and September 2012, Vanson Bourne conducted online
interviews with 300 senior marketing decision-makers working in
business-to-consumer organisations across five international
markets (UK, France, Germany, Australia, USA) and seven economic
sectors (Retail, Insurance, Retail Banking, Utilities, Telecoms,
FMCG and the Public Sector).
The questionnaire focused on their use of social media as a
marketing channel, including aspects such as marketing spend,
channels used, social media tactics used, measurement and
challenges associated with social media marketing.
At the same time, 3,000 adult consumers in the same regions, who
use either use or have previously used social media, were
interviewed online to explore corresponding areas of interest, such
as which social media they are using, what they are using them for,
along with their response to receiving marketing messages and
providing personal information.
About Pitney Bowes Software
Pitney Bowes Software (PBS) was formerly Pitney Bowes Business
Insight (PBBI).
Pitney Bowes Software provides multichannel solutions that
optimise data to create relevant dialogue between organisations and
their customers. These solutions enable lifetime customer
relationships by integrating data management, location
intelligence, sophisticated predictive analytics, rules-based
decision making and cross-channel customer interaction management
to increase the value of every customer communication while also
delivering operational efficiencies.
Pitney Bowes Software is a wholly-owned subsidiary of Pitney
Bowes Inc. (NYSE:PBI), a customer communications management
technology leader. For more information, please visit
www.pitneybowes.co.uk/software and www.pb.com/software.
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