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The Brand Engagement Index®
BEI®
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Prepared by: Dennis Claus, Director Brands & Conversations, InSites Consulting Isabelle Stevens, Research Manager, InSites Consulting
For: ENGAGE BBDO Stephan Smets T +32 2 4213035 | M +32 486 259279 Daniel Schots T +32 2 4213023 | M +32 475 485389 Michelle Stas T +32 2 4213014 | M +32 486 139140
October, 2010
The Brand Engagement Index®
BEI®
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Background
Management & research objectives
Methodology
Executive summary
Meaning of brands
Measuring Engagement
The four I’s
Media exposure
Category results
Report overview
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Background: Engagement marketing
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Engagement marketing
• Engagement marketing is a marketing strategy that directly engages consumers and invites and encourages them to participate in the evolution of a brand. Rather than looking at consumers as passive receivers of messages, engagement marketers believe that consumers should be actively involved in the production and co-creation of marketing programs.
• Engagement marketing is about being where your customers are, have a cross channel vision on sales & marketing, customer centricity, social marketing & creating valuable & authentic content & conversations
• Engagement marketing is build up and measured on it’s 4 parameters: the 4 I’s : involvement, interaction, intimacy and influence
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Management and research objectives
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Research objectives
• ENGAGE BBDO’s mission is to increase sales and reinforce brand positioning by creating Engagement between brands and their customers, and by activating them via emotional, unique and effective brand experiences. Consumers are involved and engaged as much as possible to really experience the brand and create an impact on brand awareness or specific sales.
• The outcome of this project will be threefold: • Master survey that measures Brand Engagement
• Model that shows the relationship between the four I’s, Brand Engagement and business KPI’s
• Ranking of 50 brands based on their Engagement performance
Validate the model that involvement, influence, intimacy and interaction are important and predictive dimensions that measure brand Engagement
Develop a research tool to measure Brand Engagement and the related I’s.
Rank 50 brands based on their Brand Engagement score amongst Belgian consumers.
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Methodology
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Methodological specifications
• Panel-based self-reported CAWI approach
• Invitation to fill out questionnaire via e-mail to members of online research panel corresponding to the profile requested
• Survey details
• Fieldwork: 6th August 2010 – 22nd August 2010
• Mean survey length: 17 minutes
• Incidence rate: 65%
• Sample composition
• General population (N respondents = 1.296, N brand evaluations = 5.465)
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Sample specifications
• Sample composition
• General population (N respondents = 1.296, N brand evaluations = 5.465)
Sample description (weighed) %
Gender Male Female
50% 50%
Language French Dutch
40% 60%
Age 18-24 yrs 25-34 yrs 35-45 yrs
M 6,5%
10,8% 12,6%
F 6,3%
10,6% 12,2%
Source: Eurostat 2008
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Executive summary
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• We have strong statistical confirmation that involvement, influence, intimacy and interaction are important and predictive dimensions that measure Brand Engagement.
• The Brand Engagement Index® (BEI®) integrates the scores on each of these four dimensions and can be maximum 100.
• There are very strong correlations between BEI and all business KPI’s.
• Media exposure drives Brand Engagement. Especially brand presence on social media and websites offer opportunities since Brand Engagement scores are higher for people who mention that they are exposed to brands on social media. The actual brand exposure rates through these channels are very low, which leads to the possibility to discover and exploit these new channels for interaction
• The highest Engagement scores overall can be allocated to brands in the telecom category, followed by brands in the cell phone and automotive category
• Some brands with high scores on the Brand Engagement Index:
Executive summary
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• People mainly associate the “brand” concept with products that have high value for money. Besides this, most people agree that brands need the input of their consumers, they have to involve their consumers. This is a strong argument to create and implement brand Engagement programmes, since the results indicate that people expect two way interactive communication between brands and their consumers.
• The main reasons why people feel engaged to a brand relate to the fact that people have built a relationship with the brand because brands are used because of tradition (family), which makes brand usage a habit and give people the feeling that they are very familiar with these brands.
• We do find significant higher Brand Engagement scores with people who are more exposed to advertising (both above and below the line), so there is a strong relationship between media presence and Brand Engagement.
• We can conclude that experience and familiarity are key drivers for Brand Engagement, but brand managers can leverage involvement, interaction, intimacy and influence to increase Brand Engagement ans improve their KPI scores.
Other learnings
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Meaning of brands
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Associations
94%
79%
74%
71%
63%
55%
51%
50%
48%
42%
39%
33%
27%
TOP 2
N =1296
People primarily associate the “brand” concept to value for money. People also expect brands to involve their consumers. Women find brands more attractive and men especially take into account the reliability and personal relevance of brands, that make them feel more confident.
Q:To what extent do you agree with the following statements?.
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Measuring Engagement
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The model Statistics and validation
This brand is present in places that I frequently visit This brand is very much present in my daily life This brand succeeds in reaching me as it is present at the right place and at the right moment α = 0.82
I feel involved with this brand I feel involved in the actions this brand undertakes This brand involves me in its communication efforts α = 0.88
This brand stimulates conversations about itself This brand stimulates interaction with its users by organizing things that fit to their consumer’s lifestyles By evoking buzz (campaigns, events, etc) this brand induces a dialogue between consumers α = 0.85
The buzz (because of campaigns, events, etc.) about this brand triggers me to recommend it to my peers I would recommend the brand to others because it puts a lot of efforts in its consumers I have recently spoken about this brand to someone The brand has triggered me to talk about it to others The brand allowed me to recommend it to others The brand has triggered me to join conversations about itself α = 0.92
α = cronbach’s alpha value = measurement of internal reliability of the scale, extent to what the items measure the same concept (α has to exceed 0.65)
N =5465 (brands evaluated)
Involvement
Influence
Intimacy
Interaction
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The model Statistics and validation
Involvement
Influence
Intimacy
Interaction
Brand Engagement
r² = 0,60
r² = 0,54
r² = 0,51
r² = 0,49
r² = 0,39
Brand Engagement can be explained for 60% by the four factors: involvement, influence, intimacy and interaction. Involvement is the best predictor of Engagement; followed by influence, intimacy and interaction. They all have a strong, significant positive relationship with Engagement. The remaining 40% can be explained by environmental factors (personal or context related), e.g. experience, habit, tradition... see slide 17)
To what extent do you feel engaged to this brand?
r² = explained variance
N =5465 (brands evaluated)
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The model Influence on KPI’s
Intimacy
Involvement
Interaction
Influence
Brand Engagement
Index
Likeability
Loyalty
Purchase intention
Consideration
Uniqueness
r² = 0,42
r = 0,65
r = 0,64
r = 0,63
r = 0,60
r = 0,55
r² = 0,41
r² = 0,39
r² = 0,36
r² = 0,31
The BEI (Brand Engagement Index) is a score on 100, consisting of the scores on the four dimensions of Engagement
There are very strong correlations between brand Engagement and all KPI’s. Brand Engagement can predict 31% to 42% of the KPI’s. Likeability and loyalty can be best predicted by Engagement, uniqueness is somewhat less predictable by Engagement towards the brand
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Media exposure
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Media exposure & brand engagement
= significantly higher (95% confidence level)
For all types of communication, people who had moderate or high exposure rates also have significantly higher engagement scores. So media exposure has a positive impact on brand engagement. We also notice that high exposure to brands on social media and also in interpersonal conversations leads to the highest engagement scores. This also accounts for exposure to websites, so we can conclude that online communication efforts pay lead to increased brand engagement. As exposure rates in these channels were very low, we can identify a large opportunity for brands to create and implement an online branding strategy, using social media and branded websites to increase awareness and engagement.
Q:On which of the following occoasions did you encounter the brands that are listed below?
BEI scores
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Category results
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Category results
BEI Category level Users Non users Total
57,5 46,4 55,1
Categories Users Non users Total
63,3 48,9 54,4
63,7 48,4 61,1
53,7 45,2 53,4
51,6 43,2 51,3
55,2 44,9 54,4
54,5 35,6 52,7
57,4 41,8 54,4
63,2 44,4 56,6
64,4 51,6 62,0
55,9 44,7 50,9 Higher than overall mean Lower than overall mean
Beste overall results for brand Engagement scores can be allocated to brands in the Telecom industry, followed by brands in the cell phone and automotive category
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The four I’s
Telecom Beers Cell
phones Cola’s Salty
snacks Financial
institutions Automotive Chocolate snacks Butters Energy
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NTIMACY
This brand is present in places that I frequently visit
This brand is very much present in my daily life
This brand succeeds in reaching me as it is present at the right place and at the right moment
Brands in the telecom category have the highest scores for intimacy (three statements)
TOP 2 % rather-totally agree
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NTERACTION
This brand stimulates conversations about itself
This brand stimulates interaction with its users by organizing things that fit to their consumer’s lifestyles
By evoking buzz (campaigns, events, etc) this brand induces a dialogue between consumers
TOP 2 % rather-totally agree
People rate brands in the cell phone and telecom category as most interactive.
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NVOLVEMENT
I feel involved with this brand
I feel involved in the actions this brand undertakes
This brand involves me in its communication efforts
TOP 2 % rather-totally agree
People feel most involved with brands in the telecom and financial institution category.
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NFLUENCE
The buzz (because of campaigns, events, etc.) about this brand triggers me to recommend it to my peers
I would recommend the brand to others because it puts a lot of efforts in its consumers
I have recently spoken about this brand to someone
TOP 2 % rather-totally agree
Brands in the cell phone and telecom category have the highest scores on influence statements, that mostly relate to the extent to which people talk to others about the brands and recommend the brands in conversations.
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NFLUENCE
The brand has triggered me to talk about it to others
The brand allowed me to recommend it to others
The brand has triggered me to join conversations about itself
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MOST ENGAGED BRANDS
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Example of 4 I’s score for a particular category
0%
10%
20%
30%
40%
50%
60%
70%
Brand A – Brand B – Brand C – Brand D
INFLUENCE
INTERACTION
INTIMACY
INVOLVEMENT
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Category results Example of category X
BEI Category level
Users Non users Total
63,7 48,4 61,1
Brand level Users Non users Total
68,6 52,1 63,2
64,5 54,4 64,2
61,3 45,4 59,8
60,9 43,5 56,8
Top 3 amoung users 1. Brand A 2. Brand B 3. Brand C
Higher than group average Lower than group average
Overall scores across brands Mean BEI overall = 55,1 Mean BEI users = 57,5 Mean BEI non users = 46,4
BRAND B
BRAND A BRAND C
BRAND A
BRAND B
BRAND C
BRAND D
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Daniel Schots
Managing director ENGAGE BBDO [email protected] Tel. +32 2 421 30 23 Mobile +32 475 485 389
ENGAGE BBDO
Scheldestraat 122 B-1180 Brussels Belgium
[email protected] www.engage.bbdo.be
Formoreinforma+on