brandshare Australia Results 2014

HOW BRANDS & PEOPLE CREATEA VALUE EXCHANGEPresented by Edelman Australia

brandshareTM 2014 © Daniel J. Edelman, Inc .

THERE IS A NEW KIND OF BRAND

2


AND THE DELIVERY OF MUTUAL BENEFIT

BRAND

BEHAVIOURS

CONSUMER

NEEDS

3

VALUE

EXCHANGE


WE COMPARED CONSUMER NEEDS…

4

I can count on the

brand to deliver

consistent products

or services

1

The brand

delivers what

I need from a

product or

service

2

I want to be

associated with

the brand

The brand is an

essential part of

my life

I respect the

company’s

leaders

I feel good about

this company’s

commitment to its

community

I feel the brand

cares about

more than itself

1

2

3

4

5

I feel good buying

this company’s

products or services

6

7

I believe in the

brand’s purpose8

9


TO WAYS BRANDS COULD FULFILL THESE NEEDS…

Shares company history and heritage openly

Openly shares its vision for the future

Is open about company performance and holds leaders accessible

Communicates transparently about how its products are sourced and manufactured

Takes a stand on issues of importance to individual consumers

Offers many ways for consumers to ask questions and share opinions

Is quick to respond to people’s concerns and complaints

Helps people achieve their personal goals

Invites consumers to participate in events and live experiences

Invites consumers to interact online

Invites consumers to represent products and services to their social networks

5

Acts with a clear mission and purpose at its core1

2

3

4

5

6

Invites consumer participation in product development7

8

9

14

13

Uses its resources to drive change in the world12

11

10


AND EVALUATED HOW THEY COMBINE TO DELIVER BUSINESS OUTCOMES

6

Purchase

Recommend

Defend

1

2

3

Share Personal Information

Share Brand Content

4

5


PEOPLEGeneral and influencer consumer populations who report at least a minimal level of engagement* with brands

15,000

IN 12 COUNTRIES

AUSTRALIA

BRAZIL

CANADA

CHINA

FRANCE

GERMANY

INDIA

JAPAN

MEXICO

TECH + ELECTRONICSTELECOMMUNICATIONSFOOD

SOFT DRINKS + COFFEEBEER + SPIRITSCONSUMER HEALTH

CPG/FMCGRETAIL

FINANCIAL SERVICESENERGYAUTOMOTIVE

INDUSTRY SECTORS

30 MINUTE DURATION

BRANDS48 multi-national brands, plus approx. 15 “local” brands per country

199

ACROSS ELEVEN

THROUGH ONE

ONLINESURVEY

7

SECOND ANNUAL BRANDSHARE STUDY

NETHERLANDS

UK

USA


*To participate in the survey, respondents had to report participating in a minimum of one brand engaging activity in the

last 12 months. Brand engaging activities might include things like visiting a brand website, attending a brand sponsored

event, following a brand on Twitter, wearing branded clothing, etc.

AUSTRALIA1027 people (controlled, distributed sample)

About 48 multi-national brands, and 11 “local” brands

We talked to

WE LEARNED THERE IS:Little value for the consumer in the current value exchange

But the good news is:

A new consumer need state that drives value

Value in meeting emotional needs in new ways

8


2.

1.

LITTLE VALUE FOR THE CONSUMER IN THE CURRENT VALUE EXCHANGE

9


PEOPLE CONTRIBUTE. BRANDS BENEFIT.THERE IS LITTLE VALUE EXCHANGE.

One-sided relationship

66%

10

Q24: Overall, would you say that brands that ask you to share with them (i.e. personal information, stories, etc.) successfully

share with you in return, or is it more of a one sided relationship? Q25: Do you think brands are motivated to share with you because they have a sincere commitment to their customers, or because they have a self-centered desire to increase profits?


Brands have self-centered desire to increase profits

70%

One-sided relationship

79%

Brands have self-centered desire to increase profits

81%

CONTENT ALONE WON’T CUT IT FOR PEOPLE

11

80%

20%


91%

10 %Just compelling content

A clear reason or purpose for sharing must be involved

AND BRANDS HAVE TO BE READY

12

OF RESPONDENTS FEEL

THEY SHOULD BE ABLE

TO COMMUNICATE AND

INTERACT WITH BRANDS

QUICKLY, IN REAL-TIME

87%


94%

PEOPLE WANT MORE VALUE FROM BRAND RELATIONSHIPS

13Q9: You will be presented with things that a brand could do to build and maintain a connection with you or customers like you. For each one tell us if you feel that the brands that

you like are currently doing each of these things too much, just right, or not enough? [% who selected JUST RIGHT or NOT ENOUGH. Q11: Please select the statements that you feel apply to [BRAND]. You may select as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRAND]}


Want more meaningful relationships with brands

%87%17

Think brands deliver

92%

12%

PEOPLE WANT BRANDS TO BE

14


Q5: You will be presented with things that a brand can do to build and maintain a connection with you or

customers like you. Thinking about brands that you like, how important is each of the following to you? [5-

Point Scale, Top 2 Box] Q11: Please select the statements that you feel apply to [BRAND]. You may select

as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRANDS)

MORE RESPONSIVE…

PEOPLE SAY IT

IS IMPORTANT

55%

13%

Gives many ways to ask questions and give opinions

Respond quickly to people’s concerns and complaints

15


78%

PEOPLE SAY IT

IS IMPORTANT85%

HOW THEY THINK BRANDS PERFORM

17%HOW THEY THINK BRANDS PERFORM

59%

18%12%

PEOPLE SAY IT

IS IMPORTANT

PEOPLE SAY IT

IS IMPORTANT



PEOPLE SAY IT

IS IMPORTANT

43%

10%

16


68%

PEOPLE SAY IT

IS IMPORTANT73%



52%

16%15%

PEOPLE SAY IT

IS IMPORTANT

PEOPLE SAY IT

IS IMPORTANT



Invites people to be a part of the development and refinement process

Communicates openly and transparently about how products are sourced and made




as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRAND]

ALLOW MORE PARTICIPATION…

PEOPLE SAY IT

IS IMPORTANT

43%

10%

17


58%

PEOPLE SAY IT

IS IMPORTANT

53%



52%

15%

21%

PEOPLE SAY IT

IS IMPORTANT

PEOPLE SAY IT

IS IMPORTANT



AND PURPOSE DRIVEN

Uses its resources to drive change in the world

Has a clear mission and purpose at its core




as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRAND]

BEHAVE THIS WAY AND BRANDSCAN MEET NEW CONSUMER NEEDS TO IGNITE THE VALUE EXCHANGE

18


A NEW CONSUMER NEED STATE HAS EMERGED THAT DRIVES VALUE

19


I feel good about this company’s commitment to its community

20

I feel the brand cares about things other than itself

I believe in the brand’s purpose

FULFILLING SOCIETAL NEEDS DRIVES OUTCOMES


1. Takes a stand on the issues I care about most

3. Uses its resources to drive change in the world

4. Communicates openly and transparently about how products are sourced and made

2. Lets people know the company’s mission and vision for the future

SOCIETAL NEEDS EXTEND BEYOND TRADITIONAL DEFINITIONS OF CORPORATE RESPONSIBILITY AND SUSTAINABILITY

21

TOP FIVE BRAND BEHAVIOURS THAT CORRELATE TO AUSTRALIAN CONSUMERS’ SOCIETAL NEEDS


5. Invites people to be a part of the development and refinement process for products or services

SHARE BRAND

CONTENT

PURCHASE DEFENDRECOMMEND

MEETING SOCIETAL NEEDS ACTIVATES SHARING PERSONAL INFO AND BRAND CONTENT

0.5

0.4

0.3

0.2

0.1

Rational needs Emotional needs Societal needs

MOST IMPACT

LEAST IMPACT

SHARE PERSONAL

INFO


MEETING PEOPLE’S THREE NEEDS STATES COMPOUNDS BENEFIT TO BRANDS

PURCHASE+ 8%

DEFEND+10%

RECOMMEND+12%

SHARE PERSONAL INFO+11%

SHARE BRAND CONTENT+12%

23


+

+

+ 6%

+10%

+10%

+13%

+12%

RATIONAL

EMOTIONAL

SOCIETAL

CREATING A VALUE EXCHANGE

24


A BRAND THAT INSPIRES AND EXCITES PEOPLE TO SHARE IT BECAUSE IT MATTERS TO THEIR EVERYDAY LIFE

25

Responsiveness

Participation

Purpose-driven

Rational + Emotional

Societal


STORYTELLING &STORYSHARING

RECOGNISE THAT PARTICIPATION COMES IN MANY FORMS

PROMOTE YOUR BRAND BY INVITING PEOPLE TO ACTIVELY PARTICIPATE IN WAYS THAT ARE MEANINGFUL TO THEM

26


ALIGN MARKETING AND CORPORATE COMMUNICATIONS EFFORTS TO ENSURE YOUR STORY IS HEARD AND SHARED

EVOLVE YOUR BRAND TO INCLUDE BOTH BRAND PROMISE AND BRAND PURPOSE

CONVICTION & COMMITMENT

27


LISTEN, LEARN AND ADAPT BASED ON WHAT PEOPLE TELL YOU ABOUT THEMSELVES AND YOUR BRAND

PROTECT YOUR BRAND BY INCORPORATING CUSTOMER SERVICE INTO YOUR MARKETING STRATEGY

ALWAYS ON & ALWAYS ADAPTING

28


29

BRANDBEHAVIOURS

CONSUMER ACTIONS

RECOMMEND

DEFEND

PURCHASESHARE

PURCHASE INFO

SHARE BRAND

CONTENT

CONSUMER NEEDS

RATIONAL

EMOTIONAL

SOCIETAL

MOVING FROM A TRANSACTION-BASED VALUE EQUATION…TO ONE THAT’S DYNAMIC AND MULTIDIMENSIONAL


THANK YOU

Copyright ©2014 Daniel J. Edelman, Inc. All rights reserved. All information contained herein is confidential and proprietary to Daniel J. Edelman, inc. (“Edelman”).

brandshare Australia Results 2014

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