Measuring What Matters In PR

A presentation to Emerson College  October 6, 2009Katie Delahaye PaineCEOkdpaine@kdpaine.comwww.kdpaine.comhttp:/kdpaine.blogs.comMember, IPR Measurement Commissionwww.instituteforpr.org

Why Measure?

“The main reason to measure objectives is not so much to reward or punish

individual communications manager for success or failure as it is to learn from the

research whether a program should be continued as is, revised, or dropped in favor of another approach ”

James E. Grunig, Professor Emeritus, University of Maryland “If we can put a man in orbit, why can’t we determine the effectiveness of our communications? The reason is simple and perhaps, therefore, a little old-fashioned: people, human beings with a wide range of choice. Unpredictable, cantankerous,capricious, motivated by innumerable conflicting interests, and conflicting desires.”

Ralph Delahaye Paine, Publisher, Fortune Magazine , 1960 speech to the Ad Club of St. Louis

What Matters?

To P&G: EngagementTo the Humane Society:

DonationsTo ComCast: Happier

customers To Best Buy: Better informed

employeesTo WMUR: Faster, more

complete, more relevant stories To Dell: SalesTo Molson: Better messaging

What Doesn’t Matter?

AVEsEyeballsHITS (How Idiots Track Success)Couch Potatoes# of Twitter Followers (unless you’re a

celebrity)# of Facebook Friends/Fans (unless they

donate money) Page 4

A measurement timeline

Page 6

Old School 21st Century

You are a party planner, not a communicator

The definition of timely has changedThe definition of reach has changed

GRPs & Impressions are impossible to count (an irrevelvant) in social media

The definition of success has changedThe answer isn’t how many you’ve reached,

but how those you’ve reached have responded Page 7

Old School PR 21st Century Role of PR

Social Media renders everything you know about measurement obsolete

Signs that it’s the end of measurement as we know it 1. Procter & Gamble is now paying for

engagement, not eyeballs 2. Sodexo cut $300K out of its recruitment

budget using Twitter3. Facebook USERS translated the site from

English to Spanish via a Wiki in less than 4 weeks and cost Facebook $0

4. BMC Software measures communications effectiveness based on contribution to EPS

5. HSUS generated $650,000 in new donations from an on-line photo contest on Flickr

6. The Red Cross measures the effectiveness of Twitter via lives saved and harm avoided

7. IBM 1000+ people tweeting & receives more leads, sales and exposure from a $500 podcast than it does from an ad

8. 11 Mom’s turned around Walmart’s image and delivered measureable increases in sales.

The New Rules of Communications

You aren’t in control and never have beenThere is no market for your message You become what you measureShe/he with the most data winsBehind every Tweet or Post is a person Empower employees, rely on customersEnable the conversations—it’s going on, with

or without youSpin is dead, long live transparency – you

can’t fake it so be who you are and see who is pleased Crowdsourcing will beat outsourcing every

time

The Engagement Decision Tree

The measurement forks in the road

Marketing/leads/sales/mission

Reputation/relationships

To fix this Or get to this

Goals drive metrics, metrics drive results

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Goal

Metrics

Change the conversation, improve your reputation

Improve your reputation

Listen first, then respondStop doing stupid things

Negative coverage over time

Correlation exists between traffic to the ASPCA web site and the organization’s

overall media exposure

-

100,000

200,000

300,000

400,000

500,000

600,000

700,000

0

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

Web

Sit

e Vi

sito

rs

Expo

sure

Overall Exposure

Web Traffic

Tying activity to development/marketing goals

0

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

350,000,000

Exposure

$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

$1,600,000

$1,800,000

Donations

Overall exposure

Online donations

16

Goals, Actions and Metrics Goal Action Output Metric Outtake

MetricOutcome Metric

Increased on-line reservations

Revamp website

Amount of content on web site

% perceiving state as a destination

% increase in web traffic and reservations

#1site for visitors to NH

Increase staffing and resources for communications

Increased exposure of “visit NH” message

Increased perception of NH as an an extreme destination

% increase in agreement with the statement

Website is preferred site for information

Add content, features to web site, keep up to date

% increase in traffic

% agreeing with the statement

# 1 rankings, and time spent on site

The 7 steps to Social Media ROI

1. Define the “R” – Define the expected results?

2. Define the “I” -- What’s the investment?

3. Understand your audiences and what motivates them

4. Define the metrics (what you want to become)

5. Determine what you are benchmarking against

6. Pick a tool and undertake research7. Analyze results and glean insight,

take action, measure again

Percent of impressions containing messages by product

0% 20% 40% 60% 80% 100%

TAC

Manuscript

One Source

HAL

Positive Messages No Messages Negative Messages

Measuring the impact of messaging

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$0.00 $0.50 $1.00 $1.50 $2.00 $2.50

Pressconference

Event/party

Press tour

Event/presstour

Metric: Cost per message communicated

The press tour was clearly the most efficient for communicating key messages and the big party was least efficient.

Measuring which tactic was most efficient

20

The vast majority of discussion in external blogs is neutral.

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12

14

20

5

8

4

1

4

0

5

10

15

20

25

30

University of Michigan Purdue University Penn State Michigan State Arizona State

Share of Tone

Negative

Neutral

Positive

71%

3%

29%

94%

83%

42%

58%

6%

14%

58%

42%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Arizona State Michigan State Penn State Purdue University University of Michigan

Share of Engagement by Tone - External Blogs

Negative

Neutral

Positive

Selecting a measurement toolObjective KPI Tool

Increase inquiries, web traffic, recruitment

% increase in traffic#s of clickthrus or downloads

Google Analytics, Omniture, Web trends

Increase awareness/preference

% of audience preferring your brand to the competition

SurveyMonkey, Zoomerang

Engage marketplace Conversation index greater than .8Rankings % increase in engagement

TypePad, Technorati Omniture, Google Analytics

Communicate messages

% of articles containing key messagesTotal opportunities to see key messagesCost per opportunity to see key messages

Media content analysis –Dashboards

% aware of or believing in key message

Survey

22

Why an Optimal Content Score?

You decide what’s important:Benchmark against peers and/or

competitorsTrack activities against OCS over

time Positive: Mentions of the brandKey messagesPositioningVisibility

Negative OmittedNegative toneNo key message

23

How to calculate Optimal ContentQuality score +1 0 -1

Score Score ScoreTonality Positive 3 Neutral 0 Negative -3

Positioning Contains 2 Doesn't contain 0

Positions the competition favorably or positions Sargento negatively -2

Messaging Contains 3 partially contains 0

Does not contain or miscommunicates key message (neg mess) -1

Quotes Contains 1 Does not contain -1Competitive mention

Does not mention Competition 1

Competition mentioned prominently -3

Total Score 10 0 -10

Visibility Score+1 0 -1

Score Score Score

Brand Photo Contains 3 Doesn't contain 0Contains competitive photo -5

Dominance Focal point 3 Not a focal point -1Visibility Headline mention 2 Top -20 % of story 0 Minor mention -2Target publication Top Tier 2 2nd tier 0 Not on target list -2

Total Score 10 0 -10

Optimal Content Score

Standard classifications of discussion

• Acknowledging receipt of information

• Advertising something• Answering a question• Asking a question• Augmenting a previous

post• Calling for action• Disclosing personal

information• Distributing media• Expressing agreement• Expressing criticism• Expressing support• Expressing surprise• Giving a heads up

• Responding to criticism• Giving a shout-out• Making a joke• Making a suggestion• Making an observation• Offering a greeting• Offering an opinion• Putting out a wanted ad• Rallying support• Recruiting people• Showing dismay• Soliciting comments• Soliciting help• Starting a poll• Validating a position

Standard classifications of videos

AdvertisementAnimationDemonstrationEvent/

PerformanceFictionFilmHome VideoInstructional VideoInterviewLecture

MontageMusic VideoNews BroadcastPromotional VideoSightseeing/TourSlideshowSpeechTelevision ShowVideo Log

Aspects of relationships

Control mutualityTrustSatisfactionCommitmentExchange relationshipCommunal relationship

27

Components of a Relationship IndexControl mutuality

In dealing with people like me, this organization has a tendency to throw its weight around. (Reversed)This organization really listens to what people like me have to

say.Trust

This organization can be relied on to keep its promises.This organization has the ability to accomplish what it says it will

do.Satisfaction

Generally speaking, I am pleased with the relationship this organization has established with people like me.Most people enjoy dealing with this organization.

CommitmentThere is a long-lasting bond between this organization and people

like me.Compared to other organizations, I value my relationship with this

organization moreExchange relationship

Even though people like me have had a relationship with this organization for a long time; it still expects something in return whenever it offers us a favor.This organization will compromise with people like me when it

knows that it will gain something.This organization takes care of people who are likely to reward

the organization.Communal relationship

This organization is very concerned about the welfare of people like me.I I think that this organization succeeds by stepping on other

people. (Reversed)

How to implement relationship metrics

Step 1: Conduct a benchmark relationship studyStep 2: Implement PR programStep 3: Conduct a follow up

relationship studyStep 4: Look at what’s changed

Look for failures firstCheck to see what the competition is

doing Then look for exceptional successCompare to last month, last quarter,

13-month averageFigure out what worked and what

didn’t workMove resources from what isn’t

working to what is

Research without insight is just trivia

30

Best Practices:

Correlations to bottom-line impact

DonationsMembershipsSign-upsLeads

Using SMM for planning

Define the time frame, market/topic you want to studyUse Google News,

Technorati or Radian6 to identify the conversations around the topic Analyze the

conversations for type, tone and positioningLook at share of

positioning, tone or conversation

Benchmarking against your peers

Looking at what the best doSetting goals

accordinglyUse data to persuade

recalcitrant spokespeople

Social Media in CrisisListen instantly to a wide

range of influencersIdentify weaknesses in

communications, customer service, or in the product

Improve your reputation

Listen first, then respondStop doing stupid things

Lesson learned, you need the PR department

Share of exposure vs the competition over time

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Jan

MarMay Ju

lSep

Nov Jan

MarMay Ju

lSep

Nov Jan

Intel

TI

Moto

National

32

Facebook: Correlating MSM, CGM and signups

Strong correlationNon-negative discussion only

0

100

200

300

400

500

600

700

800

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

8,000,000

9,000,000

10,000,000

Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

2006 2007

User Registrations and Media CoverageDecember 2006-November 2007

New Accounts

FB Mentions

33

Proof of PR’s impact on sales

P&G found that PR drives sales

Three of the six products showed PR with the highest ROI of any marketing tactic

Overall PR delivered a 275% ROI

AT&T found that PR delivered customers at a fraction of the cost

95

63

15$0

$50

$100

Advertising Outboundtelemarketing

PR

Cost per customer acquisition

34

PR delivers more results for less money

Miller discovered that PR campaigns generate 4% of incremental sales compared to 17.3% of incremental sales for TV.

However, PR delivered that 4% for less than 1% of the budget.

01020304050607080

Trade TV PR

% of Spend vs % of incremental revenue

% of incrementalrevenue

% of spend

35

Thank You!

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