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Harnessing the Power of New Media Platforms

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Page 1: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

Harnessing the Power of NewMedia Platforms

Page 2: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

2p.|Harnessing the Power of New Media Platforms

ObjectivesThe overall objective of the research was to explore the use of search, socialnetworks, user-generated content, podcasts, blogging, and more. The surveyaddressed issues such as B-to-B and B-to-C marketers’ usage of new mediaplatforms, spending, measurement/ROI, resource allocation, and integration withother elements of the communications mix.

Methodology326 respondents were surveyed. The population consisted of B-to-B MagazineSubscribers and ANA Leadership Community panel members. The population wasthen split among companies that were mainly B-to-B vs. B-to-C vs. companies thatare a mixture of the two.

Data collection was conducted in June 2007.

Objectives & Methodology

Page 3: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

3p.|Harnessing the Power of New Media Platforms

Detailed Findings

Page 4: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

4p.|Harnessing the Power of New Media Platforms

Usage of New Media Platforms – B-to-B

Which of the following new media platforms are being used (or are planned on being used) for the business you are managing to reach your customers?

Not surprisingly, a company’s website is the oldest and most often used new media platform that B-to-B companies are using. Emailmarketing, online ads, search engine optimization, paid search engine marketing and webinars are also widely used. Podcasts, blogsand video on demand look to grow over the next year, while little interest is shown in mobile and second life/social networking mediaplatforms.

New Media Platforms

0%

25%

50%

75%

100%

Blogs

Email m

arke

ting

Mob

ile

Online ad

s

Podca

sts

RSS F

eeds

SEO -

Org

anic

SEM -

Paid

Secon

d life

Social n

etwor

ks

Video

on de

man

d

Viral v

ideo

Web

inar

sW

iki

Own

web

site

Not using with no

plans to use withinthe next year

Not using but planto within the next

year

Have used for less

than 1 year

Have used for 1 – 3

years

Have used for morethan 3 years

Page 5: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

5p.|Harnessing the Power of New Media Platforms

Usage of New Media Platforms – B-to-C

Which of the following new media platforms are being used (or are planned on being used) for the business you are managing to reach your customers?

B-to-C companies are also using their own website, as well as email marketing, and online ads. SEO-organic and SEM-paid havebeen in use for the past 3 years. Blogs and video, both on-demand and viral, look to grow over the next year. There are no plans touse webinars, Wiki or Second Life within the next year.

Comparing B-to-B to B-to-C: significantly more B-to-B marketers have been using email,,SEO-organic and webinars for more than 3years, and have begun to use blogs. They are also significantly less likely to use mobile, social networks or viral video in the nextyear than B-to-C marketers. B-to-C marketers have begun to use these platforms in the past year and the trend will continue.

New Media Platforms

0%

25%

50%

75%

100%

Blogs

Em

ail m

arke

ting

Mob

ile

Online ad

s

Podca

sts

RSS F

eeds

SEO -

Org

anic

SEM -

Paid

Secon

d life

Social n

etwor

ks

Video

on de

man

d

Vira

l video

Web

inar

sW

iki

Own web

site

Not using with no

plans to use within

the next year

Not using but plan to

within the next year

Have used for less

than 1 year

Have used for 1 – 3

years

Have used for more

than 3 years

Page 6: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

6p.|Harnessing the Power of New Media Platforms

Objectives of New Media Platforms - B-to-B

Of the B-to-B marketers that use these new media platforms, Brand Building is most frequently accomplished throughblogs, second life, social networks, viral videos, wiki and their own websites. Demand Generation is accomplishedthrough email, online, SEO, SEM, and video on demand– while companies use blogs, podcasts and webinars to generateCustomer Loyalty.

What is the primary objective for each of the new media platforms that you are using?

B-to-B Primary Objectives for Media

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Blo

gs

Email

Mob

ile

Online

Ads

Pod

cast

s

RSS F

eeds

SEO- Org

anic

SEM - Paid

Sec

ond

Life

Soc

ial Net

wor

ks

Video

on

Dem

and

Vira

l Video

Web

inar

sW

iki

Own

Web

site

Brand Building

Demand Generation

Customer Loyalty

Cross Selling

Page 7: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

7p.|Harnessing the Power of New Media Platforms

Objectives of New Media Platforms - B-to-C

What is the primary objective for each of the new media platforms that you are using?

B-to-C Primary Objectives for Media

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Blo

gs

Email

Mob

ile

Onl

ine

Ads

Podca

sts

RSS F

eeds

SEO

- O

rgan

ic

SEM -

Paid

Sec

ond

Life

Soc

ial Net

wor

ks

Vid

eo o

n Dem

and

Viral V

ideo

Webin

arsW

iki

Own

Web

site

Brand Building

Demand Generation

Customer Loyalty

Cross Selling

Of the B-to-C marketers that use these media, blogs, podcasts, second life, viral video and wiki are use to accomplishBrand Building. SEO and SEM are used for Demand Generation. And Customer Loyalty is mostly accomplishedthrough emails, RSS feeds, and blogs. Cross Selling is an objective for emails and webinars.

Comparing B-to-B to B-to-C, B-to-B marketers use email and webinars for demand generation significantly more thanB-to-C. Of the all marketers who use mobile and podcasts, significantly more B-to-C marketers use them for brandbuilding.

Page 8: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

8p.|Harnessing the Power of New Media Platforms

New Media Effectiveness

Effectiveness of new media platforms

8%

14%

14%

15%

17%

21%

23%

26%

54%

59%

36%

11%

27%

13%

33%

6%

13%

32%

20%

55%

50%

27%

51%

10%

17%

41%

41%

44%45%

0% 15% 30% 45% 60% 75%

Second life

Social networks

RSS Feeds

Wiki

Mobile

Online ads

Blogs

Podcasts

Viral video

Video on demand

SEM - Paid

SEO - Organic

Email marketing

Webinars

Own website

B-to-C

B-to-B

Please rate the overall effectiveness of the new media platforms that you have used. (Top 3 box)

Effectiveness varies greatly when looking at B-to-B vs. B-to-C companies. While both have seen success from their ownwebsite, B-to-C companies have seen significantly more success from paid key word searches, online ads, and social networks,B-to-B companies have seen success in webinars.

=Significantly higher thanother subgroups

Page 9: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

9p.|Harnessing the Power of New Media Platforms

Measuring New Media

Measuring Effectiveness/Return on Investment

9%

17%

24%

25%

25%

45%

56%

58%

60%

64%

68%

76%

77%

81%

90%

36%

38%

39%

24%

15%

19%

46%

35%

54%

70%

74%

47%

86%

82%

85%

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

Wiki

Second life

Social networks

Blogs

RSS Feeds

Podcasts

Mobile

Viral video

Video on demand

SEO - Organic

Own website

Webinars

Online ads

Email marketing

SEM - Paid

B2C

B2B

For each of the new media platforms that you are using, is there a process in place to measure their effectiveness/return on investment

=Significantly higher thanother subgroups

Page 10: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

10p.|Harnessing the Power of New Media Platforms

Which Behaviors Contribute to Effectiveness

Effectiveness of Behaviors for Measuring New Media Platforms

18%

26%

27%

28%

28%

50%

53%

54%

63%

26%

39%

32%

30%

38%

35%

43%

51%

72%

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

Encouraging User Generated

Content

Site Visits

Forward to a friend

Click-throughs

Time spent

Downloads (e.g., a brochure,

white paper)

Registrations to events, etc.

Registrations in general (to

capture info)

Purchase

B2C

B2B

Please rate how effective each of the following behaviors are for measuring new media platforms. Rate on a scale of 1-10, where 1= not atall effective and 10 = extremely effective.

B-to-C companies typically look at downloads and registrations to their website and specific events. While B-to-Bcompanies are more likely to measure effectiveness of new media platforms through purchase behavior, site visits andtime spent.

=Significantly higher thanother subgroups

Page 11: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

11p.|Harnessing the Power of New Media Platforms

How New Media Platforms are Funded

Funding of New Media Platforms

10%

40%

52%

54%

4%

33%

73%

48%

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

Other

Incremental budget

Funds shifted from traditional

media budget

Funds shifted from other

marketing comm budget

B2C

B2B

How are new media platforms currently being funded at your company? Check all that apply.

=Significantly higher thanother subgroups

Page 12: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

12p.|Harnessing the Power of New Media Platforms

Media Budget

What is your company’s projected overall MEDIA budget (e.g.,. advertising on television, radio, magazines, newspapers, out of home, theinternet, etc.) for calendar year 2007?

B-to-B Companies spend significantly less on media than B-to-C companies. As a percent of revenue, they spend anaverage of .58%, while B-to-C companies spend an average of 1.18%.

2007 Project Total Media Spending

35%

11%

14%

13%

27%

82%

6%

3%

4%

5%

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

<$25 million

$25-49 Million

$50-$99 Million

$100-$250 Million

$250+ Million

B-to-B

B-to-C

Page 13: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

13p.|Harnessing the Power of New Media Platforms

New Media Budget Allocation

Roughly, what percentage of your company’s overall MEDIA budget is allocated to new media platforms ?

Currently, B-to-B companies are significantly more likely to allocate a higher percentage of their media budget (morethan 20%) to new media platforms as compared to B-to-C companies.

% of Media Budget Currently

Allocated to New Media Platforms

37%

27%

12%

16%

19%

17%

12%

5%

31%

5%

11%

9%

0% 10% 20% 30% 40%

< 1%

1 - 5%

6 - 10%

11 - 15%

16 - 20%

> 20%

B-to-B

B-to-C

Page 14: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

14p.|Harnessing the Power of New Media Platforms

2007 Projected Spending for New Media Platforms

How does your 2007 projected spending on new media platforms compare with your 2006 spending? (For those who indicated andincrease) Please select the range that best represents the estimate for this increase?,

All marketers expect to spend more on new media platforms in 2007 compared to 2006, with significantly more B-to-Cmarketers trending towards an increase. The average percentage increase will be XX% for B-to-B companies, and XX%for B-to-C companies.

% Increase in New Media Platforms

2007 vs. 2006

1%

24%

26%

21%

9%

11%

2%

30%

31%

15%

8%

13%

0% 5% 10% 15% 20% 25% 30% 35%

< 1%

1 - 5%

6 - 10%

11 - 15%

16 - 20%

> 20%

Spending Trends in New Media Plaforms

2007 vs. 2006

78%

2%

21%

66%

3%

31%

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

Spending More

Spending Less

About the Same

B-to-B

B-to-C

Page 15: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

15p.|Harnessing the Power of New Media Platforms

2007 Projected Spending for New Media Platforms

Which of your media platforms will get the most spending in 2007?

Of the marketers that expect to spend more on 2007, B-to-B marketers will spend it on their own websites, email andonline ads.

% Increase in New Media Platforms

2007 vs. 2006

11%

4%

32%

1%

3%

13%

1%

1%

2%

34%

3%

17%

1%

13%

3%

7%

12%

1%

1%

6%

1%

31%

0% 10% 20% 30% 40%

Blogs

Email

Mobile

Online Ads

Podcasts

SEO- Organic

SEM - Paid

Social Netw orks

Video on Demand

Viral Video

Webinars

Wiki

Ow n Website

B-to-B

B-to-C

Page 16: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

16p.|Harnessing the Power of New Media Platforms

Internal Organization

Which of the following best describes how your company is organized internally to oversee the management of new media platforms?

Typically the responsibility for managing new media platforms is added to an internal group. New internal groups areformed about 15% of the time.

% Increase in New Media Platforms

2007 vs. 2006

77%

15%

3%

5%

76%

15%

4%

6%

0 0.2 0.4 0.6 0.8 1

Added Responsibility to Internal

Group

Formed New Internal Group

No Internal Support, Outsource All

Other

B-to-C

B-to-B

% Increase in New Media Platforms

2007 vs. 2006

76%

15%

4%

6%

77%

15%

3%

5%

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

Added Responsibility to Internal

Group

Formed New Internal Group

No Internal Support, Outsource All

Other

B-to-B

B-to-C

% Increase in New Media Platforms

2007 vs. 2006

76%

15%

4%

6%

77%

15%

3%

5%

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

Added Responsibility to Internal

Group

Formed New Internal Group

No Internal Support, Outsource All

Other

B-to-B

B-to-C

Page 17: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

17p.|Harnessing the Power of New Media Platforms

Drivers of New Media Platforms

Please rate how each of the following parties drives the use of new media platforms for your company?

Internal Marketing Departments and Interactive/Digital Media Agencies drive the use of new media platforms for B-to-Bcompanies. B-to-C companies new media strategies are also driven by Internal Media Departments, but also byInteractive/Digital Creative Agencies.

Who Drives Use of New Media Platforms

27%

36%

22%

38%

16%

61%

24%

22%

10%

60%

12%

22%

12%

68%

35%

23%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Traditional Media Agency

Interactive/Digital Media Agency

Traditional Creative Agency

Interactive/Digital Creative Agency

External Media Partners

Internal Marketing Department

Internal Management Department

Internal Peers

B-to-B

B-to-C

Page 18: Harnessing the Power of New Media Platforms · Harnessing the Power of New M|edia Platforms p.2 Objectives The overall objective of the research was to explore the use of search,

18p.|Harnessing the Power of New Media Platforms

Concerns About Adopting New Media Platforms

What is your top concern about adopting new media platforms?

All marketers are concerned about their lack of experience with new media platforms, followed by their inability toprove effectiveness/ROI.

Top Concerns About Adopting New Media Platforms

33%

38%

13%

2%

14%

34%

35%

8%

1%

22%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Inability to Prove ROI

Lack of Experience with Platforms

Senior Management Push-Back

Loss of Brand Control

Other

B-to-B

B-to-C