Published on: October 26, 2012by Kevin Coupe
There is interesting research out from Loyalty One, a provider of loyalty analytics, and Northwestern University and The University of Western Ontario's Ivey School of Business, which says that there is "empirical proof that social media interaction between a customer and a brand drives immediate and long-term sales increases."
Among the conclusions:
• "The mere act of writing a short public statement on a social media site spurs significant lifts in transaction activity. However, longer, more elaborate posts dealing with redemption experiences (travel, entertainment) created higher lift than shorter, product-based posts."
• "The higher the level of participation in a social media event, the greater the impact on a consumer's purchasing activity."
• "Brands can use social media as a tool to raise the value of lower-volume, high-potential consumers who have more room to increase their spend."
• "Events that encourage participants to recreate the core benefits of a brand have higher lift effects than more generic posts - resembling a 'co-creation effect'."
I would agree ... and think that interactivity - "the mere act of writing a short public statement on a social media site" - can be enormous factor in forging connections.
I have some small experience with this. I know how MNB grows in terms of subscribers each week, and I think much of this has to do with the hundreds of emails I get each day responding to stories ... people tend to feel a connection to MNB, even to the point of feeling that it is their site. Which is great. And humbling. And just a small example of what brands big and small can do if they engage with consumers in a truly interactive way.
And by the way...
This engagement was demonstrated by the hundreds of recommendations I received recently when we sponsored an "MNB Mantra" contest here ... with people making fabulous suggestions about what MNB's mantra should be. There were so many diverse suggestions that it has taken me some time to work my way through them all, with the list of finalists developed by a crack team of friends and associates.
The winner will be announced in this space on Monday.
- KC's View: