how fmcg companies should run their facebook brandpages effectively
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How FMCG companies should run their facebook brandpages effectively. Florian Michahelles ETH Zürich Dallas, March 18, 2013. Facebook is the largest SN and provides several opportunities for engagement with the customers . - PowerPoint PPT PresentationTRANSCRIPT
How FMCG companies should run their facebook brandpages effectively
Florian MichahellesETH Zürich
Dallas, March 18, 2013
© ETH / HSGFlorian MichahellesMarch 2013
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Facebook is the largest SN and provides several opportunities for engagement with the customers ...
© ETH / HSGFlorian MichahellesMarch 2013
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Despite the popularity, social media marketing has not yet reached the high expectations set ...
Problem:Lack of understanding of the communication mediumLack of established strategiesLack of methods for effectiveness evaluation
Stelzner MA (2012) 2012 Social Media Markebng lndustry Report
© ETH / HSGFlorian MichahellesMarch 2013
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How to increase the level of customer engagement?
Post Type: Photo Posting Time
WHEN?WHAT?Topic*
Moderator
LikeComment
Share
© ETH / HSGFlorian MichahellesMarch 2013
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Method: Data Collection
Java application based on Facebook Graph API
Daily data collection January 2012 – March 2012
100 Facebook brand pages: Food/Beverages Category English language
posts from moderator
Request:https://graph.facebook.com/ID
Response:
© ETH / HSGFlorian MichahellesMarch 2013
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Method: Operationalization of the Variables
Brand Engagement:
Loyalty: number of returning fans (posted more that once) Word-of-mouth: “People Talking About This Rate” Community Growth:
Vividness & Interactivity: post media type (status, photo, video, link) Page Interactivity: communication policy (posting or commenting only) Frequency: rounded value of average number of posts per day Weekday: weekend vs. workday Community size: average value of fans Content categorization: coding development strategy (Glaser and Strauss 1967)
Fans/#)Shares#Comments#Likes(#RateEngagement
)2t(Fans/#))t(Fans#)t(Fans(#GrowthRate 12
Dependent
Independent
© ETH / HSGFlorian MichahellesMarch 2013
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Model Estimation Results for Engagement (H1 – H5)
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Summary of the estimation results: supported and non-supported hypotheses ...
© ETH / HSGFlorian MichahellesMarch 2013
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Managerial Implications (1/2)
Content• Increase reach and engagement of users by entertaining content.• Non-interactive content (i.e. photos and status updates) increases the total
level of engagement.• Vivid content (i.e. videos, photos and links ) increases the volume of WOM
communication by stimulating the sharing activity of the fans.• Post shorter content in order to increase the total level of engagement.
Timing• Post on workdays in order to increase the number of comments.• Post up to once per day in order to receive the highest level of engagement.
more than once per day would decrease the total level of engagement.more than twice per day will significantly decrease the number of comments.
© ETH / HSGFlorian MichahellesMarch 2013
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Managerial Implications (2/2)
Communication Policy:• Create highly interactive Facebook brand pages to increase the WOM
volume through fan posts.• Highly interactive Facebook brand pages receive more comments.
Focus:• Rather focus on brand as a whole than on a single product, in order to
increase the level of engagement.
Engagement as Factor:• Higher level of engagement increases the number of loyal users, the volume
of WOM communication and ultimately, the number of fans.• Increased level of engagement yields higher percentage of positive user
posts.
Community Size as Factor:• Encourage interactions between the fans as the community grows.
© ETH / HSGFlorian MichahellesMarch 2013
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Limitations and Future Work
Limitations:• Selection of Facebook as a platform• Selection of Food/Beverages brand page category
Future Work:• Explore external factors:
• including elements of offline marketing campaigns• Expand to other brand page categories• Expand to other social media platforms, e.g. Twitter
• Experiment: apply the model and measure effects
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How FMCG companies should run their facebook brandpages effectively
Credits to: Dr. Irena Pletikosa Dissertation: Evaluation Framework for Social Media Brand PresenceDecember 2012
http://florian-michahelles.blogspot.comhttp//www.im.ethz.ch/people/[email protected]
+41 (44) 632 7477
Florian MichahellesETH Zurich
Thank you very much!
© ETH / HSGFlorian MichahellesMarch 2013
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Spearman Correlation Coefficients Matrix (H7 – H10)
Growth
RateCommunity Size
Engagement Rate (per
moderator post)
Engagement Rate
(per fan post)
Fan Posts (per user)
Returning Fans
(%)
Talking About Rate
Positive Fan
Posts (%)
Negative Fan Posts (%)
Neutral Fan
Posts (%)
Growth Rate 1.000Community Size 0.003 1.000Engagement Rate (per moderator post)
-0.078 -0.291** 1.000
Engagement Rate (per fan post) -0.036 -0.769** 0.297** 1.000Fan Posts (per user) -0.461** -0.402** 0.313** 0.573** 1.000Returning Fans (%) 0.117 -0.446** 0.250* 0.577** 0.754** 1.000Talking About Rate 0.896** -0.104 0.074 0.084 -0.294** 0.267** 1.000Positive Fan Posts (%) -0.217* -0.202* 0.047 0.336** 0.210* 0.018 -0.279** 1.000Negative Fan Posts (%) 0.030 -0.057 0.151 0.262** 0.372** 0.396** 0.065 -0.108 1.000Neutral Fan Posts (%) 0.218* 0.113 -0.210* -0.003 0.057 0.208* 0.230* -0.421** 0.007 1.000* p < 0.05, ** p < 0.01
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Content Categorization - Coding and Examples