online community roi: models and reporting
DESCRIPTION
I gave this presentation to our Online Community Research Network in March. The content is based on our Online Community ROI: Models and Reporting studyTRANSCRIPT
April Roundtable Webcast
4.3.2008
2
Welcome
• Introductions• Housekeeping• Research Highlights: Online Community
ROI Models and Reports• Report Back from SxSWi - Jake McKee
3
Introductions
• Your Name (I’ll call on you)• Your Organization• Your Title• What is the most challenging ROI or Value
reporting issue that you are struggling with?
4
Housekeeping
• Online Community Research Network site– Members Directory
– Request Advice
– Documents - being updated weekly
• Blogging policy– Please do!
• Next Topic: Online Community Marketing, Growth and Engagement
• Sponsors:
5
ROI Models & Reports
• Study initiated in January 08• Report Published in March 08• Sent out 1000 invitations, received 150+
responses• Participants included:
– large software companies, – large community destination sites, – niche community sites, – independent consultants– platform providers– Interactive marketing & advertising firms
6
ROI Models & Reports
Highlights• Two main roles are clear: Community Manager and
Community Moderator• Strategy: 67% of respondents said they were actively
developing a strategy• Goal alignment: 59% felt Community Goals in line
with Organization’s goals• Measurements tools & techniques: Leaning heavily on
“defaults”• Metrics that are critical: Walk through highlights• Reporting results: Stakeholders skew to C-level,
satisfaction is mixed• Elevator pitch: 2-3 points of value
7
ROI Models & Reports
Q10: Please briefly describe your staff resources including full-time employees, contractors, and outsourced functions.
• Crucial Roles: Community Manager & Moderator– Community Manager: drives features, content and
activity programs, technical (platform) decisions, metrics collection and reporting.
– Moderator: a community liaison, advocate, and “keeper / enforcer” of the rules.
• Avg 6.6 full time employees (88 Respondents)
8
ROI Models & Reports
Q12: Community Strategy in Place?
34
58
15
3
Yes, a comprehensive strategy isalready in place = 31%
Actively developing our strategyas we move forward = 53%
No strategy in place now; we areessentially feeling our way = 14%
Not yet = 3%
s
9
ROI Models & Reports
Q14: Community / Corp Goal Alignment
36
29
19
11
2
13 Very closely aligned = 33%
Closely aligned = 26%
Loosely aligned = 17%
Somewhat aligned = 10%
Not aligned = 2%
N/A = 12%
10
ROI Models & Reports
Q15: Measurement Tools & Techniques
40
18 15
5
8486
0
10
20
30
40
50
60
70
80
90
100
110
Defaultreports
StandardWeb Metrics
ManualHarvesting
Word-of-Mouth
Other Surveys
11
ROI Models & Reports
Q16: Metrics Critical to Demonstrating ROI
75
74
72
70
59
45
0 10 20 30 40 50 60 70 80
Traffic patterns & statistics
Community member engagement
Unique number of visitors
New Member Registrations
Member Satisfaction
Product feedback and/or ideation for R&D
12
ROI Models & Reports
Q16: Metrics Critical to Demonstrating ROI
33
31
29
27
27
25
0 5 10 15 20 25 30 35
Number of referrals to the community bymembers
WOM generated by community
Transition of lurkers into active members
Impact of the community on revenue
Mentions of organization or brand on othercommunity sites
Ratio of Comments per post
13
ROI Models & Reports
Q16: Metrics Critical to Demonstrating ROI
20
20
17
16
13
13
12
11
11
10
0 7 14 21
% product forum posts that receive answers
Promote of cmty members to moderators
Keywords for forums & blogs
Cost savings for Customer Service
Av. # Customer Service tickets / month
Other
# of product trial downloads
Av. # Tech Support tickets / month
Cost savings for Tech Support
Av. time for a response
14
ROI Models & Reports
Q16: Metrics Critical to Demonstrating ROI
0 50 100 150 200
Online Community &Social Media
Software company
Non Profit
Media Company
Consultant
Community memberengagement
Traffic patterns & statistics
Unique number of visitors
New Member Registrations
Member Satisfaction
Product feedback and/orideation for R&D
Number of referrals to thecommunity by members
WOM generated bycommunity
Transition of lurkers intoactive members
Mentions of organization orbrand on other communitysitesImpact of the community onrevenue
Ratio of Comments per post
Promotion of communitymembers to moderators orcommunity leadsPercent of Product Forumposts that receive answers
Keywords for forums & blogs
Cost savings for CustomerService
15
ROI Models & Reports
Q17: Reporting Results
12
12
9
8
7
3
3
1
31
24
0 8 16 24 32
C-Level Staff
VP
Director
Manager
Others
Client
President
BOD
SVP
Owner
16
ROI Models & Reports
Q21: Satisfaction
19
15
22
4
8
103
Very satisfied = 23%
Satisfied = 19%
Somewhat satisfied = 27%
Dissatisfied = 5%
Unknown = 10%
N/A = 12%
Other = 4%
17
ROI Models & Reports
Q21: Satisfaction9
4
6
4 4 4
2 2
1
5
2 2
0
1
3
00
3
6
9
# MembersBasic MetricsOnline Content
# Visitors# of PostsParticipation# Page views
# of Comments
Very & Somewhat Satisfied
Satisfied & Dissatisfied
18
ROI Models & Reports
Q23: Compelling Sources of Value (a.k.a the “elevator pitch”)• Faster and more efficient than customer support
• “Using (discussion groups) is more efficient then email, telephones or fax. It saves us time and money and increases our ability to service the consumers in our sector.”
• Availability of information and content for specific areas of interest
• Increases site traffic / more engaged relationship with us• “Our members consume 49% more average page views per
session every month than non-members.”• “Our community sites get more than 3 times the engagement
for solutions, capabilities and use case content than our traditional sites.”
19
ROI Models & Reports
Q23: Compelling Sources of Value (a.k.a the “elevator pitch”)• Co-creation / co-learning
• “We will have the opportunity to get first hand feedback on products and ideas for improvements and enhancements.”
• “We have been able to gather more than a thousand best practices/lessons learned in two years use.”
• Lead Generation / Conversion• “When we enlist our community members to represent us
physically or virtually, our reach and conversion metrics dramatically increase.”
• People are saving time / building skills by using our site:• Build customer loyalty:• Online community is growing our membership base
20
ROI Models & Reports
Q23: Compelling Sources of Value (a.k.a the “elevator pitch”)
• People are saving time / building skills by using our site:• “Our community members credit participation in our community
with their increased skills in using our products.”
• Build customer loyalty:• “Employees who belong to the community almost never 'turn
over'. They are consistently the best performers out in the stores.”
• “We have doubled the size of our community membership in the last 6 months. 2 years ago, only 34% of our Company's upsells and renewals were also members of the Community. In 2007, 75% of our upsells and renewals were Community members.”
21
Discussion
• Open for questions
22
Thanks for participating!
Next Roundtable in June!