2016 Earned Brand Japan

Earned Brand2016Japan

The Earned Brand

Earned Brand 2016 Global | 2

The Earned Brand’s story is not simply told, it is demonstrated and experienced;

and to do that, brands can’t operate with a style guide alone.

The Earned Brand has a world view and a belief system; a purpose and a

reason for being – one that defines not just the communications, but how the

brand behaves online, offline, and in all contexts.

An expressed set of values informs which products are made, which language is

used, how customers are treated, and ultimately the legacy the brand leaves in

the communities it serves.

How is your

relationship going?

Feeling a little left out?

68% rely on peer sources to

learn about brands

49% rely on peer sources for buying decisions

44%use/would use

ad blockers

Your consumer relationship

“I rely on my peers to reassure me.

Because their experience is my evidence.”

- Earned Brand 2015

Earned Brand 2016 Japan | 4

86%

Global

71%

58%

Japan

Meeting their growing

expectations?

54% will not buy if a brand fails to meet societal obligations

38% doing good should be part of a brand’s DNA

Your consumer relationship

31%brands can do more to solve societal ills than government


62%

Global

60%

55%

Japan

The consumer relationship has never

been more important to your business

Buy Advocate Defend

We wanted to find out

How strong is the consumer-brand

relationship?

How does a stronger relationship lead to

better businessresults?

How can brands

strengthenthe relationship?

Earned Brand 2016Methodology

A Global Survey

Timing

April 7 – April 25, 2016

13 countries

Online survey in Australia,

Brazil, Canada, China, France,

Germany, India, Japan, Mexico,

The Netherlands, Singapore,

U.K., and U.S.

13,000 respondents

1,000 per country, nationally

representative of age, gender,

and region based on most

recent country census data.

Social listening

In China, Germany, India, the U.K.,

and U.S., we listened to consumer

conversations on social media to

assess the impact of 15

recent cause-related brand

campaigns or actions.

Earned Brand 2016 Global | 8Please contact Edelman Japan for the details of the study.

18brand categories

Travel

Mobile carriers

Social media

Automobile

Personal care

Beer, wine, and spirits

Luxury goods

Prescription medicines

Credit cards

Utilities

Grocery stores

Retailers

Financial services

Food and beverage

Home energy management

Fashion

OTC medicines

Household products

Edelman

Brand Relationship

Index


What is your

favorite brand – one you already buy –

in this category?


Edelman

Brand Relationship

Index

Builds trustat every

touchpoint

Makes its

markInvites

sharing,inspires

partnership

Embodies

unique character

Tells a memorable

story

Listens openly,

respondsselectively

Acts with

purpose

How well do you feelthis brand…?


Edelman

Brand Relationship

Index

The Edelman Brand Relationship Index

is the average of the

seven dimensions


Builds trustat every

touchpoint

Makes its

mark

Invites

sharing,inspires

partnership

Embodies

uniquecharacter

Listens openly,

respondsselectively

Tells a memorable

story

Acts with

purpose0-100

Edelman

Brand Relationship

Index

The score falls short of the full potential

Relationship strength

0 10020 40 60 80

The Edelman Brand Relationship Index

Japan Average

32


Global Average

38

The consumer-brand relationshipfalls short around the world

39

43

40

3233

30

32

32

53

34

52

39

Canada

U.S.

Mexico

Brazil

Lowest

The NetherlandsU.K.

France

Germany

32

India

China

Singapore

Japan

Australia

Highest


The consumer-brand relationship

falls short across categories2016 Edelman Brand Relationship Index by category


40 37 35 35 34 34 33 33 32

32 31 31 31 30 30 28 27 25

Global

39 43

43 42 4040 4139

38 3939

38 37

36

35

33 33 34


falls short across demographics

The consumer-brand relationship

2016 Edelman Brand Relationship Index

Generation Gender

34 3034 30 35 31 32

38 44 39 32 28 40 36Global

They’re willing to go

further with you


The five relationship stagesAt five points, the data shows meaningful shifts in

consumer attitudes and behaviors toward brands

Strength of relationship with the

favorite brand they buy in a category

I may buy/use your

product, but I don’t

really put much

thought into it.

I know a little

about you, beyond

your product

I am making an

educated choice.

Given a choice,

I would pick your

brand. I appreciate

what you stand for.

We share common

values and see

the world in a

similar way.

We do things

together and for

each other.

We share a past

and a future.

So far they’re involved, but

commitment is the last mile

NOWStrength of relationship with the

favorite brand they buy in a category


GOAL

Commitment within reach–for all brand categories

Percent of relationships in category that are committed

Committed

4%

6%

10%

4%

6%

4%

3%

4%

5%

4%

5%

4%

3%

5%

4%

Automobile

Social

media

Mobile

carriers

Financial

services

1%

Fashion

Grocery

stores

Credit

cards

Travel

Personal

care

Retailers

Food

and

beverage

2%

Luxury

goods

Beer,

wine, and

spirits

Utilities

Prescription

medicines

Home

energy

management

Household

products

OTC

medicines


2%

17%

13%

13%

14%

13% 12% 12%

12%

12%

12%

12%

10%

10%

13% Global

13%

10%

10%

8%

Stay Loyal

When I buy products in this category,

it has to be this brand

I am happy to share my

personal data with this brand

I will stick with this brand even if a competitor is:

• getting better reviews

• more innovative

• greener

• treats workers better


Strong relationships drive

and protect your bottom line

Buy First

I am one of the first to try the brand’s new products

I am happy to pay more for this

brand’s products and services

0

80

60

40

20


The untapped opportunity

Interested Involved Invested CommittedIndifferent

Clear majority of buyers

will buy first and stay loyal

Percent of buyers who will

buy first and stay loyal


Defend

I defend this brand if I ever

hear someone criticize it

I will stick with this brand even

if something goes wrong

Strong relationships mean

your customers will go to work for you

Advocate

I always recommend this

brand if someone asks

I advocate for this brand even

when I am not asked

I like/rate what the brand

is saying on social media

I participate in creating

the brand’s content

0

80

60

40

20


The untapped opportunity

Clear majority of buyers

will advocate for and

defend your brand

Percent of buyers who will

advocate for and defend


The 4 consumer behaviors that increase the most

from Involved to Committed

Owned

+37+36+35+31

Difference between the percent of

Involved consumers who will take an

action and the percent of Committed

consumers who will take the same action


GlobalJapan

+48

+35

+32

+35

I participate in creating

the brand’s content

I am happy to pay more for

this brand’s products/ services

I am happy to share

personal data with this brand

I am one of the first to try the

new products/services of this

brand when they come out


Percentage point

change

You can’t buycommitment

28%31%

The brand’s website

Blogs

27%

Television

71%

85%regularly use traditional media sources for information about brands


Learning about brands:

earned media mattersPercent who use each media type regularly

Search engines

News articles

Shopping/retailwebsites not

owned by brand

31%

Social media sites

51%74% 70%

The radio Magazines

34%

62%


Earned media is the

most valued information sourceHow respondents describe different sources of information about brands and products

Earned Paid Peer Owned

Most entertainingNot selected as most valued

for any of these criteria

Not selected as most valued

for any of these criteria

Not selected as most valued

for any of these criteriaMost truthful &

trusted

Most likely to get me to

purchase a new brand or change my opinion

Most used for new product introduction

Most informative & reassuring

Most emotionally compelling

Most accessible

63%

66%

64%

Paid

Peer

Owned

Paid

65%

Talking aboutand with thebrand matters far more thanadvertising

73%

72%Peer

Owned

CommittedInterested Involved Invested

Percent who have used each type of media to engage with their favorite brand in the last 90 days

Globally, advertising buys Interest but conversations are

the foundations of a committed relationship


57%

54%

52%

Paid

Peer

Owned

43%

35%

34%

Paid

Peer

Owned

57%

54%

52%

Paid

Peer

Owned

From Involved to Committed, usage of peer and owned grow twice as fast

43%

35%

34%

Percent who have

used each type of

media to engage with

their favorite brand in

the last 90 days

Paid

Peer

Owned


65%

72%

73%

Paid

Peer

Owned

+8

+18

+21


52%

40%

40%

Paid

Peer

Owned

Paid

64%Japanese consumer’s use of paid media is same level as Global

55%

51%Peer

Owned

Japan is behind on driving

Conversations to elevate the relationship


Indifferent CommittedInterested Involved Invested

51%

33%

32%

Paid

Peer

Owned

43%

28%

25%

Paid

Peer

Owned

Percent who have used each type of media to engage with their favorite brand in the last 90 days

Japanese consumer’s use of peer and owned media is much behind Global

+13

+18

+23

From Involved to Committed, usage of owned grows the fastest

43%

28%

25%

Percent who have

used each type of

media to engage with

their favorite brand in

the last 90 days

Paid

Peer

Owned



51%

33%

32%

Paid

Peer

Owned

Paid

64%

55%

51%Peer

Owned

Earningcommitment

A better

customer

experience is

not enough

Owned

Incremental increase in importance of a

brand’s actions, comparing a

Committed to an Involved relationship


Enhances the bonds I have with my friendsI can always find it at my favorite stores

Values and morals match my own

Helps me feel better about myself

More reasonable prices than its competitors

Doing business with it is so convenient & easy

Makes my life significantly better

Significant source of useful information

The quality of its products is far better

I admire its heritage

Lowest incremental impact

bottom 10 of 35 attributes

From Involved to Committed

Smallest

Increase

Indifferent Interested Involved Invested Committed

Deepening the

bond requires

shared values

and action

Owned

Incremental increase in importance of a

brand’s actions, comparing a

Committed to an Involved relationship


Invites me to play part in its innovation process

It seems to really understand me

I get a lot of respect for owning & using it

Most up to date features

Represent a lifestyle I aspire to

Part of my social media landscape

Encourages review its products and services

Have a charismatic leader I can admire

I can always find it on my favorite shopping websites

It makes me feel special

Highest incremental impact

Top 10 of 35 attributes

From Involved to Committed

Largest

Increase

Indifferent Interested Involved Invested Committed

Relationship dimensions

The average strength of each dimension

of the brand relationship

42Embodies

unique

character

33Builds trust at

every touchpoint

30Acts with

purpose

Tells a

memorable

story

28

31Makes

its

mark

28Listens openly,

responds

selectively

32

Lowest marks


44

35

34

38

4238

39

33

Global

29Invites sharing,

inspires

partnership

Brands falling shorton engagement

Japan

Bring humor, entertainmentand enjoyment

to my life

r = .39

Shake things up

and disrupt business

as usual

r = .40


Have a

heritageI can admire

r = .42

It gets me and what is important

to me

r = .43

Relationship drivers

Top brand actions that improve the score for

tells a memorable story

r= correlation coefficient.

Invite and facilitate an ongoing

conversation with me

r = .37

Be an interestingpart of my

social media conversations

r = .35

Offer highly

personalizedand responsive

customer service

r = .37




listens openly, responds selectively


Bring humor, entertainmentand enjoyment

to my life

r = .33

Invite me in and let me play a part

r = .34

Shake things up

and disrupt business as usual

r = .35




inspires sharing, invites partnership



When brands get it rightSocial listening analysis capturing

consumer responses to various brand campaigns

Actively engage around shared values

Strengthen buying behaviors

Build deeper relationships

I will undoubtedly #OptOutside for

#BlackFriday. I love you @REI.

—@anonymous, Twitter

‘DIRT IS GOOD’Su-bloody-perb! And I feel

good about Persil without

feeling manipulated.

—Neil French, YouTube

“ “

Source: Social listening verbatims.

Thank you PayPal for standing

up against ignorance and

discrimination. I have been a PayPal

customer for more than 15 years

and I will continue to use and

recommend PayPal.

—@anonymous, Facebook

“

Earned BrandEnables

shared action

Committed Consumer

Buys first, stays loyal, advocates,

defends

CONSUMER

Purchase

BRAND

Engagement


Committedconsumers and

the Earned BrandAs brands expand their engagement to include shared

action, consumers become more committed

and go to work for the brand.

Committed consumers influence their peers

to also take action with and for the brand,

expanding the brand’s reach and penetration.

Their peer advocacy, loyalty and buying commitment

protect the brand against disruption, and give it a license

to disrupt.

This deeper, more active consumer relationship

is the hallmark of the Earned Brand.

2016 Earned Brand Japan

Business

Transcript of 2016 Earned Brand Japan