brandshareTM 2014 - Brazil

HOW BRANDS & PEOPLE CREATEA VALUE EXCHANGEPresented by Edelman Significa

brandshareTM 2014 © Daniel J. Edelman, Inc .

A VALUE EXCHANGE STARTS WITH PEOPLE’S NEEDS

CONSUMER

NEEDS

2

People’s needs have changeddue to an increasingly complex and interconnected world.


CONSUMER

NEEDS

MATCHED BY WAYS BRANDS CAN FULFILL THESE NEEDS

3

BRAND

BEHAVIORS

Actions brands can take to fulfill these new consumer needs.


AND THE DELIVERY OF MUTUAL BENEFIT

BRAND

BEHAVIORS

CONSUMER

NEEDS

4

VALUE

EXCHANGEQuantifiable value exchange based on shared contribution and benefit.


WE COMPARED CONSUMER NEEDS…

6

I can count on the

brand to deliver

consistent products

or services

1

The brand

delivers what

I need from a

product or

service

2

I want to be

associated with

the brand

The brand is an

essential part of

my life

I respect the

company’s

leaders

I feel good about

this company’s

commitment to its

community

I feel the brand

cares about

more than itself

1

2

3

4

5

I feel good buying

this company’s

products or services

6

7

I believe in the

brand’s purpose8

9


TO WAYS BRANDS COULD FULFILL THESE NEEDS…

Shares company history and heritage openly

Openly shares its vision for the future

Is open about company performance and holds leaders accessible

Communicates transparently about how its products are sourced and manufactured

Takes a stand on issues of importance to individual consumers

Offers many ways for consumers to ask questions and share opinions

Is quick to respond to people’s concerns and complaints

Helps people achieve their personal goals

Invites consumers to participate in events and live experiences

Invites consumers to interact online

Invites consumers to represent products and services to their social networks

7

Acts with a clear mission and purpose at its core1

2

3

4

5

6

Invites consumer participation in product development7

8

9

14

13

Uses its resources to drive change in the world12

11

10


AND EVALUATED HOW THEY COMBINE TO DELIVER BUSINESS OUTCOMES

8

Purchase

Recommend

Defend

1

2

3

Share Personal Information

Share Brand Content

4

5


WE LEARNED THERE IS:

Little value for the consumer in the current value exchange

A new consumer need state that drives value

Value in meeting emotional needs in new ways

9


LITTLE VALUE FOR THE CONSUMER IN THE CURRENT VALUE EXCHANGE

10


PEOPLE CONTRIBUTE. BRANDS BENEFIT.THERE IS LITTLE VALUE EXCHANGE.

Shared relationshipOne-sided relationship

66% 34%

11

Q24: Overall, would you say that brands that ask you to share with them (i.e. personal information,

stories, etc.) successfully share with you in return, or is it more of a one sided relationship?

Q25: Do you think brands are motivated to share with you because they have a sincere commitment

to their customers, or because they have a self-centered desire to increase profits?

Sincere commitment to their customers

Brands have self-centered desire to increase profits

70% 30%


PEOPLE CONTRIBUTE. BRANDS BENEFIT.THERE IS LITTLE VALUE EXCHANGE.

Shared relationshipOne-sided relationship

67% 33%

12

Q24: Overall, would you say that brands that ask you to share with them (i.e. personal information,

stories, etc.) successfully share with you in return, or is it more of a one sided relationship?

Q25: Do you think brands are motivated to share with you because they have a sincere commitment

to their customers, or because they have a self-centered desire to increase profits?

Sincere commitment to their customers

Brands have self-centered desire to increase profits

70% 30%


PEOPLE WANT MORE VALUE FROM BRAND RELATIONSHIPS

Want more meaningful relationships with brands

87%

17%

Think brands deliver

13

Q9: You will be presented with things that a brand could do to build and maintain a connection with you or

customers like you. For each one tell us if you feel that the brands that you like are currently doing each of

these things too much, just right, or not enough? [% who selected JUST RIGHT or NOT ENOUGH]

Q11: Please select the statements that you feel apply to [BRAND]. You may select as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRAND]}


PEOPLE WANT MORE VALUE FROM BRAND RELATIONSHIPS

Want more meaningful relationships with brands

73%

21%

Think brands deliver

14

Q9: You will be presented with things that a brand could do to build and maintain a connection with you or

customers like you. For each one tell us if you feel that the brands that you like are currently doing each of

these things too much, just right, or not enough? [% who selected JUST RIGHT or NOT ENOUGH]

Q11: Please select the statements that you feel apply to [BRAND]. You may select as many or as few as you feel apply. [Average % who stated sharing statements applied to [BRAND]}


Q5: You will be presented with things that a brand can do to build and maintain a connection with

you or customers like you. Thinking about brands that you like, how important is each of the

following to you? [5-Point Scale, Top 2 Box] Q11: Please select the statements that you feel apply

to [BRAND]. You may select as many or as few as you feel apply. [Average % who stated sharing

statements applied to [BRAND]

PEOPLE DEMAND GREATER RESPONSIVENESS…

78%

17%HOW THEY THINK BRANDS PERFORM

GAP

-61

PEOPLE SAY IT IS IMPORTANT

59%

18%

-41

Gives many ways to ask questions and give opinions

Respond quickly to people’s concerns and complaints

GAP

15







PEOPLE DEMAND GREATER RESPONSIVENESS…

87%

20%HOW THEY THINK BRANDS PERFORM

GAP

-67


74%

-54

Gives many ways to ask questions and give opinions

Respond quickly to people’s concerns and complaints

GAP

16


20%

MORE INVOLVEMENT…

Invites people to be a part of the development and refinement process

16%

52%

-36

Communicates openly and transparently about how products are sourced and made

15%

68%

-53


GAP

GAP

17


HOW THEY THINK BRANDS PERFORM






MORE INVOLVEMENT…

Invites people to be a part of the development and refinement process

67%-48

Communicates openly and transparently about how products are sourced and made

21%

84%

-63


GAP

GAP

18


HOW THEY THINK BRANDS PERFORM 19%






AND REAL CONVICTION FROM BRANDS

21%

58%-37


15%

-37

52%

Uses its resources to drive change in the world

Has a clear mission and purpose at its core

GAP

GAP

19








AND REAL CONVICTION FROM BRANDS

25%

73%

-48


18%

-53

71%


Has a clear mission and purpose at its core

GAPGAP

20








CONSUMERS ACROSS THE WORLD WANT MORE VALUABLE RELATIONSHIPSGAP BETWEEN IMPORTANCE AND BRAND PERFORMANCE

DEVELOPED DEVELOPING

-65 -53Respond quickly to people’s concerns and complaints

-54 -48Communicates openly and transparently about how products are sourced and made

-39 -45Gives many ways to ask questions and give opinions

-34 -43Invites people to be a part of the development and refinement process

-34 -41Has a clear mission and purpose at its core

-33 -38Uses its resources to drive change in the world

-32 -40Lets people know the company’s mission and vision for the future

-32 -46Takes a stand on the issues I care about most

21


EVERY GENERATION DEMANDS MORE VALUE

MILLENNIALS GEN X BOOMER

-54 -62Respond quickly to people’s concerns and complaints -70

-49 -53Communicates openly and transparently about how products are sourced and made -57

-39 -42Gives many ways to ask questions and give opinions -41

-34 -37Invites people to be a part of the development and refinement process -38

-38 -38Has a clear mission and purpose at its core -34

-35 -38Uses its resources to drive change in the world -33

-32 -34Lets people know the company’s mission and vision for the future -34

-37 -38Takes a stand on the issues I care about most -33

22

GAP BETWEEN IMPORTANCE AND BRAND PERFORMANCE


EMOTIONAL AND RATIONAL NEEDS ARE MERGING

23


Rational needs were the reason to believe

MEETING EMOTIONAL NEEDS HAS BEEN ABOUT HOW BRANDS MAKE PEOPLE FEEL

24



.25 .3 .35 .4.2.15

RATIONAL EMOTIONAL

25

.3 .25 .2 .15.35.4

QUICKLY RESPONDS TO PEOPLE’S CONCERNS AND COMPLAINTS

ACTS WITH CLEAR MISSION AND PURPOSE AT ITS CORE

GIVES MANY WAYS TO ASK QUESTIONS AND GIVE OPINIONS

MOST IMPACT LEAST IMPACT MOST IMPACT



.25 .3 .35 .4.2.15

RATIONAL EMOTIONAL

26

.3 .25 .2 .15.35.4

ACTS WITH CLEAR MISSION AND PURPOSE AT ITS CORE

GIVES MANY WAYS TO ASK QUESTIONS AND GIVE OPINIONS

QUICKLY RESPONDS TO PEOPLE’S CONCERNS AND COMPLAINTS

MOST IMPACT LEAST IMPACT MOST IMPACT


SHARE BRAND CONTENT

PURCHASE DEFENDRECOMMEND SHARE PERSONAL INFO

WILL NOT

BRAND BEHAVIORS THAT MEET EMOTIONAL AND RATIONAL NEEDS DELIVER GREATER PURCHASE, DEFENSE AND RECOMMENDATION

27

EMOTIONAL + RATIONAL

EMOTIONAL

RATIONAL

DEFINITELY WILL


4

5

6

7

8

9

10

3

2

1

+9% +11%

+5%

SHARE BRAND CONTENT

PURCHASE DEFENDRECOMMEND SHARE PERSONAL INFO

WILL NOT

BRAND BEHAVIORS THAT MEET EMOTIONAL AND RATIONAL NEEDS DELIVER GREATER PURCHASE, DEFENSE AND RECOMMENDATION

28

EMOTIONAL + RATIONAL

EMOTIONAL

RATIONAL

DEFINITELY WILL

4

5

6

7

8

9

10

3

2

1

+9% +11%

+8%


A NEW CONSUMER NEED STATE HAS EMERGED THAT DRIVES VALUE

29


I feel good about this company’s commitment to its community

30

I feel the brand cares about things other than itself

I believe in the brand’s purpose

FULFILLING SOCIETAL NEEDS DRIVES BUSINESS OUTCOMES


Q5: You will be presented with things that a brand can do to build and maintain a connection with you or

customers like you. Thinking about brands that you like, how important is it for brands to [communicate

openly and transparently about how products are sourced and made]? [5-Point Scale, Top 2 Box]

PEOPLE WANT INCREASED TRANSPARENCY

2013

54% 682014

%

31

Percentage of people who feel it is important for brands to communicate openly and transparently about how products are sourced and made


Q5: You will be presented with things that a brand can do to build and maintain a

connection with you or customers like you. Thinking about brands that you like, how

important is it for brands to [communicate openly and transparently about how

products are sourced and made]? [5-Point Scale, Top 2 Box]

PEOPLE WANT INCREASED TRANSPARENCY

2013

73% 842014

%

32

Percentage of people who feel it is important for brands to communicate openly and transparently about how products are sourced and made


Takes a stand on the issues I care about most


Invites people to be a part of the development and refinement process for products or services

Lets people know the company’s mission and vision for the future

SOCIETAL NEEDS EXTEND BEYOND TRADITIONAL DEFINITIONS OF CORPORATE RESPONSIBILITY AND SUSTAINABILITY

33

TOP FOUR BRAND BEHAVIORS THAT CORRELATE TO CONSUMERS’ SOCIETAL NEEDS


Takes a stand on the issues I care about most


Invites people to help represent products and services to others

Invites people to be a part of the development and refinement process for products and services

SOCIETAL NEEDS EXTEND BEYOND TRADITIONAL DEFINITIONS OF CORPORATE RESPONSIBILITY AND SUSTAINABILITY

34

TOP TWO BRAND BEHAVIORS THAT CORRELATE TO CONSUMERS’ SOCIETAL NEEDS


OTHER NON-TRADITIONAL BRAND BEHAVIORS THAT CORRELATE TO CONSUMERS’ SOCIETAL NEEDS

MEETING SOCIETAL NEEDS ACTIVATES SHARING PERSONAL INFO AND BRAND CONTENT

SHARE BRAND CONTENT

PURCHASE RECOMMEND DEFEND SHARE PERSONAL INFO

MOST IMPACT

NO IMPACT

35

SOCIETAL

0

.2

.25

.3

.35

.4


MEETING SOCIETAL NEEDS ACTIVATES SHARING PERSONAL INFO AND BRAND CONTENT

SHARE BRAND CONTENT

PURCHASE RECOMMEND DEFEND SHARE PERSONAL INFO

MOST IMPACT

NO IMPACT

36

SOCIETAL

0

.2

.25

.3

.35

.4


MEETING PEOPLE’S THREE NEEDS STATES COMPOUNDS BENEFIT TO BRANDS

PURCHASE+ 8%

DEFEND+10%

RECOMMEND+12%

SHARE PERSONAL INFO+11%

SHARE BRAND CONTENT+12%

37

RATIONAL

EMOTIONAL

SOCIETAL


+

+

MEETING PEOPLE’S THREE NEEDS STATES COMPOUNDS BENEFIT TO BRANDS

PURCHASE+ 9%

DEFEND+12%

RECOMMEND+11%

SHARE PERSONAL INFO+12%

SHARE BRAND CONTENT+14%

38

RATIONAL

EMOTIONAL

SOCIETAL


+

+

CREATING A VALUE EXCHANGE

39


STORYTELLING &STORYSHARING

RECOGNIZE THAT PARTICIPATION COMES IN MANY FORMS

PROMOTE YOUR BRAND BY INVITING PEOPLE TO ACTIVELY PARTICIPATE IN WAYS THAT ARE MEANINGFUL TO THEM

40

OF RESPONDENTS THINK IT’S IMPORTANT TO INVITE PEOPLE TO BE A PART OF THE PRODUCT/SERVICE DEVELOPMENT AND REFINEMENT PROCESS2%5


STORYTELLING &STORYSHARING

RECOGNIZE THAT PARTICIPATION COMES IN MANY FORMS

PROMOTE YOUR BRAND BY INVITING PEOPLE TO ACTIVELY PARTICIPATE IN WAYS THAT ARE MEANINGFUL TO THEM

41

OF RESPONDENTS THINK IT’S IMPORTANT TO INVITE PEOPLE TO BE A PART OF THE PRODUCT/SERVICE DEVELOPMENT AND REFINEMENT PROCESS%67


ALIGN MARKETING AND CORPORATE COMMUNICATIONS EFFORTS TO ENSURE YOUR STORY IS HEARD AND SHARED

EVOLVE YOUR BRAND TO INCLUDE BOTH BRAND PROMISE AND BRAND PURPOSE

CONVICTION & COMMITMENT

OF CONSUMERS BELIEVEBRANDS MUST HAVE A CLEAR REASON OR PURPOSE80%

42


ALIGN MARKETING AND CORPORATE COMMUNICATIONS EFFORTS TO ENSURE YOUR STORY IS HEARD AND SHARED

EVOLVE YOUR BRAND TO INCLUDE BOTH BRAND PROMISE AND BRAND PURPOSE

CONVICTION & COMMITMENT

OF CONSUMERS BELIEVEBRANDS MUST HAVE A CLEAR REASON OR PURPOSE80%

43


LISTEN, LEARN AND ADAPT BASED ON WHAT PEOPLE TELL YOU ABOUT THEMSELVES AND YOUR BRAND

PROTECT YOUR BRAND BY INCORPORATING CUSTOMER SERVICE INTO YOUR MARKETING STRATEGY

ALWAYS ON & ALWAYS ADAPTING

OF RESPONDENTS FEEL THEY SHOULD BE ABLE TO COMMUNICATE AND INTERACT WITH BRANDS QUICKLY, IN REAL-TIME87%

44


LISTEN, LEARN AND ADAPT BASED ON WHAT PEOPLE TELL YOU ABOUT THEMSELVES AND YOUR BRAND

PROTECT YOUR BRAND BY INCORPORATING CUSTOMER SERVICE INTO YOUR MARKETING STRATEGY

ALWAYS ON & ALWAYS ADAPTING

OF RESPONDENTS FEEL THEY SHOULD BE ABLE TO COMMUNICATE AND INTERACT WITH BRANDS QUICKLY, IN REAL-TIME87%

45


CONSUMER ACTIONS

CONSUMER NEEDS

RECOMMEND

DEFEND

PURCHASE

46

BRANDBEHAVIORS

RATIONAL

EMOTIONAL

MOVING FROM A TRANSACTION-BASED VALUE EQUATION…


CONSUMER ACTIONS

CONSUMER NEEDS

RECOMMEND

DEFEND

PURCHASE

47

BRANDBEHAVIORS

RATIONAL

EMOTIONAL

SHARE PURCHASE

INFO

SHARE BRAND

CONTENT

SOCIETAL

TO ONE THAT’S DYNAMIC AND MULTIDIMENSIONAL


OBRIGADO

Copyright ©2014 Daniel J. Edelman, Inc. All rights reserved. All information contained herein is confidential and proprietary to Daniel J. Edelman, inc. (“Edelman”).

@EdelmanSig

www.edelmansignifica.com

[email protected]

brandshareTM 2014 - Brazil

Business

Transcript of brandshareTM 2014 - Brazil