WOM MARKETING.MEASUREMENT GUIDELINES. Thinking about the KPIs of WOM marketing. The Word of Mouth Japan Marketing Association. WOM Method Committee

1. WOM MARKETING
MEASUREMENT
GUIDELINES
Thinking about the KPIs
of WOM marketing
9/2012
The Word of Mouth Japan
Marketing Association
WOM Method Committee

2. 2 GUIDELINES
WOM Method Committee Members
WOM MARKETING METHOD
■Chairman
Masayuki Nakajima Kokokusha Co., Ltd
■Members
Yu Ishida Agile Media Network Inc.
Takahiro Ugajin ADK, Inc
Koki Uchiyama Hotto Link
Hiroshi Oridate BILCOM Inc.
Nozomi Kawashimo D.A.C
Dr. Takayoshi Kawai Tokai University
Kenichi Kikui Tokyu Agency Inc.
Munehiro Kishinami Aoyama Gakuin Human Innovation Consulting Inc.
Satoshi Kurokawa Kokokusha Co., Ltd
Masahiro Sano Gala Buzz
Hirokazu Sato Hot Link
Mayuki Morinaga Hakuhodo DY MediaPartners

3. Are you familiar with “festivals" on the Web?
GUIDELINES
WOM MARKETING METHOD
Original research by Hakuhodo ( 博報堂 )
Dates: March 3 & 4, 2012
Internet research in Japan
Respondents: Men and women, aged 15-69, 4000ss, nationwide
（ Database: J-Read all Japan newspaper survey ）

4. Survey: Topics on the Web during the past year
4 GUIDELINES
WOM MARKETING METHOD
The 5 most popular “festival” topics on the Web (see following pages)
１８ . ８％ ４６ . ６％ ６５ .
１３ . ５％ ２７ . ２％ ４０ . ７％
7.1% ２０ . ７％ ２７ . ８％
3.9% ２２ . ７％ ２６ . ５％
10.2% １５ . ２％ ２５ . ３％
■Know well
■Know something

5. A: Awareness rate
65.3%
5 GUIDELINES Deep awareness rate 18.8%
WOM MARKETING METHOD
Did you know?
Glico, a Japanese food company, featured a “virtual member”
of pop group AKB48 in its TVC for "ICE-NO MI” (Fruit Ice)?
She is a CG rendition created from parts of various members of AKB48

6. A: Awareness rate 65.3%
6 GUIDELINES Deep awareness rate 18.8%*
WOM MARKETING METHOD
Breakdown of 18.8% deep awareness
Men, 15-19: 35.4% Women, 15-19: 36.0%
Know first by: Know first by:
・ TV program ・ TV program
・ 2ch ・ 2ch summary site ・ Word of mouth from a friend or family
・ Yahoo ! news ・ Twitter
・ newspaper ・ Yahoo! news
・ Word of mouth from ・ 2ch ･ 2ch summary site
a friend or family Women, 20-29: 30.7%
Know first by:
・ TV program
*Awareness rate = includes “Know
something”
・ Yahoo! news
Deep Awareness rate = only “Know ・ mixi
well”
・ twitter
・ Word of mouth from a friend or family

7. B: Awareness rate 40.7%
7 GUIDELINES Deep awareness rate 13.5%
WOM MARKETING METHOD
Did you know?
After the Great East Japan Earthquake disaster,
many public TVCs were broadcast daily by the
AC (Advertising Council Japan).
A parody video of AC TVC“Popopo-pown”
became very popular.
AC TVC: “popopo-pown” ( ぽぽぽぽーん）
http://www.YouTube.com/watch?v=dXD-
KzMzcQI&feature=related
Parody of “popopo-pown”
The popopo-pown robot
http://www.YouTube.com/watch?v=Y2pB7W5g4m4

8. B: Awareness rate 40.7%
8 GUIDELINES Deep awareness rate 13.5%
WOM MARKETING METHOD
Breakdown of 13.5% deep awareness.
Men, 15-19: 44.5% Women, 15-19: 34.8%
Know first by: Know first by:
・ Niko-Niko doga ・ Niko-Niko doga
・ Youtube ・ Youtube
・ 2ch ・ 2ch summary site ・ 2ch ・ 2ch summary site
・ Word of mouth from ・ Word of mouth from
a friend or family a friend or family
・ Twitter ・ Yahoo! news
Women, 20-29: 24.3%
Know first by:
・ Niko-Niko doga
・ Youtube
・ 2ch ・ 2ch summary site
・ Word of mouth from
a friend or family
・ TV program

9. C: Awareness rate 26.5%
9 GUIDELINES Deep awareness rate 3.9%
WOM MARKETING METHOD
Did you know?
Toyota U.S.A. TVC featured Miku Hatsune who is
a famous virtual idol.

10. C: Awareness rate 26.5%
10 GUIDELINES Deep awareness rate 3.9%
WOM MARKETING METHOD
Breakdown of 3.9% deep awareness
Men, 15-19: 17.1%
Know first by:
• 2ch ・ 2ch summary site
• Niko-Niko doga
• TV program
• Newspaper
• Twitter

11. 11 GUIDELINES Starting point for committee discussion
WOM MARKETING METHOD
We want to measure the degree of influence our
communication has on its intended target.
But:
We don’t want to limit our measurements to the Web,
because it does not give us the entire picture.

12. 12 GUIDELINES
Considerations for measurement of WOM
WOM MARKETING METHOD
It is important to measure the effect of WOM correctly
without being confused by extreme data on the Web,
such as re-tweets, followers, and “Likes”.
We need to identify the appropriate data for each specific
marketing goal.

13. 13 GUIDELINES
Objectives of WOM Method Committee
WOM MARKETING METHOD
• Establish guidelines for measurement of the effect of
WOM on marketing campaigns.
First, we need to define the effects of WOM.
1) What kind of data should be used to measure the effect of WOM
and when should we measure it?
2) We have to think about the effect of WOM in real life, not only on
Social Media.
3) What kind of methods are used at present?

14. 14 GUIDELINES
The premise of WOM measurement guidelines
WOM MARKETING METHOD
●Our discussion range
In general, there are two analysis points for measurement of WOM.
1) Analyze what and how is conveyed by WOM.
2) Analyze WOM with research panel.
We will discuss only 1) in 2012.
● The ultimate goal for this year is to define guidelines for
measuring the effect of WOM and changes in consumer behavior
and action paths as affected by corporate marketing activities.

15. 15 GUIDELINES 1. WOM measurement case studies
WOM MARKETING METHOD
We analyzed three different types of WOM.
(1) The effect of WOM on perception changes
(consumer research)
(2) Engagement analysis
(users’ behavior in Facebook)
(3) Measurement of overall campaign reaction by WOM analysis
(users’ behavior in twitter)

16. 16
1-①
Analysis of the effect of WOM
on perception changes
(consumer research)
Researched by
WOMLabo (Kokokusha Co., Ltd)

17. ① Analysis of effect of WOM on perception
17 GUIDELINES change
WOM MARKETING METHOD
Spread of WOM ＊ Kuchikomi Survey 2012
Interest in WOM 57.9%
③ Effect of WOM on
① Effect of WOM perception change
Consumer
Awareness ・・（ A ）
Awareness via WOM 60.4% Potential customer (Trigger brand awareness)
1 In store promotion 30.7%
2 TV 16.6%
Interest via WOM 62.6% Prospect
3 Website 14.4%
Trigger to purchase via WOM 56% Person who wants
to buy your brand
Trigger interest ・・（ B ）
1 In store promotion 31.2%
2 TV 15.3%
Customer
① WOM transmission path 3 Search engine 12.5%
WOM G0
● Shared own experience by WOM ・・･ 36%
Trigger purchase ・・（ C ）
● Shared something seen/heard by WOM ･････ 41%
WOM G1 1 In store promotion 26.8%
(Share third person’s testimonials by wom) 2 TV 13.3%
● Experience of tweeting,re-tweeting,”Like” ・・ 3 Website 13.2%
28%
WOM G2
● WOM to whom? （ friends & acquaintances) ・ * About products and services purchased
49.6% within past six months
● WOM method （ actual meeting ）・・・･
Share by WOM
75.8%
data ： WOMlabo http://www.womlabo.com/

18. ① Analysis of effect of WOM on perception change
18 GUIDELINES
WOM MARKETING METHOD
The following were defined as WOM
Types of WOM measured
1 WOM from a friend in real world Real
2 Coworker Real
3 User Real/Net
4 WOM from a friend in his/her community Real/Net
5 Web communities and blogs Net
6 WOM community （ ex Kakaku.com,Tabelog ） Net
7 WOM from SNS like mixi/twitter/Facebook Net
8 YouTube/NIKO-NIKO DOGA Net

19. ラジオ Radio
かけ
興味を持ったきっかけ
テ レビ の タ レ ン ト等 の有
めて知ったきっ
名 人 TV personality
購入の後押し
そ の 分 野 の 専 門 家 の 人 Professional
endorsement
はじ
電 車 ・バ ス 車 内 広 告 、駅
貼 ポ スター Transit ads
① Analysis of effect of WOM on perception
そ の他 Other
n727）
新聞 Newspaper
－ 33.0%
－ 32.7%
Perception change
全体
- 29.8%
Flier in a newspaper
折込 チラシ
態度変容（
雑誌 Magazine
Trigger purchase
Trigger interest
Effect of WOM
Search engine
ネ ット検 索
Awareness
Website
ホ ー ム ペー ジ
TV
source ： http://www.womlabo.com/
テ レビ
ク チ コミ WOM
店頭 Retail promotion
change
5
0
35
30
25
20
15
10
respondents
All
GUIDELINES
19 WOM MARKETING METHOD

20. Professional
endorsement
そ の分 野 の専 門 家 の人
（セ ー ル ス マ ン 含 む ）
かけ
かけ
テ レビ の タ レ ン ト 等 の 有 名
はじめて知ったきっ
興味を たきっ
人 TV personality
購入の後押し
持っ
ラジオ Radio Transit ad
電 車 ・バ ス 車 内 広 告 、駅 貼
① Analysis of effect of WOM on perception
ポ スタ ー
n=127）
新聞 Newspaper
飲料
- 26.8%
Perception change
雑誌
- 27.6%
Magazine
Trigger purchase - 23.6%
食品・
そ の他
Effect of WOM
Other
態度変容（
折 込 チラ シ Flier in a newspaper
Trigger interest
Awareness
ホ ー ム ペー ジ Website
ネ ット 検 索 Search engine
source ： http://www.womlabo.com/
テ レビ TV
ク チ コミ WOM
店頭 Retail promotion
5
0
45
40
35
30
25
20
15
10
change
beverage
Food &
users
20 GUIDELINES
WOM MARKETING METHOD

21. 21 Consumer research
Understanding the effect of WOM on your brand through
GUIDELINES
WOM MARKETING METHOD
consumer research
Spread of WOM
③ Effect of WOM on
① Effect of WOM perception change
Consumer
Potential customer First Awareness
*effect of WOM
Prospect
Person who wants
Trigger interest
to buy your brand *effect of WOM
① WOM transmission path Customer
WOM G0 Trigger purchase
*effect of WOM
WOM G1
WOM G2

22. 22
② Engagement analysis
（ effect of WOM via
Facebook ）
Data source
Bilcom

23. 23 GUIDELINES
② Analysis example （ Facebook ）
WOM MARKETING METHOD
WOM measurement considerations
Measure effects WOM based on quality rather than quantity
Measure the quality
A fan has many needs
of fan loyalty
・ Corporate information ・ Response to submissions
・ Product and sales information ・ Reach of WOM

24. 24 GUIDELINES
② Analysis example 1(Facebook)
WOM MARKETING METHOD
Facebook analysis points
1. Analyze the information transmission structure of Facebook
2. Notice fans talking rather than the # of fans.
- Fan activity is more important number of fans
3. Analyze reach in detail.
4. Analyze each message to identify ways to activate fans.

25. 25 GUIDELINES
② Analysis example 1 (Facebook)
WOM MARKETING METHOD
1.Analyze the information transmission structure of Facebook
The index on Facebook
Path of information on Facebook
Information Spread
Reactions from
Capture a fan disseminated of information
fans
from a brand
・ #s who tell a friend ・ # of WOM
・ # of fans ・ # reached
└ Like
└ Comment
└ Share
└ Answer a question
Periodical investigations are performed to create a benchmark.

26. 26 GUIDELINES
②Analysis example 2 (Facebook)
WOM MARKETING METHOD
Facebook analysis points
1. Analyze the information transmission structure of Facebook
2. Notice fans talking rather than the # of fans.
- Fan activity is more important number of fans
3. Analyze reach in detail.
4. Analyze each message to identify ways to activate fans.

27. 27 GUIDELINES
②Analysis data 1 （ Facebook ）
Compare changes in # of fans with
WOM MARKETING METHOD
changes in # of people who talk about it.
Example of a page where increase in # of fans leads to increased activity
ファン数 話題にしている人数
# of fans # of people who talk about it
Increasing # of fans influences the #
of people who talk about it.
↓
Increasing # of fans facilitates spread
of engagement and information.

28. 28 GUIDELINES
②Analysis data 2 (Facebook)
WOM MARKETING METHOD
Example of a page where increase in # of fans does not
lead to increased activity.
ファン数 話題にしている人数
# of fans # of people who talk about it
The increasing # of fans does not influence
the # of people who talk about it.
↓
They have failed to capture true fans.

29. 29 GUIDELINES
②Analysis example (Facebook)
WOM MARKETING METHOD
Facebook analysis points
1. Analyze the information transmission structure of Facebook
2. Notice fans talking rather than the # of fans.
- Fan activity is more important number of fans
3. Analyze reach in detail.
4. Analyze each message to identify ways to activate fans.

30. 30 GUIDELINES
②Analysis example(Facebook)
3. Breakdown and analysis of Facebook reach.
WOM MARKETING METHOD
Data concerning reach that can be obtained from Facebook Insight:
the # of unique users who viewed contents about your
Organic reach Facebook page on newsfeed, real time feed in
Facebook.
the # of unique users who viewed your brand’s topic
WOM reach from a friend’s article.
the # of unique users who viewed a Facebook AD or
Paid reach
sponsor article linked to a Facebook page.

31. 31 GUIDELINES
②Analysis data 3 (Facebook)
3. Breakdown and analysis of Facebook reach
WOM MARKETING METHOD
Comparison of organic reach and WOM reach numbers.
Organic reach ＞ WOM reach
オーガニッ ーチ
クリ クチコミ ーチ
リ ファン数
Organic reach is greater # of fans
than WOM reach
↓
WOM doesn’t work effectively
organic reach
WOM reach

32. 32 GUIDELINES
②Analysis data 4 (Facebook ）
WOM MARKETING METHOD
Organic reach ＜ WOM reach
オーガニッ ーチ
クリ クチコミ ーチ
リ ファン数
WOM reach is greater than organic reach, and
reach exceeds the # of fans. WOM reach
↓
The power of WOM has been harnessed
effectively
# of fans
Organic reach

33. 33
③ Measurement of overall
campaign reaction by WOM
analysis (twitter)
Data source
Hot link

34. ③Analysis example(twitter)
34 GUIDELINES
Twitter analysis points
WOM MARKETING METHOD
1.Analysis to include volume of information propagated via twitter
Points to watch: # of tweets; # reached; # of information exposures
2. Check content of frequent topics.
It is important to analyze not only "negative / positive" but also "topic of
conversation” and “attitudinal status of user mind”
3. Check the information source and identify the influencer
Track the spread of information: Quoted URL, influencers, propagation
routes of WOM.
4. Analysis based on comparison of “timeline” “competition” and "other
media”. Comparison and analysis of “before, during, and after”,
competitors’ activity, and other data will provide insight into overall
campaign reaction.

35. ③ Analysis example (twitter)
35 Indices: # of tweets; # reached; # of information exposures
1: Analyze not only the number of tweets but also the volume of
GUIDELINES
WOM MARKETING METHOD
information propagated.
Case Study: HANA-MARU UDON ( はなまるうどん ) campaign (major FC food company)
Announcement of extension of expiration date for outdated coupons generated a spike of 7x normal number of
Tweets.
Tweets of this campaign spiked to
7x normal levels.
Exposure refers to all # reached
web exposure, not # of exposures
limited to unique users. # of tweets

36. ③ Analysis example(twitter)
36 GUIDELINES Index: Positive and negative changes
WOM MARKETING METHOD
2: Assess positive and negative changes on Twitter
Case study: Hana-maru-udon campaign
Negative Positive
% of tweet
＃ of positive tweets during campaign 2.977 ＃ of negative tweets during campaign 278
Average ＃ of positive tweets in a day 496 Average ＃ of negative tweets in a day 46

37. ③ Online comments (twitter)
37 GUIDELINES Index: Attitudinal status of user mind
WOM MARKETING METHOD
Analyze users’ attitudinal status from content of tweets.
Case study: HANA-MARU-UDON campaign comments
Tell a friend
I am fascinated with Hana-maru
I experienced this campaign
I want to enter this campaign
I am interested in it

38. ③ Analysis example(twitter)
38 GUIDELINES Index: Identify influencers and the power of influence
Case study: Hana-maru-udon campaign
WOM MARKETING METHOD
The power of influencers = the number of reaction from follow
Ranking
「 himasoku123 」→「 otakomu 」→「 news4kojiki 」… major influencers in
order
Ranking of the influence
Distribution of the power of influencers

39. ③ Analysis example （ twitter ）
39 GUIDELINES
Index: Analyze propagation routes
Analyze movement of information from who to who at what timing.
WOM MARKETING METHOD
Case study: Hana-maru-Udon campaign
We can identify specific group networks
楕円のサイズ ： 影響力
色の濃さ ： Follower 数
←( 黒矢印 ) ： Follow 関係
←( 赤矢印 ) ： RT した / された関係

40. 40 GUIDELINES
Summarize
 Identify the objective of the measurement.
WOM MARKETING METHOD
- for advertising strategy
- for a specific advertising effect
- for long-term engagement
- for a short-term change of consciousness
• How to incorporate WOM to trigger a desired action?
• Were you able secure engagement for your brand
?
• Were you able to expand awareness through your
Facebook campaign?

41. WOM measurement guidelines
The kind of the data which can be used for measurement of WOM
41 ① Consumer
research
② Facebook ③ Blogs
and Twitter
Others
Campaign exposure
Total campaign volume
Total volume of related
Attention words gathered by Social
Listening
Effect of WOM on
Perception Change
Interest Awareness # of campaign participants
Interest
Purchase trigger
Search
Effect of WOM
# of exposures
Action # of fans # reached
# of trials
#of tweets
WOM transmission # talking about ・ Content of wom
Share path your brand. ・ information source
・ organic reach ・ Who is the
・ wom reach influencer