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Leveraging User Generated Video in the Marketing Mix
Persuasive Potential of Consumer-Produced Content
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2© comScore, Inc. Proprietary.
Daphne KwonCEO, EXPO Communications, Inc.
Frank Findley VP Research & Development
Your Speakers
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EXPO Communications, Inc. Overview
EXPO Communications, Inc. has been involved in commerce video since 2004 founded by a team from Oxygen Media, General Atlantic Partners and Amazon.
EXPO distributes its product review video catalog on expotv.com as well as to:
Retailers including Amazon.com, Drugstore.com, Staples.comSocial media such as Facebook and YouTubeManufacturer websites and mobile appsPaid media including pre-roll, rich media campaigns, newsletters
A community of over 75,000 members have contributed over 330,000unbiased video product reviews to help other consumers make buying decisions
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4© comScore, Inc. Proprietary.
Generating accountable, authentic user-gen video reviews
Over the past 5 years, EXPO has enabled consumers to inform other consumers through the power inherent in video. The process includes
1. Accepting reviews on any nationally available product
2. Publishing all videos received, regardless of positive or negative opinion, so long as it meets our quality standards
3. Screening each video for relevance and quality
4. Rewarding consumers who submit quality reviews by offering recognition, contests, loyalty ‘points’, and special consumer programs such as obtaining exclusive pre-launch product.
5. EXPO T&Cs include agreement that the reviewer does not work for the manufacturer, or is not otherwise enriched by their review, and includes their full name and contact information.
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comScore Digital Business Analytics
Audience Measurement Site AnalyticsVertical Market SolutionsSocial Analytics
Copy TestingCampaign VerificationAd EffectivenessCross Media
Mobile Audience MeasurementNetwork Analytics & OptimizationCustomer Experience & Retention Management
User Analytics
Advertising Analytics
Mobile Analytics
Uni
fied
Dig
ital M
easu
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ent™
V0910
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comScore Acquires ARS
Acquired Feb 2010
Heritage of Quality Measurement and Research on Research
40+ years and 40,000+ tests
Our Promise is to Improve Advertising’s Sales Effectiveness
End-to-end cross media advertising analytics solutions
Focus on Recall, Persuasion, and the drivers of each
V0910
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Power of the ARS Persuasion® Measure
TVMobile
RadioPrint
Digital
ARS Persuasion Facts:
Higher ARS Persuasion scores lead to higher sales, share and cash flow
The world’s largest advertisers use ARS Persuasion to improve their business performance
ARS Persuasion is now embedded in many of comScore’s existing products
V0910
ARS Persuasion is the Most Documented & Independently Certified Predictive Measure of Advertising in the World.
ARS Persuasion is the Most Documented & Independently Certified Predictive Measure of Advertising in the World.
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8© comScore, Inc. Proprietary.
2009 U.S. Measured Media Spend $147 Billion
Dire
ct
Res
pons
eB
rand
ing
$91B
$55B
2009 U.S. Online Media Spend$24 Billion
$6B
$18B
63%
37%
6% of branding dollars
30% of direct response
dollars
Online Advertising: Leaving Branding Dollars on the Table
Source: Barclays, ThinkEquity Partners, Brand.net
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9© comScore, Inc. Proprietary.
‐20%
0%
20%
40%
60%
80%
100%
Do CPG campaigns online drive sales?.... Absolutely
Norms for comScore CPG Sales ROI Studies– 82% of campaigns showed a positive
– Average Sales Lift 22%
Source: comScore CPG Ad Effectiveness Study
Percent Lift in Dollar Sales
# Offline Sales Effectiveness Studies
82% of campaigns showed a positive
sales lift
Average $ lift: 22%
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10© comScore, Inc. Proprietary.
Display advertising early mistake #1: Clutter
Source: ARF Rethink 2010, Jeffrey Hackett
Effective visual branding should have started simple. Television, not newspaper, should have been the model for monetizing online content.
Can you imagine?
Clutter Brand advertisers tell stories. They don’t want to compete with other advertisers. This is a better model for display.
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11© comScore, Inc. Proprietary. Source: ARF Rethink 2010, Jeffrey Hackett
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Online video growth is a significant opportunity for advertisers to expand the audience they reach with compelling creative
Source: comScore Video Metrix
Online Video Viewers (MM)
Average time spent viewing online videos is up 113% versus last year
Online video reaches 81% of the web population each month
Videos Viewed & Minutes Spent per Viewer
Videos/Viewer – up 68%
Minutes/Viewer – up 113%
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Video advertising is significant in terms of online audience reach
Source: comScore Video Metrix 2.0, June 2010
63% of the online audience is currently reached by video advertising each month
83% of all online spending comes from them
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Facebook monthly UVs now over 145 million in U.SU
niqu
e Vi
sito
rs (0
00)
Number of Unique U.S. Visitors (000) to Facebook.com Source: comScore Media Metrix
Number of Unique U.S. Visitors (000) to Facebook.com Source: comScore Media Metrix
+66% in July 2010 vs. YA
Source: comScore Media Metrix Media
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Twitter experienced explosive growth in early 2009, now at 20+ million monthly UVs.
Source: comScore Media Metrix Media
Total Unique Visitors (000) to Twitter.com
Uni
que
Visi
tors
(000
)
24.8 million UVs+17% vs. July ‘09 & +3066% vs. July ‘08
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75,000 members have contributed over 330,000 videos since 2005
EXPO CommunityA place where consumers share their product stories
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17© comScore, Inc. Proprietary.
Research questions
Are user generated video reviews a potentially persuasive vehicle for marketing communications?– Do user generate videos contain executional elements proven to be drivers of
persuasive communications?– Does this occur at a level to be useful for branding purposes?
Are user generated product review videos best used as a replacement or a complement to existing branding vehicles?– Do user generated reviews fill any “gaps” not addressed in other media
vehicles?
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Executional factors explain differences in advertising performance
In 1984, Vanderbilt University and The Marketing Science Institute identified over 150 different strategic and executional content elements thought to influence an ad's potential selling power across four key dimensions:
Emotional ConnectionRational ConnectionBrand Linkage AbilityAdvertising Structure
Source: Analysis of the Impact of Executional Factors on Advertising Performance Stewart, Furse/JAR -Dec 1984
Republished in 2000 by the JAR as one of the articles that has withstood the test of time
Originally these "validated" content drivers were used in copytesting as diagnostics to explain differences in ARS Persuasion and Related Recall results.
Later, they became "rules of thumb" used by advertisers and agencies to help guide creative development.
More recently, they have become the basis of a system that can quickly and inexpensively provide indication if content is potentially persuasive.
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Key strategic drivers are used at a much lower rate in digital vs. TV ads
Television Ads1 Digital Display Ads1
(Rich Media, Banners)
New Product/New Feature Information 44% 19%
Brand Differentiating Key Message 31% 17%
Superiority Claim 26% 13%
Competitive Comparison 24% 10%
Product Convenience (explicit & stated) 9% 0%
1Cases drawn from comScore ARS test databases and balanced by category (n=100 for digital display ads, n=3,681 for Television Ads)
Percent of Ads Containing Element
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20© comScore, Inc. Proprietary.
Research methodology
25 EXPO User Gen Video Reviews were selected across industries, companies, brands, categories, and generation methods
The videos were chosen in a manner consistent with how current EXPO clients select reviews for use in marketing communications
The 25 selected video reviews were evaluated using the ars.zipline system
– an expert panel codes the presence and duration of the content elements
– a technical score is generated based on the presence of the content elements and the relative variance they explain in persuasiveness and memorability
For perspective, these results were compared to the comScore ARS historical database of television and digital display advertising
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The ARS Zipline Technical Score
The ARS Zipline Technical Score has shown to be a proven indicator of ARS Persuasion scores in over 8000 cases.
N = 8086R = 0.95
Ave
rage
AR
S Pe
rsua
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Sco
re
ARS Zipline Technical Score
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ARS Zipline Technical Score - User generated reviews
100% of the selected user generated video reviews yielded results in the middle and upper levels
This is consistent with television advertising which qualifies for airing in copytesting…demonstrating its potential value for branding purposes
ARS Zipline Technical Score % of Select User Generated Video Reviews (N=25)
Below Average Range (0 to 29) 0%Average Range (30 to 50) 68%
Above Average Range (51 to 100) 32%
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Examples
Looking at specific cases within the study, there are stellar examples of different types of persuasive content
– These cases excel in that they not only have the intense product focus that the majority of the EXPO User Gen Review cases contain, but also include the key strategic elements
User Generated Product Review Videos (Reviewer)
ARS Zipline Technical Score
Clairol Nice 'n Easy Perfect 10 (cggood) 65Cascade ActionPacs (Forever December) 59Mr. Clean Magic Eraser (Mean Queen) 58Apple iPad (adougherty27) 53
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Clairol Nice 'n Easy Perfect 10 (cggood) – Organic Video
The User Gen Review for Clairol Nice n' Easy Perfect 10 is the highest rated review tested.
– It's strength lies in the reviewer communicating what made the product different from other offerings and claiming its superiority over other products.
Brand Name (Reviewer) Clairol Nice 'n Easy Perfect 10(cggood)
Rational ElementsQuality NoEnjoyment Appeal NoBrand-Differentiating Key Message YesNew Product/New Feature YesProduct Convenience YesCompetitive Comparison NoSuperiority Claim Yes
Emotional ElementsHumorous Tone NoCute/Adorable NoHappy/Fun Loving NoChild/Infant/Animal/Animated Principal Character NoMusic Creates Mood No
Brand Linkage ElementsContinuing Character in Campaign NoContinuing Musical Theme NoBrand Name Reinforces Benefit Yes
Ad Structure (Positive Elements)Visual Memory Device NoSetting Indoors YesNumerous Brand Name/Logo Appearances (4+) No(1)Numerous Screen Cuts (12+) No(0)Demonstration of the Product in Use NoSetting Directly Related to Use YesProminence of Actual Product on Screen No(0")Numerous Brand Name Mentions Yes(10)Prominence of Brand Name/Logo on Screen Yes(91")Category Identified Early in the Ad Yes(0")Product/Package Shown Early in the Ad YesMusic Major Element No
Ad Structure (Negative Elements)Numerous On-Screen Characters Avoided (4+) Yes(1)Male Main Character Avoided YesBackground Cast Avoided Yes
ARS Zipline Technical Score 65
"I've said in previous times that Nice 'n Easy covers my grey better than any other home coloring product that I’ve discovered." - cggood
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25© comScore, Inc. Proprietary.
Cascade ActionPacs (Forever December) – Sampling Video
The User Gen Review for Cascade ActionPacs is also highly rated.
– While it doesn't contain the hard hitting messaging of the previous Clairol example, it does show the actual product on screen and in use – where the consumer would use the product. Also, the product is favorably compared to competitors and convenience is explicitly stated.
Brand Name (Reviewer)
Cascade ActionPacs(Forever December)
Rational Elements
Quality NoEnjoyment Appeal NoBrand-Differentiating Key Message NoNew Product/New Feature NoProduct Convenience YesCompetitive Comparison YesSuperiority Claim No
Emotional Elements
Humorous Tone NoCute/Adorable NoHappy/Fun Loving NoChild/Infant/Animal/Animated Principal Character NoMusic Creates Mood No
Brand Linkage ElementsContinuing Character in Campaign NoContinuing Musical Theme NoBrand Name Reinforces Benefit Yes
Ad Structure (Positive Elements)Visual Memory Device NoSetting Indoors YesNumerous Brand Name/Logo Appearances (4+) No(1)Numerous Screen Cuts (12+) No(0)Demonstration of the Product in Use YesSetting Directly Related to Use YesProminence of Actual Product on Screen Yes(83")Numerous Brand Name Mentions Yes(6)Prominence of Brand Name/Logo on Screen Yes(79")Category Identified Early in the Ad Yes(0")Product/Package Shown Early in the Ad YesMusic Major Element No
Ad Structure (Negative Elements)Numerous On-Screen Characters Avoided (4+) Yes(1)Male Main Character Avoided YesBackground Cast Avoided Yes
ARS Zipline Technical Score 59
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26© comScore, Inc. Proprietary.
Mr. Clean Magic Eraser (Mean Queen) – Organic Video
The same results are seen for the Mr. Clean Magic Eraser review.
– The demonstration and prominence of the actual product on screen help to drive its high technical score.
Brand Name (Reviewer)
Mr. Clean Magic Eraser(Mean Queen)
Rational ElementsQuality NoEnjoyment Appeal NoBrand-Differentiating Key Message NoNew Product/New Feature NoProduct Convenience YesCompetitive Comparison NoSuperiority Claim No
Emotional ElementsHumorous Tone NoCute/Adorable NoHappy/Fun Loving No
Child/Infant/Animal/Animated Principal Character No
Music Creates Mood NoBrand Linkage Elements
Continuing Character in Campaign NoContinuing Musical Theme NoBrand Name Reinforces Benefit Yes
Ad Structure (Positive Elements)Visual Memory Device NoSetting Indoors Yes
Numerous Brand Name/Logo Appearances (4+) No(1)
Numerous Screen Cuts (12+) No(2)Demonstration of the Product in Use YesSetting Directly Related to Use YesProminence of Actual Product on Screen Yes(48")Numerous Brand Name Mentions Yes(5)Prominence of Brand Name/Logo on Screen Yes(14")Category Identified Early in the Ad Yes(6")Product/Package Shown Early in the Ad YesMusic Major Element No
Ad Structure (Negative Elements)Numerous On-Screen Characters Avoided (4+) Yes(1)Male Main Character Avoided YesBackground Cast Avoided Yes
ARS Zipline Technical Score 58
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27© comScore, Inc. Proprietary.
Apple iPad (adougherty 27) – Organic Video
The Apple iPad review again
contains a demonstration of the
product and a strong product
presence throughout the review.
Brand Name (Reviewer)
Apple iPad(adougherty 27)
Rational Elements
Quality NoEnjoyment Appeal NoBrand-Differentiating Key Message NoNew Product/New Feature YesProduct Convenience NoCompetitive Comparison NoSuperiority Claim NoEmotional ElementsHumorous Tone NoCute/Adorable NoHappy/Fun Loving NoChild/Infant/Animal/Animated Principal Character NoMusic Creates Mood NoBrand Linkage ElementsContinuing Character in Campaign NoContinuing Musical Theme NoBrand Name Reinforces Benefit NoAd Structure (Positive Elements)Visual Memory Device NoSetting Indoors YesNumerous Brand Name/Logo Appearances (4+) No(0)Numerous Screen Cuts (12+) No(0)Demonstration of the Product in Use YesSetting Directly Related to Use YesProminence of Actual Product on Screen Yes(194")Numerous Brand Name Mentions Yes(13)Prominence of Brand Name/Logo on Screen No(0")Category Identified Early in the Ad Yes(7")Product/Package Shown Early in the Ad YesMusic Major Element NoAd Structure (Negative Elements)Numerous On-Screen Characters Avoided (4+) Yes(1)Male Main Character Avoided YesBackground Cast Avoided Yes
ARS Zipline Technical Score 53
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28© comScore, Inc. Proprietary.
Where do user generated video reviews fit Into the marketing mix?
Given the results that User Gen Product Reviews are a potentially persuasive communications vehicle, where do they fit?
– The obvious question – Are they a replacement or a supplement to existing vehicles?
TVMobile
RadioPrint
Digital
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29© comScore, Inc. Proprietary.
Comparison of the Prescience or Absence of Elements Related to Persuasive Communication
TelevisionUser Generated
ReviewsDigital Display
Advertising Element % of Cases Containing Element
Rational ElementsQuality 2% 8% 0%Enjoyment Appeal 11% 0% 9%Brand-Differentiating Key Message 31% 4% 17%New Product/New Feature 44% 24% 19%Product Convenience 9% 32% 0%Competitive Comparison 24% 40% 10%Superiority Claim 26% 12% 13%
Emotional ElementsHumorous Tone 11% 0% 1%Cute/Adorable 8% 0% 2%Happy/Fun Loving 8% 0% 0%Child/Infant/Animal/Animated Principal Character 23% 0% 22%Music Creates Mood 16% 0% 0%
Brand LinkageContinuing Character in Campaign 8% 0% 6%Continuing Musical Theme 0% 0% 0%Brand Name Reinforces Benefit 49% 32% 47%
Structural Elements (Positive)Visual Memory Device 7% 0% 1%Setting Indoors 56% 100% 7%Numerous Brand Name/Logo Appearances (4+) 27% 4% 39%Numerous Screen Cuts (12+) 59% 0% 2%Demonstration of the Product in Use 77% 64% 25%Setting Directly Related to Use 51% 88% 5%Prominence of Actual Product on Screen 42% 76% 28%Numerous Brand Name Mentions 23% 32% 0%Prominence of Brand Name/Logo on Screen 35% 60% 39%Category Identified Early in the Ad 53% 100% 89%Product/Package Shown Early in the Ad 69% 100% 69%Music Major Element 0% 0% 0%
Structural Elements (Negative)Numerous On-Screen Characters Avoided (4+) 56% 92% 22%Male Main Character Avoided 93% 96% 93%Background Cast Avoided 10% 92% 74%
User generated reviews provide supplementary strength to campaigns
The results clearly show that User Generated Video Reviews greatly complement existing media vehicles by providing enhanced product focus.
In particular, User Gen Reviewers are more apt to discuss the product's convenience, quality, and performance relative to competition – enhancing communication of benefits for and/or reasons to believe the claims of the product.
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30© comScore, Inc. Proprietary.
User generated reviews showed strong presence of strategic elements
Television Ads1 Digital Display Ads1
(Rich Media, Banners)User-Gen
Video Reviews
New Product/New Feature Information 44% 19% 24%
Brand Differentiating Key Message 31% 17% 4%
Superiority Claim 26% 13% 12%
Competitive Comparison 24% 10% 40%
Product Convenience (explicit & stated) 9% 0% 32%
1Cases drawn from comScore ARS test databases and balanced by category (n=100 for digital display ads, n=3,681 for Television Ads)
Percent of Ads Containing Element
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31© comScore, Inc. Proprietary.
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Six in ten consumers say the Internet has become important when making buying decisions & 59% say it has increased in the past year
Source: comScore Survey – July 2010
Importance of the Internet in Making Purchasing DecisionsQ. In the past 3 months, how important has the Internet become in providing
you with information to help you make buying decisions?Q. How has this changed versus a year ago?
Q. In the past 3 months, how important has the Internet become in providing you with information to help you make buying decisions?
Q. How has this changed versus a year ago?
59%
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Nearly 100% of online spenders are video viewers
Source: comScore Video Metrix 2.0, June 2010
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In addition, online video viewers are a highly desirable demographic with strong buying power
Source: comScore Video Metrix, December 08 Custom Research
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35© comScore, Inc. Proprietary.
Retail video – a quick overview
YOY growth in retail video viewers (40%) significantlyoutpaced growth in total video viewers (17%)
YOY growth in retail video viewers (40%) significantlyoutpaced growth in total video viewers (17%)
Source: comScore Video Metrix
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36© comScore, Inc. Proprietary.
Adding video to retail sites is extremely powerful
Retail site visitors who also view video are 64% more likely to purchase
Retail site visitors who also view video are 64% more likely to purchase
Retail site visitors who also view video spend 2 minutes longer onsite per visit
Retail site visitors who also view video spend 2 minutes longer onsite per visit
Buying Power IndexBuying Power Index
Source: comScore Video Metrix 2.0, June 2010
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37© comScore, Inc. Proprietary.
Key Points
Trends of increased online video viewership and social media is helping propel new ad formats such as User Generated Video Reviews
User Generated Video Reviews is a potentially persuasive vehicle that complements existing media types– Contains executional elements proven to be drivers of persuasive
communications– Strong product focus can enhance communication of benefits and reason to
believe
One particularly powerful application is integration within ecommerce sites
37© comScore, Inc. Proprietary.
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Contact Information
comScore ARS:Ashley [email protected]
EXPO:David [email protected]
38
For further information about comScore or EXPO, please contact
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39© comScore, Inc. Proprietary.
Thank You!
Daphne KwonCEO, EXPO Communications, Inc.
Frank FindleyVP Research & Development,
comScore ARS