Arnold On: Content Marketing Report

CONTENT MARKETING:

GETTING TO GREAT CONTENT

THAT WORKS

ARNOLD ON

CONTENTS

3 Introduction

5 The Role of Brands & Content

9 Getting to Great Content That Works

22 Key Questions for Brands

24 Closing Thoughts

THE CONTENT MARKETING ISSUE 2 ARNOLD ON ARNOLD ON 2 CONTENT MARKETING

In September 2014, General Electric released a video that went viral. The featured product sold out in three days. Despite the success of the video, which GE did not pay to promote, the company’s Executive Director of Global Marketing noted, “You sit and pray those things are going to happen, but that is the exception, not the rule for us.”

ARNOLD ON 3 CONTENT MARKETING

INTRODUCTION Most CMOs now understand the need to incorporate content in their marketing mix, but many still feel they are shooting in the dark when it comes to what type of content to produce. Content may be today’s hottest buzzword, yet despite all this chatter, there are still key insights missing from the conversation.

In order to fill in the gaps, we surveyed more than 1,500 consumers across the US, UK and China to gauge their attitudes and behaviors when it comes to content.*

* We defined content as any online media created by someone other than the user. Content includes videos, images, websites, blog posts, and articles. Online content is often produced by a celebrity, expert or a company/brand, but it is separate from an advertisement that is designed simply to display or sell a product.

We overlaid our understanding of what it takes to design, build and optimize effective content systems based on Arnold Worldwide’s experience helping clients infuse content into their marketing mix.

In this report, we’ll show the role content can play in a brand’s marketing strategy and present the key principles for getting to Great Content That Works.THIS EDITION OF ARNOLD ON

FOCUSES ON CONTENT MARKETING.


Brands have historically been used to help guide purchase decisions and convey a set of values to (and about) those who buy them. But with the rapid growth of online information and social media identities, what is the role of brands in today’s world, and where does content marketing fit within this context?

THE ROLE OF BRANDS & CONTENT


Based on the results of our survey, a majority of consumers still look to brands for new information and advice, especially Millennials, arguably the most empowered generation today. And nearly three-quarters of younger consumers are concerned with how they present themselves online. In fact, they are more likely to believe that the content they share, rather than the brands they buy, represents who they are.

These shifts present two opportunities for brands to leverage content marketing as their role continues to evolve:

1. As curators of relevant and informative content, brands earn

the role of “trusted advisor” with users, a deeper relationship

that drives engagement and advocacy.

2. By creating content that consumers are able and willing

to share, brands become integrated into their users’

online personas, filling the void of branded goods in the

online space.

56% 59% 52%55% 51%

62% 74% 57% 51%

61% 65% 59% 58%

52% 55% 50% 52%

Consumer attitudes by generation

Source: Arnold Worldwide Content Marketing Study, 2014

Gen X Boomers

I look to brands for new information and advice

I am concerned with how I present myself online

The content I share online represents who I am

The brands I buy represent who I am

AverAge millennials

NEARLY THREE-QUARTERS OF YOUNGER CONSUMERS ARE CONCERNED WITH HOW THEY PRESENT THEMSELVES ONLINE


Brands Need It & Consumers Want ItContent marketing not only makes sense from a brand perspective; consumer behavior also reflects a demand for engaging media that users don’t consider advertising.

Across all markets we surveyed, 87% of consumers had searched for online content in the last week, and 83% had visited a website directly to look for specific content. Within the last day, our respondents were 69% more likely to have clicked on a link to content on a social media site, and 56% more likely to have clicked on a link to content in an email, versus an advertisement on those same platforms.

It’s clear that the reach of online content is broad. While the line that divides branded content and advertising continues to blur among marketers, consumers clearly differentiate between the two—and they are far more likely to respond to media they perceive to be content.

Share of consumers who clicked on links to an advertisement or content in the last day via:

email

social media

ADVERTISEMENT

ADVERTISEMENT

CONTENT

CONTENT

18%

23%

36%

31%



dyna

mis

m

TrusT

Content Drives MomentumIn addition to meeting consumer needs and driving engagement, content is good for business.

As part of our study, we looked at how content can impact Brand Momentum relative to other forms of advertising. Brand Momentum is Arnold Worldwide’s proprietary tool for measuring brand health based on the combination of two key dimensions: Trust and Dynamism. Trust speaks to the faith consumers have in the ability of a brand to deliver on past promises. While Dynamism refers to the extent to which a brand is engaging them. High Brand Momentum has been shown to correlate with stronger business performance, consumer purchase intent and social conversation.

Based on our survey, branded content is the form of communication that drives the greatest dynamism for brands, as well as helping to build high levels of trust. Only television advertising challenges this performance, while other forms of print and online ads score poorly on both dimensions.

Although content may be only one part of a holistic marketing strategy, it has the potential to rival all other forms of communication in driving brand perception and business performance. Combining this strength with the relatively low cost of creation and distribution makes branded content an efficient investment for brands of all sizes.

Momentum by marketing format

▼ Event sponsorship

▼ Branded content

▼ Social media ad

▼ Print ad

▼ Email ad

▼ TV ad

Source: Arnold Worldwide Content Marketing Study 2014


If content has the potential to rival all other forms of marketing in driving consumer engagement, conversation and business performance, the content engine is at the heart of this success. While all effective content systems are supported by robust distribution and measurement strategies, what you choose to put into that system comes first.

GETTING TO GREAT CONTENT THAT WORKS


Through our research and experience, we have developed five principles that brands should follow in order to get to great content that works. From identifying and understanding the target consumer to aligning with key objectives and desired behaviors, applying these guidelines will help fuel a content engine that delivers meaningful relationships with consumers while driving superior business impact.


FIVE PRINCIPLES FOR GETTING TO GREAT CONTENT THAT WORKS

Know Your Audience

Align with Business Objectives

Be Human

Design for Desired Behavior

Keep it Real


Know Your AudienceGreat content is relevant and valuable to its user, so a clear understanding of who the intended audience is and what matters to them is key. The more focused the target demographic or mind-set, the easier it will be to create content that matches their interests and identity.

In addition, different consumer groups interact with content in distinct ways. From our survey, we saw clear differences in attitudes and behaviors across the basic demographic lines of age and geography alone. We highlight some of these differences for two groups on the following pages. Beyond subject matter, this impacts the type of content that a particular user is most likely to engage with based on qualities such as tone, format and platform.

By getting to the bottom of who the customer is, how they behave and what makes them tick, brands can begin to develop insights about their target audience that will not only inform engaging content, but allow them to differentiate from the competition. As the sea of online media vying for consumer attention continues to expand, these unique insights become essential in order to break through the noise and stand out.

Chinese consumers of all ages are highly engaged in online activities—two-thirds have shared content on social media in the last week.

In the US, Boomers are more likely to share content with friends via email while Millennials post to social media.

Frequent content sharers represent one-third of all consumers and are the most likely to create their own content.

Chinese consumers are more focused on self-image, sharing to reflect their interests, while US and UK consumers share to entertain their networks.

Millennials’ posts on social media are more likely to get shared or reposted by friends on the same platform.



THE MILLENNIAL CONSUMER

Digitally-Savvy Early AdoptersAs expected, Millennials are significantly more active in their interactions with online platforms and content—from sharing and liking it on social networks to clicking on it in emails. They are also leaders in the digital space, self-described as the first to be doing and checking out new things, though highly concerned about crafting a positive online identity.

millennialsGloBal consumers

19%28%

42%31%

30%19%

56%67%

49%36%

53%43%

Shared content via social media in the last day

Clicked on a link to content on social media in the last day

Posted photo/video in the last day

Concerned with how others perceive them online

“Liked” a piece of content on social media

Frequently the ones doing new things first



THE CHINESE CONSUMER

Attitudes Impacted By Cultural ValuesCompared to their US and UK counterparts (who post content primarily to entertain or inform others), Chinese respondents have a more inward approach to sharing, with greater emphasis on how it reflects their own views and online presence. They are also more engaged with pop culture and concerned about sharing controversial views or information.

67%47%

64%41%

23%31%

19%31%

64%46%

61%52%

Shared content via social media in the last week

Shared spiritual content

Shared content to entertain others

Didn’t share because content was too controversial

Actively engaged in pop culture

The brands they buy represent who they are

chinese consumersGloBal consumers



Align with Business ObjectivesAs consumers move through their journey with a brand, their behaviors and interests will evolve. Understanding when and how these changes occur is necessary in order to deliver content that is relevant and engaging throughout.

By mapping the consumer decision process for their category, brands can uncover the needs or barriers that content can address at each stage and the influences or triggers that inform content placement and design.

As the complexity of the content strategy grows, it’s important to note that a focus on building consumer relationships doesn’t mean losing sight of business objectives. Content strategies should be designed to drive consumer behaviors that ultimately benefit the bottom line. In fact, the scope of your content strategy should be determined based on business goals.

For example, brands that aim to drive awareness will focus on upper funnel topics and triggers that are relevant to their category, while a strategy to grow brand loyalty and advocacy should identify lower funnel interests and unmet needs in the lives of existing customers.

It could be that a content system aims to address consumers throughout the entire journey, but aligning business objectives with the scope of content generation from the outset ensures that brands are investing in the type of content that is most likely to impact the metrics they care about.

TrusTed Advisorawareness consideraTion Preference

needsBarriers

influences TriGGers

acTion advocacy


Brand Purpose

Helping women cut through the clutter of the beauty world.

Values

Approachable expertise

Target

Curious beauty enthusiasts

Insight

Many women enjoy experimenting with hair and make up to create new looks, but want guidance in finding and using the right products. Often they look to “how-to” bloggers and experts for advice.

Objective

Increase awareness

Content Strategy

As a new player in the field of cosmetics, the brand needed to get people’s attention. The team leveraged expertly crafted content on social media and blogs to reach new users and attract them to the main site, where they had access to a comprehensive encyclopedia of beauty tips and products. The quality of their content gained consumer trust, with word of mouth from early adopters driving buzz and fueling triple-digit business growth.

Every piece of content on Birchbox™ uses a conversational tone to deliver helpful advice and playful imagery. Each post is reviewed against a brand book developed by editor-in-chief Mollie Chen.

Source: Company site, Contently

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Be HumanKnowing your consumer and what drives them is the foundation for creating relevant content and building a strong relationship with your brand. But this relationship doesn’t form overnight. It is the combination of multiple interactions and experiences that leads to increased brand equity and trust.

Building brand experiences is a lot like building personal relationships. As consumers continue to avoid communications that shout or interrupt, it’s important that all interactions with the brand feel natural, honest and human.

Particularly in the early stages of a relationship, brands must focus on getting to know prospective customers, demonstrating the value they can offer by listening to them, and delivering content that addresses their needs. When the consumer is ready to connect or transact, brands should be there to offer information and services.

The pathway through these touch points is rarely linear and can last anywhere from one day to several months depending on the dynamics of a particular category and consumer. Effective content systems provide the flexibility to address the needs of consumers where and when they arise.

Gain crediBiliTy

oPen uP

reach an aGreemenT

GeT To know Them

sTay in Touch

make inTroducTions

Be sociable; start a conversation based

on something you have in common.

Listen and gather information—no one likes those

who only talk about themselves.

Let them know what’s important to

you and what you stand for.

Continue to be relevant: provide value in new and

unexpected ways.

Offer value and utility; show what’s

in it for them.

Be ready to close the deal when the

time is right.


Brand Purpose

Bringing safe and clean drinking water to developing nations.

Values

Simplicity, transparency

Target

Almost philanthropists

Insight

Many individuals are interested in supporting a charitable cause, but several key barriers deter people, including a lack of transparency about where the donation they provide actually goes.

Objective

Drive engagement

Content Strategy

Charity: Water created an online platform where donors can set up and promote a fundraising event, sharing their stories with others to fuel further donations. Donors receive updates on the locations and people they help, and for every country covered there are blogs and individual stories on the location and people who live there. The organization raises more than 75% of its funds through digital channels.

Site content is straightforward, detailed and in-depth, providing extensive transparency around the role of funds donated—100% of which go directly to fieldwork.

Source: Company site, The Good Agency

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Design for Desired BehaviorDifferent consumer groups interact with content in different ways, but this behavior can be influenced by the format of the content they encounter. Brands can leverage this knowledge to further drive behaviors that align with business objectives.

For brands looking to increase awareness with limited investment, sharing is a key mechanism. By producing content that current and new consumers pass on to their networks, the reach of branded content can grow substantially at no extra cost. Conversely, if brands want to drive deeper engagement and loyalty, they should produce content that current customers actively search for and seek out.

But what does “shareable” or “seekable” content look like? Through our survey, we confirmed the type of content that was most likely to result in each of these behaviors.

Most consumers share content in order to entertain and connect with others, preferring fun images they can easily post on social media or send via email. In contrast, consumers are most likely to search for informative content on topics, products or events that already interest them and will go directly to trusted company sites to find it—a positive sign for brands looking to become content hubs for their most valued users.

While these findings aren’t necessarily surprising, they confirm the potential for brands to tailor the format and style of content to amplify its impact.

61% 58% 52%

65% 55% 54%

31% 26% 24%

69% 53% 48%

74% 67% 56%

69% 64% 59%

52% 43% 37%

75% 59% 58%

1st 2nd 3rd 1st 2nd 3rd

61% 58% 52%

65% 55% 54%

31% 26% 24%

69% 53% 48%

74% 67% 56%

69% 64% 59%

52% 43% 37%

75% 59% 58%

1st 2nd 3rd 1st 2nd 3rd

Top content features by user behavior

conTenT consumers seekconTenT consumers shAre

Funny Informative

Images Full articles

Entertain Find more info on an

existing topic

Facebook Company site

Informative Factual

Full articles Images

Connect with a friend

Find product or company

details

Email Editorial site

Factual Funny

Short posts Short videos

Show my opinion

Find info on a recent

event

Twitter Facebook

TONE

FORMAT

PURPOSE

PLATFORM



Brand Purpose

Delivering a fun and memorable vacation experience.

Values

Fun for All

Target

Adventurous cruise rookies

Insight

Following a series of negative incidents that shook consumer faith in the cruising category, many adventurous holiday-makers needed reassurance that cruises were still a fun and trustworthy option.

Objective

Promote trial

Content Strategy

To overcome category barriers, Carnival® leveraged the experience of its guests to demonstrate cruises were a fun, relaxing alternative to land vacations. Armed with smartphone cameras, experienced cruisers and rookies alike posted real-time vacation images to the Carnival Moments Tracker. Visible to all, these images were shared 3.2M times on social networks and contributed to the largest improvement in brand perception of any US brand.

Using a lighthearted and energetic tone, all Carnival content embodies the “fun” and approachable personality of the brand while showcasing the full experience of a cruise vacation.

Source: Company sources, You Gov

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Keep it RealBy looking at how the specific qualities of content impact its ability to drive Brand Momentum, we are able to verify what makes great content in the eyes of consumers.

Our results confirmed that when it comes to consumer perceptions and brand impact, what goes into the content system matters most. The format, frequency, platforms and even editorial collaboration all come second to the style and substance of each post.

First and foremost, effective content must be informative and objective, providing utility to the user. But in second place is the desire for authenticity—it’s more important that content be true to the values and personality of the brand than be related to a specific product or category. Without aligning with these inputs, brands risk producing content that fails to build meaningful relationships with users and that will diminish or destroy existing equity over time.

Momentum by content attribute

dyna

mis

m

TrusT

▼ Related to recent events

▼ Informative and objective

▼ Published frequently

▼ Produced in association with a news site

▼ Produced in association with customers

▼ Authentic to brand values

▼ Related to product or category



Brand Purpose

Grabbing life by the bottle.

Values

Fresh, bold and vibrant

Target

Ambitious Millennial artists

Insight

Young artists eager to make their mark on the world are filled with passion and energy, but they have to deal with ongoing rejection and obstacles to success. They need inspiration to keep the fire alive.

Objective

Inspire loyalty

Content Strategy

Videos, giFs and photos on Tumblr provide a platform for inspiration and conversation. Dynamic multimedia helps fuel discovery and connect with those interested in music and striving to succeed. Partnerships with celebrities, publications and numerous up-and-coming artists ensure the site’s relevance with its target audience. In a low-touch category, the brand saw 10% growth in customers in 2013.

Consistent with the brand and standing out from the category, content is contemporary, inspirational and personality-filled—offering a strong point of view on success and pushing forward.

Source: Company site, Nielsen

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KEY QUESTIONS FOR BRANDS

Know Your Audience

Great content always starts with the consumer. Develop a clear understanding of who they are and what matters to them most.

→ Who is our target?

→ What are their interests and behaviors?

→ What unique insights are relevant to our category?

Align with Business Objectives

The scope of your content marketing strategy should be informed by its role in driving business objectives.

→ What is our core business objective?

→ How does this align with the consumer journey?

→ What are the interests, needs or barriers we must address?

Be Human

Treat your content interactions like personal relationships. Get to know the user, gain credibility and be there when they need you.

→ Where are we in our relationship with the customer?

→ What do we need to do to demonstrate our value?

→ Where do we have permission to engage?

Design for Desired Behavior

Amplify the impact of your content by using platforms and formats to incentivize actions that align with desired results.

→ How do our goals tie to consumer behavior?

→ What type of content will drive this behavior?

→ What platforms and channels do we need to leverage?

Keep it Real

Content marketing is a long-term game—remaining authentic and consistent throughout the process is essential.

→ What do we stand for?

→ What is our brand personality and tone of voice?

→ How do we deliver value in a credible and authentic way?


CLOSING THOUGHTS The changing landscape of online media and consumer behavior provides both an opportunity and an imperative for brands to update the way they are interacting with consumers. As both creators and curators of relevant and engaging information, brands can leverage content marketing to continue building meaningful relationships while delivering on business goals.

Whether content is the cornerstone of a brand’s marketing strategy or simply one component of a broader media mix, the same principles apply in getting to great content that works.

The consumer is the driving force behind content design: their interests provide subject areas on which to focus; their needs dictate the value you can offer; their behaviors highlight the formats and distribution platforms to engage them.

On top of this foundation, business and brand filters are applied. Business objectives allow you to focus your strategy on the areas that will drive greatest impact and ROI. Infusing the values and personality of your brand enables you to deliver content in a consistent and credible way.

These principles form the inputs for an effective content generation engine. When coupled with a robust distribution, measurement and optimization system, this engine has the potential to drive brands and businesses to success in today’s new world.

THE CONSUMER IS THE DRIVING FORCE BEHIND CONTENT DESIGN


ARNOLD ONArnold On is brought to you by the Arnold Strategic Insights Group. This edition is based on the results of a global online survey of 1,500 adults conducted in 2014, as well as secondary research.

Arnold On explores cultural, consumer, brand and business trends that are directly impacting marketing today. Through a combination of cultural observation and proprietary qualitative and quantitative research, we aim to uncover meaningful shifts in attitudes and behaviors and provide marketers with ways to harness these trends to benefit their brands and businesses.

The content in this edition of Arnold On was developed by Scott Bradley and Li Zhou, Business Strategy, and Brian Babineau and Rob Schipul, Social and Content Systems.

Interested in learning about how content marketing can help your brand? Contact Lisa Unsworth for more info.

© 2015 Arnold Worldwide. All rights reserved. All trademarks are © their respective owners.

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