Uncover the consumer insights you’re missing with social media

Kim Bielak, Marketing Manager, Shopkick

It’s 2018 and no secret by now that social listening is a great addition to your market intelligence toolbox. But is your brand really taking advantage of the wealth of information about your consumers that you could be harvesting from this rich digital soil?

As a Marketing Manager responsible for both our social media channels and various market research sources at Shopkick, pouring through insights, feedback and personal stories from our users on social media is one of the most rewarding parts of my job. It never fails to give me a refreshing new perspective on why we do what we do.

So, whether you’re new to social media or just looking for new ways to share the voice of your consumer throughout your organization, here are 4 ways I’ve come to find social media incredibly valuable in finding insights that can translate into real business impact.

  1. Understand Your Core Audience Demographics & Interests

You have at least 4 communities with platform-provided analytics at your fingertips to understand who your core customer is, and your sample size is generally not insignificant. Not only can you triangulate age, gender, household income, and other demographic information from sources like Facebook and Twitter Analytics with your other customer data sources, you can also find an enormous source of additional color from asking questions such as what your fans’ favorite music, movies, and books are.

One way you can do this is to type queries directly into Facebook Search like “[Musicians] liked by people who like [Brand].” (Not a bad way to source talent or options for your next spokesperson, eh?) Similarly, services like DemographicsPro will analyze your followers on Instagram and can tell you their affinity with other Instagram accounts, media, and even their most-used hashtags.

  1. Listen and Look for Patterns

You know the saying: you have two ears and one mouth for a reason. Your customers are out there telling you exactly what they like, exactly what they don’t like, and exactly what they want, and you just have to pay attention long enough to notice it!

First, find out where your brand is coming up organically in conversation by doing a search for your brand’s handle, hashtag, or search term. If a consumer has gone as far as to include you in a public post, it often means one of two things: they absolutely love you, or they absolutely hate you. Be prepared for and really listen to both. While the former is often hard to hear, don’t be too quick to brush it off as whiney behavior. Complaints are often one of your most valuable sources of data, providing clues as to why you’re losing sales, or previously loyal customers. Even if you believe your brand is in the right, remember, your positioning is always in the eye of the consumer, and if you’re seeing a certain perception over and over, you know where you have work to do.

Then there’s the brand love (the best part!). These are your advocates. Are there patterns, or common and relatable things many of your customers have experienced you can source insights from? At Shopkick, we see people talk about using the app to get their steps in as they walk around the mall, going on Shopkick dates with their significant others, or even using the app as a game with the kids to keep them manageable in the store. These are all insights about the unique way people are using our app we didn’t even have to ask for, and have been repeated time and time again. We’ve even been able to mine Facebook comments about some of the brands we work with and have found second uses for products like cat litter and yogurt containers!

From there you can then do the same types of searches for your prospects, competitors, and the larger cultural conversation. If you’re looking to launch a new product, go into a new vertical, or pursue a new target audience, see how consumers are already talking about it. A yogurt brand might search terms like “Greek yogurt,” #Whole30, or even just #breakfast to see what consumers think is significant enough to share. And pay attention to trending topics on Twitter and Google trends, as they are often the first places the next big thing pops up before your insights team has had a chance to do a focus group about it.

Finally, I venture as far as to suggest following your customers and your target audience. Don’t be creepy about it, but within reason, many people get excited when their favorite brands follow them back! This is one of your purest forms of ethnography, as you have a chance to see your customers in their everyday environments. Notice what they include in their profiles, the photos they share, and the moments they find significant. This is truly one of the greatest ways to put a face to your consumer and foster a sense of empathy with their hopes, challenges, and ultimate business needs.

  1. Ask Them!

I’m not suggesting you ask for your fans’ household income and divorcée status on Facebook, but do ask engaging questions as a great way to acquire some qualitative quotes and insights. For example, we ask our users what they’re saving their Shopkick reward points (called kicks) for all the time. It was on Facebook that we discovered the wealth of users saving their kicks for Disney vacations, but were doing so by cashing out for Target gift cards in the app, and then re-buying Disney gift cards in-person at their local Target stores! If we had only looked at our internal gift card redemption data, we would have seen what we already knew: Target was one of our most popular gift cards. Never would we have realized that so many of our users actually wanted us to add the option of a Disney gift card instead. Needless to say once we added it, our users were very pleased.

Another way to translate these insights into more quantitative data is to export your comments and code them. We recently asked our users what else they wanted to earn kicks for and were able to codify over 800 responses to determine the most popular requests. Once we found the offers we didn’t have enough representation for that were in high demand, we were able prioritize outreach to new partners and business development. We also had the great added value of new crowd-funded ideas we may not have previously thought of, such kicks for experiences, video streaming, and, once again, rewarding people for getting their steps in!

  1. Create a Testing Ground

Finally, testing is one of my favorite uses of social media that often gets overlooked. Say you’re looking to run a major new ad campaign, or exploring a messaging refresh – you have 365 days to experiment with the light version on social media before you commit to your whole investment! At Shopkick, for example, we’re planning a brand campaign where we’ll be delivering a wish in every state across America this year. Not a small program to risk the types of responses we were going to get in. So, while we were still in concepting, we asked users what they’d wish for first on social media. Not only did we get a flood of responses to demonstrate that the campaign definitely resonated, but we also got tons of insights from fans’ wishes to guide the direction of the overarching campaign message itself. You may not be able to A/B test an ad or a new product every day in the real world, but with social media you have the ability to test and iterate on an idea rapidly until you strike something that truly makes an impression with your community.

At the end of the day, social is only one piece of a full market research toolkit, but it’s certainly one with a lot of unbridled potential, and not to mention wildly cost effective. The rise of social media, big data, and other digital intelligence sources should not become a reason to neglect traditional research methods such as focus groups, IDI’s and prospect surveying. However, if you haven’t yet recognized the power of social media, don’t miss an incredible opportunity to bring the voice of the consumer to your organization. It’s a powerful way to continue to inspire and remind your team of the real faces and the real people whose lives your brand touches each and every day.

 

Retail as marketing: redefining the retail experience

by Kristy Stromberg, CMO

Originally posted in Forbes as part of the Forbes Communications Council

In the pre-digital era, the relationship between brick-and-mortar retail stores and their customers was largely transactional— places to fulfill supply and demand. Yet as online commerce continues to grow exponentially, the role of the retail store is shifting from purely pragmatic to more experiential. Moving forward, the key to survival for retail stores may rely on their ability to act as a living showcase for products and brands.

Take Coach, for instance, which has made some radical yet effective changes in its approach. Last year, the company pulled its line of handbags and accessories out of 25% of its North American department store locations — choosing instead to focus energies on its own stores. Chief among those stores is the new Coach flagship location in New York, which elevates the ordinary shopping experience with special touches like a monogramming station (replete with emojis), a 12-foot dinosaur fashioned out of Coach leather pieces, and Made to Order Rogue (which gives shoppers the ability to create a bespoke Rogue bag).

Tesla and Nike are also among the companies leading the charge to create new associations with the traditional retail experience. For luxury car manufacturer Tesla, the dealership concept has made way for direct-to-consumer stores and galleries. Sleek interactive displays and on-site demos educate shoppers about the brand’s electric vehicles, while design studios enable would-be Tesla owners to configure their desired model (which they can then share on social media). As Automotive News put it, “The idea is less to sell a product on the spot than to let shoppers spend time with the brand.” It seems to be working: Reservations for Tesla’s Model 3 are reported at around 400,000.

As for Nike, its new concept store in Soho adopts an omnichannel-style approach to marry the company’s virtual and physical offerings. The goal? To offer dynamic tools for personalized performance. Among the in-store features: an instant personalization studio with laser engraving and custom printing capabilities and a fitting room with digital checkout and adaptive lighting (to mimic the feel of a yoga studio or evening run). Numerous “trial zones” offer inviting spaces for shoppers to test shoes, whether on a synthetic turf soccer field or on a basketball half court. For instance, the Nike+ Running Trial Zone transforms the treadmill into a 90-second run in Central Park or the West Side Highway via digital screen (fueled by real-time performance feedback).

The Shifting Role Of Stores

This new breed of experiential retail signals the movement toward stores as vehicles for marketing rather than just straightforward sales. Though e-commerce provides instant gratification through savvy search engines and easy one-click buying, there is still no replacement for the sensory touchpoint provided by a brick-and-mortar location where customers can touch, feel and evaluate the product in person. Retailers that recognize this distinction will certainly have an edge in the rapidly changing marketplace, in which the number of distressed retailers has tripled since the Great Recession, according to Moody’s Investor Service.

The proof? Highly successful online retailers such as Amazon, Fabletics and Warby Parker have all ventured beyond the digital landscape to open physical stores in recent years. Though it may seem counterintuitive in today’s rocky retail climate, these retailers are finding real value in reaching customers the old-fashioned way. According to Amazon’s Chief Financial Officer Brian Olsavsky, the retailer’s burgeoning chain of bookstores is “another way [for the company] to reach the customer and test what resonates with them.”

No matter how long a retailer has been in the brick-and-mortar game, its longevity will depend on not only its ability to create enhanced experiences for customers but its unique take on how to keep them coming back. One shining example is Nordstrom, which is slated to open 17 new stores this year (amid a landslide of closures for other department stores). The retailer has long been hailed for excellent customer service, from hassle-free returns to hand-delivering items to homes. Whole Foods has also succeeded in this vein, going to great lengths to ensure an inviting environment with colorful displays and carefully-curated playlists.

This “feel-good” takeaway is yet another aspect that is largely exclusive to the real-life shopping realm, and it goes hand-in-hand with shaping the new face of retail. Now is the vital time for retailers to embrace these realizations, as many shoppers still prefer buying from physical stores over shopping online — and forward-thinking, experientially-minded retailers have a shot at keeping it that way.

Meet Shopkick at the Path to Purchase Expo!

Planning to attend Path to Purchase Expo in Chicago? We’d love to meet you!

With 97% of CPG purchases still happening in-stores, it’s critical for marketers to have the right strategies and solutions in place to reach and engage shoppers where they are spending their time and their money.

Shopkick is the most engaging rewards app that bring moments of joy to everyday shopping by offering fun ways to earn rewards. For brands and retailers, Shopkick provides high consumer engagement along the entire path to purchase. Our unique pay for performance model has been proven to deliver high ROI, driving incremental foot traffic, visits to shelf, and sales.

Schedule a meeting with the Shopkick team to to learn more about how our valuable shoppers can help you achieve your shopper marketing goals, or simply visit us at our booth #737 to take the app for a spin and get a free gift card!

The event takes place September 26-28 at the Donald E. Stephens Convention Center and is the world’s largest gathering of shopper and retail marketing professionals.

We hope to see you there!

 

eBook: 5 Proven Marketing Strategies for Challenger Brands

The rapid adoption of digital technologies and evolving shopping behaviors are transforming the CPG industry. Never before have smaller, ”challenger” brands had this level of opportunity to quickly respond to changing consumer preferences and bring their products to market both online and in-stores.  However, with that opportunity comes many new challenges. Challenger brands must compete for wallet share against the more established corporations with big budgets, extensive distribution and established brand equity, as well as against many of the ”new” players that are marketing themselves similarly. How can challenger brands reach new customers to build awareness, drive engagement and ultimately sales of their products in the face of with limited marketing budgets and big competition?

 

Here are 5 proven marketing strategies for challenger brands:

1. Reach new customers before they even enter the store with engaging video content
2. Communicate with customers in-store and stand out at shelf
3. Incentivize purchase without eroding your profit margin by offering rewards not discounts
4. Gamify the shopping experience to keep customers coming back
5. Effectively track an omnichannel campaign for deeper consumer insights

 

To learn more, check out our eBook.

 

Infographic: Create fun grocery shopping experiences

Many grocers and CPG companies are struggling to keep up with changing consumer preferences in the shopping and consumption of food. In the past, grocers didn’t have to prioritize driving traffic because shoppers didn’t have many other options. Yet with the explosion of new products, services and grocery entrants, it has become increasingly difficult for grocers to drive traffic to stores, to drive sales of higher margin center aisle products, and to build loyalty.

Our latest infographic covers struggles and opportunities in the grocery market in recent years:

  • Major CPGs are also facing stalling growth: The top 25 food & beverage companies in the US drove only 3% of category growth in 2015.
  • Trips to and spend at traditional super markets is decreasing: In the past 5 years, shoppers made 27% less trips per week and spent 33% less.
  • Traditional engagement drivers aren’t working like they used to: Retailers saw a 13% annual decrease in 2016 in coupon redemption.

Trips to and spend at traditional supermarkets decreasing

Get the facts about the changing grocery environment, and how fun and engaging shopping experiences can drive store visits, product sales and loyalty in our latest infographic.

View the full infographic.

Marketing to shoppers in a populist era

Incredible change has taken place in the US recently. Our country is different. The world is different. We’re in a populist era, which means things are changing for retailers, grocers and brands.

Today’s American shopper

Most Americans aren’t seeking convenience-focused services such as weekly meal boxes or online ordering. In fact, last year only 3% of Americans purchased groceries online. Most households are deeply value conscious and visit their local grocery stores 1.6x per week on average.

Many marketers live and/or work in the major urban hubs, which can be dangerous for brands and retailers. It’s clearer than ever that coastal cities operate as silos that don’t represent the country at large.

It is crucial for brands and retailers to be in touch with the communities they serve.

Most of our users at Shopkick are average income mothers from middle America looking for deals and rewards for making purchases.  Therefore, it’s crucial that our Postmates and Instacart-loving employees, based in the tech and agency hubs of New York, Chicago and Silicon Valley, understand that this segment has different needs and motivations than their own. We learn from our audience’s behavior, and we deliver the most relevant incentives for each touchpoint along their shopping journey: at home, when they are out and about, when they are near the store, and as they peruse the aisles.

One way to do this is to literally stay in touch with shoppers. Ask them what they like about a product or a store and what they don’t. Usually, it will circle back to the way it makes them feel. We are all human after all, and purchasing decisions are psychological and emotional.

Another important initiative is to help shoppers feel connected to your brand. They want to be rewarded and appreciated for spending their hard-earned money to take care of their families. Businesses need to understand and respect customers by offering products, services and experiences that align with their lifestyles.

For example, by spending in-person time with our customers and closely analyzing their in-app behavior, we know Shopkick customers are engaging with branded content and video in our app from their homes. Each user spends about 2.5 hours per month in the app – browsing products, watching videos, looking for kick earning opportunities, and planning her trip.

Respecting your audience’s motivations, budgets and behaviors does not have to come at the expense of business requirements. For example, discounts and coupons may influence shopping behavior, however they also cut into margins and could negatively impact the brand. As an alternative, offering rewards creates ‘moments of joy’ for shoppers, and those feel-good associations with your brand or store can increase purchases. We’ve found that rewards will motivate shoppers to go to a different retailer to buy favorite products, or to try a different brand than they typically purchase.

Understand and appreciate the shoppers of today to remain current and hit your goals. Leverage mobile behaviors. Recognize loyalty. Create a rewarding experience. And don’t forget to make it fun.