It is widely accepted that brands which harness the power of conversations exponentially increase the value of their paid media with earned media. However, it is a common misconception that social media is the golden bullet when it comes to generating buzz - only 10% of conversations about brands are online and this research shows that less than 5% are in social media. The vast majority of brand conversations are actually in the real world among real people. So what gets the conversation started in the first place? And what influences the tone of voice used and ultimately what impact does that have on brand consideration and sales? In November 2012 the inTV group commissioned InSites Consulting, which is an award winning specialist agency in the field of WOM research, to help answer these questions. InSites conducted a large scale survey of over 1,600 online interviews across 5 European countries (UK, France, Germany, Italy and Spain) among matched samples of inTV viewers and non-viewers. The research focused on 6 key product categories and maps conversations at a brand level in the following sectors - banking & finance, automotive, travel destinations, mobile/tablets, airlines and watches.

1. Welcome

2. How brands harness the power of
conversations with transmitters!
Presented by: Simon McDonald I Business Director I InSites Consulting
Belinda BarkerI Chairperson I inTV Group
Date: 31st January 2013
www.insites-consulting.com
Ghent I Rotterdam I London I Timisoara I New York

3. The Power of Conversations

4. Word-of-mouth recommendations are effective
Word of mouth and positive advocacy
biggest driver of purchase intention
Word of mouth increases Life
Time Value
The positive effects of
stimulated word of
mouth
Word of Mouth
important Ad Brand Conversations
impact buying activation
Reach the influencers to spread the word

5. About our beliefs in advertising….
 Advertising should be the start of a conversation…a positive
conversation about brands and products
Says what
And what are the outcomes and actions?

6. It’s not about Social Media
90% of conversations about brands are offline
O PS!
10
90
On line Offline

8. Understand conversations, influence and talkability about brands
Six Categories
Regular inTV viewers
airlines
118 brands

9. Methodology
1,600 interviews on-line interviews
inTV viewers* Non viewers**
France 200 200
Germany 200 200
Italy 100 100
Spain 100 100
UK 200 200
Top income earners in non viewer *Regular viewers of international
channels (at least once a week)
sample boosted to match viewers
**non viewers of international
November 2012 channels (still watch TV)

10. The Power of Conversations
Likelihood to
Conversations Effect of
change other
about conversations on
categories peoples purchase funnel
opinions
Connectors,
Brands
Tone of voice Mavens, Sales
mentioned in
conversations towards brands people and
CHAMPIONS

11. Dimension 1: Frequency
How often is a brand or topic discussed by consumers?

12. Category Conversations - Frequency
100% Smartphones/ Travel
Banking Motors Airlines Watches
90% Tablets Destinations
80%
70%
Monthly
60%
50% Weekly
40%
Daily
30%
20%
10%
0%
Q. How often do you have a conversation about each of the following topics?

13. Weekly Conversations about Categories
inTV v non viewers
Index (inTv viewer compared to non-viewer)
147 141 159 163 286 533
60%
40%
20%
0%
inTV non inTV
Q. How often do you have a conversation about each of the following topics?

14. Who is the conversation with?
0% 20% 40% 60% 80% 100%
Family or friends
Colleagues
Business contacts
Contacts via blogging or
social media
inTV Non inTV
Q. Who was involved in this conversation? Please select all that apply.

15. Brands Mentioned in Last 4 weeks
Top 3 by category
Santander 30% Audi 39% Air France 38%
British
Barclays 21% Volkswagen 35% 36%
Airways
BNP Paribas 15% BMW 34% Lufthansa 35%
Apple 70% USA 45% Rolex 42%
Samsung 53% Australia 25% Omega 31%
Blackberry 17% Canada 20% Swatch 30%
Q. Thinking about <insert category>, which brands have you had a conversation about in the last 4 weeks? Base: Had a category conversation

16. Motors Brands Mentioned in Last 4 weeks
Top 3 by country
Audi 39% Audi 34% Renault 49%
Volkswagen 35% Ford 34% Peugeot 48%
BMW 34% BMW 28% Audi 42%
Volkswagen 49% Audi 40% Fiat 48%
Mercedes
41% Volkswagen 36% Audi 39%
Benz
Audi 40% BMW 36% BMW 30%
Q. Thinking about <insert category>, which brands have you had a conversation about in the last 4 weeks? Base: Had a category conversation

17. Brands
Top 10 Brands – Past 4 week conversations
Apple 70%
Samsung 53%
Blackberry 17%
Nokia 16%
HTC 14%
Sony Ericsson 11%
LG 8% Branded Conversations = 91%
Acer 6%
Asus 5%
Motorola 4%
Q. Thinking about <insert category>, which brands have you had a conversation about in the last 4 weeks?
Base: Had a category conversation

18. Brands Mentioned
Mean brands mentioned in previous 4 weeks
Total Non Viewer
3.3 3.6 2.8
2.5 2.8 1.7
1.9 2.0 1.8
1.9 2.0 1.7
1.5 1.7 1.2
1.3 1.5 1.1
Q. Thinking about <insert category>, which brands have you had a conversation about in the last 4 weeks? Base: Had a category conversation

19. Dimension 2: Tone-of-voice
Is a brand or a topic discussed in a positive or negative manner?

20. Sentiment is usually positive towards brands
Tone of voice – total category level
Mean score
8.0 7.5 7.5 7.1 7.2 5.3
70%
50%
30%
10%
-10%
-30%
Positive – scores 8-10 Negative – scores 0-4
Q. During this recent conversation about <insert category from Q5> you said you discussed the brand(s) listed below. Were the discussions about each of these brands positive or negative?
Base: Had a branded conversation about the category (allocated randomly to max. 3 only).

21. Conversation Impact is usually positive
Opinion change - others
Mean score
6.9 6.3 6.3 6.2 6.2 5.4
70%
50%
30%
10%
-10%
-30%
Positive – scores 8-10 Negative – scores 0-4
Q. To what extent did the conversation change the opinion of others towards each of these brands after the conversation?
Base: Had a branded conversation about the category (allocated randomly to max. 3 only).

22. Travel Destinations – inTV viewers more positive
Tone of Voice & Impact - Others
Mean score
7.6 7.3 6.7 5.9
80%
Non
60%
40%
Non
20%
0%
-20%
Tone of Voice Impact on Others
Positive – scores 8-10 Negative – scores 0-4

23. Conversations
Conversation Mapping – Impact
+++
Conversation impact – change in others opinion towards the brand
Impact on Others
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

24. Conversations - Banks
Conversation Mapping – inTV Viewers versus non-viewers
+++
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

25. Conversations - Airlines
Conversation Mapping – inTV Viewers versus non-viewers
+++
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

26. Conversations – Smartphones/Tablets
Conversation Mapping – inTV Viewers versus non-viewers
+++
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

27. Conversations - Motors
Conversation Mapping – inTV Viewers versus non-viewers
+++
BASHING
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

28. Conversations – Travel Destinations
Conversation Mapping – inTV Viewers versus non-viewers
+++
BASHING
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

29. Conversations - Watches
Conversation Mapping – inTV Viewers versus non-viewers
+++
BASHING
Conversation impact – change in others opinion towards the brand
Impact on Others
Non
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

30. Conversations – All categories
Conversation Mapping – inTV Viewers versus non-viewers
+++
BASHING
Conversation impact – change in others opinion towards the brand
Impact on Others
---
--- Tone of Voice +++
Positive or negative ‘tone of voice’ towards the brand during the conversation
Bubble size reflects the volume of category conversations (past 4 weeks).

31. Dimension 3: Impact
If any, what was the impact of a conversation about a brand or topic?

32. Classic Purchase Funnel
Awareness
Opinion
Consideration
Preference
Purchase

33. Impact & Influence - Others
Purchase Funnels – Watches
inTV viewer Non-Viewer
Index
Taught them new things about a
certain product/brand
175
Triggered them to look up 159
information on product/brands
Triggered them to share 117
information on product/brands
Reassured them that they had 119
chosen the right product/brand
Made them consider a certain 124
brand
Convinced them to choose a 167
certain brand
Made them buy or try a certain 175
brand
Q. Which of the following statements best describes the outcome of this conversation for the other people involved? Please select all that apply for each of the brands shown below.
Base: Had a branded conversation about the category (allocated randomly to max. 3 only).

34. Impact & Influence - Others
Purchase Funnels – Cars/Motors
inTV viewer Non-Viewer
Index
Taught them new things about a
certain product/brand
145
Triggered them to look up 119
information on product/brands
Triggered them to share 132
information on product/brands
Reassured them that they had 147
chosen the right product/brand
Made them consider a certain 117
brand
Convinced them to choose a 200
certain brand
Made them buy or try a certain 267
brand
Q. Which of the following statements best describes the outcome of this conversation for the other people involved? Please select all that apply for each of the brands shown below.
Base: Had a branded conversation about the category (allocated randomly to max. 3 only).

35. Dimension 4: Influence
Are inTV viewers more influential transmitters than non viewers

36. The Pillars of Influence – Motors Example
(also known as connectors, mavens, sales people)
Connectors Mavens Sales People
100%
convince
90%
80%
70%
60%
“I’m an
“I talk to lots expert in this “I provide “I can
50%
of people” area” lots of convince
information” others a lot”
40%
30%
20%
10%
0%
Motors Example

37. And the CHAMPIONS?
CHAMPIONS
• We talk to lots of people
AND
• We provide lots of
information/are an expert
AND
• We convince others a lot

38. Champions by category - total
8.3%
7.0%
4.2%
3.4%
2.6%
1.4%
Champions

39. Impact & Influence - Others
Purchase Funnels – category totals
All respondents Champions
Taught them new things about a
certain product/brand 53%
Triggered them to look up
21%
information on product/brands
Triggered them to share 45%
information on product/brands
Reassured them that they had 24%
chosen the right product/brand
Made them consider a certain 37%
brand
Convinced them to choose a 18%
certain brand
Made them buy or try a certain 18%
brand
Q. Which of the following statements best describes the outcome of this conversation for the other people involved? Please select all that apply for each of the brands shown below.
Base: Had a branded conversation about the category (allocated randomly to max. 3 only).

40. Influential Transmitters - Champions
inTV viewers v non viewers by category
12%
11%
10%
10%
8%
6%
6%
5% 5%
4% 4%
4%
3%
2% 2%
2%
1%
0.3%
0%
inTV Non inTV

41. The Multiplier Effect
+33% +11% +36%
monthly Positive Actions for
change others
Likelihood to Effect of
Conversations
change other conversations
about
peoples on purchase
categories
opinions funnel
+56% +8% +149%
Last Tone of
conversation Champions
Voice
Connectors, The
Brands Tone of voice Mavens, MULTIPLIER
mentioned in towards Sales people EFFECT OF
conversations brands and inTV
CHAMPIONS transmitters

42. Thank you